Strategies

Business & Finance
Tutor: None Selected Time limit: 1 Day

What strategies can global managers use to mitigate international financial, cultural, and political  risks?  (Please answer all DS completely)

Apr 25th, 2015

Mitigating International Financial Risks

- Take loans in the same currency as the company's cashflows. eg: If your customer's are going to pay you in Euros, take a loan that is to be repayed in Euros.

- Hedge foreign exchange or interest rate risk by using appropriate instruments such as forwards, futures, swaps etc.

Mitigating International Cultural Risks

- If there are language differences, use multilingual people or have access to translators.

- Respect the local social and business norms. Involve local staff or locals in any end consumer related activities like advertisements.

Mitigating International Political Risks

- Use local partners to establish good relationships with the political players of the country.

- Be a part or rather an active member of industry associations in the country.

Apr 26th, 2015

Are you studying on the go? Check out our FREE app and post questions on the fly!
Download on the
App Store
...
Apr 25th, 2015
...
Apr 25th, 2015
Dec 5th, 2016
check_circle
Mark as Final Answer
check_circle
Unmark as Final Answer
check_circle
Final Answer

Secure Information

Content will be erased after question is completed.

check_circle
Final Answer