Cooperative banks in need of transition: The influence of Basel III on the business model of German cooperative credit institutions

Journal article


Publication Details

Author(s): Jovanovic T, Arnold C, Voigt KI
Journal: Journal of Co-operative Organization and Management
Publication year: 2017
Volume: 5
Journal issue: 1
Pages range: 39-47
ISSN: 2213-297X
Language: English


Abstract


The financial crisis of 2007 revealed that there were insufficient existing regulations. As a result, the Basel Committee on Banking Supervision developed Basel III, which is a reformed regulatory framework. The concomitant financial regulation has wide-ranging consequences for the banking world as a whole. However, little is known about the consequences of Basel III on the business model of cooperative banks in Germany. Therefore, the aim of the present study is to investigate the following question: How has the financial regulation that was initiated in the context of Basel III affected the business model of established cooperative credit institutions? To answer this question, a triangulation approach was chosen, including a group discussion with five experts and a quantitative survey among Bavarian banks that was based on the group discussion’s results. The findings clearly show that the business model is negatively affected in all its facets, especially revenues, costs, and activities. To ensure sustainability, German cooperative credit institutions should adapt their strategy in terms of value chain and political influence.



FAU Authors / FAU Editors

Arnold, Christian
Lehrstuhl für Betriebswirtschaftslehre, insbesondere Industrielles Management
Jovanovic, Tanja
Lehrstuhl für Betriebswirtschaftslehre, insbesondere Industrielles Management
Voigt, Kai-Ingo Prof. Dr.
Lehrstuhl für Betriebswirtschaftslehre, insbesondere Industrielles Management


How to cite

APA:
Jovanovic, T., Arnold, C., & Voigt, K.-I. (2017). Cooperative banks in need of transition: The influence of Basel III on the business model of German cooperative credit institutions. Journal of Co-operative Organization and Management, 5(1), 39-47. https://dx.doi.org/10.1016/j.jcom.2017.03.003

MLA:
Jovanovic, Tanja, Christian Arnold, and Kai-Ingo Voigt. "Cooperative banks in need of transition: The influence of Basel III on the business model of German cooperative credit institutions." Journal of Co-operative Organization and Management 5.1 (2017): 39-47.

BibTeX: 

Last updated on 2018-17-06 at 14:10