The Influence Of Internet Finance On The Financing Constraints Of Small And Medium-sized Enterprises

In recent years,as the policies and systems on financial and fisical reform have continuously been issued by government,benefiting and supporting the development of SMEs(small and medium-sized enterprises)has become the main theme.But at present,financing constraints are still the main problem for the survival and development of SMEs in China.At the same time,the rapid development of Internet Finance in China not only forces the reform of traditional financial institutions,but also promotes the transformation,upgrading and profound change of the whole financial market.Internet finance which is supported by science and technology has outstanding advantages in alleviating information asymmetry,reducing financing cost and improving financing efficiency.In addition,internal control and monetary policy,as the internal and external institutional environment for the development of SMEs,have a significant impact on financing constraints.Therefore,it is of great theoretical and practical significance to study the impact of Internet Finance on the financing constraints of SMEs and the differences of Internet Finance on the financing constraints in different macro and micro institutional environments.Based on the perspective of dual institutional environments,this paper focuses on the research topic of the impact of Internet Finance on the financing constraints of SMEs in China,and further explores the differences of the impact of Internet Finance on financing constraints in different macro and micro institutional environments.First of all,this paper summarizes the relevant academic research literature.Based on the related theories of Internet Finance and financing constraints,the internal control and monetary policy are innovatively introduced into the research system of Internet Finance affecting the financing constraints of SMEs.Further,using the factor analysis method to construct the balanced development index of Internet Finance,this paper select the listed companies of China's small and medium-sized board in 2011-2018 as the research sample,and use the cash-cash flow sensitivity model to empirically research the specific effect of Internet Finance on the financing constraints of SMEsand the differences of the impact under different macro and micro institutional environments.The results show that there is a cash-cash flow sensitivity in SMEs,that is to say,there is a general problem of financing constraints,and verify that Internet finance can indeed alleviate the financing constraints of SMEs in China.Secondly,based on the perspective of dual institutional environment,considering the impact of micro level-internal control quality and macro level-monetary policy,the paper further discusses the difference of Internet Finance's impact on SMEs' financing constraints.Compared with the enterprises with low internal control quality,the Internet finance has a more significant role in mitigating the financing constraints of enterprises with high internal control quality;compared with the enterprises in the period of monetary policy easing,the Internet financial development has a more significant role in mitigating the financing constraints of enterprises in the period of monetary policy tightening.Finally,based on the above research,this paper proposes policy suggestions from the three dimensions of Internet finance,SMEs and national government,aiming to promote the healthy development of Internet Finance in China,and effectively help SMEs to alleviate financing constraints.