Strategic Business Plan for Citigroup

BUS317
-------------------------------------------------
Strategic Management
-------------------------------------------------

STRATEGIC BUSINESS PLAN FOR CITIGROUP

Group Members: Tan Poh Thin 31116952 Thng Jiahua Amanda 31116999 Khoo Hong Kah Brenda 31076612 Yeow LiQin 31128223 Yeow LiXian 31128241 Lecturer : Mr Frankie Yee Unit Coordinator : Mr Ian Boudville TABLE OF CONTENTS 1. EXECUTIVE SUMMARY 1
2. CURRENT SITUATION 1
2.1. External Environment 1
2.1.1. Political & Legal 2
2.1.2. Economic 2
2.1.3. Sociocultural 2
2.1.4. Technological 3
2.2. Internal Environment 3
2.2.1. Value Chain Analysis 4
2.3. The Markets 5
2.4. SWOT Analysis 6
2.4.1. Implications of Assessment 6
3. INDUSTRY ANALYSIS 7
3.1. Industry Key Success Factors 7
3.2 Porter’s 5 Forces 9
3.2.1. Implications of Assessment 10
4. COMPETITOR ANALYSIS 11
4.1. Current Situation 11
4.2. Immediate Issues to be Addressed by Citigroup 12
4.3. Information Needed 14
4.4. Competitive Positioning 15
4.5. Competitors Likely Responses to Our Recommended Strategies 16
4.6. Recommendations 17
5. TARGET MARKET 17
5.1. Introduction 17
5.2. Proposed Transnational Segmentation Approach 18
5.3. The Future 20
6. OBJECTIVES 20
6.1. Short Term 20
6.2. Long Term 21
7. Growth Strategies 21
7.1. Ansoff’s Product/Market Expansion Matrix 21
7.1.1. Market Penetration 22
7.1.2. Product Development 23
7.1.3. Market Development 24
7.1.4. Diversification 25
7.2. Evaluation of Strategic Options 25
7.3. Boston Consulting Group Growth-Share Matrix 27
7.4. GE Model 28
8. COMPETITIVE STRATEGIES 29
8.1. Expanding Citibank in US 29
8.2. Developing Citibank’s Women and Co 29
8.3. Integrating Smith Barney & Citibank 30
8.4. Leveraging on Government Support 30
9. IMPLEMENTATION 31
9.1 Schedule & Budget 31
10. EVALUATION & CONTROL 32
10.1. Balanced Scorecard

References: 1. Business Wire. THE FREE LIBRARY BY FARLEX. 2009. http://www.thefreelibrary.com/Fitch+Comments+on+Citibankgroup 's+Strategic+Shift%3A+A+New+Citibankcorp+Emerges.-a0192398748 (Accessed 14 July 2009) | 2. Citigroup profit dips 10 percent , loan losses fall. 2010. Delaware online. The News Journal Associated Press. http://www.delawareonline.com/article/20100717/BUSINESS/7170316/1003/rss01 (Accessed 19 July 2010) | 3. Citigroup"Citibankgroup Reports 2009 Full Year Managed Revenues1 of $91.1 Billion and Expenses of $47.8 Billion." Financial Report, 2010. (Accessed 4 July 2010) | 4. Citigroup. Citigroup Annual Report 2006. 2006. http://www.citigroup.com/citi/fin/data/ar06c_en.pdf (Accessed 9 July 2010) | 5. Economies of Scale and Continuing Consolidation of Credit Unions. 2005. Federal Reserve Bank of San Francisco.http://www.frbsf.org/publications/economics/letter/2005/el2005-29.html (Accessed 20 July 2010) | 6. Isaac Newton 's Third Law of Motion. http://zonalandeducation.com/mstm/physics/mechanics/forces/newton/newtonLaw3.html. (Accessed 10 July 2010) | 7. MarketWatch. Market Watch. July 9, 2009. http://www.marketwatch.com/story/Citibank-gets-new-cfo-hires-mcquade-to-run-Citibankbank. (Accessed 20 July 2010) | 8. Pandit.Vikram. S. 2010. Prepared Testimony of Vikram S.Pandit Chief Executive Officer, Citigroup Inc. Citigroup.com http://www.citigroup.com/citi/press/2010/100304a.htm (Accessed on 21 July 2010) | 9. Schatzker. E, J. Moore. Pandit says citigroup goal is ‘profitability now’ after losses. Bloomberg Business Week.2010. http://www.businessweek.com/news/2010-01-29/pandit-says-citigroup-goal-is-profitability-now-after-losses.html (Accessed 20 July 2010) | 10. Xinhua. Citi CEO lays out future objectives in China as core market. 2010. http://www.china.org.cn/business/2010-02/05/content_19373301.htm (Accessed 10 July 2010) |