Questions from Multinational Business Finance

Q: Explain the time horizons used to analyze and measure unexpected changes in

Explain the time horizons used to analyze and measure unexpected changes in exchange rates.

Q: What are examples of static exposures versus dynamic exposures?

What are examples of static exposures versus dynamic exposures?

Q: According to financial theory, which is more important to the value

According to financial theory, which is more important to the value of the firm, financing or operating cash flows?

Q: Explain how the concept of macroeconomic uncertainty expands the scope of analyzing

Explain how the concept of macroeconomic uncertainty expands the scope of analyzing operating exposure.

Q: The objective of both operating and transaction exposure management is to anticipate

The objective of both operating and transaction exposure management is to anticipate and influence the effect of unexpected changes in exchange rates on a firm's future cash flows. What strategic alte...

Q: The key to managing operating exposure at the strategic level is for

The key to managing operating exposure at the strategic level is for management to recognize a disequilibrium in parity conditions when it occurs and to be pre-positioned to react most appropriately....

Q: Answer the following questions about OPIC: a. What is

Answer the following questions about OPIC: a. What is OPIC? b. What types of political risks can OPIC insure against?

Q: What are the most common challenges a firm resident in a segmented

What are the most common challenges a firm resident in a segmented market faces in regards to its access to capital?

Q: What is meant by the term market liquidity? What are the

What is meant by the term market liquidity? What are the main disadvantages for a firm to be located in an illiquid market?

Q: What is market segmentation, and what are the six main causes

What is market segmentation, and what are the six main causes of market segmentation?