The Research On "Commercial Bank + Investment Bank" Business Development Model In Industrial Bank Co.,Ltd Wenzhou Branch

After the third plenum of the 18 th CPC central committee set the goal of "accelerating the marketization process",Central Bank frequently lowered benchmark deposit rates and loan interests.With the change of the financial environment,due to the factors such as financial disintermediation,intensified market competition and interest rate liberalization,the deposit growth of commercial banks has slowed down,gradually forming a financial competition pattern marked by narrowing deposit and loan spreads.The traditional business development model of commercial banks is facing huge challenges.Therefore,commercial banks must form a more competitive business development model in order to achieve more sustainable and higher quality development.Faced with the dual pressure of the change of the macro environment for the development of commercial banking and the decline of profitability at the micro level,“Commercial Bank + Investment Bank” business model,has become increasingly popular among domestic banks.The Industrial Bank Wenzhou Branch,one of the most competitive banks of local entities,carried out many businesses through exploring“Commercial Bank + Investment Bank” model,such as promoting bond underwriting,promoting enterprise listing,and financing of innovative PPP projects,and achieved good economic benefits.This paper focused on the practice of “Commercial Bank + Investment Bank”business model in Industrial Bank Wenzhou Branch,analyzed the feasibility and necessity of this model based on Customer Demand Theory,Economic Theory,Asset Specificity Theory,Innovation and Development Theory,and Diversification Theory,analyzed the current situation and evaluated the profitability of this model.Also,this paper employed PEST analysis and porter's five forces model to discuss the "Commercial Bank + Investment Bank" business model from two aspects of macro environment and micro industry competition,discussed core competence of this model using VRIO framework,and summarized deficiencies in current development combining with theoretical analysis.Finally,this paper provided targeted suggestions.By addressing problems and proposing strategies,this paper attempts to put enlightenment significance for the optimization of “Commercial Bank + Investment Bank” business model for domestic banks.