لخّصلي

some potential findings that researchers might uncover when investigating the relationship between bank size and profitability in the Jordanian banking sector:

Economies of Scale: Larger banks may demonstrate higher profitability due to economies of scale, as they can spread fixed costs over a larger asset base.Market Power: Larger banks may leverage their market power to negotiate better terms with borrowers and attract more deposits at lower costs, resulting in higher net interest margins (NIM) and overall profitability.Technological Innovation: Larger banks may invest more in technology and innovation, leading to operational efficiencies, improved customer service, and new revenue streams.Diversification Benefits: Banks with more diversified portfolios may experience more stable earnings and lower volatility, potentially leading to higher profitability.Regulatory Effects: Regulatory requirements and compliance costs may disproportionately affect larger banks, potentially reducing their profitability.Conversely, larger banks may have the resources to navigate regulatory challenges more effectively, mitigating the impact on profitability.

some potential findings that researchers might uncover when investigating the relationship between bank size and profitability in the Jordanian banking sector:

Economies of Scale: Larger banks may demonstrate higher profitability due to economies of scale, as they can spread fixed costs over a larger asset base. This could manifest in higher return on assets (ROA) and return on equity (ROE) for larger banks compared to smaller ones.

Diversification Benefits: Banks with more diversified portfolios may experience more stable earnings and lower volatility, potentially leading to higher profitability. This could be particularly relevant for larger banks with the capacity to diversify across various sectors and regions.

Market Power: Larger banks may leverage their market power to negotiate better terms with borrowers and attract more deposits at lower costs, resulting in higher net interest margins (NIM) and overall profitability.

Regulatory Effects: Regulatory requirements and compliance costs may disproportionately affect larger banks, potentially reducing their profitability. Conversely, larger banks may have the resources to navigate regulatory challenges more effectively, mitigating the impact on profitability.

Technological Innovation: Larger banks may invest more in technology and innovation, leading to operational efficiencies, improved customer service, and new revenue streams. This could positively impact profitability by reducing costs and attracting more customers.

Competition Dynamics: Competitive pressures within the Jordanian banking sector may influence the relationship between bank size and profitability. Smaller banks may excel in niche markets or customer segments, leading to comparable or even higher profitability relative to larger banks.

Macroeconomic Factors: Macroeconomic conditions and industry-specific factors in Jordan may also affect the relationship between bank size and profitability. Economic growth, interest rate environments, and regulatory changes could all influence profitability outcomes