The Analysis On The Financialization Of E-Commerce In Internet Finance Age

With the widely application of Internet technology, there are great changes takingplace in every fields of modern economic society. Continuing advanced Internettechnology brings high level of experience consumption. In the context ofcombination of finance and e-commerce, it gives birth to financialization ofe-commerce. Great numbers of e-commerce platforms bring out all kinds of financialservices leading to fierce competition. However, the industry standard is far awayfrom mature with financializtion of e-commerce’ evolution. The financialization ofe-commerce’ behavior is questioned by banks or securities companies while thee-commerce platform is thought to take place of them in financial services supplying.It needs to be solved what the reason the financializtion of e-commerce occurred is,whether the financializtion of e-commerce will bring positive impacts to economicsociety, and what measures can be taken in context to financializtion of e-commerce.This article based on theories of Internet finance and financialization, withconcept financializtion of e-commerce settled, takes the Supply Chain Financingsupplied by e-commerce platform for example, using the game analysis to draw theconclusion that financializtion of e-commerce will help the interest of both traditionalfinance agent and the customers like banks and SMEs. They will get the best result.This article uses the formula of financializtion of e-commerce’ earning, whichdawned from LMDI. The factors influenced the financializtion of e-commerce’earning consists of the index of four types of factors like the Internet industry’smaturity, Internet application level, economic development overall level. Take theyear of2003as the base period, here we get that e-commerce service’s earnings percapita changes during2004-2009with a speed of29.39Yuan and with speed of107.82Yuan during2010-2014.there are two obvious stages from2004-2014, and thelevel of Internet industry and application are the two important pushing factors.This article divided the development of domestic e-commerce financializationinto three stages with qualitative analysis based on results getting from LMDI, whichincludes infancy period (1990s-2003), developing period (2004-2009) and explosionperiod (2010-2014). The kind of e-commerce’ financial services are also becoming more and more. During this period, the financializtion of e-commerce will stimulatethe traditional financial agents’ innovation, meet the small and medium-sizedenterprise financing needs, and contribute to development of the real economy.Drawing conclusion that it lacks of standards e-commerce’ financialization, weaksocial cognition, uncompleted adventure prevention and control system, and succeedin guiding e-commerce financialization’ acknowledgement, dealing with e-commercefinancialization.Take lessons from the successful experience of financialization based on maturemarket environment of e-commerce, such as British’s attaching great importance tothe availability of government policy, the Dutch Global Collect’s pursuing excellencein customer service, and PayPal’s doing well in terms of risk information transparency,paying attention to risk prevention and control of danger. Make it clear that thestrategy of government, electric commerce platform enterprise in risk prevention andcontrol. For the government should attach importance to network in the process theimportant role of promoting e-commerce financialization and encourage thedevelopment of the Internet industry, improve the Internet environment, promote thereform of social informatization, and perfect the financialization of e-commerce lawsand regulations of the supervision system, provides the legal basis for thefinancialization of e-commerce; it is needed to set up the e-commerce financializationindustry association, constraints business platform competition behavior, on behalf ofwhole industry to dissolve the pressure outside from competition; electric commerceplatform are supposed to perfect enterprise staff training system, improve theenterprise overall quality, make efforts to service innovation, and promotecompetition ability, improve risk-guard consciousness, perfect the mechanism ofenterprise’s risk control, etc.