Abstract:In order to shed light on the relationship between spatial heterogeneity of micro locational factors and financial specialization in urban areas. A unified spatial database has been created based on integrating bank mesh point and relevant social & economical dataset through GIS and ESDA. Grid computation has been applied on the DB and a BP neural network model was constructed for simulating the spatial effectiveness of those micro locational factors which impact the clustering of those points. As stated within this paper, most of the bank mesh points are located in the central area enclosed by the outer ring, especially within the inner ring road, where exists the traditional CBD of Shanghai. And the distribution shows a trend of cluster varied according to the spatial lag at the global scale. To explain the formation of the spatial distribution of banking industry in Shanghai, we must take into account the history legacy, the state intervention and urban planning, the market forces etc.