Research On The Influence Of Microfinance Services Of Commercial Banks On Small And Micro Enterprises

Since Yunus came up with the idea of rural banks in 1976,microfinance has developed for over 40 years.Our country' s exploration in the field of microfinance began in the 1980s.In 2005,China began to establish small-loan companies,which enriched the forms of financial institutions in rural areas and also marked the evolution of microfinance from public benefit model to business model.With the continuous reform of China's banking industry,since 2005,all types of banks have begun to step into the field of microfinance.According to reports issued by the Central Bank and the China Banking Regulatory Commission,a total of 8,551 microfinance companies nationwide had a loan balance of 979.9 billion yuan,while the national banking financial institutions had a small and micro enterprise loan balance of 30.74 trillion yuan.This shows that in China,commercial banks have dominated in providing microfinance services.Small and micro enterprises are the most important customers for microfinance of commercial banks.During recent years,not only has the number of them soared,but their economic contribution has also increased year by year.On September 27,Premier Li Keqiang emphasized policy support and financial services for small and micro enterprises at the State Council executive meeting,placing the development of small and micro enterprises in an important position in China' s economic development.Although the development of microfinance has achieved great success so far,and alleviated the problem of low loan availability for small and micro enterprises,new problems have emerged.Small and micro enterprises' sustainable development is still a problem.We need to rethink the role commercial banks should play in the growth of small and micro enterprises.This paper studies the influence of microfinance services of commercial banks on small and micro enterprises and hopes to provide inspiration and suggestions for commercial banks to better promote the growth of small and micro enterprises.This article divides microfinance services provided by commercial banks into two parts:loan services and auxiliary services.With Maslow's hierarchy of needs theory and consumer behavior theory,the two services are differentiated.This article uses small and micro enterprises randomly selected by J Rural Commercial Bank as my sample.As for loan services,different from the existing researches which are based on self-built evaluation indicators,this article emphasizes the subjective feelings of small and micro business owners and obtains data through questionnaire surveys and analyzes loan services' influence on small and micro enterprises based mainly on qualitative analysis.Quantitative methods are also included in the analysis.Auxiliary services in this article specifically refer to credit officers of commercial banks regularly visiting small and micro customers and learning about their business operation status,discussing the challenges faced by small and micro business owners and so on.This paper takes the loan repayment rate of small and micro enterprises as a target,collects data of the company's repayment rate in two periods and uses the t-test method and ANOVA of repeated measurement data to analyze the impact of auxiliary services.The conclusions of this paper are as follows.On the one hand,according to the results of the questionnaire survey,this paper selected the five indicators of operating income,profit,assets,scale expansion and activity expansion to study the impact of micro loans on small and micro enterprises.The results indicate that in the short term,loans will bring about an increase in the company's operating income,but relatively high interest rates will restrict the increase in profits.Small and micro enterprises use funds obtained from loans to carry out business and operation activities to supplement their assets instead of investing,which is consistent with existing research findings.On the other hand,auxiliary services can have a positive effect on the loan repayment rate of small and micro business owners,and with the strengthening of auxiliary services,the improvement in the loan repayment rate is more pronounced.Furthermore,the increase in the loan repayment rate will produce virtuous circles at both small and micro enterprises level and the bank level.This study reveals that loan services can improve the performance of small and micro enterprises to a certain extent while auxiliary services play a role as the icing on the cake.The improvement of performance results in the improvement of income,assets and so on,thereby improving the loan repayment rate of small and micro enterprises.Associating results with the hierarchical demand curve of small and micro enterprises and the total utility curve of microfinance services,the empirical results are consistent with the theoretical analysis.Finally,although this paper verifies that commercial banks' auxiliary services can achieve a certain degree of bank-enterprise win-win situation,banks should consider the input-output relationship on this issue by precisely calculating costs and benefits to decide whether to strengthen auxiliary services or to maintain the status quo.