The Study Of Dynamic Competition Strategy On Trade Financing Services In The Hunan Branch, Bank Of China

The entry to WTO brings many significant transformations to the domestic commercial banks, which have obtained unprecedented development opportunities, as well as severely tests. The Bank of China Ltd., (hereafter called the BOC) is one of the four state-owned commercial banks, and it has once been the specialized bank managing foreign exchange in China. Trade financing service has been one of its traditional superiority services.The trade financing serves, a profit-rich market faces more and more native banks'competition along with the deepening reform of economic and monetary system in China. As well, foreign banks look the trade financing as their top-quality service of achieving China market. The monopoly of trade financing service by the BOC has been broken. Therefore, the dynamic strategy is needed urgently by the BOC to adapt to the current situation, meet the needs of customers and make the effective response to the changes.The thesis utilizes the theories of Dynamic Competition Strategy and the differential gambling model to simulate the competition strategy of trade financing services between banks, and discusses the dynamic competition strategy on trade financing services of Hunan branch of the BOC. It elaborates the backgrounds of trade financing services in the Hunan branch of the BOC, and analyzes the necessities of the BOC Hunan branch to implement dynamic competition strategy.In the implementation of dynamic competition strategy, the thesis utilizes the differential gambling model to simulate the competition strategy of trade financing services between banks, and proposes the localization in its market, customer, product and service, as well as development targets.Finally, the thesis proposes concrete proposals to implementation of dynamic competition strategy on the trade financing services in the BOC, Hunan Branch.