A Study On The Internationalization Of Industrial And Commercial Bank Of China

With the rapid development of international association, enterprises in China accelerate the strategy of “Going Out”. Specifically, the Chinese banking industry treats the internationalization as one of the key tasks, to meet the increasing external financial demand, promote the status on the international stage. Meanwhile, influenced by the global financial crisis, the economic growth, in the major developed countries is sharply decreased compared with pre-crisis. However, the trend in some of emerging economies, including China, goes to the opponent way. Therefore, these factors indicate that it’s a great time for the Chinese banking industry to internationalize. This paper focuses on The industrial and commercial bank of China(ICBC), which has ranked the first position continuously voted by the The Banker, to study the general strategies for Chinese banking industry to accomplish the internationalization. Firstly, by applying the PEST model and Porter’s five forces model, the paper analyzes the current circumstances of ICBC from the three perspectives, i.e., macro environment, industry environment and internal environment. Secondly, the current development status of ICBC’s internationalization is analyzed from organization, business, management and personnel; and the development opportunities are then pointed out. Thirdly, by studying the development of some successful international banks, such as Citi Bank HSBC, some experience can be obtained. Finally, some practical suggestions and policy implications are raised for ICBC to promote the internationalization. These suggestions include developing the strategy and seizing the opportunity of RMB internationalization, paying attention to the internationalization of talents cultivation and the ability of innovation.