The Research For Profitability Of Our National Commercebanks

The whole world was in an uproar, when the rash of financial crisis broke out. The world was caught on its hop. The crisis affected on the world economy, which brought widely and profoundly influence to the world. The severity of consequence could not be estimated either. However, the banking industry played a decisive role in this big storm, which was an arch-criminal as well. Therefore, discuss about development of banking industry become hot again. As a special industry, commercial bank was also aimed for profit. It had the owned capital which was the same the qualification with other enterprises. For example, it operated in accordance with the law; pay taxes followed the rule and taking on full responsibility for the success of the business. However, what it operated was those special products such as currency and pecuniary resources. Those products are closely interrelated to the national economy and the people's livelihood, and played an important role in promoting economic development. Banking industries who want to be developed, should improve their own core competitiveness. And the key for the improvement of core competitiveness was profitability. Commercial banks could get a healthy development and continued stability only if they took their profitability into account. Therefore, this article has made a research and analyze on the profitability of the commercial banks in our country.The subject studied in the article was the profitability of our national commercial banks. There are five nationalized bank and five joint-equity commercial banks chosen as the main study objects. The research was based on the statistics of annual report from 2006 to 2008. The analyze has integrated the regular research and case study, using the system analysis, comparison and deductive research methods, which discoursed the current situation of commercial banks in our country, and discussed the existing problem and the factors which effected the profitability. And find out their direction of developing profitability through the comparison with other foreign banks. There are five sections in the article:the first part was introduction, which has introduced the research background and significance. It described the content of study and research methods, summarized the document about profitability of both home and abroad commercial bank, and finally discussed the limitation and further study for this article. The second part was about theories. It described the possibility and feasibility for the extension of.profitability. The third part was comparison. This part was mainly compared the current situation of commercial bank, joint-stock commercial bank and foreign commercial bank. The forth part was analysis. This part divided the commercial bank into nationalized bank and medium and small sized commercial bank, and described their current problem separately. The final part was a extension. This part discussed the measure to improve the profitability for our national commercial bank through strategic management of capital, risk, profit and social responsibility aspect, in order to achieve a sustainable development.