Research On New RMB Cross-Border Trade Finance Products

On July 2009, six Ministers of P.R.C announced the trial of RMB Cross-Border settlement, which claims the start of RMB internationalism. With the deepness of trial, more and more companies accept and choose RMB as their settlement currency. This process not only challenges banks'settlement capacity, but also provides an opportunity for them to develop their RMB Cross-Border financial products. It is the first time for RMB to stand onto the international stage, as a international trade settle currency, and this definitely opened a new era to companies and banks. All the National-Owned commercial banks have listed RMB Cross-Border into their 5-year strategic plan. The governor is pushing the process of RMB internationalism by gradually open the market. In the foreseeable future, RMB will become a real international currency. Then under this circumstance, this paper raises the research on RMB Cross-Border trade financial products of LX bank, based on the conjoint analysis of choice preference. After study on market potential, demand and supply, current product function and method of design, this paper reveal the necessity of research on RMB Cross-Border trade finance products. Then design the questionnaire by orthogonal method, according to the features defined. Based on the principles of conjoint analysis and the data gathered through questionnaires, a detailed analysis is conducted respectively on group and individual output result and market share. Besides, a prediction is given to the RMB Cross-Border trade finance product which may have the biggest potential market share, and related research on this prediction comes out an creative product. Thus this paper provides a strong basis for decision on the RMB Cross-Border trade finance products.