In this third post, we examine how banks can react to the entry threat on banking retail markets (the previous two posts on banking innovations can be found here and here)? First, banks can decide to innovate by themselves. However, banks have market power, which implies that they face the usual trade-off between the replacement […]
Tag Archives | mobile payments
Innovation and regulation in the retail banking industry
Over the recent years, several innovations have emerged on the retail banking market: mobile payments, Internet Banking, peer-to-peer lending platforms. These innovative services are often offered by “non-bank” entrants, i.e., firms that do not own a banking license. Several Internet Service Providers or even large retailers, like Apple, Starbucks or Google, have started to offer […]