The Credit Asset of Enterprise Accounts Receivable Pricing Model

Table 6

The environment factors influencing the seller’s accounts receivable credit.

Category of environment risk	Item of assessment	Credit input (I) indicators and assessment standard	Credit output (O) indicators and assessment standard	Data origin	Frequency and DEA	Importance and weight
Country risk	Sovereign credit and international business environment	(I11) GDP growing rate	(O12) Sovereign credit rating (1–9 grades)	The World Bank and famous credit rating organizations	Year, [0, 1]	Same importance; 0.3333
		(I21) Growing speed of unemployment rate	(O22) DTF score^1 (published by the World Bank)
		(I31) Import and export growing rate
Region risk	Level of region economic activity and market credit environment	(I41) Debt growing rate of the region’s financial organization	(O32) Bad loan rates of the region’s financial organization	National Bureau of Statistics	Year, [0, 1]	Same importance; 0.3333
		(I51) Total retail sales growing rate of the region’s consumer goods	(O42) Region’s revenue growing rate	Ministry of Commerce
				State Bureau of Industry and Commerce
		(I61) Total fixed asset investment growing rate
				People’s Bank of China
Industry risk	Industrial economic cycle, prosperity and credit ecology	(I71) Industry enterprise proprietor rights growing rate	(O52) Industry market mainstay growing rate	National Bureau of Statistics	Year, [0, 1]	Same Importance; 0.3334
		(I 81) Industry main business income growing rate	(O62) Average price-earnings ratio of recent three months	China Securities Index Company

¹DTF is distance to frontier; the 10 indicators include starting-up company, building license, power supply, registered capital, and one-year average level which is published by the World Bank to evaluate the business environment of a country.