The Marketing Management Of Commercial Banks In China

Commercial banks in Western countries always consider marketing as an essential part of management, which is used to enlarge its business scale, enhance existence rivalry and ability, and increase the banking benefit. Thus marketing in commercial banks becomes the key strategy to realize the global marketing. Since China's opening to the outside world, commercial banks in China have gained rapid growth. With the development of China's market economy, commercial banks play more and more important role in the national economy. In particular, the announcement and implementation of The Law on People's Bank of China and The Law on Commercial Banks accelerate the pace of commercial banks to the market. On the other hand, the commercial banks in China not only should compete with each other, but also face the competition and challenge from foreign banks. That is to say, after china's entering into WTO, foreign banks would be allowed to have RMB business in two years and to have retail banking business from year 2005, and have the rights to set branches and develop their business nation wide when region and customer limitation are cancelled in 2005. Foreign banks' marketing strategy, organization, technology, market network, services, marketing experience and business varieties constitute challenges to China's commercial banks. Compare with foreign banks, commercial banks in China were just relieved of the policy-related business in 1996, and its management still has the trace of planned economy. Surviving from these, commercial banks in China on one hand should accelerate process of commercializing, while on the other hand should learn from foreign banks' experience in marketing and management in order to compete with other banks and to grow up. What we should do is to emphasize the marketing concept, to accelerate market development in order to reach foreign banks' management level in a short time. Modern marketing theory states that marketing activity includes marketing environment analysis, marketing strategy making and marketing mix. The theory is also suitable for China's commercial banks' marketing. The marketing environment analysis is the base; marketing strategy making is the key, while marketing activity plan and rule is the implementary method. In this paper, the author tries to find a way that is proper to the marketing management of commercial banks in China, based on the study of the interactive relationship of the three elementary factors of commercials banks' marketing theory (i.e. Marketing environment decides marketing strategy, while the marketing strategy guides marketing mix), and wish to attribute to China's commercial banks' marketing practice.There are altogether five chapters in this paper.Chapter One introduces the characteristics and steps of commercial banks' marketing and management, preparing for the second chapter.Chapter Two illustrates what the commercial banks' marketing environment is. It is various external factors that influence banks' marketing and business achievement, which includes general environment and specific environment. The general environment means the factors that give indirect influence to commercial banks, including politics, economy, population, cultural and technology, which have potential influence over banks' marketing and business such as influence on the bank's medium-long term plan and development strategy choice. While the commercial banks' specific environment is restricted by it's general environment, which is directly related to the target of commercial bank, including finance, policies, laws, customers and competitors, etc. Specific environment has positive and negative influence over commercial banks' marketing activity, including financial policies, financial laws and financial marketing factors, customer factor and competitor factor. This chapter especially analyzes the difference between foreign banks' and China's commercial banks' marketing environment, taking the following factors into consideration---superiority, worse...