Research On The Internationalization Development Strategy Of GS Bank

GS Bank is one of the four major state-owned commercial banks in China and is also the first batch of banks which did business overseas.GS bank had representative office in Singapore in 1992 and by the end of 2017 it has more than 400 overseas branches in 44 countries and regions.The global network has complete license,high efficient operations and excellent services.During these 25 years international development,GS bank has made achievements while has encountered ups and downs.With the global integration,the internationalization of RMB and the implementation of “One Belt and One Road” policy,the pace of internationalization of Chinese companies continues to accelerate.Meanwhile,Chinese companies face many challenges,such as the impact of the financial crisis,the strictness of the overseas regulatory environment and the pressure of oveerseas competition.Facing this environment,how to position and adjust the GS Bank's internationalization development strategy in the future has very important practical significance.Firstly,this thesis introduces the concept and content of bank internationalization and briefly analyzes the motivation theory of bank internationalization,including internalization theory and The Eclectic Theory of International Production.The internationalization of banks is the inevitable result of economic globalization,including the internationalization of banking services,the internationalization of institutions,the internationalization of products,the internationalization of talents and the internationalization of management.Secondly,this thesis briefly introduces the current status of GS Bank's internationalization and the problems it faces.As the largest commercial bank in China,GS Bank has a considerable scale in terms of its customer base,business scope,products and services.In recent years,the pace of internationalization has also been very rapid.In the process of internationalization,many problems have also been faced,mainly reflected in the unreasonable layout of the organization,lack of international talents,weak overseas business risk management capabilities,lack of core businesses,and the internationalization of companies and the banking process.Thirdly,this thesis analyzes the internal and external environments of GS Bank's international operations.Including internal resources and core competitiveness,micro and macro environment and market environment.This paper uses Five Forces Model to analyze the micro-environment of GS Bank and analyzes the political,economic,social,and technological environment using PEST analysis.Forthly,this thesis uses SWOT analysis to analyze the strategic choice of GS Bank.Through the SWOT matrix and strategic objectives and models,the GS Bank's strategic choices are analyzed.Finally,this thesis proposes four safeguard measures for GS bank's international development strategy.Including,GS Bank should seize the "One Belt and One Road" policy opportunity,rationalize the layout of overseas networks,and actively infiltrate the needs of the "One Belt and One Road" development;GS Bank should pay attention to the training of international talents and increase the pool of international talents;enhance risk awareness to strengthen risk management;identify its own positioning,provide differentiation Products and services,while doing localization of international operations in the increasingly fierce market competition.