swot analysis
3. SWOT Analysis
Strengths
Visa inc. operates as the world's largest consumer payment system and boasts more than 2 billion credit and other payment cards. Besides, it also offers the services such as debit cards, Internet payment systems, value-storing smart cards, and traveller’s check. It had been known as the network which connects thousands of financial institutions worldwide. Generally, Visa act as a global market leader which brings a lot of benefits over many companies. For instance, they possess good brand names, higher margins, income level and other significant benefits. They tend to use their ability to raise debt at lower cost. In conclusion, they generally have a constant and stable business than their competitors and are more likely to acquire other business opportunity comes about. On the other perspective, Visa inc which act as a market dominance tend to build a strong and good brand names. For instance, when we think about the credit or debit card we think of Visa or Master card. We usually won’t think about the name of other banks which provided us with the card. Furthermore, strong brand name will bring some advantages to the company such as enhance product recognition, helps to build customer loyalty, helps in product positioning, builds brand equity and so on. Visa inc is a duopoly which represents a great moat making it extremely tough for a new competitor to come on board. A Company operating in a duopoly face lower competition, because there is less rivals in the system. When the company operate in lower competition situation, it means they can offer higher prices and better margins. Sometimes a duopoly can form from government intervention or through economies of scale. There are sometimes natural barrier, such has high capital expenditure costs that prohibit competitors from entering the system. For instance, they use the oligopoly market. Last but not least, Visa inc Credit Card Business is lucrative. Lucrative means that the
Strengths
Visa inc. operates as the world's largest consumer payment system and boasts more than 2 billion credit and other payment cards. Besides, it also offers the services such as debit cards, Internet payment systems, value-storing smart cards, and traveller’s check. It had been known as the network which connects thousands of financial institutions worldwide. Generally, Visa act as a global market leader which brings a lot of benefits over many companies. For instance, they possess good brand names, higher margins, income level and other significant benefits. They tend to use their ability to raise debt at lower cost. In conclusion, they generally have a constant and stable business than their competitors and are more likely to acquire other business opportunity comes about. On the other perspective, Visa inc which act as a market dominance tend to build a strong and good brand names. For instance, when we think about the credit or debit card we think of Visa or Master card. We usually won’t think about the name of other banks which provided us with the card. Furthermore, strong brand name will bring some advantages to the company such as enhance product recognition, helps to build customer loyalty, helps in product positioning, builds brand equity and so on. Visa inc is a duopoly which represents a great moat making it extremely tough for a new competitor to come on board. A Company operating in a duopoly face lower competition, because there is less rivals in the system. When the company operate in lower competition situation, it means they can offer higher prices and better margins. Sometimes a duopoly can form from government intervention or through economies of scale. There are sometimes natural barrier, such has high capital expenditure costs that prohibit competitors from entering the system. For instance, they use the oligopoly market. Last but not least, Visa inc Credit Card Business is lucrative. Lucrative means that the