The Empirical Analysis Of Factors Impacting The Competitiveness Of Listed Commercial Banks In China

The commercial banks have been functioning as a significant role for the healthyand stable development of the country economy. Through30years’ evolution after thereform and opening up, China’s commercial banking system has greatly improved andalso formed a modern financial framework consisting of the Central Bank as its nucleus,commercial banks as its main body, policy banks as its supplement and non-bankfinancial institutions coexist, which remarkably promotes the overall operation, riskmanagement capability and market competitiveness of the Chinese commercial banks.However, as a result of the economic globalization as well as the WTO agreement,China’s financial market should gradually fully open to the foreign banks, and foreignbanks are permitted to open branches in China, contributing more severecompetitiveness to China’s commercial banks.Thanks to the writer’s working as an intern in CCB Guangzhou nansha sub-branch,this paper focuses on the factors influencing the competiveness of the listed commercialbanks. First of all, the paper studies the historical development and status quo ofcompetiveness of commercial banks in China; next, by discussing the connotation andevaluation index system of commercial banks’ competitiveness, and combined with theactual situation of commercial banks in China, this paper establishes the evaluationindex of competitiveness of China’s commercial banks; then taking the16listedcommercial banks in China as samples, and in accordance of their2011annual reports,the writer collects, sorts out the evaluation index data and uses the factor analysismethod to analyze the main factors that influence the competitiveness of commercialbanks in China. In order to figure out the present competitiveness of listed commercialbanks in China, the paper ranks the listed commercial banks according to theircomprehensive competitiveness which is demonstrated in the calculation results. Lastbut not least, this paper puts forward some proposals to improve the competitiveness ofthe commercial banks by combining the result of empirical analysis with the status quosof commercial banks in China.