The differences’ influence of currency rate of exchange on the multinational companies’ results

Alina Fleşer
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Alina Fleşer: University of Petroşani, Romania

Annals of the University of Petrosani, Economics, 2002, vol. 2, 82-86

Abstract: The performance criteria imposed by the advanced countries follow selecting projects and increase of long term benefits of foreign investments. Sometimes governments offer facilities along with some performance criteria: the minimal volume of the investment, the export of a part of the production, the transfer of a certain technology or investment into a certain sector, creating a number of work places, thus underlining the benefits that mixed and multinational companies bring to local economy by fulfilling these criteria. The present work wants to put into evidence one of the problems that mixed and multinational companies deal with, companies that have import activities, companies that use Euro/ Usd as their cash flow. I must remind here the losses caused by the exchange differences and their impact over the financial and exploitation results, respectively over the profit of the company.

Keywords: currency rate of exchange; inflation; investment (search for similar items in EconPapers)
Date: 2002
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