Efficiency Research Of China’s Commercial Banks Based On Two-stage DEA

As the extent of China’s market economy continues to deepen,the role played by the financial sector in economic development becoming important. At present, the architecture of China’s financial sector is still dominated by bank,financing structure is still dominated by indirect financing,commercial banks play an important role in the social capital allocation. Therefore,through the efficiency research of commercial banks,we can not only understand the current operating situation of China’s commercial banks,but also can understand the inefficiency of the commercial banks comes from which stage of the operation,than we can propose some targeted suggestions.In this paper,16 listed banks’ efficiency from 2011 to 2013 is considered as the research subject,we use the two-stage DEA method to evaluate the banks’ efficiency,and divide the overall efficiency into two parts: operational efficiency and market efficiency, and use the ultra-efficient method to make further efficiency evaluation for efficient commercial banks. The correlation between operational efficiency and market efficiency is not strong. The overall efficiency of the four big banks is higher than the other 12 commercial banks,and the difference in overall efficiency is caused by the market efficiency. We need to strengthen the cost control of commercial banks,optimize the use of resources,and constantly improve the intrinsic value of the resources,strengthen the banking sector overall risk management.