What forms of the bancassurance alliance model is ... - Emerald

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JM2 3,3 212 Figure 1. Hierarchical structure to select and evaluate the preferable bancassurance alliance model for customers’ perspectives Level 1: Ultimate goal Level 2: Criteria Level 3: Sub-criteria Level 4: Alternatives Product development Financial holding company Economies of scale Execituve aspect Holding shareholding Stability of the operation Establishing a new joint venture System risk control Supervisory authorities has better resources Supervisor aspect Precompetitive alliances Choosing a preferable bancassurance alliance model alternatives Division of risks and benefits between alliance members Establishing insurance agent company Service convenience Establishing insurance broker company Sufficiency of product information Customer aspect Equal treatment of customers
. Supervisory authorities has better resources (SC 5 ). Supervisory authorities for the financial institutions’ mutual cooperation should have proper supervision policies to prevent the risks and conflicts of the financial alliance, for example, improper insider trading may affect the interests of consumers. . Division of risks and benefits between alliance members (SC 6 ). Financial institutions cross-operating with other financial enterprises may mismanage financial products and thus affect their original banking or insurance business. Accordingly, the risks and benefits should be clearly divided and avoid mutual circulation among the members of alliance. Bancassurance alliance model 213 3.5 Customer aspect (C 3 ) Customers receive the benefits and rights among a bancassurance alliance: . Service convenience (SC 7 ). It means that a customer is offered as many bank and insurance products as possible at one place during one customer service event. The objective is full customer service at one stop, keeping customers and deepening consumer loyalty (Voutilainen, 2005). . Sufficiency of product information (SC 8 ). Customers will base on the transparency of product information as a purchase reference. Therefore, the higher the transparency of product information, the more easily obtain the consumers’ trust. . Equal treatment of customers (SC 9 ). For example, the customers in an insurance company gain treatment in claims handling whether better than the customers who to a bank purchase insurance products. 3.5.1 Step 2: establishment each factors of the pair-wise comparison matrix. This purposive sampling study is applied to twelve experts representing financiers, academicians and the advanced or well-informed customers. The weights of level 2 criteria and level 3 sub-criteria are then determined for a sample group of twelve individuals matching the above characteristics, with each expert making a pair-wise comparison of the decision elements and assigning them relative scores. At the same time, each expert also makes a pair-wise comparison of the selection of six alliance structure models under nine subjective sub-criteria and, then, assigns those relative scores. The relative scores provided by the 12 experts are aggregated using the geometric mean method. We used the equations (1) and (2) to calculate the aggregate pair-wise comparison matrix. The pair-wise comparisons matrix of the criteria and sub-criteria and the corresponding value scores for the various alliance models are presented in Tables I-III, respectively. 3.5.2 Step 3: determine the eigenvalue and eigenvector. The comparison matrices in Tables I-III are used to calculate the eigenvectors using equation (3) and (4). Table IV summarizes the results of eigenvectors for the criteria, sub-criteria, and six alliance structure models. 3.5.3 Step 4: consistency ratio. According to equations (5) and (6), each hierarchy’s criteria comparison matrix of CR is calculated, as shown in Tables I-III. This result shows that the CR of the each hierarchy’s criteria comparison matrix is below 0.1, indicating “consistency.”
Page 1 and 2: The current issue and full text arc
Page 3 and 4: 2.2 Various hierarchies’ elements
Page 5: . Establishing insurance intermedia
Page 9 and 10: FHC HS JV PA IA IB SC 1 FHC 1 3.364
Page 11 and 12: Criteria C 1 C 2 C 3 Weights of cri
Page 13: Murry, J.W. and Hammons, J.O. (1995

What forms of the bancassurance alliance model is ... - Emerald

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