FACTORS THAT AFFECT CLIENTS CHOICE OF BANK IN NUEVA VIZCAYA
Every turn of events in the past decade, directly affect government decision. Regulatory, structural and technological factors have significantly changed the banking environment throughout the world (Angur, Nataraajan and Jahera, 1999; Lee, 2002) and resulted in intensified competition in the market place. In the United States, arguably, the intensified competition in the market place has been primarily stirred by regulatory changes (Lee and Marlowe, 2003; Yavas and Shemwell, 1997). Now with the weakening of barriers, consequently banks “mushrooming” is now popular in banking industry that leads to intense competition, with banks not only competing among each other, but also with non-banks and other financial institutions such as securities and insurance companies. Most banks product developments are easy to increase and when banks provide nearly similar services, they can only distinguish themselves based on price [European Journal of Social Sciences – Volume 17, Number 2 (2010)] and quality. With the emerging competition in the market, banks must focus on understanding the attitudes, satisfaction and behavioural patterns of the market and costumers. Since costumers have different wants and needs, here are some factors that affect their decision making; in a study of Canadian customers in Montreal, Harwood found that convenience is the principal reason for bank selection, followed by parental influence with respect to the status of the bank. In contrast, [Kaynak and Kucukemiroglu's study of European Journal of Social Sciences – Volume 17, Number 2 (2010)]the Hong Kong banking market discovered that customers choose their banks because of convenience, long association, recommendations of friends and relatives, and accessibility to credit. Social and technological change has had a notable effect on banking. These developments, such as internationalization and standardization of money...
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