A Study On The Competitiveness Of The State-Owned Commercial Banks In China Against The Backdrop Of Opening Up The Financial Industry

With the development of the international trade and the increasing international capital flow, the degree of the integration of the global economy is deepening, more and more countries, enterprises and individuals are participating in the process. During the course of different parties attach themselves to the international economy communication and enjoy the fruits of the international economics cooperation, they never forget to think how to maintain their respective advantage, so as to keep their legs when facing fierce competitions and acquire the sustainable development ability .It is also the primary reason for the further progress of competitiveness study theory in recent years.It is well known that in the process of China's negotiation for entering the World Trade Organization, the service sector invariably is a key issue. While opening up the finance service market is the part and parcel of the aforementioned matter. For the reason of the historical and mechanical, commercial banks always play a dominant role in China's financial industry. Till now, commercial banks remain the backbone of China's financial system. In the commercial bank system of China, the state—owned commercial banks gain absolute advantages against other types of commercial banks. The achievement of state—owned commercial banks is not only vital to the stableness of the banking sector, even to the financial system as well. What's more, it may also affect the steady development of the national economy. In consideration of all the reasons above mentioned, the study on the competitiveness of commercial banks in China attracts the attention of many scholars for a long period of time.Since China's entry to the World Trade Organization in the year 2001, our country has made continuously new progress in the field of the commercial banks' reform. The past few years have seen marked acceleration of China's banking opening up. At the end of the year 2006, China will open up its banking sector to the outside world thoroughly, the overall competition situation between the Chinese—funded commercial banks and their foreign counterparts will inevitably come true. To evaluate the competitiveness of different commercial banks comprehensively and impersonally is the concern including both the banks themselves and their supervisor authorities and the vast amount of the creditors and investors involved. In the dissertation, the author first conducts his study based on the theory of the enterprise competitiveness and brings forward an integral analysis framework of commercial banks' competitiveness . After carefully generalizing and comparing the advantages and disadvantages of different comprehensive evaluation methods, he selects 14 Chinese and foreign commercial banks as the sample to appraise the competitiveness between the state—owned commercial banks, the nationally joint—stock commercial banks and foreign commercials dynamically by means of the integration of the factor analysis and back propagation neural network. The results demonstrate the changing trend of different types of commercial banks against the backdrop of opening up Chinese financial industry. By virtue of the correspondence analysis, the author separates the indexes causing the competitiveness of the state—owned commercial banks to be comparativelylow from the evaluation index system. Then he analyzes its main reason and puts forward the correspondence countermeasures for improving their competitiveness.