Research On The Influence Of Iraqi Cultural Risk On The Cost Of Chinese International Petroleum Project

The national cultural risk caused by the cultural differences has brought frequent adverse effects on the construction projects of the oilfields,which may lead to more serious problems and have a huge impact on the cost of Chinese enterprises.Project cost may sharply increase due to the national cultural risks caused by the influence of Iraqi national culture and Islamic culture,the collision of multi-culture in enterprise.The purpose of this thesis is to identify key national cultural risks by analysing the impact of Iraqi national cultural risks on the project costs of Chinese-funded enterprises,This thesis identifies 18 national cultural risk factors that affect the cost of Chinese-funded projects in Iraq by combining the actual cases and expert interviews of the China Offshore Oil Field M Project.The survey questionnaire was designed and distributed among the staff of Chinese-funded enterprises participating in the M Oilfield Project in Iraq to obtain data.SPSS18.0 statistical software was used to analyze these data,and the importance of impact factors was ranked.SPSS18.0 statistical analysis software is used to analyze these factors,and the importance of the impact should be ranked.The results of descriptive statistics show that "Religious tribal conflicts ","Poor contract awareness","Culture of corruption ","Local lazy culture","Strong sense of national protection " are the most important factors affecting the cost of Chinese enterprises projects in Iraq.Exploratory factor analysis illustrates that the 18 factors can be divided into 5 groups: “Business practices”,“Religion and Customs”,“Differences in values”,“local protectionism”,“Communication risk”.The results of this thesis can provide countermeasures and suggestions for Chinese enterprises to manage national cultural risks.Effective actions should be taken to identify,avoid and control the national cultural risk in Iraq and internal cultural risk in enterprises,which have an importantly practical significance to Chinese enterprises in Iraq in reducing operating losses and operating costs.