Influence of globalizationAssignment 1 International BusinessADMN296 Submitted to: Submittedby:Danny Hu KarandeepSingh 196644 IntroductionIceland is always anincredible place to visit or even to know about. It is called a land of fireand ice. I found this much relevant to research on Iceland to make myassignment more interesting. It is one of the peaceful country and become oneof the wealthiest as well as developed nation within few decades. Peopleconsider it as an easiest place to live and I believe it has wider scope forany kind of business from given options (nations) that is why I select Icelandto analyze for my assignment.
GeographyIceland is one of thelast place settled by humans on the Earth. It is a Nordic Iceland country ofEurope located in the North Atlantic Ocean. Iceland covers a total area of39,769 square miles (103,001 km²) (Geography of Iceland, 2018). It is so beautiful country landscaped by fields, green meadows,geysers, hot springs and volcanoes along with glaciers on the other side thatis surprisingly different to see such different variations in same country.There are total 325,671(Demographics of Iceland, 2018) peopleresiding in Iceland out of which 60% of population lives in Reykjavik, thecapital city. There are no forests in Iceland.
Finland, Denmark, Greenland,Sweden and Norway are neighboring countries. CultureIceland culture isclassic and ancient. Even the Icelandic language is thousands of years old.There are no surnames or last names but if you are using a first name that isnot previously used, then it must be authorized by Icelandic naming committee.There is high degree of gender equality. Women actively participate in jobseither it is just bread earning or politics. Krona is the name of currency usedin Iceland. Outlook of residents of Iceland resembles Nordic culture.
Yet, animportant element is traditional cuisine and their sweets. They are respectfultoward their culture and language. People are friendly and polite. A firmhandshake and punctuality can impress them in first meeting. All should betreated equally as they follow flat hierarchy in business where designationsare a part of professional life, otherwise everybody is treated equally despiteof gender or professions. Government SystemIceland has theoldest parliament in Europe.
It is a parliamentary constitutional republic asmany other small countries where President is the head and executive powers arein the hands of legal authorities. Iceland known for world’s oldestparliamentary democracy. Political system is smooth despite of having multiparties. Health care, education and safety system is as good as these are thepriorities of legal authorities existing there. Law and order maintained, as violentcrimes are negligible in numbers.
Even police force do not carry guns with them.(Type of government, 2017). GDP/GNP/Exports/ImportsGross domesticproduct and Gross National product is 20.05 billion USD and 17.
54 billion PPPrespectively. The value of Export and Import is $3.215 and $4.582 respectively.
Iceland is self-sufficient in livestock, dairy, meat, eggs and fishery. Chocolate,milk, sugar, potatoes, fishes, sheep’s, aluminum geothermal system are majorproduces along with the welcoming environment. Iceland export agricultureproducts, art and craft is also famous and exported. Beautiful art pieces madeby Seashells or stones are famous all over the world. (Economy of Iceland,2017). Business PartnersJapan and USA aremajor business partners of Iceland. OtherTaxes are relativelylow in Iceland as compared to other nations. Living standards are highestthere.
Until Iceland relied on fishing and subsistence agriculture, it was apoorest nation but gone are those days as after 20th century, Industrializationof fisheries contributed toward prosperity and now Iceland is one of the mostdeveloped and wealthiest nation of the world. Most interesting fact that canraise the eyebrows of everyone is that, Iceland does not have any army. It ismost peaceful nation. Benefits of Globalization: ? Globalization can aid trade andrelations among countries.? It can boost up other industriesin the nation other than agriculture and tourism.? Globalization will help tomaintain financial stability.? It will encourage economic growth,creates new jobs, and makes companies more competitive.? Sharing of common values andpositive attitudes on social basis as Iceland is so inspirational for everyother developing economy in terms of social as well as economic growth.
? Globalization will lead to areform called ‘consumer activism’. Problems of Globalization:? Globalization in Iceland candamage the overall beauty a lot more than without it.? Iceland is so peaceful butglobalization may cause trouble, as there is an exception that there could becrime, hoarding, smuggling etc.? Unfair working conditions orsocial injustice of Multinational Corporation can create a mismanagement.(Gobel, 2018).
Business in IcelandIceland has a vastdegree of knowledge big resources like people (cheap labor), input for food industry(agriculture goods) and tourist (potential customers). I want to invest inopening a franchise of McDonald in the capital city of Iceland. McDonald is alltime favorite of foreigners. Good services, easy accessibility of food,offering of different varieties along with good return on investment to theinvestors are few factors that penetrate me to think about it. There were McDonaldin Iceland few decades ago but due to recession and corruption of some banks(bank corrupts) were the reasons for the termination of the McDonalds. NowIceland is a developed nation and situated in the middle of Europe and NorthAmerica that is perfect geographical location for trading or nationwidedealing.
Moreover it has been said that more the risk more the profit. Englishis widely spoken there so language barrier is not an issue. The basic reasonwhy I want to open my business in Iceland is that it has all the potentialresources, liberalization, creativity and all the positive conditions for thebusiness like entrepreneurship, relevant resources and understanding for demandand supply. Although globalization considered as, hindrance to this nation butthat is the actual challenge how to make the adverse situation fruitful. ReferencesGeography of Iceland. (2018, January 17). Retrieved from https://en.
wikipedia.org/wiki/Geography_of_IcelandDemographics of Iceland. (2018, January 22).
Retrieved from https://en.wikipedia.org/wiki/Demographics_of_IcelandType of government does Iceland have. (2017, August 1). Retrieved from https://www.worldatlas.com/articles/what-type-of-government-does-iceland-have.htmlEconomy of Iceland.
(2017, December 21). Retrieved from https://en.wikipedia.org/wiki/Economy_of_IcelandGobel, R.
(2018). Iceland’s Near Collapse:What Can We Learn? Retrieved from https://www.investopedia.com/articles/economics/09/iceland-bankruptcy.asp