The Research Of Haerbin Bank's Trans-Region Development Strategy

This paper starts with a review on the trans-regional development strategy that was initiated in 2007.By the end of 2013,the bank gradually established subsidiaries inside and outside the province and set up 23 village banks under the strategy.This paper is dedicated to properly analyzing the ways and methods of establishing these branches and investigating the external and internal motive for the Harbin Bank to implement the strategy.The purpose of this paper is to conclude that the implementation of the trans-regional development strategy is indeed favorable to the expansion of financing channels,and reduction of operational risks and costs,which offer the necessary conditions to the transformation of the bank from a regional commercial bank to a national joint-equity commercial one.In this paper,three major trans-regional development patterns for Harbin Bank have been concluded.SWOT analysis is launched to investigate the internal advantages and disadvantages of the trans-regional development.Four alternative development directions are provided after the review on the external environment and opportunities in this paper.Furthermore,the SPACE analysis is also adopted in order to produce the most favorable option for the Harbin Bank.This paper contends that presently the Harbin Bank should avoid the direct competition against rivals and evade the market environment with vicious competition.What it should do is to calmly observe the change of the external environment and possible actions for the rivals.During the time,the Harbin Bank can gradually deploy 30 village banks reasonably and wait for the potential opportunities.The bank should optimize its internal structure,improve the institutions,promote the risk control,strengthen the talent reserve,and be well-prepared for establishing the new village financial holding company.The final part of the paperis devoted to the discussion on the strategy that should be adopted by Harbin Bank in the next stage.Four related precautions are raised in this part.