Page 4 - Demo

%u062c%u0645%u064a%u0639 %u0627%u0644%u062d%u0642%u0648%u0642 %u0645%u062d%u0641%u0648%u0638%u0629 %u0640 %u0627%u0625%u0644%u0639%u062a%u062f%u0627%u0621 %u0639%u0649%u0644 %u062d%u0642 %u0627%u0645%u0644%u0624%u0644%u0641 4 %u0628%u0627%u0644%u0646%u0633%u062e %u0623%u0648 %u0627%u0644%u0637%u0628%u0627%u0639%u0629 %u064a%u0639%u0631%u0636 %u0641%u0627%u0639%u0644%u0647 %u0644%u0644%u0645%u0633%u0627%u0626%u0644%u0629 %u0627%u0644%u0642%u0627%u0646%u0648%u0646%u064a%u06292- Political RiskInternational corporations are exposed to different economic and political environments. The international corporation is exposed to different tax laws and regulations. The foreign governments have the right to regulate the movement of goods, capital, and people across their borders in ways for international corporations. When going international, the challenges are new and unfamiliar for international corporations. These obstacles are becoming crucial in the everyday work of international corporations. Culture is one of the most significant obstacles that can affect the entire co-operation.3. Market ImperfectionsMany barriers prevent the free movement of people, goods, services, and capital across countries. These barriers are legal restrictions, excessive transactions, transportation costs, and taxation. The world markets are highly imperfect. These imperfections prevent markets from motivating MNCs to locate production overseas. Imperfections in the world financial market tend to restrict investors from diversifying their portfolios1.3- Expanded Opportunity SetInvestment opportunities - The marginal return on projects for a Multinational company MNC is above that of a purely domestic firm because of the expanded opportunity set of possible projects from which to select.Financing opportunities - An MNC is also able to obtain capital funding at a lower cost due to its larger opportunity set of funding sources around the world.Goals for International Financial Management%uf0b7 Maximize Shareholder Wealth%uf0b7 Long is accepted as a goal in countries, but complications arise. Who are and where are the shareholders? And in what currency should the international company maximize its wealth?%uf0b7 Other Goals%uf0b7 In Many countries, shareholders are viewed as merely one among many%u201cstakeholders%u201d of the firm, including: Employees, Suppliers, Customers.1 - Principles of international Finance, Nicholas Sunday, Feb 2013.