Securities Brokerage Business Innovation, Based On Company-based System

In china, the business of securities is facing an incredible developing chance, but there are also serious challenges as well. The competition in the securities business is very intensive. Based on the existing condition, the only way to beat all other competitors is to come up new ideas and find new methods. As one of the four major responsibilities of securities business, brokering is the major source of profit. So obviously, the bringing forth of new ideas should be the most important issue to deal with.The brokering business in China has its particular characters. All the securities company did their business by "Securities Exchange Sale Department" mode. First, This article analyzed the foundation of "Sale Department" mode and how it worked. And pointed out the existing, serious low -level competition problem of this mode. Facing the increasing overall risk, the "Sale Department Mode" will no longer be appropriate and become the obstacle of the development for the brokering business. Therefore, the most important duty for the securities is no longer to improve the sale department, but should discard the old "Sale Department" mode and use a new mode "Corporation Basis" to develop the brokerage business.Based on regulation economics and the theory of exchange expending, the theory basis, "Corporation Basis Mode" has been initial studied; Both stable market and technical innovation require to break through the boundary mark of man-made brokerage business, expand the their own securities business and finally implement the new balance.In the second part of this thesis, the three major brokerage invocations have been explained and discussed in details.Introduction of brokers institutionOnline securities exchangeUniform exchange platform.The above discussions of business invocation all have the same assumption, "Strongly Need to Enforce Brokerage". In facts, not all of the securities companies in China are appropriate for the brokerage business. So as the reverse idea, in the third part of this thesis, it is listed as "Special Invocation" for some securities to discard the brokerage. It reminds the middle size of compounded and quasi compounded securities companies, which has the low rank should reconsider their business in the new wave of brokerage business invocation.Since the market in China is still not a totally free trading market, the innovation of the regulation making by the government will be the prerequisite of business innovation. Of course this rule stands in the securities business. In the fourth part of this thesis, "Regulation making to encourage business invocation", discussed the major problem of the securities business under current regulation environment and bring out some new ideas.I've made every effort to make sure there are no errors in this thesis. However, since error ishuman and one's theory and practical experience is limited, please feel free to inform any mistakes as they are spotted.Thanks to all the people who helped me during the course of preparing and writing this thesis. I would specially thank my advisor, Prof. Yang Li, for the help with great instruction and advice.