Study On The Development Of Retail Banking For Chinese Commercial Banks

Retail business of banking means that the banking institutions which providefinancial activities for the individuals, families, Small and medium-sized enterprises.Retail business of banking includes deposits, loans, settlement, exchange, investmentand other business. Retail business has many features, like small scale、 riskdiversification、earnings stability; a large customer base、easy to develop intermediarybusinesses; belonging to a capital-saving business. Because of this, on the one hand,driven in a good situation that the wealth of domestic residents is expanding and theneed of financial products is diversity, but on the other hand, after China joins WTO,because of the deepening of the banking sector’s opening up and the competition withthe foreign banks, the International development of domestic financial regulation andthe squeezed operating environment to focus on the situation of capital regulation andrisk control, it has become a basic choice to develop the retail business.From the background、scope and characteristics of Retail business, the strategy toretail business of china’s commercial bank has been very carefully researched bythis article. First, through assaying on the feasibility and the present situation, thearticle raise questions and causes in the retail business development of the china’scommercial banks. Second, through the analysis and reference of the successfulexperience of foreign commercial banks and some commercial banks in ourcountry’s retail business, the article point out if our country’s retail business wantimprove development speed and the market competitive ability, we should changeidea, organizational structure, products and services, marketing channel and so on,improving the modern commercial retail business of the banking system. Afterproposing corresponding strategies, the author take a company (Bank of Tianjin) as acase, and the get the final conclusion based on the above study.Purposes of this article is to explore how china’s commercial banks which is inthe increasingly fierce international competition going to develop the road to success.