Strategy Research For China’s Commercial Banks In The Impact Of Internet Finance

With the rapid development of modern information technology represented by the Internet, the society and economy of China is changing. In 2012, the transaction amount of China’s online retail market increased 64.7 percent to 1.32 trillion and the size of people shopping online grew by 21.7 percent to 247 million. By the end of 2012, the transaction amount of China’s electronic commerce market increased 30.83 percent to 7.85 trillion. The electronic commerce accelerates, and the birth of the "Internet Finance" also shows the substitution effect on traditional financial mode. The new generation of Internet technology represented by cloud computing, massive data and social network has spread out into the traditional financial field. The Internet Financial, including the third party payments, crowd funding companies, P2P lending as well as other network financial service platforms, brings much attention.Although the Internet Finance will not cause significant impact on traditional banking in the short tern, it still may affect on the intermediary business, asset business and liability business of commercial bank in the long tern. Meanwhile, it can bring many opportunities for our traditional finance institution during the age of Internet. On one hand, commercial banks of our country have large numbers of assets, rich customer resource and better risk control system; on the other hand, there are many problems such as long processes, low efficiency and lack of flexibility. Therefore, China’s commercial banks should make full use of the advantages to deal well with the relationship between Internet enterprises.This article is from the perspective of China’s commercial banks, and analyses the impact of the Internet Finance on our banking industry. Based on the advantages and disadvantage of our traditional commercial banks, this article studies the competition and cooperation between banks and Internet enterprises. Then, by using an evolutionary game model, this article explains the relationship. After that, this article not only introduces the current development of China’s banks, but also analyses some specific measures adopted by them. In the end, this article comes up with some advice and attempts to be helpful for further innovation and development of our commercial banks.