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Cost of small business banking: a New Zealand study

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  • Stuart Locke
  • Zachariah Boulanaour

Abstract

The research reported in this article develops a model for assessing the cost of banking services faced by small businesses. The lack of price competition in the provision of small business banking services combined with limited transparency concerning actual fee levels prevents small businesses from readily estimating likely fee levels. Prior research and government reports note the difficulties faced by small business in relation to banking services and this research contributes to an understanding of the potential dead weight losses incurred resulting from poor signalling and information asymmetry and potentially a deficient public policy framework. Copyright Springer-Verlag 2009

Suggested Citation

  • Stuart Locke & Zachariah Boulanaour, 2009. "Cost of small business banking: a New Zealand study," Service Business, Springer;Pan-Pacific Business Association, vol. 3(3), pages 211-227, September.
    • Handle: RePEc:spr:svcbiz:v:3:y:2009:i:3:p:211-227
    DOI: 10.1007/s11628-008-0057-z
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    References listed on IDEAS

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    1. Charles Adusei & Isaac Tweneboah-Koduah, 2020. "Small enterprises and banking in rural Ghana: Evidence from owners," International Journal of Research in Business and Social Science (2147-4478), Center for the Strategic Studies in Business and Finance, vol. 9(3), pages 175-181, April.

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