Market Capacity and Life Cycle of Credit Rating Industry-World Credit Organization

Market capacity and life cycle of credit evaluation industry

1. The market potential and capacity of the credit evaluation industry are large.

The principle of economics tells us that if there is a demand, there must be a market, and the market will be as big as the demand. Because the credit evaluation industry can directly meet the following four major needs, the market capacity of the credit evaluation industry is very large. Take the Dun & Bradstreet Group as an example. By the end of 1997, the global annual output value of the Dun & Bradstreet Group was about 5 billion US dollars. It employs 80,000 people worldwide. With the further development of the market economy, with the continuous improvement of the ICE8000 credit standard, and with the emergence of the boosting effect of the ICE8000 credit standard on the credit evaluation industry, all units and individuals are the customer base of the credit evaluation industry. The annual market of China alone is more than one trillion yuan.

1. The need to safeguard legitimate rights and interests.

People are often deceived for various reasons. In addition to using legal means, people can use credit tools (such as: credit commercial account collection, credit supervision, etc.) through credit institutions to protect their legitimate rights and interests.

2. The need to prevent and control the risk of dishonesty.

No matter how firm the integrity values and the strong will of the top management of an organization, if there is no scientific management mechanism, credit tools (such as credit investigation, credit analysis, contract credit evaluation, dishonesty punishment mechanism, Dispute resolution mechanism, information transmission mechanism, integrity management consulting, etc.), he cannot effectively prevent and control the risk of the organization's own dishonesty (such as: internal employees or successors appear to be dishonest), let alone effectively prevent and control the organization's external dishonesty. Risk of behavioral abuse. Based on this, more and more honest bosses will seek credit institutions to help them establish a scientific management mechanism or purchase credit products from credit institutions to prevent and control the risk of dishonesty for themselves or their partners.

3. Lixin needs, that is, the needs to improve, prove and accumulate their own credibility.

Everyone is willing to deal with honest organizations and individuals, and everyone is unwilling to be deceived, which makes the need to prove credibility very high. Units and individuals with good faith will often wish to improve, prove and accumulate their own credibility. When there is a crisis of trust in the industry or society, if the trustworthy needs of honest people cannot be met, they will bear the bitter fruit of dishonesty caused by the dishonesty together with the dishonesty. We believe that more and more wise and honest people will discover their needs and seek to satisfy them.

4. The need to resolve credit disputes.

Even if both parties have the willingness to be honest and objectively follow the principle of honesty, subjective disputes are still hard to avoid. Once a credit dispute occurs, people need a convenient, fair and just dispute resolution channel. The dispute handling mechanism of the ICE8000 system can meet people's needs.

Second, the credit evaluation industry has a long life cycle and can exist for a long time.

Many products and services have a life cycle. For example, BP machines were once all the rage, but they were withdrawn from the market because of the popularity of mobile phones.

We can analyze the life cycle of the credit evaluation industry. The market economy is a social and economic system that better allocates social resources. Most countries in the world will adopt this system, and the market economy system will not change in hundreds of years will quit. As long as there is a market economy, there will be asymmetry of transaction information. As long as there is asymmetry of transaction information, there will be liars. As long as there are liars, the society needs credit evaluation industry. Therefore, the life cycle of the credit evaluation industry is as long as the market economic system, and has unlimited development prospects as the market economic system. Practitioners in the credit evaluation industry don't have to worry about: unemployment due to the non-existence of the industry. At the same time, based on the scientific nature and international universality of ICE8000, the existence of the ICE8000 system will make the development of the entire credit rating industry healthier.

The above content is excerpted from: "Building an Integrity Unit——Risk Control and Integrity Management" (by Fang Bangjian)

Welcome to reprint, please indicate the source of reprint World Credit Organization [WCO]