Study On The Competitiveness Of Chinese Rural Commercial Banks

The Rural commercial bank is the outcome of the reform of the Rural CreditCooperative bank of china.The Rural commercial bank is becoming more and morestronger. The Rural commercial bank has became an important part of rural financialsystem. The Rural commercial bank is the main force of Chinese rural finance and isContributing a lot for the development of Chinese "three rural". Since2001,the first ruralcommercial bank of china in Jiangsu was established called Zhangjiagang ruralcommercial bank, the Rural commercial bank of china set up quickly in the country andwith the rapid development, By2012the rural commercial bank of china has set up278banks. Since the rural commercial bank of china has been established and played thesignificant function for improving the quality of financial services in rural areas and ruralfinancial market.The degree of competition Between our country bank gradually fierce and the degreeof competition between financial markets gradually, so in the increasingly fiercecompetition in the financial environment, the competitiveness and operational efficiency ofrural commercial banks of china are two problems of worthy attention. In this paper, weuse the method of data envelopment analysis and principal component analysis to study theRural Commercial Bank of china. First, introduce the commercial bank competitivenesstheory; secondly, according to the commercial bank competitiveness theory use dataenvelopment analysis (DEA) and principal component analysis method for empiricalresearch on thecompetitiveness of Chinese rural commercial banks; thirdly, according tothe situation of our country rural commercial bank competitive power and give someadvices to enhance the competitiveness of rural commercial banks.The research object of this paper is the rural commercial bank of china. Thecontribution of this paper is to use data envelopment analysis (DEA) and principalcomponent analysis method to conduct the empirical study on the sample RuralCommercial Banks. In this paper we give the competitiveness rankings of the samplebanks to find out the factors that affect the competitiveness of rural commercial banks and put the countermeasures to improve the competitiveness of rural commercial banks.However, the paper has some disadvantages, because datas of some rural commercialbanks are not open, we can only choose representative sample banks to research, there aresome deviations.