Research On The Competitive Strategy Of Foreign Exchange Derivatives Of Bank C Under The Background Of RMB Exchange Rate Marketization

Degree deepening reform and opening up,along with our country reform of exchange rate is an important content of China’s financial reform and marketization is the development trend of the RMB exchange rate,two-way volatility will be the new normal,therefore in the process of marketization of exchange rate under the background,the country heavily in advice to companies adhere to the "risk neutral"concept,to make full use of foreign exchange derivatives for hedging,The hedging rate will also be included in the assessment of banks.As exchange rate fluctuations erode more order profits,enterprises also begin to realize the importance of exchange rate hedging,and the demand for hedging is increasingly strong.More and more enterprises are joining the team of dealing with foreign exchange derivatives,eager to understand the relevant foreign exchange theory.For banks,it has become an important social responsibility to promote the concept of "risk neutrality" and do a good job in exchange rate hedging services for enterprises.At the same time,it has also brought unprecedented opportunities for the development of foreign exchange derivatives for banks.C Bank is one of the large joint-stock banks,foreign exchange business is the bank’s golden signboard.In terms of development history,it is the first bank to participate in the financing of financial markets,and the first bank to carry out transactions with Reuters and AP.C Bank started foreign exchange business early,and has full license to operate foreign exchange business products.It has leading advantages in foreign exchange market transactions,international settlement,trade financing,foreign exchange services on behalf of customers,diversified structured deposit design and other fields,and can customize various kinds of transaction product schemes for maintaining and increasing value for customers.At present,Bank C has full product licenses to handle forward,options,swaps and other products.Bank C has carried out a variety of product innovations in basic products,including combination products such as interval profit,term huibao,exchange settlement profit,and long and short profit,to meet the hedging needs of different customers under different exchange rate situations.C bank for foreign currency derivatives is equipped with professional human resources,technology resources,etc,have vigorously develop foreign exchange derivatives business of basic hardware conditions,but under the regulatory assessment guide,Banks in this business have stepped up the allocation of resources,C bank can stand out in the banking industry plays an important role in the development of its foreign exchange business.External environment and internal environment analysis,this paper USES PEST tool to analyze the C bank develop foreign exchange derivatives of politics,economy,culture,technology,such as macro environment,using the potter five model analysis suppliers bargaining power,buyers bargaining ability,potential entrants,substitutes threat as well as the ability of industry competitors,etc.,At the same time,the EFE and IFE matrices are established,and the QSPM matrix is finally established in combination with SWOT analysis to analyze the possibility of the implementation of the three basic competition strategies.Finally,it is concluded that the differentiation strategy is the best choice for the foreign exchange derivatives competition strategy of C Bank.On this basis,this paper studies the implementation path of differentiation strategy,including deep cultivation of the market through different channels,providing different services and support,building different products,building different platforms,and implementing different resource allocation.At the same time,the paper puts forward the safeguard measures of differentiation strategy from four aspects of improving the assessment mechanism,optimizing the allocation of resources,strengthening the human support and enhancing the scientific and technological support,which makes the differentiation competition strategy proposed in this paper more perfect and feasible.