Analytical essay: Discuss the motives of Poland’s move, and its implications on the country’s economy as well as the multinational companies such as Millennium.

1.Peter is the CEO of Millennium Plc, which is a multinational corporation, incorporated in the US but invests in many emerging countries including Poland. Poland used to have a fixed exchange regime regarding its currency (Before the year 2000). However, Poland moved to adopt a free float exchange rate regime as from 14th of April 2000.

1.1.Discuss the motives of Poland’s move, and its implications on the country’s economy as well as the multinational companies such as Millennium.

1.2.What strategy could the CEO employ in order to manage the exchange rate exposure resulting from the change in the currency regime?

 

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