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Financial Analytics: Science and Experience
 

Developing the method and tools for price and non-price competition management on the banking services market

Vol. 9, Iss. 6, FEBRUARY 2016

PDF  Article PDF Version

Received: 3 September 2015

Received in revised form: 15 January 2016

Accepted: 25 January 2016

Available online: 19 February 2016

Subject Heading: MONITORING AND PREDICTION OF BANKING RISKS

JEL Classification: G20

Pages: 16-26

Savel'eva N.K. Vyatka State University, Kirov, Russian Federation
lutoshkinank@inbox.ru

Importance The method and tools for price and non-price competition management have economic significance since banks should use various methods to adapt to the changing environment and win their competitors.
     Objectives The research selects the method and tools to manage price and non-price competition so that banks could attract new customers.
     Methods Management of price and non-price competition is a complicated methodological process on the market of banking services. It involves a strategic analysis of the banking market situation, comprehensive evaluation of the real price and non-price competition on the target market, formulation of the main areas for enhancing price and non-price competition, arrangement of this process, and evaluation whether price and non-price competition management methods are effective.
     Conclusions and Relevance As the competition in banking grows and customers express new requirements to banking services, banks have to apply competition methods and tools so to be flexible in the changing external environment and ensure their success.

Keywords: financial analysis, efficiency evaluation, efficiency evaluation methods, financial results, banking activity, management technique

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