学位英语

Financial Risks

Several types of financial risk are encountered in international marketing; the major problems include commercial, political, and foreign exchange risk.

Commercial risks are handled essentially as normal credit risks encountered in day-to-day business. They include solvency, default, or refusal to pay bills. The major risk,__1__ which can only be dealt with through consistently effective management and marketing. One unique risk encountered by the international marketer involves financial adjustments. Such risk is encountered when a controversy arises about the quality of goods delivered, a dispute over contract terms, or__2__. One company, for example, shipped several hundred tons of dehydrated potatoes to a distributor in Germany. The distributor tested the shipment and declared it to be below acceptable taste and texture standards. The alternatives for the exporter were reducing the price, reselling the potatoes, or shipping them home again, each involving considerable cost.

Political risk relates to the problems of war or revolution, currency inconvertibility, expropriation or expulsion, and restriction or cancellation of import licenses. Political risk is an environmental concern for all businesses. Management information systems and effective decision-making processes are the best defenses against political risk. As many companies have discovered, sometimes there is no way to avoid political risk,__3__.

Exchange-rate fluctuations inevitably cause problems, but for many years, most firms could take protective action to minimize their unfavorable effects. Floating exchange rates of the world's major currencies have forced all marketers __4__. International Business Machine Corporation, for example, reported that exchange losses resulted in a dramatic 21.6 percent drop in their earnings in the third quarter of 1981. __5__, devaluations of major currencies were infrequent and usually could be anticipated, but exchange-rate fluctuations in the float system are daily affairs.

Exercise:

A to be especially aware of exchange-rate fluctuations and the need to compensate for them in their financial planning

B any other disagreement over which payment is withheld

C however, is competition

D so marketers must be prepared to assume them or give up doing business in a particular market

E Before rates were permitted to float

F After serious consideration

参考答案：C 、B 、D 、A、 E

编辑推荐：

2015年职称英语卫生类c级补全短文指导练习题汇总

2015年职称英语卫生类c级概括大意指导练习题汇总

2014年职称英语考试真题汇总

2014年职称英语考试成绩查询时间汇总

2015年职称英语考试网络辅导热招中……

更多关注：职称英语教材 职称英语考后真题点评 职称英语零基础通关

（责任编辑：vstara）

共2页,当前第1页  第一页  前一页  下一页