In spite of the continuous development of the e-commerce, the vast competitiveness that exists in the online context makes it necessary to reinforce the ties established with current customers. In this respect, relationship commitment has been considered as a key factor for maintaining successful long-term relationships with customers. However, there are few studies that analyze the commitment ...

Using a simulation model, the study examines the impact to states and national BHCs if allowed greater participation in securities (segmented into securities brokerage and investment banking), insurance (brokerage, life insurance underwriting, and property-casualty underwriting), or real estate (segmented into five industries ranging from brokerage to development). Utilizing accounting earnings...

Over the past two decades, Germany experienced several periods of banking system instability rather than full-blown banking system crises. In this paper we introduce a continuous and forward-looking stability indicator for the banking system based on information on all financial institutions in Germany between 1995 and 2010. Explaining this measure by means of panel regression techniques, we id...

In contrast to the U.S. where universal banking has been legally prohibited, the Second Banking Directive allows European banks both to form financial conglomerates and hold equity stakes in non-financial companies. This paper analyzes the cost and profit efficiency of European financial conglomerates and universal banks. We find that conglomerates are more revenue efficient than their speciali...

There is no doubt that the systems’ integration is one of the most important and complicated tasks in software filed especially for complex applications like banking systems. Complexity in integrating banking systems often comes from continues changes in both technical and business features provided by them to meet customer needs. Banking systems always come from different software vendors whic...

The banking industry is under pressure. In order to compete, banks should adapt to concentrating on the specific customer needs, following an outside-in perspective. This paper presents the design of a business model for banks that considers this development by providing flexible and comprehensive support for retail banking clients. It is demonstrated that the identification of customer process...

The concept of business banking relationship, ie, the relations between banks and their client firms, as found in literature, is a poor conceptualisation of a rich and complex phenomenon whose structural, dynamic and organisational aspects are thus neglected. Most studies stress the operative and administrative issues whilst others looked at the relationships between banks and their customers a...

4 Non-technical summary 5 1 Motivation 7 2 The model setup 9 3 Solving the model 12 3.1 The utility Bellman equations 12 3.2 Solving the Bellman equations 13 3.3 The contract offered 14 3.3.1 The Frankfurt policy 16 3.3.2 The London policy 17 3.4 Constrained optimal contract 18 4 An extension: centralization vs. decentralization 19 4.1 Centralized bank 19 4.2 Decentralized bank 20 4.3 Small ban...