China's Export-oriented Enterprises, The Exchange Rate Risk Management Study

Since 1994, China reformed float exchange rate system, which based on market supply and demand; but actually the float exchange rate changed in a small region because the supervision of the China Government.With the deepening of the economic and financial reform, especially after its formal entry into WTO, China is being connected to the world economy closer and closer. More and more domestic enterprises are facing with international business competitions. Exchange rate risk management has now become an inevitable question to international enterprises.After July 2005 exchange rate formation, China executive float exchange rate system. Under fluctuate exchange rate system, one country currency price is not gold evaluation, and exchange rate fluctuates according to market supply and demand. So it is urgent to study the methods used by foreign multinational companies in controlling its exchange rate risk and to learn how to apply these methods in the domestic environment.This thesis, titled"China enterprises exchange risk management research". Firstly, introduces some basic concepts and theory about exchange rate risk and discusses the significance and exigency of study exchange rate risk management in corporation of china. Secondly, variousexchange rate risk-managing techniques are discussed according to accessible conditions. Finally, this article raises some proposals under the exchange rate marketization of RMB, forecasts the RMB exchange rate in future and offers the solution to the current China enterprises.