Study On The Profit Model Transformation Of China's Commercial Banks Under The Background Of Internet Finance

Banking is the most mature financial industry in our country,always bear the important mission of financing for the real economy development,while playing a supporting role in the development of national economy,commercial Banks have realized their rapid development by virtue of the continuous growth of credit scale.The net profit of listed commercial Banks has been maintained at more than half of the total profit of listed companies in China for a long time.But in recent years,along with our country economic growth is slowing,the rapid advance of market-oriented interest rate reform and vigorous development of the Internet financial,Commercial Banks are confronted with such problems as weak growth of credit scale for public business and narrowing of interest margin income space.The traditional profit model dominated by interest margin income for public business has gradually become more and more prominent,and the growth rate of net profit of commercial Banks continues to decline.How to maintain and improve the profitability of commercial Banks and promote the transformation of the profit model of commercial Banks have become the focus of both practice and theory.In this paper,taking the four essential factors of profit model as a research starting point,based on financial intermediaries,financial function,financial disintermediation,long tail market and technology spillovers theory,the integrated use of literature induction,comparison analysis and other methods,analyzed the experience of foreign commercial Banks profit model revelation,the shortages of our country commercial bank profit model and explores the Internet financial impact on commercial bank profit model,on the basis of combining with China merchants bank profit model transformation practice,analyzed our country commercial bank profit model under the background of the Internet financial transformation path.The results show that there is still a big gap between China's commercial Banks and foreign advanced commercial Banks in terms of business scope,value acquisition mode,customer choice mechanism and profit barrier basis.Internet finance has caused a certain impact on commercial Banks,but its scale is still small and the impact is within the tolerable range,the pressure of commercial Banks'profit model transformation mainly comes from the lack of expansion of credit scale and the narrowing of interest margin income space.Faced with the changes in the economic situation and competitive environment,China's commercial Banks have a number of profit model transformation paths to choose from.China's commercial Banks should adhere to the direction of the transformation from the profit-oriented model of spread income to the profit-oriented model of spread income,non-spread income and heavy-duty profit-oriented model,optimize the income structure,enhance the attention to the retail financial market,improve their own business system by using fintech,and realize the transformation of profit model.