A strategic management for Asia United Bank Corporation / Saila Marie B. Amo.

Thesis (M.A)--Pamantasan ng Lungsod ng Maynila, 2023.

A strategic management paper presented to the Faculty of the PLM Business School -- Graduate Program in partial fulfillment of the requirements for the degree Master in Business Administration.

Asia United Bank Corporation (AUB) is a universal bank and has been in the business for 25 years offering various financial products and services to retail and corporate clients. Its business segments include commercial, consumer, treasury, branch banking, and other activities such as investment banking, remittances, and selling forclosed properties. As of 2021, AUB reported 264 branches nationwide to serve customers. In recent years, it managed to demonstrate strong financial performance and established a reputation as one of the fastest growing banks in the country.

This paper focused on AUB, identified direct competitors, and factors affecting their operations and the banking industry. The researcher made an evaluation of the current mission-vision of AUB and recommended a minor revision to incorporate nine characteristics of an effective mission and attributes for a good vision. The Michael Porter's Five Forces Model was applied to scan and understand the context of industry where AUB belongs and identified Security Bank Corporation and EastWest Bank as the primary competitors of AUB. After which, she identified the different critical success factors and prepared a competitive profile matrix to determine who among is the strongest. The result shows that SBC garnered has the highest points. Furthermore, internal and external condition affecting the bank and its industry, respectively, are evaluated to identify the strengths, weaknesses and different opportunities and threats.

Moreover, different matrices such as SWOT, SPACE, BCG,GS, and QSP were used to evaluate and come up with the best strategies for AUB to achieve its goals and objectives. Result shows that market development which garnered a score of 6.82 is the best strategy for AUB to implement an it would be supplemented with market penetration as the optional secondary strategy. For market development, AUB will establish additional 15 branches (6% increase) and 15 branch-lite-units in different cities and municipalities, respectively, in the country especially in areas without banking presence by the end of 2024. The expansion is expected to generate an increase in total operating income of 20% in 2022, 25% in 2023, 30% in 2024 based on historical performance. The implementation of the strategies will be then evaluated and monitored in four perspectives namely (1) financial, (2) customer, (3) internal process, and (4) learning and growth.