The Study On The Competitiveness Of Chinese Commercial Banks Based On Measurement Of Security, Liquidity And Profitability

At present, there are many researches on the competitiveness of commercial banks, with various research methods. All these methods need to be built on the basis of good indicator selection and measurement. During the development of commercial Banks, the operating principle gradually concentrate on three targets such as security, liquidity and profitability. Based on this, this paper established an indicator to reflect the security, liquidity and profitability level of commercial banks, and then compared the competitive level in different aspects.In the part of theoretical analysis, we introduced the theory of the competitiveness of commercial Banks and security, liquidity and profitability in commercial bank management, including enterprise competitiveness theory, the commercial Banks competitiveness theory, the definition of the security, liquidity and profitability of commercial banks, the mutual relations among the security, liquidity and profitability, and various indicators to measure them. In the part of empirical analysis, we measured and ranked the level of security, liquidity, profitability and the competitiveness of commercial bank.In measuring, we used the method of principal components analysis to construct an index F to reflect the level of competitiveness, security, liquidity and profitability of commercial banks from 2004 to 2013, using nearly 120 commercial banks’ data. We also ranked the level in four aspects, by using 22 commercial banks’ data. After that, we made comparative analysis of commercial banks in different types, and analyzed the impact of list to the security, liquidity, profitability and competitiveness. We concluded that: first, there is a certain trend in the fluctuation; second, the state-owned commercial banks do have many unstable factors hiding behind shiny operating performance, joint-stock commercial banks is relatively weak in every aspect, and city commercial banks and other commercial banks are relatively stable and perform much better; third, there’s no overall advantages in Listed Commercial Bank Group, but being listed do have some positive impact.Finally, based on the conclusions we arrived, we put forward some suggestions.