Proceedings of 9th Asian Business Research Conference
20-21 December, 2013, BIAM Foundation, Dhaka, Bangladesh ISBN: 978-1-922069-39-9
Factor Influencing the Profitability of Some Commercial Banks-An
Explorative Study
Ishrat Jahan
The profitability of commercial banks has been a core issue in the banking
sector of Bangladesh. The historically low market prices of most of the listed
securities of commercial banks substantiate the poor earnings performances
during last couple years. This situation can be attributed to many macroeconomic & political administration factors as well as unsystematic factors.
Against this backdrop, the study has been undertaking aiming at identifying
factors that influence the profitability of commercial banks of Bangladesh.
The study has collected opinions of sample executives of commercial banks
on five point likert scale and analyzed the data collected by employing
varimax rotated factor analysis. The study has identified three factorsfinancial management, asset management and service modernization as
most important factors that influence the profitability of Sample Commercial
Banks of Bangladesh.
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Ishrat Jahan, Associate professor, Southern University Bangladesh, Chittagong, Bangladesh. E-mail:
ishratjahan@mail.com, Phone: 01911882765