Personal evaluation of Asian Bank's corporate strategy
Date of Publication
1999
Document Type
Oral Comprehensive Exam
Degree Name
Master of Business Administration
Subject Categories
Business Administration, Management, and Operations
College
Ramon V. Del Rosario College of Business
Department/Unit
Decision Sciences and Innovation
Abstract/Summary
The deregulation of the commercial banking industry has ushered in a period of heightened competition that left many banks competing for a limited market pie. Only banks which are the fittest and most prepared will survive. It is imperative therefore that a bank such as Asian Bank lead a continuous process of revising and reformulating its strategies to remain competitive and successful in a changing competitive environment. As an Asian Banker and strategist, it is in my best interest to know-what is the current strategy of Asian Bank? What are its strengths and weaknesses? What is its perceived industry and what are the threats and opportunities? What new capabilities must be created?
My findings indicate that Asian Bank, a universal bank, perceives its industry to be the commercial banking industry. Its strategies are built around and centrally focused on the customer where it aims to serve and satisfy the wholesale market, its target market, by building capability through exploiting information technology, possibility of foreign tie-up and expansion of branch networks, innovation and product development, and providing strategies service and customer satisfaction.
The test of a winning strategy lies in looking at the companys internal and external situation. Initial evaluation of the banks current strategy using the concept Strategy must match the Company Situation reveal that there is strategic fit between the banks current strategies to its situation.
The banks organization structure was likewise evaluated on the basis that Structure follows Strategy. The banks organizational structure is deemed to be inadequate to provide for the full benefits of synergy and teamwork so required in coordinated activities.
On the basis of current conditions, the banks strategies are well prepared to address the current conditions affecting the industry namely Globalization, Economic Turbulence, Intense Competition, Increasing Customer Sophistication and Emphasis on Information Technology.
However, on the basis of Likely Economic and Market Developments, Asian Banks strategies are likely to be inadequate in coping and responding to future banking trends of Branches Banking, change in the future role of banks, and the shrinking market pie in the wholesale market.
I have therefore recommended that Asian Bank rethink its branch expansion strategy using more non-traditional channels, consider entering the retail market, going international, modify organizational structure by introducing the matrix structure to certain parts of the organization, to emphasize de[posit market share growth, analytical skill training of key personnel in the branches and, lastly people empowerment.
Abstract Format
html
Language
English
Format
Accession Number
OCE0158
Shelf Location
Archives, The Learning Commons, 12F Henry Sy Sr. Hall
Physical Description
60 leaves ; 28 cm.
Recommended Citation
Ong, C. O. (1999). Personal evaluation of Asian Bank's corporate strategy. Retrieved from https://animorepository.dlsu.edu.ph/etd_masteral/2216
