Author(s)

Yuanxiang Dong, Chenjing Hou, Duo Zhao

Corresponding Author

Yuanxiang Dong

Abstract

This paper, based on the theory of system dynamics, analyzed internal and external factors of Chinese supply chain financial credit risk and constructed the system dynamics model of Chinese supply chain financial credit risk, and utilized Vensim software to analyse the simulation results. The research shows that the financial market tends to be stable and the credit risk will reduce with the improvement of cooperation level, information sharing degree between enterprises and risk awareness of financial institutions in supply chain. The improvement of the credit level of core enterprises and SMEs can promote the stability of financial market and reduce supply chain financial credit risk, and the impact of core enterprises is more significant.

Keywords

Supply chain finance, cooperation, credit risk, system dynamics.