Research On The Mitigation Effect Of Supply Chain Finance On SMEs' Financing Constraints

Small and medium-sized enterprises(SMEs)are the main components of China's national economy,and they are the largest and most dynamic and vital enterprise groups in the market economy.SMEs have made great contributions in promoting economic development,improving employment and promoting social innovation.However,SMEs have financing constraints in China currently,and their contributions are not commensurate with the financial services and support they receive.Supply chain finance can break the limitation of traditional financing mode as an innovative financing model.It increases the credit and information transparency of SMEs by means of the introduction of third-party logistics companies and the cooperation guarantee of core enterprises.It can reduce the degree of financing constraints of SMEs and promote the healthy development of SMEs.This paper analyzes the connotation of supply chain finance,studies the financing model of supply chain finance and having a comprehensive and systematic study on the mechanism of supply chain finance affecting the financing constraints of SMEs and tests the practical effect of supply chain finance on SMEs.On the basis of summarizing relevant literatures at home and abroad,the definition and meaning of supply chain finance are theoretically defined,and the three way of supply chains such as accounts receivable financing mode,inventory pledge financing mode and prepayment financing mode are analyzed in detail,and from the perspective of information asymmetry theory and transaction cost theory,explains the internal mechanism path of supply chain finance to alleviate the financing constraints of SMEs.Finally,based on the SME-listed companies in the small and medium-sized sector and the GEM section of the Shanghai and Shenzhen Stock Exchanges,based on the model of cash-cash flow sensitivity that proposed by Almeida,Campelo and Weisbach,it conducts the empirical research that using the panel data of SMEs from 2010 to 2017.The study finds that there are widespread financing constraints in SMEs in China.At the same time,after SMEs are classified according to the nature of property rights and regions,the study finds that private SMEs are more constrained by financing than state-owned SMEs,and it is higher than the eastern region.which SMEs in the central and western regions are subject to financing constraints.In addition,as an innovative financing model,supply chain finance promotes corporate loan financing and reduces the financing constraints of SMEs by reducing the degree of information asymmetry that from enterprises to banks and reducing the cost of between banks and enterprises.At the same time,from the perspective of sample classification,the mitigation effect of supply chain finance on the financing constraints of private enterprises is stronger than that of state-owned SMEs,and the mitigation effect on SMEs in the central and western regions is stronger than that of SMEs in the east.In view of the fact that most enterprises in China are small and medium-sized enterprises,China should actively guide the development of supply chain finance,break the financing dilemma of small and medium-sized enterprises,and enable SMEs to grow healthily.Therefore,this paper proposes relative policy recommendations based on the research conclusions and status quo from the three levels:government,financial institutions and enterprises.