Looking to finance a plant in latin america

Reference no: EM13768923

Despite some of the business challenges that you identified about your chosen country, you decided to move ahead and open an office in the financial center of this country. Your first customer is a large MNC that is looking to finance a plant in Latin America. They have asked for your assistance in advising them on this business endeavor.

Using information that you gathered from your Phase 4 IP and other course materials, discuss its options and the foreign exchange aspects that affect the financing for the MNC. Include the following:
- Foreign currency risk
- Why they need to hedge foreign exchange
- What sort of foreign exchange instruments you would recommend
- Whether they have to be aware of any government regulations that would affect earnings and cash flow
Include the need to be aware of inflation and interest rates and how it affects exchange rates.
- Keep in mind that the country that the plant is in does not necessarily have to be where the financing is done.

Reference no: EM13768923

Questions Cloud

What is the maximum number of bytes : What is the maximum number of bytes that can be included in a UDP payload. The value in the Length field is the length of what

Identify the deficiency initiated new policy-law or program : Type of focusing event and date that it occurred; president and FEMA Director;

Effect of power transmission lines on human body : Effect of power transmission lines on human body.

Change management - driver only operations : Brief Introduction to the key concepts of Change Management and a "desktop" review of potential barriers and safety concerns

Looking to finance a plant in latin america : Despite some of the business challenges that you identified about your chosen country, you decided to move ahead and open an office in the financial center of this country. Your first customer is a large MNC that is looking to finance a plant in L..

The number of observations minus the number of constraints : The number of observations minus the number of constraints or assumptions needed to calculate a statistical term is called the _____.

What are the consequential incidental damages : The court finds that there is a breach of contract. What are the consequential, incidental, and compensatory damages that Barksdale is liable for in this case? Be sure to define each of those terms

Planning process for executing a terrorist attack : What is the planning process for executing a terrorist attack - to what other types of planning processes is this similar? Explain.

Cost of production-vs-the selling price : Find and describe 2 non-durable goods and 2 durable goods. Your explanation should include talking about the materials that are used, the intended use of the product, and how long it is supposed to last which includes explaining why each material ..

User Account

All Pages