Simulate your own multinational corporation (MNC). Justify the form of your own MNC, based in the Caribbean, which trades with three countries outside of the North America region. Examine issues related to foreign exchange management within your multinational corporation. The type of MNC, whether franchising, licensing, the exportation of a product sold through a distributor, etc. The rationale behind using this form of MNC should also be given. The main foreign currencies that will be used in the business. The foreign exchange exposure of the company and how the company plans to manage this exposure.
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Simulate your own multinational corporation (MNC). Justify the form of your own MNC, based in the Caribbean, which trades with three countries outside of the North America region. Examine issues related to foreign exchange management within your multinational corporation.
- The type of MNC, whether franchising, licensing, the exportation of a product sold through a distributor, etc. The rationale behind using this form of MNC should also be given.
- The main foreign currencies that will be used in the business.
- The foreign exchange exposure of the company and how the company plans to manage this exposure.
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- Simulate your own franchising multinational corporation (MNC) in the hotel industry.Justify the form of your own MNC, based in the Caribbean, which trades with three countries outside of the North America region. Then examine issues related to foreign exchange management within the multinational corporation. Address the following: 1. The type of MNC, whether franchising, licensing, the exportation of a product sold through a distributor, etc. The rationale behind using this form of MNC should also be given. 3. The foreign exchange exposure of the company and how the company plans to manage this exposure.Please help with question #2. The based country is Trinidad and the countries trading to is Australia, Columbia and Germany. Explain how can we mitigate foreign exchange risk in these countries and how exchange rate will be useful. You are asked to simulate your own multinational corporation (MNC).You are required to justify the form of their own MNC, based in the Caribbean, which tradeswith three countries outside of the North America region. Students will then examine issues relatedto foreign exchange management within their multinational corporation.This group assignment should address the following:1. The type of MNC, whether franchising, licensing, the exportation of a product soldthrough a distributor, etc. The rationale behind using this form of MNC should also begiven.2. The main foreign currencies that will be used in the business.3. The foreign exchange exposure of the company and how the company plans to managethis exposure.4. Any current financial issues that affect the…Please help with a discussion on question #2. The base country is Nevis and the countries trading to is Australia, Columbia and Germany. You are asked to simulate your own multinational corporation (MNC).You are required to justify the form of their own MNC, based in the Caribbean, which tradeswith three countries outside of the North America region. Students will then examine issues relatedto foreign exchange management within their multinational corporation.This group assignment should address the following:1. The type of MNC, whether franchising, licensing, the exportation of a product soldthrough a distributor, etc. The rationale behind using this form of MNC should also begiven.2. The main foreign currencies that will be used in the business.3. The foreign exchange exposure of the company and how the company plans to managethis exposure.4. Any current financial issues that affect the operating environment of the MNC and howthese issues affect the company’s foreign currency…
- Please help with a discussion on question #2. The base country is Nevis and the countries trading to is Australia, Columbia and Germany. Explain why would it be more profitable to trade in USD rather than XCD and how can the MNC benifit from the trading countries currencies. Use an echange rate table or chart to help strenghten your point You are asked to simulate your own multinational corporation (MNC).You are required to justify the form of their own MNC, based in the Caribbean, which tradeswith three countries outside of the North America region. Students will then examine issues relatedto foreign exchange management within their multinational corporation.This group assignment should address the following:1. The type of MNC, is the exportation of a product soldthrough a distributor2. The main foreign currencies that will be used in the business.3. The foreign exchange exposure of the company and how the company plans to managethis exposure.4. Any current financial issues that…Please help with question #2. The based country is Trinidad and the countries trading to is Australia, Columbia and Germany. Also explain how can we mitigate foreign exchange risk in these countries. You are asked to simulate your own multinational corporation (MNC).You are required to justify the form of their own MNC, based in the Caribbean, which tradeswith three countries outside of the North America region. Students will then examine issues relatedto foreign exchange management within their multinational corporation.This group assignment should address the following:1. The type of MNC, whether franchising, licensing, the exportation of a product soldthrough a distributor, etc. The rationale behind using this form of MNC should also begiven.2. The main foreign currencies that will be used in the business.3. The foreign exchange exposure of the company and how the company plans to managethis exposure.4. Any current financial issues that affect the operating environment of the MNC…You are the manager of a U.S. company situated in Los Angeles and manages the import/export division of the company. The company distributes (resells) a variety of consumer products imported to the U.S.A from Europe and also exports goods manufactured in the U.S.A. to Canada. Therefore, your company is very much dependent an the impact of current and future exchange rates on the performance of the company. Scenario 1: You have to estimate the expected exchange rates between your home currency and the other currencies of the major other countries that you deal with in terms of bath imports and exparts. The reason is that increases in the values of other currencies compared to the U.S. Dollar may impact your imports negatively, whilst it may on the other hand, be good for exports. To do this estimate, you obtain the following spot exchange rate information: €/S CADS/S 0.87616 1.30779 You also obtain the following annual risk free rates applying in the countries: U.S.A. 2.660% France…
- Summarize the impact of foreign exchange rates on the company’s financial statements. What risks do foreign exchange rates pose? Provide academically supported example(s) in your response. What are the two methods used to translate financial statements and how does the functional currency play a role in determining which method is used? Provide academic support in your response. Compose a hypothetical example to demonstrate the translation process using the two methods. Ensure all information is entered accurately.Summarize the impact of foreign exchange rates on the company’s financial statements. What risks do foreign exchange rates pose? Provide academically supported example(s) in your response.what are the the foreign exchange exposure of a multinational company with it's headquarters in Jamaica and how can the company plan to manage this exposure.
- Which of the following would contribute to a positive trade balance for a country? Answer 1. Having tourists visit the country 2. Importing textiles 3. Having foreign residents buy the government bonds of the country 4. Importing financial servicesDo you agree with the following claim? “U.S. companies with global operations can give you international diversification.” Think about both business risk and foreign exchange risk.Which of the following would contribute to a positive trade balance for a country? a. Having tourists visit the country b. Importing textiles c. Having foreign residents buy the government bonds of the country d. Importing financial services