Access the full text.
Sign up today, get DeepDyve free for 14 days.
Rishi Goyal, C. Marsh, Narayanan Raman, Shengzu Wang, Swarnali Hannan (2011)
Financial Deepening and International Monetary StabilityERN: International Financial Flows (Topic)
Chris Caron, Thierry Lafay (2008)
How Risk Disciplines Pre-CommitmentTheory and Decision, 65
Hans Schmitt (1974)
Shaw, Edward S., Financial Deepening in Economic Development, New York, Oxford University Press, 1973, xii + 260 pp. ($7.50 cloth, $3.50 paper)American Journal of Agricultural Economics, 56
A. O'Connor (2005)
Trade Theories and International Banking
Brian Hindley, Alasdair Smith (1984)
Comparative Advantage and Trade in ServicesThe World Economy, 7
(1989)
The economic theory of multinational banking : an internalisation approach ”
P. Buckley, Niron Hashai (2009)
Formalizing internationalization in the eclectic paradigmJournal of International Business Studies, 40
Stephen Parente, E. Prescott (1994)
Barriers to Technology Adoption and DevelopmentJournal of Political Economy, 102
R. Levine
Finance and growth: theory and evidence
Asli Demirgüç-Kunt, E. Detragiache (2005)
Cross-Country Empirical Studies of Systemic Bank Distress: A SurveyNational Institute Economic Review, 192
J. Arcand, Enrico Berkes, U. Panizza (2012)
Too much finance?Journal of Economic Growth, 20
Dino Gerardi, R. Myerson (2005)
Sequential Equilibria in Bayesian Games with CommunicationYale Economics Department Research Papers
Vivek Mukherjee, S. Ramani (2011)
R&D cooperation in emerging industries, asymmetric innovative capabilities and rationale for technology parksTheory and Decision, 71
M. Obstfeld (2006)
The Renminbi's Dollar Peg at the CrossroadsPublic Choice & Political Economy eJournal
V. Chari, P. Kehoe (1997)
Hot MoneyJournal of Political Economy, 111
Country Analysis Unit Federal Reserve Bank of San Francisco
Banking reform in Vietnam
R. Bhattacharya (2013)
Inflation Dynamics and Monetary Policy Transmission in Vietnam and Emerging AsiaInternational Monetary Fund (IMF) Research Paper Series
Jean Gray, H. Gray (1981)
The multinational bank: A financial MNC?Journal of Banking and Finance, 5
International Monetary Fund
Enhancing financial sector surveillance in low‐income countries – financial deepening and macro‐stability
T. Beck (2013)
Finance, Growth and Fragility: The Role of GovernmentCEPR Discussion Paper Series
James Barth, G. Caprio, Ross Levine (2008)
Bank Regulations are Changing: For Better or Worse?Comparative Economic Studies, 50
Thomas Hellmann, Kevin Murdock (1997)
Liberalization, Moral Hazard in Banking and Prudential Regulation: Are Capital Requirements Enough?Industrial Organization & Regulation eJournal
Igor Masten, F. Coricelli, Arjana Masten (2007)
Non-Linear Growth Effects of Financial Development: Does Financial Integration Matter?FEN: Other International Corporate Finance (Topic)
D. Cole, E. Shaw (1974)
Financial Deepening in Economic Development.Journal of Finance, 29
(1989)
The economic theory of multinational banking: an internalisation approach”, Discussion Paper in International Investment and Business Studies No
A. O'Connor (2005)
Trade, Investment and Competition in International Banking
International Finance Corporation
Vietnam financial sector diagnostic
P. Agénor (2001)
Benefits and Costs of International Financial Integration: Theory and FactsWiley-Blackwell: World Economy
J. Dunning (1988)
The Eclectic Paradigm of International Production: A Restatement and Some Possible ExtensionsJournal of International Business Studies, 19
R. Mckinnon (1993)
The order of economic liberalization : financial control in the transition to a market economySouthern Economic Journal, 59
E. Detragiache, T. Tressel, Poonam Gupta (2006)
Foreign Banks in Poor Countries: Theory and EvidenceEmerging Markets: Finance
Lei Gao, Gerhard Kling (2006)
Regulatory changes and market liquidity in Chinese stock marketsEmerging Markets Review, 7
Asli Demirgüç-Kunt, E. Detragiache (1999)
Does Deposit Insurance Increase Banking System Stability? An Empirical Investigation
J. Boyd, R. Levine, B. Smith (2001)
The impact of inflation on financial sector performanceJournal of Monetary Economics, 47
P. Samuelson (1948)
International trade and the equalisation of factor pricesThe Economic Journal, 58
Juan Chousa, H. Khan, Davit Melikyan, Artur Tamazian (2005)
Assessing institutional efficiency, growth and integrationEmerging Markets Review, 6
Foreign Investment Agency of the Ministry of Planning and Investment and the US Agency for International Development
The impact of the US‐Vietnam bilateral trade agreement on overall and US foreign direct investment in Vietnam
P. Aghion, P. Bacchetta, Romain Rancière, Kenneth Rogoff (2006)
Exchange Rate Volatility and Productivity Growth: The Role of Financial DevelopmentNBER Working Paper Series
H. Arndt (1988)
Comparative advantage in trade in financial servicesPSL Quarterly Review, 41
T. Beck, E. Feyen (2013)
Benchmarking Financial Systems: Introducing the Financial Possibility FrontierDevelopment Economics: Macroeconomic Issues in Developing Economies eJournal
J. Dunning (1998)
Location and the multinational enterprise: A neglected factor?Journal of International Business Studies, 40
S. Lundan (2009)
What are Ownership Advantages?INTL: Multinational Enterprise Structure (Topic)
David Martínez-Miera, Rafael Repullo (2008)
Does Competition Reduce the Risk of Bank Failure?Banking & Insurance
J.H. Dunning
The eclectic paradigm of FDI: a restatement and some possible extensions
A. Verbeke, Wenlong Yuan (2010)
A Strategic Management Analysis of Ownership Advantages in the Eclectic ParadigmThe Multinational Business Review, 18
A. Abiad, E. Detragiache, T. Tressel (2008)
A New Database of Financial ReformsIMF Staff Papers, 57
(2012)
“ Enhancing financial sector surveillance in low - income countries – financial deepening and macro - stability ” , policy paper
P. Aghion, P. Howitt, David MAYER-FOULKES (2005)
The Effect of Financial Development on ConvergenceQuarterly Journal of Economics
J. Dunning (2001)
The Eclectic (OLI) Paradigm of International Production: Past, Present and FutureInternational Journal of the Economics of Business, 8
S. Wei, Yi Wu (2000)
Negative Alchemy? Corruption, Composition of Capital Flows, and Currency CrisesInternational Finance
Thorsten Beck, Olivier Jonghe, G. Schepens (2012)
Bank Competition and Stability: Cross-Country HeterogeneityAmerican Finance Association Meetings (AFA)
K. Phan, Nabil Ghantous (2013)
Managing brand associations to drive customers’ trust and loyalty in Vietnamese bankingInternational Journal of Bank Marketing, 31
E. Perotti, P. Volpin (2004)
Lobbying on EntryDevelopment Economics eJournal
D. Fudenberg, J. Tirole
Game Theory
F. Sanna-Randaccio, R. Veugelers (2007)
Multinational knowledge spillovers with decentralised R&D: a game-theoretic approachJournal of International Business Studies, 38
P. Aghion, P. Howitt, D. Mayer‐Foulkes
The effect of financial development on convergence: theory and evidence
E. Cartwright, M. Wooders (2009)
On purification of equilibrium in Bayesian games and expost Nash equilibriumInternational Journal of Game Theory, 38
Ilan Noy (2004)
Financial liberalization, prudential supervision, and the onset of banking crisesEmerging Markets Review, 5
(2001)
How does foreign entry affect domestic banking markets?
Purpose – The purpose of this paper is to propose a game‐theoretical model for commercial bank foreign direct investment strategy, government policy and domestic banking industry interactions in emerging market economies and demonstrate the application of this strategy to the banking system. Government policy and domestic banking industry interactions in emerging market economies and demonstrate the application of this strategy to the banking system. Design/methodology/approach – The paper develops a game‐theoretical model to analyze the optimality of the limiting entry strategy followed by a given domestic institutional sector when considering the entry applications of foreign banks in the domestic financial system. The model analyzes the strategic options available to an emerging market country with a relatively underdeveloped banking system when deciding whether or not and to what extent allow for the entrance of better reputed and more technologically advanced foreign banks in its domestic financial system. Findings – The paper shows that the progressive liberalization of entry restrictions would define the perfect Bayesian equilibria of the subsequent set of continuation games and the respective payoffs derived from this liberalization as the domestic economy integrates and competes within the global financial system. Originality/value – Banks operating in the international financial market have incentives to invest directly in emerging market economies and governments have incentives in allowing foreign banks entry to their market. As banking systems in these economies are generally underdeveloped, opening the financial system to foreign competitors could lead to a decrease in the market share of local banks. Eventually foreign banks could control the banking system and could de facto control the money supply.
International Journal of Bank Marketing – Emerald Publishing
Published: Apr 28, 2014
Keywords: Foreign direct investment; Emerging markets; Game theory; Banking; Entry strategy; Cooperation game
Read and print from thousands of top scholarly journals.
Already have an account? Log in
Bookmark this article. You can see your Bookmarks on your DeepDyve Library.
To save an article, log in first, or sign up for a DeepDyve account if you don’t already have one.
Copy and paste the desired citation format or use the link below to download a file formatted for EndNote
Access the full text.
Sign up today, get DeepDyve free for 14 days.
All DeepDyve websites use cookies to improve your online experience. They were placed on your computer when you launched this website. You can change your cookie settings through your browser.