Interpreting the "Black Swan" Case of United Petrochemical from the Perspective of Behavioral Finance

Most of the huge losses of Chinese financial enterprises in the international market are concentrated in the failure of gambling with enterprises in other countries, which is not only due to the mistakes in internal management decisions, but also due to the deliberate set-up of the counterparty through the skillful application of psychological principles. However, most of the current case studies focus on the discussion of the internal management of enterprises, and there is a lack of psychological research based on counterparties. This study aims to analyze and summarize the case studies from the perspective of behavioral finance, deeply explore the psychological principles of China's losses in the international market, and propose corresponding prevention plans. Based on the perspective of the counterparty Goldman Sachs Group, combined with existing research and behavioral finance theories, this study will expose the psychological trap of Sinopec and Sinopec's "black swan" huge losses in 2019 through stage discussion and detailed analysis. Through case review and theoretical analysis, it is found that counterparties such as Goldman Sachs Group mainly use the principles of behavioral finance, and take advantage of China's financial market's incomplete knowledge reserve of derivatives and operation and management methods, and design relevant psychological traps in a targeted manner. On the basis of understanding the relevant principles, it is proposed to strengthen the learning and mastery of behavioral finance theories of corporate management, and improve the ability to identify and dismantle psychological traps, so as to better prevent losses caused by psychological induction.