Empirical Research On China’s Listed Commercial Banks Efficiency And Influencing Factors

Commercial bank is an important part of the financial system. Its development level affects the development of the entire financial industry. At present, China’s commercial banks face a complicated environment both at home and abroad. What should commercial banks do to increase efficiency to enhance competitiveness is an urgent need to solve the problem for our country commercial banks. In this context, we make empirical research on country commercial bank efficiency and its influencing factors by using the related theory of commercial bank efficiency.In this paper, first of all, on the basis of literature study both at home and abroad, we illustrate commercial bank efficiency related theory and the measure methods. We analyze the importance of bank efficiency on bank operation and management and make comparison and selection of efficiency measure methods. Then we introduce the development course, the present situation and characteristics of listed commercial banks in China. And according to the current situation and characteristics we qualitatively analyze the influence factors of efficiency of commercial banks in China from the macro, industry and micro. On the basis of theoretical analysis, we established stochastic frontier model to measure bank efficiency and established panel data model to measure the influencing factors of the bank efficiency. Also we selected 16 listed commercial banks in China as sample data. It is from 2008 to 2014. We make empirical research on the cost efficiency level and its influencing factors of listed commercial banks in China. The aim of empirical research is to research overall level of cost efficiency of our country listed commercial banks and the difference of cost efficiency between banks, and find out the key affect factors of banks cost efficiency. The empirical results of banks efficiency measure model show that cost efficiency overall level of listed commercial Banks in China have risen steadily. The average cost efficiency of shareholding commercial bank is highest, while average cost efficiency of state-owned banks is relatively lowest. However, On the basis of listed commercial bank cost efficiency value, we make empirical research on cost efficiency affecting factors from bank characteristics. The results of the empirical research show that profitability, asset quality, liquidity, and the innovation ability of commercial banks have a great effect on cost efficiency. And risk resisting ability of commercial banks has little effect on cost efficiency. Meanwhile, these affecting factors have different effect on different banks. Finally, based on three aspects of macroeconomic policies, industry running and regulation and operation and management of bank we put forward related suggestions for the improvement of commercial banks efficiency.