Research on Risk Analysis of Supply Chain Finance

Abstract

China's market economy is gradually maturing, with the support of national policies, the development speed of small and medium-sized enterprises (SMEs) is increasing, which greatly promotes the development of the national economy. The existence of SMEs not only injects strong driving force into the country's economic development but also effectively alleviates the increasingly prominent problem of employment pressure in recent years. However, financing difficulties are still the main problem restricting the development of SMEs ^[1]. In this context, supply chain finance has emerged. This financing model is highly compatible with the characteristics of SMEs and can effectively meet the financing needs of small and medium-sized enterprises ^[2]. Therefore, a further in-depth analysis of the supply chain financing methods for SMEs is of great practical significance. Traditional financing models can no longer meet the financing needs of SMEs. Supply chain finance has many advantages, such as providing a way for smaller-scale enterprises to obtain loans. However, we find that supply chain finance may still involve risks through the establishment of risk models. To address this issue, it is necessary for banks and companies at the core of the supply chain to establish a new type of cooperative relationship and actively leverage their strengths to promote the better development of this new financing model. This paper first elaborates on the basic concept of supply chain finance. Then, it analyzes several problems currently existing in supply chain finance and establishes relevant game models to explain these problems, such as moral hazard. Finally, this paper suggests that banks and core companies in the supply chain need to establish a new type of collaborative relationship to promote the development of supply chain finance ^[3].