1. A Case Analysis Cheryl Bluthardt, Brandy Church, Dawn Townley, and Amanda VanKoevering

2. Gaining familiarity with the Citibank organization

3.  Global, multidimensional financial institution  Leaders include: ◦ Sanford Weill, Citigroup’s chief executive ◦ Jorge Bermudez, Citigroup’s executive vice president  Employed > 325,000 staff  Serviced > 200 million customers  Operated in > 100 countries Hitt, M.A., Ireland, R.D., & Hoskisson, R.E. (2011). Strategic Management: Competitiveness and Globalization (9th ed.). Mason, OH: South-Western Cengage Learning.

4.  Become the world’s leader in e-business.  Strategy – Connect, Transform, Extend  First priority – meeting customer needs.  “We are here to serve our clients: whatever our clients want us to do we’ll do it for them.” - Caroline Wong, Head of E-Business Group (Cash & Trade), Citibank Hong Kong (p. 105) Hitt, M.A., Ireland, R.D., & Hoskisson, R.E. (2011). Strategic Management: Competitiveness and Globalization (9th ed.). Mason, OH: South-Western Cengage Learning.

5. Indicators that something is not as expected or desired

6.  Citibank experienced difficulty: ◦ meeting diverse customer needs ◦ earning profit ◦ maintaining supremacy amongst intense business competition Hitt, M.A., Ireland, R.D., & Hoskisson, R.E. (2011). Strategic Management: Competitiveness and Globalization (9th ed.). Mason, OH: South-Western Cengage Learning.

7. Goals for the future

8.  Provide customers with technology to conduct secure business anywhere  Align with partner companies  New technology to streamline A/R, A/P, and liquidity management  Reach new markets  Improve customer service  Cut costs Hitt, M.A., Ireland, R.D., & Hoskisson, R.E. (2011). Strategic Management: Competitiveness and Globalization (9th ed.). Mason, OH: South-Western Cengage Learning.

9. Models used to conduct the analysis

10.  Industry Trends include: ◦ Use of technology to increase banking efficiency (Hitt, et al, 2011) ◦ Use of electronic payments (Hitt, et al, 2011) ◦ Increased number of consumers with credit cards (Citibank, 2006) ◦ Preference of brand recognition and proven history of financial security (Hitt, et al, 2011).

11. Strengths: Strong Brand Recognition Continuous Investments in Technology Global Presence Diversification of Products and Services Weaknesses: Declining Capital Debt Obligations Due to Subprime Market High Customer Demands Complicated Products Lack of ability to keep up with advancing technology Opportunities: Expand Good Reputation Improve Existing Web Features & Expand Global Banking Increase Customer Service Offer Fresh Approach to Banking Threats: Competition Heavy Investments in Technology Regulatory Scrutiny Weakening Financial Markets Hitt, M.A., Ireland, R.D., & Hoskisson, R.E. (2011). Strategic Management: Competitiveness and Globalization (9th ed.). Mason, OH: South-Western Cengage Learning.

12.  Profitability Ratios = acceptable  Liquidity Ratios = acceptable  Leverage Ratios = acceptable  Activity Ratios = acceptable  Shareholders’ Return Ratios = acceptable Hitt, M.A., Ireland, R.D., & Hoskisson, R.E. (2011). Strategic Management: Competitiveness and Globalization (9th ed.). Mason, OH: South-Western Cengage Learning.

13. Citigroup. (2006). 2005 Financial Information. Retrieved April 13, 2011 from http://www.citigroup.com/citi/fin/data/k05c.pd f?ieNocache=353. http://www.citigroup.com/citi/fin/data/k05c.pd f?ieNocache=353

14. Discrepancies between Citibank’s goals and actual performance

15.  Rapidly changing customer needs with limited resources to provide technologically advanced products.

16. Goal Options Improves Quality Cost to Implement Time Required Ease of Staffing Financial Return TOTAL Points Technology enabling customers to conduct business anywhere 3223313 Partner alignment 3313313 Technology- based A/R, A/P, and liquidity mgmt 3222211 Reach new markets 111238 Customer Service 311128 Cut costs111137

17.  Align with Square to make their credit card processing software/hardware available to current Citibank customers, allowing customers to conduct secure credit card processing anywhere anytime at low cost.

18. How to improve Citibank’s situation

19. Developing and implementing marketing campaign Creating processes for Sales Department once marketing plan has been implemented Collaborating with Square to accommodate back-end accounts receivable and accounts payable software Negotiating terms with Square LeadershipIT Marketing Operations Processes (Sales)

21.  Citigroup. (2006). 2005 Financial Information. Retrieved April 13, 2011 from http://www.citigroup.com/citi/fin/data/k0 5c.pdf?ieNocache=353http://www.citigroup.com/citi/fin/data/k0 5c.pdf?ieNocache=353.  Hitt, M.A., Ireland, R.D., & Hoskisson, R.E. (2011). Strategic Management: Competitiveness and Globalization (9 th ed.). Mason, OH: South-Western Cengage Learning.