THE FUTURE OF BANKING AND FINANCE?
Introduction :
Banks and other financial institutions play a fundamental role in any economy. They have a correspondingly crucial role to play in achieving sustainable economic development. "The worst financial crisis in living memory highlighted the significant detrimental impact that failure in the financial sector can have on the real economy and the public finances. We need a proper debate about the future structure of banks, the relationship between retail and investment banking, and the question of how to ensure greater competition in the banking industry."
Discussion :
Financial markets have always promised, and often delivered, prosperity. But, during the last decade, the structure and behavior of financial markets themselves helped create the conditions for an economic implosion that resulted in a banking crisis, recession, and wholesale loss of investor confidence.
Institutions will need to be able to make robust decisions based on sound understanding of true profitability after having reflected the return required for the risk and the capital used.
question is, how will banks make money in the future?
Banking is of vital importance to the global economy, therefore a successful, profitable and competitive financial system is essential. Banks must determine which customers they will serve, in which market and with what products. The financial services market, customer and client relationships is become more important, as the power in the relationship swings back to the consumers.
Therefore, while simplifying their business structure and unworkable approach to identifying,
segmenting, targeting and servicing their customers and clients.
Loyalty Based Competition: when all the banks start offering the highest level of customer satisfaction, customers will be confused and then banks will try to create the ultimate loyalty program to make sure, we will stick to the bank for quite a long time. The quest for loyalty will re-shape the customer satisfaction and we will experience far better privilege than now-a-days with bundle of benefits at less cost.
Money makes the world go 'round'. The financial sector currently faces unprecedented challenges. First, it must find a way to overcome the credit crisis and, once the tempest has subsided, banks, insurance companies and pension funds will have to undergo a number of far-reaching structural changes. Globalization will give rise to an entirely new realm of competition.
Conclusion :
Banks will take the role of social institutions and will act as social advisors. Personal finance advisory services will be available in our mobile devise from time to time. Banks will be the most powerful social institutions, as they will hold the individual’s money. The level of personalization will be too high and we will be offered services like day-to-day spending management. We can actually pre-program our yearly budget at a particular time and thus our mobile device will alert you if you exceed your day’s spending.
Technology play a vital roll in all field. It will radically change our life.
"The Future of Finance" takes megatrends from different realms and looks at the whole picture, illustrating it with inspiring examples from all over the world. "The Future of Finance" is highly accessible, contains little jargon and transcends hypes. This book reaches beyond today's problems. It is provocative and ambitious in its scope. A brand new future awaits financial service providers.
About the Author : Adjiedj Bakas is a highly acclaimed futurologist, author and speaker based in Amsterdam. His famed international business and team researches social, cultural, economic, technological and spiritual trends and interprets these for an array of multinational clients. His Megatrends Europe book sold over 100,000 copies. He is a prolific speaker with over 250 speaking engagements around the world. Roger Peverelli is Partner at VODW Marketing and an expert in innovation. He has helped create a range of new product and service concepts as well as entire new businesses for a number of blue chip finance services.
Introduction :
Banks and other financial institutions play a fundamental role in any economy. They have a correspondingly crucial role to play in achieving sustainable economic development. "The worst financial crisis in living memory highlighted the significant detrimental impact that failure in the financial sector can have on the real economy and the public finances. We need a proper debate about the future structure of banks, the relationship between retail and investment banking, and the question of how to ensure greater competition in the banking industry."
Discussion :
Financial markets have always promised, and often delivered, prosperity. But, during the last decade, the structure and behavior of financial markets themselves helped create the conditions for an economic implosion that resulted in a banking crisis, recession, and wholesale loss of investor confidence.
Institutions will need to be able to make robust decisions based on sound understanding of true profitability after having reflected the return required for the risk and the capital used.
question is, how will banks make money in the future?
Banking is of vital importance to the global economy, therefore a successful, profitable and competitive financial system is essential. Banks must determine which customers they will serve, in which market and with what products. The financial services market, customer and client relationships is become more important, as the power in the relationship swings back to the consumers.
Therefore, while simplifying their business structure and unworkable approach to identifying,
segmenting, targeting and servicing their customers and clients.
Loyalty Based Competition: when all the banks start offering the highest level of customer satisfaction, customers will be confused and then banks will try to create the ultimate loyalty program to make sure, we will stick to the bank for quite a long time. The quest for loyalty will re-shape the customer satisfaction and we will experience far better privilege than now-a-days with bundle of benefits at less cost.
Money makes the world go 'round'. The financial sector currently faces unprecedented challenges. First, it must find a way to overcome the credit crisis and, once the tempest has subsided, banks, insurance companies and pension funds will have to undergo a number of far-reaching structural changes. Globalization will give rise to an entirely new realm of competition.
Conclusion :
All the banks in future will fight with uncertainty and complexity due to the rapid global changes. The uncertainty creates fear and complexity creates confusion. Therefore, they will try to be the excellent customer oriented banks to serve you better to ensure their survival.
Banks will take the role of social institutions and will act as social advisors. Personal finance advisory services will be available in our mobile devise from time to time. Banks will be the most powerful social institutions, as they will hold the individual’s money. The level of personalization will be too high and we will be offered services like day-to-day spending management. We can actually pre-program our yearly budget at a particular time and thus our mobile device will alert you if you exceed your day’s spending.
Technology play a vital roll in all field. It will radically change our life.
About the Author : Adjiedj Bakas is a highly acclaimed futurologist, author and speaker based in Amsterdam. His famed international business and team researches social, cultural, economic, technological and spiritual trends and interprets these for an array of multinational clients. His Megatrends Europe book sold over 100,000 copies. He is a prolific speaker with over 250 speaking engagements around the world. Roger Peverelli is Partner at VODW Marketing and an expert in innovation. He has helped create a range of new product and service concepts as well as entire new businesses for a number of blue chip finance services.
Regards
Submitted by - Pooja Pallavi (MBA - 1C)
Pooja - a good try but title not as per the guidelines and poor referencing. Conclusion should have been in your own words and not taken from some renowned author????? Good formatting Well done!!!!!! :-)
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