Firm BDM is one of Nigerian “new generation banks” established in 1990 the bank evolved and expanded rapidly in the domestic make to attain the universal banking status in 2001. The same year the bank attained the status of universal banking status as a result of policy deregulation in the sector that also allow Nigerian banks to operate foreign subsidiaries. The bank open its first foreign subsidiaries due to the reputable brand status and capability at time in the domestic market the bank was ready to the leap to foreign investment as explained by the bank executives:
Democracy brought with it, an air of “business freedom” that allowed local businesses to explore growth opportunities that hitherto had remained in the shadows… this equally
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It was also the strategic objective of bank to contribute and drive the economic growth of Nigeria to redefine the country’s economic landscape through strengthened of its retail banking services (BDM_g2 December 2015). BDM been in a stronger position in the domestic market in terms of capitalisation and position enable it to leverage on the original single banking licence obtained from the Central Bank of WAEMU in their foreign expansion strategy. The acquisition of this license was particularly a motivating factor for the regional expansion in the WAEMU as the license in addition allows BDM to operate in any of WAEMU member states without to the need to seek country to country banking license in the region. This therefore, was seen as a privilege and opportunity for foreign expansion. The interviewees illustrate the “the motives to invest in Francophone West African were driven to entrench an effective presence in the region and drive financial integration whilst leveraging on the unified regional banking licence (BDM_g3 December …show more content…
Therefore, it was the bank strategic intent to expand more in the WAEMU region in 2010 namely Senegal, Togo and Cote d’Ivoire and subsequently in London 2013. Subsequently, with the successful recapitalisation and consolidation in 2004 and 2005, the bank embarks on rapid domestic expansion and further foreign expansion. As explained by the interviewees:
The role played by the domestic factor in the bank cannot be overemphasised as explains by the interviewees
… Nigeria is a complex market, the demand been placed on banks on a daily basis from customers, from the regulators, from every stakeholder of course we spend over the years to help us improve capacity to expand our businesses beyond the domestic market…I think we have learnt a lot over the years from the domestic market and I think this experience internally has enabled us to approach some of these new markets in an informed manner (BDM_g2 December 2015).
Finally, different factors are attributed to the domestic and international expansion of BDM as discussed above. With favourable economic policy in the domestic market couple with the bank specific ownership advantage in conjunction with the market opportunity available in the region played an important role in the motivation to internationalisation as the
The diversified culture is found in every country. There are different religions, culture and the ethics. Even the languages are different as compared. This makes a business to analyze these factors and consider the future aspects. The socio-cultural factors include the rising population, varied type of people, educational level which we call as literacy rate, norms and values and social responsibility. Literacy in the country is the main factor so that the educational level can be known. Literacy rate is high in the target market country which would be helpful for the company to operate its functions. Social responsibility is been accomplished by the company for the welfare of society. The business responsibility includes the expectations of the society towards a business. The customers, suppliers, stakeholders, government are the people who are benefited by the retail banking in the target
Chet Craig is the Central Plant Manager of the Norris Company. He started as an expediter in the company's eastern plant and was quickly promoted to Production Supervisor in three years. After two years, he was promoted to Assistant to the Manager of the Eastern Plant. Five years later, Chet was transferred to the central plant as an Assistant, and after one month, was promoted to his current position.
...vidual freedoms. We can say that democracy learns from its mistakes and improves, keeping into account the changing times and customs.
Throughout centuries, we as a society have come to realize American history's pros and cons. It has been both optimistic and unconstructive, throughout the late 18th century through the end of WWII. Politicians and business leaders showed us how our societies have eventually come together in the creation of modern society. It has been an extensive and tough struggle from the 1870's horizontal and vertical integration to the 1930s great depression and the ending of World War II. In this essay I will discuss how the government and big businesses impacted and intertwined with one other in the growth of modern society.
Osagie, E., Ph.D. (Presenter). (1999, December 10). Benin in Contemporary Nigeria an Agenda for the 21st Century. Lecture presented at Oba Akenzua Cultural Centre, Benin City, Benin.
The paper presents a detailed discussion on implementation of BIM in a construction project by defining a BIM team in the various phases of construction i.e. from conception to commissioning. Also, the paper presents a brief discussion on processing the information utilizing the i-rooms.
According to the IMF China has the world`s largest purchasing power parity and as by 2015, it was the world’s second largest economy with growth rates averaging about 10% annually. This environment has generated the development of multinational companies which are keen to maximize their economies of scale and economies of scope through expansion and setting up in new countries. In view of that, Sub Saharan Africa which also has some
The early decades of the nineteenth century saw the establishment of banks in the Caribbean largely as a convenience for the local governments. Throughout much of the nineteenth century, most Caribbean banks operated as an oligopoly with limited government influence – this directly translated into higher profits. However, over time, the banking environment could best be described as complex and dynamic. Competition increased, resulting into greater need for improved customer service, product innovation and cost reduction strategies. In order to achieve this, the banking sector was undergoing major structural reforms characterized by mergers and acquisitions. On July 23, 2001 Barclays and CIBC announced that they were in advanced discussions which were intended to lead to the combination of their retail, corporate and offshore banking operations in the Caribbean.
In the late 1870s, the nation experienced a crucial time period known as the Gilded Age. It was a time that brought many economic freedoms to a variety of industries and was seen as the second industrial revolution which catapulted the US into the global arena of mass productions of goods. During this time period, many business empires and ideals were created. Ranging from Carnegie, Rockefeller, J.P Morgan, and Vanderbilt. These famous entrepreneurs became titans of their industries and controlled vast areas of railroads, oil, banking, and steel. The meaning of freedom during this time period was more of industrial freedom and freedom for these business owners to create and expand. This time period transformed the United States from a rural society to an urban society (Lecture 9/4/2013). The companies created opportunities for poor income workers and thei...
The Group is now one of the largest manufacturing conglomerates in sub-Saharan Africa and is pursuing further backward integration alongside an expansion program in existing and new sectors.
Governance of banks crucial for growth and development since banks mobilize and allocate society’s savings. Especially in developing countries, banks can be very important source of external financing for firms.
It is the reason why an African will spend a whopping amount of money and valuable time to process traveling documents before entering a neighboring African nation for business transactions. It is the reason why farmers can’t afford to go through the ineffable rigors of exporting their products and make good living, thereby discouraging agriculture. It is the reason why the industries have been deprived the gains of comparative advantage. It is the wet bucket which has dampened the innovative and zealous spirit of prospective entrepreneurs as they don’t have money to acquire mountainous and most times irrelevant documents required by government before establishing business in the continent. It is the reason for the low level of foreign investment in the continent as a result of uncertainties in business rules and frameworks created by Keynesian politicians who are in dire need of their name in daily tabloids without considering the impact of such policies on entrepreneurs and industrialists. All these accumulate to high rate of unemployment, poverty and underdevelopment in the
Banks sector is playing an important role in economies. The banking industry, as the classic and the most influential of financial intermediaries, facilitates economic operations. Financial sector in the worldwide country has been changes over these years by looking the changes of financial structure environment and economic conditions. Thus, banks are a very important point to financial system and play an important role as control and contribute growth to the economic sector.
This is followed in section 5 by an analysis of the recent changes in the banking industry. With the development of the financial system, declining entry barriers and the deregulation of the banking industry make banks no longer the monopoly suppliers of banking services and reduce their comparative advantages which they usually hold in the past. Whether the reasons give rise to the existence of banks are still powerful will be examined here, while section 6 offers a way of considering whether banks are declining by looking at the value added by the banks. When the value added by banks is examined, banks are not a financial intermediation, which not only conduct the traditional services but also provide more diversified
Mobile banking is seen as the most effective and cost efficient way of expanding the customer base of the banking industry to include the poor and even those in hinterlands (USAID, 2009). Most banks in Ghana now transact business with clients through their mobile phones (Obuobi, 2012). As at October 2014, there were 30219162 mobile phone subscribers in Ghana according to the National Communication Authority (NCA). Due to 100% mobile phone penetration in Ghana, mobile banking will make banking services accessible to most people. Most Ghanaians especially Small and Medium Scale Enterprises (SMEs) owners like to do business with non-banking financial institutions such as microfinance and savings and loans companies through the daily deposits system call susu (Akers,