A Strategic management paper on ORIX-METRO Leasing and Finance Corporation
Date of Publication
2005
Document Type
Oral Comprehensive Exam
Degree Name
Master of Business Administration
College
Ramon V. Del Rosario College of Business
Department/Unit
Decision Sciences and Innovation
Abstract/Summary
Orix-Metro Leasing and Finance Corporation belongs to the financial services industry which aims to provide alternative modes of financing to private corporations and individuals. The industry is characterized by intense competition due to price cuts and need for service differentiation. Barriers to entry are said to be high due to restrictions in capital requirements. Buyers bargaining power would mainly be dependent on its size. Multinational companies would tend to have more power to dictate prices. It contrast, higher profit margins can derived from smaller companies and financing companies have the upper hand in setting prices.
The companys vision is to be one of the most admired finance company in the country. In the years 2005-2007, Orix-Metros strategic objectives include product innovation thru faster and personalized services, maintaining a quality portfolio thorough credit evaluation and human resource development. On the other hand, financial objectives involve maintaining average spreads of 6.4% with new bookings of P2.64BB for 2005 and achieving 20% volume growth year after year.
In order to realize these objectives, Orix-Metro would adopt the focus strategy, placing emphasis on serving a specific target market not served by its competitors. Proposed strategies are as follows:
Maximize earnings by increasing business volume from small and medium corporate accounts.
Provide clients with fast and reliable service in terms of credit approval turnaround time and after sales servicing.
Continuous improvements of its human resource to develop necessary knowledge and skills needed in achieving the companys objectives.
Implementation of the proposed strategies was explained using the 7-S Framework and 8-Strategy Implementing Tasks. Meanwhile, sensitivity analysis was made under best, normal, and worst case scenarios taking into account changes in booking volume and interest costs.
Abstract Format
html
Language
English
Format
Accession Number
OCE1166
Shelf Location
Archives, The Learning Commons, 12F Henry Sy Sr. Hall
Physical Description
44, 8 unnumbered leaves ; 28 cm.
Recommended Citation
Ko, M. C. (2005). A Strategic management paper on ORIX-METRO Leasing and Finance Corporation. Retrieved from https://animorepository.dlsu.edu.ph/etd_masteral/4484