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History
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11 / 2900 |
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The three main types of exposure are economic exposure, transaction exposure, and translation exposure. âEconomic exposure is the extent to which the value of the firm would be affected by unanticipated changes in exchange rates. Transaction exposure is the sensitivity of the realized domestic currency values of the firms contractual cash flows denominated in foreign currencies to unexpected exchange rate changes,â (Ross, 2005)...
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Collaborating with technologically compatible companies allows the company to achieve the integration process more rapidly.
Another opportunity arises from the proposal of Avral Electronics to purchase LEI. The acquisition by Avral Electronics would open the way for increased globalization. This would give LEI a worldwide presence in its market, allow integration of its operations, and standardize operations in the companyâs functional areas...
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General points of the essay
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