The Political Risk Research Of Chinese Enterprises

In the 1960s, national independence moved and grew vigorously, the trans-corporations of western countries were confiscated, token over for use and nationalized. Politics becomes an important factor which influences trans-corporation's transnational business. The concept of the political risk is introduced to the domain of economics.Since the 1990s, the possibility of the violent revolution broken out in the whole world become smaller and smaller, ideological factors fade, few people focus on the political risk which the trans-corporation may meet in transnational business. Referring to the risk of transnational business, people first think of the internal risk, such as product risk, strategic risk, management risk, etc, attempt to take measures to tackle these risks from organization and management of enterprises. But the external risk of enterprises, especially the political environment that enterprises is studied fewer, which make the domestic and international scholar neglect the study on political risk.Lots of Chinese enterprises, to transnational business with a kind of blind optimism, think that the world market is open and fair, therefore don't pay enough attention to the political risk of the overseas market. To some extent, even some enterprises take precautions against the political risk, but only limited to the risk of war, confiscating and nationalization and politics are unstable. To other political risks, for example the government intervention in trade competition with the political means, economic nationalism and instability of the policy, etc. they don't have enough concern. However, from transnational Business of Chinese enterprises in recent years, political risk has risen to one of the most important external risk which in the enterprises transnational business.In order to improve the accuracy to political risk analysis, avoid hesitating to go forward because of thinking irrelevant political risk, we need to recognize which factors can influence enterprises business in one country's political environment.As a result, this text reviews the correlate concept and theory of political risk and transnational business, from traditional analysis method of political risk, founds the defect and deficiency of the traditional political risk analysis theory. On the base of researching the transnational business practice of Chinese enterprises and its political risks encountered, the text gets four incompatible levels of political risk, regards this as foundation of the new discernment frame, puts forward the assessing andmanagement method of the risk.