Risk Analysis And Prevention Of Guangzhou Company’s Overseas Investment

At the Third Plenary Session of the18-th CPC Central Committee，the "going out"strategy has been promoted to an important position comparable to the "bringing in"strategy. Under the new situation,"going out" has become an important strategicmeasure. It’s a major strategic decision made by the CPC Central Committee and theState Council to grasp the development initiative of the new era, to further expand thedevelopment and security space. This sets a higher demand on Guangzhou, where theexport-oriented economy occupies a pivotal position，further promotes the Guangzhoucompanies to speed up overseas investment, in order to ease the restriction of theresources, the rise of the factor cost, the increase of foreign anti-dumping, thus topush up sustainable development of economy. However the complexity of theinternational situation and investment environment will pose challenges to the riskmeasuring and preventing of Guangzhou overseas investment. Guangzhou enterprisesmust attach great importance to the risk of foreign investment, thus to minimize thelosses.This study takes the overseas investment risk of Guangzhou enterprises as the subject.Firstly, this paper Analyses overseas investment process, the comparative advantages,the significances, the necessity and the feasibility of Guangzhou Enterprises, and onthis basis, use the theory of risk systematically analyses the overseas investment riskof Guangzhou enterprises. The risk can be divided into three levels: the macro, mesoand micro.Secondly, build the overseas investment risk measurement and early warning modelwith Fuzzy mathematic theory and AHP.Last but not least, propose the measures to prevent the overseas investment risk fromthree aspects of government level, enterprise level and the third-party level.