Study On The Management Model Of Financial Companies Of Enterprise Groups

The Finance Companies of Enterprise Groups in our country have seen its practical process since the reform and opening of China, and gradually becom e a powerful force in China financial market and financial system. During the last three decades, they has been serving their enterprises and played an irrepla ceable part in advancing their development and deepening their reform. Howev er, the business between financial companies and commercial banking are almo st identical, resulting in constant argument about the function of finance compa nies and their management model. Besides, there exists the problem whether th e future management model should be based on financial companies. Those pro blems are all due to the lack of study in the business model of the financial c ompanies. Thus, this paper is going to research on it divided into six parts.The first chapter is the thesis introduction. It firstly describes the backgrou nd of the Finance Companies of Enterprise Groups and significance in studying it. Then, the paper starts with the present situation on this study at home and abroad and summarizes the results of domestic and foreign scholar's research. Finally, it lists the exact content of this study plus some graphs.The second chapter begins with the definition of the enterprise group and t he reason why it carries on the centralized management of funds. Then, it intr oduces several models of centralized management of funds in the enterprise gr oup and concludes that the management model in finance companies of enterpr ise group is the most suitable one for enterprise group. Then, this paper lists t hree different management models of the financial companies.The third chapter introduces the problems existing in the management mode 1 of finance companies and practically analyzes their causes, laying the foundat ion for how to solve those problems in the next chapter.The fourth chapter comes up with some individual suggestions on the improve ment of management model in financial companies of the enterprise group. Thi s chapter will explore how to use the financial companies to carry out the cen tralized management of funds efficiently in enterprise group and then list some ideas on its improvement.The fifth chapter takes the Hunan Valin Steel Group as example and synthesiz es those formal theories to discuss practically about how to deal with the pres ent situation of Hunan Valin Steel Group. In this sense, this paper states that we should keep firm grasp on the finance companies of enterprise group to ref orm the management. Finally the paper predicts its progress.The last chapter is the retrospect and prospect. It summarizes the benefits o f the management model to enterprise group and some aspects that can be imp roved.