what plan might you propose to reduce or eliminate their use? Discuss the economic impacts of implementing your plan versus the financial impacts of making no change in our current use.
September 4, 2018
Based on the description in the article Making Asian American Women Visible: The Joy Luck Club, what influence might Tan’s novel, and similar artifacts, have on broader American culture? Can you think of another artifact that has had a similar impact?
September 4, 2018

Determine the political, economic, social, and capital risks associated with doing business in China. What are the most important factors to consider? Why?

While there are many factors that lead to an organization’s success or failure, it is important to identify the risk associated with the endeavor—financial or nonfinancial. Once the risks have been identified, management has a responsibility to develop measures to mitigate those risks.

Tasks:

Use the publicly-traded company you chose,  Dow DuPont Company   and imagine it has made a strategic decision to start doing business in China. Using the discussion, Currency Exchange Rates: A Case in China with Country Risk, (Chapter 7, Global Finance, page 192 of your textbook) as a model for the report you will write, prepare a report in which you:

  1. Develop a brief country risk assessment.
  2. Determine the political, economic, social, and capital risks associated with doing business in China. What are the most important factors to consider? Why?
  3. After years of keeping the Yuan pegged to the US dollar, in 2015 the Chinese  allowed it to float freely in international currency exchange rate markets. You may read more about the Yuan reforms here. Many economists believe that keeping the Yuan pegged to the US dollar has caused it to be undervalued by 30 to 50 percent. Discuss what impact a revaluation of the Yuan might have on US multinationals doing business there, on China’s exports, and on Chinese citizens’ standard of living. What impact would a revaluation have on Chinese inflation and on purchasing power parity? Explain.

    Your paper should be about 2,000 words.

Submission Details:

  • By the due date assigned, save your paper as M5_A1_lastname_firstinitial.doc and submit it to the Submissions Area.

This LASA is worth 300 points and will be graded according to the following rubric

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