Research On International Trade Financing Of Small And Medium - Sized Foreign Trade Enterprises In Rizhao City

In recent years, the small and medium-sized foreign trade enterprises in Rizhao have maderemarkable achievement in import&export trade and important contributions in ensuring thehealthy development of the national economy, promoting technological innovation, increasingemployment opportunities, maintaining the stability of the society, etc. However, the shortage ofcapital is the development bottleneck that existing in the cities’ foreign trade enterprises,especially for the small and medium-sized foreign trade enterprises. This article aims to assistthe small and medium-sized foreign trade enterprises to choose more suitable solutions to thecapital plight, to achieve the purpose of their rapid development.The first part of the paper is the introduction, elaborating this article’s research background,significance, literature review, research contents and methods, as well as analytical framework.On the research methods, this paper mainly adopts the literature method and the questionnairemethod. Through the methods, we have a deep understanding of the existing trade financingtheory of both at home and abroad, we also have a deeper understanding of the current situationof Rizhao international trade financing of small and medium-sized foreign trade enterprises. Allof this provides a rich source of data for the writing of this paper.The second part firstly summarizes the international trade financing status for small andmedium-sized foreign trade enterprises, constituting the theoretical basis of the article. This partmainly expounds the definition of small and medium-sized enterprises, small and medium-sizedforeign trade enterprises, development status and role, and explains the relevant concepts offoreign trade financing, the necessity of the foreign trade financing of the small andmedium-sized foreign trade enterprises, etc.The third part points out their current development situation and the cause of the internationaltrade financing by means of making an investigation and survey on the international tradefinancing of the small and medium-sized foreign trade enterprises in Rizhao.In the survey we find that the SMEs of foreign trade in Rizhao are generally faced with thesituation of fund shortage, while these enterprises have strong financing need and high financingamount. In the meanwhile, these enterprises are in the shortage of regulations and lawsprotecting their growth, as well as the professional talents in international trade financing.What’s worse, its’ rather complicated and difficult to get loans from financial institutes.The research shows that the difficulties for the financing of SMEs of foreign trade are mainly due to the low corporate credit ratings which fail the bank requirements, unawareness of serviceof the banks and guarantee agencies, complicated applying procedures and the lack ofcorresponding policy supportThe fourth part summarizes the domestic inclusive Rizhao city’s current situation of thefinancing problem on the international trade financing of the small and medium-size foreigntrade enterprises, putting forwards the countermeasures to solve the problem of the internationaltrade financing of the small and medium-sized foreign trade enterprises in Rizhao.The fifth part contains the major research conclusions of the paper. We briefly review thewhole paper in this part, and summarize the solutions to the financing plight confronted by theSMEs in Rizhao. Our research shall be conducive to better financing for SMEs.