Exploring the Evolution & Conceptual Framework Marketing Strategies of Banking Industry: A Review

The rapid evolution of modern information technology and the integration of financial technology into daily life are reshaping consumers' financial behaviors, posing challenges to traditional retail banking operations. In China's competitive banking landscape, the intensifying rivalry among commercial banks in the retail sector is driven by the nation's economic expansion and increased household wealth. Against the backdrop of a global economic recovery hindered by the pandemic and domestic economic transition, Bank F faces heightened competition and amplified credit risk. The financial market reform and the swift growth of Internet finance contribute to a decline in intermediate business income and consistent net profit growth within the banking industry. Simultaneously, rural commercial banks pivot towards inclusive finance and retail lending, necessitating a critical reassessment and innovation of marketing strategies leveraging internet-based approaches and big data. In conjunction with this examination, the paper introduces a comprehensive conceptual framework, termed the functional perspective, for analyzing fundamental institutional changes in the global financial system. This framework prioritizes functions over institutions as the conceptual anchor, asserting that financial functions exhibit greater stability over time and across borders compared to institutions. It posits that innovation and competition among institutions lead to increased efficiency in performing financial system functions. Applying this dual-focused approach, the research not only contributes to a nuanced understanding of the evolution and conceptual framework of marketing strategies in the banking industry but also addresses key public-policy issues. These include risk accounting, OTC derivatives regulation, deposit insurance reform, pension reform, privatization, international harmonization of regulatory policies, and innovations in macro-stabilization policy. This integrated study provides valuable insights for practitioners and policymakers navigating the dynamic landscape of banking in the face of technological disruptions and changing economic paradigms.