Download or read book Determinants of Commercial Bank Interest Margins and Profitability written by Asl? Demirgüç-Kunt and published by World Bank Publications. This book was released on 1998 with total page 52 pages. Available in PDF, EPUB and Kindle. Book excerpt: March 1998 Differences in interest margins reflect differences in bank characteristics, macroeconomic conditions, existing financial structure and taxation, regulation, and other institutional factors. Using bank data for 80 countries for 1988-95, Demirgüç-Kunt and Huizinga show that differences in interest margins and bank profitability reflect various determinants: * Bank characteristics. * Macroeconomic conditions. * Explicit and implicit bank taxes. * Regulation of deposit insurance. * General financial structure. * Several underlying legal and institutional indicators. Controlling for differences in bank activity, leverage, and the macroeconomic environment, they find (among other things) that: * Banks in countries with a more competitive banking sector-where banking assets constitute a larger share of GDP-have smaller margins and are less profitable. The bank concentration ratio also affects bank profitability; larger banks tend to have higher margins. * Well-capitalized banks have higher net interest margins and are more profitable. This is consistent with the fact that banks with higher capital ratios have a lower cost of funding because of lower prospective bankruptcy costs. * Differences in a bank's activity mix affect spread and profitability. Banks with relatively high noninterest-earning assets are less profitable. Also, banks that rely largely on deposits for their funding are less profitable, as deposits require more branching and other expenses. Similarly, variations in overhead and other operating costs are reflected in variations in bank interest margins, as banks pass their operating costs (including the corporate tax burden) on to their depositors and lenders. * In developing countries foreign banks have greater margins and profits than domestic banks. In industrial countries, the opposite is true. * Macroeconomic factors also explain variation in interest margins. Inflation is associated with higher realized interest margins and greater profitability. Inflation brings higher costs-more transactions and generally more extensive branch networks-and also more income from bank float. Bank income increases more with inflation than bank costs do. * There is evidence that the corporate tax burden is fully passed on to bank customers in poor and rich countries alike. * Legal and institutional differences matter. Indicators of better contract enforcement, efficiency in the legal system, and lack of corruption are associated with lower realized interest margins and lower profitability. This paper-a product of the Development Research Group-is part of a larger effort in the group to study bank efficiency.

Download or read book Determinants Influencing the Profitability of Financial Intermediaries written by James K. Miller and published by . This book was released on 2000 with total page 210 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book Measurement and Determinants of X efficiency Technological Change and Profitability in Banking written by Jing Zhang and published by . This book was released on 1996 with total page 448 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book Determinants of Internal Factors and External Factors Towards Profitability written by Pei Sin Choo and published by . This book was released on 2018 with total page 23 pages. Available in PDF, EPUB and Kindle. Book excerpt: Profitability can be influenced by both internal and/or external risk factors so it is crucial for a company to have good risk management. This study aims to investigate the factors such as the firm-specific factors and macro-economic factors that affecting the profitability of the selected food and beverage manufacturing company in United States, Campbell Soup Company. Multiple regression analysis of financial ratios of the selected companies is conducted from year 2013 to 2017. The findings and analysis show that firm-specific factors such as the debt to income and operational ratio have influence on the profitability of the company. While the macro-economic factors did not have influence on the profitability in this study. Hence, the approach suggested to increase the efficiency of the operation of the business is by implementing software such as robotic process automation which can increase the efficiency and reduce the error when doing manual task and thus reduce the operational cost. Besides, the company can factor the account receivable to reduce the credit risk of non-payment as overall. Other than that, company should practice good corporate governance to have a better internal control and thus increase the profitability.

Download or read book Profit Efficiency and Its Determinants written by Mohsin Abbas and published by . This book was released on 2020 with total page 33 pages. Available in PDF, EPUB and Kindle. Book excerpt: This study examines profit efficiency and its determinants in the corporate sector of Pakistan during the study period by using a stochastic frontier approach (SFA), specified by Battese and Coelli (1995). A balanced panel data of 30 companies, 22 manufacturing, and 8 energy companies for the period 2009-2018 was constructed for the empirical analysis. All the required data for the analysis were obtained from various annual reports of the company and its official website. The study found that the profit efficiency of the corporate sector of Pakistan is increasing over the study period. However, on average, overall companies have met only 35.75% of their profit-generating potentialities relative to the best-practice companies, due to inefficiency, which is arising within the companies supported by a degree of variance value which is 75.75%. Companies in the energy sector have greater profit efficiency (52%) than the non-energy sector (39%). Further overall efficiency effects model shows that firm-age, labor productivity, export orientation, and firm-size are positively related to the profit efficiency of companies in Pakistan. However, labor productivity and export orientation are negatively correlated in the manufacturing sector but positively correlated with profit efficiency in the energy sector. Whereas firm size is positively related to profit efficiency in the manufacturing sector but has an insignificant relationship in the energy sector. The research findings can help managers and policymakers of the corporate sector of Pakistan in managing the level of efficiency in energy and non-energy companies and implications of strategies for improving organization efficiency by considering determinant factors and driving policies that influence profit efficiency under each sector.

Download or read book Bank Competition and Financial Stability written by OECD and published by OECD Publishing. This book was released on 2011-10-05 with total page 87 pages. Available in PDF, EPUB and Kindle. Book excerpt: This report examines the interplay between banking competition and financial stability, taking into account the experiences in the recent global crisis and the policy response to it. The report has been prepared by members of the Directorate of ...

Download or read book Market Structure Fand Operational Efficiency as Determinants of EC Bank Profitability written by Rudi vander Vennet and published by . This book was released on 1994 with total page pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book Determinants of Firms Efficiency written by and published by . This book was released on 2020 with total page pages. Available in PDF, EPUB and Kindle. Book excerpt: This paper aims at investigating the relationship between firms' profit efficiency, access to finance and innovation activities. We enrich our understanding on firms' performance by adopting the stochastic frontier approach (SFA), which allows us to estimate profit functions and to obtain efficiency scores for a large sample of European firms. We pioneer the use of a novel dataset that merges survey-based data derived from the ECB Survey on access to finance for enterprises (SAFE) with balance sheet information. Our evidence documents that credit constrained firms display an incentive to improve their efficiency in order to increase profitability. Among firms that have embarked in product innovation, those in the industry and high-tech sectors see their effort translated in higher profit efficiency. From a policy perspective, our results could help to better understand the link between innovation, financial constraints and efficiency, which goes beyond the idea that easier access to finance is the panacea to get higher profit efficiency.

Download or read book An Introduction to Efficiency and Productivity Analysis written by Timothy J. Coelli and published by Springer Science & Business Media. This book was released on 2005-07-22 with total page 376 pages. Available in PDF, EPUB and Kindle. Book excerpt: Softcover version of the second edition Hardcover. Incorporates a new author, Dr. Chris O'Donnell, who brings considerable expertise to the project in the area of performance measurement. Numerous topics are being added and more applications using real data, as well as exercises at the end of the chapters. Data sets, computer codes and software will be available for download from the web to accompany the volume.

Download or read book Financial Structure and Bank Profitability written by Asl? Demirgüç-Kunt and published by World Bank Publications. This book was released on 2000 with total page 30 pages. Available in PDF, EPUB and Kindle. Book excerpt: Countries differ in the extent to which their financial systems are bank-based or market-based. The financial systems of Germany and Japan, for example, are considered bank-based because banks play a leading role in mobilizing savings, allocating capital, overseeing investment decisions of corporate managers, and providing risk management vehicles. The systems of the United States, and the United Kingdom are considered more market-based. Using bank-level data for a large number of industrial and developing countries, the authors present evidence about the impact of financial development, and structure on bank performance. They measure the relative importance of bank or market finance by the relative size of stock aggregates, by relative trading or transaction volumes, and by indicators of relative efficiency. They show that in developing countries, both banks and stock markets are less developed, but financial systems tend to be more bank-based. The richer the country, the more active are all financial intermediaries. The greater the development of a country's banks, the tougher is the competition, the greater is the efficiency, and the lower are the bank margins, and profits. The more under-developed the stock market, the greater are the bank profits. But financial structure per se does not have a significant, independent influence on bank margins, and profits.

Download or read book Introduction to Data Envelopment Analysis and Its Uses written by William W. Cooper and published by Springer Science & Business Media. This book was released on 2006-03-20 with total page 354 pages. Available in PDF, EPUB and Kindle. Book excerpt: Introduction to Data Envelopment Analysis and Its Uses: With DEA-Solver Software and References has been carefully designed by the authors to provide a systematic introduction to DEA and its uses as a multifaceted tool for evaluating problems in a variety of contexts. The authors have been involved in DEA's development from the beginning. William Cooper (with Abraham Charnes and Edwardo Rhodes) is a founder of DEA. Lawrence Seiford and Kaoru Tone have been actively involved as researchers and practitioners from its earliest beginnings. All have been deeply involved in uses of DEA in practical applications as well as in the development of its basic theory and methodologies. The result is a textbook grounded in authority, experience and substance.

Download or read book Africa s Emerging Maize Revolution written by Derek Byerlee and published by Lynne Rienner Publishers. This book was released on 1997 with total page 322 pages. Available in PDF, EPUB and Kindle. Book excerpt: Intended for policymakers and scholars, the 15 contributions in this volume are divided into two sections: the first provides six country case studies of the evolving maize economies of Zimbabwe, Zambia, Malawi, Kenya, Ghana, and Nigeria. The second part synthesizes major technological, institutional, and policy issues with chapters on research and extension, soil fertility, seed and fertilizer delivery systems, and marketing and price policy. Paper edition (754-0), $29.95. Annotation copyrighted by Book News, Inc., Portland, OR

Download or read book A Stochastic Frontier Production Function Incorporating a Model for Technical Inefficiency Effects written by George Edward Battese and published by . This book was released on 1993 with total page 27 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book Profitability and Efficiency Determinants written by Abdelhakim Embaya and published by . This book was released on 2012 with total page pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book Relationship Between Islamic Banking Profitability and Determinants of Efficiency written by Mohamad Akbar Noor and published by . This book was released on 2012 with total page 0 pages. Available in PDF, EPUB and Kindle. Book excerpt: The paper investigates the efficiency of the 78 Islamic banks in 25 countries for the period 1992-2009. The efficiency estimates of individual banks are evaluated using the non-parametric Data Envelopment Analysis (DEA) method. The empirical findings seem to suggest that the Islamic banks have exhibited high Pure Technical Efficiency (PTE). A multivariate analysis based on the Tobit model reinforces these findings and significantly associated with operating expenses against asset, size, equity, NPL, Asia Financial Crisis and national income level (GDP). The Fixed Effect Model (FEM) used to analyze profitability proposed that profit efficiency is positive and statistically significant with operating expenses against asset, equity, high income countries and non- performing loans against total loans. Interestingly, the empirical results show that more profitable banks are those that have higher operating expenses against asset, more equity against asset and concentrated at high income countries, demonstrating a close relationship between monetary factors in determining Islamic banks profitability.

Download or read book Performance of Financial Institutions written by Patrick T. Harker and published by Cambridge University Press. This book was released on 2000-05-18 with total page 516 pages. Available in PDF, EPUB and Kindle. Book excerpt: The efficient operation of financial intermediaries--banks, insurance and pension fund firms, government agencies and so on--is instrumental for the efficient functioning of the financial system and the fueling of the economies of the twenty-first century. But what drives the performance of these institutions in today's global environment? In this volume, world-renowned scholars bring their expertise to bear on the issues. Primary among them are the definition and measurement of efficiency of a financial institution, benchmarks of efficiency, identification of the drivers of performance and measurement of their effects on efficiency, the impact of financial innovation and information technologies on performance, the effects of process design, human resource management policies, as well as others.

Download or read book Drive written by Daniel H. Pink and published by Penguin. This book was released on 2011-04-05 with total page 275 pages. Available in PDF, EPUB and Kindle. Book excerpt: The New York Times bestseller that gives readers a paradigm-shattering new way to think about motivation from the author of When: The Scientific Secrets of Perfect Timing Most people believe that the best way to motivate is with rewards like money—the carrot-and-stick approach. That's a mistake, says Daniel H. Pink (author of To Sell Is Human: The Surprising Truth About Motivating Others). In this provocative and persuasive new book, he asserts that the secret to high performance and satisfaction-at work, at school, and at home—is the deeply human need to direct our own lives, to learn and create new things, and to do better by ourselves and our world. Drawing on four decades of scientific research on human motivation, Pink exposes the mismatch between what science knows and what business does—and how that affects every aspect of life. He examines the three elements of true motivation—autonomy, mastery, and purpose-and offers smart and surprising techniques for putting these into action in a unique book that will change how we think and transform how we live.