Banking Industry Research Paper Example | Topics and Well Written Essays - 1000 words

Banking Industry - Research Paper Example It was a considered a premier bank in the Asian region. In Japan, after opening its branch in 1866, the bank went on to become an adviser to the government on banking and currency. In 1888, it was the first bank to be established in Thailand, where it printed the country's first banknotes. Today HSBC proudly boasts of over 100 million customers around the world1, with 9500 offices in 85 countries and a diverse workforce of more than 335,000 people1. The bank has successfully completed 140 years of its presence in China in 2005 with UK having the biggest share of its operations with over 55,000 employees serving the bank customers. Political: Today the world is indeed divided into many political arenas on the basis of issues like economic policies, fundamentalism, terrorism, oil exploration, nuclear power etc. The banking industry is the one whose association is required in almost all types of businesses. In the times when economic liberalisation is in full swing all around the globe, the attitude of governments determines the fate of banking operations in any country. HSBC has so far been doing well in almost all parts of the world, without being associated with any major controversy. Economic: The economic policies being pursued by the government also... PESTLE factors include; Political: Today the world is indeed divided into many political arenas on the basis of issues like economic policies, fundamentalism, terrorism, oil exploration, nuclear power etc. The banking industry is the one whose association is required in almost all types of businesses. In the times when economic liberalisation is in full swing all around the globe, the attitude of governments determines the fate of banking operations in any country. HSBC has so far been doing well in almost all parts of the world, without being associated with any major controversy. Economic: The economic policies being pursued by the government also determines the banking and finance sector. For example, if the country has an open economic policy, pursuing the globalisation and liberalization policies, that indicate more and frequent business operations, diversifications, expansions, mergers, acquisitions etc. which in turn imply more opportunities for the banking sector. HSBC having majority market share in many markets like UK and USA, heavily depends on economic factors. At present the indications of recessionary trends from many markets, doesn't bode well for banking sector in general and HSBC in particular. Socio-cultural: The society in general has a big influence on any business and the banking and finance industry is certainly not an exception. The saving habits, the spending habits, holidaying practices and the lifestyle determine the extent to which banking industry will be affected by such factors. Technology: Impact of technology can be seen in almost all walks of life today. The increasing emphasis on online banking, e-commerce etc. requires that banks invest good amount in making available reliable