Analysis On The Development Strategy Of Retail Business Of China's State-owned Commercial Banks

In recent years,the tension of global trade has been continually impacting the real economy.The increasingly stringent domestic financial supervision and the rapidly emerging Internet financial industry have pushed China's traditional banking industry into the doldrums.The single profit model has been unable to meet the development requirements of banks.In this regard,China's major commercial banks have formulated different business transformation strategies according to their own scale and target development direction.Among them,vigorously promoting the development of retail business is a transformation direction unanimously recognized by the banking industry.State-owned banks have the characteristics of long history of development,stable operation and large number of customers.They are more representative in studying the transformation and development of China's commercial banks' retail business.Therefore,this paper chooses to use state-owned commercial banks as the research subject,and analyzes the impact of retail business on the profitability of state-owned commercial banks through empirical methods to clarify the strategy of the transformation and development of state-owned commercial banks' retail business.This paper firstly compares the different institutional commercial banks horizontally,and analyzes the development status of China's state-owned banks' retail business in a vertical comparison.Secondly,the retail business data of the four major state-owned banks in 2010-2018 were selected to conduct regression analysis of panel data to explore the impact of the development of retail business on bank profitability.The results show that the net interest margin of the retail business and the diversification of the internal operations of the retail business are positively correlated with the profitability of the state-owned banks.Then,select N Bank for specific case analysis,use the customer retail business point data to analyze the impact of each component factor on customer contribution,and explore the profit contribution of retail business to the bank from a micro perspective.Finally,the overall analysis and case analysis are combined.At the same time,we learn from the experience of domestic and foreign banks' development,and make suggestions on the transformation and development of China's state-owned banks' retail business from three aspects:retail customer mining,product business innovation and channel expansion.