A Dutch Exporter Has Dollar Revenues and Euro Expenses

Multiple Choice

A Dutch exporter has dollar revenues and euro expenses. The company's competitors are U.S. firms that have revenues and expenses denominated in dollars. Sensible pricing strategies that the Dutch exporter can pursue in response to an appreciation of the dollar include which of a) through c) ?

A) Maintain the current euro price for their goods, try to sell the same quantity in the U.S. market, and capture a bigger contribution margin per unit.
B) Maintain the current dollar price for their goods and try to increase profits by increasing sales volume at the current contribution margin.
C) Follow the lead of the price leader in the U.S. market.
D) More than one of the above
E) None of the above