A Study Of The Development Strategy Of Investment Banking Business Of Commercial Banks

The outbreak of COVID-19 in 2020 brought great impact to the global economy.The severe economic situation brought many adverse effects to commercial banks,such as the slow growth of profit and the increase of the rate of asset impairment.This brings great challenges to commercial banks.When the epidemic prevention and control is normalized,under the influence of interest rate marketization,the deposit loan interest margin will gradually narrow.If commercial banks only rely on traditional business,it will be difficult to maintain the sustainable growth of profits,and the investment banking business of commercial banks is the key measure for commercial banks to promote profit growth and realize the transformation and upgrading of business model.However,for the city commercial bank,whose transformation and upgrading is relatively slow,its investment banking business is still in the early stage of development,and there are still many problems,such as lack of innovation ability,lack of professionals and so on.Therefore,how to use its own advantages to vigorously develop the investment banking business has become an urgent task for city commercial banks.This thesis takes TJ bank,a city commercial bank,as an example,starting from the reality of TJ bank’s investment banking business,analyzes the internal and external environment of TJ bank’s investment banking business by using PEST analysis method,Porter’s five forces model,internal and external factor evaluation matrix,and finds out the strategic direction and positioning of TJ bank’s investment banking business.By comparing with large state-owned commercial banks and national joint-stock commercial banks,absorbing relevant experience,and fully considering the changes of market situation after the normalization of epidemic prevention and control and the possible impact on TJ bank’s investment banking business,this thesis analyzes from qualitative and quantitative perspectives,and finally selects and formulates a centralized competition strategy,it also uses SWOT tools to put forward corresponding safeguard measures to ensure the effective implementation of the strategy,aiming to provide reference for TJ bank and other city commercial banks’ investment banking business development strategy.