MANAGEMENT OF FOREIGN EXCHANGE EXPOSURE IN SELECTED MNC'S IN INDIA

Growth in foreign trade of a country strongly influences the country's GDP. Trade includes export and import operations of the country in both manufacturing and services sectors. Trade also has larger impact on the firm's performance. The firm specific foreign exchange exposure was estimated using the new proposed regressed model by Sue 2016. The estimated results show significant magnitude of foreign exchange exposure in all the firms. The awareness levels of internal or natural hedging and external or derivative techniques were competent. The awareness levels were high on techniques like leading & lagging and matching payments and receipts techniques. In the derivative technique awareness was high for forward instrument. The awareness on hedging techniques was directly related to the cause of foreign exchange exposure. A model was proposed using MCDM technique for best decision making for exposure management. Firm specific situation was obtained using AHP, TOPSIS and COPRAS method.

Autorentext

Dr.Iswarya Sriram MBA.,Ph.D is passionate researcher and analyst in the domains of finance and marketing. Dr.S.Preetha, MBA,Mphil,NET,Ph.D- serving as Professor & Director, Industry Collaborations, VISTAS, Chennai. Four doctoral candidates have earned their Ph.Ds under her guidance. She has nearly 42 research publications to her credit.

Klappentext

Growth in foreign trade of a country strongly influences the country's GDP. Trade includes export and import operations of the country in both manufacturing and services sectors. Trade also has larger impact on the firm's performance. The firm specific foreign exchange exposure was estimated using the new proposed regressed model by Sue 2016. The estimated results show significant magnitude of foreign exchange exposure in all the firms. The awareness levels of internal or natural hedging and external or derivative techniques were competent. The awareness levels were high on techniques like leading & lagging and matching payments and receipts techniques. In the derivative technique awareness was high for forward instrument. The awareness on hedging techniques was directly related to the cause of foreign exchange exposure. A model was proposed using MCDM technique for best decision making for exposure management. Firm specific situation was obtained using AHP, TOPSIS and COPRAS method.