Research Article

Competition, Innovation, Risk-Taking, and Profitability in the Chinese Banking Sector: An Empirical Analysis Based on Structural Equation Modeling

Figure 4

The path coefficients of variables. The exogenous latent variable, competition, is measured by the observed variables (CR4, HHI, and Boone index). The endogenous latent variables are innovation (measured by CE and TGR), risk-taking (measured by -score, NPL, and RWA) and profitability (measured by ROA, ROE, and NIM).