Systematic Study On Branch Network Construction Of Small And Medium-Sized Commercial Banks

Facing the marketization of interest rates and the popularization and application of online financing, it has become a common choice of commercial banks to speed up the system transformation of banking business. As a support of banking business, outlets have play important parts in setting an overall image and upgrading competitiveness and customer loyalty. A perfect network supports the banks to achieve the full coverage of financial needs of target customers and the continuously improvement of their sustainable development ability.The location of bank outlets needs to rely on the bank's market positioning and strategic planning, and it needs full consideration of the economic development and competition among different regions. Any region has its limits in the number and distribution of outlets, without scientific and systematic planning research, excessive competition will lead to insufficient development potential.At present, China's small and medium-sized commercial banks have not established their network planning system; extensive distribution of network over the years did not translate into a competitive advantage. Various drawbacks like unreasonable network layout and structure, duplicated coverage, uncoordinated development between the network layout and urban planning gradually appear. It not only because of decision factors, but also lacking of systematic and scientific research. It is very important of small and medium-sized commercial banks to change the regional network planning into the strategic level.It is a system about research, planning and choosing in network construction, now it has become an emerging research area which is cross-cutting, permeable and needs multi-point data support. The methods of domestic and foreign academic research vary from application research in statistics to management science and engineering. From the research literature, it is not difficult to find that the research on location of outlets is mainly concentrated in macroscopic scale or theoretical method. And the previous practical studies are most about the large national commercial banks and share-holding banks network, less of location of small and medium sized commercial banks.Based on the previous studies and many years of experience, and take NS Rural Commercial Bank which the author is employed as the case, this paper tries to combine the bank network construction theory and practical experience, and using specific, practical and professional tool methodology to solve the network strategy problem of small and medium-sized commercial banks. This paper combines the problems exposed in field research on NS Rural Commercial bank, and analyzes the regional environment and competitive position of NS Rural Commercial Bank, then provides a suitable outlets location strategy and implementation plan for NS Rural Commercial Bank.This paper applies the previous theories to small and medium-sized commercial banks, and further extends the application of the theory of bank network, which forms a set of practical guidance value of the research system. The main purpose of this paper is to design a reasonable system for the network construction of small and medium-sized commercial banks, to avoid arbitrariness and subjectivity. The research results in this paper are helpful in solving the problem of small and medium commercial banks' network planning scientifically and rationally and have the practical significance. And with the implementation of the strategic and network transformation of NS Rural Commercial Bank, the network construction strategy proposed in this paper has been improved and corrected in the market test. In this paper, the study of the network construction of the bank is not only the application of the theoretical knowledge, but also the summary and exertion of the practical experience during the work.