Study on the Financial Performance of China's A-Share Listed Commercial Banks
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Han Li, Binhong Liu
Under the background of the accelerating pace of financial globalization, China's commercial banks are facing not only the challenges of domestic reform and innovation but also the fierce competition in the global financial market and the impact of foreign banks. Therefore, it is particularly important to build a set of a perfect financial performance evaluation system. This paper takes the financial performance evaluation of 36 A-share listed commercial banks as the research object and divides into 13 indicators in four aspects: profitability, development ability, per share index and risk control ability. The entropy weights of 13 indicators and the financial performance rankings of 36 listed commercial banks are obtained by entropy weight method and grey relational analysis. Combined with the current situation of operation and management of China's commercial banks and the results of empirical analysis, it is concluded that commercial banks should standardize the development of intermediary business, speed up the pace of transformation and establish a risk prevention and control mechanism.
Commercial bank, Financial performance, Entropy weight method, Grey relational analysis