Volume : III, Issue : V, May - 2013

Single Currency � a Prospective Tool to Enhance Export Performance

Dr. S Vasumathy

Abstract :

It has become imperative for the firms to understand the nuances of currency risk for tackling it in a holistic way. The challenges posed by volatile currency have been discussed everywhere, especially in the event of two great economic phenomena. If a single currency is accepted globally for all inter–country transactions, losses incurred on account of currency risk could be substantially reduced. This study purports to analyze the implications of such decisions for business houses. It also extended to evaluate the impact of such implications on the performance of the respondent–firms. The variables given to measure implications in the structured questionnaire were grouped into three factors namely Costs, Benefits and Time. While costs included alignment and adjustment costs, the benefits included the elimination of transaction costs and exchange rate risks. The findings also indicated that currency decisions were good predictors of Export Performance.

Keywords :

Article: Download PDF   DOI : 10.36106/ijar  

Cite This Article:

Dr. S Vasumathy Single Currency � a Prospective Tool to Enhance Export Performance Indian Journal of Applied Research, Vol.III, Issue.V May 2013

Number of Downloads : 621

References :