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Contribution Details

Type Journal Article
Scope Discipline-based scholarship
Title To what extent will the banking industry be globalized? A study of bank nationality and reach in 20 European nations
Organization Unit
Authors
  • Allen N Berger
  • Qinglei Dai
  • Steven Ongena
  • David C Smith
Item Subtype Original Work
Refereed Yes
Status Published in final form
Language
  • English
Journal Title Journal of Banking and Finance
Publisher Elsevier
Geographical Reach international
ISSN 0378-4266
Volume 27
Number 3
Page Range 383 - 415
Date 2003
Abstract Text We model two dimensions of bank globalization – bank nationality (a bank from the firm’s host nation, its home nation, or a third nation) and bank reach (a global, regional, or local bank) using a two-stage nested multinomial logit model. Our data set includes over 2000 foreign affiliates of multinational corporations operating in 20 European nations and over 250 banks that serve them. We find that these firms frequently use host nation banks for cash management services, and that bank reach may be strongly influenced by this choice of bank nationality. Our results suggest limits to the degree of future bank globalization.
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Digital Object Identifier 10.1016/S0378-4266(02)00386-2
Other Identification Number merlin-id:11792
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