Empirical Study On Market Structure And Performance Of Bankcard Industry In Anhui Province

Bank card is the third time reform in the history of the development ofmonetary, it is the result of the continuous development of informationtechnology, modern information technology and the combination of thetraditional financial business. The development of bank card industry has thevery vital significance for the financial reform in our country, especially for theeconomic development and social progress. Bank card industry in Anhui’province was included in Anhui provinces development plan outline, which iseno’ugh to show the bank card industry’s important role in Anhui provinceseconomic development.In this paper，I mainly use industiral organization, ifnance，informationeconomy, econometrics and other related theories, focusing on ‘marketstructure…market performance’, to analysis Anhui province’s band cardindustry. Then establish model and Use empirical analysis to prove thehypothesizes.When analyzing the market structure of bank in Anhui province, mainlyanalyzes the market concentration, product differentiation and market barriersthree important aspects. On the analysis of market concentration, the bankcardindustry in recent years the development in China was first analyzed, then theissuing market of bank in Anhui province and accepts the market situation anddevelopment trend of market structure are studied. On the analysis of theproducts difference, I mainly analyzes the issuing bank after the marketsegmentation of different card products and card business product innovation,and that the issuing bank in Anhui province are based on their own, give fullplay to their own bank card products. On the analysis of the market barirers,mainly analyzes the policy，product differentiation，barriers，absolute cost barriers, think in Anhui province bank card industry has high barriers to themarket to a certain extent. The conclusion is that: the market concentration ofbank in Anhui province has been reduced year by year, but its market structureis oligopoly market structure, the oligarchic monopoly market structure willgradually get change. Anhui province bank card industry is experiencing theprocess of change of the oligarchic monopoly to monopolistic competitionmarket structure.After analyzed the market structure, according to the market structure andmarket performance of the relationship between the theory and model, putforward the hypothesis, and set up the econometric model of this paper. Byeight of the commercial Banks in Anhui province in2006-2011panel data，using Eviews6.0sotfware processing method of panel data analysis. Finallydraw the conclusion: First, with the emergence of the joint-stock commercialbank，bank card industry in Anhui province is experiencing the oligarchicmonopoly to monopolistic competition in the process of the transformation ofthe pattern of the market. Second, the performance of bank card industry marketconcentration of bank card industry in Anhui province has effect is negative，that traditional collusion hypothesis in the bank card industry in Anhui province.With the deepening of the market competition, Bank card mark’ets marketconcentration degree of Anhui province will reduce gradually. The effcts onMarket concentration for joint-stock commercial Banks is smaller, which alsosuggests that joint-stock commercial bank’s operation and management mode ismore flexible than the state-owned commercial Banks. Third, the market shareof the issuing bank to bank cards industry in Anhui province performance thereis a positive relationship，but for the state-owned commercial Banks andjoint-stock commercial Banks performance influence degree is different. Forstate-owned commercial Banks, the quantity of the bank card has been in aleading position, with the development of shareholding commercial Banks, dueto the system, the respect such as management，product development, lack oflfexibility, the market share for its bigger influence to improve performance. Forjoint-stock commercial Banks，on the one hand, to expand market share, on theone hand, increase brand awareness, product development, perfect service, andbecome the means of improving market performance, so the influence degree ofthe market share for joint-stock commercial Banks are smaller than state-owned commercial Banks. Fourth, in the bank card market of Anhui province, marketbarriers affect perofrmance is positive，that at this stage bankcard industry rapiddevelopment phase, the existence of market barriers to the improvement of bankcard industry overall performance has certain help. But we should also see, theinfluence of barriers to market for state-owned commercial banks is much largerthan joint-stock commercial Banks, it also suggests that the market barriers tothe protection of bank in Anhui province which will eventually translate into ahindrance role, eventually will force market more open.According to the above conclusions, this paper puts forward policySuggestions: ifrst, the increase in card consciousness, perfect the construction ofsocial credit reporting system of bank credit. Second, intensify efforts topromote the construction of the acceptance of the market, the perfect travel andbusiness. Third, strengthens the market supervision, create a steady and ordermarket environment.