Risk Identification And Measurement Of Technological Innovation Project For ZY Equity Corporation

For the equity enterprises as financial services intermediates, technologicalinnovation is an effective way to create its core competitiveness. In the wake of thedevelopment of market economy and the knowledge economy, the level oftechnological innovation is increasingly becoming a source of competitive advantage.But innovation is also an activity with both profit and risks. That is, technicalinnovation makes profit for financial firms but also risks. China’s financialinstitutions must strengthen financial risk monitoring and financial innovation tofurther enhance competitiveness. Therefore, technical innovation is the key forsurvival and development of China’s financial enterprises and research ontechnological innovation risk of China’s financial enterprises has also become thefocus of the study.Therefore, the main purpose of this paper is to analyze of the technicalinnovation risks in China’s financial enterprise, make identification and measurementof risks, and propose risk control recommendations. ZY equity enterprise is chosen tostudy its implement of technological innovation projects so as to do classical analysison Chinese equity industry about the characteristics and causes of technologicalinnovation project risks. A project risk recognition and measurement model isconstructed and applied on the empirical analysis. Based on its results, therecommendations on the control of technology innovation project risk in the equityenterprises are proposed. This paper analyzes the risk of technological innovation inChina’s equity enterprises based on the results of previous studies, and use the methodof theory and practice, empirical analysis and normative analysis, comparativeanalysis, qualitative analysis and quantitative analysis. First, the paper proposes thatthe main risks in the process of the innovation of financial enterprises are technologyrisk, market risk, management risk and policy risk based on the technological innovation theory. Secondly, this paper identifies and measures the risk of technologyinnovation in China financial enterprise based on the qualitative analysis andquantitative analysis. Finally, this paper proposes the recommendations to control thetechnology innovation risk in China’s financial enterprise after the identification andmeasurement of risks based on the risk management theory.In the context of frequent outbreaks of financial crisis, China’s financialinstitutions must continue to strengthen technical innovation and enhance self-creativity in response to the crisis losses. Therefore, this paper makes researches onthe identification and measurement theory and methods of the technologicalinnovation risk in China’s financial enterprise. On the one hand, it can provide sometheoretical support for the establishment and improvement of the technologicalInnovation risk identification and measurement theoretical system. At the same time,there is a good practical guidance for the promotion of the smooth development intechnological innovation of financial enterprise. additional, it provides useful lessonsfor the relevant government departments and community organizations to developand improve the financial institutions policy and measures, and create a good socialenvironment which is conducive to technological innovation of financial enterprise.