Research On Internal Risk Control Of Real Estate Enterprise "K"

In the past twenty years, the Chinese economy has made remarkable achievement. Meanwhile, the real estate industry has rapidly developed and has become a pillar industry being important to the national economy and the people’s livelihood. In the past several years, China’s economy has been faced with the unprecedented challenge due to the adverse factors of the overseas economy, such as the European Debt Crisis and the United States fiscal cliff etc. as well as the adjustment of the economical structure being performed in China.After the macroeconomic control on the real estate industry started in China, the real estate industry regulation began and the turnover of the real estate market shrank much. In such critical period, for the medium-scale and the small-scale real estate enterprises, it is very important for enterprise "K" to develop more rapidly and get stronger. Meanwhile, in the process of the project development of the enterprise "K", many different risk management problems which have existed inside it are gradually appearing. The uncontrollable internal risk will further certainly negatively influence the construction’s progress and the building’s quality of the project, which will result in the potential safety hazards during the usage of the houses in future. Therefore, it is very important for enterprise "K" to consummate the internal risk control.For the topic selection, this thesis uses a small number of literatures to directly analyze the internal risk control problem of the real estate enterprises and to analyze the defects and the causes of the current internal risk control of enterprise "K" from the point of view of the comprehensive risk management. Also, it puts forward the suggestions for consummating the internal risk control system of the enterprise "K" according to the successful experiences relating to the internal risk control of the excellent real estate enterprises in China.The innovations of this thesis are as follows:1.Taking the practice of the enterprise "K" as an example, this thesis proposes that the enterprise "K" should establish the risk-oriented internal risk control system.2. On basis of the COSO internal control framework, this thesis builds the internal risk control system from the point of view of the risk management and according to the research findings of the risk management and the internal control theories in China and overseas, and such innovation is different from the method of adopting the sectional type control for the project development’s different development stages which is adopted by most risk control researches.The main details of this thesis are as follows and five parts are included:Part One:During the macro-control period for the Chinese real estate industry, it mainly introduces the background of the internal risk control of enterprise "K", research purpose, theoretical tools and methods of the research, main content and framework of the research and the innovation of this thesis.Part Two:At the beginning, it mainly introduces and appraises the internal control theories in China and overseas as well as the development of the risk management and the current status of the related research. Then, it defines the concepts relating to the internal risk control such as the risk, risk management, internal control, internal risk control.Part Three:It analyzes and evaluates the current status of the internal risk control of the real estate enterprise "K".Part Four:At the beginning, it defines the range of the internal risk control of the real estate enterprises, and then it mainly analyzes the successful experiences of the internal risk control of Longfor Properties Co., Ltd. and Vanke Property and concludes their same features relating to the internal risk control. Subsequently, it puts forward the development direction of the internal risk control of Chinese real estate industry so that they can be helpful for the consummation of the internal risk control system of the real estate enterprise "K".Part Five:It puts forward the rebuilding suggestion for the internal risk control of the real estate enterprise "K" on basis of the comprehensive analysis for the above parts so that the Chinese real estate enterprises can use such experience for reference while establishing the internal risk control system.This thesis is written with the hope of the provision of an inspiration for the consummation of the corporate finance risk management, project risk management and the legal risk control etc. according to the analysis and consummate suggestions for the internal risk control’s current status of the real estate enterprise "K".