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Explain how a \"rising\" American dollar will affect (a) an American company whi

ID: 1255946 • Letter: E

Question

Explain how a "rising" American dollar will affect

(a) an American company which imports cashews; and

(b) an American company which exports apples.

True/False

3. Since the “meltdown” of 2008, many large companies (such as IBM) have issued more debt (corporate bonds) and used the proceeds for research and development to develop new products/product lines.

4. “Maytag” and “Schlitz” are companies which demonstrate that “brand loyalty” are more important than “retaining quality” (of the product) in retaining present and future customer sales.    

5. A good argument can be made that the demise of once-giant retailers such as Sears and K-Mart was a result of poor strategy formulation.

6. Effective strategy evaluation is unrelated to the use of accurate metrics

Explanation / Answer

If american dollor is rising, it means that to buy an american dollor , one has to incur more money so

If america will import they have to pay less money in dollor , which is very good for them as they are getting things cheap.which is sometimes less than what they have to incur if they are going to produce it.

If they will export any product then the other country currency will come to there place but which doesnot have significant effect as dollor is rising . The foreign currency for sure gives america an advantage over others

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