Globalization of businesses is their expansion beyond their own countries and globes to the whole continent. In the modern world, most businesses are expanding beyond their national boundaries and thus venturing into new markets where there are new and different opportunities. This new market comes along with various different environments and challenges. Glocalization of businesses is a concept whereby global businesses have some element of the local area where they are located.
Businesses that have ventured into new markets across the globe experience a very new and different environment. Without the businesses coming up with strategies to which they can use to adjust and fit in in these new markets they might end up collapsing. The concept of glocalization is used as a tool in which the business uses to adjust and fit in new markets. According to Mitsakis, F. V., & Mendonca, P. (2017) diversity training is being used by global businesses in most workplaces so as to integrate the local culture with the business culture. With diversity training in global business, the output of the businesses will increase the business will be in harmony with its new environment regarding the culture of the new workforce and market. Glocalization can also be brought about by government rules and regulations of the new market that a business has ventured to across the globe. This might be in the form of accounting policies that are embraced by the state where the business is located. Accounting policies differ from different points across the globe thus businesses need to adapt to the policies of their physical location so as for the taxing purposes.
Glocalization concept has really boosted globalization of businesses. Businesses that can easily glocalize are more suitable to thrive in new environments than those that cannot glocalize easily. Glocalization brings about the adaptation of the business to new environments. When businesses glocalize as they go global their chances of success are higher.