Case Analysis: Alpen Bank's Credit Card Launch in Romania - Strategy

This case study analyzes the challenges faced by Alpen Bank in launching a credit card in Romania. The bank's head, Mr. Gregory Carle, identified issues related to consumer and merchant reluctance towards credit cards due to preference for cash transactions. The analysis defines the problem, examines decision factors such as low per capita income and inexperienced population, and conducts a SWOT analysis. It proposes solutions like creating customer awareness and setting SMART objectives for the launch. The study also emphasizes the importance of customer follow-up and control measures to ensure the success of the credit card launch. The conclusion highlights the opportunities for Alpen Bank in Romania despite the challenges, particularly due to rising incomes, and the need for strategic approaches to overcome them.

Case Analysis
Alpen Bank
Launching the credit card in Romania

Defining the
problem
Alpen bank is private banks that mainly focus
on enter into the credit card within Romania.
The head of the country Mr. Gregory Carle
calculate that it generates the high level of
profit for country on annual basis. At this time
Gregory Carle examine the fact that consumers
and merchants within Romania are not merely
comfortable with credit cards because they
mainly believes that cash transactions are
more effective as it eliminates the issues of
fraud and inappropriateness occurred while
conducting credit card transactions. It is very
essential to define the problem of case analysis
because it helps in presenting the solutions to
attract long term sustainability. In terms of
Alpen Bank, head of bank Mr. Gregory focus on
defining the problem of launching the credit
card business within Romania. It is recognized
that launching of credit card in Romania is not

Measuring progress
of the credit card
operation
Alpen Bank
● To understand this case proper analysis
should be done below that represents the
problems that the Alpen Bank and country
head face while launching credit cards.
According to the problems this also studies
the alternatives to overcome the issues by
setting the objectives to implement
strategies efficiently and effectively. At last
it represents the response of customers by
taking the regular follow-ups so that
efficiency would be maintained related to
launching the credit cards.
● The head of the country implement this
scheme quickly because it helps in
developing the per-capita income along
with enhancing living standards of people.
But in this the management of Alpen Bank

Enumerate
Decision Factors
based on the
problems faced by
Alpen Bank
● Low per capita income- The first and foremost
issue that was faced by Alpen bank in launching
the credit card business in Romania is the low
per capita income level of people along with
poorly developed infrastructure of Romania and
bank.
● Inexperienced population- It is another major
issue that a management of Alpen Bank is to be
faced. Lacking of digital experience within the
people of society resists the use of digitalization
like use of credit cards.

SWOT ANALYSIS
- Premium image is a stregth of Alpen
bank.
- The high cost involved in building
customers is the biggest weakness of
Aplen Bank.
• Rising incomes of the population is
creating great significance and opportunity
for Alpen Bank.
• Lack of Education and lack of
awareness in population about using
credit card is the biggest threat for
Alpen Bank.
Strengths Weakness
Opportunities Threats
InternalExternal

Develops the
alternatives The first alternative solution that is provided for
overcoming the issues of launching a credit
card is creating awareness by educating
customers for benefits of using the credit cards
in their day to day transaction. In this
management of Alpen bank provide the number
of schemes to customers so that they show
their interest of using credit cards and make
payments by using credits card. This helps in
enhancing the customer’s attractions towards
the Alpen Bank services.

Identify objectives
After preparing the alternative solutions it is very
essential to set the objectives that reflect the
profitability time of gaining the opportunity by
implementing credit card facility in Romania. For
this management of Alpen bank prepares a
SMART objective that is discussed below:
Specific- This aspect discussed the goal of a
business. In terms of Alpine Bank the main goal is
to launch the credit card facility in Romania for
gaining profitable results and it should be done
within the period of 1 year.
Measurable- For this management of Alpine bank
focus on train the employees and advertise the
usage of credit card so that more and more

Specify control
After completing the above several factors it is
very essential to set the guidance for customers
related to credit card payments such as cross
sell, direct sell, interest horde from middle class
people, rich class people etc. For this manager
of the Alpine Bank take regular follow up of
customer so that customers are satisfied with
the service and sustain with the bank with
credit card facility for a longer period of time. It
also helps in developing the economy and
infrastructure of Romania within the
marketplace.

Conclusion ● On the basis of above project and analysis
of case study it has been find out that
Alpen Bank is facing many issue in
effective launching of its credit cared that
comprises of low level of education and
awareness in population. It has been also
find out that increasing level of income of
population is creating opportunity for
Alpen Bank to effectively launch its credit
card through enhancing its customers
base.

References Alpen Bank: Launching the Credit Card in
Romania,2021.[Online]. Available through:
https://www.hbs.edu/faculty/Pages/item.aspx?
num=41818

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