Reference no: EM133201172

Q1:  You are the Chief Financial Officer of a company that operates in almost two dozen countries around the world: in Europe, Central and South America, and Asia. You manufacture your product (which is used in the auto industry) in many countries, and also sell them in the same countries as well as others: all in the regions described above. You also import items from many countries, for use in your manufacturing process. How do exchange rates affect individual international businesses? Do international businesses like stable rates or volatile rates? Explain your answer.

Q2. : A Canadian developer of software for automated coal mining equipment has been approached by a Russian mining conglomerate with an offer to cooperate on adapting the software to the Russian market. If the Canadian company agreed to work with the Russian company, they would have to reveal the software's source code (the source code is the key to software and is used to protect proprietary technology). Identify and describe any risk factor(s) that would be key to this business and how can you manage these risks?