The Research On Function Of Relationship Lending For Medium-Sized Enterprises (SME) Financing Of Our Country

Since economic-reforming small and medium-sized enterprises (SME) havealready become important strength of national economy in China. However, in China,because of SME's own characteristic and reason of the information asymmetry, thedevelopment of small and medium-sized enterprise faces the difficult puzzlement offinancing, and this restricts the function and development of SME seriously.This text combines reality of our country economic development and thecharacteristics of SME, in order to analyze that relationship lending is effective andnecessary to defeat the difficulty of SME financing of our country in a brand-newscope and framework. The thesis uses various methods of analysis, such as acombination of theoretical analysis and empirical analysis, micro and macro analysiscombined analysis, the combination of cost and benefit analysis. It goes intoanalyzing the necessity, feasibility, existing problems and reasons of SME financingin our country.First, through analyzing the economic reason of difficulty of SME financing, thethesis defines the connotation and characteristic of relationship lending. Second,beginning from information asymmetry, this thesis uses the basic analysis tool ofeconomics - the analytical method of the income to cost to prove it is necessary andfeasible for SME to use relationship lending. Then, we analyze two relationshipfinancing modes of the United States and Japan. Through comparative analysis, weobtain the enlightenment. On this basis, this thesis analyzes the problem ofrelationship lending system of SME in our country, and the reasons to them. After that,it analyzes the relationship between structure of bank and relationship lending, inorder to prove small bank has comparative advantage in relationship lending. At last,this paper provides some countermeasures and suggestions to improve relationshipfinancing system of SME in our country during this transition period.Through analyzing, we draw the conclusion: consummate relationship lendingmode really can become a new outlet for SME to conquer the difficulty of financingduring the transition period of our country economic. It also indicates we shoulddeepen some reforms of corresponding system to ensure the effective implementationof relationship lending system, in the hope of improving the situation of SMEfinancing.