An in-depth treatment of the international financial arenaMultinational Finance, Fifth Editionassumes the viewpoint of the financial manager of a multinational corporation with investment or ...financial operations in more than one country. This book provides a framework for evaluating the many opportunities, costs, and risks of multinational operations in a manner that allows readers to see beyond the math and terminology surrounding this field to realize the general principles of multinational financial management.Logically organized and written in a clear, non-technical style, this book includes information on international finance topics such as foreign exchange, currency and derivatives markets, currency risk (transaction, operating, and translation) management, country risk, international taxation, capital structure, cost of capital, and international portfolio diversification. It also offers unique chapters on multinational treasury management, the rationale for hedging currency risks, options on real assets, international corporate governance, asset pricing, and portfolio management.Emphasizes the managerial aspects of multinational finance with graphs, figures, and the use of numerous real-world examplesExpands on the treatment of parity disequilibria to include exchange rate expectations that differ from parity and a project's operating exposure to currency riskProvides an overview and comparison of the various derivative instruments and their use in risk hedgingContains valuable insights on valuation and management of a multinational corporation's investmentsIf you're looking for the best way to gain a firm understanding of multinational finance, look no further than the fifth edition of this classic text.
"Targeted therapy" or "precision medicine" is a therapeutic strategy launched over two decades ago. It relies on drugs that inhibit key molecular mechanisms/pathways or genetic/epigenetic alterations ...that promote different cancer hallmarks. Many clinical trials, sponsored by multinational drug companies, have been carried out. During this time, research has increasingly uncovered the complexity of advanced breast cancer disease. Despite high expectations, patients have seen limited benefits from these clinical trials. Commonly, only a minority of trials are successful, and the few approved drugs are costly. The spread of this expensive therapeutic strategy has constrained the resources available for alternative research. Meanwhile, due to the high cost/benefit ratio, other therapeutic strategies have been proposed by researchers over time, though they are often not pursued due to a focus on precision medicine. Notable among these are drug repurposing and counteracting micrometastatic disease. The former provides an obvious answer to expensive targeted therapies, while the latter represents a new field to which efforts have recently been devoted, offering a "way beyond" the current research.
The entry mode decision is a critical topic in international business. Several studies have tested the antecedents of entry mode choices and compared the outcomes after entry. However, the results ...reported in these studies are contradictory and difficult to explain. Furthermore, the reviews using qualitative approaches cannot statistically combine empirical results and fail to fully discuss these relationships. Additionally, the mediating effects remain unexamined in the existing studies. Drawing upon transaction cost economics and the resource-based view, this paper presents a meta-analysis that combines entry mode choices, antecedents and post-entry outcomes to address these issues. This meta-analysis is based on 1499 effect sizes from 230 published empirical studies. This study focuses on 15 antecedents as well as post-entry performance and survival of entry mode choices. In addition to bivariate relationships (i.e. how a single antecedent affects entry mode choices), the paper uses meta-analytic structural equation modelling to analyse the mediating effects of entry mode choices on the antecedent - outcome relationship.
Although foreign multinational enterprises (MNEs) often collaborate with firms in emerging markets to help execute capacity expansion projects, the current literature does not adequately explain what ...factors influence execution performance of such projects. Drawing on the cultural difference- and partner selection literature we investigate in this paper how cultural distance (CD) between MNE’s home and host nation, and business-group (BG)-affiliation of host country partner influence duration and completion-likelihood of capacity expansion projects. Our analysis reveals that high CD is associated with lower project-duration and greater likelihood of project-completion. Results further suggest that BG-affiliation is associated with greater likelihood of project-completion. In addition, we find that BG-affiliation negatively moderates the relationship between CD and project-duration. These findings are new to the literature and enhances our theoretical and practical understanding of project execution in emerging markets.
•A foresight-based policy toolbox for the upgrade of the EU industry in Global Value Chains in R&D and Innovation is discussed on an empirical basis. It emphasizes four options of combined new ...foresight-based instruments which move beyond the current European, national, regional and sectoral policy instruments.•In a world economy that has changed significantly by complexity and accelerating innovation, innovation and foresight labs and innovation cultures have a highly experimental but also game changer character in highly innovative companies. The same is necessary for an ambitious policy to upgrade the EUs R&D&I capabilities.•The foresight-based policy tool box approach helps regions to develop systematically in new fields of innovation and industry which are appropriate for the region's innovation ecosystem and their stakeholders.•The approach matches very well with the new innovation labs which are currently extremely popular in companies highly active in R&D&I.
In this paper, we discuss new anticipation-based policy instruments to improve the attractiveness of Europe for innovative activities in a world of accelerating innovation. The case studies and interviews with company representatives which we collected in relation to developments in Global Value Chains (GVC) show a high level of interest in these new anticipatory policy instruments. Since the companies analysed are active in different sectors and Research and Development and Innovation (R&D&I) Global Value Chains, we suggest that the policy instruments and options discussed be linked with current and future sectoral initiatives organised within the framework of the Smart Specialisation Strategy. This gives numerous established and new stakeholders from business, politics, science and society across Member States, regions and cities, and from outside the EU, the chance to develop bright ideas for new products, services, processes and employment, and to work in a well-structured and open-minded environment. In addition, this participatory, foresight-based approach helps regions to approach their development systematically in new fields of innovation and industry which are appropriate for the region's innovation ecosystem and for their stakeholders. This approach fits very well with the new innovation and foresight labs which are currently extremely popular in companies highly active in R&D&I. These labs have a highly experimental character and lots potential for game-changing innovations. The same approach might be necessary for an ambitious policy to upgrade European industry and R&D&I capabilities in order to tap into transnational corporations' GVCs by creating a process for engaging, anticipating, assessing and responding on an ongoing basis.
Outward foreign direct investments from innovative Chinese firms pose challenges to American stakeholders regarding how to balance economic gains and nationalistic sentiment. Relying on the ...stakeholder management framework, we analyze the dual nature of American economic stakeholders’ sentiments towards innovative Chinese firms. Both positive and negative sentiments increase as Chinese companies’ innovative capability improves. While stakeholders in conservative-leaning states may temper their positive sentiment, their negative sentiment is mainly directed at Chinese state-owned companies. Our findings help to gain particular insight into the complex nature of stakeholder sentiment, a key element shaping multinational companies’ operating environment.
In recent years, corporate social responsibility (CSR) of Multinational Corporations (MNCs) in developing countries has received more attention. However, in this literature, Africa is much less well ...represented than other regions, and existing studies about Africa have mainly focused on South Africa and Nigeria. This focus has resulted in scant research on other African countries where MNCs are located as well, and where their presence is notable. Settings largely unexplored include conflict-ridden areas in Central Africa where a limited number of usually large MNCs can potentially have a large impact on the local situation and play a role in addressing the huge problems with which these countries are confronted. Moreover, the MNCs themselves face large CSR dilemmas, related to the contribution they can (or cannot) give in the different setting compared to their home countries as well as their attitude vis-a-vis ongoing conflicts. In order to help shed light on these issues, this article explores how MNCs report on CSR and conflict in three Central African countries (Angola, Democratic Republic of the Congo, and Republic of the Congo). Our analysis of company information reveals that opportunities are widely seen and that most MNCs report on their economic and social impacts. However, CSR reporting is fairly generic, and the specific context seems to bear little influence on the type of CSR activities. The conflict dimension also receives limited attention, although some companies show awareness and outline the limitations of their power and the dilemmas inherent to their presence in these countries. The potential for MNCs' involvement in (co)creating sustainable economies is recognised, and needs further research attention in the coming years.
This paper established a novel approach for developing simplified yet accurate models using artificial neural networks (ANNs) in industrial environments. It demonstrates that combining nonlinear ...regression with neural network modeling enhances predictive accuracy while maintaining the inherent simplicity of ANNs. Industrial sectors are increasingly adopting environmentally friendly practices, driven by the recognition that sustainable initiatives can lead to significant and lasting financial benefits rather than merely a sense of ecological duty. Integrating energy efficiency practices offers potential advantages in waste reduction and resource conservation, which can decrease operating expenses over time. This contributes significantly to pollution mitigation by reducing overall energy consumption cost‐effectively. Numerical simulations based on experimental results validate the proposed method, addressing the complexity and accuracy challenges in business models within the energy sector.
In this paper, we draw on the notions of breadth and depth of internationalization speed in an attempt to examine the performance implications for multinational enterprises (MNEs) that rapidly and ...concurrently internationalize in new and existing foreign markets. Specifically, we examine the organizational paradox which suggests that firms which grow internationally by concurrently expanding rapidly in both new foreign markets (breadth) and in foreign markets they currently operate (depth), are better off than firms which do not adopt such an approach. Since past research has not examined the interaction between the breadth and depth of MNE internationalization speed on firm performance, we contribute to the temporal dimension of the internationalization process by developing a novel, yet paradoxical approach. Our analysis is based on a longitudinal sample of the world’s largest retail MNEs covering the period 2003–2012, which includes the 2008 financial crisis that had a significant effect on the global economy. We find that concurrent internationalization speed positively relates to firm performance during periods of stability. Further, we draw from the upper-echelons theory and find that the aforementioned relationship can be strengthened by the level of CEO international experience and CEO education.
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