The Development Strategy And Conuter-Suggestion Of Foreign Bank In China

After entering into WTO, China has gradually opened its market to the foreign country, lots of restraint for the foreign banks has been canceled gradually during the following five years according to the agreements of WTO. Now the share of capital and business the foreign banks occupy in China are limited, which are larger in other developing countries, especially in some Middle East countries, the share of total capital of foreign banks is more than 70%, which means they will possess more significant position in the banking industry of the host country. We totally opened banking to foreign banks on 11th Dec 2006,foreign banks begin to enjoy national treatment. NO restrict of location and business and customer for the foreign banks, they must enter into our country after understanding us deeply. In fact, their trends reflect their extending ambition, which will affect our banking industry greatly ,especially to the national banks. Therefore,it is necessary and value to discuss the strategy of the foreign banks with national treatment ,at the same time, how to reply for our country.This article analyses the strategy of foreign banks after the new position and the manner of entering, and also puts foreword some valid measures according to weakness of the national banks after comparing with the foreign banks, which aims at answering the following questions: How to change the form of entering us? What changes of strategy of the foreign banks after national treatment and where to emphasize? What are the reasons behind them? What are the advantages and disadvantages for national banks? What is the strategy?The article is made up by foreword and four chapters, the basic logic sequence and structural arrangement are as follow:The foreword dissertates reason of choosing this article and the meaning of this research, introduces the main contents and direction ,clears basic thought, and illuminates the method used during the writing. The first chapter reviews the course foreign banks enter into our country with a lot of information and data, and introduces the present conditions of the foreign banks in our country, meanwhile describes and sums up the characters of the foreign banks.The second chapter analyses the reasons and forms foreign banks enter compared with opening to outside, main form is branch before national treatment, after that is foreign corporate person.The later two chapters are the main of the article。The third chapter researches strategy and development of the foreign banks in our country.There are three parts, which are the sort of the foreign banks strategy,strategy choice for the foreign banks in China and strategy choice after national treatment ,which are section develop ,client develop ,business develop and knowledge right develop.The last chapter discusses suggestions to foreign banks, which involve client guide,brand,innovation and person of ability strategy .National banks have to exert their advantages, develop middle business vigorously, strengthen risk management, improve information technology, improve their corporate governance, improve training and encouragement system, word together with foreign banks actively, develop themselves with the competition to foreign banks.This article emphasizes on theory research with SWOT ,analyses the strategy choice for not only the foreign banks but also national banks after national treatment, the author hope that is useful to the banking competition and development .Because of lack of time and information also personal knowledge, there are also some deficiencies。Such as lack of the practice in foreign banks but in our national banks only, so the research for the foreign banks still stay with the theory level, which influences the maneuverability. Meanwhile foreign banks has been constantly changing since the end of 2006, the changes with national treatment makes the research so complex .Please make comments to this article.