Study On Operating Strategy On Recycled Plastics Trade Financing Of DS Company

With the development of society,the problem of disposal of waste plastics has become increasingly serious,and it has become one of the major problems which we need to solve urgently.China has a big plastic market,also owns a big waste plastics market and recycling of recycled plastics.Since 2015,China has paid a great attention on the environmental protection.The recycled plastics production industry has changed from environmental pollution to the green production industry of the renewable resources industry.Small medium enterprises are facing to the challenge of industrial upgrading on the recycled plastics industry.After experiencing a period of rapid economic growth,China has entered a stage of slowing growth.The adverse reaction of the financial market has gradually surfaced.Difficulties in financing are the widespread problems faced by all the enterprises,especially with the small and medium-sized recycled plastics enterprises.Recently,the supply chain financial service model in trade finance which supported by the real trade background,has become an important means for the country to promote the SMEs financing.And the supply chain financing based on the credit of the core enterprises in the supply chain,it compensates for the lack of credit in the SMEs among the supply chain business activities,such as procurement,production,sales and so on.The paper focuses on DS company’s recycled plastics trade financing business at first,summarizes the relevant literature on supply chain finance services,and puts forward the research thought and methods of the paper.Secondly,it expounds the problems and causes encountered in the financing business of DS,mainly reflected in: the business capacity is limited,downstream customers are reduced,logistics supervision affects the control of cargo rights and the imperfect construction of IT.Finally,proposes the business strategy of DS’s recycled plastics trade financing business.It includes: revitalizing capital flow to improve corporate income strategy,strengthening logistics supervision and control to reduce business risk management strategies,expanding business strategies in the field of recycled plastics production,and developing information and e-commerce platform strategies.