Analyzing International Business Trends: JP Morgan Chase Case Study

This presentation provides an in-depth analysis of international business trends, using JP Morgan Chase as a case study. It explores the impact of technology and innovation, examining the company's background and its response to the external environment in the USA, Germany, and Australia. The presentation delves into technological, demographic, political, and geopolitical factors, as well as the implications of globalization on JP Morgan's operations and the financial sector. It identifies key trends affecting financial services, such as digitalization, artificial intelligence, and cloud banking, and outlines JP Morgan's strategies, particularly those focused on sustainability and leadership. The presentation emphasizes the importance of adapting to external environments and incorporating innovative technologies to maintain a competitive edge in the global market.

Trends in
International
Business
JP MORGAN CHASE CASE STUDY

Introduction
The presentation will discuss;
The scope of topic
Impact of technology and Innovation
Company background
Impact of external environment
External factors affecting international business in the USA, Germany and Australia
Impact on Leadership

Executive Summary
It can be said that the viability of companies operating in the financial sectors depends on
trends that exist in the locations that the company operates in. The external environment fro
operations of the companies determines the nature of operations of the companies who are
operating in the industry. JP Morgan operates in the financial sector while offering an array of
banking and financial services. The aim of the presentation is to analyse the external
environment for operations of JP Morgan in countries such as Australia, USA and Germany. The
technological, demographic, political and geopolitical environment of the said countries have
been discussed along with the implications of globalization of the operations of the company
and the financial sectors. Furthermore, the factors affecting the viability of the financial sectors
has been provided along with the strategies taken by JP Morgan to highlight the identified
issues.

Scope
While multinational organisations are operating in the market, they have to be mindful of
external environment.
The external environment constitutes of factors that determine the viability of the organisations
while they are operating globally (Suddaby, Bruton & Si, 2015).
Thus, companies need to carry out intensive marketing research (Fatma, Rahman & Khan, 2015).
With the help of effective analysis of the external business environment, the companies can take
strategies through which the companies can sustain their position in the market while they
operate in the market.

Impact of technology and
Innovation
Innovation definition:
In terms of business it can be said that innovation refers to the transition of an unique ideas in a product or
service that creates value for the consumers who are willing to purchase the same (Edison, Ali & Torkar,
2013).
Impact:
It can be said that innovation is a driver when it comes to sustainability in international business.
The company that is able to incorporate innovative technology in their work ethics will be able to gain
effectiveness in operations.
The latter is evident in countries that are deemed to be developed in nature.
People in developed nations such as the USA, Germany and Australia are technologically adepts thus,
innovation must be incorporated into operation in order to capitalize on customers belonging to such
countries.

JP Morgan Chase
The company was founded in 2000 by Aaron
Burr and John Pierpont Morgan
(Jpmorganchase.com).
The company has its headquarters in New
York.
The company offers banking and financial
solution while it is operating in the market.
As of 2018, the $40.764 billion

Impact of External Environment
Regardless of the location a company is operating in, they have to comply with the external
environment.
In various countries there are different external environments.
Factors such as technology, demographic structure, political framework, geopolitics and effects
of globalisation are the factors that constitute the political environment.
The external environment helps in shaping the nature of operations of companies and the
implications that they are subject to while operating in the said markets.
The following sections will discuss the implications of the external environment while JP Morgan
operates in countries such as USA, Germany and Australia.

Technological environment
USA;
The country accounts for one-third of the R&D that is carried out all
over the world. Amazon is on the top of R&D list.
Increase in the propensity of innovation.
Experiencing severe competition from Various nations.
Germany
Considerable amount of investment in R&D.
Independent and government run laboratories.
Technological competency boosted by Ministry of Science and
Technology.
Australia;
Innovation and technological competency is appreciated in the country.
High investment on R&D.
Country has incorporated considerable amount of innovations.

Demographics
Australia
Population to be estimated around 25,493,800
Country is multicultural with various languages spoken,
English is the primarily spoken language.
Germany
Population of the country is estimated to be around 83 million.
German is the language spoken primarily
The death rate is higher compared to the death rate.
USA
Population estimated to be around 329,524,838.
English is the primarily spoken language
The population is on the verge of rising, obesity is prevalent.

Political environment
USA
Progressive taxation system
High rate of sales
Evidence of labor laws and equal employment
Australia
Lack of political interventions
Appreciation to activities such as sustainability
Transparency
Germany
Democratic Republic state
Political system established and is known as Grundgesetz
(Bleibtreu et al., 2018).
Fundamental structure incorporates value system.

Geopolitics
USA : Favourable international political relations with
various nations. JP Morgan being a country of US origin
helps have favaourable nature of operations in the USA.
The population of the country is aging and has been
identified as a point of main concern. CSR activities are
carried out and determines the effectiveness of operation
of JP Morgan in the US
Germany: The country is independent and does not rely on
international relations. Sustainable reputation with
community service is a key to achievement of success of
the company in country.
Australia: Favourable international relations with a stable
political reputation. Environmental sustainability is a key to
success in gaining compliance with the environmental
legislative bodies. JP Morgan have been able to carry out
the same through its carbon reduction plan.

Globalisation
Advent of Globalisation has had varied effects on Australia, Germany and the USA.
The nations are incorporating innovation in their activities.
Even on the advent of globalization low interest rates are hurting the financial performance of
each of three nations. In USA, Germany and Australia, the reserve banks of the counties
maintain a low interest rate.
Rise of multinational companies in all the countries. The companies that are seen to be adopting
green tactics are gaining favourable nature of outcomes in terms of environmental legislation,
thus, bolstering the scope of companies to perform effectively in the countries (Chen,
Karabarbounis & Neiman, 2017).
Favourable nature of relations needed to sustain international business motives.