The aim of this paper is to present a comparative approach of the deposit guarantee funds in different European countries for underlying the advantages or disadvantages for the banking systems and ...the features of these funds so we can conclude which one is better for the deponents and for the banking systems as a whole.
In today competitive world, innovation is a key factor for creating competitive advantage and even for survival of the enterprises and as a propellant for business growth and prosperity and maintain ...more profitability for an organization, as a result of market needs and technology push. In service organizations, recognition of the conceptual framework of service innovation, improves performance of the Organization and creates core competencies for achieving competitive advantage through their systematic approach to service development, which is crucial for survival and maintaining competitiveness in the current financial markets. Banking systems due to the rapid global competition, the impact of structural change, deregulation effects, the use of new technologies and the increasing expectations of customers, have sought to develop and implement service innovation in their organizations. In this paper the effective factors of Service Innovation in service organizations has been introduced and case of study is Iranian Governmental Banks. Research methodology is qualitative and qualitative. Data was collected through in-depth interviews with academic experts and managers of governmental banking systems until theoretical saturation was achieved. The gathered data was analyzed using axial and open coding methods. The results show that dimensions of Service Innovation in financial service organization systems consist of six main dimensions including new service concept, new delivery system (organization), new delivery system (technological), interact with new customers, new value systems / new business partners and finally the new revenue models and 36 secondary factors. The results of this paper can be used for the understanding of service innovation for new service design and development in governmental banking system in a competitive environment at the other countries.
The integration of different states in a already existing union or in a new one represents a long-lasting process involving harmonisations on various fields – political, economic, legislative, ...social, cultural, technological, informational, etc. Besides the integration of the states and of the different authorities in a common mechanist, the business organizations also have to comply with certain standards and to align to certain procedures. The banking system is not an exception being probably one of the pillars of the economic and financial integration of a state in a union. Banking integration may be considered the process leading to a convergence towards a single market for all products, processes, procedures, standards, transactions from the banking field. All sets of standards, mechanisms and procedures should be observed both by banks, regulation and control bodies, but also by customers. Only in this way one can create the premises for the most favourable banking transactions. The integration of the banking system in a union is determined, conditioned and influenced by a series of factors. Based on the data published by the Bank for International Settlements, the authors carry out a close and pertinent empirical analysis of the banking assets flows between the Eurozone countries in the period 2000-2014. The paper also deals with the commitments that the recent economic-financial crisis created on the banking assets flows. The authors resort to regression equations in order to demonstrate the connection between the effects of banking integration and various factors involved (the relative dimension of the country, the significance of the banks in the financial system, the Herfindhal index, the degree of concentration or dispersion of the property on banks, the degree of independence, the tradition of law). In order to measure the level of banking integration of the national bank systems, the indices we used are the degree of openness towards the exterior, the degree of internationalization of the national bank systems in the Eurozone. The results of this research point out a whole series of commitments from a scientific point of view, but also regarding a good practices model which should enhance the synergic integration of the different national banking systems. A part of the outlined conclusions may be oriented towards specific directions and levers in order to modify the national strategyfor the adaptation of a candidate state to the Aquis communautaire.
Banking systems, modelled with networks, evolve over time overcoming critical points. Topology-oriented indicators of tipping points and early-warning signals of criticality in net- works do not ...reflect the gradual movement of a system towards a tipping point. Plenty of networks with SIR-like dynamics have restricted numbers of node states. In the case of banking networks, the range space of node states is continual, which allows an estimation of single bank remoteness from an insolvent state. Remoteness and velocity reflect change in the state per iteration and are considered in order to estimate the influence of node dynamics. Both node dynamics and topology are taken into account. We consider the positive and negative impact of interbank interactions (edge presence). Each edge is considered with weight and length parameters corresponding to the size of interbank lending and the number of iterations remaining before it expires. It was shown that the dropping well below zero of the presented indicator, is referred to as the potential of interactions, is a sign of a forthcoming tipping point. The introduced ▪ -Threatened set allows the detection of an approaching a tipping point in terms of nodes’ states.
The crisis triggered in 2007-2008 in the USA and then globally manifested strongly and affected many areas and categories of people. Through its specific features, it proved that the current ...regulatory system is no longer viable and it has to be reformed so that in the future to alleviate some of the negative effects felt in the context of the last international financial and economic crisis. The measures adopted were aimed at the fiscal, monetary and the income policy. Only used in combination, these policies proved effective under crisis conditions and determined the economic recovery.
FOREIGN CAPITAL EXPANSION IN EASTERN EUROPE RADULESCU MAGDALENA
Analele Universităţii Constantin Brâncuşi din Târgu Jiu : Seria Economie,
08/2016, Volume:
1, Issue:
4
Journal Article
Peer reviewed
Open access
Eastern Europe faced many transformations in the banking sector area, especially during 90s as a result of the privatization process. Many large banking corporations acquired state-owned local banks ...and developed their operations on the new markets. The foreign capital represents almost 90% of the total banking assets on the Eastern markets. The consolidation and concentration process of the foreign capital on the banking markets continued during the last financial crisis.
A number of reasons have been advanced in order to explain why banks began to expand worldwide. There were several aspects that were aimed such as the client-bank relationship, the need for people to ...cooperate with these institutions and financial intermediaries in the host country. Mergers seek to improve the revenue derived from services performed later, but the increase is offset by personnel costs increase, while acquisitions are observed in order to restructure the acquired bank's loan portfolio and on the application of the improved lending policies that lead to higher profits. These things were best observed during the current crisis period. Regardless of the negative effects of the crisis, there were some banks which were not impacted. The large banking groups merged and by this means they managed to gain the power to dominate and control the entire activity of the field.
The financial clout of global sovereign wealth funds (SWFs) is massive, and many of these are controlled by authoritarian regimes. It cannot be ruled out that these funds might take shareholding ...positions in banks which play key roles in other countries. This paper studies the extent to which SWFs have the potential ability to use shareholdings in critical banks as mechanisms to exert influence on other countries' banking systems, taking a comparative approach in considering the five smallest EU member states: Malta, Cyprus, Estonia, Latvia and Lithuania. The study concludes that SWFs would, in many cases, need to dedicate only a tiny portion of their assets in order to gain significant potential for influence within these countries.
In order to define and implement the most effective measures to overcome the difficulties of the post-crisis period, the policy-makers of ECB must identify not just main weaknesses of each banking ...system, but their strong points also. This requires the application of multi-criteria analysis, considering that policy-makers need to take into account a number of different aspects that, on the whole, indicate the quality of the banking system. Our aim is a comparative analysis of European banking systems right after the Brexit moment and within the framework of the tight new Basel III regulations. In this paper, we have ranked the banking systems of the 28 EU member states using multi-criteria analysis, specifically the PROMETHEE II method. The use of the PROMETHEE II method in combination with the entropy method offers a comprehensive insight into the banking system of each member state, given that the observed countries are ranked according to 9 conflicting criteria that are mostly used in banking system analysis. Our analysis shows that the banking systems in Central and Eastern Europe are the best performers, while the EMU’s developed banking systems such as the German, Italian, British, and French one are positioned among the last ranked. The Portuguese and Greek banking systems are, as expected, ranked in the last positions in our list. The obtained results also pointed out that the ECB should change its approach to the management and further development of a European Banking Union.
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