SWOT Analysis Of HSBC Strengths

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Swot analysis is important for every business to succeed. It is a useful method for understanding what are the enterprise powers and weaknesses, and for detecting mutually the Opportunities open to you and the Threats that face it. Lebanon is a major country in his financial sector especially banks competing with each other to offer the best services for their customers and have a steady growth while trying to get every opportunity they can have to improve their performance, focus on their strengths and eliminate as much as they can their threats.

The three main types of banks in developing markets are: government, private local, and foreign. Bank Audi bank S.A.L is one of the major national banks in Lebanon in terms of both customer deposits
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And referring to swot analysis, HSBC Strength is restricted to the Barriers of market entrance, whereas its first weakness point is low productivity, small investments in research and development while the second one is formed by future debt rating and in slight business entities and lastly the Charge structure. Concerning the opportunities, the economy worldwide growth gives the company more chances to expand its segments and to advance its businesses. Moreover, the income level is at a constant rise. Despite all that, The technology is causing lots of problems to HSBC company, also there’s many of external business risks. And least but not last an important threat named: cash …show more content…
This drops the cost (risk) of deposits and advances banking permanency in developing markets. However, the same advantage might turn into a difficulty on the loaning side. The parent bank providing liquidity coverage, and also having its assets at risk wants to guarantee careful banking in the evolving market. The sheets of ladder and long distance communication required by the natural spaces involved implies that the top administration in the parent bank cannot give much choice to the local foreign bank. One of the ways to avoid discretion, as outlined in the concept of organization literature, is to make the foreign banks only depend on “hard information”. This however decreases the significance of foreign banks for the economy as a whole, since one of the main tasks of banks is to utilize “soft information” which unknown marketplaces on their own would not be able to13. Private local banks do not have the advantage of foreign banks in terms of access to external liquidity. This raises the concern, particularly in emerging markets with fragile regulation and legislation, that private domestic banks would be prone to “looting” leading to banking crises and catastrophes (see e.g. Akerlof and Romer (1993)). The hope however is that market discipline in the form of the threat to loose deposit holders, and hence access

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