Banks Reaching out to Ethnic Entrepreneurs

By Oppenheim, Sara | American Banker, February 10, 1997 | Go to article overview

Banks Reaching out to Ethnic Entrepreneurs


Oppenheim, Sara, American Banker


Peter Boland's business development efforts don't usually entail golf outings, Rotary Club lunches, or chamber of commerce dinners.

Instead, the Marine Midland Bank executive is more likely to spend his time dining on curries and rice pilafs to the strains of sitar music with Indian entrepreneurs in suits and saris.

Last November, Mr. Boland threw a two-week series of Hindu New Year parties throughout New York State to build ties to Indian-owned businesses, especially import-export firms.

"It's a great way of making a statement to the community," said Mr. Boland, a senior vice president in charge of trade finance for the Buffalo- based bank.

Increasingly, multi-national banks, such as Marine Midland's London-based parent, HSBC Group, and Union Bank of California's parent, Bank of Tokyo-Mitsubishi, are offering specialized trade services for ethnic small businesses in the United States.

And though their U.S. subsidiaries largely have the image of mainstream banks, their growing focus on ethnic and immigrant businesspeople is a recognition of the changing face of the country's small businesses.

More than half the American population will be nonwhite by the year 2050, according to U.S. Census Bureau projections.

The number of businesses owned by Asian-Americans increased 56% nationwide between 1987 and 1992-to 591,839-according to the most recent Census Bureau figures.

That means traditional lenders accustomed to doing business at the club will be forced to learn a new means of cultivating customer relationships.

Since Marine Midland formed its Asian business unit three years ago, the bank "cherry-picked" 85 of the largest Indian-owned import-export businesses away from other New York banks, Mr. Boland said. The bank has $225 million in used and unused lines of credit to Asian-owned businesses, he said.

Now the bank will promote its trade finance services to smaller Indian- owned businesses with annual sales ranging from $5 million to $10 million, Mr. Boland said.

The bank offers credit lines, letters of credit, document collection, and foreign exchange services; guarantees release of cargo; and provides credit information on potential trade partners.

"Indians are fantastic traders," Mr. Boland said "They are typically very frugal, high net-worth individuals, probably the most demanding customers a bank could ever get."

Mr. Boland said the bank promotes its services tailored to Indian, Pakistani, and Sri Lankan business owners at community cultural events and through groups like the Association of Indians in America. …

The rest of this article is only available to active members of Questia

Sign up now for a free, 1-day trial and receive full access to:

  • Questia's entire collection
  • Automatic bibliography creation
  • More helpful research tools like notes, citations, and highlights
  • Ad-free environment

Already a member? Log in now.

Notes for this article

Add a new note
If you are trying to select text to create highlights or citations, remember that you must now click or tap on the first word, and then click or tap on the last word.
One moment ...
Default project is now your active project.
Project items

Items saved from this article

This article has been saved
Highlights (0)
Some of your highlights are legacy items.

Highlights saved before July 30, 2012 will not be displayed on their respective source pages.

You can easily re-create the highlights by opening the book page or article, selecting the text, and clicking “Highlight.”

Citations (0)
Some of your citations are legacy items.

Any citation created before July 30, 2012 will labeled as a “Cited page.” New citations will be saved as cited passages, pages or articles.

We also added the ability to view new citations from your projects or the book or article where you created them.

Notes (0)
Bookmarks (0)

You have no saved items from this article

Project items include:
  • Saved book/article
  • Highlights
  • Quotes/citations
  • Notes
  • Bookmarks
Notes
Cite this article

Cited article

Style
Citations are available only to our active members.
Sign up now to cite pages or passages in MLA, APA and Chicago citation styles.

(Einhorn, 1992, p. 25)

(Einhorn 25)

1

1. Lois J. Einhorn, Abraham Lincoln, the Orator: Penetrating the Lincoln Legend (Westport, CT: Greenwood Press, 1992), 25, http://www.questia.com/read/27419298.

Cited article

Banks Reaching out to Ethnic Entrepreneurs
Settings

Settings

Typeface
Text size Smaller Larger Reset View mode
Search within

Search within this article

Look up

Look up a word

  • Dictionary
  • Thesaurus
Please submit a word or phrase above.
Print this page

Print this page

Why can't I print more than one page at a time?

Full screen

matching results for page

Cited passage

Style
Citations are available only to our active members.
Sign up now to cite pages or passages in MLA, APA and Chicago citation styles.

"Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn, 1992, p. 25).

"Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn 25)

"Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences."1

1. Lois J. Einhorn, Abraham Lincoln, the Orator: Penetrating the Lincoln Legend (Westport, CT: Greenwood Press, 1992), 25, http://www.questia.com/read/27419298.

Cited passage

Welcome to the new Questia Reader

The Questia Reader has been updated to provide you with an even better online reading experience.  It is now 100% Responsive, which means you can read our books and articles on any sized device you wish.  All of your favorite tools like notes, highlights, and citations are still here, but the way you select text has been updated to be easier to use, especially on touchscreen devices.  Here's how:

1. Click or tap the first word you want to select.
2. Click or tap the last word you want to select.

OK, got it!

Thanks for trying Questia!

Please continue trying out our research tools, but please note, full functionality is available only to our active members.

Your work will be lost once you leave this Web page.

For full access in an ad-free environment, sign up now for a FREE, 1-day trial.

Already a member? Log in now.