The business model developed in this environment at the time was based on long-term, stable business relationships and put emphasis on mass production and the sale of low-priced, high-quality products for the domestic market and advanced economies.
Indian banking sector is no stranger to the phenomenon of mergers and acquisition across the banks. Since 1961 till date, under the provisions of the Banking Regulation Act, 1949, there have been as many as 77 bank amalgamations in the Indian banking system, of which 46 amalgamations took place before nationalisation of banks in 1969 while remaining 31 occurred in the post-nationalisation era.