An MNE Has a Contract for a Relatively Predictable Long-Term

question 2

Multiple Choice

An MNE has a contract for a relatively predictable long-term inflow of Japanese yen that the firm chooses to hedge by seeking out potential suppliers in Japan. This hedging strategy is referred to as:

• A) a natural hedge.
• B) currency-switching.
• C) matching.
• D) diversification.

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Definitions:

Cognitive-Behavioural Approach

is a psychotherapeutic treatment that helps patients understand the thoughts and feelings that influence behaviors, focusing on solving current problems and changing unhelpful thinking and behavior.

Psychodynamic Approaches

Psychological theories and therapies that focus on unconscious processes and childhood experiences.

Subjective Experiences

Personal, individual perceptions or feelings that cannot be objectively measured.

Unconscious Processes

Mental processes that occur without the individual's conscious awareness, influencing perceptions, feelings, thoughts, and behaviors.