China's City Commercial Banks To Introduce Foreign Strategic Investors Studies

Following the deepening of the reform and opening-up, the opening-up of the financial sector in China is also gaining speed. During such a time, more and more foreign share purchasers are coming into China's banking sector.This paper focuses on city commercial bank, which is the weakest bank in Chinese bank sector and their foreign strategic investor.Chapter One introduces the strengths and weaknesses of city commercial bank in China, and then analyses opportunities and threats of foreign strategic investor's accessing.Chapter Two makes the game analysis between the city commercial bank and foreign strategic investor combining with the game theory, set up a payoff matrix, and then advance converse selections in importing foreign strategic investor.Chapter Three analyzes which foreign strategic investor brings to city commercial bank in China from three aspects: corporate governance, strategic concept and operation. It then make analysis deeply in corporate governance of city commercial bank upon the case of Nanjing City Commercial Bank, indicate that the foreign strategic investor was in favor of shortening principal-agent chain, and are propitious to corporate governance of city commercial bank. Then, analysis was given on basis of data of some commercial banks which have imported foreign strategic investors, especially the data of Bank of Shanghai. At last, it analyzes affect in macroscopically view angle up on three lays such as Bank, Customer (other interested party) and state.In the end, based on the analysis in the first three chapters, Chapter Four put forth the prospect of development of city commercial banks in China, and last gives some effective proposals.