The proposed framework for any conflict management is the adoption of the three processes commonly referred to as ‘STOP’ ;( strategic, tactical and operational). In the UK for example, the framework has been referred to as the ‘Gold, Silver and Bronze control framework’ and it has been used to solve issues of crisis such as the Iraq crisis in the recent years. The frame entails the use of the model below when a conflict is recognized and noticed. Suggested framework for handling immediate financial crisis There have been recent developments by the United Nations address its internal conflict.
The United Nations has circulated an organizational draft that outlined some regulations that it will itself adopt to contain any political crisis. It also needs its member states to adopt the same to build on their political structures especially in developing countries. The UN, in the last few years has been able to effectively contain its political conflict and is slowly recovering mainly because of international commitment and improved cooperation in the world.
This has been achieved through mutual discussions and round table discussions especially if there are any conflicts involved. (United Nations, 2001) 2. 4 HSBC and Globalization Globalization has different meanings depending on its global nature, how it impacts individuals and perspectives that such people have about this concept. Some individuals define globalization as being that state where each and everyone in the society is a resident of that global society.
To other people it refers to the issue of Multi-National Corporations taking advantage of poor nations to augment there financial bases through exploitation of human resource as well as the available raw materials in such countries. A more precise definition of globalization is that it explains the growing economical, political, cultural, technological and social interaction and interreliance of the globe nowadays. The global environment and expansion of globalization has incited a range of reactions and opinions all over the world.
In the recent past anti-globalization objections have always emerged to be among the most controversial issue all over the world. However, the followers of globalization are subjected to anti-immigration arrangements in Europe and the United States for example resistance to the elimination of trade obstacles and hostile response directed against western cultural sway in several countries. (Joseph, 2001)
Nonetheless, anti-globalization activists frequently gain from globalization aspect and yet they are against it e. g. from the use of internet innovation, global markets and worldwide interdependence. Thomas Friedman had to assert the following about globalization;” We are now being touched by people who have never touched us before, we’re competing with individuals who we have never competed with before, and fortunately we are collaborating with people we have never been able to collaborate with before” (Friedman, 1991) HSBC is regarded as the world’s largest financial group by market capitalization as rated by Forbes 2000.
It is also rated as the fifth largest financial company whose headquarters is located in 8 Canada Square. The bank was founded as early as 1865 to finance trade in the Middle East by Thomas Sutherland. Until, 1991, the bank had its headquarters in Hong Kong but changed strategy and moved to Europe and the U. S. As at December, 2006, HSBC had an asset base of $ 1. 865 trillion (HSBC Reports, 2008). With such foundation, it implies that HSBC is widely known thus becoming strength over its rivals.
HSBC further has strength of strong financial base thus can invest in many branches as it desires. HSBC has a weakness in the sense that it is not fully aware of the demographic changes and variations that people have in the world. For instances, the income variations, lifestyles, economic situations of the areas involved, the population statistics, ages of the people, size of households and affluence. One of the main opportunities of HSBC is the utilization of e-commerce in it banking operations.
Through internet, branches of the bank can develop networks, through which they could keep up to date with business progress and could improve service provision to customers. Another opportunity relating to this is e-marketing which is relatively a new advancement in the field of marketing even then there are many business and customers who have switched from traditional to online promotion. Actually, recent reports of poor management especially in the financial sector posses a threat of incurring losses in many financial institutions including HSBC.
Current analysis shows that some of the employees in the finance sector of any bank may show levels of ineffectiveness I selling out mortgages to people of different social classes. This is a threat in the sense that it could lead to poor internal controls hence loss of customers and business 3. 0 Conclusion We can therefore conclude that globalization has led to prosperity to all and the main ingredient to it has been international marketing which have been employed by firms in order to increase their market share and profits.
Due to modernization and advancement in technology, most businesses are beginning to explore international markets for better profits and opportunities. (Foster and Harris, 2005) In the recent past, trading activities has become increasingly global in some way because of the need to gather and increase the company’s financial bases. Advancement in technology including communication efficiency and better international relations has contributed to the promotion of the international trade.
Competition has however become a great challenge to the success of global business management but most companies are rising to the challenge. To take advantage of the world being global village and to achieve greater investments and better market opportunities in the international market, it is necessary that primary and secondary market research is done to ensure that information regarding the target markets in countries desired is obtained.
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