Eastern Bank Limited (EBL)
Eastern Bank Limited (EBL) an old and one of the famous private commercial bank operating in Bangladesh and have a lot of branch thought the country. EBL had only one branch operating in Khulna District. Khulna was the center of all the business activities specially most of the shrimp culture. It also engaged to collect deposits, extending loans for different purpose and financing international transaction.
1. according to rules of (BB) 50% total value of L/C was paid at the limit of L/C open by the company. 2. Khulna branch violate the approval of head office about the lone renewal application of food importer lnc. 3. VP of EBL(Khulna branch) decided to block the loan account of the company.
Khulna branch pay no attention to the command of the head office.
Mr. Chowdury the VP of the bank not interest to take risk about loan renewal application from Muhammad Rahman on behalf of food importer ink. hough the company is the more successful industry in khulna. In that case the Head office decided to give special facilities to this customer. That’s why they collect approval from Bangladesh Bank to reduce margin requirement for this customer.
In here , internal conflict has to be create between VP of khulna Branch and Head office of EBL. Because he decided to block the loan account of the company to tk.1.8million from tk.15million loan limits for the company.
1. Risk seeking strategy
3. Prospector strategy