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Explain the determinants of operating exposure.
Answer: The main determinants of a company’s operating exposure are
(a) The structure of the markets where the company sources its inputs, like labor and materials, and sells its products, and
(b) The company’s capability to mitigate the effect of exchange rate changes by adjusting its markets, product mix, and sourcing.
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List the benefits of the flexible exchange rate regime. Answer: The benefits of the flexible exchange rate system include: a) Automatic attainment of balance of payments eq
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Workers interest in participation is also influenced by certain personnel or group characteristics. For example several research studies have shown that both very low and very high
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