Study On The Competence Of Chinese Commercial Bank

Since the study of "The Core Competence of the Corporation" was published in1990by Prahalad (Professor of University of Michigan Business School) and Hamel (Professor of London Business School) on Harvard Business Review, the competence of corporation has become the main strategic management theory in management and cooperation fields. It also made a research boom of corporation competence. With the rapid development of economy and the constant depth of monetary system reform in our country, the banking industry has achieved the increasing development in this fine market environment in recent years. Currently, the scale of banking industry has been increasingly extended and formed a modern commercial bank system including large state-owned commercial banks, policy banks, joint-stock commercial banks, city commercial banks, foreign commercial banks, postal savings banks, urban credit cooperatives, rural credit cooperatives and village banks. In the background of fast developing for banking industry, the competition between interbank has become white-hot inevitably. How to form and increase competition under that competitive markets environment has become a significant management proposition for all commercial banks.Compared with other industrial and commercial enterprises, commercial banks have distinct industry characteristics in large operating scale, high requirements for capital strength, strong ability of professional management techniques aspects, but they still need to comply with market competition principles and make the more competitive advantages as important promotion methods to achieve profit target more easily.During research process for Chinese Commercial Banks’ competence, this paper first reviews the cooperation competence and commercial banks competence research conditions from scholars at home and abroad. On this base, the writer combines the banking industry practice at home and abroad to make some theoretical exploration of Chinese commercial banks’competition. Second, with some basic features of our commercial banks, the writher tries to build a comprehensive evaluation system for commercial banks competence. In order to make an in-depth analysis of our different types commercial banks’competence characteristics, competition between interbank at home and practical performance in international interbank market, this paper analyzes and compartments the practical performances of Chinese commercial banks’competition level from the quantitative and qualitative aspects by the methods of factor analysis and case analysis. By comparison, the writer has found that, in the domestic interbank competition, profit model of a single source profit, heavily dependence on interest income, lack of intermediary business development ability are widely existing in domestic banks. And large scale state-owned commercial banks still cannot give full play to large-scale competition due to insufficient management efficiency; in the situation of participating in the international marketing competition, our domestic large-scale commercial banks still have the problem of capital strength competition ability. Last but not least, on the basement of the above comprehensive analysis, this paper promotes some policy suggestions to further improve the competence of domestic commercial banks.Through comprehensive use of literature study, case analysis, factor analysis, two dimensions of the domestic interbank market and international interbank market, this paper make a more comprehensive view of the situation of large state-owned commercial banks and joint-stock commercial bank competence. Compared with the similar researches existing in same perspective, this paper’s research methods have made an innovation in both different levels.