JP Morgan Chase & Co. was formed in 2000 by the merger of JP Morgan & Co and Chase Manhattan Corporation (JP Morgan Chase, 2007). This merger created a new playing field for the corporation. JP Morgan Chase & Co. now has over $2 trillion dollars in assets and is a leader in the banking and investment industry.
JP Morgan Chase has since merged with other financial institutions and simply monopolized the industry. They are recognized as one of the big four banks alongside Citigroup, Bank of America and Wells Fargo (JP Morgan Chase, 2007). The corporation provides services to customers in many different countries and services include: Asset management, investment banking, commercial banking, private banking, securities services and treasury services (Businesses, 2010).
JP Morgan Chase faces obstacles in the days ahead due to the previous mergers with the company and the current economic conditions. The company has taken over many smaller banking institutions in the last 10 years. These companies did not illustrate successful strategic management; therefore, they were forced to sell out. The effects of the poor decision making in these mergers will result in problems for JP Morgan Chase.
Chase Manhattan as well as the other mergers brought negativity with them to JP Morgan. Chase was known for dishonesty and fraud toward the end of their reign. The Inner City Press released letters exposing the fraud and dishonesty of Chase Bank (The JP Morgan Chase Watch, 2000). It is important for JP Morgan Chase to be aware of the unethical and non professional behavior of their mergers. As JP Morgan Chase continues to merge and grow in the banking industry they will encounter more dissatisfied customers from the merger.
JP Morgan Chase’s Chairman and CEO, Jamie Dimon, expresses the corporation’s aim as, “Our aim is to be the world’s most trusted and respected financial services institution.” This is the mission of the company and also...