ORGANIZATIONAL SECURITY

Organizational Security

Organizational Security

Introduction

Expanding business to another country, which is also referred to as globalization, is accompanied by a rise of security issues on the agenda of governments and public opinion. For half a century, economic interdependencies increased between nations have not resulted in a decrease of armed conflict, but the world has avoided a major conflict. At the same time, the flow of increasingly dense goods, capital, people and information companies exposed to terrorism risk. Illegal cross-border flows that piggyback on these exchanges also feed on potential conflicts. Globalization has its limits the need to fight against these risks by security measures supported by am international cooperation. In this case we are going to analyze the security threats of doing business in Middle East and Africa (Friedman, 2007).

Discussion

Both of these countries have the potential of promoting business and also give an opportunity to identify new markets for our existence product. But there is also a dark side for conducting business in these areas. Middle East has now become a danger to doing business because of the political condition in many regions of the Middle East. Middle East has the biggest risk of political violations and on the other hand, Africa possesses the risk of safety and protection. Some of the common issues of going global or conducting business in Africa and Middle East are discussed below. The host foreign companies face many different kinds of issues for expansion of their business into foreign markets. For example the companies when establish their business into foreign markets, there is no information available to them, about the market trends or growth in foreign country. They face high cost of capital, in the labor market they lack well trained people, and if the company hires people with no experience they face problems in manufacturing operations. Thus it is crucial for the business to hire well trained and experienced labour force in order to expand its business operations into the foreign market (Phillips, 2008). Because if the company lacks in infrastructure and facing other communication problems it will become very difficult for the company to build its brand image in the other countries because the good brands are highly valued and this is because the other alterative companies offer lower quality products. Africa is in danger not only for its commodity exports. Revenues low and slow growth remain major risk factors: Africa is currently mind the poorest region in the world and, despite improvements; its growth is still low. We also found that Africa is exposed to civil war because of the small population size of almost all countries. Although a small country is somewhat less prone to civil war than a large one, the effect is less than proportionate: a region divided into many countries has more civil wars that if one country. The ethnic diversity increases the risk and Africa is the world's most diverse region (McGrew, 2004).

Importance of diversity in international arena

Every organization needs to think ...