SWOT Analysis of American Express vs. China
American Express vs China
John Doe
MGT521/ Management
8/10/15
Unknown
American Express vs China
American express has developed a strategic plan to create new business in China and an operational plan to hire highly talented executives in China as well. We will discuss the following; The SWOT analysis, how these plans will achieve the related goals, and the effect of planning decisions on the internal and external stakeholders identified.
American express like all companies has specific strengths and weakness that can be capitalized on. The strengths of this company are that they have a strong brand image, great global presence and amex travel operations are doing well. The weaknesses are; lack of point-of-sale debit card services, increasing risk profile, and declining travelers check business. American has the opportunity to expand in China, be innovative, and has divestiture of AEB & AEIDC. Competition is the main treat as well as the effect of credit crisis on amex and interchange fee’s.
The Strategic goal is to expand business in China. China would be a great location for new business as it is the most populated country in the world. Back in Oct of 2011, Bank of China (BOC) and American Express today announced a new strategic partnership, whereby Bank of China will begin issuing American Express-branded credit cards in China. (American Express, 2011) The new card offers specialties such as access to premium golf courses, unlimited access to lounges in major airports around the world and fast-track service through immigration. The new business strategy in China can be achieved by promoting these cards all over China via commercials and billboards. American Express can offer discounts for these cards at some of China’s largest companies like Sinopec, China National Petroleum and State Grid Corporation.
Now we can look at what type of effects the planning decisions will have on internal and external stakeholders. The employees will be notified that the
John Doe
MGT521/ Management
8/10/15
Unknown
American Express vs China
American express has developed a strategic plan to create new business in China and an operational plan to hire highly talented executives in China as well. We will discuss the following; The SWOT analysis, how these plans will achieve the related goals, and the effect of planning decisions on the internal and external stakeholders identified.
American express like all companies has specific strengths and weakness that can be capitalized on. The strengths of this company are that they have a strong brand image, great global presence and amex travel operations are doing well. The weaknesses are; lack of point-of-sale debit card services, increasing risk profile, and declining travelers check business. American has the opportunity to expand in China, be innovative, and has divestiture of AEB & AEIDC. Competition is the main treat as well as the effect of credit crisis on amex and interchange fee’s.
The Strategic goal is to expand business in China. China would be a great location for new business as it is the most populated country in the world. Back in Oct of 2011, Bank of China (BOC) and American Express today announced a new strategic partnership, whereby Bank of China will begin issuing American Express-branded credit cards in China. (American Express, 2011) The new card offers specialties such as access to premium golf courses, unlimited access to lounges in major airports around the world and fast-track service through immigration. The new business strategy in China can be achieved by promoting these cards all over China via commercials and billboards. American Express can offer discounts for these cards at some of China’s largest companies like Sinopec, China National Petroleum and State Grid Corporation.
Now we can look at what type of effects the planning decisions will have on internal and external stakeholders. The employees will be notified that the