Description
SWOT ANALYSIS OF SAUDI BRITISH BANK
Saudi British Bank SABB
Parent Company
Saudi British Bank SABB
Category
Regional Banks
Sector
Banking and Financial Services
Tagline/ Slogan
Local vision, international expertise
SABB Islamic Financial Solutions conforms to strict adherence to USP principles of Sharia
STP
Segment
Personal, Commercial, Corporate, Private and Islamic Banking
Individuals, Small, medium & large enterprise looking for diverse financial Target Group solutions along with Islamic Non-interest banking
International Bank offering Shariah-compliant solutions within an Positioning integrated system
SWOT Analysis
1. SABB is an Associated Company of the HSBC Group, one of the world’s largest banking and financial services organizations with over 10,000 offices in 83 countries and territories across Europe, the Asia-Pacific region, the Americas, the Middle East and Africa 2. Judged as one of the Best Bank in Saudi Arabia by Euromoney 3. SABB is also active in the field of education, offering scholarships and training programmes for Saudi graduates preparing for a career in banking 4. Over 5000 employees are a part of the organisation Strength 5. Association with HSBC adds more brand value to the bank
1. Bank shares disappointed which can be a concern 2. Competition weighed on profit margins 3. Regulators' decision to encourage banks to make large provisions for loan losses in the third quarter as a precaution affecting the operating Weakness income
Opportunity
1. Strong economic growth may provide a general boost to profits
2. One is that loan loss provisions tapered off last quarter as regulators apparently became satisfied with the banks' precautions. Now that the precautions have been taken, banks may be freer to offer more loans in the relatively risky but lucrative consumer sector 3. Focus on continuing growth to benefit from the government's spending drive
1. Mature markets are competitive. In order for SABB to grow in a mature market, it has to increase market share, which is difficult and expensive 2. The lending environment in Saudi Arabia intensely competitive between a small number of local banks, and means that while banks will be able to book new assets, margins will be tight 3. Global demand for goods produced by emerging market manufacturers Threats continued to weaken
Competition
1. Saudi Hollandi Bank 2. Riyad Bank 3. Arab National Bank Competitors 4. Al Rajhi Bank
doc_339653618.docx
SWOT ANALYSIS OF SAUDI BRITISH BANK
Saudi British Bank SABB
Parent Company
Saudi British Bank SABB
Category
Regional Banks
Sector
Banking and Financial Services
Tagline/ Slogan
Local vision, international expertise
SABB Islamic Financial Solutions conforms to strict adherence to USP principles of Sharia
STP
Segment
Personal, Commercial, Corporate, Private and Islamic Banking
Individuals, Small, medium & large enterprise looking for diverse financial Target Group solutions along with Islamic Non-interest banking
International Bank offering Shariah-compliant solutions within an Positioning integrated system
SWOT Analysis
1. SABB is an Associated Company of the HSBC Group, one of the world’s largest banking and financial services organizations with over 10,000 offices in 83 countries and territories across Europe, the Asia-Pacific region, the Americas, the Middle East and Africa 2. Judged as one of the Best Bank in Saudi Arabia by Euromoney 3. SABB is also active in the field of education, offering scholarships and training programmes for Saudi graduates preparing for a career in banking 4. Over 5000 employees are a part of the organisation Strength 5. Association with HSBC adds more brand value to the bank
1. Bank shares disappointed which can be a concern 2. Competition weighed on profit margins 3. Regulators' decision to encourage banks to make large provisions for loan losses in the third quarter as a precaution affecting the operating Weakness income
Opportunity
1. Strong economic growth may provide a general boost to profits
2. One is that loan loss provisions tapered off last quarter as regulators apparently became satisfied with the banks' precautions. Now that the precautions have been taken, banks may be freer to offer more loans in the relatively risky but lucrative consumer sector 3. Focus on continuing growth to benefit from the government's spending drive
1. Mature markets are competitive. In order for SABB to grow in a mature market, it has to increase market share, which is difficult and expensive 2. The lending environment in Saudi Arabia intensely competitive between a small number of local banks, and means that while banks will be able to book new assets, margins will be tight 3. Global demand for goods produced by emerging market manufacturers Threats continued to weaken
Competition
1. Saudi Hollandi Bank 2. Riyad Bank 3. Arab National Bank Competitors 4. Al Rajhi Bank
doc_339653618.docx