The role of bank branch in the 4th industrial revolution, experiment research in Vietnam

Abstract

 The 4th industrial revolution has influenced many social and economic aspects of many coutries in the world, in which, banking is one of the most influenced industry. Bank branches are very important with the customers, the banks and the economy, however, they are decreasing in the role and number. This research focus on the branch network trend of 21 Vietnamese commercial banks, which capital excess VND 5 billion, in the period of 2012- 2019, and the impact of bank branch networks on the banks’ profit. Results show that, contrary to the developed countries, Vietnamese banks is still expanding their branch network. Bank branches, on average, have increasing fund mobilizing, lending and profit. The quantitative analysis shows that branches is positively impact the bank’s profit with a 5% significant level. The research also suggests some implications to optimize the branch network in the 4.0 industrial revolution.