Research On Strategy Management Of Village Banks

In December 2006, The China Banking Regulatory Commission(“CBRC”) released the Several Opinions on Adjusting and Relaxing the Access Policies for Rural Banking Financial Institutions and Better Supporting the Construction of New Socialist Countryside.(CBRC(2006) No. 90, hereinafter referred to as the "opinions"). Started the rural banks development work, to create a new model of rural financial reform to promote the reform of the leading mechanism, incremental development, become an important milepost of rural financial reform in China. After 8 years of development, the village bank from scratch, from small to large, has formed a certain scale, gradually with the characteristics of micro-and small-sized banking groups. At the beginning of the emergence of rural banks has shown a strong vitality, competitiveness and business activity, in improving the rural financial system, to better enhance rural financial services system and to improve financial services delivered to agriculture, farmers and rural areas as well as micro-and small-sized enterprises(MSE). At the same time, has become an important window of financial opening to the outside world, opened a new channel for private capital into the banking sector in an orderly and efficient. At present, the rural economic structure is undergoing profound changes, the reform of rural land system development, the development of new agricultural production and management, accelerates the transfer of agricultural population, and has brought new opportunities and new challenges to foster the development of rural banks. As an integral part of rural financial system, VTBs share important responsibilities for rural financial system reform and innovation. The government authorities?CBRC and especially the issuing banks should continue to make joint-efforts to resolve difficulties and challenges faced by VTBs in order to promote sound and sustainable development of VTBs. This article introduces the practical study of development of DW bank(VTBs) initiated by the SZ bank(the issuing bank), provides analysis on Strategy Management Approach and SWOT analysis, with the objective to apply the theoretical strategy management approach to real-case scenarios, and giving recommendations and opinions for sustainable development of VTBS.