Study On The International Trade Risk Management Strategy Of CS Refractory Company

With the scale expansion and rapid development of the domestic manufacturing industry,the scale of export products is gradually increasing,and the domestic economic market is also expanding outward,with the manufacturing scale ranking the top in the world.Especially after China’s accession to the WTO,foreign trade continues to promote the development of domestic manufacturing industry.However,although the expansion of the market brings a lot of benefits to the domestic market,it also brings more risks.Export enterprises are faced with a worse risk environment.The level of risk management needs to be improved in order to obtain more risk protection with the minimum input and survive in the fiercely competitive domestic market.Risk management has become the core content in many enterprises.In this paper,CS refractory company was selected as a case study to analyze the current situation of the company’s international trade business,identify and predict the company’s trade risks,and study the corresponding management countermeasures.At first,this paper summarizes the research background,significance and relevant research achievements at home and abroad,and on this basis,introduces the concepts related to risk management and international trade theory.Then,based on the company’s international trade practice for many years,the identification of international trade risk factors contained in the company was completed.Then the influence weight of each risk factor is evaluated and calculated,and the influence weight of each risk factor is obtained.Finally,the solutions and countermeasures of international trade risk management are established.Through the research of this paper,it can be seen that the international trade risk of CS refractory company can be summarized into four aspects: contract risk,letter of credit risk,foreign exchange risk and country risk.Among them,the most important international trade risk encountered by the company is the contract risk,followed by the letter of credit risk.Therefore,this paper puts forward corresponding countermeasures from four aspects: contract risk,letter of credit risk,foreign exchange risk and country risk.At the same time,in order to ensure the effective implementation of the measures,and puts forward the optimization of organizational structure and establish the risk management team,set up to build the company risk management decision making methods and processes,strengthen the standardmanagement of trade business control,establishing trade risk early warning information system,attention to the cultivation of trade management talents in five aspects such as security measures.Taking CS refractory company as an example,this paper analyzes the current international trade risks faced by the company.While helping the company to effectively deal with its own trade risks and achieve healthy and sustainable development,this paper hopes to play a certain role of reference for enterprises in similar related industries.