- •Chapter 3: The international financial marketplace key chapter concepts
- •Glossary of new terms
- •Financial challenge
- •Introduction
- •The global economy and multinational enterprises
- •Table 3—1
- •Table 3—1
- •Foreign currency markets and exchange rates
- •Direct and Indirect Quotes
- •Table 3 — 2 Spot Foreign Exchange Rates
- •Spot Rates
- •Forward Rates
- •Table 3 — 3. Forward Foreign Exchange Rates
- •Foreign Currency Futures
- •Table 3-4. Futures Contract Quotations
- •Foreign Currency Options
- •The Eurocurrency Market
- •Factors that affect exchange rates
- •Covered Interest Arbitrage and Interest Rate Parity
- •Purchasing Power Parity
- •Expectations Theory and Forward Exchange Rates
- •The International Fisher Effect
- •An Integrative Look at International Parity Relationships
- •Figure 3—1. International Parity Conditions: An Integrative Look
- •Forecasting future exchange rates
- •Using Forward Rates
- •Using Interest Rates
- •Foreign exchange risk
- •Transaction Exposure
- •Table 3-5. Example of Transaction Exchange Rate Risk
- •Economic Exposure
- •Translation Exposure
- •Table 3 – 6. Effect of a Decrease in the Exchange Rate on American Products' Balance Sheet
- •International finance and the practice of financial management
- •Ethical issues: payment of bribes abroad
- •Summary
- •Questions and topics for discussion
- •Self test problems
- •Problems
- •Solutions to self test problems
Table 3—1
World's 50 Largest Industrial Corporations—continues
|
|
|
SALES |
PROFITS |
ASSETS |
TOTAL STOCKHOLDERS' EQUITY |
EMPLOYEES |
||||||
1992 |
1991 |
|
$ MILLIONS |
% CHANGE FROM 1991 |
$ MILLIONS |
RANK* |
% CHANGE FROM 1991 |
$ MILLIONS |
RANK* |
$ MILLIONS |
RANK* |
NUMBER |
RANK* |
1 |
1 |
GENERAL MOTORS U.S. |
132,774.9 |
7.3 |
(23,498.3) |
500 |
|
191,012.8 |
2 |
6,225.6 |
68 |
750,000 |
1 |
2 |
3 |
EXXON U.S. |
103,547.0 |
0.3 |
4,770.0 |
3 |
(14.8) |
85,030.0 |
6 |
33,776.0 |
4 |
65,000 |
67 |
3 |
4 |
FORD MOTOR U.S. |
100,785.6 |
13.3 |
(7,385.0) |
494 |
— |
180,545.2 |
3 |
14,752.9 |
14 |
325,333 |
7 |
4 |
2 |
ROY\L DUTCH/SHELL GROUP BR1T./NETH |
98,935.3 |
(4.7) |
5,408.0 |
1 |
27.3 |
100,354.3 |
4 |
52,935.3 |
1 |
127,000 |
41 |
5 |
5 |
TOYOTA MOTOR JAPAN |
79,114.2 |
1.3 |
1,812.6 |
12 |
(42.4) |
76,131.8 |
8 |
37,490.1 |
2 |
108,167 |
54 |
6 |
7 |
IRI ITAIY |
67,547.4 |
5.4 |
(3,811.2) |
491 |
____ ' . |
N.A. |
|
N.A. |
|
400,000 |
3 |
7 |
6 |
INTL. BUSINESS MACHINES U.S. |
65,696.0 |
(0.5) |
(4,965.0) |
493 |
____ |
86,705.0 |
5 |
27,624.0 |
6 |
308,010 |
8 |
8 |
11 |
DAIMLER-BENZ GERMANY |
63,339.5 |
10.5 |
928.6 |
36 |
(17.8) |
53,209.9 |
13 |
11,416.3 |
24 |
376,467 |
4 |
9 |
8 |
GENERAL ELECTRIC U.S. |
62,202.0 |
3.3 |
4,725.0 |
4 |
79.2 |
192,876.0 |
1 |
23,459.0 |
8 |
268,000 |
12 |
10 |
9 |
HITACHI JAPAN |
61,465.5 |
3.1 |
619.3 |
59 |
(35.4) |
76,667.6 |
7 |
25,768.3 |
7 |
331,505 |
6 |
11 |
10 |
BRITISH PETROLEUM BRITAIN |
59,215.7 |
1.5 |
(808.4) |
476 |
(200.7) |
52,637.3 |
14 |
15,098.2 |
12 |
97,650 |
64 |
12 |
12 |
MATS USH ITA ELECTRIC INDUSTRIAL JAPAN |
57,180.8 - |
0.5 |
307.7 ' |
124 |
(69.1) |
75,645.1 |
9 |
30,057.6 |
5 |
252,075 |
14 |
13 |
13 |
MOBIL U.S. |
57,389.0 |
0.8 |
862.0 |
40 |
(55.1) |
40,561.0 |
24 |
16,540.0 |
10 |
63,700 |
100 |
14 |
17 |
VOLKSWAGEN GERMANY |
56,734.1 |
'-'-23.2 |
49.9 |
306 |
(92.5) |
46,480.2 |
20 |
8,356.5 |
43 |
274,103 |
11 |
15 |
18 |
SIEMENS GERMANY |
51,401.9 |
14.6 |
1,136.1 |
25 |
0.1 |
50,752.8 |
15 |
13,505.3 |
16 |
413,000 |
2 |
16 |
14 |
NISSAN MOTOR JAPAN |
50,247.5 |
2.8 |
(448.7) |
460 |
(159.0) |
62,978.5 |
10 |
15,086.0 |
13 |
143,754 |
31 |
17 |
15 |
PHILIP MORRIS U.S. |
50,157.0 |
4.3 |
4,939.0 |
2 |
64.3 |
50,014.0 |
16 |
12,563.0 |
18 |
161,000 |
25 |
18 |
19 |
SAMSUNG SOUTH KOREA |
49,559.6 |
11.5 |
374.2 |
105 |
7.7 |
48,030.8 |
19 |
6,430.8 |
66 |
188,558 |
19 |
19 |
16 |
FIAT ITALY |
47,928.7 |
2.4 |
446.8 |
84 |
(50.3) |
58,013.6 |
11 |
11,609.5 |
23 |
285,482 |
9 |
20 |
20 |
UNILEVER BRITAIN/ NETHERLANDS |
43,962.6 |
6.5 |
2,278.6 |
5 |
11.8 |
24,267.0 |
49 |
6,934.1 |
57 |
283,000 |
10 |
21 |
21 |
ENI ITALY |
40,365.5 |
(1.7) |
(767.1) |
473 |
(188.0) |
54,790.5 |
12 |
11,008.1 |
25 |
124,032 |
46 |
22 |
24 |
ELF AQUITAINE FRANCE |
39,717.8 |
7.0 |
1,166.4 |
23 |
(32.9) |
45,129.4 |
21 |
15,743.1 |
11 |
87,900 |
74 |
23 |
26 |
NESTLE SWITZERLAND |
39,057.9 |
9.8 |
1,916.9 |
9 |
11.3 |
30,336.3 |
39 |
8,891.5 |
40 |
218,005 |
15 |
, 24 |
25 |
CHEVRON U.S. |
38,523.0 |
4.7 |
1,569.0 |
15 |
21.3 |
33,970.0 |
34 |
13,728.0 |
15 |
49,245 |
143 |
25 |
27 |
TOSHIBA JAPAN |
37,471.6 |
5.7 |
164.7 |
200 |
(44.5) |
49,341.6 |
18 |
10,068.5 |
29 |
173,000 |
22 |