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Other Papers on :Foreign Exchange Market

Other Papers on :Risk and Return

C/F/263. Foreign Exchange Rate Risk Exposure

(2007, 2100 words)

The paper discusses three specific issues related to foreign exchange exposure in international firms, i.e. the implications of sourcing raw materials from overseas while production is in the UK, the exposure to exchange rate risk of a UK firm opening a new plant in Japan or the US, and the implication of opening a new plant overseas simultaneously sourcing raw materials from outside the UK.
 
   
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