The strategy of the entrance Mainland china market by Taiwanese-invested bank after MOU—A case Study on Bank J

• Main Authors: Chen Kuan-Wei, 陳冠瑋
• Other Authors: Bang-Han Chiu
• Format: Others
• Language: zh-TW
• Online Access: http://ndltd.ncl.edu.tw/handle/g7qdxh

碩士 === 元智大學 === 管理碩士在職專班 === 101 === Since Taiwan is the small and narrow island and also surrounded by the sea, the domestic enterprises have to confront free competition, globalization and fast-growing of high technology all the time. We have no choice but to implement appropriate international strategies in such a dramatically changing environment, due to the trend of globalizing division and integration. The neighboring country China is a top priority for developing business relationship with our domestic enterprises because of the same culture, language and geographic location. Now more and more domestic enterprises start their business in China. However, we can not provide our best service for our customers in China, because our local financial industry is not allowed to do business there because of the different political stand. All we can do is just stay in Taiwan and lose all customers. In addition, there is a tense competition between all banks. At last, it seems to enter the market of China is the critical thing for all banks owing to making no profits. Taiwan and China have already signed the MOU on Jan.16th, 2010 which not only enables Taiwan to have the same treatment as the member of WTO but also makes a big progress towards opening markets between Taiwan and China. Moreover, Economic cooperation framework Agreement / EFCA was effective between Taiwan and China on Sep.12th, 2010. The banking industry in Taiwan can benefit from the preferable terms of WTO when they enter the China’s market. However, it is the long road for us to enter China’s market because the trading relationship between us is not fully opened currently and China has the more strict limitation for our local banking industry. Even though some banks need to spend more energy and much time and money just only to enter China’s market in this uncertain stage but they are willing to do it. As for the conservatives, their wait-and see policy can lose huge opportunities. Through this study, it can help us to have the better understanding of China current banking status and how foreign banks enter China’s markets. To analyze the strength, weakness and opportunity and threat for entering China’ markets can help J bank to set up the right strategies and references.