Suppose that competitor analysis reveals that the American subsidiary of your firm's German competitor is about to

Question:

Suppose that competitor analysis reveals that the American subsidiary of your firm's German competitor is about to broaden its product mix in the American market by introducing a new line against which your company has not previously had to compete in the home market. The environmental analysis shows that recent weakness in the dollar-euro is expected to continue, making American exports relatively less expensive in Germany. Do you recommend a defensive strategy, or do you attack your competitor in its home market? How will you implement your strategy?
Exchange Rate
The value of one currency for the purpose of conversion to another. Exchange Rate means on any day, for purposes of determining the Dollar Equivalent of any currency other than Dollars, the rate at which such currency may be exchanged into Dollars...