INTRODUCTION:

A bank is financial institution whose primary activity is to act as a payment agent for
customers and to borrow and lend money. It is an institution for receiving, keeping, and
lending money.

An organization, usually a corporation, chartered by a state or federal government, which

does most or all of the following: receives demand deposits and time deposits honours
instruments drawn on them, and pays interest on them; discounts notes, makes loans and
invests in securities; collects checks, drafts, and notes; certifies depositor’s checks; and issues
drafts and cashier's checks.

Banking is business receiving for lending or investment, of deposits of money, from public
repayable on demand or otherwise and which draw able by cheque, draw and order. In
general terms, Banking is the Process of business activity of accepting and safe guarding
money owned by other individual and entities, and then lending out this money in order to
earn a profit.

Banks play very important role in the economic life of the nation. The health of the economy
is closely related to the soundness of its banking system. Although banks create no new
wealth but their borrowing, lending and related activities facilitate the process of production,
distribution, exchange and consumption of wealth. In this way they become very effective
partners in the process of economic development. Today, modern banks are very useful for
the utilization of the resources of the country. The banks remobilizing the savings of the
people for the investment purposes. The savings are encouraged and saving rate increases. If
there would be no banks then a great portion of a capital of the country would remain idle.

A bank as a matter of fact is just like a heart in the economic structure and the Capital
provided by it is like blood in it. As long as blood is in circulation the organs will remain
sound and healthy. If the blood is not supplied to any organ then that part would become
useless. So if the finance is not provided to Agriculture sector or industrial sector, it will be
destroyed. Loan facility provided by banks works as an incentive to the producer to increase
the production.

Bank provides necessary funds for executive program in the process of economic
development. They collect savings of large masses of people scattered throughout the
country, which is the absence of bank world have remained idle and unproductive. These
amounts are collected, pooled together and made available to commerce and industry for
meeting the requirement. This provides finance for successfully carrying on various stages of
production as well as distribution.

Bank stimulate the habit of savings amount people by the security and interest they offer with
these savings which are deposited by people are in position to utilize the deposited amount
more productively. The bank increased the transaction capacity of the customers by
advancing loans when they require for additional funds to finance their expanded program of
transaction. In short, the economic development of a particular country depends on the sound
banking system.

Banking is also important to business because businesses deposit their extra money here. This
way their money is not only safe but also earns interest for them. On the other hand,
businesses can borrow money from banks when they need to invest in business. Apart from
that Banks also act as guarantee giver in case of creditors and suppliers.

Product and Services offers by Bank:

Deposits: A bank accepts deposits from the public. People can deposit their cash balances in
either of the following accounts to their convenience

 Fixed Deposit Account: Cash is deposited in this account for a fixed period. The
depositor gets receipts for the amount deposited. It is called Fixed Deposit Receipt.
The receipt indicates the name of the depositor, amount of deposit, rate of interest and
the period of deposit. This receipt is not transferable. If the depositor stands in need of
the amount before the expiry of fixed period, he can withdraw the same after paying
the discount to the bank.
 Savings Account: This type of deposit suits to those who just want to
keep their small savings in a bank and might need to withdraw them
occasionally. Banks provide ascertain rate of interest on the minimum balance
kept by the depositor during the month.
 Current Account: This type of account is kept by the busi
n e s s m a n w h o a r e required to withdraw money every new and then.
Banks do not pay any interest on this account. Any sum or any number of
withdrawals can be presented by such an account holder.
 Loans Facility: Loans are granted by the banks on securities which can be easily
disposed off in the market. When the bank has satisfied itself regarding the
soundness of the party, a loan is advanced.
 Credit cards: All banks (except the Swiss bank) provide VISA and MasterCard cards
that enable individuals to make payments over the Internet or in shops.
 Mobile Banking: Mobile banking (also known as M-Banking, banking, SMS
banking etc.) is a term used for performing balance checks, account
transactions, payments etc.via a mobile device such as mobile. Mobile
banking today (2007) is most often performed via sms o r t h e Mobile b u t
c a n a l s o u s e s p e c i a l p r o g r a m s c a l l e d clients downloaded to the mobile
device.
 Internet Banking: Online banking (or Internet banking) allows customers
to conduct financial transactions on a secure website operated by their
retail.
 Core Banking System: C o r e B a n k i n g i s a g e n e r a l t e r m u s e d t o
describe the services provided by a group of networked bank
b r a n c h e s . B a n k C u s t o m e r s m a y a c c e s s t h e i r funds and other simple
transactions from any of the member branch offices, etc.

Objectives of the study:-

1. To understand and compare the services provided by ICICI bank.
2. To understand and compare the services provided by SBI bank.
3. To understand about the customers perception towards ICICI bank and SBI bank.
4. To study customers willingness to take market risk.
5. To know the brand and advertisement influence on customers about ICICI bank and
SBI bank.
6. Study the impact of a customer centric approach being followed by the Bank, and
what is its benefit.
7. F i n a l l y t o d r a w t h e v a r i o u s c o n c l u s i o n a n d r e c o m m e n d a t i o n s o n
the basis of the study conducted on specifically
t a k i n g t o consideration the services, advertising and marketing strategies of the
Bank.