Research On The "Crowding In" Effect Of Shadow Banking On Main Business Of Non-Financial Enterprises

In recent years,the survival and development of Chinese non-financial enterprises are in a period of "internal troubles and external attacks".The transformation and upgrading of industrial structure,technological iteration,diseconomies of scale,overcapacity,trade friction and the novel coronavirus pneumonia have brought huge challenges to the survival of non-financial enterprises,and the motivation of "self-help" has prompted non-financial enterprises to find another way out.On the contrary,in the financial market,investors can often get huge profit space and more development opportunities,which undoubtedly attracts the attention of non-financial enterprises.Not only that,because of the existence of credit discrimination and other factors,small and medium-sized enterprises in our country have been facing financing difficulties,have strong rigid demand for capital,which makes non-financial enterprises with strong financing ability more eager to participate in the financial activities.However,due to the strict control and examination of financial license and the monopoly of bank franchise,many non-financial enterprises gradually play the role of shadow banking.However,it is still a topic worth studying what impact the shadow banking of non-financial enterprises will have on themselves and whether it can contribute to the development of their main business.First of all,this paper reviews the existing literature and finds that most of the literatures have concluded that the shadow banking of non-financial enterprises will "crowd out" the internal resources of enterprises and produce "crowding out" effect on the main business.Few literatures study the relationship between shadow banking and main business from the perspective of "crowding in".However,in the real social environment,there exists the phenomenon that non-financial enterprises use shadow banking business to serve their main business and promote the development of their main business,which also becomes the starting point of this paper.Secondly,based on the precautionary savings theory,financing constraint theory and asset portfolio theory,two "crowding in" paths of shadow banking business to the main business are constructed,and in this way,the "crowding in" effect is finally generated on the main business.Then,using the method of case study,taking Taking Zhejiang Three Stars New Materials Co.,Ltd as an example,the whole process of shadow banking and details of shadow banking business are sorted out,and the whole implementation process of the two "crowding in" paths in the enterprise is analyzed.Finally,by analyzing the earnings quality of its main business through financial and non-financial indicators,it is found that the shadow banking business of Taking Zhejiang Three Stars New Materials Co.,Ltd can indeed promote the development of its main business and produce certain "crowding in" effect on it.Therefore,based on the research in this paper,the following conclusions are drawn: first of all,the "crowding in" fund management of Chinese non-financial enterprises for their shadow banking business is not standardized,and the existing system cannot guarantee that the income from shadow banking business can flow to the main business on time and in quantity and have a "crowding in" effect on it,nor can it effectively prevent enterprises from gradually moving towards excessive financialization.Secondly,the type of "crowding in" path formulated by non-financial enterprises according to their actual needs is not comprehensive.However,incomplete and even one-sided "crowding in" path may cause enterprises to gradually ignore the overall and balanced development of their main business;Finally,through the case study,it is concluded that the balanced relationship between shadow banking business and main business as well as the proper means of non-financial enterprises can promote the former to have a positive "crowding in" effect on the latter,and promote the further development of main business.In view of the above problems,this paper puts forward the following suggestions: First,non-financial enterprises should establish a perfect fund management system in the process of shadow banking,so as to ensure that the profits of shadow banking business flow to the main business on time and quantitatively,while avoiding the consequences of "crowding out" the main business resources and excessive financialization.Secondly,non-financial enterprises should be encouraged to explore more types of "crowding in" paths and give full play to the "crowding in" effect.Finally,the practice of shadow banking service for main business is promoted to non-financial enterprises,so as to form a good situation of financial service entities and promote the long-term healthy development of non-financial enterprises.