Business A-Level
political and exchange rate risk
What political and exchange rate risk means in Business A-Level, as defined for AQA.
Definition of political and exchange rate risk
Check what you remember
Read the wording for your board, then hide it and explain political and exchange rate risk in your own words. Rough notes are fine. This is a self-check, with no mark or grade.
Reference: AQA
Risks on the list of criteria, where a depreciation in the host currency cuts the sterling value of every future cash inflow.
Topics that use political and exchange rate risk
- Assessing globalisation and internationalisation (AQA A-Level)
Related terms
- competitive rivalry
- contribution per unit
- cultural distance
- Economies of scale
- emerging economy
- exchange rate movements
- falling transport and communication costs
- franchising
Using political and exchange rate risk in the exam
Check the command word and mark scheme for your exact question. After comparing your explanation with the reference, use the term in an answer on the linked topic. This practice does not predict an exam mark.
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