This thesis examines the competitive forces that are currently
restructuring the basic bank markets. These markets are primarily
concerned with retail deposits, the payments system and a range of lending
related services. In the past, they have been the traditional preserve of
the large clearing banks and more recently the building societies - now an
increasing number of players such as foreign banks, retailers and credit
card companies, have entered, or are threatening to enter, this market.
It is the contention of this thesis that the adoption of a marketing
concept is vital to the success of these market players, who will need to
restructure their organisations and become more customer and market orientated.
A further contention is that to be able to respond to the
market more efficiently, the marketing ethos must permeate the entire
The thesis also contends that technology of all the catalysts of change in
the market has done the most to affect the competitive environment. It has
reduced processing costs, increased efficiency and enabled a whole range of
players to compete on a more equal basis. In future, technology certainly
has the capacity to radically alter patterns of competitive behaviour in
the basic bank markets.
A Master's Thesis. Submitted in partial fulfilment of the requirements for the award of Master of Philosophy of Loughborough University.