Bank2B- The "new logic" of corporate banking -Part 2

The Death of Corporate Banking

However, for a long period of time in the past, several types of obvious problems have been exposed by corporate banks:

One is strategic swing. It is mainly manifested in the "wind chase" in business fields such as transaction banking, investment banking, Internet finance, and small and micro finance, as well as the "swinging" of large, medium and small customers. Behind the strategic swing is “inseparable” for the platform and real estate business. The problem of "business opportunism" arising in a procyclical environment is the most serious in the corporate banking sector. As a result, banks always lack long-term strategies and a stable core customer base.

The second is the high risk. The bad cycle that began in 2012-2013 has continued to this day. The "main disaster area" is the corporate bank. This aspect is of course an inevitable economic cycle factor, but backward and extensive risk management is also one of the important causes. It is an indisputable fact that subjective risk management lags behind the overall development strategy and transformation requirements.