The results reveal that FinTech companies play the crucial role of a signaling intermediary by facilitating interactions among relevant parties, accelerating the flow of information and reducing information asymmetry arising from data smog.
Authors
Anirban Ganguly, Professor, Jindal Global Business School, O.P. Jindal Global University, Sonipat, Haryana, India.
Hua Song, School of Business, Renmin University of China, Beijing, China.
Siqi Han, School of Business, Renmin University of China, Beijing, China.
Wenyi Liu, School of Business, Renmin University of China, Beijing, China.
Summary
The purpose of this paper is to explore the role of FinTech companies in SCF. The application of digital technology in supply chain activities has facilitated the evolution of supply chain finance (SCF) to a new level. However, how financial technology (FinTech) companies promote this evolution has not been thoroughly examined.
Methodology
This research used the multiple-case study approach and social network analysis method to explore how FinTech companies influence SCF networks.
Findings
The results reveal that FinTech companies play the crucial role of a signaling intermediary by facilitating interactions among relevant parties, accelerating the flow of information and reducing information asymmetry arising from data smog. Moreover, FinTech companies make SCF information networks more equitable and promote the performance of SCF.
Originality
This study deepens the conversation at the nexus of signal theory and SCF and provides managerial implications for alleviating information asymmetry between borrowers and lenders to solve the difficulty and high-cost problems of obtaining financing of small- and medium-sized enterprises.
Published in: Journal of Business & Industrial Marketing
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