Competition And Cooperation Between The Third-party Payment With The Bank

With the development of the Internet and the popularity of electronic equipment,e-commerce has developed rapidly. E-commerce as a new model of operation,makes users to buy goods without leaving home. E-commerce because of itsconvenience and richness attracts more and more concern by the use of Internet users.At the same time, the online payment industry has emerged. Online payment ismainly divided into two forms: online banking payment and third-party payment.Internet banking refers to an emerging online banking,which actually is a self-servicethrough the network platform and developed and applied by Banks. Third-partypayment platform is the information transmitter between the user and funds andbanks. with the development of third-party payment platform, the occurrence ofcertain changes in their roles, the third-party payment platform not only transmittedinformation between buyers and sellers, transfer of funds and users of information,but also acts as a medium of credit, to solve the trade barriers caused by theasymmetry of buyers and sellers,and the time of receipt, thus promoting thedevelopment of e-commerce. Compared with online banking,the risk of third-partypayment is higher, especially some third-party payment platform whose strength isnot enough. Both of them in the field of online payment is in a competitive state,which reflects the essence is in fact the competition the third party paymentinstitutions and the banking sector. At the initial stage of the emerging of third-partypayment, their relationship mainly based on cooperation, but with the rapiddevelopment and innovation of the third-party payment, the competition demonstratedbetween them attracted wide attention. This article is selected from the customerpreferences, analyzes the advantages and disadvantages of third-party payment andonline banking, thus providing the development proposal for both of them.This paper starts with the background and significance of the research of thirdparty industry, discusses the current situation about the research of competition andcooperation relationship at domestic and overseas. Introduces the concept of third-party payment and online banking, sorts out the context of the development as well asthe model types and other issues, Utilize SWOT analysis to summarize theadvantages and disadvantages of third-party payment and bank in the electronicsmarket. Through questionnaires survey to conduct an empirical analysis of individualusers of third-party payment and online banking, still explores the contradictions andconflicts of online banking and third-party payment according to the results of thesurvey,analyses the competition condition between the two by the commoninfluencing factors, at the same time according to the unique influencing factors toanalyse the cooperation condition between the two. Also apply Game Theory toanalyse the necessity of the cooperation between the two. Finally, the author draw a conclusion about the policy recommendations of how to optimize the competition andcooperation relationship between third-party payment and online banking.Through research, the paper concludes: Banks should accelerate the pace ofreform and innovation, deal with crisis correctly when encounter it. In the context ofthe rapid development of e-commerce, whether banks or third-party payment shouldseize the opportunity to accelerate their development, although the competition ofthem can not be avoided, but through a reasonable division of the business,and tomake the pie bigger together, this is the two most advantageous choice for both ofthem.