- Title
- Internationalization and performance : Evidence from Bangladeshi banks
- Creator
- Barua, Suborna; Khan, Tasneema; Barua, Bipasha
- Date
- 2017
- Type
- Text; Journal article
- Identifier
- http://researchonline.federation.edu.au/vital/access/HandleResolver/1959.17/162429
- Identifier
- vital:12665
- Identifier
- ISBN:0022-037X
- Abstract
- Internationalization of banking institutions has been more evident to a greater extent recently due to the advancement of technology and global inter-connectedness of the business world. As the "engine of economic growth" banks are the dominant players in Bangladesh financial market. Due to quick market saturation, highly competitive domestic market and need for innovation, banks in Bangladesh are tending to move towards international market. Using six financial performance measures and five internationalization variables, this paper examines the impact of different internationalization dimensions on financial performance of the banks. The study estimates 18 models on panel data of 35 scheduled banks for 2005 to 2014 using Dricoll-Kraay, Prais-Winsten alongside Fixed and Random Effect estimation techniques. Findings suggest that net effect of internationalization is on average negative for all banks however it is significantly negative for the SOBs compared to PCBs. The paper also finds that physical presence in foreign countries, level of internationalization banks place themselves and age of international operation have significant impact on most of the performance measures. This paper contributes to existing literatures by: using new dimensions to define internationalization, examining impact on six different performance measures, being the first study on internationalization of Bangladeshi banks, and generating some unique findings.
- Relation
- The Journal of Developing Areas Vol. 51, no. 2 (2017), p. 105-118
- Rights
- This metadata is freely available under a CCO license
- Subject
- MD Multidisciplinary; Internationalization; Degree of internationalization; International banking; Profitability; International entry; International expansion
- Reviewed
- Hits: 801
- Visitors: 455
- Downloads: 0
| Thumbnail | File | Description | Size | Format |
|---|