The Importance of Construction Enterprises' Credit Risk Management

The global financial crisis has created o lot of risks for China's enterprises. Furthermore, it has aggravated the credit risk that is confronted by China's enterprises. China enterprises universally lack of professional credit risk management. Through analyzing the credit problems of construction industry and combining the credit risk's actuality of construction enterprises, this article proposes that the ability of credit risk's prevention for construction enterprises is more important than the project's quality and progress. Without credit risk management, construction enterprises survive very hard. Construction enterprises must establish the perfect credit risk's guard system by themselves, because it is very important for construction enterprises to solve their own credit risk's problems and establish good credit environment in the entire economic system. It is very essential to find the effective mechanism and method to solve problems of our construction enterprises' credit risk management.