Chinese Insurance Market Essay Example
Economics of Business Strategy
Strategic Analysis of Ping An Insurance Company of China, Ltd
1. Introduction
Ping An Insurance Company of China, Ltd was first established in 1988. It is the first integrated financial services conglomerate in China. The core business of this company is insurance operation. Meanwhile, it also engages in securities brokerage, trust and investment, commercial banking, asset management and corporate pension business. Till now, this integrated financial services conglomerate is holding 11 subsidiary companies which could be divided into three main groups—insurance, banking and investment all over China. It owns about 394,000 life insurance sales agents, over 83,000 full-time employees, and more than 3,800 branch- and sub-branch-units and sales offices to provide financial services about 47 million individual clients and over two million corporate clients. By premium income, Ping An Life is the second largest life insurance company in China, while Ping An Property & Casualty is ranked third largest among property and casualty insurers in China (Ping An Insurance group).
In June 2009, Ping An was ranked No.2 among global life insurers in The Financial Times Global 500 companies list. In addition, Ping An is the first insurer who has introduced foreign investors into its shareholding structure in China. As at 30th June 2009, under International Financial Reporting Standards, consolidated total assets and total equity of the Group were RMB885.419 billion and RMB101.793 billion, respectively (Ping An Insurance group).
This paper is structured in four sections.
Firstly, it analyzes Chinese insurance market in which Ping An Insurance Company of China, Ltd operates and then examines the business strategies which are adopted by the company.
In the third section, a serious issue that exists in the company will be pointed out and reasonable recommendations will be made.
The final section is conclusion.
2. The analysis of Chinese
Strategic Analysis of Ping An Insurance Company of China, Ltd
1. Introduction
Ping An Insurance Company of China, Ltd was first established in 1988. It is the first integrated financial services conglomerate in China. The core business of this company is insurance operation. Meanwhile, it also engages in securities brokerage, trust and investment, commercial banking, asset management and corporate pension business. Till now, this integrated financial services conglomerate is holding 11 subsidiary companies which could be divided into three main groups—insurance, banking and investment all over China. It owns about 394,000 life insurance sales agents, over 83,000 full-time employees, and more than 3,800 branch- and sub-branch-units and sales offices to provide financial services about 47 million individual clients and over two million corporate clients. By premium income, Ping An Life is the second largest life insurance company in China, while Ping An Property & Casualty is ranked third largest among property and casualty insurers in China (Ping An Insurance group).
In June 2009, Ping An was ranked No.2 among global life insurers in The Financial Times Global 500 companies list. In addition, Ping An is the first insurer who has introduced foreign investors into its shareholding structure in China. As at 30th June 2009, under International Financial Reporting Standards, consolidated total assets and total equity of the Group were RMB885.419 billion and RMB101.793 billion, respectively (Ping An Insurance group).
This paper is structured in four sections.
Firstly, it analyzes Chinese insurance market in which Ping An Insurance Company of China, Ltd operates and then examines the business strategies which are adopted by the company.
In the third section, a serious issue that exists in the company will be pointed out and reasonable recommendations will be made.
The final section is conclusion.
2. The analysis of Chinese