Revision with unchanged content. The German banking sector is in a transition phase that it has never faced before. It was settled and the market was divided under the different institutes. The German banking system is still based on the principle of the three pillars. Due to different banking laws which didn't allow a consolidation of the home market in the past the German banks were missing larger economies of scale and scope. As the market conditions changed due to new markets, economical changes, new international and national regulations and also demographical changes the pressure on the German banks grew tremendously. New banking institutes entered the market which had better boundary conditions in their home markets to grow and were now able to put pressure on the German banking market. The author Sven Redenbach analyzes the difficult situation in the German banking sector and shows the limiting factors for growth. Building on this he shows how the future trends German banks...

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