Chinese Enterprises Listed Overseas Risk And Countermeasures

With the global economic integration,the gradual deregulation of financial control and the growing liberalization of international capital flows,the world's major financial markets, especially the stock exchange continuously strengthen union in competition and cooperation,which resulting in enterprises increasingly frequent cross-border listing.Under such a large international economic background,along with advancing China's economic reform and opening-up,more and more Chinese enterprises have went to overseas capital market,and after China's accession to the WTO,the rapid increase of economic and financial openness also provide a wider market space for China's enterprises to enter the international market listing,a large number of domestic enterprises,especially large state-owned quality enterprises have landed overseas markets through various methods.Under the background of more active the overseas listing of Chinese enterprises,by researching the motives,listing channels and a positive role,the paper make us understand the driving force to the listed enterprises select the appropriate channels.In this paper, in-depth study of risks faced the Chinese enterprises of overseas listing will guide enterprises according to their own actual conditions,weigh the pros and cons of various aspects of the overseas listing,and make practical strategic choice,making domestic enterprises get the long-term capital motivation from overseas capital markets.In particular the measures of dissolving risks provide practical guidance significance for Chinese enterprises in search for overseas listing.The author believes that Chinese enterprises should be fully analyzed the risks faced before the overseas listing.Enterprises should choose the appropriate listing place,the listing opportunity and choose good intermediaries to do preparatory work,and become familiar with the overseas securities market regulatory system,and systems of laws and regulations,and establish a good public relations image for investors.This paper has made theoretical analysis,supplemented by relevant case studies. Through the ICBC "A + H" case,the overseas listing of Chinese enterprises will get a lot of inspiration,which will make rational thinking of the positive and negative effects of the overseas listing.The case of ICBC successful overseas listing provide the reasonable strategic choice for the overseas listing of Chinese enterprises,from which domestic enterprises can fully utilize overseas capital markets to finance and improve the corporate governance structure,strengthen the risk management,enhance core competitiveness through reasonable financing,and finally contribute to China's economy.The author gets much enlightenment from ICBC case,China's enterprises should give full attention to the risks arising from the overseas listing of Chinese enterprises,should have a sense of crisis and strengthening risk control,establish and improve their internal control systems,improve the corporate structure,and fully use of the platform of foreign capital markets,conform to the trend of globalization of capital flows,which finally enhance corporate governance standards and business level,and ultimately improve their core competitiveness under an increasingly competitive international business environment.