2d Perspective Private Banking Business Development Strategy Analysis

China has already carried out its commitment since 2006 aboutOpening up financial markets, including cancels all therestrictions of the ownership, the set-up of operation right,ownership of foreign banks, allows foreign banks to provide RMBbusiness services to clients. Most of banks enter China to competefor the strategy market, leading to the market environment morecomplicated and difficult to grasp for Chinese banking industry.In addition, the world's leading strategic advisory bodyMcKinsey's study in 2005 predicted that the next decade, therewill be a change for major source of profit in China's bankingsector: the profit of personal banking business will be fastergrowth, and the share the corporate banking business in the wholeindustry will drop form current absolute share to about half ofthe share. The individual high-end market will become importantsource of bank profits. The private banking profit account for aquarter of its profits.Since Bank of China entered private banking, the Chinese bankshave been engaged in fierce competition. The private bankingbusiness of China's commercial banks is in primary stage comparedwith foreign banks. Because of the banks` unstable customer demandsand lacking of experience, the banks` private banking business modecan not be fixed at this moment. This is leading to the blindnessin the market competition process of each banks. "The developmentstatus of domestic private banking business is that banks arepaying more attention to the contribution provide by the customerrestructuring .In a word, the one that can occupy more market isthe winner of this competition. The private banking businessstrategy is not contains such as which mode it should be carriedout ." Said by a anonymous of a joint-stock banks` private bankingsector. Some service quality factors are extremely important inthe market competition in this case.Bank belongs to financial services industry. The fundamental way of development for banks is improving its service quality. Soit is to the private banking business. It's such a pity that thestudy of banking service has not focused in private bankingbusiness service; In another hand, most of the perspective aboutbanking service studies are from the business point and forgottenthe service core: customs.In this paper, the author believe that the Two-dimensionalperspective of development strategy is an effective way to developThe private banking for most Chinese banks. With combining MarketSegmentation theory and Service quality theory, this paper, firstof all ,classified china's high net worth crowd by it'sInvestment risk preferences that discovered by Analysis InvestmentPreferences. Then refining The key dimensions of service qualitywhich influence the private banking business's service most. Atlast , proposing the development strategies of commercial banksunder the marketing segamentation classified by customer'sInvestment risk preferences in private banking business field .