Research On The Impact Of Internet Finance On The Profitability Of Traditional Commercial Banks

With the advancement of technology,the Internet industry has penetrated more and more traditional industries.The financial industry has also been deeply influenced by the Internet,forming an emerging financial format of Internet finance,which has made China have two major financial systems: traditional commercial banks.And internet finance.With the rapid development of China’s economy,China has entered the era of consumption,and has higher requirements for the improvement of consumption and quality of life.Internet finance is rapidly integrated into people’s production and life by virtue of its own advantages and characteristics.Internet finance is mainly composed of three platforms: third-party payment represented by mobile payment,P2 P network lending and Internet wealth management.Due to the impact of Internet finance,the dependence of enterprises and individuals on traditional commercial banks is declining,which makes the profitability of traditional commercial banks suffer.Serious impact.By sorting out the quarterly financial data of 16 listed commercial banks in 2013-2017,the paper found that the growth rate of net profit,interest income and non-interest income of commercial banks showed a downward trend.Whether the changes of commercial banks are due to the influence of internet finance,this paper first analyzes and makes research hypotheses from the theoretical aspects,and then empirically analyzes the profitability of traditional commercial banks on the Internet.Through empirical analysis,it finds that the three major platforms of internet finance are for traditional commercial banks in China.Both short-term and long-term profitability have an impact and long-term impact is greater than short-term impact,and the empirical results are consistent with the assumptions.Since 16 listed banks are divided into state-owned commercial banks,large and medium-sized commercial banks,and city commercial banks,this paper further analyzes different types of banks and finds that different types of banks have different market positions,business models,and value concepts.The same,the impact of Internet finance is different.