How much does the government intervene in the private sector

Assignment Help Business Management

Reference no: EM13233701

A regional bank has decided to open an office overseas for serving those businesses that are expanding internationally. Choose a country with a large financial center that you believe would be helpful to your customer base.

Discuss some of the challenges that you may face in this new environment.
- What are the cultural, ethnic, social, and educational characteristics?
Describe the political and legal systems.
How much does the government intervene in the private sector?
- How will that affect your financial institution?
What type of economic system does it have?
- What is the history of that economic system?
How is the country involved in international trade?
- How does the government get involved in trade issues?
- Will that help or hurt your financial institution?
Will your presence in this country be helpful in your attempts to invest in other developing countries?
Is this country involved in any regional integration efforts? How so?
Why did you choose this location for your bank?
As a manager, what would be your overall assessment about whether you want to pursue opening an office here?
Are the financial risks worth taking?
- Will it be beneficial to all the stakeholders?
- If you decide to pursue, what type of presence do you think would be best suited to your objectives?

Part II

Despite some challenges, you decide to move ahead and open an office in the financial center you were researching. Your first customer is a large MNC that is looking to finance a plant in Latin America. It has asked for your advice.

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: EM13233701

Questions Cloud

What is the magnitude of the force on the third charge : Point charges of 6.2*10^-8 C and -6.4*10^-8 C are placed 72 cm apart. A third point charge of 6.3*10^-8 C is placed half way between the first two point charges

Issue of common and civil law systems : The issue of common and civil law systems internationally and intellectual property, copyright infringements, and legal ramifications

What is the basic problem causing this conflict : The two shift supervisors are at each other's throats, and you have to do something to correct the situation. What is the basic problem causing this conflict? What could you do to solve it?

How technology has created a more efficient process : Choose two of these HR functions listed, and describe how technology has created a more efficient process for this function. Provide an example of each.

How much does the government intervene in the private sector : Discuss some of the challenges that you may face in this new environment and what are the cultural, ethnic, social, and educational characteristics?

What have been the changes in western europe : What have been the changes in Western Europe in general from the 1950s to the present that have affected women?

Compute the concentration of all species tartaric acid : Calculate the concentration of all species in a 0.050 M tartaric acid solution. These species include [H3O+], [HC4H4O6^1-], H2C4H4O6] and [C4H4O6^2-]. For tartaric acid, Kal=1.0 x 10^-3 and Ka2=4.6 X 10^-5.

What would be the net change in real gdp per person : The "graying of America" will substantially increase the fraction of the population that is retired in the decades to come. To illustrate the implications for U.S. living standards, suppose that over the 44 years following 2006 the share of the po..

What types of strategic plans must wild west make : what types of strategic plans must Wild West make? Is the "do nothing" option viable? If Wild West's mission appears to be too broad, what businesses would you trim first?

User Account

All Pages