Download file to see previous pages...
This paper analyzes the organizational and customer value situation of the bank with a view to making strategic proposals for improvement.
The fact that BOA is a multinational corporation operating in several countries of the world gives them the upper hand over their competitors who have no global footprint. BOA’s global presence opens doors for unbounded opportunities for the bank to grow their revenues and profits(Degryse & Ongena, 2002). However, the global presence of the bank poses formidable challenges to the corporation. One of these challenges is to be found in the area of human resources. The bank must comply with the specific labor laws of every country where they operate. This is a daunting task with serious implications on the banks resources.
Compliance with employment laws can be even more demanding where a country is divided into regions or states, and each has their labour laws(Degryse & Ongena, 2002). For example, each of the fifty or so states of the United States has their laws that govern employment. The bank must comply with the laws of all these states. Not doing so could result in legal suits that could cost the corporation a lot of money. Besides labor laws, the bank must comply with the taxation requirements of all the countries where they operate. Again, this is a demanding task that if not well managed could cost the corporation.
Compared to two of their majorcompetitors, namely J.P. Morgan Chase Bank and Federal Credit Union (CFE), BOA is quite competitive. The main source of this competitive edge, though narrow, is the ban’s charges compared to what their rivals charge(Weinstein, Clasen, Lorenzo, & Roberson, 2014). For instance, with respect to a 48-month, car loan, BOA charges interest at the rate of 2.24% against Chase Bank’s 2.33% and CFE’s 3.35%. While this difference might appear marginally, it makes all the difference in a competitive environment with
...Download file to see next pagesRead More
Name Professor Institution Course Date Countrywide Financial Corporation (CFC), founded by Angelo Mozilo and David Loeb engaged in banking, home financing (mortgage), capital markets, insurance and global operations (Eastburn, 2011). All these worked, with each depending on the other, to make the corporation grow into, among others, the leading in the States, with offices in most states.
It has it’s headquarter at Charlotte in North Carolina. The Bank of America principally functions in the United States, the Latin America, Canada and the Europe and employs over 288,000 people throughout the world (Data Monitor, 2011) The Bank of America caters the requirements of individual clients, small business organizations as well as large business corporations with a variety of banking and financial services.
Within the human resources field, there is a broad definition in the provision of services. Every company in the service sector always manoeuvres to meet the needs of people via a knowledge base that is interdisciplinary. For instance, the managers of such companies have often focused on preventing and citing problems before they surface up fully, besides carrying out good maintenance of commitment to the improvement of the quality of service from their staff.
By assets, it is the 2nd biggest US bank holding company, and also the 4th biggest by market capitalization. It was also announced to be the 5th biggest by total revenue in the US, and the 2nd biggest US non-oil company. It was ranked as the world’s 3rd largest company by Forbes in 2010.
In the year 1736 James Barclay became a partner in the business and this where the organization derived its name and was known as Barclays since then. In 1895 there was a merger between a number of banks which were all ran by different families. The main reason for the merger was that they feared the competition that was coming and saw a possibility of a take over from the larger banks especially the joint stock banks.
What caused this crisis is an issue of significant importance however; question also arises as to whether such crises were predicted by different pieces of literature produced prior to the crisis'
Tracing the history of bank failure and the subprime mortgage crisis, it will be evident that the era after 1970s resulted into the de-regulation of the economic system of the modern world which minimized the role of governments into the affairs of the markets.
The company prides itself as the "World's Local Bank" and uses the words in all its sites. Throughout its long history, it can be seen that it was one of growth through banking strategy, innovation and acquisitions and only the major setback to the bank happened during World War II.
It must be noted that there are numerous other reasons as to why firms would chose to take this path. Such could include (Margsiri et al):
The global corporate community has shown an ever-increasing trend for mergers and acquisitions. The foregoing is not only in response to the indicated list of reasons, is also a product of the increased competitiveness of globalisation and low interest rates making large sums of capital available that is seeking investment (Investors Group).
the rules by which these institutions could measure their own assets and liabilities were further defined so as to leave very little room for interpretation of what the data actually represented and/or the fair market value of these assets/liabilities.
3) If no changes had been
H. B Fuller appreciates the problems arising from his brand of glue and therefore works with appropriate stakeholders in his attempt to reverse the situation. He works with the press often sending messages to his target audience with a view to enlightening them on the
3 Pages(750 words)Case Study
GOT A TRICKY QUESTION? RECEIVE AN ANSWER FROM STUDENTS LIKE YOU!
Let us find you another Case Study on topic Bank of America for FREE!