Research On The Competitive Strategy Of Personal Consumption Loan Business Of Agricultural Bank Of China Hohhot Branc

With the improvement of China’s economic development level and technological progress,the consumer demand of the residents is increasing.At the same time,the continuous development of Internet financial products and mobile payment means,as well as the nationwide outbreak of the COVID-19,caused commercial banks to gradually change the traditional loan acceptance process of signing and releasing loans online,and increase the development and marketing of online self-service business,which also promotes the further transformation of people’s concept of using money.Among the various types of loans offered by commercial banks,personal consumer loans have many advantages such as high demand,wide audience,short processing and approval cycle,flexible interest rates and lending methods,etc.,which can meet the needs of many customers in a timely manner.Therefore,all banks actively expand this business,strive to expand market share,and continuously innovate and promote various products within this business scope,to increase the market share of this business,and drive the development of other businesses to enhance their core competitiveness.This paper examines the competitive strategy of the personal consumption loan business of the Agricultural Bank of China in Hohhot.And it selects the data and information related to the development of the personal consumption loan business of Hohhot Branch from 2016 to 2020,while based on the investigation and understanding of the actual operation and management of this business in Hohhot Branch,it analyses the problems existing in the current development of this business and the reasons for the shortcomings.It also concludes that the business of Hohhot Branch is currently facing development opportunities such as rising customer demand for financial consumption,the development of financial technology to help improve the consumer loan business,and changes in customer perception.It is also concluded that N Bank Hohhot Branch has weak marketing capacity in its branches,low professional capacity of account managers,insufficient marketing capacity in linkage of various departments,and insufficient product promotion channels.Finally,using the SWOT matrix and taking into account the reality of the development of personal consumer loan business in Hohhot Branch,this paper concludes that differentiation strategy is the appropriate competitive strategy for the bank’s personal consumer loan business.After that,the paper elaborates on the key points of the implementation of the differentiation strategy from four aspects: brand differentiation,product differentiation,channel differentiation and service differentiation respectively.It also proposes guarantees for the implementation of the strategy in terms of optimising the labour mix,enhancing business training,improving the incentive mechanism,strengthening the synergy of various departments in marketing,improving the operation process and strengthening risk control to ensure the effective implementation of the differentiation strategy.This paper aims to map out a feasible development path for the personal consumption loan business of the Hohhot branch of the Agricultural Bank of China by conducting a study on the competitive strategy of this business.It is of some significance for other commercial banks in the Hohhot area to cope with the competitive environment,develop related businesses and achieve the expansion of their own competitive advantages.