《国际财务管理 微型案例》由会员分享，可在线阅读，更多相关《国际财务管理 微型案例（7页珍藏版）》请在金锄头文库上搜索。
1、 国际财务管理 微型案例 - 1 - Capital Crystal Inc. Using Currency Futures and Options Capital Crystal Inc. is a major importer of Crystal from Germany. The crystal is sold to prestigious retail stores throughout the U.S. The imports are denominated in German marks (DM). Every quarter, Capital needs DM 500 mill
2、ion. It is presently attempting to determine whether it should use currency futures or currency options to hedge imports three months from now. If it will hedge at all. The spot rate of the mark is $.60. A three-month futures contract on the mark is available for $.59 per unit. A call option on the
3、mark is available with a three-month expiration date and an exercise price of $.60. The premium to be paid on the call option is $.01 per unit. Capital is very confident that the value of the mark will rise to at least $.62 in three months. It has been very accurate in its previous forecasts of the
4、marks value. The management style of Capital is very risk-averse. Managers receive a bonus at the end of the year if they satisfy minimal performance standards. The bonus is fixed, regardless of how high above the minimum level ones performance is. If performance is below the minimum, there is no bo
5、nus, and future advancement within the company is unlikely. a) As a financial manager of Capital, you have been assigned the task of choosing among three possible strategies: (1) hedge the DM position by purchasing futures, (2) hedge the DM position by purchasing call options, or (3) do not hedge. O
6、ffer your recommendation and justify it. b) Assume the previous information that was provided, except for this difference: Capital has revised its forecast of the mark to be worth $.57 three months from now. Given this revision, recommend whether Capital should (1) hedge the DM position by purchasin
7、g futures, (2) hedge the DM position by purchasing call options, or (3) not hedge. Justify your recommendation. Is your recommendation consistent with maximizing shareholder wealth? 国际财务管理 微型案例 - 2 - CORPORATE DILEMMA 1. ? Monitoring the Pesos Value Viacoms Blockbuster Entertainment Group has been v
8、ery successful in its growth of video stores throughout the U.S. in recent years, it has developed a network of stores in various foreign countries. One of its more recent targets is Mexico, where it has plants to establish a major presence. Mexico tends to have much higher inflation than the U.S. a
9、nd also much higher interest rates than the U.S. The inflation and interest rates are much more volatile in Mexico than in industrialized countries. The value of the Mexican peso is typically more volatile than the currencies of industrialized countries from a U.S. perspective; it has typically depr
10、eciated from one year to the next but the degree of depreciation has varied substantially. The bid/ask spread tends to be wider for the peso than currencies in industrialized countries. Since Blockbuster Entertainment Group is planning substantial business operations in Mexico, it needs to recognize
11、 how various factors affected the pesos value in the past and how they are likely to affect the pesos value in the future. 1. Identify the most obvious economic reason for the persistent depreciation in the value of the peso. 2. High interest rates are commonly expected to strengthen a countrys curr
12、ency because they can encourage foreign investment in securities in that country, which results in the exchange of other currencies for that currency. Yet, the pesos value has declined against the dollar over most years event though the Mexican interest rates are typically much higher than the U.S.
13、interest rates. Thus, it appears that the high Mexican interest rates do not attract substantial U.S. investment in Mexicos securities. Why do you think U.S. investors do not try to capitalize on the high interest rates in Mexico? 3. Why do you think the bid/ask spread is higher for pesos than for c
14、urrencies of industrialized countries? How does this affect a U.S. from such as Blockbuster that does substantial business in Mexico? 2. ? Wal-marts Use of International Financial Markets Wal-Mart (based in Bentonville, Arkansas) is known for its successful retail outlets that are now scattered thro
15、ughout the United States. Recently it established two retail outlets in the city of shanzen, China, which has a population of 3.7 million. These outlets are massive and contain products purchased locally as well as imports. Wal-mart priced its products 3% to 5% lower than products sold at other outl
16、ets in Shanzen. As Wal-Mart generates earnings beyond what it needs in Shanzen, it may remit those earnings back to the United States. Wal-Mart is likely to build additional outlets in Shanzen or in other cities in the future. 1. Explain how the Wal-Mat outlets in China would use the spot market in foreign exchange. 2. Explain how Wal-Marts parent may utilize the Eurocurrency market when it is establishing other Wal-Mart
