BUS470
Module 3 Assignment 1: Discussion Question
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The Mexican ceramics folk-art firm signs a contract for the Mexican firm to
deliver 1500 pieces of artwork to an Italian firm within the next 120 days. The
contract is denominated in pesos. During this time the Mexican peso strengthens
against the euro. What is the net profitability effect on the Mexican firm?
What international market concept is demonstrated in this example? Discuss the
risks associated with changing exchange rates and international commerce and
provide a scenario demonstrating these risks.
By
respond to the discussion question
assigned by the faculty. Submit your response to the appropriate
Discussion Area. Use
the same
Discussion Area to
comment on your classmates' submissions and continue the discussion until
2016.Comment on how your classmates
would address differing views.
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