Efficiency of multinational banks: Impacts of geographic and product loci

IF 5.9 1区管理学 Q1 BUSINESS

International Business Review Pub Date : 2023-10-01 DOI:10.1016/j.ibusrev.2023.102162

Canan Yildirim , Adnan Kasman , Mohamed Azzim Gulamhussen

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引用次数: 1

Abstract

This paper explores geographic diversification strategies’ impact on multinational banks’ operational performance within the context of research on globalization and regionalization. We employ a sample of the 49 largest banks from 16 European countries from 2011 to 2018 and proxy operational performance by technical efficiency. We find the impact of geographic diversification on operational performance depends on the locus of geographic diversification—home-regional vs. inter-regional—and the interplay between geographic diversification and banks’ functional focus. More specifically, home-regional diversification together with a concentration on non-interest income-generating activities, including fee and commission and trading income, worsens performance, and diversification across regions alongside a focus on non-interest income-generating activities improves performance. Distinct product characteristics’ ability to facilitate different regional dispersions has important managerial implications for enhancing the success of geographic diversification strategies, a central but unresolved issue in global banking.

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跨国银行效率:地理和产品区位的影响

本文在全球化和区域化研究的背景下，探讨了地域多元化战略对跨国银行经营绩效的影响。我们采用了来自16个欧洲国家的49家最大的银行作为样本，从2011年到2018年，通过技术效率来代理经营绩效。我们发现，地域多元化对经营绩效的影响取决于地域多元化的发生地——国内地区还是跨地区——以及地域多元化与银行职能重点之间的相互作用。更具体地说，国内-区域多元化加上对非利息创收活动(包括手续费和佣金以及交易收入)的关注会使业绩恶化，而跨区域多元化加上对非利息创收活动的关注会提高业绩。不同的产品特征促进不同区域分散的能力对提高地理多样化战略的成功具有重要的管理意义，这是全球银行业的一个核心但尚未解决的问题。

本文章由计算机程序翻译，如有差异，请以英文原文为准。

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来源期刊

International Business Review BUSINESS-

CiteScore

14.10

自引率

6.90%

发文量

审稿时长

62 days

期刊介绍： The International Business Review (IBR) stands as a premier international journal within the realm of international business and proudly serves as the official publication of the European International Business Academy (EIBA). This esteemed journal publishes original and insightful papers addressing the theory and practice of international business, encompassing a broad spectrum of topics such as firms' internationalization strategies, cross-border management of operations, and comparative studies of business environments across different countries. In essence, IBR is dedicated to disseminating research that informs the international operations of firms, whether they are SMEs or large MNEs, and guides the actions of policymakers in both home and host countries. The journal warmly welcomes conceptual papers, empirical studies, and review articles, fostering contributions from various disciplines including strategy, finance, management, marketing, economics, HRM, and organizational studies. IBR embraces methodological diversity, with equal openness to papers utilizing quantitative, qualitative, or mixed-method approaches.