competition. According to Karl Marx, competition is defined as "struggle, rivalry, and emulation between objects of the same quality, same type, and same value to achieve certain advantages, benefits, and goals".
In the work “Economics” by Paul A. Samuelson and William D. Nordhaus [89], it is stated that “competitiveness is the extent to which a country’s goods can compete in the market”; this depends mainly on the relative prices of domestic and foreign products. In addition, trade policies that help develop an open trade system will help improve competitiveness and the adoption of technology.
Besides research documents on competition in general, studies on the competitiveness of enterprises and the banking industry in particular have also been focused on by many foreign authors in recent times.
Author Paolo Coccorese conducted a study “Assessing the competitive conditions of the banking system in Italy: Some empirical evidence” [90] to determine the level of competition, the main characteristics of the banking market and make some recommendations for the banking system in Italy in the period 1988 - 1996. The research results show that Italian banks in the period 1988 - 1996 earned revenue under monopolistic competition conditions.
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Research and propose solutions to improve the competitiveness of Maritime Commercial Joint Stock Bank in the retail market - 12 -
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Bert Scholtens (2000) conducted a study on “Competition, Growth and Efficiency of the Banking Industry” [79]. Through analyzing the relationship between market structure and bank efficiency. The study showed that bank profits are inversely proportional to bank assets and directly proportional to equity.
Research by Michael Dunford, Helen Louri and Manfred Rosenstock on “Competition, Competitiveness and Business Policies” [86]. He argues that “for microeconomics, a competitive enterprise is one that achieves average improvements in product quality
goods and services together with/or reducing the associated costs to enable the business to gain greater profits and/or market share”.
In their 2003 study on the factors influencing banking competition, “What factors promote banking competition? Some international evidence” [92], Stijn Claessens and Luc Laeven showed that the increased presence of foreign banks and the reduction of restrictive regulations in the banking industry can help the banking system increase its competitiveness.
“A comparative study of the performance of the European banking system” [80]. The study was conducted in 2003 by Barbara Casu and Philip Molyneux to analyze the competition of the European banking system in the context of the unified European market in the period 1993-1997. The results of the study show that since the introduction of the unified European market program, the level of bank performance has improved slightly. In addition, the differences between banking markets in European countries mainly depend on the factors specific to each country.
In the article “The concept of competitiveness of the financial sector” by Mamiko Yokoi-Arai and Naoyuki Yoshino [85]. The competitiveness of an enterprise is determined by the following factors: Business efficiency (ROA, ROE, financial management capacity), Size (Market share of deposits and loans, Retail sales scale: number of branches, asset size), Information technology (data management system), Resource management (Human resource management, business management).
In order to explore the correlation between competitiveness and efficiency of the banking sector and economic growth in Egypt, the authors Sunil S. Poshakwale and Binsheng Qien (2011) conducted a study with the topic “Competitiveness and efficiency of the banking sector and economic growth in Egypt” [93], the study showed that the financial reform program in Egypt has a positive and statistically significant impact on the competitiveness of the banking sector.
banking industry in the period from 1992 - 2007. In addition, state banks have lower competitiveness than private banks; and foreign banks have lower competitiveness than domestic banks.
Rosita Suhaimi et al.’s study on “Customer relationship management practices and competitiveness of commercial banks in Kenya” [91] found that there was a positive correlation between customer relationship management and marketing capabilities that indirectly affected the competitiveness of commercial banks in Kenya. On the contrary, organizational factors such as years of operation, organizational size, ownership structure, customer base, reputation, time of implementing customer relationship management and technological level did not show a statistically significant correlation with the competitiveness of the organization.
Another study by Rosita Suhaimi et al. on “Profit Efficiency and Competitiveness of Banks in Malaysia” [91]. Shows that profit efficiency and competitiveness have a statistically significant correlation in banks in Malaysia.
Osmis Areda Habte conducted a research on “Competitive conditions in the Swedish banking system” [88]. The study focused on assessing the effects of the financial crisis on the competitiveness of the Swedish banking system in the period 2003 - 2010. The research results showed that commercial banks operate in a more competitive environment than savings banks. In addition, the competitiveness of banks has slightly decreased after the global financial crisis in the period 2003-2010.
Micheal Koetter (2013) analyzed the market structure of German banks to assess market power through the study “Market Structure and Competition in the German Banking System” [87]. The study shows that the competitiveness of banks varies geographically in Germany; specifically, the competitiveness of banks is low.
most in the Northeast of Germany and highest in the Southwest of Germany.
The study “Bank Competition and Financial Stability in Asia Pacific” was conducted in 2014 by Fu, Xiaoqin et al. [83]. The work showed that higher concentration promoted financial failure and lower pricing power also caused bank risk after controlling for many macroeconomic factors, bank-specific factors, bank regulations and institutions. In terms of regulations and institutions, the results showed that stricter entry restrictions may be beneficial for bank stability, while stronger deposit insurance programs are associated with bank failures.
Habib Hussain Khan et al. conducted a study on “Bank Competition and Monetary Policy Expansion through Bank Lending Channel: Evidence from ASEAN Countries” [84] to examine the impact of bank competition on monetary policy expansion through bank lending channel and to determine the influence of bank characteristics on banks’ responsiveness to changes in monetary policy. The results show that the impact of monetary policy on bank lending decreases as the level of bank competition decreases. This impact is more pronounced for banks with high capitalization, high liquidity and large size. The study suggests the need for policy measures that can reduce the adverse effects of changes in banking industry competitiveness.
Research results on “Competition and stability in the credit industry: banking industry versus factoring industry” by Degl'Innocenti, Marta et al. [82]. The authors showed the following main results: i/ factoring companies are (on average) more stable than banks; ii/ factoring companies' stability increases as competition decreases; and iii/ the competitive-disruption perspective of the factoring industry is weaker than that of the banking industry.
Alexia Ventouri conducted “Research on Banking Competition and Regional Integration: Evidence from ASEAN Countries” [76]. The work aims to
The aim of the study is to explore the competitive characteristics of the banking systems of the Association of Southeast Asian Nations (ASEAN) in the new environment of the Framework for Financial Integration (AFIF) and to identify factors that may influence competitive conditions, especially controlling for structural conditions and institutional characteristics. The main finding of the study is that although there is still a high degree of heterogeneity in the banking market among ASEAN countries, banks operate under monopolistic competition and banking integration is certainly a challenging goal for the region. In addition, the study results show a positive relationship between demand density, concentration and competition.
1.2. DOMESTIC RESEARCH SITUATION
In Vietnam, the issue of competition and competitiveness enhancement has been studied by a number of projects and scientists from different perspectives and scopes. Research on the competitiveness of joint stock commercial banks at training institutions and research centers is still quite new. However, the process of searching and researching shows that each project and topic has its own object, scope and research method, solving different issues of competitiveness. Regarding the issue of competitiveness of Vietnam's joint stock commercial banks for foreign trade in the period of international economic integration, the following typical projects and scientific topics can be mentioned:
1.2.1. Research on competitiveness in particular , the monograph, Competitiveness of Vietnamese Enterprises after 5 years of joining the WTO, author Vu Van Phuc [31]. The author stated: Competitiveness or competitiveness is a topic that is discussed a lot and has many different understandings: According to the neoclassical perspective, based on traditional trade theory, the competitiveness of a product must be through comparative advantages in production costs and increased labor productivity. The competitiveness of an industry or an enterprise is the ability to maintain market share profits at home and abroad. According to this understanding,
The competitiveness of an enterprise can be reflected in basic aspects such as: Product competitiveness, ability to maintain and expand market share, ability to maintain and improve business efficiency, ability to increase productivity and work efficiency, ability to adapt and innovate, ability to attract human resources, ability to joint venture and cooperation. Michael E. Porter - the so-called father of modern competition theory, said that "Competition is not about providing the best but creating a difference, because the best is not something that all consumers can buy, because the best is often the most expensive".
The article, Some opinions on improving the competitiveness of enterprises after 5 years of joining the WTO by author Do Duc Binh [7]. The author stated: The competitiveness of enterprises can be understood as the ability of enterprises to create, maintain and develop their advantages through lowering costs or creating differences for products and services to maintain and expand market share.
The monographs Competitiveness of enterprises in the context of globalization by author Tran Suu [37] and Competitiveness of enterprises by economic sector in Vietnam by author Nguyen Truong Son [38]. In these books, the authors have generalized competition in the context of globalization, factors affecting the competitiveness of enterprises, constituent factors and criteria for assessing competitiveness, especially author Nguyen Truong Son has raised basic theoretical issues on competitive advantage and assessed competitive advantage for enterprises by economic sector. At the same time, the authors have highlighted the current status of competitiveness of some Vietnamese enterprises; pointed out limitations, problems and causes. On that basis, the authors of the book also forecast and propose a number of directional solutions to improve the competitiveness of enterprises in the context of globalization. Thus, the books all study the issue of competitiveness of enterprises in general.
general in the context of globalization, but not yet in-depth research on the competitiveness of commercial banks. However, the theoretical content on competitiveness will be selectively absorbed and inherited by graduate students in the process of researching their thesis.
The monograph Theory of commercial enterprise competition, edited by Pham Van Cong [10]. The work has presented practical theories on competition, competitiveness of commercial enterprises, analyzed the competitiveness of commercial enterprises, stated the content of improving the competitiveness of commercial enterprises, through the theoretical part, assessed the current status of competitiveness of commercial enterprises through a number of Vietnam Petroleum Groups, Vietnam Textile and Garment Industry, Vietnam Cement Industry, thereby building a number of solutions to improve the competitiveness of Vietnamese commercial enterprises.
Proceedings of the school-level scientific conference, Competitiveness of Vietnamese enterprises in the context of international economic integration , by a group of authors led by Nguyen Xuan Minh [22], Head of the (2) research committee, researchers presented topics related to the competitiveness of enterprises, mainly assessing the current status of competitiveness and proposing solutions to improve the competitiveness of domestic industries such as; tea, rubber, securities, tourism, textiles, seafood, logistics. In particular, the author (page
97) analyzed and clarified the concept of bank mergers and acquisitions, analyzed the competitive capacity of banks, and pointed out the current status of operations and competitive capacity of commercial banks after mergers and acquisitions. Through this workshop, the current competitive status of enterprises in the past time was assessed so that the doctoral students could grasp the inheritance to continue in-depth research in their thesis.
The State-level scientific conference on Improving national competitiveness and innovation and business development was organized by the Central Economic Committee [4] . Here, scientists presented research on issues of improving
business environment to improve national competitiveness, recommendations to improve the competitiveness of private enterprises in the context of integration. In September 2017, the Central Institute for Economic Management organized a workshop on " National Competition Policy ". At the workshop, researchers also raised issues on competition law, competition barriers in Vietnam, the current state of competition and identification of barriers to competition in entering the market in Vietnam today, lessons learned and effective competition policies. In October 2017, the Vietnam Chamber of Commerce and Industry continued to organize a workshop on the topic of Criteria for assessing the competitiveness of the economy and implications for Vietnam [29]. With this topic, scientists and managers have analyzed the criteria for assessing the competitiveness of the economy and implications for Vietnam, proposed a set of indicators to assess the competitiveness of the economy, at the scientific conference, researchers gave their opinions on the implementation of the Government's Decree No. 19/2017 dated February 6, 2017 on Continuing to implement the main tasks and solutions to improve the business environment, enhance national competitiveness in 2017, with a vision to 2020. Through this resolution, the current situation of Vietnam's business environment in recent times was raised, the main goals and indicators were identified to improve the business environment and enhance competitiveness, thereby stating the responsibilities and tasks of ministries and branches in developing solutions to improve the business environment.
Researching the reports presented at scientific conferences shows that most of the reports have mentioned the issue of competition and enhancing the competitiveness of enterprises on different levels and aspects of the conference's purpose and research topics. Therefore, no report has directly clarified the competitiveness of joint stock commercial banks. On the other hand, with the scope of scientific reports, it has not fully demonstrated, deeply and thoroughly analyzed both theoretically and practically about the competitiveness of enterprises.