Research Methods for Business Assignment Example | Topics and Well Written Essays - 2250 words - 1

Research Methods for Business - Assignment Example Apart from this based on the study, it has been recognized that during the global trade, companies are facing several kind of risks from the global market place, which may be in terms of political aspects, economical aspects and commercial aspects. USASuperCars has been selling luxury sports cars. The company has developed a contractual agreement for selling cars to customers on a global context. In this respect, the intention of the article is to highlight information relating to foreign exchange along with the concept of global trade. Moreover, the study identifies the role of the bank in the sphere of exchange rate policy. At the same time, the involvement of risks in the foreign trade has been also discussed. In this assignment, selling prices of the USASuperCars has been given below along with the name of the countries. Thus, the aim of this assignment is to identify the consequences according to the situation given in the case. At the same time, involvement and occurrences of bank in case of foreign trade has been demonstrated through the study. In order to identify the probability of exceeding the revenue $ 2,200,000, it can be ascertained that if the company USASuperCars will incur loss approximately around (17%) due to foreign exchange and for other reasons such as distribution purpose, even then the company will definitely be able to ensure a revenue approximately $2,200,000 or more. Rationally, the cost of cars is found to be recorded as $2207607.45, which signifies that during the global trade if the company will perform their trade operation with a loss of 17%, instead of that the company will able to earn a revenue around at least $ 2,200,000. Thus, it can be claimed that the probability is high of exceeding the revenue level $2,200,000 (Niepmann & Schmidt-Eisenlohr, 2014; Economy watch, 2010). In order to identify the probability of exceeding the revenue $2,225,000, it can be claimed that