Research On The Financial Function Of China's Enterprise Groups Financial Companies

In the western developed countries, the financial company has developed a long time as a financial intermediary. Early in 1878, the first financial company'the Household Finance' in the world has been established in America. The western financial companies played an important role in western developed countries financial market, and they created huge profits for the group company.In China, since the first financial company'dongfeng automobile financial company'established in 1987, Our financial companies of enterprise groups have twenty years of practice, which gradually become an important power of China's financial markets and financial system. In the past twenty years, financial companies of enterprise groups have made outstanding contributions for the development of enterprise group. As the enterprise group's internal non-bank financial institutions, it is based on enterprise group, serviced for enterprise group, and it plays a role to our country enterprise group's development and expansion. In the aspects of service, supporting the economic development and deepening the reform of enterprises, it also plays an important role which other financial institutions can't replay. But, With the accelerating expansion of enterprise group after China joined WTO, financial market has gradually increased in competition. The survival and development of financial company are confronted with new challenges. In this paper. Our financial companies of enterprise groups have been systematicly researched from the financial function and efficiency. This is helped for understanding the financial environment and accurate financial functions. Then Our financial companies of enterprise groups can be invincible in competition with other financial institutions, such as the commercial Banks. Therefore, explorering the financial function and efficiency of our financial companies of enterprise groups has important theoretical and practical significance. The article is divided into six parts.In the first part, the chapter is the introduction. The research about financial company of scholars both at home and abroad is analyzed at first. The main problems and the research topics are raised. Then the related concepts of financial companies of enterprise groups are explained. Chapter 2 is the theoretical basis of financial companies. This chapter discusses the theoretical basis of financial company respectively from the financial intermediary theory, the theory of internal capital market, information asymmetry theory, theory and the value chain theory.In the second part, international experience of financial finance companies were compared from the perspective of functions. We should draw experiences and lessons from financial companies of enterprise groups of the western developed countries in financial functions and business, characteristic business, operation environment and legal environment, capital sources and risk management system. This can provides a useful reference for the healthy and rapid development of our financial companies of enterprise groups.In the three part, the current situation of financial companies of enterprise groups in China is analyzed. The existing problems of our financial function were discussed. Financial companies faced fierce competition in internal and other financial institutions. Due to the regulatory policies, the financial innovation is inhibited, which is causing single capital source structure and single term, single species, incomplete services, defective risk management function, incomplete credit system, poor financial professionals. It will affect the financial function.In the fourth part, the perspective of efficiency. This section contains the fifth chapter. Chapter 5 for our financial company financial efficiency, empirical studies conducted by China financial company financial efficiency, and to find the cause of low efficiency of financial companies are discussed. Think of the regulatory policies, inhibit the financial innovation, causing financial company capital source term structure, a single species, services, business is not perfect, measures of risk management function lack, credit system is incomplete, financial professionals short, uneven professionals such problems, affects its financial function.The fifth part countermeasures. The author was occupied in the financial company working experience for many years, In my view asl a regulator, stakeholders and financial trade and financial companies of all participants in the game and puts forward the financial companies of enterprise groups with efficiency of financial functions of ascension. Chapter 6, based on the analysis of the fifth chapter on our financial companies, financial function and was discussed. Macroscopically in financial company financial function ascension of selection problem. In different stages, our financial company financial function orientation is endless and same, every stage has its financial function orientation of focus on. According to our country's financial company financial function to display the problem of insufficient, The author puts forward from microcosmic among developing business, focus on developing investment banking, mining assets business new varieties, vigorously develop an insurance agent, strengthen risk management, strongly advocated the development of financial function value concept of six aspects of our country's financial company financial function.The sixth part is conclusion. This section is the conclusion and prospected. According to the foword text and analysis, this paper have obtained the conclusion of the following aspects:our country finance companies and financial companies in the western developed countries gap exists between, Our financial company financial function orientation, with its unique advantages, Our financial company overall financial efficiency is low, the financial function shortage, Our financial companies need in ascension, On the micro financial function to excavate and imporve its financial efficiency.Those may be the innovation points:(1)Study on the financial function and efficiency of our country, from the perspective of financial companies of enterprise groups for the systematic research.(2) the comparative study of the system is analyzed betwwen Chinese and western developed countries financial company financial function.(3) Using DEA method, Research and evaluation of financial efficiency of financial companies of enterprise groups of my country.(4) On the basis of research, How to improve our financial company financial function and efficiency, The paper puts forward a feasible countermeasures and Suggestions.(5) In this paper, the policy suggestions for financial companies of enterprise groups in the financial function to regulate baseed on analysis and empirical analysis. Financial companies of China's financial function orientation of financial companies, financial function orientation of choice, the author puts forward his own opinions and suggestions.(6) In practice, the problems in financial company financial function and efficiency ave been pointed out, Puts forward some advice from practice,to promote financial function and efficiency of financial companies of enterprise group, summarizing financial company development countermeasure of China have certain practical significance...