Finance ABC

Welcome to Finance ABC! I’m Emma Lai, and today we’re diving into the world of international capital budgeting. This topic is especially relevant in our increasingly globalized economy, where companies are constantly exploring opportunities beyond their own borders. But deciding to invest internationally isn’t a simple “yes” or “no” decision. It requires a thorough analysis of potential risks, returns, and a set of calculations unique to cross-border projects. Today, we’ll explore what international capital budgeting is, how it works, and what makes it different from domestic capital budgeting. By the end of this episode, you’ll have a clear understanding of how companies make investment decisions on a global scale.