小案例 完整版.ppt

Petrobrás of Braziland the Cost of Capital Lacks a strong international presence which would not enable the company to source capital in cheaper markets. Q2Does this method of using the sovereign spread also compensate for currency risk? Q3The final quote that “one’s view on the direction of the broad Brazilian market” suggests that potential investors consider the relative attractiveness of Brazil in their investment decision. How does this perception show up in the calculation of the company’s cost of capital. Q4Is the cost of capital really a relevant factor in the competitiveness and strategy of a company like Petrobrás? Does the corporate cost of capital really affect competitiveness? Q5What implications might the experience of Petrobrás have for Chinese firms in a similar situation? Foreign Direct Investment(FDI)  ----Haier and Embraer Q1Based on research for your company, report on the FDI record of your firm. Q2Discuss the possible advantage and disadvantage of such a strategy for the firm you are studying. Q3What political risks might the Chinese firm you are studying face in the foreign countries within which it is operating? * Q1 Why do you think Petrobrás’s cost of capital is so high? Are there better ways, or other ways, of calculating its weighted average cost of capital? Brazilian economy had a long history of high inflation, economic instability, currency devaluation and depreciation. Accordingly,investors would have required a higher premium to compensate for the relatively higher levels of operational risk to which Petrobras was exposed. Its global strategy did not translate into reduced cost of capital to the level of the other oil producers as the market risks would have been similar to the risks associated with the Brazilian market. South American markets did not provide access to cheaper sources of capital, hence it did not fac