Volume: 5, Issue: 1
ABSTRACT
The economy of any country specially a developing country is influenced to a great extent by the functioning and operation of the financial institutions operating in that country. Initially, the government use to have control over the banks but later on in the year 1991, when liberalization, globalization, and privatization of Indian economy took place, India opens its economy and because of that banking industry has been flooded with the new entrants including private banks, foreign banks, NBFCs etc. The new private banks·and foreign banks hit the market with various high-tech products, extra customer care, fast services, services at door-step, etc. mainly targeted to the corporate clientele of banks and now a days we see that these newly emerging private banks are given tough competition to the early established nationalized bank. In our study we have compared one nationalized bank with one private bank. The nationalized bank which we have taken for our study is SBI and the private bank is the ICICI bank. The study has been conducted to have comparative study of both SBI and ICICI bank. To know about the customer expectation about services, products, flexibilities etc. A comparative analysis about the rate of interest, product and services, facilities of state bank of India and ICICI bank has also been done. It has been tried to find the market penetration by ICICI bank and its effect on SBI. In this study PEST and SWOT analysis have also been applied through SWOT analysis future opportunities and threats can be predicted/forecasted along with the strength and weakness of SBI. This will help to understand (the working culture, employees productivity, use of technology in service etc.) whether people are attracted towards this private bank and are moving away form SBI, if so why it is happening, what are the reasons behind this?.
