
additionally , in terms of income , the GDP per capita amounts to 31 ,900 (2005 est ) and granted the scattering of income in developed countries , we can assume that the level of income is clean high to sustain a argument much(prenominal) as selling skateboardsAll these elements mentioned here would sustain the idea that the Australian market would be a good market to increase the business into given its large potential , stable economical and political system etcIn terms of risks to be considered , we should first of all mention the financial risks associated with such an international expansion . The trouble is that the skateboards interchange onto the Australian market are sold in the topical anaesthetic currency (Australian dollar ) and this is subject to fluctuations in value gibe to the pressures in the international currency markets . If the Australian Dollar go outing devalue as compared to the US Doll ar , the net gains for the companionship , in absolute terms , will decrease . This is as well cor think with the fact that the guild s production be are all associated with the US DollarIn this sense , we may pop the question hedgerow as the best regularity to reduce currency risks of the character reference previously draw . Hedging would mean investing in coming(prenominal) contracts on the market so as to remainder the risk of a devaluation of the Australian Dollar . In this cross case , this would mean buying US Dollar future contractsOther operational costs we get hold of to consider are related to problems such as shipping cost and inventory costs . In to minimize these we suggest a information system that would be able to coordinate all these different elements and to sustain the efficiency of the supply...If you want to get a full essay, come in it on our website: OrderCustomPaper.com
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