A Comparative Study On The Competitiveness Of Commercial Banks In China, Japan And Korea And Hong Kong And Taiwan

With Japan and South Korea to establish a free trade zone to speed up the pace of opening the banking sector has gradually put on the agenda, so the free trade area of international commercial banks, competition will be further intensified. Thus, in the course of trade since the establishment of the international competitiveness of China’s commercial banks will also have to account for our advantage in Japan and South Korea free trade. Although in recent years, China’s capital market has been in constant development and improvement of them, but commercial banks have been China’s financial market system dominant, the entire Chinese economy’s dependence on commercial banks is still large, which determines the Whether now or in the future, and long-term commercial banks still play an important role in China’s economic system. Modern Commercial Bank of China started late, the development process is shorter, though as we clearly know that the development of China’s commercial banks compared to other East Asian countries（regions） the banking sector, in terms of time and experience has obvious shortcomings, However, we should clearly need to be more urgent in the current East Asian international competitiveness of the banking situation. And in order to make the future of China’s banking industry has become our competitive advantage in Japan and South Korea FTA, the need to improve the international competitiveness of targeted China’s commercial banks.In this paper, some commercial banks competitiveness of Chinese Hong Kong and Chinese Taiwan, Japan and Korea and the comparison of the theme, this paper introduces the background and significance of research, reviewed the domestic and overseas scholars and research institutions and research methods for commercial banks competitiveness and Review of the theory of international competitiveness of commercial banks; secondly, outlines the development of China’ mainland, Japan, Korea, Hong Kong of China and China Taiwan region five commercial banks and its simple comparative analysis, and then based on CAMELS rating system is based using factor analysis model building rating index system required for the selected five areas 25 banks competitiveness empirical analysis. Banks come in different regions, namely China’s mainland, Chinese Hong Kong, Chinese Taiwan, Japan, South Korea’s capital adequacy ratio and core capital adequacy ratio, provision coverage, non-performing loan ratio, brand value, cost to income ratio, the weighted average rate of return on assets, net profit growth, liquidity gap exists on the ten largest customer loans ratio, interest rate sensitivity and exchange rate sensitivity of these indicators large differences revealed competitiveness among banks may have a greater difference; factor analysis will measure 12 Bank competitiveness index is divided into two factors, namely against risks(specifically reflected in the level of bank management, capital adequacy, liquidity and capital market risk sensitivity) and operational capability(specifically reflected in asset quality and profitability), show competitive strength of major banks, empirical findings, Continental Bank on anti-risk capability generally has a low score, rather than mainland banks have a high score, reflecting the low level of Continental Bank management, weak capital adequacy, capital liquidity and market risk sensitivity differential characteristics; empirical last two factors clustering found Continental Bank to gather basic auto category, Chinese Hong Kong, Chinese Taiwan banks to a class of polyethylene, Japan, South Korea two banks in developed countries（regions） poly in order for a class, once again proved that the gap between the mainland banks and other banks’ competitiveness. Finally, based on the above analysis we propose to enhance the international competitiveness of Chinese commercial bank’s policy recommendations.