Why have industrial giants transformed into finance in the past decade or so? What are the pros and cons?

In the past decade or so, industrial giants have transformed themselves into finance, which is certainly beneficial to them.

As consumption upgrades, consumer finance has ushered in huge room for development, attracting a large number of institutions to compete for the market.

Banks, consumer finance companies, Internet financial institutions, etc. are all involved in this market.

Now, both traditional companies and e-commerce platforms want to do consumer finance.

Such as Jingdong Baitiao, Taobao Huabeijiebei, etc.

Didi launched driver loans internally, and Foxconn launched employee loans, creating many dazzling loan categories. They use newer methods, smaller shares, more scenario-based offers, and more convenient experiences to let you actively join the Internet.

More and more companies are blindly developing consumer finance for short-term benefits, allowing more and more people without spending power to consume in advance, thereby earning high interest fees or overdue fees.