A firm can be affected by economic exposure to such an extent that its market value can be influenced by expected or unexpected exchange rate fluctuations which can have an effect on its transactions (Bouchaud & Potters, 2003). Such consistent adjustments could certainly have a detrimental impact on Porsche’s market share when compared to its competitors, its cash flow position and also its overall business value. It is Economic exposure which can have an impact on present value of cash flows. Transactions which can expose a company for foreign exchange risk can also expose a company like Porsche economically. However, such an exposure is only caused by volatile business activities as well as investments which are not merely international business transactions and as a result they receive future cash inflows from those fixed assets.