A Study On Competitive Strategy Of Minsheng Bank Of China In Little Micro Finance Market

As interest rates liberalization in our country banking industry speeds up faster,the banking spreads suddenly reduce, along with the completing of the financialmarket system and the changing of the banking management modes. Small andmicro-enterprises which become new target customers of commercial banks, do a lotof contribution for the economic grows, narrow the gap between the rich and poor,increase employment and maintain social stability. As a very enormous role to thedevelopment of national economy, the small and micro-enterprise has a financingdifficulty problem. With the influence of traditional idea of service, less effectivefinancing has been provided to the small and micro-enterprises by commercial banks.Therefore, it is the time for commercial banks to change the traditional operationconcept and expand the target audience. Correspondingly, the necessary change ofcredit system, product development and process reengineering will be the key of thegrowth.This article studies the financial credit and the development of small andmicro-enterprise in China based on the former study. And analyze the reason of thefinancial credit difficulty of the small and micro-enterprise. Finally, this articleprovides several policy for China Minsheng Bank to promote small and micro-financedevelopment.On the base of the relevant article of small micro-finance literature, this articlestudies about small micro-enterprise and credit development, and gives a deep studiesof the small micro-finance, and also the reason why is small micro-enterprisefinancing difficulty in China.Then, on the base of the competitive situation in the development of China’scommercial banks, this article points out commercial banks could not ignore the smallmicro-financial markets if they want to occupy a bigger market in the financialmarkets. And small and micro-financial market will become the major markets thatcommercial banks take competition in in the future. And also this study combine inthe advantage of China Minsheng Bank,which takes a big advantage in smallmicro-financial market competitive. Also the author gives an analysis on thedistribution network of Minsheng Bank, bank assets and customer structure, so thatthe small micro-finance development and the measures to face difficulties can be remember by the other commercial banks.Finally, based on the current status of small micro-financial services of ChinaMinsheng Bank, the author gives some development policies to promote smallmicro-finance business of China Minsheng Bank from the perspective of commercialbanks. The articles points out that when government improve the service system ofcommercial banks, commercial banks also should improve the situation of smallmicro-enterprise financing through internal organizational structure optimization,small micro-finance product innovation and improve risk control.