The Turkish financial sector has developed rapidly and often unpredictably, and is an ideal setting for carrying out an analysis of the industry in the dynamic environment of an emerging market. Akbank, one of Turkey’s leading private banks, has been successful in the use of the new possibilities that seemed in the credit card sector as a result of the crisis, restructuring the financial services industry in the early 2000s. Launched in late 2001, Akbank Axess credit card quickl … Read more »

The Turkish financial sector has developed rapidly and often unpredictably, and is an ideal setting for carrying out an analysis of the industry in the dynamic environment of an emerging market. Akbank, one of Turkey’s leading private banks, has been successful in the use of the new possibilities that seemed in the credit card sector as a result of the crisis, restructuring the financial services industry in the early 2000s. Launched in late 2001, Akbank Axess credit card quickly a significant market share of 15 percent and was popular with customers and dealers. At the same time, the attractive margins in this sector, many local and foreign competitors have sparked entries. Setting a sustainable strategy for the coming years is complicated by the change in the political, macroeconomic and competitive environment. The new government, the country since 2002, the overall stability in Turkey, which created both opportunities and risks for the business Akbank improved. The opportunities include an improved banking system and increasing customer demands disposable income, while the market for credit cards is not yet saturated. However, threats of unpredictable actions that could implement banking supervision and the increasing competition from local and international players. The dynamic nature of the banking sector in an emerging market provides a comprehensive discussion of the case, a flexible development strategy in a changing environment to anchor. The purpose of Akbank’s case, the students develop environmental analysis skills. It was designed to be used in a strategy course at an undergraduate or graduate level. Moreover, it can be used in a marketing course to show issues related to loyalty programs or in an international business course to illustrate the impact of environmental factors on uncertainty management decisions.
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from
Mary M. Crossan,
Marina Apaydin
Source: Ivey Publishing
29 pages.
Release Date: 12 December 2008. Prod #: 909M02-PDF-ENG
Akbank: Credit Card Department HBR case solution

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