IMPACT OF FOREIGN CAPITAL AND INFORMATION & COMMUNICATION TECHNOLOGY ON THE MACEDONIANBANKING SECTOR EFFECTIVENESS
Research Article
IMPACT OF FOREIGN CAPITAL AND INFORMATION & COMMUNICATION TECHNOLOGY ON THE MACEDONIANBANKING SECTOR EFFECTIVENESS
ABSTRACT
Modern technology related to products and services based on knowledge reduces the distance between clients and banks which results with focusing on offering of new electronic (online) banking products and services. Today, more and more the question is raised: At what stage each of the electronic or physical market model is more appropriate for banking operation as a function derived from the characteristics of the transaction? The Internet, the quick communication, the coordination and the collaboration help banks to cut transaction costs through virtual integration with their clients. Foreign banks entry significantly enables information and communication technology (ICT) and know-how transfer and introduces new financial products and processes to the local market. Contemporary ICT leads to reduction of transaction chains and separation of some of the operational activities of the banks, i.e. towards more efficient models of banking operation. Primary goal of the paper is to demonstrate why in the contemporary banking operations as a result of the foreign direct investments (FDI) and new ICT, commercial banks will prefer electronic versus physical offers of products and services and shall try to outsource their basic business activities, i.e. utilize services from external operators. The paper deals with the challenges with which the Macedonia’s banking sector is faced as a result of the FDI and new ICT, and is particularly oriented towards selection of the electronic versus physical transactional banking practices and increased need of use of outsourced banking services. Analytic and field research was used for the preparation of the paper. Additionaly, surveying as well as analysis and synthesis methods have been applied. Internet was used as a major tool to approach data and literature. Tables and graphical methods have been employed for visual presentations during the research.
PARNARDZIEVA STANOEVSKA, E.,
(2019). IMPACT OF FOREIGN CAPITAL AND INFORMATION & COMMUNICATION TECHNOLOGY ON THE MACEDONIANBANKING SECTOR EFFECTIVENESS. Trends in Economics, Finance, and Management Journal, 1(1), 47-56. Arrival Date Posted By:https://tefmj.ibupress.com/articles/impact-of-foreign-capital-and-information-communication-technology-on-the-macedonianbanking-sector-effectiveness
