Research On China's Credit Rating

With the rapid socio-economic and financial market development, business scope of economic activities in the market more widely, the object of the business community involved in the demand for credit ratings is getting stronger, which makes the credit rating agencies play in a market economy important role. The U.S. sub-prime crisis broke out, turned into a global credit crisis and economic crisis, completely exposed the U.S. credit rating agency problems, which to the development of our country's credit rating has sounded the alarm. Companies in various industries in China is an important component of the national economy, to do a good job of enterprise credit risk management, and promote the sound development of China's market economy, we should first start with their credit rating, so this is to study China's business credit assessment.This paper reviews the development of domestic and international credit rating and the problems related to credit ratings, introduced the methods and models. Eventually led to the analysis method-factor analysis, cluster analysis and expert scoring method, using statistical analysis software SPSS13.0, and building evaluation model with "factor analysis+clustering". The first step for the quantitative section, to select 787 listed companies with complete data as samples from CSMar, from different angles of companies selecting 16 financial ratios to construct enterprise credit evaluation system. Get 6 common factors and its weight value, calculate the sample's evaluation score. Then classify the enterprise into the same with similar credit risk level by cluster analysis, obtained their respective corporate level, determine the rating standard, which is constructed based on pure quantitative analysis of China's credit rating technology, verify the accuracy of the model. The second step for the quantitative part of the combination of qualitative research, qualitative indicators of factors on the corporate credit rating impact. Expert scoring method by simulating the 17 companies selected to simulate the rate (qualitative), combined with the first step of factor analysis of the 17 companies in the combined score (quantitative), qualitative and quantitative scores were given a certain weight, to calculate business credit scoring, and then re-classified using cluster analysis of the level of enterprises. Comparison of pure quantitative analysis with qualitative analysis and quantitative results, obtained by combining qualitative and quantitative research methods of credit rating, making research results more scientific, objective, fair and reasonable. Finally, giving the responses to improve credit rating system.