The rate of exchange of a nation's currency has little effect upon the competitive advantages or disadvantages of its companies.

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The rate of exchange of a nation's currency can have a significant effect on the competitive advantages or disadvantages of its companies. If a country's currency depreciates, its companies become more competitive in the global market as their products become cheaper for foreign buyers. Similarly, if a country's currency appreciates, its companies become less competitive as their products become more expensive for foreign buyers. This can affect a company's exports, profits, and market share, and ultimately determine its success in the global market.

The Rate of Exchange of a Nation's Currency Has Little