Description
SWOT ANALYSIS OF LUZERNER KANTONALBANK

Luzerner Kantonalbank

Parent Company

Luzerner Kantonalbank

Category

Regional Banks

Sector

Banking and Financial Services

Tagline/ Slogan

-

USP

Focuses on financing small businesses in Switzerland

STP

Segment

Commercial banking and money market segment

Target Group

Individuals and small enterprises

Positioning

One stop solution for all the investment related services

SWOT Analysis

1. Every year, it makes considerable investment to grow its customer base 2. It offers a wide variety of services portfolio management, investment advice, securities trading, derivatives, lombard loans, mortgage loans, documentary credits and collections and guarantees 3. It has a wide employee base of about 1000 employees Strength 4. The bank has a strong market share in Lucerne

1. The bank primarily operates in Switzerland and it poses a risk as it is concentrated only in one region 2. It sets aside a lot of money for reserve as a reserve for bad debts and it reduces the money available for investment 3. Inappropriately managed loan portfolio which led to an increase in Weakness the number of non-performing assets

1. Conservative risk management in its core business of lending can be expanded to the other services as well 2. Can expand in international markets as there is a lot of growth potential in the developing economies Opportunity 3. Focus more on customer segment-based strategies with new and innovative products and a shift toward more focus on high-growth sub-

segments

1. Derivatives segment also takes a hit with more people withdrawing their money as a result of bleak economic scenario 2. Lack of demand for housing loans segment which resulted in the decrease in banks results which shrunk 3. The ability to pay dividends to the shareholders may be affected by Threats the ability of its subsidiaries to pay dividends to it

Competition

1. Graubuendner Kantonalbank 2. Bellevue Group AG Competitors 3. Basler Kantonalbank AG



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