Marketing Financial Services - Essay Example

Marketing Financial Services Question 1 The Reasons for Expats to Be of Interest to a Global Bank Expatriates are individuals who are working in companies of foreign countries on a provisional or permanent basis. Moreover, expatriates are skilled professionals send to foreign countries by their companies. Expatriates working in foreign countries are required to formulate as well as devise plans and strategies in order to acquire better financial solutions. In this context, expatriates are concerned about choosing appropriate financial institutions or global bank through which they can manage as well as organise their wealth. The global banks are financial institutions which facilitate expats in having better protection of their wealth as well as offering better opportunity to grow. The global banks also facilitate expats with valuable consulting services which will assist expats to enhance their financial positions. The various services which are offered by global banks include banking products as well as services in varied international market segments. The services as well as the products are offered in major currencies facilitating expats with better financial services in developed parts of the world. Furthermore, expats are also provided with superior quality of financial services such as easy access as well as enhanced control over bank account with the assistance of online banking and telephonic services. The expats are also facilitated with valuable advisory services in relation to investment as well as mortgage services from specialists and trained advisers (Barclays, n.d.). The above mentioned services are offered by global banks to expats with the intention of acquiring huge funds of financial resources from expats as they are highly skilled professionals who are sent to foreign countries by their companies. In this regard, expats are usually highly salaried. Global banks desire to acquire these funds of expats with the motive of raising their financial leverages. In greater number of instances it is also recognised that Expats’ earnings are higher in comparison to local employees. These funds of expats are utilised by global banks for investing in other sectors in order to improve their financial positions as well as ensure better circulation of financial resources. All these aspects will facilitate global banks in improving their financial positions as well as competitiveness. This is one of the factors or reasons for attracting expats to open account with a global company (Telegraph Media Group Limited, 2011). It has also been observed that global banks attract expats with the motive of improving competitive positions of companies. Moreover, with this objective, the attracting nations will be able acquire qualified professionals as well as their families which will assist in developing the economic conditions of such nations. In this regard, acquiring qualified professionals will assist in better development of companies as well as to perform their business operations in an effective manner. Furthermore, with better development of companies, financial institutions are able to perform their business operations through leveraging greater opportunities as well as the alleviating risks of losing banking customers. Therefore, global financial institutions or banks attract and support expats with the objective of acquiring proficient professionals. They also play a major role in improving the economical conditions of countries or nations (Straarup, 2011). The other factors which are responsible for attracting expats by global banks are mainly due to their luxurious lifestyles. It has been viewed that expats do possess an enriched lifestyle with regard to longevity in terms of residing, earning and saving, accommodation as well as luxury. These factors depicts that expats are extravagant in their spending as observed in case of expats in Singapore and the United Arab Emirates (UAE). In relation to the aspect of extravagant lifestyle of expats, global banks provide large number of valuable banking services in order to attract expats to acquire huge funds. Furthermore, with the assistance of these funds, financial institutions will be able to obtain better financial resources at their disposal as well as develop competitiveness (The Expat Explorer Survey, 2012). The above mentioned factors are the major reasons or considerations for attracting expats by global banks. The main objectives of global banks are to improve economic conditions as well as to facilitate better circulation of financial resources. Moreover, with the assistance of these factors global financial institutions or banks will be able to acquire better financial leverage. Question 3 The Financial Services of Interest to Expats Living in Singapore and Hong Kong It has been observed from the provided case scenario that expats in Singapore are able to earn as well as save money in a significant manner. Moreover, it is also observed that expats possess accommodation of high-quality as well as lead a luxurious life. In Hong Kong, expats are also observed to earn as well as save adequately but they possess a low quality of accommodations. Global banks are financial institutions providing valuable services to expats for acquiring better financial assistance in overseas or foreign countries. Expats can open banking as well as savings accounts with a wide range of currency options. Moreover, expats are offered with the opportunity to save as well as invest money in international banks. Expatriates are also facilitated with debit as well as credit cards services. Singapore Singapore is determined as a home for richest expats due to greater earning as well as saving opportunities. Expats in Singapore are provided with enhanced financial services to support their financial requirements. Moreover, expats are offered with various financial knowledge as well as plans which may be in sync with their needs as well as requirements. Financial advices are presented in relation to investments, savings, mortgages as well as protection (AAM Pte Ltd, 2010). Expats in Singapore are provided with financial assistance as well as services with regard to various expat packages which include housing allowances as well as schooling allowances along with club memberships. These pay packages facilities are offered to expats in order to facilitate them and their families with better financial assistance (Tan, 2011). The tax system of Singapore is well regulated in order to facilitate expats with lower rates of income tax as well as with various tax benefits. The Inland Revenue Authority of Singapore (IRAS) is entrusted with the job of assessing, collecting as well as enforcing various tax levies and duties (ExpatSingapore, 2013). Expats in Singapore are offered with numerous financial as well as advisory services which will assist them with better financial support and assistance. Expats in Singapore are provided with online account facility and with this facility expats will be able to bank as well as save along with trade through this online service facility. Moreover, expats are able to access this online service 24*7. Expats are required to deposit at least an amount of US $5000 to have this online facility. Furthermore, expats are also facilitated with ATM cards in order to have easy access over their money. Expats are also provided with electronic statements on a monthly basis for free. Additionally, expats can also transfer money in a fast as well as proficient manner. They are also facilitated with current accounts, deposit accounts, debit and credit cards, mortgages as well as loans among others (Enterasia Information Services Pte Ltd., 2009). Hong Kong Honk Kong is determined to be a renowned financial hub or centre of Asia. The financial institutions of Hong Kong are featured with a greater level of liquidity as well as they execute operations in a transparent manner. Moreover, the financial institutions perform their business operations in accordance with international standards (GovHK, 2011). Hong Kong is considered as an international financial centre as well as it provides various types of financial services for better development of business environment in an effective manner along with providing low taxation policy. Moreover, the banking sector of Hong Kong is recognised to be stable as well as effective in offering better financial services (Wolters Kluwer TAA Limited, 2013). There are many financial institutions or banks which are providing financial services to expats. Expats in Hong Kong are offered with various advisory services in relation to products as well as services. They are facilitated with saving as well as current along with time deposit accounts facility. Moreover, expats are also facilitated with foreign currency accounts; money transfer services as well as standing order facilities. Expats who possess accounts can exchange currency at free of cost. Expats are also provided with advice on various aspects with regard to investment as well as insurance services. Furthermore, financial institutions of Hong Kong also offer online as well as telephone banking services which are operable on a 24/7 basis for free. The expats are facilitated with debit as well as credit cards facilities for conducting financial transactions (InterNations GmbH, n.d.). Therefore, expats in Hong Kong are interested in these financial services which assist the region in providing better financial supports. Expats are provided with the above mentioned financial services as well as opportunities so that they can organise as well as manage their earnings in an appropriate manner. Moreover, these financial services as well as advices also assist them to save and regulate their money properly. In this context, these are the financial services which can be interesting for expats in Singapore and Hong Kong. Therefore, these financial services are the ultimate factors that have assisted Singapore and Hong Kong in being regarded as among the best locations for expats in terms of earnings as well as savings. Question 4 Financial Institution Assisting an Expat Family with the High Cost of Raising Children Expats are required to manage as well as organise their financial resources and money in an efficient manner in order to possess better control over their spending. A better management of money will assist expats in organising their financial resources effectively with the intention of providing enhanced support to their families and children. The main factors which are considered by expat parents are related to the provision of raising children abroad in an enhanced manner. Expat parents are mainly concerned about childcare as well as health. Expats receives salary as well as economic rewards for performing their jobs in the foreign countries. They are provided with better tax benefits or efficiency as well as financial assistance which encourage them to open accounts with global banks. Global banks or financial institutions provide various opportunities to expats in terms of better tax efficiency as well as improved investment opportunities. The tax efficiencies are offered to expats by banks or financial institutions both before and after retirement. Expats can acquire better healthcare insurance benefits in order to ensure the well-being of their children (Wolters Kluwer TAA Limited, 2013). In this regard, expats will be able to provide better educational opportunities to their children through efficient tax saving opportunities as well as with the option to invest effectively as provided by global banks. These facilities will assist expats to save financial resources or money which will provide better support to expats in the payment of school as well as university fees in the long run. Moreover, financial institutions such as HSBC provide considerable amount of returns on the investments made in terms of bonds (HSBC Bank International Limited, 2013). Financial Institutions or global banks play a major role in managing wealth as well as family finances along with providing money management advices with the intention of providing better support to expats to sustain and to enhance their financial positions. Moreover, management of financial resources of expats will ensure that they are bestowed with better financial support at the time of their needs or requirements. Additionally, in this regard, expats with the assistance of these factors will be ensured that they are able to meet the needs of their families and children as well as are able to ascertain safety of their future (Guardian News and Media Limited, 2013). Therefore, it has been observed that expats plan to save as well as invest money in global financial institutions with the objective of ascertaining better return in order to formulate future plans for ensuring improved support to their families as well as children. It can be evidently stated that financial institutions or banks play a major role in the life of an expat in order to provide better financial assistance as well as to ensure enhanced financial support to expats and their families. Question 5 The Implications of Expats’ Experiences in Europe for Financial Services Expats in Europe are required to be expertise as well as knowledgeable with the intention of performing their activities or jobs in a proficient manner. Moreover, in the European countries, it has been observed that the nature of expats have changed due to certain factors. These factors are concerned with the fact that the international environment of Europe has changed in recent times due to the development of single European market as well as for the changes in organisations of European countries. Moreover, in the European Union (EU) nations private as well as small and medium sized organisations (SMEs) have developed in an enhanced manner. Furthermore, expats are offered with better training as well as monitoring facilities in order to improve their efficiency. Expats are also provided with cross-culture training so that they can perform their activities effectively in different cultural as well as social conditions. These are the various conditions which resulted in the development of expats in European nations (Scullion & Brewster, 2002). The financial services which are rendered in the European nations have assisted expats in managing their financial resources in an efficient manner. However, the financial crisis faced in the European nations has hampered the value of European currency. Moreover, this financial crisis in European nations is termed as Euro crisis. The Euro crisis is the major factor for hampering the financial positions of expats in European nations. In this regard, the Euro crisis has raised the living expenses with regard to food as well as fuel prices. This raise in price has adversely affected expats in European nations. Furthermore, this raise in prices as well as reduction in the value of property have demoralised as well as lowered the level of confidence among expats. The financial institutions were not able to provide sufficient financial support to expats (Phillips, 2012). In the European nations, the financial institutions or banks were not able to provide better support as well as assistance to expats as banks were under pressure of repaying government debt. Furthermore, the financial institutions were not able to provide additional support to expats which initiated the notion of relocation in other countries. The salary structure of expats was revised and in accordance with it expats received less salary. With regard to the revised salary structure, the savings of expats have also lessened. The monetary exchange rate policy was unpredictable. The financial institutions or banks also faced the problem of liquidity. Contextually, the expats were unable to withdraw funds as well as faced difficulties in accessing their bank accounts. The Euro crisis was the major problem in European countries which hampered financial institutions to conduct their activities in an effective manner. Furthermore, the business conditions have depreciated to a great extent. Euro crisis also affected the trading activities of European countries with other countries (Simpson, 2012). Therefore, in this regard, the financial institutions were not able to offer adequate financial assistance to expats which ultimately created a notion of relocation. On the whole, these factors have impacted the financial services in terms of lowered profitability and loss of a major customer base. The business sectors also have suffered by a considerable extent. References AAM Pte Ltd, 2010. AAM Advisory. Financial Planning for Life. [Online] Available at: http://www.financialadvice.com.sg/ [Accessed January 31, 2013]. Barclays, No Date. 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