A Study On Competitive Strategy Of Retail Credit Business Of Jilin Branch In Jilin Bank

In recent years,commercial banks have faced unprecedented challenges in developing their credit business due to the impact of Covid-19.They are subject to strict regulation and an economy that is no longer growing rapidly.Commercial banks have faced weak growth in quality customers and had to accept narrowing net interest margins and deteriorating asset quality.Against this backdrop,banks are gradually transforming their asset business into a "capital-light,asset-light" type.The retail credit business is currently the best choice among the various credit businesses of banks,mainly because of the large size of potential customers,the relatively low risk of conducting credit business with such customers and the higher yields at the same scale.Now that the epidemic is under control,the economy is bound to improve,and the economic situation depends on consumption to drive it and stimulate it further.Therefore,in the post-epidemic economic recovery phase,the development of consumer credit business has become the consensus of commercial banks.Jilin Bank has also made its retail credit business as the first impetus for development,and its business scale and growth dynamics are relatively good.However,given the constraints on retail credit assets,the slowdown in growth in recent years reflects the need to further increase and float market share.Jilin Bank of Jilin branch urgently needs to accelerate retail lending business development,enhance its business competitiveness,and increase the proportion of retail credit business to optimize the credit structure of Jilin Branch of Jilin Bank.In the face of the downward economic situation and limited market customer resources in Jilin,enhancing business competitiveness is the primary consideration of the Jilin Branch in the Jilin Bank.In this paper,we explore the competitive strategies suitable for its development to enhance the competitiveness of its retail credit business at this juncture of development,where there are both opportunities and challenges.In this paper,the retail lending business of the Jilin branch at Jilin Bank is analyzed and examined in detail using the case study method.Firstly,it studies the current situation and existing problems of its commercial competition.The aim is to look for deficiencies in its competitive strategy,product features,pricing ability,financial technology,marketing channels,and performance management.Moreover,the results showed that the reasons are mainly caused by weak market research and judgment ability.Secondly,PEST analyzer and Porter’s Five Forces model are the main analysis tools,The main The main implication of the above analysis is to analyzed the external environment deeply.Also,the external factor evaluation matrix was constructed using quantitative analysis.The internal environment was analyzed from the resource and capability dimensions of the Jilin Branch of Jilin Bank,while the internal factor evaluation matrix was constructed.A SWOT analysis of the retail credit business of the Jilin Branch of Jilin Bank was carried out in conjunction with the internal and external environment analysis.A SWOT matrix was constructed to form alternative competitive strategies.Meanwhile,A QSPM matrix was constructed to quantitatively evaluate the practicality of the strategies and select a differentiated competitive strategy for the retail credit business of the Jilin Branch of the Jilin Bank.Finally,the paper elaborates on implementing competitive strategies.The implementation methods mainly include several types of differentiation.At the same time,suggestions are made on the safeguards for implementing the differentiated competition strategy from the perspectives of optimizing organizational capacity,improving human construction,strict risk control,and accelerating technological renewal.This paper has implications for seeking competitive strategies of Jilin Branch in the Jilin Bank.And will enhance competitiveness to a certain extent.At the same time,it provides solutions for the sustainable development of its business.It would be better if it could provide some reference for other commercial banks.