Research On Competitive Strategy Of Bank Of China Hebei Branch Investment Banking Business

A series of laws and regulations,such as the Commercial Bank Law,the Securities Law and the Insurance Law,have established the governance pattern of China’s financial industry.With the continuous advancement of marketization of interest rates,the market has become more and more demanding on commercial banks of providing financial services.In this condition,only by taking the initiative to change the mode of development,vigorously developing low capital consumption and no capital occupation business,and actively opening up new business growth and multiple sources of income,commercial banks could achieve harmonization in the growth rate,size,structure,quality,efficiency,so as to get an invincible position in the increasingly fierce competition.Developing investment banking is the main way of commercial bank business transformation.In recent years,the Bank of China(BOC)Hebei branch conscientiously implement the strategy of the BOC group:meeting its social responsibilities,striving for excellence,sparing no efforts to develop investment banking products,and has established a good brand image and market reputation in Hebeit.But still there is a certain gap between BOC Hebei branch and other advanced competitors.In this context,this paper took the BOC Hebei Branch as the research object,combing the relevant theories and literatures of the strategic management,the strategic management of commercial banks and the investment banks theory,studies on the competitive strategy of Bank of China Hebei Branch investment bank business.Firstly,this paper analyzed the external environment and internal conditions of BOC Hebei Branch by PEST,Porter’s five-force model and VRIO analysis framework.Then,SWOT analysis is carried out based on the internal and external environment.Based on above,this paper made a further analysis on the choice of the competitive strategy of BOC Hebei Bank’s investment bank business,and points out that it should choose the difference strategy.Besides,the implementation methods were also explored,namely:differentiation of key product,differentiation of key area,differentiation of key industries and customers,and differentiation in risk control.This paper also proposed strategies for the implementation of safeguard measures:reinforcing the differentiated product innovation mechanism,strengthening the construction of branch team establishing product promotion model,building strict risk prevention and control,improving ideological and political work,and building a good information security system.This paper combined the theory and practice,researching the BOC-Hebei branch investment banking strategy by strategic analysis tools,the conclusion is helpful for the BOC-Hebei branch to enhance the competitiveness and expand market share.The expected innovations of this paper are as follows:Using the theories and methods of enterprise strategic management to analyze and research the investment banking business of commercial banks under the background of current national financial reform and development.On the basis of comprehensive analysis of the internal conditions of the company’s environment and objective evaluation,this paper selected the differentiation strategy as the BOC Hebei branch investment bank business competition strategy,and then put forward a series of measures and the implementation of support measures to solve the same type of enterprise development issues which have a certain reference value and reference value.