The Research On The Development Strategy Of Rural Bank In Xiangxiang

The rural financial supply problem has been the focus of the theory and practicepeople. Under the background of China’s society systems, the financial products’ suplliesof rural has been very poor, as compared with the cities’. Both the numbers and coverageof rural financial institutions, or the type and quantity of financial products, are all farbehind the cities’ levels, thus become the issues of agriculture、farmer and rural area. Inorder to alleviate rural financial demand problem, our government has adopted manymeasures, including the development of rural Banks. Since2006, China’s bankingregulatory commission has issued many Provisions on the administration of rural Banks.Under such circumstances, rural Banks have got great development in the countryside.However, we also should pay attentions to the problems in the process of rural Banks’development. At present, rural Banks are still have many deficiencies in the process of itsdevelopment, due to the short development time、imperfect management of the financialsystem. Under this background, the research for the development strategy of rural Banks、system research of rural Banks’ internal and external development environments、ruralBanks’ segmentations and target market selections, will have important theoretical value,and also be contributes to promoting the development of rural Banks.Under this background, this paper focus on the research of the development strategyof rural Banks, and we specific study the first rural Banks in Hunan province--the ruralBanks in Xiangxiang, so as to realize the unity of theoretical analysis and empiricalresearch. In terms of the structure of the research, this article first study the background ofdevelopment strategy in rural Banks, we systematic discusses the systematic theoreticalresearch results at home and abroad, and research the theoretical value and practical valuein our article. Secondly, this paper discusses the theoretical basis for our research. In orderto show the particularity of rural Banks, we select three theories: the strategic managementtheory、rural financial theory、financial development theory, so as to provide specifictheoretical support for our research. Thirdly, this paper takes the rural Banks inXiangxiang as an example to discuss the environmental factors on the developmentstrategy,we use tools such as PEST analysis and SWOT analysis, research thedevelopment of macro environment in Xiangxiang、the industry environments and internalenvironments in Xiangxiang’s financial market、the internal structure of Xiangxiang ruralBanks. Fourthly, we analyze the specific development strategy of the rural Banks in Xiangxiang, combined with theXiangxiang rural financial market segmentation and targetmarket selection, to formulate the Xiangxiang Bank’s corporate vision、strategic objectives,and then generate the market segmentation strategy、differentiation strategy and expansionstrategy. Finally, this paper combining with the situation of the bank to discuss securityrelated supporting measures on the implementation of development strategy.