Study Of China’s Securities Industry Based On SCP Paradigm

The foreign securities company have serviced for several hundred years and China’s securities company was born only20years ago. Compared with foreign mature securities markets in developed countries and its scientific supervision system, perfect securities products, China’s market was new. But as an emerging market, China securities market dependent on growing economy. With China’s economic take-off, the securities industry in China has enjoyed rapid economic growth driving force, Compared to the other countries’ securities industry. The birth of China’s securities industry is a capital market demand for the product and the need of government policies, so our government is paid close attention to the development of the securities industry. Since the birth of the security industry in China, so to speak on such a short time to make so much progress, which with the government’s policy to promote and support are inseparable. But as securities market gradually towards the right track and market-oriented operation, the government executive power become obstacles hindering the development of the securities company in China. So this article tries to explain the government policy on our country present stage of the securities industry is inefficient, is in need of improvement. And this article try to find out the influence factors for promoting the securities industry in China.SCP paradigm was made up and constantly improved by industry economics great scholars Mason, Bain and shcherer. It built a theory framework:the structure, conduct and performance. It made the study of industry economics become more scientific and had meaning. Future generations to continue developing of SCP paradigm, constantly to improve and revise it, make it apply for different countries or regions, different environment, different industry. Abroad on the basis of the SCP paradigm of the study of the financial industry has been relatively comprehensive analysis, and the domestic relative to a late start, and is still mostly is the study of the banking sector. The securities industry is pretty important for the economic development of China, the author thinks that government should pay more attention on securities firms.This paper will be based on the SCP paradigm to research structure, conduct and performance of the China securities industry. This article first elaborates the related theory of SCP; Then respectively analysis the main three aspects, namely the structure, conduct and performance of the China securities industry. Finally, by means of empirical reveal SCP paradigm in the securities industry in China present situation of application of and put forward the corresponding policy recommendations.The article make a conclusion:the market concentration of China’s securities industry can’t effectively affect the market performance, and operational efficiency of the enterprise can have significant effect on market performance. It highlights the operational efficiency of securities companies for the importance of the overall development of the securities industry in China.