Competitors: our company also has many competitors in currency exchange market. For example, Kun Lun international charges 25 NZD on each money transfer service, in our company we only charge 15 NZD in order to attract more customers. Sometimes when I quote an exchange rate to customers through phone calls, my supervisor required me to give a better rate than other company’s to them.

Current issues in the foreign exchange market and their impacts on Dong Ping:

Event: during last two weeks, the global stock market had a significant downturn; the amount of volatile on stock was huge.

Impact on market and Dong Ping: “The New Zealand dollar slid to a four-month low as a global rout in shares prompted investors to sharply reduce exposure to risky.” (NZ Herald, 2008) the exchange rate between NZD to USD was 76 cent on Monday, but when I went to work on Tuesday, I was so surprised by the exchange rate, the NZD fell to the lowest rate in the last four month against USD which was only 74.01 cent, however, it was a very good news for all foreign travelers, on Tuesday, I almost did 50 transactions on buying NZD. The net profit that we made on Tuesday was nearly all from selling NZD. But at the same time there were only few people come to buy foreign currency. After the impact of dropping the value of NZD, the exporter of NZ could also get benefit.

Event: as the RBNZ website reflects the official cash rate remain the same after it went up to 8.25 per cent in last year, it would balance intense domestic inflation rate effectively. (RBNZ, 2008)

Impacts on the market and Dong Ping: