The Impact Of Retail Transformation On The Performance Of China's Listed Commercial Banks

Since the 1990s,the major commercial banks in western developed countries have taken the retail business as the focus of strategic development,accelerating the increase in the proportion of retail business revenue in operating income,and promoting the banking retail transformation.In recent years,there has been an increase in downside risks in the macro economy,continued interest rate liberalization reforms,liberalization of bank access thresholds,tightened capital supervision,increased financial disintermediation,continued accumulation of resident wealth,continued consumption escalation,and rapid progress in credit information technology.Driven by this,China's listed commercial banks also competed for retail sales and accelerated the increase in revenue from retail sales in the bank's overall business revenue.The retail transformation trend has become even more apparent.The article studies the effect of the retail transformation of listed commercial banks on their performance.Because retail business has the advantages of high yield,weak periodicity,etc.,but also has the disadvantages of high cost and large customer liquidity,so whether the retail transformation will be a bank profit model The effective breakthrough and direction of transition also require more theoretical and empirical research support.The research of this paper is helpful to understand the mechanism of retail transformation affecting the performance of China's listed commercial banks and helps to answer whether retail transformation can help improve the performance of listed commercial banks.It has certain theoretical value.At the same time,the article also helps to clarify the status quo and problems of China's listed commercial banks in revenue creation,cost control,and risk management of the retail business.It also provides recommendations for the transformation of the bank's profit model and the supervision and supervision of the regulatory agencies to strengthen retail business policies.value.This article begins with the retail business as a whole and retail liability business,retail asset business,retail intermediary business three business segments,the development of the status quo and problems of China's commercial banks retail business description.Afterwards,this article elaborates on the theory of retail transformation that affects the performance of China's listed commercial banks,and points out that retail transformation affects bank performance through three approaches:income,cost,and risk.Afterwards,this paper makes use of the data of 15 listed banks,empirical analysis of the relationship between retail transformation and the performance of listed commercial banks based on the composite performance indicators constructed by the principal component method and the sub-indexes constituting the comprehensive performance indicators.The study found that overall retail transformation has not yet played a role in improving the overall performance of listed commercial banks because the retail business revenue ratio is still low,and the retail transformation has not significantly improved the bank's return on net assets,and has significantly improved the bank's The cost-to-income ratio reflects that the retail business of China's listed commercial banks as a whole still has the problems of low yield,high cost,and low comprehensive efficiency.On the other hand,the empirical findings show that the retail transformation can significantly promote the increase of net profit,capital adequacy ratio,reduction of fluctuations in returns,and improvement of asset quality of listed commercial banks in China.Retail transformation is an important factor for banks to improve their performance.way.Finally,aiming at the problems,this article puts forward suggestions for the retail transformation of listed commercial banks in China:optimizing the structure of retail business,increasing the retail business profitability;improving the efficiency of retail channels and reducing retail business costs;deepening the use of financial technology,taking the intensive intelligent road;strengthening retail Business risk management reduces retail sales fluctuations.