Analysis Of The Strategies For The Development Of Auto Finance Service In China

It is agreed in the Chinese academia that auto finance companies will become dominant in the development of auto finance service in China. With the promulgation of the Administrative Rules Governing the Auto finance Company, foreign auto finance companies have entered the Chinese market and started practice. However, such issues have remained unsolved as the diversification of financing approaches and the risk management of domestic auto finance service. There are a lot of questions to be discussed as for the enactment of relevant laws and regulations and the establishment of social credit system for the auto finance service.This thesis aims to explain the significance of auto finance service, analyze the status quo of domestic auto finance development, study the relevant key issues and propose development strategies for domestic auto finance service based on the successful practice of developed countries and the current situation of China. And the contents are arranged in the following structure. Introduction comes first, which introduces the origin and development, primary concepts and relevant theories of auto finance service. The second part is the analysis of foreign auto finance service, which introduces specialized foreign auto finance institutions, the profit-making and financing approaches of foreign auto finance service and the successful secrets. The third part analyzes the development of Chinese domestic auto finance service by positive research, explains the effects that auto finance has on the Chinese auto and financial industries, studies the domestic auto finance market and the relationship between major players such as auto finance companies and banks, and introduces the operational situations of domestic auto finance. Given the problems rising in the development of domestic auto finance service, the fourth part proposes pertinent strategies for the healthy development of auto finance service in China with the successful foreign experience, which includes improving the market conditions, developing profit-making approaches and specialized auto finance service etc. Finally comes the conclusion of the thesis with the prospect for the development of auto finance service in China.