Study on International Settlement of Enterprises' Export Trade Business using Risk Management

Abstract

Objectives: This paper aims to analyze the international settlement risks of enterprise export trade businesses using the analytic hierarchy process (AHP) method. Methods: Firstly, the international settlement risks were divided into three levels, including 13 evaluation indicators. Then an evaluation matrix was established. After the consistency test, the indicator and hierarchical weights were calculated for analysis. Findings: The country risk was 0.2081, the foreign exchange risk was 0.2104, the contract risk was 0.4608, the transportation risk was 0.4422, and the credit risk was 0.4852. Among these risks in international settlement, credit risk posed the greatest risk, followed by contract and transportation risks, while foreign exchange and country risks were relatively lower. Novelty:When assessing international settlement risks, the AHP was used, and a judgment matrix was employed to calculate the weights for each level. Doi: 10.28991/HIJ-2023-04-03-08 Full Text: PDF

Keywords

• risk management
• export business
• international settlement
• analytic hierarchy process.