Give Examples of each reason and explain each answer, make sure to fully explain answer and answer the entire question. Make sure to explain why you're giving the answers you give.

1. What are two advantages and two disadvantages of a firm taking a "passive" approach to exchange rates in the footwear industry?

2. What are two ways in which a company can utilize geographic differences in import tariffs to it's advantage in the footwear industry?What are two key risks of this approach?