How does global operations management function it

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Discovering Computers ©2018: Digital Technology, Data, and Devices
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Chapter 12 / Exercise 24
Discovering Computers ©2018: Digital Technology, Data, and Devices
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1.How does global operations management function?
12
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Discovering Computers ©2018: Digital Technology, Data, and Devices
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Chapter 12 / Exercise 24
Discovering Computers ©2018: Digital Technology, Data, and Devices
Sebok/Vermaat
Expert Verified
2.What are the reasons why companies outsource and insource?
3.What are the advantages of global production?
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g.4.What are considerations for locating and relocating production facilities in givens scenarios?
5.How do the Internet and enterprise resource planning systems affect global supply chains?
a.Competency 3004.1.14: Global Financial Management (Chapter 14) 1.What are the foreign exchange risks that affect firms?
b.2.What are different approaches to hedge exchange rate risks?a.FUTURES CONTRACTS:i.standardized agrmts to buy or sell a specified amount of currency on a particular date in the future at a pre-determined priceii.similar to debt, equity and commodity futures contractsiii.buy agrees to take delivery of a set amt of the currency on the future date at the set price and is considered to be in the LONG POSITION b/c profits on increase in the currencyiv.seller agrees to make delivery of the currency according to terms and is in the SHORTPOSITION due to profiting on a decrease in the value of the currencyv.there are common rules (like, the 3rd Wed in Mar/Jun/Sep/Dec as expirations of contracts)vi.futures contracts are marked-to-market daily (gains/losses are recconciled @ close of trading, each day, by the exchange org and must be pd immediately)vii.contracts can be closed by byr or slr at any time prior to delivery dateviii.contracts can be purchased for small commitment fee known as the MARGINb.FORWARD CONTRACTS:i.

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