A Study On The Development Strategy And Performance Testing Of China's City Commercial Banks Under The New Situation

At present, the total assets of China's city commercial banks have large growth after great development of China's city commercial banks in the past over ten years. For examp le, as for the assets, the proportion of city commercial banks accounted for 6.4 percent of t he financial institutions in the financial sector in 2007 and it increased to 11.38% in 2015,while Joint stock commercial bank accounted for 18.55 percent of the financial institutions in the financial sector at the same time. The importance of city commercial banks in Chin a's financial system is increasing. However, the China's city commercial banks are facing t he pressure and challenges from the external environment change.Under the new situation, it is necessary to study the development strategy and performance of China's city commercial banks. The thesis studies the development strategy and the performance of China's city commercial banks according to the method of normative analysis and empirical analysis. Firstly, the thesis expounds the development situation of the city commercial banks, the connotation of the new situation and the pressure of the city commercial banks under the new situation. Secondly, the thesis analyzes the motivation and the current situation of the four major development strategies of the city commercial banks, and makes a quantitative test of the development strategy of the city commercial banks. Finally, the thesis put forward the conclusion and suggestion based on the analysis above.Firstly, steady growth of city commercial banks has been observed recently and business diversification improved the performance of the city commercial banks; Secondly,Cross-region Development Strategy influenced significantly by the policies, branches are mostly located in the economic central, and Taking the Bank of Beijing as an example,found that contribution of Trans-regional branches of the city commercialbank is increasing gradually and cross-region branches are becoming an important force to increase revenue performance. Thirdly, Merger and reorganization effect of city commercial bank is obvious: after the reorganization of the city commercial banks,profitability is enhanced, the scale of business is expanded, risk control capability is strengthened. Fourth, the city commercial bank going public is not related with profitability, the safety index improved significantly after listing on capital markets. In the matter of recommendations, the city commercial bank should focus on strengthening cooperation with other agencies, enhancing their comprehensive risk management capabilities, strengthening the construction of comprehensive personnel to implement the development strategy.