Listen to a Business English Dialogue about Strong dollar
Douglas: Hi Scarlett, do you know what a strong dollar means in the context of business and finance?
Scarlett: Yes, a strong dollar means that the value of the US dollar is high relative to other currencies.
Douglas: That’s correct. A strong dollar can impact various aspects of the economy, including international trade and investment.
Scarlett: How does a strong dollar affect international trade?
Douglas: A strong dollar makes imports cheaper for domestic consumers but can make exports more expensive for foreign buyers, potentially leading to a trade deficit.
Scarlett: I see. So, how does it affect businesses that operate internationally?
Douglas: Businesses that export goods may face challenges as their products become more expensive for foreign buyers, while businesses that import goods may benefit from lower costs.
Scarlett: Thanks for explaining, Douglas. It seems like the strength of the dollar can have significant implications for both businesses and consumers.
Douglas: Absolutely, Scarlett. It’s essential for businesses to adapt their strategies to navigate the impact of currency fluctuations in the global market.