Research on Financial Supply Chain From View of Stability.docVIP

Research on Financial Supply Chain From View of Stability 　　[a] College of Traffic and Transportation Engineering， Central South University， Changsha， China. 　　[b] College of Business， Guangzhou University， Guangzhou， China. 　　* Corresponding author. 　　Received 6 August 2013； accepted 25 September 2013. 　　 Abstract 　　The former research work on material and financial supply chain management has mainly adopted marginal analysis and EOQ model， which are based on the traditional idea of self interest maximization or “Efficiencism”. However， this idea often drives those strong enterprises in a supply chain to occupy their weaker partners’ funds by corporation finance policy； thus results in the break of the monetary flows along the chain. This paper discusses the interest unbalance within such a small system and its negative effects； then proposes a way to resolve it from view of alliance and cooperation. A simple model of stable money flow along supply chain is given. 　　Key words： Financial Supply Chain （FSC）；“Efficiencism”； Stability of money flows 　　ZHOU Xiaolu， XIE Ruhe （2013）. Research on Financial Supply Chain From View of Stability. International Business and Management， 7（2）， 32-35. Available from： http：//www.cscanada. net/index.php/ibm/article/view/j.ibm.1923842820130702.Z505 DOI： http：///10.3968/j.ibm.1923842820130702.Z505 　　 INTRODUCTION 　　In the time of supply chain， the competition lies among supply chains other than individual enterprises. Supply chain is an alliance of a series of businesses upstream and downstream， which are supply-demand relation interlinked. There isn’t a super-manager over all partners to compulsorily administrate them like within a singe enterprise. They ally on a voluntary basis， so the core problem of supply chain management is the coordination among the businesses along the chain. 　　A supply chain is an integration of harmonious flows of information， material and money. The performance of a supply chain is determine