Private banking development in China under two organizational structures:Economic analysis from an organizational innovation perspective

This paper investigates optimal decisions for private banking development in China under two innovative organizational structures—the big retail mode(BRM)and the independent development mode(IDM).Under the BRM,the retail and private banking divisions form a cooperative relationship wherein the former transfers highnet-worth customers to the latter.In addition,retail banking receives a share of private banking revenues.We investigate the optimal revenue-sharing ratio between the two divisions and the optimal effort by private banking to serve transferred customers within the cooperative relationship.The analytical results show that as the private banking division becomes more developed,the optimal revenue-sharing ratio decreases,and the private banking division’s optimal effort to serve transferred customers decreases because it puts more effort into acquiring new customers.Under the IDM,the two divisions form a competitive relationship since they compete to acquire customers independently.We investigate customer acquisition efforts in this interdivisional competition.Optimal customer acquisition efforts by both divisions increase in potential assets and rates of return.This paper contributes to the literature by(1)analyzing financial innovation by private banks from an organizational perspective;(2)providing an economic analysis for private banking development in China.

Corporate Social Responsibility Practices in Bangladesh： A Statistical Analysis on State-Owned ＆ Private Commercial Banks

Corporate Social Responsibility （CSR） is integral and inseparable part of the long term business and sustainable growth and success, which plays an important role in promoting values both locally and internationally and usually is noticed as a developed-country sensation. As such, a great figure of literature on social arrangement of organizations has appeared in the perspective of developed states. CSR is an assurance of the organizations to action morally and add to financial progress of the people while improving the worth of the life of the employees and the local public in general. All over the world, CSR is essential for the organizations to confirm its sustainability. Though, CSR is a worldwide issue and all organizations practice it to some degree. In this paper, the authors made a determination to explain CSR and the related matter, and scrutinize the well-being performances of some State-Owned Commercial and Private Commercial Banks in Bangladesh. As the central bank of Bangladesh, ＂Bangladesh Bank＂ has advised the commercial banks to play an effective part in the well-being of people. Therefore, this paper is an attempt to discover the degree to which the mentioned banks in Bangladesh accomplish their CSR activities and to search the level of revelation for CSR in their annual reports. The research has been directed with secondary data collected from the annual reports of the mentioned banks of more than a few years. Against this backdrop, this paper debates the situation prevailing practices of CSR in mentioned banks. The paper presented here in the three fold continuingly reviews the literature concerning CSR in the context of the contemporary world; inspects the well-being practices and presents the data of CSR practices of the mentioned banks and lastly presents the limitations and recommendations for better CSR practices of the mentioned banks in Bangladesh.

BRICS Bank Could Change the World

THE New Development Bank（NDB）,popularly known as the＂BRICS bank,＂established by Brazil,Russia,India,China and South Africa,should open for business before the end of the year.The bank will be based in Shanghai,but its first chairman is India＇s Kundapur Vaman Kamath.The importance India attaches to this post is shown by Kamath being,prior to his appointment,chairman of ICICI Bank,India＇s largest private lender.

Economic Restructuring Needs More Private Banks

New private banks are being established, according to Shang Fulin, Chairman of the China Banking Regulatory Commission （CBRC）. Speaking at an annual conference of city commercial banks held in Nanchang, Jiangxi Province, on September 22-23. Shang said that this year, the CBRC has completed feasibility studies of 14 prospective banks-three have been approved so far.

Green for Green

China pushes for green bond directives The world may be no stranger to green finance—finance that pays special attention to environmental health,but when it comes to China,the country remains—well,green to the concept.