The COVID-19 pandemic, geopolitical tensions, technological disruptions, and rising stakeholder expectations have accelerated a significant shift in how businesses view globalisation. Reflecting on these events and the ideas discussed in the article “Building the New Global Enterprise” by Bhattacharya et al. (2018), I strongly support the central argument that we are now operating under a new phase of globalisation—one that demands a reimagined approach to corporate strategy.
Traditionally, globalisation was synonymous with efficiency, scale, and cost optimisation. Multinational corporations (MNCs) would centralise operations, produce in low-cost countries, and sell to global markets with little variation. However, the pandemic exposed vulnerabilities in this model. Disrupted supply chains, closed borders, and regional lockdowns revealed the fragility of hyper-optimised global operations. Furthermore, recent political conflicts—such as the Russia-Ukraine war and escalating tensions between China and the West—have introduced new uncertainties that further erode the predictability that global firms once relied on.
According to Bhattacharya et al. (2018), the “new globalisation” differs from traditional globalisation in the following key ways:
- Shift from Global Scale to Local Relevance
- Previously, companies leveraged global scale and standardisation to reduce costs and expand markets.
- Now, success depends more on local adaptation, understanding local needs, and responding to region-specific dynamics such as consumer preferences, regulations, and supply chain risks.
- Rise of Multipolarity
- The global economy is no longer dominated by a few Western economies.
- Emerging markets (e.g. China, India, ASEAN) are becoming major hubs of innovation, consumption, and influence.
- This requires new organisational designs and decision-making approaches to operate across multiple centres of power and growth.
- Technological Acceleration
- Digital technologies (AI, automation, IoT) are transforming how value is created and delivered.
- Companies must embed technology into every aspect of the enterprise—from supply chains to customer engagement.
- Geopolitical and Regulatory Complexity
- Growing protectionism, trade barriers, cybersecurity concerns, and nationalistic policies are challenging the free flow of goods, capital, and data.
- Multinationals need to manage regulatory fragmentation and geopolitical risk proactively.
- Changing Stakeholder Expectations
- There’s a shift from shareholder primacy to broader stakeholder capitalism.
- Customers, employees, governments, and communities demand greater transparency, inclusivity, and social responsibility.
- Need for Agility and Resilience
- The traditional model focused on efficiency and cost optimisation.
- The new global enterprise must balance efficiency with resilience, speed, and adaptive capacity.
These realities align with the authors’ view that the “new globalisation” is shaped by multipolarity, technological acceleration, and a growing demand for local responsiveness and resilience. Businesses can no longer afford to apply a one-size-fits-all approach to markets. Instead, they must become agile, decentralised, and deeply attuned to local nuances. For example, companies like Unilever and Nestlé are increasingly empowering regional teams to make product and marketing decisions, while also leveraging global data and digital platforms.
The implications for corporate strategy are profound. First, global enterprises must shift from centralised control to a hybrid model that balances global integration with local autonomy. This requires new organisational structures and leadership capabilities focused on coordination rather than command. Second, strategy must now prioritise resilience—by diversifying supply chains, building redundancy into operations, and investing in risk intelligence. Third, digital transformation is not optional. The ability to rapidly collect, process, and act on data across markets is a competitive necessity.
Lastly, stakeholder capitalism is on the rise. Companies must account for the interests of governments, communities, and the environment, not just shareholders. This means embedding ESG (Environmental, Social, and Governance) principles into the heart of strategy and reporting transparently on progress.
The “new globalisation” is not just a trend—it is a strategic reality. Corporate strategies must evolve to meet this complexity with flexibility, foresight, and a renewed commitment to both global excellence and local relevance. Those who adapt will lead the next chapter of global business success.
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