How Does Regulation Affect the Organizational Form of Banks' Presence in Developing and Developed Countries? - Université de Limoges Accéder directement au contenu
Pré-Publication, Document De Travail Année : 2017

How Does Regulation Affect the Organizational Form of Banks' Presence in Developing and Developed Countries?

Résumé

Using a unique hand-collected dataset of 1,251 European Union banks and their 20,850 foreign affiliates hosted in 154 countries, this paper investigates how both host country and home country regulation affects their decision on how to go abroad to both developed and developing countries. Controlling for various factors, we find that host country banking regulation is an important factor in explaining organizational form (subsidiaries versus branches), but that such a factor is strongly influenced by the level of development of the host country. While banks are very careful in limiting their expansion to the relatively safest world countries, they are more likely to open branches rather than subsidiaries in countries with stringent activity restrictions and capital requirements; especially when they are relatively less efficient. Additionally, retail-oriented banks tend to prefer to operate subsidiaries in the most developed countries and competitive markets.
Fichier principal
Vignette du fichier
A.Pamen_A.Sauviat_A.Tarazi-How does regulation affect the organizational form of foreign banks' presence in developing versus developped countries_Nov17.pdf (1.07 Mo) Télécharger le fichier
Origine : Fichiers produits par l'(les) auteur(s)
Loading...

Dates et versions

hal-01369658 , version 1 (21-09-2016)
hal-01369658 , version 2 (30-01-2017)
hal-01369658 , version 3 (16-11-2017)

Identifiants

Citer

Annick Pamen Nyola, Alain Sauviat, Amine Tarazi. How Does Regulation Affect the Organizational Form of Banks' Presence in Developing and Developed Countries?. 2017. ⟨hal-01369658v3⟩

Collections

UNILIM LAPE IR-SHS
263 Consultations
340 Téléchargements

Altmetric

Partager

Gmail Facebook X LinkedIn More