Study On Strategy Of Trust Company Developing Trust Operation

Trust, banking, insurance and security are the four financial market backbones and indispensable components of finance industry. However, in China, there is lack of cognizance and clients so that trust companies are complementarities of bank credit. Trust companies pay attention to projects and capture little trust profit. They are unworthy of the name or the title.Since the business of trust was restored in 1979, trust companies have experienced six major reforms. Especially the sixth reform in 2007-limiting inhere operating, locating dignity clients and criterion of the way of management of the trust property, which will radically change the patterns of operating and profiting in order to lead them develop the trust business. The trust companies confront the strategic adjustment.The paper explains the basic problem of trust and studies on the development of trust industry under international comparative perspective. Using experience for reference, analyzing the performance of trust companies and environment, the article brings up the development way of the trust company. First, operating the trust business is important. Second, the trust company should focus on some trust businesses. In the present, trust companies need the strategic adjustment. In the basement of SWOT analysis of trust companies, the paper finds out that trust companies are lack of resource and competition ability. But, there are opportunities and strength for them. According the front analysis, the article brings foreword two strategies-the whole strategy based on resource conformity and the competitive strategy based on innovation of business. After that, the article points out how to carry out the two strategies and what should pay attention to. In some degree, the feasibility of strategy can be testified by some success cases and data. In the end, the article makes the expectation of trust companies.The paper is divided into six parts. The first part discusses the background, significance of the research and the way of study. The second part brings up the conception of trust and studies on the development of trust industry under international comparative perspective, which is the basement of this article. The third part makes sure the development way of trust companies by analyzing the performance and environment, which is the aim of carrying out strategies. The fourth and fifth parts are the main bodies of the paper. The fourth part completely analyzes the trust companies by SWOT, which provides the basement of strategies making. The fifth part makes the strategies-the whole strategy based on resource conformity and the competitive strategy based on innovation of trust business and testifies the feasibility of strategies. The sixth part makes the conclusion and the investigation direction expectation.