IDEAS home Printed from https://ideas.repec.org/a/eee/reveco/v102y2025ics1059056025004459.html

Examining agricultural firms' risk-bearing capability via supply chain financing: Insights from China

Author

Listed:
  • Zhang, Yang
  • Zhao, Wei

Abstract

This study examines how supply chain financing improves the resilience (risk-bearing capability) of agricultural firms by mitigating systemic financial vulnerabilities and promoting adaptive skills. This research utilizes data of China's A-share listed agricultural companies from 2009 to 2023, employing text analysis to develop supply chain financial indicators. Empirical findings indicate that supply chain finance enhances resilience by enhancing enterprises' business credit capability and reducing supply chain disruption risks. Mechanisms, including liquidity injection, risk-sharing, and digital traceability, empower enterprises to stabilize operations amid disturbances, invest in climate-resilient technology, and optimize resource allocation. Heterogeneous effects highlight contextual differences: Non-state-owned firms, functioning under strict credit restrictions, gain larger resilience benefits than state-owned enterprises dependent on institutional support. Likewise, locations with sophisticated financial ecosystems enhance the influence of supply chain financing via digital integration, whereas underdeveloped sectors encounter structural inefficiencies. The complexity of supply chains further influences outcomes, with supply chain finance being particularly transformative in complex, multi-tiered networks that necessitate coordinated financial and operational flows. The findings support policy frameworks prioritizing supply chain finance as a key instrument for equitable economic stability, emphasizing targeted assistance for SMEs, developing digital infrastructure in underdeveloped areas, and incentives for sustainable practices.

Suggested Citation

  • Zhang, Yang & Zhao, Wei, 2025. "Examining agricultural firms' risk-bearing capability via supply chain financing: Insights from China," International Review of Economics & Finance, Elsevier, vol. 102(C).
    • Handle: RePEc:eee:reveco:v:102:y:2025:i:c:s1059056025004459
    DOI: 10.1016/j.iref.2025.104282
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S1059056025004459
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.iref.2025.104282?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to

    for a different version of it.

    References listed on IDEAS

    as
    1. Gilly, Jean-Pierre & Kechidi, Med & Talbot, Damien, 2014. "Resilience of organisations and territories: The role of pivot firms," European Management Journal, Elsevier, vol. 32(4), pages 596-602.
    2. Parker, Hamieda & Ameen, Khadija, 2018. "The role of resilience capabilities in shaping how firms respond to disruptions," Journal of Business Research, Elsevier, vol. 88(C), pages 535-541.
    3. Feng, Jia & Tang, JiJun & Qi, Zhenyu & Liu, Jialin, 2024. "Supply Chain Finance and Innovation Investment: Based on financing constraints," Finance Research Letters, Elsevier, vol. 63(C).
    4. Conz, Elisa & Magnani, Giovanna, 2020. "A dynamic perspective on the resilience of firms: A systematic literature review and a framework for future research," European Management Journal, Elsevier, vol. 38(3), pages 400-412.
    5. Ran, Rong & Zhang, Jie & Yang, Xiaoran & Chen, Yejing, 2024. "Can technological diversity drive firm resilience? Evidence from Chinese listed firms," Journal of Business Research, Elsevier, vol. 183(C).
    6. Liu, Tianlin & Zhang, Bing, 2025. "Does social trust enhance firm engagement in supply chain finance?," Finance Research Letters, Elsevier, vol. 78(C).
    7. Lu, Jun & Li, Wengui & Huang, Wei, 2024. "Corporate social responsibility and stock resilience to COVID-19: A contract theory perspective," International Review of Economics & Finance, Elsevier, vol. 89(PB), pages 12-29.
    8. Elia Balugani & Maria Angela Butturi & Delroy Chevers & David Parker & Bianca Rimini, 2020. "Empirical Evaluation of the Impact of Resilience and Sustainability on Firms’ Performance," Sustainability, MDPI, vol. 12(5), pages 1-18, February.
    9. Lei, Wei & Tang, Kaitao & Shao, Jingfeng & Ran, Feng, 2024. "Digital transformation, supply chain finance, and enterprise innovation," Finance Research Letters, Elsevier, vol. 70(C).
    10. Wu, Hua & Zhang, Ke & Li, Renyu, 2024. "ESG score, analyst coverage and corporate resilience," Finance Research Letters, Elsevier, vol. 62(PB).
    11. Liu, Xinmeng & Zheng, Zhihong, 2024. "The impact of supply chain finance on supplier stability: The mediation role of corporate risk-taking," Finance Research Letters, Elsevier, vol. 65(C).
    12. Zhao, Haixia & Zhang, Hui, 2025. "Effect of marketing expenditures on supply chain finance: Moderating role of customer concentration," Finance Research Letters, Elsevier, vol. 75(C).
    13. Li, Xin & Zhou, Yanhua & Mei, Dexiang & Yu, Hui, 2025. "Retailers' risk attitudes and the value of cooperation in supply chain finance under investment-loan linkage financing," International Review of Financial Analysis, Elsevier, vol. 102(C).
    14. Maria Vincenza Ciasullo & Andrea Chiarini & Rocco Palumbo, 2024. "Mastering the interplay of organizational resilience and sustainability: Insights from a hybrid literature review," Business Strategy and the Environment, Wiley Blackwell, vol. 33(2), pages 1418-1446, February.
    15. Han, Zhihui & Wang, Zhitao, 2025. "Digitalization and supply chain finance risk: Evidence from listed firms in the construction industry," Finance Research Letters, Elsevier, vol. 74(C).
    16. Wang, Kai & Ding, Ning & Wang, Chenbo, 2025. "Supply chain finance and outward foreign direct investment," Research in International Business and Finance, Elsevier, vol. 73(PA).
    17. Xiaoli Guo & Weili Xia & Taiwen Feng & Jianyu Tan & Fenggang Xian, 2024. "Blockchain technology adoption and sustainable supply chain finance: The perspective of information processing theory," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 31(4), pages 3614-3632, July.
    18. Lou, Zhaohui & Xie, Qizhuo & Shen, Jim Huangnan & Lee, Chien-Chiang, 2024. "Does Supply Chain Finance (SCF) alleviate funding constraints of SMEs? Evidence from China," Research in International Business and Finance, Elsevier, vol. 67(PA).
    19. Bae, Sang Hoo & Saberi, Sara & Kouhizadeh, Mahtab & Sarkis, Joseph, 2025. "Examining blockchain's role in supply chain finance structure and governance," International Review of Financial Analysis, Elsevier, vol. 99(C).
    20. Bagh, Tanveer & Zhou, Bingjun & Alawi, Suha Mahmoud & Azam, Rauf I, 2024. "ESG resilience: Exploring the non-linear effects of ESG performance on firms sustainable growth," Research in International Business and Finance, Elsevier, vol. 70(PA).
    21. Zheng, Xiaxuan & Chen, Yueyan, 2024. "Does supply-chain-finance help to improve the efficiency of outward foreign direct investment?," Finance Research Letters, Elsevier, vol. 59(C).
    22. Ricci, Ornella & Santilli, Gianluca & Scardozzi, Giulia & Stentella Lopes, Francesco Saverio, 2024. "ESG resilience in conflictual times," Research in International Business and Finance, Elsevier, vol. 71(C).
    23. Liang, Lin & Li, Yan, 2024. "How does organizational resilience promote firm growth? The mediating role of strategic change and managerial myopia," Journal of Business Research, Elsevier, vol. 177(C).
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Zuhri, Nur Muttaqien & Abdullah, Zailani & Puspita, Nurul & Rozaki, Zuhud & Wilis, Nur Aini Resti, 2026. "Operational resilience as a dynamic capability for achieving sustainable agribusiness MSMEs," Agricultural and Resource Economics: International Scientific E-Journal, Agricultural and Resource Economics: International Scientific E-Journal, vol. 12(1), March.
    2. Cui, Xiaoqian & Yu, Chunmiao & Zhou, Jing, 2026. "Does agricultural insurance promote the new-quality productivity? Evidence from double machine learning," International Review of Economics & Finance, Elsevier, vol. 105(C).

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Zheng, Mengze & Wang, Rui & Ye, Jing & Li, Te, 2025. "How does supply chain finance enhance firms' supply chain resilience?," International Review of Economics & Finance, Elsevier, vol. 102(C).
    2. Xu, Wenjie & Xie, Wenqiang, 2025. "Supply chain finance and tourism enterprise resilience in the context of economic policy uncertainty," Finance Research Letters, Elsevier, vol. 86(PA).
    3. Zhao, Haixia & Zhang, Hui, 2025. "Effect of marketing expenditures on supply chain finance: Moderating role of customer concentration," Finance Research Letters, Elsevier, vol. 75(C).
    4. Antonio Miceli & Birgit Hagen & Maria Pia Riccardi & Francesco Sotti & Davide Settembre-Blundo, 2021. "Thriving, Not Just Surviving in Changing Times: How Sustainability, Agility and Digitalization Intertwine with Organizational Resilience," Sustainability, MDPI, vol. 13(4), pages 1-17, February.
    5. Sooksan Kantabutra & Nuttasorn Ketprapakorn, 2021. "Toward an Organizational Theory of Resilience: An Interim Struggle," Sustainability, MDPI, vol. 13(23), pages 1-28, November.
    6. Zheng, Yunjian & Guo, Yani & Yan, Jiale, 2025. "Business environment and industrial chain resilience," Finance Research Letters, Elsevier, vol. 75(C).
    7. Li, Chengyou & Li, Yuxin & Dong, Fang & Tan, Qingbin, 2025. "Research on the impact of supply chain finance on new quality productivity in private enterprises," Finance Research Letters, Elsevier, vol. 86(PB).
    8. Fan, Congying & Peng, Ke, 2025. "How does supply chain finance drive corporate green transition? The role of credit resource availability," Finance Research Letters, Elsevier, vol. 86(PA).
    9. Su, Wenjia & Junge, Sebastian, 2023. "Unlocking the recipe for organizational resilience: A review and future research directions," European Management Journal, Elsevier, vol. 41(6), pages 1086-1105.
    10. Lin Liang & Yan Li, 2025. "CEO Ability and ESG Responsibility Fulfillment," Business Ethics, the Environment & Responsibility, John Wiley & Sons, Ltd., vol. 34(4), pages 2243-2258, October.
    11. Qiao, Penghua & Qiu, Kaizhong & Fung, Anna & Yau, Jot & Fung, Hung-Gay, 2025. "Exploring the linkage between smart manufacturing technology and outward foreign direct investment in the new digital information age," Research in International Business and Finance, Elsevier, vol. 79(C).
    12. Tian, Xiangyu & Ye, Xiaoyu, 2026. "How supply chain finance impacts ESG synergy across supply chains," Finance Research Letters, Elsevier, vol. 87(C).
    13. Wang, Jianzhi & Zhu, Jinhe, 2025. "Does the application of blockchain technology enhance total factor productivity of enterprises?," Finance Research Letters, Elsevier, vol. 85(PE).
    14. Liu, Jianmei & Guo, Xiang & Fu, Rong, 2025. "Supply chain shared audit, financing costs, and enterprises innovation," Finance Research Letters, Elsevier, vol. 83(C).
    15. Jin, Shumo & Wang, Juanru & Zhu, Peiyu & Moehler, Robert, 2025. "Dual boundary-spanning search and open innovation in China: The mediating role of organizational resilience and the moderating role of big data analytics capability," Technovation, Elsevier, vol. 145(C).
    16. Chenguang Hu & Kyung Hwan Yun & Ziqi Su & Chang Xi, 2022. "Effective Crisis Management during Adversity: Organizing Resilience Capabilities of Firms and Sustainable Performance during COVID-19," Sustainability, MDPI, vol. 14(20), pages 1-20, October.
    17. Wang, Kai & Ding, Ning & Wang, Chenbo, 2025. "Supply chain finance and outward foreign direct investment," Research in International Business and Finance, Elsevier, vol. 73(PA).
    18. Bui Quang Hung & Tran Anh Hoa & Tu Thanh Hoai & Nguyen Phong Nguyen, 2024. "Resilience and Performance Among Vietnamese Business Organizations in Turbulent Environments: How Do Digitalized Management Accounting Systems and Organizational Mindfulness Matter?," SAGE Open, , vol. 14(3), pages 21582440241, August.
    19. Napier, Elizabeth & Liu, Steven Y.H. & Liu, Jingting, 2024. "Adaptive strength: Unveiling a multilevel dynamic process model for organizational resilience," Journal of Business Research, Elsevier, vol. 171(C).
    20. Tsolakis, Naoum & Zissis, Dimitris & Tjahjono, Benny, 2023. "Scrutinising the interplay between governance and resilience in supply chain management: A systems thinking framework," European Management Journal, Elsevier, vol. 41(1), pages 164-180.

    More about this item

    Keywords

    ;
    ;
    ;

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:reveco:v:102:y:2025:i:c:s1059056025004459. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/inca/620165 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.