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Diversification Is Possibly the Best Technique for Reducing the Problems

question 43

Essay

Diversification is possibly the best technique for reducing the problems associated with international transactions. Provide one example each of international financial diversification and international operational diversification and explain how the action reduces risk.


Definitions:

Dual-Income

Pertaining to households in which two adults contribute financially through employment.

Cohabit

To live together and share a living space, often in a domestic partnership, without being married.

Nuclear Family

A family unit consisting of two parents and their children, regarded as a basic social unit.

Family Sitcoms

Television programs that focus on comedic situations and stories revolving around family life.

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