Preview

Citibank Swot Analysis

Good Essays
Open Document
Open Document
852 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
Citibank Swot Analysis
Citibank: The Confia Acquisition in Mexico

Situation Analysis
Citibank is looking to expand their reach within the banking world. They had an opportunity to acquire Confia a Mexican bank. Many Mexican banks are having problems due to the lack of money and resources the Mexican people have to invest in the banks. Citibank does much research while deciding whether to follow through with the deal. At the very end of the purchasing process an undiscovered threat is exposed to Citibank that Confia may have. This brings more difficulties within the purchasing process.
Firm Strengths Citibank's many strengths start within their 194 year old rich history. Citibank has more than 100 years of experience in the international lending field. They are also the worlds largest credit lender and have been since the 1970's. They have also taken the title of the world's largest bank in 1981. In 1994 Citibank decided to break their company up into two sectors. One division being the Global Consumer Division and the other the Global Finance Division. This is strength for Citibank because this allows for more focus on their separate segments of the market. Citibank also holds advantages and strengths within the Mexican banking market. After the Tequila Crisis most U.S. banks took their business out of Mexico, Citibank did not. They also found strength in the fact that their portfolio was not as large as other banks in Mexico, this allowing them to have fewer complications. Confia also had some strengths. Begging with their 300 branches they had in 1992. Confia also has a great reputation. They are known for their great customer service, quality and efficiency. Confia is also a Mexican bank. This provides them with local and governmental support, that foreign banks may not get. If Citibank acquired Confia some strengths that may come about are possible high returns. Again the accusation will allow Citibank to have a better local image. This may also lead to other

You May Also Find These Documents Helpful

  • Good Essays

    Investment Bankinghw3

    • 704 Words
    • 2 Pages

    JPMorgan and Merrill Lynch had positive reputations after they both ranked highly in convertibles and common stock underwriting. These trustworthy banks had well-established ties to FCX. Also, these two firms agreed to issue a bridge loan to FCX prior to the acquisition.…

    • 704 Words
    • 2 Pages
    Good Essays
  • Powerful Essays

    * The new markets that are potentially Citibank’s creates a challenge to lower cost, improve efficiency while still meeting the needs of the customers.…

    • 1409 Words
    • 6 Pages
    Powerful Essays
  • Powerful Essays

    Citi Bank

    • 2091 Words
    • 9 Pages

    - A large consumer base will provide Citibank with economies of scale (low unit costs).…

    • 2091 Words
    • 9 Pages
    Powerful Essays
  • Good Essays

    Bank of America Corp. ultimately desires to be the best bank services and provide more benefits than any other financial organization in the world. BofA wants their goal to be straightforward and to have a strategized plan to meet this achievement. The financial institution has a customer demographic made up of the following three entities: people, businesses of all capacities, and institutional investors.…

    • 909 Words
    • 4 Pages
    Good Essays
  • Better Essays

    Ceemea Sales and Trading

    • 1649 Words
    • 7 Pages

    Citigroup is one of the largest financial services firms known to man. Citigroup, also known as Citi, has over 200 million customer accounts and does business in more than 160 countries (Forbes, 2012). It offers deposits and loans (mainly through Citibank), investment banking, brokerage, wealth management, and other financial services. In addition to Citibank, it owns stakes in several international regional banks and has more than 50 million Citigroup-branded credit cards in circulation. However, Citigroup has been selling dozens of underperforming and noncore businesses in the aftermath of the financial crisis in order to refocus on its original mission; traditional banking. The business ventures of CEEMEA have become noticeably historical. The transition of their IT infrastructure has placed CEEMEA into the IT spotlight, placing Citigroup into the competitive markets with such financial institutes as Bank of America and J.P. Morgan.…

    • 1649 Words
    • 7 Pages
    Better Essays
  • Satisfactory Essays

    Swot Analysis

    • 512 Words
    • 3 Pages

    This analysis of Old National Bank starts with a brief SWOT Analysis and then takes a look at the current deposit marketshare of Vanderburgh County in Indiana.…

    • 512 Words
    • 3 Pages
    Satisfactory Essays
  • Powerful Essays

    The Bank of America Corp dominates the market in the United States and also uses different strategies to gain a competitive advantage over it competitors globally. According to Bank of America homepage they are available in about 32 states in the United States, the District of Columbia and more than 30 foreign countries as well. They were also ranked number one small business administration lender in the US in 2007. Bank of America has relationships with just about all the Fortune 500 companies and over three quarters of the U.S. Fortune Global 500 companies as well. Another strength for Bank of America corporation is a strong financial sheets has made it possible for them grow bigger if they so desire. Bank of America Corporation has a wide range of diverse banking products and services for their customers.…

    • 2218 Words
    • 9 Pages
    Powerful Essays
  • Good Essays

    Per Marketline (2013) with its strong market position, Bank of America is well positioned to harness the growing potential of the US banking sector with its retail footprint covering approximately 80% of the US population. This is an opportunity for Bank of America to grow its banking sector in the US. Bank of America will need to build on its strengths such as its favorable business mix diversification and strong capital adequacy to cushion insolvency risks. As per Marketline (2013) favorable business mix is helping the company to serve a large customer base. In knowing the threat of weak economic growth and intense competition, Bank of America can work on measures to thwart these identified…

    • 511 Words
    • 3 Pages
    Good Essays
  • Good Essays

    Wachovia and Wells Fargo faced many issues as though all banking institution when they merge. Wells Fargo’s home office of San Francisco, California $609 billion in Asset Corporation with more than 3000 branches in over 24 states (Casale, 2008). In Charlotte, NC, “the banking capital of the world” is the home office of Wachovia which, has 812 billion in assets, more than 3000 branches in over 21 states. In my research I discovered that Citigroup Inc; initially had agreed to purchase Wachovia prior to Wells Fargo making an offer. because of major differences the two companies’ could not come to an agreement. Wachovia and Wells Fargo was guilty of breach of contract.Citigroup did not prevent the merger…

    • 351 Words
    • 2 Pages
    Good Essays
  • Better Essays

    Mellon Strategic Analysis

    • 930 Words
    • 4 Pages

    Rivalry among competing firms – Mellon and CIBC has a huge market share in this line of financial service. Mellon and CIBC offer the best services in its field while also offering the best customer service. The exceptional service combined with their long portfolio allows them to have the competitive advantage eliminating any rivalries.…

    • 930 Words
    • 4 Pages
    Better Essays
  • Satisfactory Essays

    Capital Mortgage Insurance Corporation (CMI) is a wholly owned subsidiary of Northwest Equipment Corporation (NEC). NEC expects Frank Randall, company president; to build CMI into a larger more diversified financial service company. To do this Randall wants to acquire Corporate Transfer Services (CTS) a small relocation services company, as part of a plan for diversification. Informal discussions took place with the principal stockholders of CTS four months ago. Currently, formal negotiation strategy plans are in the works and a purchase offer is in the development stage. If successful, the acquisition of CTS will be a first for CMI and will help Randall realize his goals for CMI diversification.…

    • 549 Words
    • 3 Pages
    Satisfactory Essays
  • Good Essays

    Вступление It’s an interesting fact that before having been acquired the Bankers Trust had not been integrated properly with the oldest US investment…

    • 862 Words
    • 3 Pages
    Good Essays
  • Good Essays

    Countrywide Financial was in a predicament and Bank of America offered to help the corporation face the lawsuits and ethical discrepancies. Bank of America had plans to make radical changes to the company and expand into international markets. The extensive mortgage skills Countrywide offered would definitely be a beneficial factor for Bank of America in the industry. The competitive advantage was definitely an opportunity that could benefit the company and initiate major profitability.…

    • 826 Words
    • 4 Pages
    Good Essays
  • Powerful Essays

    definitely been a severe financial blunder for the company, leading to the ouster of the bank's senior…

    • 5474 Words
    • 21 Pages
    Powerful Essays
  • Powerful Essays

    One of Citigroup’s main concerns was the risk of their exposure from holding leveraged loans. Due to the increasing risks and costs associated with holding these loans, Citigroup approached several large investors, including a private equity firm and a hedge fund, about purchasing leveraged loans from their portfolio. Blackstone expressed interest in a portfolio that contained a total face value of $6.11 billion, with16 different issuers. Blackstone, one of the world largest private equity firms, was reviewing materials for their potential purchase of a $6.11 billion pool of leveraged loans from Citigroup, one of the world’s largest banking entities. Most of these loans were used to finance large leveraged buyouts (LBOs). Citigroup would help the transaction by offering debt financing for the purchase of the loam, while Blackstone would offer the rest of the fund and take the first loss.…

    • 887 Words
    • 3 Pages
    Powerful Essays

Related Topics