History Of Bank Of Indi India Essay

I initiate the coverage of Bank of Baroda. with a BUY rating as the bank has the price to book value ratio of 0 .82 as of March 2014 (0.99 as of April 10, 2015), which clearly proves that the bank is undervalued and it has the potential to gain in its price in future. Also , the industry-wide P/BV stood at 1.54 at the end of financial year 214, which further strengthens the point that an investor should go long in this particular stock.

The financial crisis in 2008 brought about drastic changes in customer behavior all over the world and encouraged customers to take a shifted action towards their needs and wants (Mansoor and Jalal 2011). In the age of globalisation, as no nation can keep itself aloof from the world economic volatility, India too, was affected significantly in economical as well as social dimensions. The economic turmoil had a profound impact on consumers (Flatters and Willmott 2009) and most of the firms including ones in financial sector faced serious challenges in satisfying the customers as they have became more skeptic and cautious. Even though, the Indian banking sector has performed extremely well over the last few years and has shown substantial resilience during the global financial crisis (Das et al 2011), new challenges are seen emerging from customers. The challenges posed are mainly due to changes in customer demands and diffusion in loyalty intentions due to low switching costs. The parameters critical in the imparting customer satisfaction in the banking context, thus demands re-definition and analysis for formulating strategies aimed at competitive advantage. Empirical evidences from studies conducted in various contexts underlines the causal linkage among variables such as perceived service quality and customer satisfaction on loyalty intentions of the customer. However, consumer behavior being complex in nature influenced by environmental changes,

Banking in India originated in the last decades of the 18th century. The first banks were The General Bank of India, which started in 1786, and Bank of Hindustan, which started in 1790; both are now defunct. The oldest bank in existence in India is the State Bank of India, which originated in the Bank of Calcutta in June 1806, which almost immediately became the Bank of Bengal. This was one of the three presidency banks, the other two being the Bank of Bombay and the Bank of Madras, all three of which were established under charters from the British East India Company. For many years the Presidency banks acted as quasi-central banks, as did their successors. The three banks merged in 1921 to form the Imperial Bank of India, which, upon India 's independence, became the State Bank of India.

The Bank of Korea (BOK) was established in June 1950, with the promotion of the Bank of Korea Act. The BOK replaced the existing Chosun Bank as the central bank of Korea. During this time, the bank was heavily influenced by Korea’s authoritarian government in order to implement a government-directed industrial policy. Responsibilities such as price stability and other prudential orders were secondary focuses compared to the government’s goals. Under the administration of this imposing government, the BOK contributed to drastic changes in the inflation rate, and supported financially weak corporations and institutions to prevent failures. The effects of these policies were mostly covered up by the rapid industrialization of the Korean economy during the 1970s. By the 1980s, the effects had grown too great to ignore, and the Korean government began its first efforts of liberalization in order to stabilize the economy.

With the rapid improvements in electronic technology and faster communication technology, the society has become more sophisticated than in the olden days. The workforce is better educated, better informed, better organized and better paid than existed in the olden days. Consequently, the long term-trend is for the customers who will be more aware of the value of the funds, time and convenience. This has led to a demand for more efficient banking system with efficient payment methods. The situation has resulted in more competition among the banks and stimulated more technological developments. Hence, there is a continuous increase in the use of electronic technology to meet the ever increasing competition in banking which is transforming brick and mortar banking (banking at a fixed branch premises) to electronic banking. The delivery of bank’s services to a customer at his office or home by using electronic technology can be termed as electronic banking. The quality, range and price of these electronic services decide a bank’s competitive position in the industry (Kumar, 2000).

Also in India the population spread among rural and urban areas is also skewed in the favour of urban areas. All these features reflect in the volume and structure of the Indian banking system. Further in order to fulfill the requirements to the government policy it has been subjected to different nationalization schemes at different times. RBI credit policies form the guidelines for banks in India. Since they had to satisfy the domestic obligations, the banks have so far been confined within the Indian borders. Banking in India originated in the last decades of the 18th century. The first banks were The General Bank of India, which started in 1786, and Bank of Hindustan, which started in 1770; both are now defunct. The oldest bank in existence in India is the State Bank of India, which originated in the Bank of Calcutta in June 1806, which almost immediately became the Bank of Bengal.

India’s banking sector has grown very fast over these years. India has a large web of banking it has 26 public sector banks, private sector consists of 20, and there are 43 foreign banks which is a good sign for banking sector. Also it consists of 61 regional banks. There has been a noticeable expansion in dealings through ATMs, and also with internet and mobile banking banks has shown tremendous growth.

There are so many places to see in this world, yet so many go overlooked by conservative travelers. One destination that was long overlooked but is recently starting to pop up on a lot of traveler 's radars is the country of India. This country has something for every vacationer, regardless of budget or interests. You can be touring national monuments in cities like Agra or Varanasi one day, and the next day, you could be dancing the night away at a massive, European style nightclub in cities like New Delhi or Mumbai. While there are opportunities to soak up the luxuries of India, these opportunities tend to come at quite a premium, and many travelers just aren 't interested in paying such costs. Luckily, India provides the perfect blend of adventure and low cost for budget travelers. In fact, this great place can be seen, heard, felt, and experienced for next to nothing if you play your cards right. While tourism has recently taken off in India, it is still a relatively unexplored nation, especially by Americans. Most of us see the news in this country and see India come up in one of two discussions: acts of terrorism or it 's emerging economy. I find it sad that the average view on India has to come from such a narrowly focused source, but such is life in America; the negative news sadly controls a lot of our perceptions. I am happy to say that I have traveled to India and can assure you all with complete honesty that I have not felt safer in any other country, including

Over the years, the banking sector in India has seen a no. of changes. Most of the banks have begun to take an innovative approach towards banking with the objective of creating more value for customers and consequently, the banks. Some of the significant changes in the banking sector are discussed below.

The first banks were THE GENERAL BANK OF INDIA which got going in 1786 and bank of hindustaan,both defunct now

The financial system of the country is the outcome of its own peculiar historical evolution. The continuous interaction between the players of the financial system and public policy interventions has given birth to the evolution of the financial system. India began with the Central Bank and Reserve Bank of India and entrusted upon them the duty of regulating the banking sectors, Ministry of finance were given the responsibilities of regulating the other financial

Forces for change in Indian Banking: Underlying forces for change Developments in communication systems, coupled with blurring of differences between banks and non - banks and globalization have aggravated the competitive environment. Technology became a key differentiator for the new private sector banks. The technological superiority helped these private sector banks to have upper edge over public sector banks. The traditional source of income (Net Interest margin = Interest Earned – Interest Expended) was compressed due to the pressure of competition. As a

The Indian Finance Industry scene has changed radically with the private division making in street in a zone heretofore commanded by expansive open area Finance Corporations. Developing disinvestment is probably going to affect the money related industry also. There is each plausibility of privatization of open division Finance Corporations, prompting to more prominent operational self-governance.

As the economy grows and becomes more sophisticated, the banking sector has to develop parallely in a manner that it supports and stimulates such growth. With increasing global integration, the Indian banking system and financial system has as a whole had to be strengthened so as to be able to compete. India has had around two decade of financial sector reforms during which there has been substantial transformation and liberalization of the whole financial system.. Until the beginning of the 1990s, the state of the financial sector in India could be described as a

This is to certify that the project study entitled “Analysis of computerized banking system- HDFC Bank” is a bonafide work done by and submitted in partial fulfilment of the award of degree in Post Graduate Diploma in Management.