A Comparative Study Of Supply Chain Finance Models Based On Different Dominant Parties

The financing problems of small and medium-sized enterprises in our country have been paid more and more attention. In the process of solving the financing problems of SMEs, supply chain finance has become the focus of research. Since different definitions can be obtained from different angles, the definition of supply chain finance is not the same. Similarly, since the modes of supply chain finance can be classified from different angles, they will be divided into different classifications. In this paper, the modes of supply chain finance are divided into three categories by the criteria of the dominant party. The first one is logistics enterprise leading mode. The second one is commercial bank leading model. The third one is the core enterprise leading mode.This paper mainly uses the method of multi-case study. According to the three models of supply chain finance, UPS is selected as a typical case of the logistics enterprise leading mode, Shenzhen Development Bank as typical case of a financial institution dominated mode, General Electric(GE) group as a typical case of the core enterprise leading mode. The development process, the main body of participation, the profit model and the external macro environment of the three kinds of supply chain finance are emphatically studied. The three kinds of supply chain finance model are compared and analyzed, and the same points and different points are discussed. On this basis, this paper is able to answer three questions: 1, what are the factors for the success of supply chain finance? 2, what are the limit factors of the three kinds of supply chain finance when practiced in China? 3, whether are the three models same for all small and medium-sized enterprises? The conclusions drawn are as follows. 1, the success factors of supply chain finance include the leading party’s own resources and capabilities, as well as the external environment. 2, the main limitation of logistics enterprise leading mode and enterprise cooperation mode is the legal factor when they are carried out in China. Model of supply chain finance led by commercial banks, when carried out in our country, is confronted with six main limiting factors, including the imperfect laws and regulations, imperfect construction of credit system, backward technology, weak comprehensive management ability and risk control ability, and distant from supply chain members. 3. Not all modes of supply chain finance are equally applicable to small and medium-sized enterprises. Currently, only the model of supply chain finance which is led by commercial banks is applicable to small and medium-sized enterprises, and the model only applies to those small and medium-sized enterprises which have good quality and are in a stable supply chain. Finally, this paper tries to give a series of recommendations based on the conclusions.