ON THE IMPACT OF THE INTERNET ON THE CHINESE FINANCIAL SME FINANCING

Abstract

The development of small and medium-sized enterprises in economic growth, scientific and technological innovation, employment growth, social stability and export plays a very great role, which makes an important component of China's economy. But in the current severe economic situation, there are serious financing problems exist in the development of small and medium-sized enterprises. With the rapid development of information technology and electronic commerce, the Internet finance bring fresh blood to the small and medium-sized enterprises, especially network lending platform become increasingly expand financing channels, at the same time, the Internet finance will have a profound impact on the competitive behavior of traditional commercial bank by its unique advantages, play the catfish effect in promoting traditional banking health in long-term development process. Make the bank's development does more favor to the small and medium sized enterprises. This paper analyzes the Internet financial development trends and the opportunities and challenges brought to the financing of small and medium enterprises from the direct and indirect aspects. What is more, this paper puts forward the countermeasures to seize the opportunity and deal with the challenges, inject the fresh blood to resolve this long-standing of SME financing problems.