Competitive Ability Analysis For China Bank With WTO

The world economic integration, the financial globalization and the network economy that come into being will bring unprecedented opportunities and challenges to the financial industry. In order to meet the needs of the new situation after entering WTO, the Bank of China must be good at learning from and making use of the experience of all kinds of technology in developed countries and the production of the advanced financial instruments and the system innovation. What's more, we should shorten the time of exploring our own financial reform as soon as possible, avoid unnecessary detour and reduce risk of the reform. At the same time, we should associate the character of our financial system with the developing status quo of the state-owned commercial banks, so that we can form the development modes of Chinese characteristics which can meet the needs of the social democracy market economy, shorten the gap between the Bank of China and the advanced foreign commercial banks, and strengthen the competitive ability.In my opinion, it's both of hopes and difficulties whether the Bank of China can grasp the opportunities and face the challenges of foreign companies or not. Analyzing from the exterior conditions, we can draw a conclusion that the functions and behaviors of government haven't transformed from the planned economy completely, and the construction of legal system is not sound. Moreover, neither the supervision of the central bank is efficient nor the social credit standing is good. As to the Bank of China itself, the relationship of proprietary and operator is not clear, the governors have little pressure and impetus, the structure of the clerks' degree is reasonless, varieties of operations are simplex, the management system is unreasonable, and the most serious problem of all is that the employee are short of crisis sense. After the entry WTO, Bank of China has the strength to match with the foreign commercial banks, but in order to remain invincible in competition of opening completely the financial industry, Bank of China must constitute modern corporation system, carry on the reform of property right, and establish scientific Asset-Liability Management system, which contribute to be a modern commercial bank.In this thesis, firstly, we introduce the present situation of management of the Bank of China. (In the reason that the article was written in October 2003, the data used is of 2002). Secondly, some theories about corporation competition are stated which prepare for analyzing competitive ability of the Bank of China. Thirdly, we compare the advantages and inferior position of Bank of China with these of foreign commercial banks; the result indicates that it faces difficulties and advantages. Finally, we point out the challenges that Bank of China faces, and put forward the corresponding measure in allusion to these problems.After analyzing the conditions of management of Bank of China, the paper analyzes the advantages and inferior position of Bank of China, according with the theories about competitive ability, and demonstrates the development direction of Bank of China in the future. It also indicates that the Bank of China should enhance its management such as training persons with ability, investing in science and technology, aggrandizing the sense of market sales, resolving financial risk effectively and paying more attention to training the sense of immateriality asset.