Swot Analysis of Icici Bank

The Merriam Webster dictionary defines the noun “bank” as “an establishment for the custody, loan, exchange, or issue of money, for the extension of credit, and for facilitating the transmission of funds.” In essence it is an institution that serves as a medium of flow of funds between users and savers. A bank is a financial institution that links the flow of funds from savers to users and back. For the purpose of this audit report we will broadly classify banks into two major categories: commercial banks and investment banks.

The banking industry has over the years evolved from simple to large and complex organization. They have grown from one street building into having multiple branches some of which are international. Their clients range from individual and institutions to governments and other banks. Banks do not manufacture physical things. Their work is simply services for money (Koch & MacDonald 2010). Such services include storing, lending and managing money. All people and institutions, as well as governments, need money to operate accordingly.

Retail banking is, however, quite broad in nature - it refers to the dealing of commercial banks with individual customers, both on liabilities and assets sides of the balance sheet. Fixed, current / savings accounts on the liabilities side; and mortgages, loans (e.g., personal, housing, auto, and educational) on the assets side, are the more important of the products offered by banks. Related ancillary services include credit cards, or depository services. Retail banking refers to provision of banking services to individuals and small business where the financial institutions are dealing with large number of low value transactions. This

The bank sells service in the industrial, commercial and real estates. It also offer services in the retail banking and manage treasury for its clients. The services offered by the bank are a commodity because the clients sort these services to satisfy a need that they have.

These banks should ideally be divested of any sort of commercial interest, and must act in the best interest of its nation’s economic stability. A lot of meaning is carried out in being identified as ‘independent’ authority, where the bank possess powers to take its own decisions, approve its own legislature, follow its own policies and offer stability to the nation’s economy.

Banks play vital role and are key elements of global economic activities. So the global trend to do

ICICI Bank is the second largest bank in India based on market share and total assets

Banking industry is highly competitive as there is high exit barrier. Moreover, competitors are large and quite equally balanced. Additionally, as banking industry has emerged for hundred years, just about everyone who needs banking services already has them.

A bank is an institution that facilitates financial transactions between the parties. Amongst its standard operations are accepting deposits from the customers, lending money as loan (cite). The major source of income for banks is interest income which is earned on loans given to the customers, business firms and corporations. This very nature of it makes banking institutions so crucial for economic development of any country. Strong banking operations and fundamentals paves the way for higher customer and investor confidence in the company.

By introducing online and telephone banking economy have no necessary need to go into their local branch and due

Researcher: What is the organization politics? How the management of the bank is enhanced and the system of employing bank staffs in all branches around the globe?

Banks are the most significant players in the Indian financial market. They are the biggest purveyors of credit, and they also attract most of the savings from the population. Dominated by public sector, the banking industry has so far acted as an efficient partner in the growth and the development of the country. Driven by the socialist ideologies and the welfare state concept, public sector banks have long been the supporters of agriculture and other priority sectors. They act as crucial channels of the government in its efforts to ensure equitable economic development.

By 2005-2006, approximately 53% of the overall revenue was from a vast range of financial services. Discovering the importance of potential of financial services, in 2006 the postal department started on issuing Finance Mart. India post also tied up with effective reputable firms like the Western Union and Oriental Insurance, which has supported the Indian Post to create better money transfer and insurance services. Indian Post unlike countries like Japan and Germany, the postal services were also successfully since they play the role of bank. Providing the power and strength of India Post, regarding the Indian Post Services the Reserve Bank of India and the Indian government has the technique to increase the services of India Post into a full-fledged bank so that financial services will be provided to people living in rural areas. The India Post is then successfully extended the network of Indian commercial bank operating in India. India Post in order to gain competitive advantage, took the technique of diversification strategy through offering utility-service providers financial services providers for the sale of various products at post-office counters. Product like mobile cards, cameras, application forms for competitive exams, personal loans, and non-life insurance policies. India post also had partnership with

The nature of banks as regulated institutions imposes special obligations upon a bank, its directors, officers and employees to respect and protect the rights and assets of others, whether customers, shareholders, other employees or affected companies.

This was a step that attracted many foreign investors, Companies such as Ford, Unilever, Hyundai, Coca-Cola, McDonalds, Enron and Nokia, counted India as a key strategic area of operation. Foreigners not only invested in India directly but also enter into joint ventures or take significant stakes in long-established Indian companies. Companies named Ford Credit Kotak Mahindra, Prudential ICICI, Birla 3M, etc. To ease consolidation with the parent company's financial statements or to understand the results of the joint ventures, Indian companies affiliated to such multinationals adopt international