Problem
Read the case "China Noah Corporation" that begins on p. 301-307 in Chapter 10 and answer the following questions:
• What would be your outlook on the future direction of the Indonesian rupiah and the Chinese renminbi?
• Should this influence the hedging approach used by Noah?
• Which of the hedging choices would you recommend?
• Are there any operational strategies that Noah could take to help manage the risks? Why or why not?