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10. (4 points) 1). (multiple-choice) Which one of the two exchange rate situations could erode the competitive position of Honda, a Japanese car manufacturer, in

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10. (4 points) 1). (multiple-choice) Which one of the two exchange rate situations could erode the competitive position of Honda, a Japanese car manufacturer, in the U.S. market if the firm's cars sold in the U.S. were produced domestically in Japan (2 points)? a. The Japanese yen becomes weaker relative to the U.S. dollar b. The Japanese yen becomes stronger relative to the U.S. dollar 2). (short-answer) Suggest a strategy that Honda could use to mitigate the adverse exchange rate effects on its operating cash flows in the U.S. market (2 points)

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