Research On Risk Control Of S Company’s Equipment Import Agency Business

With the continuous development of the global economy and the deepening of China’s reform and opening-up,China’s foreign trade has developed vigorously and become an organic part of the national economy.Especially for the import of foreign sophisticated equipment,on the one hand,foreign advanced technology can be introduced and used in the manufacturing industry that improves people’s living standards to meet the people’s demand for high-quality products.On the other hand,it can force the development of China’s scientific research and technology and enhance the country’s ability of modern science and technology.Therefore,China’s import of mechanical and electrical equipment have been rising in recent years.While enjoying the opportunities given by the times,foreign trade companies must also face various risks.For the equipment agent import enterprises,they charge a small amount of agency fees but may bear huge risks,so it is necessary to carry out systematic and comprehensive risk management.However,the current academic research on the risk management of the import agency industry is not sufficient,especially the research on the risk management of the equipment agency import industry.Therefore,the author hopes to combine the foreign trade agency theory and the theoretical basis of enterprise risk management with the actual situation,and conduct a comprehensive analysis and combing of the business development situation and business development risks faced by Chinese equipment import agency enterprises.And choose an equipment import agency S company as the research object,explore whether S company’s risk management measures are effective and what the future direction of optimization,and based on this to provide risk management experience for Chinese equipment import agency enterprises.This paper adopts literature research method to study foreign trade agency theory and risk management theory,as well as relevant literature on risk analysis and countermeasures faced by import agency business and relevant literature on the implementation of enterprise risk management.Analyzed the current situation of China and S company’s equipment agent import business through public data and internal data.Taking S company as the research object,combining theory with practice,using flow chart method and interview method to identify possible risks in the equipment agency import business.Then carry out case analysis and summarization of these risk factors,and analyze the severity and probability of occurrence of these risk factors,and how they will affect the company.Finally,corresponding preventive measures are put forward for these risk elements,and the risk management method that is compatible with the equipment agent import industry is explored.And combined with the current business development status of S company,put forward optimization suggestions for its risk management system construction.Provides some reference experience for other enterprises in the same industry in China.In this paper,the flow chart method and interview method are adopted to identify the customer credit risk,contract document risk,market change risk,policy and regulation risk,transportation and storage risk,operational risk and geopolitical risk faced by the equipment import agency business of S Company.Focusing on the characteristics of the industry and the actual situation of the company,the corresponding risk prevention methods are proposed,such as strengthening pre-and dynamic reviews,standardizing processes and approvals,strengthening the development of new industries and new models,flexibly using financial products,actively abandoning risky projects,risk transfer as well as risk prevention,strengthen cooperation between different departments,and take preventive measures in time when new risk factors appear etc.On this basis,the author puts forward optimization suggestions for the risk control of S company.Such as strengthening active research on the client’s industry,introducing external information to establish a credit and rating system,recruiting professional risk control talents and building a professional risk management system etc.Finally,the author points out that the future research direction is to closely integrate risk management with corporate strategic management,and use emerging technologies such as the Internet and big data to improve the accuracy and effectiveness of risk management.