scholarly journals The development of customers’ satisfaction in the banking sector of Slovakia in the turbulent economic environment

2013 ◽  
Vol 61 (7) ◽  
pp. 1995-2003
Author(s):  
Jaroslav Belás ◽  
Lubor Homolka
Keyword(s):  
Financial Crisis ◽  
Customer Satisfaction ◽  
Financial Performance ◽  
Economic Crisis ◽  
Questionnaire Survey ◽  
Commercial Banks ◽  
Banking Sector ◽  
Successful Business ◽  
Satisfaction Factors

Satisfaction of bank’s customers presents important area of building of long-term relationships with the client, which significantly determines the financial performance of commercial banks through successful business. Satisfied customer buy bank’s products, is willing to pay also higher price for the product or service and represents some form of free advertising and considerable less effort, time and money needed for keep him, than to get a new one. This article presents current situation in the banking sector in Slovakia and quantifies changes in the area of customer satisfaction, which occurred during the financial and economic crisis. Customer satisfaction research has been conducted through a questionnaire survey. First research has been carried out on the first half of 2008 on the sample of 298 respondents, ie. the time before the financial crisis. In that time, the greatest satisfaction has been assigned to the availability of bank’s products and services, and the greatest dissatisfaction has been expressed by respondents to the prices of banking products and services. In 2012, this research has been conducted on the sample of 320 respondents. The change of satisfaction factors, respectively dissatisfied bank’s customers compared with 2008 has been investigated by standard statistical methods. Results of our research in 2012 showed satisfaction reduction of bank customers and also changes in respondents’ preferences of the perception of satisfaction factors, respectively dissatisfaction in relation to commercial banks.

scholarly journals Reasons for satisfaction and dissatisfaction of bank customers. Study from Slovakia and the Czech republic.

2014 ◽  
Vol 2 (1) ◽  
Author(s):  
Jaroslav Belás ◽  
Lenka Gabčová
Keyword(s):  
Czech Republic ◽  
Customer Satisfaction ◽  
Financial Performance ◽  
Statistical Methods ◽  
Commercial Banks ◽  
Banking Sector ◽  
The Czech Republic ◽  
Satisfaction Rate ◽  
Successful Business

The satisfaction of bank customers presents an important area of building long-term relationships with the client, which significantly determines the financial performance of commercial banks through successful business. This article presents the current situation in the banking sector in the Czech Republic and Slovakia. The aim of this article is to measure the customer satisfaction, its development in time, then to determine the main satisfaction and dissatisfaction attributes and finally to compare the situation in the Czech Republic and Slovakia. To measure all these elements, standard statistical methods have been used. The observed overall satisfaction rate of the Czech and Slovak clients is very similar. The main reason for the satisfaction of bank customers in both countries is ability to use electronic banking and most important reason for their dissatisfaction is long-term high prices of products and services.

scholarly journals The Effect of Multiple Large Shareholders on Banks’ Profitability and Risk

2021 ◽  
Vol 13 (4) ◽  
pp. 1888
Author(s):  
Maria Gaia Soana ◽  
Laura Barbieri ◽  
Andrea Lippi ◽  
Simone Rossi
Keyword(s):  
Corporate Governance ◽  
Commercial Banks ◽  
Banking Sector ◽  
Positive Impact ◽  
Corporate Structure ◽  
Academic Literature ◽  
Large Shareholders ◽  
Bank Ownership ◽  
Institutional Shareholders

The wide-ranging academic literature on corporate governance in the banking sector includes only a few studies on bank ownership and, specifically, on the comparative power of shareholders within the corporate structure. This paper reports an investigation into the presence of multiple large shareholders and their influence on profitability and risk in the long-term, considering a sample of 697 U.S. and European listed commercial banks from 2008 to 2018. It was found that the number of large and institutional shareholders has a positive impact on profitability, but no effect on risk. However, long-term ownership by multiple large shareholders contributes to decreasing risk in banks.

scholarly journals Studi Komparatif Kinerja Bank Syariah Dan Bank Konvensional Dalam Menghadapi Krisis Global Berdasarkan Rasio Keuangan

2009 ◽  
Vol 1 (1) ◽  
pp. 1
Author(s):  
Rohmawati Kusumaningtias
Keyword(s):  
Financial Crisis ◽  
Economic Crisis ◽  
Banking Sector ◽  
T Test ◽  
The Other ◽  
Other Hand ◽  
Better Than ◽  
Productive Employment

AbstractAt the time of financial crisis, one of the influential institutions in society is banking. Banking sector provide soft loans to create productive employment for the community. On the other hand, customers also need the liquidity from bank-ing. These stakeholders' needs can be met by looking at the performance of bank-ing. This study aims to determine differences in the performance of sharia banking and conventional banking during economic crisis. This study uses t-test to analyze the data. From the research, it was found that in general, the performance of conventional banking is better than sharia banking in the economic crisis.

scholarly journals Financial Performance and Income Diversity: Does Ownership Matter? Evidence from Vietnamese Commercial Banks

2020 ◽  
Vol 12 (8) ◽  
pp. 77
Author(s):  
Tin H. Ho
Keyword(s):  
Financial Performance ◽  
Commercial Banks ◽  
Banking Sector ◽  
Stock Exchange ◽  
Real Estate Market ◽  
State Ownership ◽  
Annual Data ◽  
Operating Income ◽  
Panel Regressions ◽  
Credit Shocks

In the context of the sharp development of the Vietnamese stock market in recent years, financial performance of listed firms is drawing the attention of investors, particularly in banking industry. Moreover, the harmony of income diversity or reducing the relying on traditional activities of commercial banks is thriving in the world and strongly influence on Vietnam’s banking, especially when the outbreak of COVID-19 worldwide may result in the freeze of real estate market, which leads to devaluate collaterals as well as the risk of non-performing loans, so-called “credit shocks”. This paper, therefore, examines the impacts of income diversity on financial performance of Vietnamese commercial banks in the period from 2007 to 2019. To conduct this study, annual data are collected of 26 commercial banks, listed in Ho Chi Minh Stock Exchange (HOSE), Ha Noi Stock Exchange (HNX), UPCoM and OTC. The research develops an exploratory model reflecting financial performance of the banks in relation to their income diversity and analyzes data using panel regressions. The results show that there is no relationship between financial performance and income diversity due to its low proportion in total operating income. However, the state ownership makes stronger this relationship despite the small impacts. The findings are expected to add the gap in the existing literature, lacking of investigating the impacts of market power on bank income diversity, and the moderating role of state ownership in this relation in Vietnamese banking sector, which is ignored or opposite in most recent studies. Thereby, the paper also gives some useful implications for investors, bank managers as well as policy makers to catch up the market fluctuations.

scholarly journals The Effect of Branchless Banking Strategy on the Financial Performance of Commercial Banks in Kenya

2017 ◽  
Vol 8 (4) ◽  
pp. 167 ◽  
Author(s):  
Gift Kimonge Dzombo ◽  
James M. Kilika ◽  
James Maingi
Keyword(s):  
Financial Performance ◽  
Commercial Banks ◽  
Banking Sector ◽  
Secondary Data ◽  
Exploratory Research ◽  
Electronic Banking ◽  
Economic Activities ◽  
Significance Level ◽  
Negative Effect ◽  
The Individual

The Banking sector acts as the life blood of modern trade and economic development. Commercial banks influence, facilitate and integrate the economic activities like resources mobilization, poverty elimination, production, and distribution of public finance. The financial performance of commercial banks has great implications in the financial sector and in the country at large, and will still remain an important subject of concern by all the stakeholders in the banking industry. In the last two decades, a lot of banking innovation has taken place in order to improve commercial banks financial performance. Branchless banking which involves the use of agency banking and electronic banking channels in the distribution of banking products and services is one such innovation. This study purpose was to evaluate the effect of branchless banking on the financial performance of commercial banks in Kenya. The specific objectives of the study were to analyze the individual effects of agency banking and electronic banking channels on the financial performance of commercial banks in Kenya and the combined effect of both agency and electronic banking on the financial performance of commercial banks in Kenya. The study adopted an exploratory research design. A survey of all the 42 licensed commercial banks in Kenya was done. Both primary and secondary data on branchless banking and financial performance of banks was obtained from the individual commercial banks, Central Bank of Kenya banking annual supervision reports respectively. Return on Assets (ROA) was used as the main indicator of commercial banks financial performance. The amount of investment in agency and electronic banking was used as indicator for agency and electronic banking. Data analysis was done using SPSS and STATA statistical softwares. Descriptive statistics, diagnostic tests and tests of hypothesis were done. Data was presented using tables and charts. Study findings indicated that when used in isolation; both agency and electronic banking had a significant negative effect on the financial performance of commercial banks at 5 percent significance level. However, when agency and electronic banking channels were used together as a multichannel strategy, they had a significant positive effect on bank’s financial performance at 5 percent significance level. The study recommends that for positive returns, commercial banks should invest in both agency and electronic banking as a multichannel strategy since these channels are complimentary to each other.

scholarly journals Reluctant Europeans? British and French Commercial Banks and the Common Market in Banking (1977–1992)

2020 ◽  
Vol 21 (3) ◽  
pp. 768-798 ◽  
Author(s):  
ALEXIS DRACH
Keyword(s):  
Financial Crisis ◽  
Commercial Banks ◽  
Banking Sector ◽  
Financial Integration ◽  
Common Market ◽  
European Banking ◽  
The Common ◽  
Banks And Banking ◽  
European Financial Integration

More than ten years after the financial crisis, the challenges of European banking and of the eurozone highlight that the existence of a European common market in banking is at best partial. Examining how British and French commercial banks and banking associations responded to the plans for a European common market in banking between 1977 and 1992, this article contributes to explaining this partial character, and highlights that this project was primarily political. This challenges the widely held view that large companies tended to push for more integration. This article shows that until the mid-1980s, the banking sector was not necessarily calling for European financial integration in the form of a common market in banking for at least three reasons: they doubted the usefulness of such a move, they feared an increase in regulation, and they focused more on domestic or global matters than on European ones.

China's Banking Reform and Profitability

2010 ◽  
Vol 13 (02) ◽  
pp. 215-236 ◽  
Author(s):  
Erh-Cheng Hwa ◽  
Yang Lei
Keyword(s):  
Financial Crisis ◽  
Financial Performance ◽  
Commercial Banks ◽  
Global Financial Crisis ◽  
Second World War ◽  
World War ◽  
Banking Reform ◽  
Reform Strategy ◽  
Chinese Banks ◽  
Second World

Just as the worse global financial crisis since the Second World War threatens the survival of many global financial giants, the strong financial performance of the Chinese banks stands out. The record profits of Chinese banks are commendable considering that they were considered insolvent not too long ago. The paper reviews the reform strategy of Chinese state commercial banks and its implementation, as well as their strong financial performance in 2007 based upon the four largest listed state commercial banks. Even though a strong economy may have boosted performance, banking reform should have played a significant role in turning around Chinese banks.

scholarly journals Are Cooperative Banks Better Equipped to Weather Financial Crisis than their Commercial Counterparts? Evidence from the Italian Banking Sector before and during the Credit Crisis

Organizacija ◽  
2016 ◽  
Vol 49 (2) ◽  
pp. 108-126
Author(s):  
Mitja Stefancic
Keyword(s):  
Financial Crisis ◽  
Cost Efficiency ◽  
Commercial Banks ◽  
Fixed Effects ◽  
Banking Sector ◽  
Policy Implications ◽  
Business Strategies ◽  
Economic Downturn ◽  
Credit Crisis ◽  
Cooperative Banks

Abstract Background and Purpose: The aim of this paper is to empirically investigate the performance of different types of Italian banks before and during the recent credit crisis with an emphasis on the behaviour of cooperative banks. It is well established in theory that cooperative banks follow more conservative business strategies and care more for stakeholders in comparison to commercial banks. On this background, the paper tries to show the empirical effects of those characteristics on the cooperative bank’s performance during financial distress compared to commercial banks. In fact, the paper can prove that Italian cooperative banks were less exposed to the shocks of the crisis and showed a better performance. Methodology: In order to assess whether cooperative banks performed differently at all from commercial banks during the 2005-2012 period, return on average assets (ROAA), cost efficiency and loan quality have been investigated by means of a sample of 594 Italian banks, pooled OLS and (when possible) a fixed effects estimator. Results: Overall, Italian cooperative banks performed better than other Italian banks during the financial crisis. The quality of loans deteriorated less in these banks than in others, while no significant differences have been observed in terms of ROAA and cost efficiency between these and other banks. Conclusion: My paper provides empirical evidence for a well established theoretically derived hypothesis: Italian cooperative banks operate differently than standard commercial banks which is especially noticeable during times of crisis. The fact empirically demonstrated that different banking models have shown different reactions to the financial crisis and economic downturn has important policy implications. Due to both characteristics of cooperative banks and severe limitations in the financial policies by the Italian government during the credit crisis an ironical pattern has emerged: While Italian cooperative banks were less exposed to the shocks of the crisis, they would have been less able to adjust to them since the financial rescue program was designed primarily for commercial banks.

Determinants of corporate social responsibility disclosures of UAE national banks: a multi-perspective approach

2019 ◽  
Vol 16 (5) ◽  
pp. 631-654
Author(s):  
Elie Menassa ◽  
Nancy Dagher
Keyword(s):  
Financial Crisis ◽  
Financial Performance ◽  
Banking Sector ◽  
Global Financial Crisis ◽  
Arab World ◽  
Annual Reports ◽  
Content Type ◽  
Explanatory Factors ◽  
The World ◽  
Corporate Social

PurposeThis paper aims to examine the determinants and extent of corporate social disclosure (CSD) by UAE national banks and to investigate the changes in CSD before, during and after the latest financial crisis.Design/methodology/approachDeductive in nature, this paper uses content analysis of annual reports of 16 UAE banks over a period of six years (2006-2011) to test eight hypotheses related to size, financial performance and other variables as potential explanatory variables of the CSD extent over different periods.FindingsThe findings show that human resources and community disclosures exhibited the highest extent of CSD over the six years. Moreover, the size and financial performance variables appear to be significant explanatory factors for the extent of CSD. The findings also indicate a strong variation in disclosure between banks with international presence and those with no such presence, while there is no significant disclosure variation between Islamic and conventional banks or during the different periods under investigation (pre, during and post recent financial crisis).Research limitations/implicationsStudies allowing a greater understanding of how banks with extensive governmental ownership define and disclose CSR in this particular region of the world are scarce and exploratory in nature. Consequently, the structure of national UAE banks provides a unique opportunity to understand the CSR mechanisms and disclosure of similar institutions in the world (particularly in the Arab world). This presents an interesting direction for further research.Practical implicationsThese findings could assist UAE bankers and policymakers in integrating CSD in their corporate strategies and help the local and international business communities in understanding the characteristics of CSD in the UAE.Originality/valueComprehensive in scope, this paper provides a complete assessment of the potential explanatory proxies of CSD by UAE local banks before, during and after the recent global financial crisis. Comparable studies of the UAE banking sector have mainly focused on particular bank types (i.e. Islamic or conventional) and did not consider the effect of the recent adverse financial climate.

scholarly journals Asset securitization problems and prospects

2008 ◽  
Vol 5 (4) ◽  
pp. 403-412
Author(s):  
Arumugam Seetharaman ◽  
John Rudolph Raj ◽  
A.S. Saravanan
Keyword(s):  
Financial Crisis ◽  
Economic Crisis ◽  
Emerging Economies ◽  
Commercial Banks ◽  
Balance Sheet ◽  
Financial System ◽  
Asset Securitization ◽  
Contributory Factors ◽  
Functional Capabilities ◽  
Financing Mechanism

Applying off balance sheet financing mechanism is largely driven by its practicality, flexibility, and the most importantly it provides a platform for cheaper capital and solves many accounting related issues. Off balance sheet financing, particularly asset securitization, will continue to become the most dominant financing alternatives in view of its multi-functional capabilities in solving financing requirement and hedging needs. Asset securitization has been widely applied by the emerging economies in helping them during the economic crisis. Securitization has also been a lifesaver for banks in helping them recapitalizing during financial crisis. Securitization to a certain extent has contributed to the disintermediation of commercial banks being a major provider of capital. Despite the significant benefits and impacts, asset securitization has also its flaws or weaknesses. A flaw in structuring the deal could be one of the contributory factors of a failed deal. It could also attract excessive abuse, which consequently will be catastrophic to the financial system. Thus, proper control and regulation of off-balance sheet financing is inevitable

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