This researcher will Identify and describe the key environmental forces that have immediate strategic implications for Capital One. Identify and describe the capabilities and weaknesses within Capital One that have immediate strategic implications. Define Capital One's business-level and corporate-level strategies and evaluate each for their potential for continued success. Evaluate the strategic fit of Capital One's recent acquisitions. Describe the key strategic issues raised by the company's acquisition strategy. Assess Capital One's international position.
Identify and describe the key environmental forces that have immediate strategic implications for Capital One.
Capital One Corporation is a Bank holding company. Capital One provides a wide array of financial services to the consumers. Capital One offers consumer and commercial Lending, consumer deposit products and Capital One Auto finance(Hitt, 2009). Since going public in 1994, Capital One has aggressively increased there market foot print in the global arena. Capital One has diversified its portfolio by adding mortgage, home equity loan, automobile financing and many other specialize consumer lending products. Capital One is well known for its customized credit cards. This was done with the support of its Information –Based strategy (Hitt, 2009). The system utilize sophisticated data mining techniques to match it credit cards with the targeted customers based on their credit scores. The IBS system would then divide the consumer into three categories depending on their FICO scores. The groups are super-prime (excellent credit history), prime (average credit history) and finally sub –prime (poor credit history).
Capital One use this system aggressively in on boardi...
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...ortfolio offers diverse products and services to both domestic and international customers. “The international sub-segment consists of U.K. and Canada credit card lending, extending Capital One’s national scale lending Franchise and providing geographic diversification (Hitt, 2009). Capital One is dominant in the United Kingdom, where they are the seventh largest credit card issuer and among the top ten of the same in Canada (Hitt, 2009). Capital One international portfolio has
grown and increased in value over the past years. In 2005 Capital One acquire a British equity brokerage firm called Hfs Group to strengthen its position in the United Kingdom (Hitt, 2009). The international firm competes with national and state banks for deposits and commercial loans. The firm is currently not expanding but will when they find a market that shows growth opportunities
With forward movement in society, it is important to consider not just what will propel most toward success, but also what will help to sustain the environment along the way. What may have been considered appropriate decades ago, may no longer be socially acceptable due to the changes observed in both the business world and the environment (Fiske, 2010). Therefore, it is important for organizations thriving in today?s economy to consider how they may capitalize most effectively from their product or service of choice while minimizing or eliminating any damages along the way (Knoke, 2012).
Overview of the organizations financial performance and its ability to invest in establishing a new unit will enable the ...
In addition, a number of years ago owning a gold American Express card was a status symbol, however today people are less inclined to try to impress others by owning a certain type of credit card. So people go with the best rate they can find and the one that gives them the most monthly credit. Because major competitors are starting to offer the same type of special services that American Express is known for, is can pose a risk on the company’s future growth. Therefore, I find the future of American Express very interesting because in order to compete against the companies who control most of the market share, American Express will have to keep innovating and differentiating their products and services.
• Assessing the external threats that affect the McDonald’s Corporation and the opportunities that are available to the corporation. Providing my opinions on how this corporation should deal with the most serious threat and greatest opportunity.
As higher investors generally expect higher returns for a more leveraged firm (Arnold 2013 p 697) there would appear to be very little scope for the RM to increase its debt capital unless it can convince investors profits are likely to profit significantly. Unfortunately the annual report does not suggest such growth is likely short term, due to increased parcel competition and falling letter sales (RM 2015).
The report will give an overview of each company, an explanation of what type of companies we are analyzing, the purpose of each company in terms of its goals and objectives, the products and services each company produces, and what future prospects we see these companies having. The reader should gain an understanding of each company as well. We also analyze the type of industry these companies are competing in. This will help us understand where each company fits in the marketplace. This is important because it places the two companies into a broader picture. The most important part of the financial report is the financial statement analysis. In this, the annual report of each company was analyzed. It studies the firms’ past earnings to understand their operating performances. It also forecasts future profitability and risk (short-term and long term). The financial statements give information on how these risks affect expected return. In the end, the reader will have an understanding of the two companies, the industry in which they operate, its financial standing in the past and present, and future profitability.
Moody's Analytics, 2011. An Introduction to TTC Public Firm EDF Credit Measures, s.l.: Moody's .
This paper will discuss the five environmental factors that influence global and domestic marketing decisions that organizations must make. These five environmental factors are technology, demographics, government, culture and economics. Companies are affected differently by these factors depending on the industry they are in and the size of the organization. I will be using the Washington Plaza Hotel to illustrate how these environmental factors affect the hotel industry's marketing decisions. The Washington Plaza Hotel is a hospitality business located in Washington, DC. They offer services such as lodging, restaurant, bar, catering and meeting space rental. The Washington Plaza Hotel's major customer base is government, tourist, non-profit organizations, local businesses and some corporate clientele. Let's now take a look at how these environmental factors affect the marketing of the hotel.
...he black in financial statements, they need to work on their strategic plans and controls. They need to deal with their mortgages more ethically and more responsibly. Instead of owning the ignorance of their own customers, they should be more communicative towards them. This will also save them a lot of money on lawsuits and attorney fees. My other opinion as well is that they need to continue in whatever they are doing to be innovative. As history has shown, they are innovative from the beginning. Since they have opened in the 19th century, Wells Fargo has been open to new ways to make business. For example, Wells Fargo has started with a simple mission as delivering new services such as the pony express to now with online banking and mobile deposits. In the next chapter of this capstone research paper, we will discuss recommendations for Wells Fargo stay on top.
Important factors of a company’s outlook are its financial strength and weaknesses. These factors can be evaluated by reviewing the firm’s financial statements and using ratios to help measure a company’s liquidity, leverage, activity, profitability, and growth. Financial ratios are computed by using the information found in a company’s financial statements: primarily income statement and balance sheet. The calculations from the current year, previous years, and other companies in the industry are used as a basis to identify and ev...
You would not buy a home, car or other large purchases without researching what product offered you the most for your money. The same is true when investing in a company. Investors do avid research on multiple companies to find what company matches the investors' criteria. In this paper Team C will research both AT&T and Verizon's financial documents. Team C will compare selected ratios, cash flow and make recommendations how both companies can manage cash flow for the future.
The intent of this paper is to perform an analysis of the cable industry's external environment. The first sections of the document will discuss environmental scanning and define the telecommunication niche that is currently occupied by cable operators such as Comcast. The next section will identify the macroeconomic variables that currently impact cable operators and will compare two variables to two corresponding industry variables. The final section of the paper will identify some of the challenges and opportunities facing the industry. An external analysis of the industry will provide a clear picture of the environment as well as any opportunities and threats faced by Comcast. By understanding the environment, opportunities and threats a company has the ability to create strategies to support its business goals. The primary process by which Comcast will gain an understanding of its external environment is environmental scanning.
This paper will analyze the mission and vision statements of JPMorgan Chase & Co against the performance of the organization. An evaluation of how well the company lives out its mission and vision statement will be provided. The organization’s strategic goals link to the company’s mission and vision will be assessed. An analysis of the company’s financial performance to determine the link between the company’s strategic goals, strategy, and its financial performance. A competitive and marketing analysis of JPMorgan Chase & Co will be conducted to determine its strengths and opportunities.
First you need to identify the organization’s internal and external resources, organization’s strengths and weaknesses as compared to its competitors and the opportunities it has for better utilization of resources.
My long term career goal is to found my own financial company that specializes in applying advanced analytics tools to solve complex financial problems. Having worked as a financial analytics analyst for more than 6 months at Enova Financial, a Chicago-based consumer online financing company, my passion towards financial analytics is reinforced. Ranging from basic data query and reporting to predictive modeling and optimization, data analytics has assumed a more important role in today’s financial services industry. Mastering data analytics could help financial institutions acquire the relevant information in the shortest amount of time and make the informed decisions thereafter. Since personal loan industry is only the niche of financial services, I would like to broaden my horizon of the financial knowledge by gaining a deeper understanding of its principle and its application in order to achieve my loan term goal. Entering a full-time master in finance program, as such, becomes the best option for me.