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In what ways Multi National Corporation (MNC) different from other companies? Explain with an example.

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i. Domestic companies tend to restrict their operations to the country of origin, while multinational corporations operate in more than two countries. Ex- Infosys

ii. Companies (Infosys) expand globally for many reasons, mostly to obtain new markets, cheaper resources and reduction in operational costs, all of which significantly affect financial management. These benefits also increase the risks faced by multinational corporations.

iii. Multinational (Infosys) financial management differs from domestic financial management in six essential ways

iv. Unlike their domestic financial management counterparts, multinationals are subject to exchange rates that differ based on the prevailing inflation rate in the foreign countries where they operate.

v. Any other point