Relationship of Brokerage Fee Discount Rate and Market Share of Security Firms

• Main Authors: Ni, Yu-chun, 倪玉純
• Other Authors: Tsai, Wei-Pen
• Format: Others
• Language: zh-TW
• Published: 2011
• Online Access: http://ndltd.ncl.edu.tw/handle/60851215031962448317

碩士 === 輔仁大學 === 科技管理學程碩士在職專班 === 99 === Due to the recent changes in the global economy, since Taiwan joined the WTO in 2002, the government established more rules and regulations and opened up to more brands in the financial industry in response to it. Securities businesses are now more diversified, and no longer limited to transactions in the Taiwan stock market, and includes futures, options, re-sale of foreign securities, funds, and insurance product sales. The Taiwan’s securities industry has evolved in the rapidly changing environment, from the original licensing system, to the current securities business types including general brokerages, comprehensive non-financial holding securities, and holding securities, after the Law of Financial Holding was passed. From the above situation we can find that the competition between securities firms is increasingly intense. There are many factors that may affect securities business performance, such as: the amount of business locations, whether they have financial holdings, the merging of securities firms, the size of the securities business, the time the securities business was established, and commission fee discount price competitions, etc. The purpose of this research is to explore whether the different pricing models of the various securities firms for elastic commission fees have affects on market share. The research method is through “narrative statistical analysis” and the “linear regression method.” It was found that the different commission fee rates of the different securities have reverse effects on market share. But if securities are further grouped and explored according to holdings and non-financial holdings, the changes in the commission fee rate of holdings will also cause a reverse effect on market share. However, there are no affects on non-financial holdings. In addition, the changes in fee rates will also cause reverse effects on market share for securities with commission fee rates above average, but does not affect securities with commission fee rates below average.