The Compare Of Community Banks Role&Business Model Between US. And China

Community banks play an important role in the United States economy. The role and business model of U.S. community bank has changed dramatically over the past five decades with the emergence of large, geographically diversified banking organizations that have the ability to exploit economies of scale and scope and to compete in global markets. Because of vast amount of organizations and continuously earning capability, community banks as well as large banks compose of U.S. bio-banking structure.The paper is doing a compare analysis in terms of role, market trend, business model, risk management and supervise strategy of community banks between U.S. and China (mainly based on CMBC practice in community bank), in consideration of individual economic environment. More on that, the paper is trying to outline community banks role and effect on China banking organization from Relationship Finance and Soft Information managing perspective. In the end, the paper comes up with several conclusions and suggestions on China community banks business model and supervisor strategy.