How do local banks compete with national banks?

The advantages of local banks are obvious, with the support of local **, the disadvantages are equally obvious, and the invisible hand is not so peaceful. As far as competition is concerned, the strategy lies in concentrating superior resources and making breakthroughs one by one. Local banks have limited resources and cannot compete with the big four banks, but they can concentrate their resources in one business, surpassing the four major banks, replacing one after another, and so on one by one.

In China's current financial structure, mixed business operation has not been completely liberalized, and the banking industry has an irreplaceable role. In the entire banking system, state-owned banks account for an absolute proportion in both total assets and market share. If the reform of the banking industry as a whole is carried out, it will undoubtedly arouse the resistance of the relevant large banks and will not achieve the desired results.

The monopoly nature of state-owned banks has created a gap in resources in the banking system, giving small and medium-sized banks room for development. Joint-stock commercial banks do not fully occupy this part of the remaining space, and the emergence of urban commercial banks has not only increased the variety of China's banking industry, but also made the overall financial activities more dynamic and innovative. <>

With the impact of scientific and technological progress and Internet finance, the intelligent transformation of the banking industry is in full swing, and in this era, the reengineering and upgrading of business models and service methods will inevitably be realized, and a new generation of smart banks is quietly coming.

Different types of banks have different steps in digital transformation, and the advantages and disadvantages of state-owned banks and local banks are also obvious, and the biggest advantage of local banks is thatIt is possible to use localized characteristic businesses to fill the vacancy of state-owned banks in the sinking market.

In order to quickly iterate products and services, improve customer experience, and activate customers, local commercial banks need to start from the following advantages and extract the best strategy:

Local commercial banks have the advantage of localization, which can better provide customers with intimate and personalized service experience. Therefore, local commercial banks can revolve aroundFinance, life services, social networking, e-commerce, catering, entertainment, traveland other daily life to create a one-stop service platform, connect various businesses in a scenario-based way, and achieve a high degree of integration of online banking services and customer life.

Fintech is one of the important factors for rural revitalization. The innovation and application of financial technology can lead financial resources to the "three rural" areas with growth potential, allocate the investment system that adapts to the countryside, guide the allocation of financial resources to the key areas and weak links of rural economic and social development, and better promote the comprehensive upgrading of agriculture, the comprehensive progress of rural areas and the all-round development of the local economy.

Digital product design is one of the important ways for banks to communicate their brands. National banks serve a wide range of customers, and brand design needs to be universal, while city commercial banks can take advantage of local brandsEstablish a visual language with uniqueness and brand resonance to open the gap between the next generation of smart banks.

Today, the financial industry is facing multiple challenges and changes, and the iteration frequency of banks' digital products is accelerating, reflecting banks' concerns and anxieties about customer retention and conversion.

At the same time, banks also need to enhance their core competitiveness by deepening financial innovation and service upgrading, and provide customers with more intelligent, convenient and efficient services to win the initiative in market competition.

Joint-stock banks are the most embarrassing.

Bank of Beijing. Bank of Shanghai, Bank of Ningbo, Bank of Jinan, Bank of Datong, etc.

1. Bank of Beijing.

Bank of Beijing Co., Ltd. (abbreviated as BOB), formerly known as "Beijing Commercial Bank", was established in 1996 and is a new type of joint-stock commercial bank.

Bank of Beijing is the largest city commercial bank in China and the third largest bank in Beijing, employing more than 3,600 people and serving individual and corporate clients through its 116 branches. At the same time, Bank of Beijing has also set up 272 ATMs in its covered outlets and established a fast-growing e-banking business.

2. Bank of Ningbo.

Bank of Ningbo (full name Bank of Ningbo Co., Ltd.) was established on April 10, 1997 and is an independent legal person.

City Commercial Bank.

In May 2006, Bank of Ningbo introduced OCBC Bank of Singapore, an overseas strategic investor. On July 19, 2007, Bank of Ningbo was listed on the Shenzhen ** Stock Exchange.

Listed on the stock market (****.

002142), becoming one of the first listed city commercial banks in China.

3. Bank of Shanghai.

Bank of Shanghai Co., Ltd. (hereinafter referred to as "Bank of Shanghai") was established on December 29, 1995, with its head office located in Shanghai, which is the first Shanghai Stock Exchange.

Listed company on the main board, **** 601229.

Bank of Shanghai takes "boutique bank" as its strategic vision and "sincerity first, integrity first" as its core values.

In recent years, through the promotion of professional management and fine management.

Focus on small and medium-sized enterprises, wealth management and pension finance, financial markets.

4. Datong Bank.

Founded on January 6, 2001, Datong Bank is the only local joint-stock commercial bank in Datong City. In the course of 13 years of development, Datong Commercial Bank has always adhered to the business philosophy of "pursuing success and serving Datong".

On July 22, 2014, it was approved by the China Banking Regulatory Commission.

With the approval and approval of the industrial and commercial registration authority, the shares of Datong City Commercial Bank were officially renamed as Datong Bank shares and listed for business.

5. Bank of Beijing.

Bank of Beijing Co., Ltd. (abbreviated as BOB), formerly known as "Beijing Commercial Bank", was established in 1996 and is a new type of joint-stock commercial bank.

Bank of Beijing is the largest city commercial bank in China and the third largest bank in Beijing, employing more than 3,600 people and serving individual and corporate clients through its 116 branches. At the same time, Bank of Beijing has also set up 272 ATMs in its covered outlets and established a fast-growing e-banking business.

Policy banks.

It is not possible to form a competitive relationship with commercial banks, because it is unfair competition.

Policy bank funding** comes from the Ministry of Finance.

or the issuance of bonds in the financial market, the financing cost is lower than that of commercial banks.

Policy banks have the advantage of being able to engage in business that commercial banks are not permitted to do.

Therefore, the advantages of policy banks make it inappropriate for policy banks to compete with commercial banks.

The harm lies in the fact that it will damage the commercial banking system and distort the ability of the financial system to allocate resources.

The fact that a national bank should open branches throughout the country does not mean that non-national banks cannot have branches throughout the country; This is only a relative concept, and the general textbook will be strictly distinguished in theory, and it is also inherited from the traditional definition of Chinese financial institutions in the past, but due to the rapid development of banks now, the establishment of branches in the country is the general trend, and the financial institutions opened or merged in the new financial environment can be defined as national commercial banks.

The national commercial banks are: Industrial and Commercial Bank of China, Agricultural Bank of China, Bank of China, China Construction Bank, Shanghai Pudong Development Bank, Guangdong Development Bank, China Everbright Bank, China Merchants Bank, Huaxia Bank, Shenzhen Development Bank, Bank of Communications, Industrial Bank, China Minsheng Bank, Hengfeng Bank, and China CITIC Bank.

Further information: For example, local and municipal banks are normally local.

Central Bank: People's Bank of China;

Four major state-owned commercial banks: Industrial and Commercial Bank of China, Agricultural Bank of China, Bank of China, and China Construction Bank;

National joint-stock commercial banks: Bank of Communications, Huaxia Bank, China Everbright Bank, China Merchants Bank, China CITIC Bank, Industrial Bank, Minsheng Bank, Shenzhen Development Bank, Guangdong Development Bank, Shanghai Pudong Development Bank, Bohai Bank, Hengfeng Bank, Zheshang Bank;

Policy banks: Agricultural Development Bank of China, Export-Import Credit Bank of China, China Development Bank;

City commercial banks: such as the Bank of Beijing, Bank of Ningbo, which have been listed, and other large and medium-sized cities such as Huishang Bank, Jinan Commercial Bank, Shijiazhuang Commercial Bank, etc., are generally available, which are converted from the original urban credit cooperatives;

Rural credit cooperatives are also called rural credit cooperative banks, and rural cooperative banks are located in rural areas, such as Zhejiang Yueqing Rural Cooperative Bank and so on.

1. Local banks include provincial and municipal banks and local commercial banks.

1. Banks in various provinces and cities: such as Bank of Beijing, Bank of Shanghai, Bank of Ningbo, Bank of Jinan, etc.;

2. Local commercial banks: refer to banking financial institutions whose business scope is limited by geography. In China, local commercial banks mainly refer to urban commercial banks, rural credit cooperatives, and urban credit cooperatives.

2. State-owned commercial banks: Bank of China, Industrial and Commercial Bank of China, Agricultural Bank of China, and China Construction Bank.

3. Joint-stock banks: Huaxia Bank, China Merchants Bank, China Everbright Bank, Industrial Bank, China CITIC Bank, Minsheng Bank, Bank of Communications, Shanghai Pudong Development Bank, Guangdong Development Bank, Shenzhen Development Bank, etc.

4. Foreign banks: Hang Seng Bank, Citibank, HSBC, Standard Chartered Bank, Chiu Valley Bank, ABN AMRO, Bank of East Asia, American Express Bank, UBS, Deutsche Bank.

Not allowed. Local banks have made deposit business nationwide and changed from local banks to national banks, which does not meet the regulatory requirements.

Local banks have an advantage in the local area, and many local people have deposited in the local area, while the state-owned banks are national, and they are very large, and it is very convenient to deposit and withdraw money.

There has been a lot of exodus from local banks.

Commercial banks are mainly divided into:

1) State-owned commercial banks, including: industry, agriculture, China and construction;

2) Joint-stock commercial banks: including: Bank of Communications, CITIC Industrial, Everbright, Minsheng, Pudong Development, Shenzhen Development, Guangdong Development, Industrial Bank, Huaxia.

Bank of Communications is a joint-stock commercial bank, but most of its shares are controlled by the state, and a small number of shares are controlled by the state;

3) Local commercial banks: that is, the regional commercial banks established by the reorganization and restructuring of the original urban credit cooperatives in each city, which are generally found in large and medium-sized cities, such as Taiyuan Commercial Bank, Yantai Housing Savings Bank, etc. The larger scale includes Bank of Beijing, Bank of Shanghai, etc.

Policy banks are not commercial banks. Three major policy banks: Agricultural Development Bank, China Development Bank, and Export-Import Bank.

There are too many local banks! To name a few: Bank of Beijing, Bank of Shanghai, Bank of Ningbo, Bank of Tianjin, Bank of Nanjing, Bank of Jinan, Bank of Changsha, Bank of Dalian, Xiamen City Commercial Bank, Liuzhou City Commercial Bank, ......

There are many outlets nationwide and the scale is large. If a bank sets up a branch or sub-branch in a place, it must register with the People's Bank of China, and local banks generally refer to urban commercial banks in various places, which are generally established in a region or city as a restriction, and the scale is generally relatively small, but they must also be registered with the People's Bank of China. The minimum registered capital for the establishment of a national commercial bank is RMB 1 billion.

The minimum registered capital for the establishment of an urban commercial bank is RMB 100 million, and the minimum registered capital for the establishment of a rural commercial bank is RMB 50 million. For specific regulations, please refer to the Financial Law of the People's Republic of China and the Banking Law of the People's Republic of China.

At present, there are about more than 200 banks in China, but most of them are local banks, such as XX City Commercial Bank, and there are more than 20 in Nanjing, mainly Bank of China, China Construction Bank, Industrial and Commercial Bank of China, Bank of Communications, Agricultural Bank of China, China CITIC Bank, Industrial Bank, China Merchants Bank, Shanghai Pudong Development Bank, Huaxia Bank, Guangdong Development Bank, Shenzhen Development Bank, China Everbright Bank, China Minsheng Bank, Bank of Nanjing, Bank of Jiangsu, Postal Savings Bank of China, Bank of Shanghai, Bank of Ningbo, Hengfeng Bank, Huishang Bank The Bank of Beijing also has local rural cooperative credit cooperatives, etc., which may not necessarily be based on the local financial development.