The Impact Of Internet Finance On The Profit Of Commercial Banks In China

Because of the development of electronic commerce and the updating of network technology in recent years,the concept of"Internet +"has penetrated into all aspects of life.Among them,the new combination of"Internet + finance"has been attacking the traditional financial industry in China since the 2012.The traditional financial industry represented by commercial banks,which is the main source of income through payment settlement and interest rate difference of deposit and loan,is a typical example.Internet finance freshmen in the third party network payment similar to the commercial Bank's payment and settlement business,the P2P network lending and crowdsourcing are similar to the credit business of commercial banks,Internet money market funds similar to the commercial Bank's financial products business,these innovative products compared to traditional financial products have low transaction costs,efficient trading methods,open,equal,cooperative and shared trading spirit,so they continue to gain popular popularity and gradually change the way people consume and save.This series of shocks make the profit rate of commercial banks decline continuously,they only have to carry out the reform,innovation,upgrading and transformation to meet the challenge.Therefore,this paper takes the influence of internet finance on the profit of commercial banks as the research topic.Firstly expounds the background and significance of the topic selection,secondly reviews the relevant literatures at home and abroad,and then introduces the modern financial intermediary theory,the long Tail theory,Platform economic theory and financial function theory to explain the reasons for the development of Internet finance,I also briefly compare the existing competitive and cooperative relationship between it and commercial banks,thirdly analyzes the present situation of internet finance development and probes into the influence mechanism of Internet finance on commercial Bank's asset business,debt business and intermediary business,and finally carries on the panel regression by selecting the Internet Financial Representative index and the annual data of-16 listed commercial banks starting from 2010.By dividing the bank into five major lines and 11 other joint-stock banks,and adds the policy virtual variables to analyze,empirically studies the impact of internet finance on commercial banks and puts forward corresponding suggestions.This paper probes into the influence of the development of Internet financial business on commercial banks from the empirical point of view,and puts forward some corresponding suggestions at the end of the article.This paper can not only help the relevant researchers to better clarify the relationship between Internet finance and traditional commercial banks,but also helps commercial banks to take measures to deal with the shocks.