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liyjb2

  • 2 years ago

What factors does a German company need to consider when deciding how to finance an operating subsidiary in the USA??

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  1. KIPAIE
    • 2 years ago
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    Sorry, this will be quick because I have to run out, at any rate, you have to read the question from a risk perspective, think "exchange rate risk" (the dollar has strengthened against the Euro during the past year, "country risk" (although the US is perceived to be a safe have/investment), "political risk" (fiscal cliff), and possibly operational risk. We live in a risk averse world, every decision you make business wise think risk first, what's at stake here? Hope this helps!!!

  2. KIPAIE
    • 2 years ago
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    *Safe haven...

  3. Hayek
    • 2 years ago
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    The systemic or market risk it´s also important, because you need to consider the business cycle of the industry, so the operational financing requierements could be planned according all the risk factors.

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