The Research Of China's Listed Commercial Banks Competence Evaluation

In today's increasingly globalized economy,commercial banks,as the core part of China's financial system,whose stability is related to the national financial stability,whose competitive strength plays an important role in our national economy.In this context,how to design competitiveness evaluation system for commercial banks to help them find their inferior and enhance the market competitiveness has become an important and urgent task.This article defines the competitiveness of commercial banks: the ability to create more wealth in a competitive environment for the financial markets.It means a comprehensive ability,regarding security,profit,and mobility as the main factor,combining innovation capacity,profitability,corporate governance and risk management capabilities,providing products and services to customers,repaying feedback for the shareholder,providing growth platform for employees,fulfilling social responsibility,and developing healthily and sustainably.It consists of real competitiveness,potential competitiveness and environmental competitiveness and limited by their own resource constraints,capabilities and external factors.On the base of understanding the current situation of China's listed commercial banks,I establish competitiveness evaluation index system for a listed commercial bank,including "real competition" and "potentially competitiveness" and complying with the comprehensive,comparable principles.Then,I use 16 commercial Bank's 2014 Annual Report data to do factor analysis of the competitiveness for an empirical test.The results show : the competitiveness of China's listed commercial banks is influence by the scale of strength,growth potential,profitability,innovation and corporate governance,management and security and liquidity constrained.The scale commercial banks,ICBC and CCB and other large commercial banks lead competitiveness ranking.City Commercial Banks has strong growth potential and joint-stock commercial banks have uneven development.Some banks have weak ability in the daily operational and organizational management.Meanwhile,I use the 16 commercial bank's annual report data during 2012----2014 to study the dynamic competitiveness.The results shows that thank to its advantages in resources,ICBC,CCB,ABC,BOC,these commercial banks in China firmly occupy the forefront continuously,but joint-stock commercial banks and city with limits in the commercial scale,has a comparative advantage in terms of innovation and profitability.Competitiveness has continuity and the Improving of it dramatically in a short time is difficult.In order to enhance the competitiveness of China's listed commercial banks,Small banks can expand asset size,increase the outlets construction and personnel training efforts;Large banks should appropriately control the scale,and improve service quality.All the banks could vigorously develop intermediary business,enhance business innovation strengthen;improve risk warning mechanism,reduce the reasonable non-performing loan ratio;improve the corporate governance structure,promoting the mixed process and controlling financial regulation.