The role of financial institutions from the aspect of innovated banking products and services as the reply of banks in Serbia to the changes in the environment

Abstract

Numerous changes from the economic and technological environment of financial institutions have led banks into innovating their products and services in order to adequately respond to new needs, i.e. the needs of new consumers, because together with the environment their needs and preferences are changed. Banks in Serbia according to the legislative framework have the possibility to perform various tasks. In practice, banks operating in Serbia offer certain groups of products and products that are difficult to differentiate. Today, with the aim of responding to the demand of more and more self-conscious consumers, the banks use the Internet or electronic banking as a modern channel for the distribution of banking services.

Challenging Novelties within the Circular Economy Concept under the Digital Transformation of Society

“…The classical meaning of innovation, referring to the creation of new things, is redefined by Stošić as "renewal and expansion of products, services and markets", so those "new ways are set up in management, work organisation, conditions and skills" [19]. Miletić et al find that innovations enable improved quality of products and services, increase security, and lead to increased competitiveness [20]. Gay and Szostak point out the importance of innovation and creativity for the small-and medium-sized enterprises (SMEs), accounting for more than 90% of companies worldwide, which have to be creative and innovative to survive in their market, and differ from the competition.…”

Marketing Trends and Perspectives on the Bank Market

“…Banking management recognizes the importance of achieving satisfaction with service users and the role employees have in securing this satisfaction, so their goal is to have as much competent human resources as possible [5]. The basic task of the bank's management, in coordination with the marketing manager, is to decide how best to utilize resources through planning, to which banking products and services they should be allocated, in which markets to operate, and which target groups to address in order to achieve the highest value, e.g.…”

“…In considering its strategy for the coming period, a modern commercial bank should actively anticipate and monitor the trends and perspectives of the banking and financial markets in order to gain a competitive advantage. Banks are developing new and innovative products to adequately respond to changes that come from the environment [7]. These trends are most directly reflected in the innovation of products and services, distribution channels of sales and in the better satisfaction of the needs of the banking service users.…”