Research On The Influence Of Internet Finance On Traditional Commercial Bank And The Countermeasures

With the advent of the big data era,the application of Internet technology has become widespread,and Internet Finance(ITFIN)is derived from its application in the financial industry.Starting from the third-party payment model,ITFIN has continued to emerge in the form of internet finance such as internet wealth management products,P2 P lending platform and crowdfunding mode.It has shown a trend of rapid growth.The rise of ITFIN has begun to affect our traditional financial system,especially China’s commercial banking system,while injecting fresh blood into the financial industry.As the core of the traditional financial system,the traditional business model,business philosophy and profitability of commercial banks are impacted by the ITFIN and commercial banks will face more and more competitive pressures in the increasingly marketed market.The thesis analyzes the current development of ITFIN in China.By the econometric analysis method,the specific impact of ITFIN on the traditional business of commercial banks is analyzed,including the diversion of deposit business,absorption cost,loan business and intermediary business.The SWOT method is used to analyze the inherent advantages and disadvantages of commercial banks and the opportunities and challenges facing ITFIN services.The development of ITFIN has had a certain impact on commercial banks,but commercial banks have a good credit brand effect,customer base,mature credit risk management system and strong capital strength.ITFIN has formed a certain degree of challenge for commercial banksin the short term,however,ITFIN is still difficult to replace the traditional commercial banks.Based on the results of SWOT analysis,the thesis puts forward the countermeasures for commercial banks to deal with the impact of ITFIN.Commercial banks must change their business philosophy and business models,improve existing businesses,strengthen traditional advantages,implement big data management strategies,and seek ways to integrate with ITFIN to provide a one-stop financial service platform for customers and achieve win-win development.The thesis contributes to the enrichment and development of ITFIN theory and commercial bank management theory system,as well as the integration of the two theories.ITFIN not only brings negative influence to traditional commercial banks,but also stimulates the reform of business philosophy and system of commercial banks.The thesis is also helpful for guiding commercial banks to reform their business and business model,thus accelerating the transformation of traditional commercial banks in China and realizing the organic integration of commercial banks and ITFIN.