A more satirical expression for the fact that a company moves part of its production to a foreign currency area if a significant part of its sales are also made there. – By such a production locally (local manufacturing: so also said in German and then capitalized) one escapes fluctuations (Oszillationen; oscillations: fluctuations above and below a mean value) of the exchange rate, which may bring losses to the company – either from the procurement side, for example: EUR is low against the USD; goods purchased in the USA become more expensive, or – from the sales side, for example: EUR is high against the USD, making exported goods from the euro area more expensive in the U.S. and less in demand. – See Onshore Banking.
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University Professor Dr. Gerhard Merk, Dipl.rer.pol., Dipl.rer.oec.
Professor Dr. Eckehard Krah, Dipl.rer.pol.
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https://de.wikipedia.org/wiki/Gerhard_Ernst_Merk
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