Study On Development Strategy Of Rural Commercial Bank In China

Rural financial has made a contribution to the agriculture, rural areas and farmers as part of the financial system in China. Its development and innovation has a close relationship with the rural economics and society stability. In recent years, along with the rural financial system has gradually improved in our country, the cooperative system form、 shareholding reform and commercialization reform of the rural credit cooperatives that is very much concerned. Rural Commercial Bank was founded and has been restructured from a rural credit association to rural commercial banks. Rural Commercial Bank runs in accordance with the modern commercial bank mode, and its mission is to balance urban and rural development services by financial support, and has to service agriculture, rural areas and farmers on one hand. On the other hand, Rural Commercial Bank should help the small and medium enterprises develop, and become main force in the urban and rural financial market. It has established a healthy corporate flame and has achieved good performance. However, with the complicated and variable external environment of the financial industry and the increasingly fierce competition, needs to clear strategic goals、 determine the development orientation and formulate measures of how to implement strategic goals. Rural Commercial Bank can acquire competitiveness and sustainable development by means of improving itself.This paper reviews business strategy management theory and rural financial development theory. Firstly, this paper analyses the general situation of Rural Commercial Bank on the basis of summarizing literature review about rural cooperative finance、 rural credit cooperatives reform and rural commercial bank. Secondly, this paper uses PEST model to analyze the strategic environment that the Rural Commercial Bank face, and then analyzes the Rural Commercial Bank’ s development strategy by means of SWOT model. At last, this paper consider that Rural Commercial Bank is facing external environment conducive to the development, but the weaknesses of it and the challenges that it faces require that it should focus on strategy which can change the advantages and resources for realistic productive forces. And then, combining case analysis, this paper proposes that in the choice of development strategy, above all, A Rural Commercial Bank needs optimize business development structure continuously、 service or focus on customers、 provide special products and good services through various channels from the aspects of businesses、 customers、 human resources、 risk management and financial planning. Then, A Rural Commercial Bank should strengthen professional talents and reserve cadres construction, optimize the structure of talents, adjustment talents reserves dynamically, promote the talent configuration throughout the organization.A Rural Commercial Bank can provide itself with financial planning which can offer solutions for a period of financial activity of the bank. Finally, it can adopt the risk management strategy to ensure that it can meet all risks successfully in a market environment.Based on above analysis, this paper putted forward the implementation plans of the development strategy of A Rural Commercial Bank, and considered that it should improve and perfect marketing system, build characteristic personal business, expand trade business and the electronic banking business, increase the development strength of the new business firstly. What’ s more, A Rural Commercial Bank should establish operation mechanism that face markets and customers so as to develop more customers. At the aspect of human resource development strategy, the bank should enhance the ability to configure talent resource, increase staff training, provide opportunities for advancement, strengthening incentive and restraint mechanism, adopt humanized management system. A Rural Commercial Bank should set a complete budget management system and exercise management over the liability rate on assets, and then make good financial talent team construction. Last but not least, A Rural Commercial Bank should enhance the risk consciousness, make the risk management strategy and plan, promote team construction of risk management, establish an internal control system in order to enhance the ability against risks and realize the strategic objectives of sustainable development.