Abstract
The banking industries of Britain and Germany have for many years maintained distinct traditions with regard to lending to industry. British banks have viewed firms as customers, lending to them on a short-term basis. German banks, by contrast, have viewed firms as partners, lending to them for long periods of years, building up associations, often having representatives on the firms’ boards. This has, in turn, encouraged banks to take a long-term view of ‘industry’s’ long-term plans, to the mutual benefit of both banking and manufacturing. So, at least, the story goes.
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