Research On Cross Regional Operation Of Rural Commercial Banks

There are three modes for a rural commercial bank to achieve cross regional operation:to establish branches in cross region, to initiate village banks, and the acquisition of high risk rural credit cooperatives. As a typical rural commercial bank, Foshan Rural Commercial Bank was selected as a case study in this thesis, due to it’s representation of most commercial banks. Through relevant information and data, the writer analysis the necessity and feasibility of the cross regional operation of Foshan Rural Commercial Bank in this thesis, as well as its competitiveness. The study found that, although conditions were complied with statutory requirement in all aspects, Foshan Rural Commercial Bank still lagged behind in the development of cross regional operation, due to the inadequate of preparation. In strategy selections, the writer suggest that Foshan Rural Bank should give priority to set up remote branches, and try to focus in the service of the "three agriculture" and small-sized enterprises as an differentiated market positioning, then steadily push forward the cross regional operation. With proper management strategy, Foshan Rural Commercial Bank could built into an large-scale regional commercial banks in Guangdong Province in recent years.