Analysis Project Under the guidance of DR. Tarek Kandil Name: Othaiba Al Mazrouei ID# 20122184 Section: 01 Course name: Strategic MANAGEMENT Course code: MNGT 425 Semester: summer 1 2015
SWOT analysis for ADIB.
Strengths
weaknesses
1. The first UAE bank to bring innovative
Banking, a new mobile banking service that allows customers to perform almost all banking transactions
1. Weak management increases business
risks and reduces profits for Economy in ADIB, because they are responsible for the health of the business
2. It was named the number one bank in
the UAE in customer service and the most improved bank in customer service
2. Competition weighed on profit margins
3. Upgraded womens banking service,
Dana, offers a new suite of products, services and special life style benefits
3. Regulators' decision to encourage
banks to make large provisions for loan losses in the third quarter as a precaution affecting the operating income
4. In addition to 65+ branches in UAE,
ADIB already operates a large branch network in Egypt and UK 5. Sustained growth in profits; consistently one of the most liquid banks in UAE Opportunities
Threats
1. UAE Banking sector is the largest by
assets in the GCC; the UAE banking sector accounts for majority of the GCC total 2. Future expansions in Middle East could provide the growth 3. Focus on continuing growth to benefit from the government's spending drive
1. Mature markets are competitive. In
order for ADIB to grow in a mature market, it has to increase market share, which is difficult and expensive 2. The lending environment in Saudi Arabia intensely competitive between a small number of local banks, and means that while banks will be able to book new assets, margins will be tight
4. Potential growth from profitable
segments, including Islamic banking and mortgage financing
3. Global demand for goods produced by
emerging market manufacturers continued to weaken 4. A bad economy can hurt Economy in Abu Dhabis business by decreasing the
