Analysis On The Cross Regional Business Model Of City Commercial Banks

Adhering to the operation principle of "serve the local economy,service for local businesses and service to local residents”,commercial banks was proposed for the first time with the reform of China's financial system in 1995.In order to guard against and defuse urban credit cooperatives in local economic services in the process of accumulation of financial risks,the large and medium-sized cities set up city cooperative banks which controlled by the local government through clean up the local credit cooperatives,this is the prototype of the city commercial banks in China.In the early period,China's city commercial banks was only provided in the city to carry out business activities,that is,the operation of a single city system.However,with the rapid development of China's economy,formation of the first part of the large city commercial banks gradually expand the scale,a single city operation mode become the bottleneck of the further development of the commercial banks,it also exposed its business model shortcomings.So the regulatory authorities gradually relaxed restrictions on city commercial banks to a single city,take the "divide and conquer" supervision mode,allowing city commercial banks which comprehensive strength strong achieve cross regional development firstly.As more and more of the city commercial banks take "cross regional business" development strategy and practice successfully,cross regional business has also become a important step n the future development blueprint of most city commercial banks,it also becomes one of the important trend in the development of the city commercial banks,a effective way to win in the increasingly fierce competition in the financial market.This article basic on the theoretical of city commercial banks operating across the region,analysis the reasons for choosing cross regional business,introduces the development of cross regional business,then summarizes the current situation of China's city commercial banks operating across the region.Firstly,I analysis the cross area to operate in a variety of patterns,case demonstration,discuss the basic steps of the various modes,summarize their advantages,the conclusion that the specific effect of cross regional business.Through the case analysis,and find specific problems in inter regional development,and discusses the specific reasons for these problems,through the study of the current situation of the development of the foreign developed countries' small and medium-sized commercial banks,combined with China's specificnational conditions,then summarize the experience of China's City Commercial Banks operating across the region.The development and problems of China's city commercial banks operating across the region have put forward some positive countermeasures and measures,so that the cross regional business more reasonable,make city commercial bank more rapid,healthy and reasonable.This paper in depth study of the domestic and foreign related theory,the research status of the foundation to the status of China's city commercial bank development and cross regional business as the background,in Bank of Beijing cross regional business model as an example,combined with the mode of operation of the Nanchang Branch,Bank of Beijing,analysis of its own advantages and disadvantages,Bank of Beijing implementation of cross regional business model for the necessary and feasibility analysis,and for the domestic city commercial bank cross regional development and provide the reference,and the trans region management of city commercial banks marketing strategies and risk control measures are more specific comments and suggestions.Thus summed up the city commercial banks in the choice of inter regional business needs to focus on the development of the focus and should pay attention to the problem.And put forward the cross regional business in the city commercial banks can take specific measures: one is to strengthen the support of science and technology,streamline business processes;the second is to strengthen risk control,improve the corporate governance system;the third is product design to local conditions,take poor dissimilation course;the fourth is to strengthen the channels of the laying and the development of online bank direct,line laying community banks.