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Risk perceptions and risk management approaches of Chinese overseas investors: An empirical investigation

Ullah, Subhan; Wang, Zheng; Stokes, Peter; Xiao, Wen

Authors

Zheng Wang

Peter Stokes

Wen Xiao



Abstract

This paper presents empirical evidence on how Chinese firms perceive and tackle risks associated with their overseas investments. Using a first-hand survey dataset of Chinese firms who invest abroad, we depict variations in (1) the levels of different types of perceived risk, and (2) the risk management approaches taken by these firms. These variations are assessed with respect to three prominent factors: firm ownership structure, investment motives, and the host country institutional quality. Our evidence uncovers a significant degree and pattern of heterogeneity in the strategic behaviour of Chinese investors in risky environments.

Journal Article Type Article
Publication Date 2019-01
Print ISSN 0275-5319
Publisher Elsevier
Peer Reviewed Peer Reviewed
Volume 47
Pages 470-486
APA6 Citation Ullah, S., Wang, Z., Stokes, P., & Xiao, W. (2019). Risk perceptions and risk management approaches of Chinese overseas investors: An empirical investigation. Research in international business and finance, 47, 470-486. https://doi.org/10.1016/j.ribaf.2018.09.008
DOI https://doi.org/10.1016/j.ribaf.2018.09.008
Keywords Chinese overseas investment; Risk management; Ownership structure; Investment motives; Institutional quality
Publisher URL https://www.journals.elsevier.com/research-in-international-business-and-finance