Analysis of Australian Financial Market Competition

The assignment provides an in-depth analysis of the competitive landscape in the Australian financial market, focusing on the main competitors of National Australian Bank Limited. The report identifies Westpac, Commonwealth Bank of Australia, and ANZ as major players and examines their basis of competition, including sustainability, dividend growth, and share price attractiveness. It also discusses the opportunities and threats posed by these competitors to NAB.

Written research on Australian
financial market

Table of Contents
INTRODUCTION...........................................................................................................................1
MAIN BODY...................................................................................................................................1
A. Identification of competition.............................................................................................1
B. Basis of competition..........................................................................................................1
C. Competition pose an opportunity or threat........................................................................2
CONCLUSION................................................................................................................................2
REFERENCES................................................................................................................................3

INTRODUCTION
Financial market of Australia is continuously growing due to massive development of
banking sector. There are various banking companies are operating business in the country which
are contributing huge amount in national income of nation. All of them are facing competition
from each other. Enterprise which is selected for this assignment is National Australian Bank
Limited which is one of the largest banking sector organisations in Australia. This report covers
various topics such as main competitors of the company, basis of competition within the industry
and opportunities and threats created by competitors.
MAIN BODY
A. Identification of competition
In banking industry of Australian there is huge competition and National Australian Bank
Limited is also facing tough competition within the industry. It is very important for top
management of the organisation to find ways to deal with this competition. Main competitors of
National Australian Bank Limited are Westpac, Common wealth bank of Australia and ANZ
(Australian and New Zealand Banking Group). All of them are major players in the banking
sector of Australia and give competition to each other (Wang, Li and Gao, 2014).
B. Basis of competition
Westpac: It is one of the largest banks in Australian and its is considered as one of the
big competitors of National Australian bank Limited because it has high level of sustainability as
compare to the organisation. Long term growth of Westpac is also very high is the main basis of
competition in both the companies.
Common wealth bank of Australia: It is considered as one of the biggest competitors of
National Australian Bank limited and its basis if that, its record of dividend and share price
growth is very good. It is market leader in credit card, mortgages and various other areas.
ANZ (Australian and New Zealand Banking Group): It is also considered as one of
the biggest competitors of National Australian Bank Limited. Basis of the competition is that its
share prices are very attractive as compare to others which are operating business under banking
sector.
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C. Competition pose an opportunity or threat
Westpac: Competition by Westpac poses opportunity as well as competition to National
Australian Bank. As its sustainability is very high from NAB which is a threat to it and higher
authority of the organisation can form strategy to convert it into opportunity by analysing ways
to enhance its own sustainability.
Common wealth bank of Australia: Growth of share price and dividend of it are very
good as compare to NAB which creates threat of losing its market share (Nimtrakoon, 2015).
Australian and New Zealand bank Corporation: Share prices of ANZ is very
attractive as compare to NAB which is a threat for it.
CONCLUSION
From the above project report it has been concluded that in Australian Finance market
there is a huge competition among all the business entities which are operating business under it.
In order to deal with it, organisations are required to identify major competitors, basis of
competition and threat or opportunity possessed by them. With the help of it, strategic decisions
could be taken for betterment of entity.
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REFERENCES
Books and Journals:
Nimtrakoon, S., 2015. The relationship between intellectual capital, firms’ market value and
financial performance: Empirical evidence from the ASEAN. Journal of Intellectual
Capital. 16(3). pp.587-618.
Wang, L., Li, S. and Gao, S., 2014. Do greenhouse gas emissions affect financial performance?–
an empirical examination of Australian public firms. Business Strategy and the
Environment. 23(8). pp.505-519.
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