Risk Evaluation Of China’s Petrol Enterprises For Foreign Investment Projects

With the development of economy, petroleum has been assigned the top priority as a crucialenergy, and the domestic enterprises must take “Going out” strategy to improve the nationaloil security, which results from the imbalance phenomenon of supply and demand. Therefore,enterprises led by CNOOC/Sinopec/CNPC began to launch the strategy of overseas expansiongaining the oil resource by the means of foreign investment. And these enterprises have beensuccessfully setting foot in the Russia, Africa, Middle East markets. However, Cross-BorderM&A is regarded as being risky because oil industry is the strategic and sensitive industry.What’s more, the process is complicated and huge investment is required. So it is necessary toevaluate and analyze the risk.The foundation of the thesis is the risk management theory of merger and acquisitionanalyzing the situation of cross-border merger and acquisition and the evaluation system.Besides, the current cross-border mergers and acquisitions were used to draw the different riskfactors in different stages. And according to previous efforts, the primary indictor system wasformed; then with the help of analysis method and fuzzy comprehensive evaluation, the thesisassessed risk factors in different stages; afterwards it verified and tested indicator system byusing the theory and method made before; finally, the thesis provided several practical riskprotection methods, achieving the “recognition—evaluation—prevention” to raise the successrate of M&A, which hopes the thesis offer several practical and theoretical suggestions for thefuture M&A of domestic petroleum enterprises...