Today with the blessings of tremendous development in the communication technology, relationship and interdependence among the countries have been growing rapidly which signifies globalization as an ongoing process. Globalization helps the international business- that is engaging in cross border expansion of sales, acquiring resources and diversifying risk.
Factor that benefiting the foreign banks in Bangladesh:
Bangladesh is a developing country with a huge population. From the beginning of Bangladesh as an independent country it has been a desiring place for doing business for business organizations operating globally. This circumstance is existed in banking and other financial service sectors. There are some factors that benefitting the foreign banks operating in Bangladesh. 1. Extended sales in an enormously populated country with a low competition: Bangladesh is a country with a large population, so this place is a big market for the banks in a single boundary with a simple set of legislations. So the foreign banks operating in Bangladesh can serve a large group of customers with a single marketing policy. As now a day the business transactions are taken place through banks and house hold savings are kept in banks so the foreign banks do not have to be concerned about the demand. The local banks can not give a big competition as well. 2. Minimizing risk:
As usual the multinational banks like other multinational corporations minimize risk by operating in Bangladesh. That means if the banking sector collapses in a country the multinational banks will not loose everything and it is a risk diversifying method. 3. Acquiring resources:
The foreign banks operating in Bangladesh can acquire Bangladeshi capitals, information and human resources easily. The local expertise is keen to work in MLCs. So the foreign banks can acquire the local human resources easily at a very cheap rate compare to the global condition. Having the benefits in Bangladesh 10...
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