A Chinese steelmaker is considering its strategy to expandglobally. It is considering two possible choices. Choice A involvesacquiring mining assets in Canada. Choice B involves acquiring amining company in Australia. Forecasts indicate that the Canadiandollar is expected to appreciate while Australian dollar isexpected to depreciate substantially over the next 3 years. Shouldthe Chinese company expand into Australia or Canada? What factorsmay affect its decision?
