State-owned Commercial Banks Competitiveness Study

With the process of economic globalization and financial globalization ccelerating, economic competition, especially financial competition increase quickly. In order to gain competitive advantage in the global economic competition, it must have a strong financial competition advantage. Therefore, raising the competitiveness of the modern commercial banks which are the main body of finance has become the concern foucs of the governments, financial institutions and experts.China's four major state-owned commercial banks after reform and development more than 20 years, and its whole competitive strength has been greatly improved. They play a very important role in the development of the national economy. However, if compared with the modernization of large-sized commercial banks in the developed countries, China's state-owned commercial banks fall behind with them in terms,efficiency ,and so on. Particularly after China's banking industry fully opened in 2006, With the further opening of financial markets and the invasion of foreign banks, state-owned commercial banks will face more greater challenges. Facing more intense competition, how to seize opportunities and achieve greater competitive advantage to meet challenges. It not only related to its own development of state-owned commercial banks, but also related to China's reform and opening up and the system of market economy and development. Therefore, it is an inevitable choice to increase the competitiveness of state-owned commercial banks .This paper based on the theory of the enterprises competitiveness and the banking management, raised the analysis framework of the bank's competitiveness, and divided the competitiveness of commercial banks into real competitiveness and potential competitiveness. The reality reflected the current result of competition, and the potential competitiveness indicators reflected the reasons behind the current competitiveness or the deciding factor. After that, we collected relevant datas of domestic commercial banks and foreign banks in recent years, and do a comparative analysis of competitiveness between the state-owned commercial banks and other banks. We used the AHP and gave a review of the reality competitiveness. The result is that the state-owned commercial banks are lower than the foreign banks in reality competitiveness. Finally, we give some suggestions to increase the competitiveness of our state-owned commercial banks.This paper comprises 5 parts. Part1 is the introduction, presenting the issue itself and the signification of it. Part 2 is the theory review, briefly discussing the existing references in China and around the world. In part 3, we analyzed reality competitiveness of the state-owned commercial banks. Close behind in part4, we analyzed potential competitiveness of the state-owned commercial banks. After all of these, in part5 the last chapter, we draw our conclusion and give some suggestions...