Multinational Business Finance
Renowned for its authoritative, comprehensive coverage of contemporary international finance, Multinational Business Finance trains the leaders of tomorrow's multinational enterprises to recognize and capitalize on the unique characteristics of global markets. Because the job of a manager is to make financial decisions that increase firm value, the authors have embedded real-world mini-cases throughout to apply chapter concepts to the types of situations managers of multinational firms face.
Table of Content
"Part I: Global Financial Environment
1. Multinational Financial Management: Challenges and Opportunities
2. The International Monetary System
3. The Balance of Payments
4. Financial Goals and Corporate Governance
Part II: Foreign Exchange Theory and Markets
5. The Foreign Exchange Market
6. International Parity Conditions
Appendix: An Algebraic Primer to Parity Conditions
7. Foreign Currency Futures and Options
Appendix: Foreign Currency Options Pricing Theory
8: Interest Rate Derivatives and Swaps
9. Exchange Rate Determination and Forecasting
Part III: Foreign Exchange Exposure
10. Transaction Exposure
Appendix: Complex Option Hedges
11. Translation Exposure
12. Operating Exposure
Part IV: Financing the Global Firm
13. The Global Cost and Availability of Capital
14. Raising Equity and Debt Globally
Appendix: Financial Structure of Foreign Subsidiaries
15. Multinational Tax Management
16. International Trade Finance
Part V: Foreign Investment Decisions
17. Foreign Direct Investment and Political Risk
18. Multinational Capital Budgeting and Cross-Border Acquisitions
Answers to select end-of-chapter questions
Chapters on currency derivatives-futures, options, and swaps-have been combined.
Chapters on translation exposure and operating (economic) exposure have been revised to capture the industry's growing interest and concern over these currency-based company exposures.
Chapters on the financial structures and capital sourcing strategies employed by multinational firms have been restructured and reorganized for a tighter presentation.
Nine chapter mini-cases explore the current global financial market's many challenges, including:
Crowdfunding in Kenya (Chapter 1)
Iceland's Financial Collapse and The Impossible Trinity (Chapter 2)
Global Remittances (Chapter 5)
KiKos (Knock-In & Knock-Out) Options and the South Korean Crisis (Chapter 7)
Argentina's Sovereign Debt and the Vulture Funds (Chapter 8)
Russia Ruble Roulette: Economic Sanctions and the Oil Price Collapse (Chapter 9)
China Noah: A Chinese Firm Managing Indonesian Rupiah Risk (Chapter 10)
Apple's Global iTax Strategy (Chapter 15)
Elan and Royalty Pharma: Discounted Cash Flow of Cross-Border Royalty Streams and M&A (Chapter 18)
A student-friendly writing style combined with a structured presentation of material, beginning with learning objectives for each chapter, and ending with a summarization of how those learning objectives were realized.
A wealth of illustrations and exhibits provide a visual parallel to the concepts and content presented.
A running case on a hypothetical U.S.-based firm, Trident Corporation, provides a cohesive framework for the multifaceted globalization process, and is reinforced in several end-of-chapter problems.