Multinational Financial Management (Essay Sample)

Multinational Financial Management Student’s Name University/College Based on Section 1A of Google’s Form 10K, three risk factors would face the company. The first is properties. It details information about Google’s properties such as servers, offices, and other physical properties. The company can deal with the risk of loss by ensuring these properties. It can also ensure that the servers are updated as a means to improve their functionality and efficient. The second is competition. It can lead to a decrease in revenues if the company is not competitive. Finally, legal proceedings are also a risk in Section 1A CITATION SEC15 \l 1033 (SEC, 2015). It entails lawsuits that can be an issue for the company, and could lead to losses. For instance, the company is undergoing legal proceeding due to its uncompetitive practices. It would be a risk to its operations. The firm’s financial result has been affected by foreign currency adjustments, especially at a period when countries are trying to formulate new policies to overcome the devastating effects of the recession. The effect arises from foreign currency exchange risks. Considering that the company is a multinational corporation with operations in many countries, its finances have to consider the exchange rates that often varies. However, these adjustments shave not been significant as the foreign exchange rates have often been stable. The adjustments occurred to ensure that the Form 10K filing accommodates changes in currency. The adjustment is a...