The course follows the below structure:
- Introduction to the class and to country risk
- International capital budgeting
- Taxes and capital structure in the international firm
- International financial reporting and taxation
- Real options, joint ventures, and international mergers and acquisitions
- Project finance
- International capital budgeting case study
- Final exam
In this class, students will learn how to use tools and methods from finance to evaluate strategic decisions in international business. The core topic of the class is how firms can manage country risk. We will start with general insights into international corporate finance and financial markets. We will then apply those insights to questions that are at the forefront of international strategy. The course is self-supporting within the International Business specialization. Prior knowledge in finance is not necessary beyond what is covered in WU's Common Body of Knowledge.
Attendance at all sessions is required.
This class uses a mixture of presentations, case studies, interactive and homework exercises, and a final exam. In session 4 a guest lecturer from EY will join us to talk about international financial reporting and taxation.
· 50% final exam (individual-level)
· 20% case report (group-level)
· 10% class participation (individual-level)
· 10% peer rating (individual-level)
· 10% answers to in-class questions (group-level)