Author(s)

Zi Ying, Qianyou Gu, Wenqing Guo

Corresponding Author

Wenqing Guo

ABSTRACT

Supply chain finance (SCF), an emerging financial service, develops rapidly and gradually becomes an important field in which banks compete for profits. It is of great significance to study the influencing factors behind its economic development for promoting enterprise development, expanding commercial banks' business scope, improving the profit rate of industrial subjects and controlling the possible credit risk. Based on the perspective of SCF, this paper makes an empirical study on the core enterprise supported by Chongqing Bank using principal component analysis (PCA). We extracted six representative principal components which have contribution to 86%. And taking Logistic regression with principal components. It is found that enterprise risk level is strongly correlated with enterprise performance rate. The Logistic regression have 100% precision. Starting from the influencing factors, this paper puts forward some policy suggestions for the development of SCF, such as strengthening credit management mechanism, accelerating the integration with science and technology, strengthening internal risk control and optimizing business process, so as to provide theoretical support and thinking perspective for promoting the development of SCF and issuing relevant policies.

KEYWORDS

Supply chain finance (SCF), commercial banks, principal component analysis (PCA), influencing factors, logistic regression