In this article I have tried to present SWOT Analysis of IDBI Bank (Industrial Development Bank of India)
SWOT Analysis is as follows :
STRENGTHS IN THE SWOT ANALYSIS OF IDBI BANK
- The main strength of banks is to assist their core banking activities with state-of-the-art technologies.
- Currently there are 3,702 ATMs, 1892 branches, one of which is in Dubai abroad, 58 e-lounges and 1,407 centres.
- IDBI has a workforce of 18000.
- In comparison to the previous year the bank has grown by 60 percent.
- By opening the’ G-sec portal’ IDBI has the first mover advantage.
- The IDBI is one of India’s largest commercial banks with an emphasis on industrial infrastructure and growth and its products portfolio includes 14 specific classifications and some subcategories each. This platform allows institutional investors to invest in government securities.
- The headquarters ‘ position in Mumbai reflects the rise in the capital market infrastructure, IT, asset management and life insurance of the bank’s subsidies.
WEAKNESSES IN THE SWOT ANALYSIS OF IDBI BANK
- Rural market is less penetrated by IDBI.
- IDBI has much less branches and ATM networks than other major players.
- IDBI focuses mainly on commercial banking services while the main revenues lie in individual banking services.
- The customer service desk does not work efficiently and there is a variety of customer issues unresolved.
- IDBI bank receives a lot of consumer complaints concerning servicing costs.
- And Bank is not following aggressive promotional strategy.
OPPORTUNITIES IN THE SWOT ANALYSIS OF IDBI BANK
- Because IDBI is part of the public sector the potential for implementation of government schemes is strong.
- IDBI provides global prospects as management focuses heavily on global expansion over the next several years.
- In the growing industrial and economic growth of India, IDBI offers a great number of financial capabilities.
- It is the only public sector bank to have social media plug-ins on its website. The brand recognition is strengthened and its customers better served.
- The bank has decent opportunities in semi-urban and city areas of Tire II, as industrial growth takes place very rapidl
THREATS IN THE SWOT ANALYSIS OF IDBI BANK
- Because of competition from both government and private banks, IDBI faces tough competition for new market developments.
RBI allowed FDI up to 74 percent in Indian banking.
- HDFC, ICICI, SBI, Punjab, Andhra Bank and Allahabad Bank are the main profitability banks in private banking and public sector.
- To retain loyal customers, the Bank must focus on improving customer satisfaction.
- Because of recent scams and illegal practices bank has earned customers and investors’ mistrust.