H Bank Financing Issues And Counter Measures For SME’s

As known, Small and medium-sized enterprises(SMEs) are the backbone of all economies and are a key source of economic growth, dynamism and flexibility in advanced industrialized countries, as well as in emerging and developing economies. Small businesses also are particularly important for bringing innovative products or techniques to the market. Since that, financing is necessary to help them set up and expand their operations, develop new products, and invest in new staff or production facilities.H Bank as a global bank, always pays more attention in SME’s business, and structures some useful banking products for SME, like capital financing, trade financing, Supply Chain financing etc. Most of these products are important for SME to get more working capital to expand their business, do more innovation, and create more job opportunities. The research shows that there is much space for H Bank(China) Corporation to improve their lending service, and credit system to SME.From this thesis, we will describe the case of H Bank(China) Co., Ltd and analyzes its financing issues to Small and Medium Enterprises using market share theory, and SWOT theory. First of all, according to the financing problem of SME, and the facility issues from bank, this paper raises the main research topic and questions. Secondly, considering the problem, we will sum up five factors affecting bank’s financing issue for SME. Thirdly, base on the full analysis of the current status, we discover that there are some obvious problems between SME and bank, and then Market Share theory and SWOT theory will be helpful to point out the solution methods. Finally the evidence suggests that lending to SME is so important to the bank, and should improve the banking facility product.