Economic Environment Sample Essay
Today’s economic environment is quite challenging and ever-dynamic, and as a result, poses a daunting challenge to business persons and organizations to meet the resultant competitiveness and dynamism of the operation environment. In this regard, the banking business is more challenging following the various economic challenges ranging from global economic crises to local financial crises like mortgage ones. In this discussion, Citigroup retail banking is at center stage as a case study. Historically, Citigroup retail banking was formed over two hundred years ago through the combination of a number of different firms.
But today, the Citigroup retail banking corporation comprises Citibank which was founded in the year 1812, Banamex founded in 1884, Bank Handlowy founded in 1870, Salomon Brothers founded in 1910, and Smith Barney founded in 1873.
The principal components are the main parties to Citigroup retail banking the group brands itself as “Citi”. Business-wise, Citigroup maintains four main business lines, each with a local and global emphasis.
These four main business lines are Consumer Banking, Corporate and Investment Banking, Wealth Management, and Alternative Investments.
However, in the recent future, Citigroup has not been seen to do well in regard to those four main business lines reflected by an 80 percent decline in its net income.
It is in this line of thought that this discussion point seeks to examine and analyze the challenges that Citigroup retail banking faces that threaten its existence in the banking business.