Research On The Reconstruction Of Commercial Banks' Business Model Under The Background Of Internet Finance

Rapid development of Internet finance today has brought great opportunities to the growth of Internet financial enterprises and the business model of traditional commercial banks.Under the influence of Internet finance,the services of online transfer,investment,fund management,loan(P2P),securities,insurance,third party payment and online crowd funding are growing,and their position in the banking business becomes stronger.In a time of Internet finance entering into full development,the third party payment vehicle led by Alipay and Tenpay becomes more active to facilitate the customer's payment,settlement,transfer and other financial services needs;Yu'E Bao a representative of money market funds,provides fund management channel with better convenience and efficiency to the customers.P2P online lending platform,with Ppdai,Lufax and CreditEase as main players,has achieves an on-line loan transaction;Angel Crunch,as the representative of the crowd funding,build a new platform to raise funds in the internet.This essay takes China X Bank Fujian Branch as an example to study the business model reconstruction of commercial banks under the background of Internet finance.While the Internet finance presents challenges to the traditional banking services,it also brings opportunities,momentum and pressures to press ahead the transformation of conmmercial banks Internet Finance embodies the characteristics of defense and offense,and internet financial products embody the characteristics of internet and finance.The implementations of Internet finance in the commercial banks require time and processes,which shall start from the basic banking services to conduct reconstruction.This paper mainly adopts of methodologies of the literature research,case analysis,and field investigation.The purpose of the study is to find out the problems of X Bank and to reconstruct the business model of commercial banks under the background of internet,and to put forward the concrete measures of commercial banks' transformation and reconstruction under the background of Internet finance.First of all,the paper summarizes the domestic and foreign literatures,analyzes the current situation of Internet financial development and the impact on commercial banks on the basis of reviewing Internet economics,KMRW reputation model,Metcalfe's law and long tail theory and transaction cost theory The Secondly,taking X Bank as an example,this paper analyzes the external environment from the angles of politics,economy,society and technology,and the business environment from the perspectives of advantages,disadvantages,opportunities and threats against the background of Internet finance.It also analyzes the problems encountered by X banks in the areas of liabilities,payment and credit business.Last,the paper presents implementation measures of business transformation and reconstruction for X Bank,with liabilities,payment,and credit service as entry points.The research over this topic might broaden the way of thinking for our country's commercial bank to carry out the supply chain finance.