The Changing Landscape of the European Financial Services Sector
Author: Carlo Alberto Carnevale
Publisher:
Published: 2012
Total Pages: 31
ISBN-13:
DOWNLOAD EBOOKMajor forces confront the European financial services sector, changing its competitive dynamics and thus its strategic renewal context. This paper investigates the pace of diffusion of two of these strategic renewal-enabling forces, investigates whether the pace of diffusion across countries has became more similar, and assesses the impact of these developments on the European financial landscape. Focussing on five European Union countries during the period 1990-1999,the changing strategic renewal context is examined by looking at the pace of diffusion of technological innovations in bank services and EU banking regulations. The impact these two forces have on the privatisation processes in two late mover countries and on the industry structure is also analysed. Preliminary findings suggest a substantial decrease over time in country-specific patterns of diffusion, and the emergence of industry-generic patterns. The increasing speed of diffusion within the European financial services sector will give rise to a hyper-competitive landscape in the beginning of the 21st century. Understanding the emergence of this changing landscape creates important managerial challenges for incumbent firms embarking on strategic renewal journeys, as well as for new entrants, whether they operate in the financial services sector or in sectors facing similar developments.Key Words : Financial services sector, strategic renewal, Europe, country comparison.