The Research On Supply Chain’s Short-term Finance Model With Manufacturer-led

With the rapid development of China’s market economy, the small and medium sizedenterprises (SMEs) play a more and more important role in the national economy, while theirfinancing is becoming more and more difficult. The financial crisis in2009causes a lot ofexport-oriented SMEs to go bankrupt due to funding strand breaks, which highlights theseriousness of financing difficulty. The proposal of Supply chain finance provides an effectivesolution for SMEs’ finance, especially in the context of recovery after the financial crisis. ForSMEs, how to finance through collaboration of the supply chain, and how to arrange for therestoring production to get greater efficiency; for the commercial bank, how to help moreSMEs restore production with limited loan resource under the premise of loan security; andhow to put forward a more operational mode of supply chain finance for a reference to SMEs,will be the problems this paper mainly focus on.This paper will study a new financing model of the supply chain finance. We build asupply chain financial system consists of one manufacturer, one wholesaler and onecommercial bank. When financing independently, the wholesaler and the manufacturer applyfor loans to the bank respectively. When financing collaboratively, the wholesaler, togetherwith the manufacturer, will propose a financing requirement for the commercial bank, whowill then sign a contract to create an escrow account in the bank in order to get a loan to payto the manufacturer as a deposit to start production. This paper will establish the profitfunction for the wholesaler, manufacturer and the commercial bank by the mathematicalmethod, to compare the profits of two modes for purpose of demonstrating that: for the supplychain, financing collaboratively can reduce the amount of loans, and save the interest expense,which results in higher profit for enterprises; for the commercial bank, financingcollaboratively can save loan resources which can be used to expand other businesses; for thenational economy, it can promote the production which may bring more economic benefitsand increase the GDP.In this paper, combining theoretical and empirical methods, experimental andcomparative analysis, through setting variable values and simulation analysis of the model,we try to demonstrate that under the collaborative financing mode the supply chain willperformance better. At last, from the perspective of management, this paper will suggest onthe application of the model, and put forward management strategies of financing, productionarrangement and resource allocation of bank loans after the financial crisis.