Research On Consumer Finance Business Development Strategy Of A Financial Service Company

Investment,consumption and exportation are three engines which drive the national economy.China's economic growth is experiencing a major transition from investment and export-driven to domestic demand,especially consumption.Consumption will be the lead engine of development in a long period with the consumption structure improving,which promotes our domestic economic transformation and upgrading.In 2009,the China Banking Regulatory Commission issued the Management Measures for Pilot Consumer Finance Company.Beijing,Tianjin,Shanghai and Chengdu were the first pilot cities selected for consumer finance business and the consumer finance business rose formally.In 2013,the new pilot cities of consumer finance business reached 10 and the consumer finance business was brought to the whole country in 2015.A Financial Service Company was founded in November 2013,whose founders set up the first consumer finance company in China.With four years of development,A Financial Service Company has been the largest one of native consumer finance companies in Chongqing,with excellent organizational structure and enterprise culture,and a self-built team,including management and sales.At present,A Financial Service Company has gone into partnership with 20,000 commercial tenants offline,with mature e-commerce platform and risk control system.However,consumer finance business extending over the whole country after 2015,meanwhile,under the high growth and large expansion of the business during the year of 2016,A Financial Service Company met with series of risk and difficulties from the internal operation.Besides,the whole industry gets to return to reason,with much more stricter control of the major regulatory environments and serious homogeneity of products and service,consequently,the company need to be upgraded in this situation.In this paper,A Financial Service Company is the research object,and it introduces the origin of consumer finance industry and the mature business operation mode and advanced experience from the developed countries and regions,such as America,Europe and Hong Kong.This article also views the status of consumer finance business in China and emphasizes the current development and the strategy of the A Financial Service Company with the strategic management theory.In the analysis,the PEST model is used to identify macro-environmental factors affect the company operation and the five forces model is adopted to specify the competition environment of the industry.And the author uses the SWOT analysis method to analyze the internal and external environment of the company.It finally discusses the development strategy of the consumer finance business.Then it gives some overall suggestions about the long-term strategic planning and specific practice in consumer finance business for A Financial Service Company.In conclusion,in terms of competitive environment,the consumer finance industry comes to return rational status after the explosive growth and it changes to focus on detailed management in vertical field.Although the industry climate is changing,there are opportunities in the industry.According to research,it suggests to take focus strategy to provide protection for the company further sustained and long-term development.And the four strategies that high quantity,light assets,regional advantages and online-offline development will be the better choice for the transformation and upgrading of the company.These strategies will boost to improve the company profit,staff quality,cooperate culture,etc.