Foxconn to build supply chain financial service system
Foxconn Electronics plans to build up a financial service system for the industrial supply chain, offering loans and real time information to suppliers within the system, according to company chairman Terry Gou.
Optimizing the Foxconn Group’s annual transaction volume of up to US$200 billion a year, Foxconn is able to offer loans to suppliers or make payments in advance on behalf of clients, Gou said.
Additionally, Foxconn can also provide suppliers with real time information utilizing Big Data analytics to help prepare inventories in advance for upcoming booming sales or reduce inventory pressure, Gou added.
In fact, Foxconn’s recently inaugurated B2B e-commerce portal, the FoxconnMall.com, in Shenzhen, China is now able to offer an array of financial services, including online financing, online payment, insurance and fixed credit line to qualified clients.
The FoxconnMall focuses on facilitating business in 16 categories of precision machinery, equipment, tool, molds, auto parts and components, and industrial materials.
The financial service system is a necessary part of Foxconn’s trust of branching into business sectors including cloud computing, Internet of Things (IoT), Big Data and smart products other than its core manufacturing business, said market analysts.