The following Strategic Management plan evaluates Citigroup's competitive position and internal and external environments to determine strategic direction. Through the strategic formulation framework, various internal and external inputs are matched to critical success factors. Alternative strategies are then derived and chosen.
Each section, including the competitive analysis, internal and external analysis, and environmental screening, leads to the final part of the paper, strategic selection. The plan recommends that Citibank should select an aggressive strategy by expanding its insurance business to foreign markets such as those in Mexico and Japan.
This section focuses on the trends surrounding online banking and acknowledges that consumer demand for online financial processing is reaching a critical point. It analyzes how Citibank differentiates itself from the competition by offering a broad line of products and services and exploiting cutting edge technology to support global online banking transactions. It also explores the threats, opportunities, weaknesses, and strengths impacting Citibank's success in competing for online banking market share.
This section suggests additional research in which new strategies take the Multi-National Corporation (MNC) to new, unprecedented levels of global influence and success.
Online banking has brought traditional financial functionality into Cyberspace. The Compounded annual growth of online banking since 1994, has been 80%. Worldwide, more than 100 million households now bank online. Looking ahead, usage is projected to increase to 50+ million U.S. households. Worldwide, the total is expected to triple to 300 million or more households (Online Banking, 2003).
Internet Banking enables financial institutions to market and sell new products, increase their end user base and build longer lasting relationships. Launching online banking services requires minimal demand on the banks existing infrastructure and resources. With Internet Banking, the Internet branch serves as the financial hub for end users' online banking needs and...