"Bankers for some unknown reason are the only group who feel they can make a call without an appointment" — from an interview with a top business executive
What does Business think of Banks?
—Why does it borrow from one bank rather than another?
—When does Business prefer a small bank? When a large bank?
—How important is bank advertising?
—Do easy credit terms make a bank more popular?
Here are the answers given by top executives to these and many other questions, analyzed by a man internationally known for his work on consumer behavior. George Katona and his research team on the basis of hundreds of interviews throughout the nation show the true picture of current business practices: the important part inertia, family interests, and loyalty play in financial decisions; the real effect on borrowing of raising or lowering interest rates; the often subordinated role the vice presidents in charge of finance have with regard to a decision to borrow. Illustrating his points with numerous quotations, Dr. Katona tells precisely what business firms do and why: how they distribute their deposits, how many banking connections they maintain, what their policy is with regard to investment of short-term funds, how often they borrow, why they borrow. Banking practices as well as the theory of usiness behavior are seen in a new light in this significant study of how Business looks at Banks.