Risk Research Of China Investment On Central And Eastern European Constanta Port

Since2008, with the deepening of the economy crisis in the world, Central andEastern European countries have been deeply effected. Foreign trade and foreigninvestment of the Central and Eastern European countries have both declined, so thereis a strong need for the Central and Eastern European countries to attract foreigninvestment to ease the economic difficulties which they have encountered. China andthe Central and Eastern Europe have a long and friendly history of economic traderelations with each other. There is a better basis for bilateral direct investment and amore prominent comparative advantage for the Central and Eastern Europeancountries in attracting China’s investment. Port construction is an importantcomponent of the national economic infrastructure, which has an enormousinvestment scale and a long construction period. So there are some risks to invest inports, especially in foreign ports, the risks are more diverse and complex. Theexistence of these risks of port investment may result in the loss or even a failure.This article is on the basis of a great amount of literatures and existing theories.Firstly, combined with the economic and trade aspects of the Central and EasternEuropean countries under the economic crisis and the existing policies of the Centraland Eastern European countries as well as China, the feasibility and investmentprospects of China’s investment in Central and Eastern Europe port investment areanalyzed. Then, there is analysis of geographical location, the development andinvestment in status quo of Romania’s Constanta port.To identify the investment risk of the Constanta port, the present various risksare classified, qualitative analysis has been done, the Constanta port ventureevaluation index system and risk evaluation system level system are constructed.Then, consider the quantitative analysis through fuzzy comprehensive evaluationmodel, the Constanta Port investment is in a low-risk, which means this investmentcan be concluded. Finally, measures are brought up according to the result in riskavoidance, risk transfer, risk control and risk retention respects. At present, risk analysis research on China’s investment in foreign ports are rare.Firstly, research on this topic may bring up the quantitative risk model and approachto analyze the foreign ports investment risk. Secondly, the study of risk assessmentforeign port investment makes theoretical guidance for specific countermeasures.Finally, the conclusions of this study have great significance to extend to other areasand other projects of China’s foreign investment.