The global economy is fragile and capital is getting harder to obtain. In result, Canada’s banking industry is growing at a very slow rate. RBC’s now former chief executive officer Gord Nixon believed that in this economy, the strong would get stronger and the weak would get weaker. RBC has a strong market capital and position, and Nixon said RBC will be prepared for the overhaul of regulations, and the company will be proactive to minimize the impact of external elements on the business. The company plans to focus on its domestic operations which comprise two thirds of total revenue, and sell its U.S. insurance division because it is unable to compete at its current size. (The Globe and Mail, 2012)
