Risk Analysis And Protection Measures Of China's Private Enterprises Foreign Direct Investment

In recent years,the quantity and quality of the Foreign Direct Investment of private enterprises in our country showed a significant upward trend,and played a leading role in China's Foreign Direct Investment.As the private enterprise itself grows stronger,private enterprises actively take the initiative to explore effective ways to participate in the cooperation and competition of the world economy.They take full use of the effective combination of the two markets at home and abroad.The new leadership pay more attention to private enterprises Foreign Direc t Investment.The party's18 put forward to building benefit population of a well-off society by2020.This period focus on deepening reform and opening up,accelerate the economic transformation and put forward to encourage private enterprises to expand overseas markets.Therefore,in view of the private enterprises formulate and implement of a series of encouraging policies,for private enterprises to expand overseas markets provides a good external conditions.The ministry of commerce put forward the management model about “the record is given priority to the approval is complementary”,simplify the procedure of overseas investment,shorten the work time,improve the efficiency,for private enterprises to expand overseas markets opened up a green channel.According to the ministry of commerce,private enterprises of foreign direct investment growth rate significantly exceed the growth rate of state-owned enterprise overseas direct investment in 2015.And the role of private enterprises in C hina's foreign direct investment is becoming more and more significant,the foreign direct investment growth rate has significantly over the state-owned enterprise in 2015.Gradually private enterprises towards to the direction of globalization,but also shows that the eco nomic development of our country gradually mature.Compared with the state-owned enterprises,private enterprises of foreign investment have its unique advantages.For instance,private enterprises have more attention to investment efficiency,easily accepted by other countries and more quickly adapted to the host country market demand.In the meantime,we must be aware that private enterprises in the pace of "going out" is not smooth.The 12 th five-year plan clearly puts forward clearly that our country enterprise should improve overseas earnings,it also suggests that the rate of return on investment is low.The risk of Private enterprise is more outstanding in the foreign direct investment.Private enterprises due to its small scale,weak anti-risk ability,financing difficulties,faint legal consciousness,etc.,and in the foreign direct investment it has weak risk management,low risk tolerance,the low level of risk management,backward means of risk prevention,etc.Therefore,this article research on private enterprise of foreign direct investment risk prevention system is of great significance.This article based on the foreign direct investment theory,considers our country private enterprise of foreign direct investment activities as the research object.First of all,we analyze the outward FDI motivation and current situation of private enterprise in the macro level in order to find the features and tendency of China's private enterprises.Secondly,we analyze the risk cause of C hina's private enterprise of foreign direct investment from the perspective of the host country to summarize the main risk to the private enterprises of foreign investment and the main characteristics of the risk.Through private enterprises risk cases of foreign direct investment in recent years,we calculated the probability of all kinds of risks and combined the method of analytic hierarchy process to establish risk evaluation index system and evaluation model.We hope that through the typical case analysis and comparison of the foreign direct investment,theory with practice,the risk of specific performance to provide the experience for reference,for other private enterprises in our country,especially small and medium-sized private enterprises "going out".Finally,the dissertation puts forward some suggestions and practical experience for China's private enterprises for foreign direct investment.