A Canadian Developer of Software for Automated Coal Mining Equipment

question 57

Essay

A Canadian developer of software for automated coal mining equipment has been approached by a Russian mining conglomerate with an offer to cooperate on adapting the software to the Russian market.If the Canadian company agreed to work with the Russian company,they would have to reveal the software's source code (the source code is the key to software and is used to protect proprietary technology).
What are the "cons" of entering such an agreement?

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Definitions:

Face Value

The nominal or dollar value printed on a security, such as a bond or stock, representing its official worth at issuance.

Nominal Discount Rate

The discount rate that has not been adjusted for inflation, representing the percentage reduction in present value compared to future value.

Inflation Rate

The percentage increase in the general level of prices for goods and services over a period, typically measured on an annual basis.

Real Dollars

Real dollars refer to the value of money after accounting for inflation, indicating the actual purchasing power of money.