A multinational corporation is subject to foreign exchange exposures. Exposures are the result of foreign exchange rates changing. Based on the three types of exposures mentioned in the textbook,(The three types of foreign exchange exposures are transaction exposure, translation exposure, and operating exposure) which financial instruments would you recommend for the multinational corporation you are advising in your final project? Why? Make sure to indicate which multinational corporation you selected.
This discussion will help you with the risk mitigation section of the final project.
In response to your peers, support or respectfully challenge their evaluations of the techniques a multinational company uses to reduce foreign exchange exposures. Discuss similarities and differences in your approaches.