A Research On The Competitiveness Of Large International Commercial Banks Based On The Factor Anlysis

Since the end of2006, China’s financial sector comprehensive opening to the outside world, a large number of international first-class foreign banks entering the domestic market in succession, engaged in a fierce competition with Chinese commercial banks. With the joint-stock reform of the traditional state-owned banks have been completed, the state-owned banks transformed into the commercial banks, launched a competition with domestic joint-stock banks and city commercial banks.At the same time, the financial disintermediation trend highlights, interest rate marketization process accelerates,China’s banking sector has entered a fully open and fully competitive era, not only have to deal with foreign competition, but also face the pressure of their sustainable development.In this situation, how to enhance the sustainable competitiveness of China’s banking industry, and promote China’s banking industry with international standards become an urgent task.On the basis of relevant existing research and theory,this article defined the connotation of commercial bank’s competitiveness.And with reference to the existing domestic and international banking competitiveness evaluation index design, built a workable bank competitiveness evaluation index system.On this basis, selected a representative of a certain large commercial banks as research subjects, collated data for the year2011as the research sample.Then using SPSS19.0statistical software for the raw data for factor analysis, extract four main factors:profits and safety factor, innovation and management factor, the scale factor and the risk-resist factor. The factor rank shows that China’s five major commercial banks have an outstanding performance in the profits factor and scale factor, against the risk factor on the mediocre, innovation and management factor in the poor showing. Ranking show that China’s large commercial banks compared with international peers already have a certain competitiveness, but there is still a large gap compareing with first-class foreign commercial banks.Finally, the paper recommends commercial banks can increase the scale of strength, increase profitability, improve risk management capabilities and strengthen other aspects of sustainable development capability to enhance competitiveness.