Multinational Corporate Finance

Course goals

Learning objectives

… in general:
At the end of the course the student is able to:

• demonstrate thorough knowledge of the multinational corporate finance theories and concepts
• identify problems and situations, as well as opportunities where the theories and concepts learned are applicable
• apply theories and concepts learnt to analyse and solve challenging corporate financial problems that multinational firms face in dynamic international environments

 
… more specifically:
At the end of the course, the student is able to:

• explain why MNCs exist
• identify the international financial markets that serve to MNCs
• do a valuation analysis of an MNC
• recognise why and how MNCs hedge, and the (derivatives) tools available
• measure and manage foreign exchange risk exposure of MNCs
• recognise how DFI decisions are taken
• make decisions on international financing
• make a country risk analysis before entering into a foreign market
• identify and manage interest rate and commodity risks through financial derivatives

Content

The main objective of this course is to provide students with a sound, yet applied understanding of theories and concepts of multinational corporate finance. The course offers an advanced and comprehensive discussion of theories on various strategic decisions that managers of multinational companies (MNCs) take. The major challenge that managers of MNCs encounter is the different types of risks that MNCs face due to doing business in dynamic international environments. Therefore, the course particularly focuses on managing certain types of risks; such as, foreign exchange rate risk, country risk, interest rate risk and commodity risk, in addition to mastering on how to undertake a foreign direct investment (FDI) in a complex, highly uncertain international environment.


In case online access is required for this course and you are not in the position to buy the access code, you are advised to contact the course coordinator for an alternative solution. Please note that access codes are not re-usable meaning that codes from second hand books do not work, as well as access codes from books with a different ISBN. Separate or spare codes are usually not available.