Question

Objectives of management i.e customer satisfaction

Answer 1

Since the recovery from the credit crisis began, much has been written about an impending waive of consolidation in the community bank industry. The majority of practitioners and commentators have seen the state of the economy and the market, and the current and pending regulatory capital requirements, as leading to many institutions strengthening themselves through merger or acquisition. Throughout recent years, many, including us, have predicted that widespread consolidation is right around the corner. To date, however, industry-wide consolidation has not occurred, and there are many reasons why it has not. The absence of a broad consolidation is attributable, in part, to a lack of easy access to capital for most would-be acquirers, uncertainty about impending increased capital requirements, and regulators perhaps providing troubled institutions more time to correct themselves on their own.