Banco de Oro

• Main Author: Cua, Joseph Bryan
• Format: text
• Language: English
• Published: Animo Repository 1999
• Subjects: Business Administration, Management, and Operations
• Online Access: https://animorepository.dlsu.edu.ph/etd_masteral/2120
• Institution: De La Salle University

The Philippines is currently experiencing an economic crisis. There is business showdown in almost all sectors. The volatile environment greatly affected the commercial banking industry. The liberalization laws of the banking industry, aggravated the situation by allowing the entry of foreign banks. Some of these foreign banks have the capital back-up from their main offices abroad, not to mention the technology advancement these banks have over their local competitors. Other banks, both local and foreign, have increased to be able to offer a wider set of products and services. Competition in the banking industry does not from bank alone but also from trading houses, investment houses, brokerage companies, credit card companies, to name a few. Intense competition has drove banks to improve their products and services in order to compete with the local and foreign banks in the industry, as well as those establishments offering similar bank products and services. Some of the local banks have changes their strategies to meet the challenges about by stiff competition. With these situations, the commercial banking industry still was able to withstand all these challenges. Banking regulations issued by the Bangko Sentral ng Pilipinas has helped banks cope with the currency and financial shocks in the Asian region. The economic performance of banks were better compared to the previous year. There was an increase in the number of banks, as well as their revenues. Banco de Oro, one of the expanded commercial banks (Universal Banks) in the Philippines has also performed well. It has proven that in spite of the uncertainty of the economy, it can still gain consistent growth in revenues as well as profitability. Over the last five years, Banco de Oro has had a steady and dynamic growth. It has an image of strength and stability, having bank operations for thirty years. Also, it is backed-up by the SM group of companies which makes the bank stable amidst competition.