A Literature Review on the Competition in the Banking Sector
Journal Title: International Journal of Academic Research in Accounting, Finance and Management Sciences - Year 2018, Vol 8, Issue 1
Abstract
Two of the key components in the fight against poverty are availability of financial services and competition. While competition improves markets, enables growth and productivity and also promotes innovation, access to financial services enables the poor people to save, and access other facilities such as insurance and credit giving them a chance too to contribute towards economic growth and even their consumption. Furthermore, with competition, finance becomes cheaper, further increasing accessibility of financial services. Therefore, this proposes a co-relationship between finance and competition in the area of banking. This sector’s research is still in its early stages and there is little co-relation on the same whether a strong one or not. There is no harmony on the cause or on whether competition in the sector of finance is positive or negative for markets. This paper explores the literature connected to this relationship. It proposes that concentration (as a competition gauge amid others) does not necessarily mean that there lack completion in the banking industry and that the banking industry involves that many if not most of the banking sectors indicates a monopolistic competition. Due to the threat of entry into this industry, banks behave in a competitive way and the size of the institution enhances performance rather than impede the competition. However sketchy evidence shows that there exists collusion. The two, worldwide and within South Africa, commissions that deal with competition have efficaciously indicted cartels in the banking industry. This paper concludes that, by raising queries about the approaches and methods used to study competition in the banking industry and whether these methods cover sufficiently vital features of competition in the industry.
Authors and Affiliations
Khaldoun M. Al-Qaisi
Keywords
Related Articles
- EP ID EP287601
- DOI 10.6007/IJARAFMS/v8-i1/4043
- Views 84
- Downloads 0
Analyzing the Effect of Performance Appraisal Errors on Perceived Organizational Justice
The aim of this study was to investigate the relationship between performance appraisal errors and perceived organizational justice. The study took place at North East Railways in Iran. A random sample of 200 employees w...
Evaluation of Survival Strategies of Small and Medium Enterprises in Benue State, Nigeria
The contributions of small business enterprises to any economy globally cannot be overemphasized. They are considered as the engine of growth and development of countries; for their contributions to the manufacturing sub...
Effect of appropriate Marketing Mix Strategies on Iranian Protein Products Export Performance
The purpose of the present paper is to examine effect of effect of appropriate marketing mix strategies on Iranian protein products export performance. 4P (Price, Product, Place, Promotion) were selected as marketing str...
Accounting Process for Government Grants in Hazelnut Production within the Framework of International Accounting Standards: Turkey Sample
The subject of the study is the accounting of government grants for agricultural activities according to International Accounting Standards (IAS). In this context, IAS examines the government grants for agriculture under...
Determination of Industrial Competitiveness on Manufacturing Industry Growth in Palembang City
The purpose of this study is to determine the determinants of industrial competitiveness that affect the growth of manufacturing industries in Indonesia. So that there is a paradigm shift in the business climate that sur...