The Introduction Of Logistical Finance To SME Financing In China-theory And Application

With the rapid development of economics in China, the modern logistics discipline deserves more and more attentions. At the same time, accompanied with the puzzle of SMEs financing, there comes the concept of logistical finance, it is the combination of financial serves and logistical serves. What it means is that by developing and applying all kinds of financial products, the banks organize and corporate the cash flows effect in the logistical serves process. There are more and more banks joining the team which corporate with the logistical enterprises now, they help to finance SMEs by the logistical finance. And what's more, there are good results. However, the logistical finance in China is still developing compared to the foreign country, and there are lots of problems. What a pity, most of present researches on logistical finance are care about the model and the risk situations, and the researches which really thinking about the actual situation and application of SMEs financing are less. Is there a theory base for the introduction of logistical finance to SMEs financing? What about the situations of application? And what problems and risks there would be in the process? This paper will tell you all the answers. The paper attempts to get the possibility and the necessity of introducing logistical finance to SMEs financing, from the perspective of economic theory (game theory) and the actual applications (Shenzhen development bank). Also, the paper analyzes the risks which maybe appear in the logistical finance process and give some advice for the development in future.