Comparison Between HSBC and BNP Paribas in the Banking Field
SWOT Analysis and the Bank's Operations in Middle East Especially in Dubai & Bahrain
PEST Analysis And the Bank's Operations in Middle East Especially in Dubai & Bahrain
External Analysis of HSBC and BNP
Competitive Profile Matrix (CPM)
Example of HSBC and BNP Around the World
Customer Values Analysis
Value Chain Analysis of the Banks
The current corporate world and environment can be referred as the resolution of administration. Way backed in which bread-and-butter development depends entirely on accurate and automated inventions. However, in the avant-garde apple acceptable administration is all-important for able and able alive of organization, forth with abstruse advancement. Administration is all the added significant between the ambience of the enterprises of the business, neither a business can run on itself nor with a single person dominance, alike afterwards accepting momentum. Every business needs again bang i.e. article that causes activity. Such bang is able-bodied duly presented within the working of management.
Organizations have been formed with a single objective to increase profits but to acquire profits, adherence and adamantine assignment is required, afar from acute the advisers to do the work. Management is basically an amalgamation of four important things which predominantly are Planning, Organizing, Controlling and Leading. No amount what blazon of administration is, but one affair for abiding back anytime the name of administration come into the front then the name of these four things always come to the front. Probably the altered aspects of management, business administration admitting has an acceptation role in the continued run of the organization. The main perspective of this piece of work is to compare the performance of two particular companies. The Companies which have been chosen for this assignment are financial institutions with the name of HSBC and BNP Paribas. In this piece of work, different sort of analyses have been required. The tools which have been applied on this paper are SWOT Analysis, Pest Analysis, Evaluation of Internal Factor Matrix, Evaluation of External Factor Matrix, Competitive Profile Matrix and Some Financial Performance Analysis. Especial attention would be given to the Gulf Countries in this piece of work like Bahrain and Dubai. The assignment has been broken down into different sections, the first section is about defining about the financial institutions having been chosen followed by analytical tool implementation.
HSBC: An Outlook
The acronym of HSBC is Hong Kong Shanghai Banking Corporation is a global banking and financial service company with its headquartering located in Canay Wharf London, United Kingdom. At the end of the year 2010, HSBC was the 6th largest banking and financial services of the world and counted as the eight biggest companies in terms of revenue recognition in all over the world. HSBC has a large portfolio comprises on 100 million customers from worldwide with over 7500 offices across the globe. The company has its active operations in more than 87 countries throughout the world mainly across Asia, Africa, North America and South America. According to asset implantation, HSBC is known as the third largest bank of the world with total assets amounted to U.S.$2.418 trillion.
HSBS holding company was basically found in London in the year 1991 which lately acquired Midland Bank. HSBC is known as the universal bank which has been operating with the help of four big and diversified business segments and groups. The business segments particularly are Commercial Banking, Global Banking or Investment Banking, Personal Finance Services and Private Banking. The bank's shares are primarily listed on London Stock Exchange (LSE) and have been a member of the Financial Times Stock Exchange (FTSE-100) index. Apart from LSE, the bank has also registered with Hong Kong Stock Exchange, The New York Stock Exchange and Euronext Paris Exchange. Investors like to park the money in the company's stocks because it has the largest market capitalization in the LSE amounted to £115.8 billion.
The financial health of the HSBC can be judge from its ongoing movement during the current economic hardship. The Current Economic Crisis called the Subprime Mortgage crisis had least bothered the HSBC. The bank issued right shares and bailout packages of around 750 million pounds for the other banks to survive. HSBC invited numerous banks for the acquisition at the time of economic hardship. HSBC is among those companies of the world which reported net profit even at the time of economic slump. The company had earned economic profit of U.S.$9.3 billion in the year 2008 in which hundreds of companies around the globe went bankrupt. The bank is in a wonderful economic and financial health that reported net revenue of U.S.$98.918 billion in the year 2010 while net profit of U.S.$13.159 billion for the same year. The company has over 300,000 employees in its operations in more than 87 countries around the world. Let's now evaluate the corporate background of the other chosen bank which is BNP Paribas.
BNP Paribas: A Helicopter View
BNP Paribas is the largest global banking group of the world with its headquartering in Paris and London. BNP is larger than HSBC in terms of asset recognition as Bloomberg had reported in the year 2010 that it BNP Paribas is the largest banking group on the planet which has the largest portfolio of assets amounted to U.S.$3.1 trillion. Basically BNP Paribas had been formed after the merger between the Banque National De Paris and Paribas Bank in the year 2000. BNP is the largest bank of Euro Zone in terms of deposit held.
BNP Paribas had the highest credit rating as compared to its major peers and competitors due to its large and sophisticated portfolio and capability to earn abnormally during the phase of economic recessions. Likewise HSBC, BNP Paribas had recorded net profit of 3 billion Euros in the year 2008 and then earned 5.8 billion Euros net profit a year later. Basically there are three strategic unit of the bank which predominantly are retail banking, corporate and investment banking and real state services. BNP Paribas's four bigger calm markets are Italy, France, Belgium and Luxembourg. Apart from these destinations, the aggregation has its alive operations herein in the United States (U.S.), Turkey, Poland, North Africa and Ukraine. Retail cyber cyberbanking is BNP Paribas' bigger business aggregation generates about 46% of its revenues mainly for the year 2009 and employing 58% of the total headcount of the group. The main operation of this particular group is based in Europe, mainly in the three most dominating markets of Europe which are London, France and Italy (where it operates as Banca Nazionale Del Lavoro (BNL)), and Belgium (as BNP Paribas Fortis). The accession additionally owns an American accent Banc West which operates with the name of Bank of the West in the Western United States and First Hawaiian Bank in Hawaii. The major stakeholders of the bank are France with 17% shares, Belgium with 11.6% share and other individual companies and investors. The bank has its active operations in more than 70 countries worldwide with total worth of employees are 201,470. The company had earned net revenue of 43.88 billion Euros in the year 2010 and earned net profit of 7.843 billion Euros in the same year. After this section, there is a time to include the section of SWOT Analysis. Let's now start the 2nd section of the report which is the SWOT analysis of both of these companies.
Comparison Between HSBC and BNP Paribas in the Banking Field
SWOT Analysis And the Bank's Operations in Middle East Especially in Dubai & Bahrain
There a cardinal of means to appraisal an alignment either economically or physically. The basic mantras of the analysts are to analyze the loopholes aural the departments of the alignment and in their strategies as well. SWOT appraisal is one the important accoutrement attainable to appraisal a company's strengths, weakness, opportunities and threats. The administering of an alignment abandoned emphasis on the SWOT appraisal because it is a basic accoutrement to eradicate adapted consternations inevitably. One academy of thoughts additionally accordance that through the apparatus of the SWOT analysis, the administering of the accession can actually acclimate the dodges, they begin and try to arrest these perilous situations to be arise in the future. First, the SWOT analysis of HSBC has been conducted followed by the analysis of BNP Paribas. The especial focus of this report is on the comparison of these two banks in the Gulf Region especially in Dubai and Bahrain.
As discussed earlier that HSBC is one of the biggest financial institutions of the world with trillions of dollars assets and over 300,000 employees in the operations in more than 87 countries worldwide. The biggest strength of HSBC is its large portfolio in terms revenue, assets and net income. Due to the leading market position of HSBC, the essence of earning profit is quite easy for the company. The Bank has more than…