The effects of globalisation on an organisation Dissertation

The effects of globalisation on an organisation - Dissertation Example 3 1.3 Project Objectives 6 1.4Research Questions 6 Information Gathering and Accounting/Business Techniques 7 2.0. Information Sources 7 2.1.2 Annual Reports, Summary Financial Statements and Corporate Governance Report 8 2.1.3 Textbooks 8 2.1.4 Internet and Media Sources 9 2.2 Research Methodology 9 2.3 SWOT and PESTLE Analysis 14 2.3.1 Limitations 14 2.4 Ethical Issues 15 Results, Analysis, Conclusions and Recommendations 16 3.0 Results 16 3.1 SWOT Analysis 21 3.2 PESTLE Analysis 25 3.3 Financial Ratio Analysis 27 Conclusion/Recommendations 29 Figure 1 30 List of References 40 Research and Analysis Report The Effects of Globalization on Cadbury Schweppes Plc. Part 1 Project Objectives and Overall Research Approach In terms of business practices, globalization refers to the escalation of the â€Å"internationalization of the production, distribution and marketing of goods and services† (Ali 2000, p. 5). More particularly, globalization is the persistent linking of state econo mies (Ali 2000, p. 5). From the perspective of the business organization, globalization means intense competition which can impact the structure of the organization and the way that it produces and markets its goods and services(Czinkota et al 2009). ... From the consumer’s perspective, globalization means an opportunity to choose from a large assortment of goods and services. This also means that in addition to variety, consumers will benefit from a reduction in prices and an improvement in quality. Cadbury Schweppes Plc provides a case study for the effects of globalization on an organization and the responses that an organization is forced to make. The effect of globalization on an organization as a topic for this research and analysis report is justified because globalization changes the way that businesses operate, strategize and market their products and services. All businesses are either passively or actively impacted by globalization (Johnson and Turner 2010). This means that all businesses are forced to reconsider their focus on domestic markets and focus more on foreign markets. The extent of this focus varies from one organization to another. Size, growth, ambitions, brands, opportunities and a number of variables will dictate the degree an organization shifts it focus to penetration of foreign markets. The relevant factors are demonstrated via a case study of Cadbury. The growth directions of Cadbury’s since its inception 200 years ago justifies an evaluation of the impact of globalization on the organization. As we have already discovered, Cadbury’s started out as a coffee shop of sorts and today it is an entirely different company. It went from serving ready to make drinks to manufacturing chocolates. This research intends to discover the extent to which globalization impacted the expansion of products and how those products have been marketed globally. This research will therefore look at Cadbury’s progression on global markets over

Compare and contrast absorption costing Assignment

Compare and contrast absorption costing - Assignment Example Absorption costing and Marginal costing are two such costing methods. They differ to quite an extent, however whether one method is better than the other depends largely on the situations in which they are applied and the underlying objectives of the businesses in which they are applied. Before looking at these two concepts in detail, it is appropriate to discuss the components that make up the ultimate cost of a good or service. The cost of something can be broadly broken up into fixed costs and variable costs.   Fixed costs are those costs that are incurred irrespective of the level of production. So for example, in a garment factory business, fixed costs would include the rent on the factory. This rent would largely be the same, irrespective of the volume of garments produced in that factory. On the other hand, the variable costs would include the costs of the materials used (‘direct material’), the daily wages of the staff producing the garments (‘direct labour’) and even perhaps the electricity charges on the machines used (‘direct variable overheads’). These costs increase directly with the volume of production. More garments being produced would mean more fabric being used, more people being employed or the same people being employed for longer and machines using more electricity by being worked for longer or at higher capacities. This method is also called the full costing method. As the terminology implies, under this method, the full cost of the good or service is used in arriving at the cost per unit. ‘Full costs’ mean that both the variable costs and the fixed costs are included in the calculation of cost per unit. That is, this method does not differentiate between them-all the manufacturing costs are included. In the garment factory example mentioned above, this would mean that in addition to