TABLE OF ABBREVIATIONS ..........................................................................i TABLE OF FIGURES ........................................................................................ii EXECUTIVE SUMMARY.................................................................................iii INTRODUCTION ............................................................................................... 1 1. Introduction of the research topic.......................................................... 1 2. Purpose and scope of the research......................................................... 1 3. Research questions.................................................................................. 2 4. Methodology............................................................................................ 2 CHAPTER 1: INTRODUCTION ....................................................................... 3 1.1 An overview of COMA-IMEX ............................................................... 3 1.1.1 History and development of COMA-IMEX .............................................. 3 1.1.2 Functions and missions............................................................................. 3 1.1.3 Organizational structure............................................................................ 4 1.2. Overview of risk management in international payment at COMA-IMEX ......................................................................................... 5 1.2.1 International payment reality in recent years............................................ 5 1.2.2 Reality of risks at COMA-IMEX.............................................................. 6 CHAPTER 2: THEORETICAL FRAMEWORK.............................................. 8 2.1 Key terms and definitions....................................................................... 8 2.1.1 International payment ............................................................................... 8 2.1.2 Risks......................................................................................................... 8 2.1.3 Risks in international payment.................................................................. 9 2.2 Commercial risks.................................................................................... 9 2.2.1. Risks to sellers........................................................................................ 10 2.2.2. Risks to buyers ....................................................................................... 10 2.3. Risks in payment (financial risks)........................................................ 12 2.3.1. Credit risk............................................................................................... 13 2.3.2 Country risk............................................................................................ 13 2.3.3. Legislative risk ....................................................................................... 15

2.3.4. Foreign exchange risk............................................................................. 15 2.3.5 Interest rate risk ...................................................................................... 16 2.3.6 Risk of selecting unsuitable conditions while negotiating international payment terms ........................................................................................ 18 CHAPTER 3: FINDINGS AND ANALYSIS ................................................... 19 3.1 Business results in recent years............................................................ 19 3.1.1. Reality of financial general status and business operation at COMAIMEX ..................................................................................................... 19 3.1.2. Overall assessment of COMA-IMEX’s real situation of international payment.................................................................................................. 21 3.2. Reality of risk management at COMA-IMEX .................................... 24 3.2.1. Types of risks which COMA-IMEX often faced with ............................. 24 3.2.2. Preventive solutions to risks which have been used so far at COMAIMEX ..................................................................................................... 27 3.3. Overall assessment of risk management in international payments .. 29 3.3.1. Achievements......................................................................................... 29 3.3.2. Failures................................................................................................... 30 CHAPTER 4: RECOMMENDATION............................................................. 31 4.1. Suitable methods of payment ............................................................... 31 4.2. Suitable currency in payment. ............................................................. 31 4.3. Payment methods diversification. ........................................................ 32 4.4. Choosing partners................................................................................. 32 4.5. Human resources.................................................................................. 33 4.6. Relationship with banks....................................................................... 34 4.7. Selecting and negotiating import/export contract conditions............. 35 4.8. Strengthening COMA-IMEX’s business and position........................ 35 4.9. Others.................................................................................................... 36 CONCLUSION .................................................................................................. 37 REFERENCES