Swot Analysis Of Barclays

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in Asia and Africa, the returns would be improved, and market presence increased in line with the strategic plan to stay close to its customers. To enhance citizenship, the firm formed the Board Citizenship committee to oversee the implementation of better citizenship practises. The board was tasked with identifying new ways of maintaining stable and stable relationships with corporate and individual customers. In addition, the 2011 strategy aimed was to reduce uncertainty associated with the introduction of new base rates (Barclays Plc, 2010, p. 16). The implementation of new base rates was a regulatory requirement in the sector. To keep hold of capital, the board would also have a high focus on capital level, leverage on balance sheet growth…show more content…
In this paper we are going to concentrate on techniques that focus on the environment around which Barclays operates, the competitors and the strengths/weaknesses of the enterprise. The methods used will, therefore, be SWOT analysis, Porters Five analysis, and PEST analysis (Warner, 2010, pp. 28-168). PEST Analysis Changes in the market can either be autonomous in that Barclays cannot control them or variable where Barclays can control their scope. PEST analysis is an environmental analysis technique. It takes into account the main external factors affecting a business. These factors are politics, technology, economic environment and socio-cultural factors. Barclays Plc is an international enterprise. The political environment is, therefore, a very big factor in its strategic development process. In this current year, 2014, many governments have been changing their banking policies to cushion their citizens against the high inflation seen over the last five years. Governments have also raised capital base requirements for financial institutions. The fall in interest rates has reduced the financial institutions interest spread reducing interest…show more content…
Porter’s model sets to identify where a firm may get power or influence in the market to gain competitive advantage. Competition in the market is rife. Institutions have restructured to position themselves for profit making. Many of them resulting to core business areas like seen in Barclays’ gradual plan of closure of its investment banking segment. According to Barclays CEO, Antony Jenkins, in this year’s report summary said that they will operate in areas where they have scope, competitive advantage and capability (Wilson, 2014). With many institutions offering the same product, competition for Barclays in the current year is high. Another determinant of competition is customer power. The financial market is expanding and with Barclays’ Go-To bank approach, the number of clients may increase if they work on their service delivery and packaging of their products. In the light of similar products, the threat of substitution is high as more firms develop unique products to serve the same purpose at lower costs. New entries will also increase competition since the financial and banking markets are lucrative, and their potential continues to

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