International Risk Management

International Risk Management in finance involves identifying and addressing potential financial risks that arise from operating in multiple countries. These risks can include currency fluctuations, changes in political stability, differing regulations, and economic instability. Companies involved in global trade must develop strategies to protect their investments and profits, such as using hedging techniques to mitigate currency risk or diversifying their operations. Effective international risk management helps businesses make informed decisions, ensuring they can navigate challenges while maximizing opportunities in the global market.