Globalization can be defined as the process by which a regional economy, society, culture or business becomes integrated through a global network of business ideas through communication and trade (Waters, 2001, p. 45). It is the propensity of a business, technology, or philosophy to spread beyond regional boundaries. Through globalization, a business can create value by leveraging its resources and capabilities across borders through the coordination of cross-border manufacturing as well as marketing strategies (Büchel & Probst, 1998, p. 156).
Globalization requires a firm to rethink its strategic policies, global architecture, major competitions, and its collective product and service mixture. This can result in considerable changes in the way the firm does business, with who, why and how. Therefore, there are some factors that every firm needs to consider when going global. These are;