China Insurance Group Resource Integration

With entering the 21st Century, the China's current macroeconomic situation are more and more effected by the global macroeconomic situation. And the On the other hand, the progress of financial reforms and improvement of life insurance functions drive the Chinese financial sector into an era of integration and competition. Under this historical background, the process of the insurance company building to the insurance group has enter the seedtime of "how to develop to an insurance group" from the seedtime of "why to develop to an insurance group". In this seedtime, the insurance groups' resources integration has been becoming the focus to answer how to develop to an insurance group. So this article focuses on the insurance groups' resources integration. In this article, the Asset-Liability Management (ALM) Theory is thought of the most important and characteristic theory which has been used as an enterprise strategy management theory. So it's practical and the forward-looking to do the research of the insurance groups' resources integration in China with the perspective of asset-liability management (ALM) theory.Based on the topic, this article depicts the following seven chapters.In the introduction, the article defines the major topics such insurance group, resources integration and so on. The background, significance, innovation, means, disfigurement and the conclusion of this research will be state in this part.The topic of the second chapter is the theory basement of the insurance groups' resources integration. It includes the institutional economics, competition theory, economy of scales theory, economy of scope theory, coordination effect theory, Information Economics, panel data model and the asset-liability management (ALM) theory etc.The topic of the third chapter is the domestic practice-the research to the insurance groups' resources integration in China. First of all, this paper analyses the motility of the insurance groups' resources integration. On base of this, it summarizes the pattern and the passes of the insurance groups' resources integration in China. At last, it concludes the regulatory measures to the financial companies, insurance groups and the insurance groups' resources integration in China.The topic of the fourth chapter is the international practice-the truth analysis to the global insurance groups' resources integration. At first, this paper presents a representative cases analysis which including the Cathay financial holding company in the Taiwan area (Cathay) , the AXA insurance group in France (AXA) and the America International Group in USA (AIG) . The three insurance groups are the representative from Asia, Europe and USA. Cathay and AXA are the typical characters which obtained the success in resources integration and AIG is the unsuccessful one. AXA and AIG are the examples which integrate their resources in global and Cathay does this domestically. Following, this part focus on the international regulatory measures to the financial companies including insurance groups in USA, EU, Japan and Taiwan area.The topic of the fifth chapter is the insurance groups' resources integration theoretic frame- with the perspective of asset-liability management (ALM) theory. This part is the core of the whole paper. At first, with the perspective of ALM theory, the insurance group's resources are divided to asset management resources and the liability management resources. So the insurance groups' resources integration includes the resources integration between the asset management resources, the resources integration between the liability management resources and the resources integration between asset management resources and the liability management resources. All the above three resource integrations include the approaches and the ways to control the risks. The resources integration between asset management resources and the liability management resources is the stratagem of the insurance groups' resources integration, and it also is a key run-through the insurance groups' management.The topic of the sixth chapter is to make two econometric models to test the insurance groups' resources integration theoretic frame- with the perspective of asset-liability management (ALM) theory. Firstly, the paper uses the panel data model to compare the efficiency in different types of insurance and finance enterprises including financial groups , Insurance groups , life insurance companies, non-life insurance companies, reinsurance companies, commercial banks and investment and chartered banks. And the conclusion is that, because of the insurance groups' resources integration, the insurance groups are more preponderant than the single-crop farming financial enterprises. Secondly, the paper makes a linear equation to analyses the relationship between the efficiency of ALM and the efficiency of the resources integration. And the conclusion is that, insurance groups' resources integration theoretic frame- with the perspective of asset-liability management (ALM) theory is efficient and effective.The topic of the seventh chapter is the insurance groups' resources integration theoretic frame- with the perspective of asset-liability management (ALM) theory being used in the insurance enterprises. In the insurance group, the parent company is the organizer and valuator in the insurance groups' resources integration. The subsidiary companies are the participators and runners in the insurance groups' resources integration. The parent company integrates the recourses through the market mechanism and administrative means. The resources integration in the subsidiary companies include the integration between the asset management subsidiary companies, the integration between the liability management subsidiary companies, and the integration between the asset management subsidiary companies and the liability management subsidiary companies.The topic of the eighth chapter is the insurance groups' resources integration theoretic frame- with the perspective of asset-liability management (ALM) theory being used in the insurance regulatory organization. Firstly, this part reviews the regulatory to the insurance group in China. Secondly, the blind spot and the key spot in the insurance group regulatory are pointed. Last but not the least, this part presents the suggestions for the insurance groups' resources integration with the perspective of ALM theory in China. It includes the regulatory thinking, regulatory mechanism and the regulatory system.The topic of the ninth chapter is the conclusion and expectation. It is the brief summary to the research and the view to perfect this research.In all of the chapters, the introduction is the part to bring the question, the fist three chapters are the part to analyze the question, and the last three chapters are the part to solve the question. In the side of the research of methods, the article thinks that one single study methods has the localization. So this article tries to integrate the relative two methods together such as integrate the positive and normative analysis together, integrate the micro and macro analysis together, integrate the economics and management analysis together, integrate the contrast analysis and historical analysis together, integrate the dynamic analysis and static analysis together, integrate the case study and econometric study together. The possible breakthrough of this article mainly includes three aspects. Firstly, the research target is innovative: it first analyzes the insurance groups' resources integration. Secondly, the research perspective is innovative: The ALM theory is used as not a tactical way but a strategic idea to analyze the insurance groups' resources integration in China. Thirdly, the research result is innovative: The insurance groups' resources integration theoretic frame-with the perspective of ALM theory is built up and applied in China. Besides, there are other three breakthrough points: firstly, the paper uses the panel data model to compare the efficiency in different types of insurance and finance enterprises including financial groups, Insurance groups, life insurance companies, non-life insurance companies, reinsurance companies, commercial banks and investment and chartered banks. It is possible innovative in the methods and number of the data. Secondly, it summarizes the pattern and the passes of the insurance groups' resources integration in China. Thirdly , the paper builds up the multiple-objective-comprehensive-evaluation system (MOCE) for the insurance groups' resources integration in China and the indexes and their weights are discussed in the paper.