The Study Of Risk Management Taking G Company As An Example Of Small And Medium-sized Trade With North Korea

Tumen River region of China as the direct window toward trade with North Korea,through independent development and bilateral, multilateral cooperation for more than20years, it has developed a number of small and medium-sized enterprises to trade with NorthKorea. In small and medium-sized enterprises, small scale, lack of risk awareness, weak riskresponse ability, and deficiency of risk management ability, has become the bottleneck for thedevelopment of its business.This paper is based on the Tumen River region of a medium-sized trade with NorthKorea G Company as an example, mainly takes the forms of analysis of cases, the basis ofcase study in the cause of risk on trade for enterprises, to research on two aspects of trade riskproblem in the enterprise’s internal resources and external environment. And through thequalitative analysis and the quantitative analysis unifies, qualitative analysis on North Koreantrade process, summarized the application of risk management measures in trade enterprises,financial analysis on trade enterprise risk, identify risk roots from G Company, to thecorresponding risk management measures to deal with the North Korea trade risk. Throughthe G Company’ external trade risk analysis to identify the company can draw on riskprevention practices. The theoretical value of this thesis and the practical significance isapplied to the analysis of the actual situation on trade enterprise G Company, will trade withNorth Korea risk refinement, quantification, the combination of theory and practice, to findways to avoid the risk of trade to North Korea, in small trade with North Korea enterprisefuture development direction. With regard to North Korea trade research, until now thearticles or writings are basically focused on the development of open Chang-Ji-Tu pilot areaindustrial structure analysis, even with the enterprise risk management study is limited to thetheoretical discussion, instances of lack of evidence. In this paper, on the basis of riskmanagement theory, describes the practice of risk management of G Company, fill the blankof Chang-Ji-Tu pilot zone enterprise risk management without case analysis.This study aims to help small and medium enterprises to avoid the risk of trade withNorth Korea, risk management, solving practical problems. Hope that this research can be areference to other small and medium-sized enterprises have to trade in the Tumen Riverregion. Benefit for the development of Chang-Ji-Tu pilot zone, provide support for the TumenRiver region and other similar economic development in border areas.