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CIPS Commercial Negotiation L4M5 Question # 17 Topic 2 Discussion

CIPS Commercial Negotiation L4M5 Question # 17 Topic 2 Discussion

L4M5 Exam Topic 2 Question 17 Discussion:
Question #: 17
Topic #: 2

John Browne, a junior buyer for a corporation, is analyzing the global supply market before undertaking negotiations and is wondering whether foreign exchange rates are important to factor into his research. Should John consider the foreign exchange rates?


A.

No, as they only affect the bank's interest rates for loans


B.

Yes, only if the organization can handle foreign currencies in their accounts


C.

Yes, as they can affect profit and turnover


D.

No, exchange rates only apply to the national economy


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