A Study About China Citic Bank's Supply Chain Finance Mode

With the competition between different enterprises becomes the competition of the supply chain, and the SMEs growing demand of the funds, supply chain finance emerged. Supply chain finance effectively put the cash flow into the supply chain, associated different participation of the main body. It applies various integrated products and services, through information sharing, coordination and organizations methods such as integrated logistics, capital flow, information flow, operating cash flow to reduce the cost of the supply chain and create value. In addition, this financing model focused on the research of the entire supply chain, from the enterprise in which the supply chain and the relationship between upstream and downstream enterprises to consider the repayment capacity of small and medium enterprises. It has greatly eased the financing difficulties of SMEs due to their own financing constraints.So,it's considered as an effective way to resolve the current financing difficulties of SMEs.As an earlier commercial bank in applying Supply Chain Finance, China Citic Bank has large market and customer base, especially in the fields of automobiles, steel and appliance financial network. Therefore, we firstly study the Supply Chain Finance and related theory, then sum up several typical modes and the potential risk. Based on this, we analyze the China Citic Bank' Supply Chain Finance, then we choose China Citic Bank'specific examples in petrochemical industry-Dalian HX company Supply Chain Finance application to study the bank's financing mode selection and risk, points out appliance in the Supply Chain Finance means a lot to a bank in the countermeasure bank debt financing,supplying chain business, improving risk management, developing customer relationship and so on.