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The competition problem, first of all in market economy, acts as one of global questions of the economic theory. The competition is an economic competition between subjects of economic activity for possibility of receiving a maximum of profit and consolidation of position at the market. For modern Russia the acute competition in banking business is already objective reality which in process of development of a network of credit institutions and other various institutes constantly increases every year. The bank competition represents dynamic process of competitiveness of commercial banks and other credit institutes within which they seek to ensure strong position in the market of banking services. The essence of the bank competition most brightly reflects in the most important characteristic of a banking service at the market - its competitiveness. Competitiveness of commercial banks becomes the actual purpose of bank management in the conditions of the predicted strengthening of scales of the interbank competition. The domestic and foreign economic science still didn't develop a consensus concerning the nature and determination of competitiveness of commercial banks. Competitiveness of commercial bank is identical to its competitive potential as sets of competitive advantages which use automatically means achievement of superiority. Thus, the competitive position of commercial bank does not only define quantity and quality of its competitive advantages, but also at first by the scales of segments of the financial market captured by the interbank competition. Ignoring of this essential to development and realization of competitive strategy of commercial bank of the fact considerably reduces the substantial value of the given definition.


competition; bank competition; competitiveness; competitiveness of commercial bank; competitiveness of banking service

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