The Bank’s Strategy in Online Banking Prices

Authors

  • Raluca Alexandra Badescu The Bucharest University of Economic Studies
  • Ana-Maria Aldea The Bucharest University of Economic Studies

Keywords:

internet banking, game theory, banking fees, prices

Abstract

The online payments market is growing faster and faster worldwide, facilitating the fast and conveniently obtain of products and services from nearly any field. For the last 10 years, banks worldwide have begun seriously investing in online services. The banking market from Romania has not yet reached a maturity that allows massive migration to online, but the phenomenon began for several years to be felt. This article presents the way that banks should calculate the prices for online banking services in relation to their strategies and the number of customers. We will also address a comparative online banking market analysis for United States and Romania. The models applied in the comparative study will be based on game theory. The fact is that big banks choose to invest more in internet banking for profit and they have bigger fees to their customers, when the smaller banks are investing in this kind of service for increasing market share, with small or no fee at all.


Author Biographies

Raluca Alexandra Badescu, The Bucharest University of Economic Studies

Department of Economic Informatics and Cybernetics

Ana-Maria Aldea, The Bucharest University of Economic Studies

Department of Economic Informatics and Cybernetics

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Published

2012-10-01

How to Cite

Badescu, R. A., & Aldea, A.-M. (2012). The Bank’s Strategy in Online Banking Prices. International Journal of Economic Practices and Theories, 2(4), 266-273. Retrieved from http://ijept.eu/index.php/ijept/article/view/The_Banks_Strategy_in_Online_Banking_Prices

Issue

Vol. 2 No. 4 (2012)

Section

Articles

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