An Theoretical And Empirical Analysis On The Relevance Of Bank's Structure And Performance Based On The Corporate Stakeholders Theory

The rapid transformation from financial crisis into economic crisis makes us realize that finance markets have an important influence on the real economy. Under such a special background, the banking development plays a more important role on our country's financial stability and economic development. The banking efficiency is also related to the effect of social resources allocation and the utility level of financial resources.Fifty years ago, SCP paradigm explains the influence mechanism of market structure on performance. Thirty years ago, stakeholder theory explains the influence mechanism of stakeholders on performance. In fact, these two theories are both used to enhance the perfonnance and value of the company. Therefore, this paper combines SCP paradigm and stakeholder theory to find a better way to elaborate the factors that affect performance.Part one is a literature review which contains research on SCP paradigm and stakeholder theory both in borne and abroad. It also introduce contents, methods and problems need to solve. Part two is theoretical basis, which contains SCP paradigm, stakeholder theory, five forces framework and value chain theory. Based on the theories above, this paper analyses the market structure and performance of commercial bank of china. This thesis judges the market structure in four aspects: market share, concentration rate, product differentiation and barriers, judges customer structure in customer concentration rate, judges performance in three aspects:Return on Assets, Return on Equity, and Net Interest Margin. Afterwards, this paper creates a extended SCP model and validate it by analyzing 13 commercial banks of china from 2000 to 2008 with panel data model as the primary study method. The results indicate that there is a significant negative correlation between CCRn and ROA. For the four state-owned banks, there is a significant negative correlation between MS,CRn and ROA. Oppositely, for other shareholding commercial banks, there is a significant positive correlation between MS,CRn and ROA. At the end, there is a summary of the demonstration and some suggestion about optimizing the market and customer structure and increasing the performance for commercial banks of China.This paper draw three conclusions from demonstration:ROA makes negative correlation with MS in four state-owned commercial banks and makes positive correlation with MS in stock commercial banks. ROA makes negative correlation with CR4 in four state-owned commercial banks and makes non-significant positive correlation with CR4 in stock commercial banks. ROA makes significant negative correlation with CCR5 both in four state-owned commercial banks and in stock commercial banks.