CBI and QNB Assignment Example | Topics and Well Written Essays - 1750 words

CBI and QNB - Assignment Example This assignment also highlights the implemented strategy that may increase its portfolio and reputation in their respective markets as compared to others. Furthermore, the implemented strategy will also be evaluated so as to analyze its effectiveness and to recommend the most effective strategy is also for the organizations. The Commercial Bank International (CBI) of United Arab Emirates is a one of the budding commercial bank of United Arab Emirates. It is one of the reputed local brands established in the year 1991 offering a wide range of financial benefits such as auto loans, vehicle loans, credit cards enhancements and many more to its customers. This helped the organization to improve its market share and demand in the market of United Arab Emirates as compared to many other rival contenders. In-spite of being a public share holding company, it enhanced its reliability and loyalty within the minds of the local customers for its value-added services. The organization always tries to offer high valued products to its customers so as to improve their commitment and reliability. This is done in order to increase the sustainability and relationship with the customers that may amplify its brand value and profitability (Commercial Bank International, 2014). Similarly, Qatar National Bank (QNB) is established in the year 1964 as one of the first owned commercial bank of Middle East. It mainly offers a wide range of investment banking value-added services to its corporate and institutional clients with the help of its subsidiaries. This helped the organizations to expand it-self in numerous locations that amplified its dependency and reputations as compared to others (Qatar National Bank, 2014). The mission of Commercial Bank International (CBI) is to offer highly value-added and simple products and services to its target

Political and economic concerns in global expansion of the firm Essay

Political and economic concerns in global expansion of the firm - Essay Example For example, these domestic forces are extremely powerful in advance / developed nations unlike in developing nations where enterprises are blatantly involved in employing child labor, use of unethical practices and irresponsible production methods to maximize their wealth and rate of return. The first major factor that have to be taken into account by strategic planners and top executives of a business entity when going global is accurate analysis of international business environment. Indeed, economic recession and turmoil followed by credit crunch also hampers growth and expansion of host nation’s economy. For instance, the host nation is also dependent on other developing and advance world economies for foreign trade; however, lower aggregate consumption and output reduces trade and commerce activities in such nations that later adversely impacts chosen host country’s markets. In simple words, the recession results in unemployment, poverty and low purchasing power that aggravates business scenario in chosen markets. (Daft, 2009) The second major factor is exchange rate fluctuations of host nation’s currency. Indeed, the frequent undervaluation or overvaluation of currency due to lack of appropriate foreign reserves from foreign trade may lead to exchange losses at the time of conversion. For example, if currency of Japan is undervalued against home country’s (USA) currency at the time of investment ($1 = 90 Yen), it is beneficial for a foreign nation to invest in an economy because more monetary units are received from exchange. Nevertheless, after the formation of business subsidiary if currency undervalues further ($1 = 95 Yen), it would lead to exchange losses when subsidiary firm will opt to transfer profits back to USA. In contrast, if Japanese Yen appreciates and become stronger ($1 = 80 Yen) then US firm will be advantaged