Tourism foreign exchange risk
To cashback forex.com">forexcashbackprofitcalculator cashbackforexpipcalculator cashback forex profit calculator risk (ForeignExchangeRiskinTourism)What is tourism foreign exchange risk Tourism foreign exchange risk is the possibility of gain or loss caused by the uncertainty of the rise or fall in the value of foreign currency-denominated tourism claims cashbackforexprofitcalculator debts, assets and liabilities in tourism services trade, due to changes in foreign exchange rates in a certain period of time Tourism foreign exchange The form of risk According to the concept of tourism foreign exchange risk and the reasons for the generation of foreign exchange risk in the tourism services trade, mainly transaction risk, settlement risk, operational risk, accounting risk and economic risk and other five forms 1. transactionrisk, refers to the tourism enterprises in the tourism services trade, foreign currency-denominated business transactions due to changes in exchange rates and the profit and loss caused by the Uncertainty. Transaction risk as the most important foreign exchange risk in the tourism services trade, is due to the special nature of international tourism services settlement decided and generated in the international tourism services trade, tourism enterprises in different countries to provide tourism services according to the contract, usually a part of the travel costs in advance, after the completion of all tourism services, and then settle the contract for the entire cost of tourism then, due to the contract time and settlement The time is different, with the exchange rate changes in the transaction risk, thus causing uncertainty between the different countries tourism enterprises debts and gains and losses changes 2. settlement risk (sell&buyrisk), refers to the tourism enterprises in the bank to buy or sell foreign exchange, due to changes in the exchange rate caused by the uncertainty of profit and loss usually, tourism enterprises in the operation of entry and exit tourism business, is bound to Involved in foreign exchange buying or selling of foreign exchange settlement business, that is, in accordance with the foreign exchange rate (exchange rate) to the bank to buy foreign exchange or sell foreign exchange in the case of exchange rate fluctuations, tourism enterprises not only to the bank to buy or sell foreign exchange when the exchange rate is different, but also in the settlement of tourism services based on the foreign exchange rate, and its settlement to the bank when the foreign exchange rate is often different, thus bringing uncertainty of profit and loss to tourism enterprises, the formation of Tourism services trade in the settlement of foreign exchange risk 3. operation risk (operaterisk), is in the case of changes in exchange rates, foreign currency-denominated raw materials, labor, management costs and other aspects of price changes, causing changes in tourism operating costs, market prices, etc., which affect the uncertainty of changes in sales and profitability of tourism enterprises with the development of tourism services trade, in order to meet the International tourists in the domestic consumer demand, often need to import certain tourism goods and materials, the employment of foreign tourism management personnel, to foreign publicity and promotion if the foreign exchange rate increases, it will make the above costs of the local currency prices correspondingly higher, resulting in an increase in operating costs, resulting in the loss of business risk tourism enterprises 4. accounting risk (accountingrisk), refers to the global business operations According to international accounting rules and domestic regulations, in order to consolidate foreign currency-denominated revenues and expenses, assets and liabilities into the accounts in the national currency, the above items must be re-presented in the national currency, so that the re-presentation in the translation will be due to changes in the exchange rate, causing uncertainty in the value of certain items on the balance sheet, so also known as translation risk The treatment of translation risk must be carried out in accordance with the regulations established by the government of the country where the parent company is located or by the company itself. 5. economicrisk (economicrisk), refers to changes in the exchange rate, causing uncertainty in the development of the entire tourism business operations, and even the growth of tourism and tourism structure of the country as a whole usually, when the foreign exchange rate rises, indicating that the value of the local currency decreased, so that the same amount of foreign currency purchasing power Enhancement, thus promoting the number of inbound tourism increased, the number of outbound tourism decreased; when the foreign exchange rate fell, indicating that the value of the local currency rose, so that the same number of foreign currency purchasing power weakened, so that the number of inbound tourism decreased, the number of outbound tourism increased In short, whether the foreign exchange rate is rising or falling, will bring economic risks to the tourism business development, and affect the countrys overall tourism growth and tourism structure Changes, resulting in a certain period of tourism revenue changes in tourism foreign exchange risk impact in tourism services trade, must pay great attention to the forecasting and analysis of foreign exchange risk, because exchange rate fluctuations not only in the settlement of tourism services caused by changes in claims and debt gains and losses, directly affecting the revenue of tourism services trade; and will cause an important impact on the development of tourism in a country 1. Foreign exchange risk on tourism The impact of the product offer in the tourism services trade, international travel agencies as the reception of inbound tourists, must provide its tourism products to the overseas tour operators (or tour groups) offer usually, international travel agencies from product planning, publicity and promotion, outreach and recruitment business, and overseas tour operators to sign contracts, to receive the group to carry out tourism activities, often takes several months or even longer, so in The implementation of floating exchange rate, the fluctuations in the exchange rate is bound to international travel agency outreach, offer uncertainty, resulting in foreign exchange risk of tourism products offer if the international travel agency over-consider foreign exchange risk, improve tourism products offer, it will make the price lack of reasonableness and market competitiveness; if the international travel agency to improve the competitiveness of tourism products offer, it may make the offer is low and lurks a certain Therefore, exchange rate changes not only bring foreign exchange risk to the international travel agencys tourism product offer, but also make the international travel agency in the dilemma of avoiding the foreign exchange risk of product offer 2. foreign exchange risk on tourism revenue and benefits in the tourism services trade, international tourism revenue is usually denominated in foreign currency, so with the fluctuation of the exchange rate is bound to bring certain risk impact on tourism revenue and benefits Because, when the foreign exchange rate rises, foreign currency-denominated foreign exchange revenue converted to local currency will increase in value, thus increasing total tourism revenue; conversely, when the foreign exchange rate falls, foreign currency-denominated foreign exchange revenue converted to local currency will shrink, thus reducing total tourism revenue.3. The impact of foreign exchange risk on tourism growth and structure according to the previous analysis of the economic risk of tourism foreign exchange, whether the foreign exchange rate is rising or Down, not only directly to the tourism enterprises business development caused a certain impact, but also will affect the whole countrys tourism growth and tourism structure changes, resulting in a certain period of tourism revenue pattern corresponding changes in China, for example, with the continued growth of the RMB exchange rate (against the U.S. dollar), on the one hand, so that Chinas inbound tourism is facing a greater challenge, not only the growth rate of the number of inbound tourism will be affected On the one hand, not only the growth rate of the number of inbound tourism will be affected, but also the actual total tourism revenue is facing the outstanding problem of shrinkage; on the other hand, with the increasing number of Chinas outbound tourism destinations (has reached more than 80 countries and regions), China has become the first Asian source exporting countries, and the appreciation of the RMB will further enable the rapid expansion and development of outbound tourism Therefore, the changes in foreign exchange rates, is bound to have an important impact on the overall tourism growth and tourism structure 4. Foreign exchange risk on the competitiveness of tourism destinations in the tourism services trade, tourism product prices are always an important factor reflecting the competitiveness of tourism services, is not contrary to the objective economic laws Therefore, changes in foreign exchange rates are bound to cause relative changes in the price of tourism products, thus causing a certain impact on the market competitiveness of tourism destinations because, when the foreign exchange rate rises, meaning that the same amount of foreign currency When the foreign exchange rate rises, it means that the same amount of foreign currency in the destination can get more tourism services, thus relatively improve the market competitiveness of tourism destinations; on the contrary, when the foreign exchange rate falls, it means that the same amount of foreign currency in the destination can get tourism services also correspondingly reduced, or have to pay more foreign currency to get the same tourism services, thus relatively reduce the market competitiveness of tourism destinations At present, although Chinas tourism s international competitiveness in the world, so that the appropriate changes in foreign exchange rates on the impact of inbound tourism is not significant; but if the dollar exchange rate continues to fall, the RMB continues to appreciate significantly, will certainly make Chinas inbound tourism prices relatively higher, meaning that inbound tourists in Chinas tourism spending also increased significantly, so that Chinas international competitiveness of tourism is relatively weakened, so that the increase in inbound tourists is affected Management of tourism foreign exchange risk In tourism service trade, in order to effectively avoid tourism foreign exchange risk, must strengthen the management of tourism foreign exchange risk According to the theory of foreign exchange risk avoidance, combined with the practice of tourism service trade, strengthen tourism foreign exchange risk management including the following aspects (a) improve foreign exchange risk management awareness and capacity Strengthen tourism foreign exchange risk management, the first must enhance tourism foreign exchange risk awareness The first is to strengthen the training of foreign-related tourism personnel and enterprise financial personnel to enhance their awareness of foreign exchange risk, improve the ability to predict and analyze exchange rate changes and the ability to effectively avoid foreign exchange risk; the second is to strengthen the internal management of tourism enterprises, to build a financial decision-making mechanism to adapt to the requirements of modern tourism service trade, to be able to reflect and predict foreign exchange risk in a sensitive manner. Timely adoption of various measures to avoid foreign exchange risks in order to avoid or reduce the foreign exchange risk losses of tourism enterprises; Third, to effectively strengthen the communication and cooperation between internal departments, so that the departments and all relevant personnel to strengthen communication and close cooperation between them, and constantly improve the ability and level of foreign exchange risk management, in order to reduce the foreign exchange risks and business risks of the entire tourism enterprises, and promote the sustainable and healthy development of tourism enterprises (II ) strengthen the analysis and forecast of exchange rate changes Strengthen tourism foreign exchange risk management, must accurately grasp the countrys macro policy and foreign exchange management policy, pay attention to and strengthen the study of the foreign exchange market, pay close attention to the foreign exchange market exchange rate changes and factors affecting, timely analysis and forecast the trend of exchange rate changes, and combined with the operational reality of tourism enterprises, take effective measures to avoid foreign exchange risk measures such as according to the foreign exchange Exchange rate trends, reasonable adjustment of tourism product prices and foreign quotations, try to avoid the negative impact of the sudden rise and fall of tourism product prices, fully consider the foreign exchange risk in foreign quotations, and strive to reduce or reasonably share the losses caused by foreign exchange risk; in the process of buying or selling foreign exchange, efforts to avoid foreign exchange risk, reduce unnecessary losses; strengthen financial settlement management, minimize the time factor caused by In short, strengthen the analysis and forecast of exchange rate changes, not only is the important premise of tourism enterprises to avoid foreign exchange risks, is also an important measure to strengthen tourism foreign exchange risk management, so tourism enterprises should take it as a regular, long-term work, and continuously carry out (c) pay attention to the selection and matching of the currency of denomination In the tourism services trade, tourism products offer is a very Therefore, in the quotation of tourism products, it is necessary to pay attention to the reasonable selection and matching of the currency of denomination in accordance with the principles of attracting customers, increasing profits and facilitating settlement. Specific methods have the following aspects: 1. choose the local currency as the currency of denomination for tourism services trade export enterprises, choose the local currency as the currency of denomination for foreign offers, generally does not involve currency exchange, basically no foreign exchange risk Therefore, at present, many developed tourism countries, especially some reserve currency issuing countries, such as the United States, Britain, Germany, France, etc., most of the tourism services trade exports are in However, the choice of local currency denomination is not any countrys currency can be, usually must be the international currency for international payments, and must be recognized by both sides of the transaction 2. In choosing the freely convertible currency, we should pay attention to the analysis of the trend of exchange rate changes and choose the currency with an upward trend (i.e., hard currency) as the denominated currency, which is a fundamental measure to avoid foreign exchange risks. 3. choose a variety of currencies as the denominated currency at the same time in the foreign exchange market, the trend of exchange rates of various currencies is different. Thus the formation of the currency denomination of the "soft" and "hard" usually, the exchange rate trend of the currency called "hard" currency, the exchange rate trend of the currency called "soft" currency Therefore, when choosing multiple currencies as the denomination currency, the "soft" and "soft" currencies should be reasonably arranged according to the principle of "receiving hard and paying soft". The ratio of "soft" and "hard" currencies should be arranged in accordance with the principle of "hard pay", and the "hard" currency should be used to bring... (4) Flexible use of the terms of the tourism contract To strengthen tourism foreign exchange risk management, you can also flexibly use the terms of the tourism contract to avoid foreign exchange risks, which Usually is to take the following two common methods and specific measures On the one hand, can be added in the contract to hedge foreign exchange risk by adding a value preservation clause value preservation clause, is after the negotiation between the two sides of the transaction, agreed to add in the tourism contract to share the future exchange rate risk of currency receipt and payment conditions Its practice is to fully consider the impact of foreign exchange risk when signing the contract, the transaction amount in the value preservation clause to a more stable currency or comprehensive currency Unit value, such as the "hard" currency value, gold value, etc.; in the liquidation of the currency of payment to the value of the currency exchange rate at the time of adjustment, in order to achieve the effect of hedging foreign exchange risk On the other hand, can be specified in the contract by the reception details to hedge foreign exchange risk due to the settlement time is the main reason for foreign exchange risk. Therefore, when signing the tourism service contract, should clearly specify and refine the itinerary of tourism activities, including the travel route arrangements, the content of activities, guide services, accommodation and catering and other reception conditions and other terms, as far as possible to make each link have clear provisions, there are standards to follow, in order to avoid disputes in the performance of the contract, resulting in settlement delays or refusal to pay, and even for the other party to transfer foreign exchange risk losses to provide conditions (v) Take the balanced offset risk method In the modern tourism services trade, international tourism between countries, are often mutual tourist destinations and sources, thus providing favorable conditions for taking balanced offset foreign exchange risk Therefore, tourism enterprises should be good at using the conditions of mutual tourist destinations and sources, in the vigorous development of inbound tourism business at the same time, actively develop the corresponding outbound tourism business, thus The specific methods and measures to hedge foreign exchange risks are as follows 1. Matching method (matching), refers to the development of tourism services trade tourism enterprises, in the reception of a countrys inbound tourism group at the same time, the country as a tourist destination and the organization of outbound tourism group, and as far as possible to make the two tourism group travel costs, settlement currency, settlement date is basically the same, so as to The foreign exchange risk faced by the two business activities to offset each other For tourism enterprises with long-term business cooperation between countries, the pairing method can not only effectively avoid foreign exchange risk, but also help to simplify the transaction settlement, promote mutual business development, to achieve mutual benefit and win-win, common development of both sides of the transaction 2. group pairing method (pairing), refers to the development of tourism services trade between enterprises, through the use of The difference between pairing and pairing is that pairing is based on the same business and currency. Hedging, while the group pair method can be more than two kinds of business or currency hedging Therefore, the group pair method has more flexibility and application than the pair method, the disadvantage is that improper group pair may produce new business risks, so we must pay attention to the group pair business and currency for the correct choice (f) reasonable development of a variety of foreign exchange settlement business Strengthen tourism foreign exchange risk management, tourism enterprises should not only retain sufficient foreign exchange quota, in order to avoid Because of the foreign exchange capital tension and forced to settle with the bank when the exchange rate is low, resulting in foreign exchange risk losses, but also through the bank to reasonably carry out a variety of foreign exchange settlement business to avoid or reduce foreign exchange risk specific methods and measures are mainly the following 1. spot contract method (spotcontract), refers to the tourism enterprises through the use of spot foreign exchange transactions to prevent foreign exchange risk method specific practice is: when Tourism enterprises in the near future scheduled time when there is a tourism service export receipt, should sign with the bank to sell the corresponding amount of foreign exchange spot contract; when tourism enterprises in the near future scheduled time when there is a tourism service import payment, should be signed with the bank to buy the corresponding amount of foreign exchange spot contract; to avoid and eliminate foreign exchange risk through the reverse flow of foreign exchange funds 2. forwardcontract method ( forwardcontract), refers to the tourism enterprises through the use of forward foreign exchange transactions to prevent foreign exchange risk method specific practice is: when the tourism enterprises signed a tourism services export contract, according to the prevailing forward exchange rate, should be signed with the bank to sell the contract amount and currency forward foreign exchange contract, in the due collection of foreign exchange, and then according to the exchange rate determined by the sale contract with the bank for delivery; when the tourism enterprises After signing the import contract of tourism services, at the forward exchange rate at that time, sign a forward foreign exchange contract with the bank to buy the contract amount and currency, after the due payment of foreign exchange, and then according to the exchange rate determined by the buy contract with the bank for delivery The advantages of the forward contract method are: on the one hand, the cost of preventing foreign exchange risk is fixed within a certain range, which is conducive to the accounting of tourism costs; on the other hand, the uncertain exchange rate changes On the other hand, the uncertainty of exchange rate changes into calculable factors, can eliminate the time risk and value risk of foreign exchange within a specified period of time. 3. borrowing method (borrowing), is when the tourism enterprise has a definite forward foreign exchange income, can be borrowed from the bank and the forward income of the same currency, the same amount and the same period of time of the loan to prevent foreign exchange risk method its characteristics are now the future foreign currency income from the bank The characteristics are that the future foreign currency income from the bank for use, when the foreign exchange income into the account just for the return of the bank loan, thus avoiding the foreign exchange risk caused by the time factor exchange rate changes 4. investment method (investing), is when the tourism enterprises have a definite forward foreign exchange expenditure, you can exchange the idle funds for the same currency, the same amount and the same period of forward payment of foreign exchange for investment, to be paid in the future When the foreign exchange date comes, the principal and interest (or profit) of the investment to pay the foreign exchange, thus avoiding the foreign exchange risk of exchange rate changes caused by the time factor General investment market should be the short-term money market, the object of investment for the specified maturity date of the bank time deposits, certificates of deposit, bankers acceptances, treasury bills, commercial papers, etc.