MOD003463 - TransferWise: Analysis of Strategic Issues & Solutions

This report delves into the strategic challenges confronting TransferWise, a prominent financial technology company. It identifies key issues such as heightened competition, managing the integration of blockchain technology, and navigating the complexities of global expansion. The analysis extends to providing actionable solutions for addressing these challenges, focusing on practical implementation strategies. Furthermore, the study offers specific recommendations designed to assist the company in overcoming these obstacles and fostering sustainable growth. The report highlights the importance of adapting to technological advancements, managing international expansion effectively, and maintaining a competitive edge in the financial services market. This document is available on Desklib, a platform offering a wide range of study resources for students.

1.0 Coursework Report

TABLE OF CONTENT
2.0 SUMMARY...............................................................................................................................3
3.0 CONTENTS...............................................................................................................................1
4.0 MAIN BODY.............................................................................................................................1
4.1 Strategic issues ......................................................................................................................1
4.2 Challenges .............................................................................................................................3
4.3 Solution .................................................................................................................................6
4.4 Implementation......................................................................................................................8
5.0 Recommendation ................................................................................................................10
CONCLUSION .............................................................................................................................11
7.0 REFERENCES .......................................................................................................................12

2.0 SUMMARY
This study will discuss the strategic problems faced by Transfer wise company. In order
to illustrate the issues, it has been evaluated that the firm is facing issues related to enhanced
competition, management of emergence of blockchain technology, issues related to global
expansion and various such similar kind of challenges. Apart from this, the report will also
elaborate various solutions to resolve such problems by implementing them into practical terms.
Furthermore, the study will also discuss certain recommendations applying into the company in
order to overcome from those challenges.

3.0 CONTENTS
Strategies issues are those fundamental policy choices or having some critical challenges
which must be addressed in order for community to achieve their vision. When addressing some
strategies issues a community is being more proactive in positioning itself for future rather than
having simply reacting to problems. Strategies management issues which explores about the
strategies planning option that organization employee can easily address, engage in collaborative
decision-making, get the organization tough defence and smart offence and monitor opinion with
changes that affect the public policy. Strategies management also involves about setting
objective, analysing the internal organization, evaluating strategies, ensuring about the
management rolls out for the strategies. Transfer wise is London based financial technology
company. Strategies issues are those issues which are being faced by organization for achieving
the objective and goals. This report will examine about strategies issues of organization and what
challenges. It is also suggested the recommendation which has been taken for overcoming with
having following issues.
4.0 MAIN BODY
4.1 Strategic issues
Strategies issues are those things which keep critical thinking and that present problems,
as opportunities or any other factors that have impact on direction and course of company. Cross-
boarder money transfer company given the less-than-stellar performance of competitors which
have made all losses over the same period. Transfer wise have global expansion plan, but the
growth opportunities remain unclear, and they are facing huge issues and many other challenges
banks that could be detrimental to the company own platform.
 Increasing competition- This could be seemed that Wise faces the issues for reality of
its new life as public company and does in market about beware of how much business
have lost their challenges and where the innovation is coming from any direction (Dai
and et.al., 2021). It could be important for having estimated growth and make sure for
having innovation for their growth. Along with this Wise have approaches for providing
the fast money transfer at significantly lower prices than other banks and remains the
strong player for those which rake rate significantly below many of their competitors.
However, it is very competitive on bank to bank transfer and does not compete as card-
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based and also facing high competition from other in industry. While this could keep
important to find out the speed, not its prices and it has the biggest edge. The
organization is facing high issues due to having high rate of their effective rate and
transfer money within long term.
 Managing emergence of blockchain technology- A blockchain is ledge of all
transaction in network. It is also decentralized with having single stored location and
participants network themselves confirm the transaction. Moreover, organization is
emerging fewer with technology through which sometime they are unable to keep their
customer as long term. Transfer wise block chains that already exists and are being more
created within every day. While also ensure them with no single version of what about
block chain and open to everyone for controlled group. There is also about concerning
the data privacy and personal identity risks for the organization (Koul, Yakoob and Shah,
2022). In having such cases of public block chain, user are being typically and transaction
has no personal information which is being shared. It is analysed about that organization
need to keep focus on emerging technology through which they can easily keep customer
and easily transfer their money. This is essential for taking some right steps for
organization and keep them for working with long basis.
 Overcome concerns regarding money- Debit and credit card payment can be
unsuccessful for number and if any error messages appears on screen after you try to pay
and it will confirm the payment which has not been success. This is seems to be
important for the people who are able for working and received the money but slower
than some other banks. Regarding money this could be essential for taking some right
actions and invested money for having more money safely. Financial institution and
money transfer are being providers which are obligated with having report of
international transfer and learn more about the Bank secrecy Act from competitors of the
currency (Vlachokostas, Michailidou and Achillas, 2021). It could be important for
having better customer, and they will not face any issues regarding with money and
concern more about opportunities with their increasing money. The organization can
effectively come to know about their estimated sales and funds that can prepare them
with growth.
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 Growing sustainability towards zero-transaction fee- This emphasis about for
developing brand with having some growth and Transfer wise which essentially
competes in commodity like space. While having cost of comparing with some
alternative services, the company which allow messaging for the users to take some short
cuts and go with having effective brands that are being developed a reputation it being
with cheap, fast and so on. Along with this having higher purpose of serve that can be
needed to deliver to market with having strong and compelling messages. Building trust
for the organization it could be important and keep them for working with some effective
things and ensure them for growth and development. The company brand building which
creates buzz but growth was still about erratic. This could create the effective concepts
and keep them for working with some estimated funds so that sustainability towards the
zero-fee can be success.
 International expansion- Transfer wise is growing more and more aggressively adding
with new geographies system and expanding currency coverage. This seems to be
important for having their growth and ensure them for preparation with some effective
concepts, but the company does not have any globally scalable products since each
market has its own nuances in the way people find their more funds (Sahab and et.al.,
2021). Moreover, this means that it has to changes about the products and need to adopt
some need of their local consumer. In having such things it could business activities for
working with effective funds and also keep their customer as long term. The name that
have been changes to highlight about the company expanded portfolio of services and
keep them for working with some concepts. Wise earns money though charging their
customer service fee on having each cross-currency money transfer. In addition, Wise
revenue streams about the personal as well as company account.
4.2 Challenges
 Increasing competition- A transfer wise is facing challenges due to increasing
competition. They are facing challenges related with having public company and does in
market share which lead them for working with some goals and ensure them for having
attraction towards where innovation is coming from many directions. Along with this
competition from different concepts and individual though having some enterprise and
open market is being basis (Kim And et.al., 2021). While it could also keep for working
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with compete among each other, consumer get the best possible quantity, quality of
goods and services, prices and so on. Antitrust laws which encourage Transfer wise to
compete so that both business and consumer can have benefits. In increasing competition
they have to bring out more and more products and services and try to keep easily
transfer system for their issues facing consumer. Competition among company can bring
invention of new better products or having more efficient process. This could not be easy
for decreasing competition and make sure the marketplace according to consumer
preferences.
 Emergence trends of technology- In present market, digital innovation and trends in
terms of financial technology is taking huge place. Moreover, how the people, financial
organization and banks manage their money through having some effective concepts. In
last some years, Transfer wise organization is facing challenges for towards technology
and changes how people engage with their finances system. This could be seemed that
financial technology need to be improved and automating the process and services within
the organization and also pushing imagination in many new ways and encourage the
growth for the improvement (Hayaeian, Hesarzadeh and Abbaszadeh, 2021). It could be
essential for taking some right measure steps and ensure them for working with right
concepts so that could be easily followed up the trends of technology. The organization
need to work more toward achieving the goals and objective so that could be easy for
them in developing opportunities and make their implementation towards the digital
market. Data security have become the major challenges for their organization and lack
of tech expertise.
 International expansion- Global expansion when business branch out from their home
market and make their business for working globally. Generally, global expansion that
takes place when the business is very successful at their local market and set their
insights for some other location. Therefore, organization is facing such kind of challenges
for international expansion as local restriction might be more limited for business
operation, language and cultural differences, time zones that can make it differ for
working, various other politics issues affect the business sector and managing the fund
transfer. This seemed to be important through which goals objective for the organization
will help for developing and keep them for achieving the customer. Multiple location
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which increases the brand recognition for consumer and signal about that business is
doing well (Thuri, 2021). In addition, they are required for keep attract about overseas
investor and provide them with huge confidence in business performance. Transfer wise
need to have their huge performance towards the better section achievement in expansion
of business.
 Creating new business opportunities- Where the business beyond have their own
regions of various countries and currently remains small, accounting with about their
total revenue. Along with this likely for increasing vital part of its plans for having future
growth. While having such things this could be important for the organization in
developing various countries goals and create their business expansion. Transfer wise
will opt to focus on their efforts remains to be same and numerous many other countries
catering to the money transfer needs to be continent. While also including the growing
numbers of companies and region which should be developed and keep them for working
with goals and objectives (Haralayya, 2021). In creating the business opportunities they
are willing required the customer knowledge about transferring money and make sure for
knowing about the funds and money transfer among each other. It is also needed to
address about its speed in some parts among world and offering instant money transfer.
However, company need to take some strategies through which they can easily build up
their business.
 Getting growth in established market- Away from the regional growth, this could be
seemed to important as Transfer wise may also look to widen about their products
offering in order and also improving towards their revenue in its established markets.
While having such things this could be essential for knowing about need to develop some
additional products as being part of future growth strategies and has development an
investment products and banking types services. Wise currently do not support their
regulatory and compliance challenges for entering this space and potential benefits for
those significant with having target customer. Moreover, having such things this could be
essential for business segment look for appealing with different customer types and
present them with focusing on micro and small business. However, the approaches about
the translating into their significantly changes per customer than they may rival and bring
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out refine about offering to appeal towards some larger organization and making changes
to its management and sales approaches for their particular.
4.3 Solution
Worldwide development when business branch out from their home market and make their
business for working internationally. For the most part, worldwide development that happens
when the business is exceptionally fruitful at their nearby market and set their experiences for
another area. Hence, association is confronting such sort of difficulties for worldwide
development as nearby limitation may be more restricted for business activity, language and
social contrasts, time regions that can cause it to vary for working, different other legislative
issues influence the business area and dealing with the asset move. This appeared to be
significant through which objectives objective for the association will help for creating and save
them for accomplishing the client.
Perfect and effective solution of problems or challenges can be possible when senior
authority, management team and others properly identify factors which mainly affect on
sustainability of business activities and apply approaches for expansion of control. Transfer wise
industry which provide financial technology services it faces multiple challenges from transfer of
money, other competitive industries, business expansion into new area and many more.
Structure the problem: Solution can be easily managed when management or leaders of
specific department prepares structure like this company face issues in managing mergence
blockchain technology. It requires appropriate software, new experts who have great knowledge.
So management and engagement of new technology which helps to reduce conflicts in business
mainly requires appropriate individual identification and involvement in organization who has
long term experience. Thus, structure of problem provides different range of solutions (Seddon,
and et.al., 2020).
Define desired results: Identification or determination of expected results is essential term for
solution development. Organization face issues from zero transaction fee development in transfer
of money. Thus, in this issue management team who specifically perform task for zero
transaction fee development in exchange of finance, for the resolution of this term its import to
engages technology tools net banking, mobile application. Because uses of all the essential
approaches has power to create more sustainability in resolution of issues.
Gathering data and evaluate it
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Brainstorming ideas: One major term is that when its clear that technology management expert
who has great knowledge in innovation tool which useful for financial transaction field. Also
brainstorming includes individual team member develop and evaluate ideas from their different
throughout. Company management team develop brainstorming for business development on
international market because its been clearly evaluated that multiple external forces impacts on
sustainability of business (Goniewicz and Burkle, 2019).
New decision-making: Identification of issues, solution aspects, and essential terms makes
easier ways to develop and implementation of new decision-making. New decision-making helps
for brainstorming or designed results in term of business expansion in new are mainly require
identification their external factors before enter into new market. Consideration of this term is
the only option which helps to raise and influence overall business growth. Also for the
Blockchain technology involvement is important term because it reduces risk, employee
manages discipline within working task or many more.
Change management model: Expansion of this model helps to develop diversity within
organization practices with combination of different people for the solution development process
for specific issue. Also promote to identified and evaluate which area mainly require changes in
business activities.
Lewin's change management model
Unfreeze: Strategic issues solution can be possible when management evaluate which specific
issues baldy impacts on sustainable business performance. It involves and clarify that resolution
of issues and new changes within organization practice is essential term. And unfreezing practice
for change development within in business process can be developed for organization expansion
on international market. It requires appropriate and sustainable identification of global market or
area where they situated their business.
Change: Business expansion in new market is challenging term because of people not higher
prefer to buying goods and services from new organization. Transfer wise industry who serves
financial technology services engage with new approaches within business practices is essential
term to manage multiple aspects for higher business growth and effective. So when its clear that
company mainly require changes in new technology, expansion of business in new area and
many more.
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Refreeze: And the last term is refreeze which means expansion and application of changes
within organization practices for managing goods and services for growth and expansion of new
opportunities. Refreeze term is very useful for approaches resolution of issues and effective
management of new changes with proper solution development with great manner.
The McKinsey 7-s model
Change strategy: Its one of the most essential term and approach for new changes development
within business activities. Almost issues within business happen from unwanted and unexpected
reasons. Knowledge of this term its very clear and consists that management team can be only
mange conflicts with the helps to identification that may be this risks can accrued into future.
Structure: Strategy helps to develop effective changes or variation in organization practice.
Development of structure for resolution of risk and changes can be possible when individual
attracts towards with the appropriate structure development (Zimon, Tyan and Sroufe, 2020).
Systems: New system application within business practices is the best approach for goods and
service expansion into new are, New services involvement and many more. New technology
involvement requires appropriate system and approach.
Style: Determination of final changes that this pattern of strategic approach has quality and
consistency for improvement expansion in business activities. Style is mainly refers to final
identification of new strategies.
Staff involved: New decision and effective decision for business performance effectiveness
mainly refers to includes involvement of staff members when management team develop new
strategic decision for business. Because involvement of every inivdiual who provide services for
organization success. Its essential that senior authority develop higher concern on staff
involvement for powerful decision-making process.
Skills: Completion of planning and appropriate decision-making next is distribution of work to
individual who has potential and skills for completion of given task. It’s very important term to
distribution of work on the basis of ability identification, because experts has power to manage
working activities with more impressive manner.
4.4 Implementation
Engagement of new strategies within business practices for resolution of issues can be easily
possible when management team clearly engage solutions of conflicts. Transfer wise industry
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which provide different range of financial technology services like mobile money transaction,
bank services, online money transaction and many more. So when it implements appropriate
distribution of services its very essential term to engage best and most sustainable approach for
the management of various activities of business. managing emergence of blockchain
technology, overcome concerns regarding money, growing sustainability towards zero-
transaction fee, International expansion and many more issues can be easily resolve with theories
and models application. But the major thing is identification of issues and its solution is easier
but major challenging term is implementation which is not easier approach. So idea and
knowledge of this term organization management has duty to develop higher consideration and
focuses towards with the distribution of work to individual on the basis of their skills evaluation.
Distribution of work on the basis or their skills provides ideas for how to manage conflicts and
challenges with their own capability or skills (Orgeldinger, 2018).
Experts when evaluate that this company mainly face strategic issues in context of business
expansion in international market. Business expansion in international market faces major
complexities; it’s not easier to manage complexities in business activities. Lewin’s change
management model helps to provide solution and makes more clarity in involvement of
appropriate approaches within business activities. Organization management implement various
essential practices for managing their business tasks. So idea of this term make sure individual
engages appropriate activities services which makes more consistency in implementation of new
changes. Blockchain technology involvement is new risk and challenging aspects within business
activities. Idea of this term that business decide to engage new changes because of multiple
conflict in data management within transfer of money, its important term to engages this term
within business practices. Engagement of this term requires reduction of hacks and many more.
Implementation of new changes within organization practices develops quality and consistency
in organization activities. So in terms of globalization mainly requires for the solution of this
challenges is when management team engage individual employee who has great knowledge of
language culture so its easier manner to resolve and management multiple conflicts.
Implementation of this plan easily provides success in business activities and it raises business
performance in competitive or new market or area as well. Idea of this term its been very clear
and consist that business can easily manage their issues and complexities with proper
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