Purchase Solution

Direct Foreign Investments

Not what you're looking for?

Ask Custom Question

Please help with the following problem involving international business strategy. Include references.

Identify and analyze risks in domestic capital budgeting: business risk, political risk, and financial risk

Purchase this Solution

Solution Summary

This explanation provides you a comprehensive argument relating to direct foreign investments. It discusses the risks in domestic capital budgeting, business risk, political risk and financial risk. The explanation is given in 277 words. References are included in the answer.

Solution Preview

Risks in Direct Foreign Investments and Global Finance in the future

Identify and analyze risks in domestic capital budgeting: business risk, political risk, and financial risk
In case of domestic capital budgeting, the riskiness of cash flows has to be identified and evaluated to determine the discount rate. Then the NPV is determined by discounting the cash flows at the appropriate discount rate.

The business risk in the domestic market is largely determined by the change in demand for the product or ...

Solution provided by:
Education
  • BSc , University of Calcutta
  • MBA, Eastern Institute for Integrated Learning in Management
Recent Feedback
  • "I read your comments, and thank you for this feedback. Do I need to find other studies that applied this methodology Ive used? That's where I'm stuck at."
  • "Thank you kindly sir. "
  • "Excellent and well explained. --Thank you kindly. "
  • "Awesome notes. I appreciate you."
  • "I have the follow-up project and I will assign that to you very soon. "
Purchase this Solution


Free BrainMass Quizzes
Academic Reading and Writing: Critical Thinking

Importance of Critical Thinking

Marketing Management Philosophies Quiz

A test on how well a student understands the basic assumptions of marketers on buyers that will form a basis of their marketing strategies.

Production and cost theory

Understanding production and cost phenomena will permit firms to make wise decisions concerning output volume.

Accounting: Statement of Cash flows

This quiz tests your knowledge of the components of the statements of cash flows and the methods used to determine cash flows.

Employee Orientation

Test your knowledge of employee orientation with this fun and informative quiz. This quiz is meant for beginner and advanced students as well as professionals already working in the HR field.