The Study On The Financial Cluster Influencing Factors

Since the1970s, increasing financial institutions began to adopt a coordinated manner among enterprises to organize trade and production activities, from the initial concentration of a handful of banks to the rise of a financial holding company, and then to the today’s spatial agglomeration of different types of financial institutions, clustering has become a basic form of modern financial industry organizations. There has already formed the New York, London and Tokyo as the three major representative international financial gathering district in the worldwide, and in some emerging countries and regions, there is a clear trend of concentration of financial institutions. In the1990s, through the tax preferential policies Singapore attracted a large number of financial institutions to gather around. Domestic financial institutions agglomeration is also raging like a storm, Beijing Financial Street has become a gathering place of domestic financial institutions, The trend Shanghai Pudong financial institutions to move together is also very obvious. Therefore, there is a urgent need of theoretical analysis of factors affecting financial agglomeration in order to guide the financial cluster formation.The financial agglomeration is not only a state or results, but also a process. On the one hand financial agglomeration can be seen as a result of financial resources regional movement, a regional concentration of financial institutions and their services providers, so that the financial institutions and their service providers in this region will reach certain scale and concentration degree, thereby forming a financial agglomeration district. On the other hand, the financial agglomeration is a process, that is, from the dynamic perspective to define the financial agglomeration, refers to financial resources flow to a region with some region superiority under certain conditions, where the superiority include regional advantages, and also other conditions impact the financial Agglomeration. The constant flowing and selection is a organic process of financial resources to reach a certain size and concentration degree.Financial agglomeration development has four stages, the initial stage (formation stage), accelerated stage, steady stage and diffusion stage. From a practical point of view, China’s financial agglomeration development has gone beyond the formative stages into the acceleration stage, regional financial centers emerge one after another. Such as Shanghai, Beijing, Guangzhou, Chengdu, Chongqing and other cities are all establishing regional financial center, and some places even plan to create an international financial center. This study suggests that, the financial agglomeration of China is at the acceleration gathering stage, the financial resources is accelerating converging to the regional financial center, the specific performance of the converging is financial institutions and branches in different major cities flow to financial business district together. In summary, the financial resources regional agglomeration of China is at the acceleration gathering stage, but the speed of development depends not only on the financial markets development, but also depends on institutional constraints.Financial agglomeration theory is based primarily on economic development determinism, the central diffusion theory, the combination of information theory, financial geography theory. Spatial concentration of financial resources has the following main benefits:First, the financial agglomeration, one can share information with each other, achieving the optimal combination of information. Second, through the construction of the financial agglomeration region, it can drive the surrounding area development. Third, through financial agglomeration, especially the accumulation of financial functions, it can give full play to the financial role in promoting the regional economy. Based on the theoretical analysis, this paper did empirical research to analysis the factors affecting financial agglomeration, using the provincial panel data from2000-2011of the fixed and mobile telephony and other information and communication level indicators, government level, the level of economic development and other indicators of financial resource. Especially the indicators of government level, the level of information and other indicators of spatial concentration of financial resources, the results showed that:the first stage of China, economic development degree is still the main factor to promote financial resources spatial concentration. Second, the information infrastructure obvious affects the financial agglomeration. Third, the government may affect the financial agglomeration.Through theoretical and empirical studies, we observed such a phenomenon, the local government promote financial gathering area construction, preferring to land policy, tax incentives or personnel placement measure and so on, but paid little attention to the financial industry information sources and transmission channels. Local governments should change their concepts, on the basis of the original external stimulus policies, strengthen the construction of the internal conditions such as information source and its transmission mechanisms, focus on improving the market formation mechanism of financial information, careful handle boundaries of financial agglomeration process of government and market to maximize financial agglomeration spillover effect. In sum, the information source formed from information and communication technology is an important factor affecting the financial agglomeration, but the government’s outside thrust can accelerate financial gathering.Finally, through analyzing the Lize Business District construction, the paper the level of economic development is still the main cause of financial agglomeration. The higher the level of economic development, the greater the financial needs, financial needs can cause financial resources gathering spontaneously in a certain area. And this spontaneous gathering geographical area is especially important, which not only with the convenient transportation, but also the high level of informatization, while a large environment to rely on, such as big cities like Beijing. Besides other necessary conditions, there is a need for a sufficient condition that the government supports. With various policy measures guiding by government, the financial resources are gathered in an area continuously, thus forming the financial agglomeration regional. Financial agglomeration regions gradually expand from small to large, inside to the outside, and finally form a financial business district in the city, within one country it may formed as regional financial center, while in an international context it may formed as an international financial center.