The Research Of Industry And Finance Integration In China

Industry and finance integration is an effective channel for enterprises to improve their own core competitiveness and become bigger and stronger rapidly. Among World’s Top 500, the consortium of 6 giant companies in Japan, GE and UPS in the US, and Samsung in South Korea have all implemented industry and finance integration. All these successful precedents constantly justify the feasibility of corporate industry and finance integration. Although it has been a long time since industry and finance integration started abroad, it has just made its presence it China recently. Therefore, corporations are still exploring multiple channels for the realization of industry and finance integration.After summarizing the status of relevant research projects at home and abroad, this paper first provides a definition of industry and finance integration and then discusses the necessity for enterprises to conduct industry and finance integration with the help of Transaction Cost Theory, Corporate Diversified Operation Theory, and Corporate Life Cycle Theory. Then, by analyzing the empirical experience of American and Japanese companies in industry and finance integration, it summarizes the experience that China can rely on, that is, adjusting measures to local conditions, giving full play of the synergistic effect, and paying attention to risk prevention. After that, based on the status quo of industry and finance integration in China, this paper classifies current industry and finance integration into 4 types in terms of enterprises:financial positioning difference:independent development type, equity investment type, internal service type, and leading type. In the wake of the classification, the paper chooses typical enterprises of these 4 types and analyzes their characteristics in terms of financial service pattern, integration method, business collaboration, and financial organizational form. At last, detailed suggestions are proposed for the whole process of industry and financial integration for Chinese enterprises, and many state-level policy suggestions are put forward to ensure the sound development of industry and financial integration.