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Competition in the Banking Industry


# 104630
Competition in the Banking Industry
A discussion on whether competition in banking can be considered good or bad and to what extent should it be limited and controlled.
1,959 words (approx. 7.8 pages) | 8 sources | MLA | 2008 France


Paper Summary:

This paper attempts to show the objectives and positive impacts of competition in banking and tries to analyze the negative impacts by explaining the reasons why competition can have bad repercussions on the banking system. The paper also discusses to what extent competition should be limited and controlled.

Outline:
Introduction
Positive Effects of Competition in the Banking Industry
Negative Effects of Competition in the Banking Industry
Control and Limits to Impose To Competition in Banking
Conclusion

From the Paper:

"Competition in banking can be beneficial for the clients. Indeed, the bank industry must be considered by the same way we consider any other industries. Every client is specific because he has his own needs in terms of banking demand, which are different from another one's. In this case, competition is a good means to diversify the supply among banks. A banking product does not exist, it is a group of characteristics such as a remunerated account or not, with banking charges or not, other banking services or not, ... etc. Competition in banking consists in providing the clients with the most customised service in order to better meet their needs. In this case, if the service provided by a bank does not suit the client's needs, nothing can prevent him from changing his bank to find the most adapted characteristics he is looking for. This is quite an important goal of the banking competition."

Sample of Sources Used:

  • Le secteur Bancaire et la Concurrence, editions Emile Bruylant, Collection cahier AEDBF/EVBFR Belgium, 1998
  • L. SCIALOM, Economie Bancaire, editions La Decouverte, 2004
  • F. MISHKIN, C. BORDES, P.-C. HAUTCOEUR, D. LACOUE-LABARTHE, Monnaie, banque et marches financiers, Pearson Education, 8eme edition, pp 408-410
  • S. BHATTACHARYA and A.V. THAKOR, Contemporary banking theory, Journal of Financial Intermediation, Vol.3
  • E. BONACCORSI DI PATTI and G. DELLARICCIA, Bank competition and firm creation, 2000

Cite this paper

APA Citation:

Competition in the Banking Industry (2012, January 15). Retrieved February 14, 2012, from http://www.academon.com/Research-Paper-Competition-in-the-Banking-Industry/104630

MLA Citation:

"Competition in the Banking Industry" 15 January 2012. Web. 14 Feb. 2012. <http://www.academon.com/Research-Paper-Competition-in-the-Banking-Industry/104630>




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Published by:

ben2305 FR
Publisher Since:
Jun 17, 2008
High School Diploma in Economics and Social Sciences Master's Degree in Applied Languages: English and Spanish Master's Degree in Business Administration Post-graduate certificate in Business Management with Anglophone countries
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