The Game Analysis Of China's Banking Industry Entry In The Perspective Of Industrial Organization Theory

In the theory of industry organization,the market entry means with benefit induction,the possession of factor resource,such as capital,labor,technical etc, enterprises transfer between different market,region or industry.Presently,an important aspect of China's bank reform is to relax the control in banking industry.The purpose of the foreign investment introduction is to improve the internal management in the state-owned banks and to introduce the advanced management,the innovation of financial products and the talants of medern management.But the purpose of the foreign bank's entry is to pursue benefit maximization instead of introducing the advanced management and products to chinese funded banks,so we should have a dialectical and comprehensive analysis on foreign investment.In the context of the econimic and financial globalisation and China's rapid economic development,the demands of the folk strength for fianacing which growing from the process of market oriented are also promoting the reform of bank.The market entry of bank industry has an important influence on China's bank reform even the promotion for the reform of the whole economic syetem.In research of recent years on the industrial organiszation,the Game Theroy has already became an important method for the market entry issue.This article is based on the theory of industrial organization with using the research methed of the Game Theroy to systemic dynamic analysis on the market entry in China's bank industry.The thesis combines the classic game model with the game behavior of the market entry in Chian's bank industry,and to analyse the game behavior of the market entry in China's banking industry in two stages,the time of entry,and after entering.At the research of the game behavior at the time of entry,the author gives the main analysis of the entry-contain game.It is thought that when government set up barriers against the market entry in banking industry,it can't be too high or too low for maximizing the benefits of the whole society.So the open of the banking industry should be moderate,it should be accord with the affordability of China's banking industry,and control the speed and efforts of the liberallisation of market entry.After the entry of foreign investment to China's banking industry,it analyse the competitive cooperative relationship between the domestic banks and foreign banks with the product differentiation model and the repeated game model.For private banks which established most on private capital,the thesis gives analysis on its admittance.At last,in the whole frame of economic development,the thesis puts forward the targeted proposals to the state-owned banks,the private banks and even the govemment.