- Volume 15 Issue 12
DOI QR Code
A Study on the Development of the Korean Internet Banks
한국 인터넷은행의 발전 방안에 관한 연구
- Ok, S.H. (Dept. of MIS, Dongguk University - Seoul Campus) ;
- Hwang, K.T. (Dept. of MIS, Dongguk University - Seoul Campus)
- Received : 2017.10.31
- Accepted : 2017.12.20
- Published : 2017.12.28
Korea came to see its first internet bank as 'K bank' obtained the digital-only banking license in December 2016. This paper suggests ways to foster internet banks of Korea in their early stage by analyzing the successful cases of overseas internet banks. The followings are the key success factors identified from those cases across Europe, Japan, China, and USA: Support from the related government authorities; Stable governance structure; Distinct business capabilities based on information & communications technology(ICT). These points lead to the following implications for Korean internet banks. Regulatory restrictions on owning and running internet banks should be lifted to facilitate innovation. Policies to support internet bank industry should be introduced as it is a vital part of the 4th industrial revolution. Finally, internet banks should strive to differentiate themselves by utilizing their ICT capabilities. Subjects of the further research hereafter should include the following: Analyzing the ongoing performance and developments of digital banks in Korea; Deriving success factors from the analysis; Assessing the influence and effects on financial market and economic environment.
Internet Bank;FinTech;Development Directions;Regulation;Policy
- Financial Services Commission, "Introduction of the internet bank", Press Realese, 2015.6
- Y. John. "A determination of the factors contributing to internet banking", Journal of Digital Convergence, Vol. 10, No. 11, pp. 137-144, 2012.
- Yonhapnews, "Kakao Bank - disturbance of the consumer financial market", 2017. 7. 28.
- Financial Supervisory Service, "Financial statistics information system", http://efisis.fss.or.kr/fss/fsiview/indexw.html, 2016.3
- Kbank, "The 3rd smart finance conference", Etnews, 2016.6.15
- The Bank Of Korea, "Use of internet banking services during Q1 2016", Press Release, 2016. 5
- Infomax, "Bank is the worst in the financial consumer satisfaction index", 2015. 1. 21.
- Yonhapnews, "Mobile banking is the trend of the times", 2015. 12. 8.
- Maeil Business Newspaper, "Selfish banks", 2017. 3. 8.
- Yonhapnews, "Branch costs of the banks", 2016. 5. 8.
- Maeil Business Newspaper, "Housewives and young generations tied with high interest loans", 2017. 3. 3.
- J. H., Suh, "The 4th industrial revolution and financial industry", Korea Institute Of Finance, p 4, 2017. 5 .2.
- O. S. Jeon & S. K. Park, "A study on factor affecting employee creativity of bank employee in the age of convergence", Journal of Digital Convergence, Vol. 13, No. 11, pp. 99-108, 2015.
- Ministry Of Strategy and Finance, "Results of the 2016 World Economic Forum (WEF) national competitiveness evaluation", Press Release, 2016.9
- Yoo-Euh Dong National Assembly office, "Introduction of competitive korean internet bank", Policy Proposal Material, 2016.10
- Kbank, "Current status and future tasks of Kbank", Press Release, 2017.6
- Joongang Ibo, "Financial transactions can't be performed as easy as Kakao Talk", 2017. 7. 30.
- N. J. Cho, K. H. Park, & H. K. Lim. "Analysis influential factors for media selection in banking transaction context", Journal of Digital Convergence, Vol. 6, No. 3, pp. 75-84, 2008.
- Chosun Biz, "Kakao Bank 'a Blast'", 2017. 8. 16
- Maeil Business Newspaper, "Kakao Bank", 2017. 8. 27
- Chun, D. J., "Current state for the global internet banks", Weekly Finance and Economic Review, Woori Institute of Finance and Business, pp. 7-8, 2014
- S. K. Park & K. S. Han. "A study on the prospects of the financial IT services industry using the correlation analysis of the IT budget in the financial industry", Journal of Digital Convergence, Vol. 12, No. 3, pp. 55-62, 2014.
- J.Y. Jun, E. J. Yeo, "Analysis on the effects of introduction of Korean internet bank from an industrial organizational perspective", Journal of Money & Finance, Vol.29, No.4, p.203-204 2015.12
- Jae-Saeng Kim, Hoa-Seang Sin. "Construction of web-based IT assets management system", Journal of Digital Convergence, Vol. 10, No. 8, pp. 193-200, 2012.
- Y. M. Seo, "Synergy effect with affiliated Securities company of Japanese Internet Bank", Korea Financial Investment Association, p5, 2015. 5
- KT Economics and Management Research Institute, "Japan Jibun bank users survey results", 2016.5
- Etnews, "App leads branch", 2017.4.24
- KT Economics and Management Research Institute, "Internet bank led by ICT", Issue Report, p.33 2016.6
- B. H., Suh, S. J., Lee, Y. S. Lee, "Analysis on global internet bank case and implication", Korea Institute Of Finance, Finance Report, 2016-01th, p.115-120, p.89-91, p.143, 2016.10
- KT Economics and Management Research Institute, "ICT convergence and policy", 2015.8
- KB Institute of Financial Governance, "Techcity and fintech of U.K", KB Knowledge Vitamin 15-8, p.2, 2015.
- Lee, S.B., "Analysis on characteristics of entry and exit for the U.S. internet bank", Issue Analysis, pp.21-22, Korea Institute of Capital Market, 2015
- Chosun Biz, "Anytime and anywhere the bank is in my hands", 2017.4.3
- T. S. Kown, "19th centry English Red Flag Act and 21st centry economic democracy", Maeil Business Newspaper, 2016. 6. 5
- Financial Services Commission, "Introduction of financial regulation test bed", Press Realese, 2017. 3
- Joongang Ibo, "Reasonable deregulation? review the Cosmetic Act reform", 2017. 3. 8.
- NICE RNC, "Consumer awareness survey on internet bank", Finance Consumer Report, 2015-8, 2015
- Chris Anderson, "The long Tail", WIRED, https://www.wired.com/2004/10/tail, 2004
- Kbank, "Kbank's vision and business plan, Presentation material,, 2016.12