{"title":"Banking, Competitiveness and Sustainability: The Perspective of the Three Global Actors: US, China, Europe","authors":"N. Istudor, D. Nitescu, V. Dumitru, C. Anghel","doi":"10.7441/joc.2022.03.04","DOIUrl":null,"url":null,"abstract":"The research presents the interrelationships between banking performance, competitiveness and sustainability of the three banking systems and the impact of each sustainability variable selected on the other macroeconomic indicators in short, medium and long-time horizon. The empirical study involved the use of a panel Auto Regressive Vector methodology and was based on macroeconomic indicators relevant to the performance of the banking system (return on assets, return on equity, an annual growth rate of Gross Domestic Product), as well as indicators that can be assimilated to sustainability (renewable fuels used, CO2 emissions). The dependent variables were return on assets and the annual growth rate of Gross Domestic Product. The global sample analyzed comprises 29 countries, spread over three continents (Europe, North America, Asia), with data collected over a 10-years period (2011-2020). These countries together account for approximately 62% of global GDP (data from 2020). The research results show that as banks invest in green energy and sustainable products, competitiveness will also increase, which will have a negative impact on profitability in the short term. In the medium and long term, this impact will become positive also in terms of profitability increase. This strategic move to develop sustainable business models and to finance a higher percentage of green investments also adds extra competitive advantages, such as reputation and smart differentiation, from other less sustainability-oriented banking systems. The process impacts the systemic level, the macro perspective, the banking organizational level, the micro perspective, together with the perception of the customers.","PeriodicalId":46971,"journal":{"name":"Journal of Competitiveness","volume":"1 1","pages":""},"PeriodicalIF":4.4000,"publicationDate":"2022-09-30","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":"1","resultStr":null,"platform":"Semanticscholar","paperid":null,"PeriodicalName":"Journal of Competitiveness","FirstCategoryId":"91","ListUrlMain":"https://doi.org/10.7441/joc.2022.03.04","RegionNum":1,"RegionCategory":"管理学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":null,"EPubDate":"","PubModel":"","JCR":"Q2","JCRName":"BUSINESS","Score":null,"Total":0}
引用次数: 1
Abstract
The research presents the interrelationships between banking performance, competitiveness and sustainability of the three banking systems and the impact of each sustainability variable selected on the other macroeconomic indicators in short, medium and long-time horizon. The empirical study involved the use of a panel Auto Regressive Vector methodology and was based on macroeconomic indicators relevant to the performance of the banking system (return on assets, return on equity, an annual growth rate of Gross Domestic Product), as well as indicators that can be assimilated to sustainability (renewable fuels used, CO2 emissions). The dependent variables were return on assets and the annual growth rate of Gross Domestic Product. The global sample analyzed comprises 29 countries, spread over three continents (Europe, North America, Asia), with data collected over a 10-years period (2011-2020). These countries together account for approximately 62% of global GDP (data from 2020). The research results show that as banks invest in green energy and sustainable products, competitiveness will also increase, which will have a negative impact on profitability in the short term. In the medium and long term, this impact will become positive also in terms of profitability increase. This strategic move to develop sustainable business models and to finance a higher percentage of green investments also adds extra competitive advantages, such as reputation and smart differentiation, from other less sustainability-oriented banking systems. The process impacts the systemic level, the macro perspective, the banking organizational level, the micro perspective, together with the perception of the customers.
期刊介绍:
The Journal of Competitiveness, a scientific periodical published by the Faculty of Management and Economics of Tomas Bata University in Zlín in collaboration with publishing partners, presents the findings of basic and applied economic research conducted by both domestic and international scholars in the English language.
Focusing on economics, finance, and management, the Journal of Competitiveness is dedicated to publishing original scientific articles.
Published four times a year in both print and electronic formats, the journal follows a rigorous peer-review process with each contribution reviewed by two independent reviewers. Only scientific articles are considered for publication, while other types of papers such as informative articles, editorial materials, corrections, abstracts, or résumés are not included.