The Research Of Private Bank’s Development Strategy In Chinese Commercial Banks

Bank of China set up private banking in China in March2007,and then each big domesticcommercial bank focused on private banking which pay attention to high net worth clients,andthey try to predominate in market shares to make private banking become new strong profitgrowth point of commercial bank possible.China merchants bank is a joint-equity commercialbank which is characterized by retail bank, and the private banking is representative in China.Bythe end of2013, private banking of China merchants bank becomes the first in terms of averageassets and total assets. In the background of interest rate liberalization, commercial banks obtainless profit from interest spreads of deposit and loan. Researching the development of privatebanking commercial bank could help to improve Intermediate business income and promotestrategic transformation of commercial Banks in our country in the trend of interest rateliberalization.This article starts from private banking development of China merchants bank, using therelated theory.I practice in guangzhou private banking of China merchants bank.I use PESTmethod to analyze the macro environment of private banking of China merchants bank and draw aconclusion that the macro environment is conducive to help its business scale become biggerand stronger, and use SWOT methods to analyze advantages and disadvantages of private bankingof China merchants bank in competition at home and abroad.Conclusion is as follows:Comparedwith foreign private banking, private banking of China merchants bank is insufficient inexperience, professionalism and staffing;compared with domestic private bank, China merchantsbank occupy a larger advantage in customer base, services, and product configurationability.Through to the China merchants bank, private banking analysis,We could find out theproblems of private banking of China merchants bank in the process of development and seize theseize the opportunity in the process through analysing products, customers, scale and profit ofprivate banking of China merchants bank.Then I put forward some competitive strategies forbeing bigger and stronger.Based on the research of private banking business of China merchants bank, we could draw the conclusion which is heipful to China merchants bank,and the conclusioncould provide reference significance for the domestic commercial banks.