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Assignment 2: International Market Expansion

Due Week 8 and worth 300 points

Using the same multinational company that was chosen in the Assignment 1 prepare an analysis that will examine key strategic risks and a financial strategy for your supervisor to consider for possible expansion into this new international market.

Write a 6-8 page paper in which you:

1. Examine possible risks of foreign currency exposure for your company and prepare a strategy for how each of these risks can be managed. Please be specific and consider all possible implications to your company.
2. Evaluate the basic functions of the international banking system and financial market (such as bonds, equity, and money markets) and provide a plan for using these financial markets to finance your global operations.
3. Present a financial strategy to support long-term financing of operations for possible expansion of your MNC (taking into consideration portfolio management, capital budgeting and foreign direct investment decisions).
4. Provide final recommendations based on both your findings and your initial assessment of opportunities and risks on the three dimensions of international finance, economic trends of the country, impact of globalization, and the monetary system.
5. Use at least three (3) quality references. Note: Wikipedia and other Websites do not quality as academic resources

Your assignment must follow these formatting requirements:

• Be typed, double spaced, using Times New Roman font (size 12), with one-inch margins on all sides; references must follow APA or school-specific format. Check with your professor for any additional instructions.
• Include a cover page containing the title of the assignment, the student’s name, the professor’s name, the course title, and the date. The cover page and the reference page are not included in the required page length. 

The specific course learning outcomes associated with this assignment are:

• Analyze the current trends and impact of globalization on international financial management.
• Assess the risks of foreign currency exposures and develop strategies to manage these risks.
• Evaluate the basic functioning of the international banking system and financial markets (money, bond, equity) and the techniques for using the markets to finance global operations.
• Develop financial strategies to support long-term financing of global operations that address portfolio investment, capital budgeting, and foreign direct investment decisions.
• Use technology and information resources to research issues in international banking and finance.
• Write clearly and concisely about international banking and finance using proper writing mechanics.

Grading for this assignment will be based on answer quality, logic/organization of the paper, and language and writing skills, using the following rubric.