Eurozone banking: Strategies for eurozone survival

In the eurozone big is beautiful. The potential three-way merger of Banque Nationale de Paris, Société Générale and Paribas is just the latest example of the consolidation that will transform Europe's fragmented and largely unsophisticated banking industry. National borders and regulations have become irrelevant more quickly than anyone had predicted, leaving the way open for huge intra-market and cross-border tie-ups. But as banking goes the way of auto manufacturing and pharmaceuticals, what role is left for the smaller institutions - the regional specialists and the boutiques?

Conventional wisdom consigns banks in the middle ground to oblivion. To prosper, the argument goes, smaller banks must either accept eventual merger or acquisition, or find niches in which they can demonstrate that their size is an advantage rather than a handicap.

To see whether the consensus holds true, Euromoney journalists interviewed the senior executives of a representative sample of Europe’s banking Mittelstand to get first-hand these institutions’ blueprint for survival. Will any of these banks be here in three years?

BW-Bank

A traditional institution that believes its market is impregnable is unlikely to prosper.

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