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The Risk Management Research of Virtual Enterprise Based on Auction

We research on the risk allocation problem of virtual enterprise, and put forward a method to solve the risk management problem of virtual enterprise based on auction. Firstly, the leader requires the members to use bidding mechanism to offer the risk control level and the corresponding risk control cost. Then the leader uses the risk decision model to maximize the risk control revenue with the bidding information offered by the members. Finally, the leader decides who undertakes the risk control task according to the decision result. The method can help the leader to effectively assign the risk control task among the virtual enterprise. We provide a new way to manage the risk of virtual enterprise.