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Business Strategy of CIMB

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Added on  2020-07-22

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Define strategy in relation to the opportunities and strength.6 CONCLUSION 6 REFERENCE8 INTRODUCTION The term business strategic means deciding the plan and action so on that basis firm can achieve long term growth and objective of the business. In this report, there are two cases of business strategic has given, in which one has to focus on the acquisition strategies of the business. For effective merger, company need scale if there is not any effective scale than company can't be operated at optimal performance.
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BUSINESSSTRATEGIC
Business Strategy of CIMB_1
Table of ContentsINTRODUCTION...........................................................................................................................1CASE 1............................................................................................................................................1A. Identification on the main problem of the case.................................................................1B. Description on the strategy for which CIMB is using.......................................................2C. Justification on the above strategy.....................................................................................3CASE 2............................................................................................................................................4A. Explain the issues discussed in the given case. ................................................................4B. Description of competitive advantage of the UTAR's university. ....................................5C. Define its strength and kind of opportunities he should use in the future.........................6D. Define strategy in relation to the opportunities and strength.............................................6CONCLUSION................................................................................................................................6REFERENCE...................................................................................................................................8
Business Strategy of CIMB_2
INTRODUCTIONThe term business strategic means deciding the plan and action so on that basis firm canachieve long term growth and objective of the business. It is very helpful in deciding thesystematic idea for the completion of the particular goal. Without the proper strategic function,an organisation cannot run successfully. In this report, there are two cases of business strategichas given, in which one has to focus on the acquisition strategies of the business. The newentrant should focus on the best strategy due to which amalgamated company can earn maximumreturn. In another case the ranking of the universities has given in order to improve theperformance of education to bring overall development. The Malaysia's university is on the toprank as compare to the universities in the Asia. The enrolment of the students can define the realsuccess of the universities.CASE 1A. Identification on the main problem of the case.According to the sources given in the case, the CIMB is looking ahead for acquiring theJupiter securities. The main intention is to get additional licence of the stock broking to merge itsbusiness activities with the china galaxy security. The main problem in this case is that Jupitersecurities is largely affected by market share and trading volume. The main object behind thisacquisition is to get additional stock broking licence. With the help of this the company canreduce the cost of the good and services. In this given case there is issue relating to the revenueof the company in which there is huge difference between the financial reports of twocompanies. The changes in the marketing condition are the main problem behind the failedacquisition of company. The issue with the merger at this point leads to the profit synergieswhich are very limited due to this the plan of acquisition has been dropped.(Baumgartner andRauter, 2017). The cost synergies of the company is hard to execute. For effective merger, company need scaleif there is not any effective scale than company can't be operated at optimal performance. ButCIMB has good size and the scale so if there is any merger with CIMB that would be great inthe term of the return. So, it was enabled to find out the acquisition of the Jupiter securitiesenable to CIMB to obtain an additional licence for its stock broking business to facilitate mergewith china galaxy securities. The cost synergies of company are hard to execute. For effectivemerger, the company need scale if there is not any effective scale than company is not operating1
Business Strategy of CIMB_3

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