QUESTION 5 international fiance

1. Following the outbreak of war in Ukraine, many multinational enterprises closed their Russian operations and removed their staff from Russian territories. A few days later, Russia expropriated these businesses. With reference to the material covered in this subject on International Finance, explain in detail, in your own words, expropriation and why it is a major concern for multinational enterprises.

   In providing your explanation you are requirred to include explanations of:

   • What a MNE must satisfy to open a subsidiary in a foreign country over licensing and outsourcing
   • The 5 entry structures that MNEs consider when entering a new country
   • The political risks faced by MNEs and how these risks may be mitigated
   • How MNEs may finance their foreign subsidiaries
   • How host nation governments prefer MNEs to finance their foreign subsidiaries