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The Law of Large Numbers and Research of Credit Models of Micro and Small Enterprises

Chen Yongjun  
The biggest problem confronting micro and small enterprises is the difficulty in credit.In the background of financial disintermediation,in order to keep profitability,commercial banks need to transform operation and develop new loan businesses targeting micro and small enterprises.Based on the law of large numbers,from the angle of commercial banks,the paper analyzes credit model of micro and small enterprises.The selection of credit model and the determination of interest rate are two important aspects in the research,while the management and control of risks runs through the process of credit.
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