Industry Analysis & Industry Trends
As a result of the recession, banks throughout the world suffered as their loan loss provisions skyrocketed due to their borrowers becoming unable to repay debt obligations. In addition, during a time when the cost of funding rose sharply due to credit availability disappearing, banks wrote off billions of dollars worth of assets as values depreciated. Looking ahead, banks operating in developed economies are expected to perform better as deferred business and capital expenditure moves forward. Banks in emerging markets held up well during the crisis, and opportunities exist for large global banks operating in mature markets to expand into these regions and benefit from the growth that is expected to occur in the coming five years... read more
Industry Key Buyers
The Global Commercial Banks industry operates with a low level of market share concentration. The top four companies are estimated to account for 12.4% of total industry revenue in 2014. While this represents a slight decline from 13.6% in 2009, the industry's market share concentration has increased significantly since 2008. The global financial crisis forced a considerable amount of consolidation, particularly among large banks in developed countries. For example, Wells Fargo's acquisition of Wachovia nearly doubled its industry-specific revenue in 2009.
Yet, due to the sheer size of the industry, with an estimated 25,106 global commercial banks, the relative share of each industry player is minimal... read more