A global company is an international company that centralizes management and other decisions in the home country.
Literally, global means worldwide but a global company doesn’t necessarily perform business worldwide. It is a company that performs business in at least 1 country other than its home country.
Adobe, Cisco, Coca-Cola, and Google are some popular examples of global companies.
Use of the Term in Sentences:
- Global companies do a lot of research before expanding their business into another country.
- Global companies must know the different laws and regulations of other countries.
- If a global company thinks of expanding its business to a country where the costs of manufacturing and labor are cheaper, it can save its operating costs.
- A global company may face technological difficulties if the other country of operation is technologically less advanced.
- Global companies create new opportunities for jobs in countries where they are entering.
- Global companies can take a seasonal advantage if their products are seasonal.