INCREASING THE COMPETITIVENESS OF CREDIT ORGANIZATIONS IN THE CONTEXT OF MARKET ECONOMY

Abstract

The article is dedicated to the main factors affecting the competitiveness of credit organizations. The author considers such concepts as competitiveness of an organization, types of bank competition, and problems of credit organizations. The hierarchical structure of competitiveness is shown in the form of a diagram. The article analyzes the activity of credit and financial organizations at the present stage. The factors of competitiveness of credit and financial organizations are specified. The competitiveness of credit organizations is a relative term that indicates the difference of one structure from the competing one as regards to the satisfaction of market consumers with their services and products. The competitiveness of credit organizations characterizes the opportunities and the dynamics of its adaptation to competitive conditions of the market and is dependent on many factors, namely, such as market capacity (number of annual sales), easy access to the market, type of manufactured goods, market homogeneity, competitive positions of structures existing in this market, possibility of using innovation. Evaluating all the stages of bank formation and development and predicting their further development, the author recognizes the credit institution as a business structure. It’s justified by the fact that the welfare of bank activities as a business structure is based on the ability to adapt to both internal and external conditions with the best benefit for the bank itself and anticipate development trends, development of credit organizations and gain from this competitive advantages. In this regard, competitiveness is one of the conditions for functioning credit organizations in the market economy.