Research On Risk Management Of Zambia Project For JX Company

In order to comply with the trend of world multipolarization,economic globalization,cultural diversity,The Belt and Road Initiative was proposed by Chairman Xi in 2013 which maintain global free trade system and an open world economy,promote the coordinated economic development of countries along the road.It provides a new direction for world development,an important platform for global sustainable development,and Chinese wisdom for building a community with a shared future for mankind.With the proposal of the Belt and Road Initiative,China enterprises have significantly accelerated paces of going global,international contracting and overseas investment account for an increasing proportion of global economic.As a new mode of overseas investment,overseas economic and trade cooperation zones which are an important carrier build a platform for Chinese enterprises to go global,it’s playing an important role in promoting industrial agglomeration,improving investment quality,and achieving common development.As zones drive the rapid growth of overseas investment,they also face multiple bottlenecks,such as investment attraction ideal,low occupancy rate of enterprises,large investment of infrastructure,low return rate,and the fixed assets cannot be utilized,which reflect deficiencies of enterprises on overseas investment risk management.The study outlines the current situation of overseas investment in China through literature research,and explains the risks faced by Chinese enterprises in overseas investment.The status and scale of China’s overseas economic and trade cooperation zones are listed by searching website,and the difficulties faced by the development of China overseas economic which are summarized to provide reference at risk management of Zambia project for JX company.Through experts’ interview,we identify the project risks which contains political risk,economic risk,financial risk,social and security risk and business environment risk and 20 related subrisk factors,briefly analyze and explain risks.The identified risks are scored through the questionnaire,and the project risks are qualitatively and quantitatively evaluated using the analytic hierarchy process and fuzzy comprehensive evaluation method.Based on the results and the project,corresponding risk response measures are proposed.The relevant research results obtained in this study are expected to provide reference information for JX company project in Zambia in risk management,play a role in the sustainable operation of the project and risk prevention for overseas investment project.It also provides reference for China enterprises which carry out investments in Zambia.