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International Finance Video Lecture | Business Studies (BST) Class 11 - Commerce

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FAQs on International Finance Video Lecture - Business Studies (BST) Class 11 - Commerce

1. What is international finance commerce?
Ans. International finance commerce refers to the financial activities and transactions that take place between countries. It involves the exchange of currencies, international trade, cross-border investments, and international capital flows.
2. What are the benefits of international finance commerce?
Ans. International finance commerce brings several benefits, including increased economic growth, job creation, access to new markets and resources, diversification of risks, technological advancements, and the promotion of global cooperation and stability.
3. How does international finance commerce impact exchange rates?
Ans. International finance commerce has a significant impact on exchange rates. Factors such as trade imbalances, interest rates, inflation rates, political stability, and market sentiments influence exchange rates. Fluctuations in exchange rates can affect the competitiveness of exports and imports, profitability of international investments, and the cost of borrowing in different currencies.
4. What are the challenges faced in international finance commerce?
Ans. International finance commerce poses several challenges, including currency fluctuations, political and economic instability in different countries, regulatory complexities, trade barriers, protectionism, financial crises, and the risk of fraud and corruption. These challenges require careful risk management and strategic decision-making by businesses and policymakers.
5. How can individuals and businesses participate in international finance commerce?
Ans. Individuals and businesses can participate in international finance commerce through various means. They can engage in exporting and importing goods and services, invest in foreign markets, engage in foreign direct investment, participate in international capital markets, use foreign exchange markets for currency transactions, and collaborate with international organizations and institutions for financing and support. It is important to consider factors such as market research, risk assessment, legal and regulatory compliance, and financial management when participating in international finance commerce.
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