Research And Investigation On The Improvement Of The Business Managements For Foreign And Chinese Capital Banks

Ever since massively stepping into the China market, foreign capital banks gradually demonstrate strong profitability with a relatively superior level of management skill. However, due to the western-oriented management background,weaknesses from not acclimated to the new China market have been fully exposed.Not as analysts expected, foreign capital banks do not squeeze the living spaces from the Chinese capital banks; whereas, they show steady development using their existing business management style. The purpose of this article is to compare the foreign capital banks with Chinese capital banks to find strengths, weaknesses and characteristics of each other. It demonstrates comprehensive analysis in operating philosophy, channel development, risk control, performance evaluation, the income structure, the localization process and other aspects for both foreign and Chinese capital banks. The methods of analysis used are SWOT analysis, example illustration,and comparative research methods, etc.The result of this analysis shows that Chinese capital banks overcome foreign capital banks in the fields of channel construction, customer base, and the cost of capital, etc. Meanwhile, foreign capital banks overcome Chinese capital banks in the fields of in business philosophy, management efficiency and risk control, etc. This article aims to facilitate foreign and Chinese capital banks to improve their own business strategies through in-depth comparison of their strategies and offering several recommendations. Thus, both types of capital banks could inherent their own business characteristics and merits, and be capable of serving real tangible economy in a better way. Finally, both could be capable of offering superior financial products and services to better serve the Chinese economy in the current transition period...