HSBC Holding PLC (British) is amongst the market leaders both locally and internationally in the banking industry. Its head office is located in London’s Canary Wharf - HSBC tower. It was established by Thomas Sutherland in 1865 (HSBC Sustainability Report 2011). The essay presents information regarding the company’s market environment specifically, the SWOT and Porter’s analysis.
1.1. Timeline Figure 2: HSBC’s Timeline from the origin to 2013
Introduction
The bank has survived the booms and depressions in the financial markets. It has a presence in over 87 countries globally. It is organized into four corporate groups; Global banking and Markets, Retail Banking, Commercial Banking and Wealth Management; as well as, Global Private Banking (HSBC Sustainability Report 2011). It also has a double primary listing at both the London and Hong Kong Stock Exchange and it is a component of the FTSE 100 Index. To establish its global position and market value, it is worth establishing the external factors affecting its profitability using Porter’s 5 Forces as well its internal factors using the SWOT analysis.
SWOT Analysis
The SWOT analysis of HSBC Holdings presents considerable strategic intelligence on: its strength, weaknesses, opportunities, and threats (Pickton & Wright 1998).
Strengths
Weaknesses
• Strong brand name and good financial position
• Diverse customer base decreases risk
• Employs over 275,000 people globally
• Present in various business portfolios.
• The
The diversification lowered the overall risk of the firm and created an information network among the divisions, which was critical for the company to gain competitive advantage. The loyal customer base was another strength. The $60 billion assets that under the company’s management provided the company a positive brand image and made it easier for the company to attract new customers. Weakness:
It is widely recognized by the customers for introducing a variety of innovative and high-quality products to the market while the competitors could not do the same. “During this period of time, the company grew at a very fast rate and expanded its market to Europe, Asia, and Latin America” (dynacorp case study). However, Dynacorp’s glory did not last long. The company started to face many problems while its competitors began to close the technology gap and gained back the
I. Strengths of TARGET Corporation Target Corporation is one of the largest and oldest public discount retailing company operate in the United States. The company founded in 1902’s by George Dayton (as also known as Dayton Dry Goods in 1962’s). Target store has a huge store footprint and enjoys considerable brand recognition. Target’s portfolio of owned and exclusive brands is also its strength, which allow retailer to a valuable differentiating lover in high competitive retail environment.
In this highly competitive world, money is one of the most significant factors for people to survive because people use money to satisfy their desires such as clothes, food, and medicines. A company will gain profit from the amount of money that people used, but only profit cannot make company to be sustainable. Hence, every corporation should be concerned about the triple bottom lines which can lead company to be sustainable. The Triple Bottom line or TBL was created by the founder of British consultancy called sustainability, John Elkington since 1994 (economist, 2009). The triple bottom line is separately in three categories, including profit, planet, and people.
This time, the startup was caught in a dilemma of capitalizing on marketing strategies or fine-tuning the product offering before scaling. This could be attributed to the
And achieve as a result, the growth for its brand, market share, and sales
Strengths Weaknesses • Over a century of experience an innovation of the traditional film based imaging industry • Well known household name for over a century • Large international presence
Has different type of stores which service different type of customers 7. Upgraded stores every 5 years rather than 7 Weakness: 1.Weak IT infrastructure 2. Operates only in Canada 3.Has too many banners under its brand name Opportunities: 1.Food industry has been growing at a constant rate. 2.
• Rivals face high exit barriers Very High Potential Entrant Pressure • High entry barriers • Strong product differentiation • Menus change constantly with
Strategic Tools SWOT analysis SWOT analysis is an evaluation of the Strengths and Weaknesses and Opportunities and Threat of the business in connection to the internal and environmental elements influencing an element so as to build up its condition prior to the preparation of a long term plan (Tim Berry, n.d.). It is an effective way to recognizing the strengths and weaknesses of the company and analyzing the opportunities that available for the company and the threats that the company confront. Existing organization can know what they need to change and respond through using SWOT analysis and new organization could use SWOT analysis to investigate the existing business world and think what the new organization could do to compete with the
• Highly profitable business. • Robustly developed sales and distribution network. Weaknesses • Heavy investment in R&D. • High marketing and communication costs. • There are cities in where they are not present yet (like Montrose).
This paper will be discussing CIBC FirstCaribbean International Bank organisational strategy to ascertain which theories impacts the
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SWOT Analysis SWOT analysis is a tool that helps in assessing the Strengths, Weaknesses, Opportunities, and Threats involved in any commercial business. An individual or firm look at the strengths and weaknesses which are in relation to the internal operations of the business and can be controlled by the firm, whereas the opportunities and threats are facets which are exterior to the business and not controlled by them (Kerzner, 2015). A detailed SWOT analysis of our new product, The World of Monopoly, introduced by the organization is as follows: Strengths • The World of Monopoly theme park and resort will be strategically located on Sheikh Zayed Road just after the ever-popular Ibn Battuta Mall, the theme park will also become the
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