Research On Internal Coordination Mechanism Of Financial Holding Company In China

Since the 80s of the 20th century, along with the process of global economic integration and financial market liberalisation continues to accelerate, and financial products innovation, the financial system of the western developed countries already to transition from the separate operation to mixed operation during the emergence of a large number of strength hung thick financial holding company, such as Citigroup in the United States, rich bank group, HSBC Group. At present, our country is still a separate operation, separate supervision of the financial system, but with China’s accession to the WTO, the need to honor the commitment to open our financial market to foreign countries. In addition, the international mixed operation is the trend of the times. Under the influence of various factors, China’s "separate operation, separate supervision" requirement is gradually weakened, and the trend of financial mixed operation is becoming more and more obvious. In order to adapt to the trend of comprehensive development, our country has also carried out the transition from separated operation to mixed operation. Such as the strong support of China CITIC Group in the regulatory agencies, on December 5,2002 founded CITIC Holdings Co., Ltd., founded CITIC holdings marks China’s financial holding company started development. It is also China’s first financial holding company is an attempt on China’s financial system reform. After ten years of development, at present our country formed roughly three types of financial holding company, first by the bank holding the formation of financial holding company (China Construction Bank Holding CICC, industrial and Commercial Bank of China holding industrial and Commercial Bank of East Asia, China holding BOCI); the second is the formation of large financial holding group of financial holding company (CITIC Group, Ping An Group, China Everbright Group); a third category by the formation of the enterprise groups financial holding company (Haier Group, Shandong oceanwide, Xinjiang Delong group, Wanxiang Group, Jinyuan holdings, Dongfang Industrial Group, new hope group, Jinxin group, Aijian shares, etc.).Financial holding company has the diversification strategy and provide comprehensive service advantage, all the advantages of the financial holding company become China’s financial industry from separated operation to mixed operation transition the best carrier. However, the financial holding company to want to play the advantage, the key factor is the financial holding company internal coordination mechanism to normal operation. Although this more than ten years, China’s financial markets and financial holding company rapid development, but with developed countries mature financial holding companies and financial markets still exist large gap and remains to further improve. China’s financial holding company internal coordination mechanism and did not really play its due role, the corporate governance structure of financial holding company in our country exist defects, and between the parent company and subsidiary company’s management and operation still exist a lot of problems, each subsidiary business expansion or point to point, this Peter did not form a united front, combined, joint development of customers, cross marketing. Instead of the subsidiary companies use their own advantages to seize the customers, conflicts, which resulted in the waste of financial resources, the company did not provide diversified service according to the customer demand. These problems are not conducive to the overall development of the company, it is not conducive to China’s financial sector from separate operation to the mixed operation.In view of the current China’s financial holding company internal collaboration mechanism encountered problems, this paper proposes four perfect financial holding company internal coordination mechanism, the feasibility of the method [1], that is, to improve the ownership structure of financial holding company in our country, the establishment of financial service system, establish marketing headquarters, set up a "firewall". Through these four measures, the financial holding company in our country can be at the management level to achieve coordination, marketing level to achieve collaboration, product level to achieve synergy, the technical level to achieve synergy, brand level to achieve synergy.