Shanghai Financial Institutions To Gather Motivation New Analysis

Driven by Economic globalization and information technology, international financial markets get the rapid development, and international capital continue to accelerate, more and more financial institutions choose coordinated approach to organizing production and trading activities, from the beginning of the few banks concentration to the rising of financial holding company, today a variety of different types of financial institutions have achieved the spatial concentration and outsourcing. As the world's second largest economy, China, still do not own an international financial center city. Shanghai, with its superior resources and historical conditions, takes up the great mission of construction of an international financial center. At present, Shanghai gather a large number of domestic financial institutions and has played an important role in the domestic .However, compared to London, Shanghai has little number of international financial institutions, the rapid gathering of international financial institutions has become the micro-foundation of an international financial center, therefore, how to achieve the rapid international financial institutions gathering has been brought to the agenda. In the first chapter, I give a brief introduction of the background and the significance of this topic and the innovation and inadequacies of my paper. In chapter II, the paper makes a review of the theories on the motivation of industry cluster of the traditional industries. These theories interpret the motives of the agglomeration of financial institutions from a general aspect, and thus are inadequate when explaining the concentration of financial industry specially. Than the current financial geography theory`s explanation of the motivation of concentration in financial institutions were reviewed, and the domestic scholars` reference to the financial geography were summed. Thus I discovered that whether the foreign financial geography analyzing, or the reference of domestic scholars` are mainly from a information externalities and asymmetric information aspect to explain the gathering of financial institutions. However, these scholars didn`t specified the classification and analysis of the information on this, and didn`t differentiate the type and role of the information. Therefore, those are not complete perspective of analyzing the current financial center, especially the financial center of Shanghai. Chapter III, this paper describes the compatibility of business and the relationship between agglomeration and the compatibility of different levels of business and concentration. The empirical analysis of three International Finance Centers` achieving a second accumulation, and contact the compatibility of the business changes, indicating that the compatibility to the high-end business transformation to achieve the financial center and then gather financial institutions. Chapter IV, the paper discusses the history of Shanghai and Shanghai`s financial status and challenges that still need vigorous promotion. Through the analyzing of Shanghai's commercial banks, financial institutions, securities and insurance company's international business, I discovered that, Shanghai's financial institutions businesses are at low-end. The situation of Centrifugal force more powerful than the centripetal force, is not conducive to the accumulation of international financial institutions. It also explains the reasons causing this situation. In chapter V, I propose some policy measures to achieve the transformation to the high-end business to achieve better financial gathering center of Shanghai international financial institutions.