Get The Free Sample Complete
SWOT & PESTLE Analysis Report
This report is shared in order to give you an idea of what the complete SWOT & PESTLE analysis report will cover after purchase. We invest deep in order to bring you insightful research which can add tangible value to your business or academic goals. We also guarantee that you cannot find matched quality at such competitive and economic pricing.
Get Your Free Summary Copy of the
SWOT & PESTLE Analysis Report
Get the summary SWOT & PESTLE.com report delivered straight to your email inbox for free.
Our insightful and holistic reports have helped corporate,academia and researchers to take their research forward. Like us on Facebook to stay updated with the latest published SWOT & PESTLE Report.

Commonwealth Bank of Australia (CBA) SWOT & PESTLE Analysis

ID : 5243053| Dec 2019| 15 pages

COMPANY PROFILE -Commonwealth Bank of Australia (CBA)

Business Sector :Banking and Financial Services

Operating Geography :Australia & NZ,, Global

About Commonwealth Bank of Australia (CBA) :

The Commonwealth Bank of Australia (CBA) is an Australian multinational bank. CBA was founded in 1911 by the Australian Government under the Commonwealth Bank Act with its first branch in Melbourne. From 1920 till 1960, CBA served as the central bank of Australia. CBA was listed in the Australian Stock Exchange in the year 1991. It was fully privatized in the year 1996. Currently CBA has operations and investments globally with much of its operations concentrated in the Asia – Pacific Region. As of March 2018, CBA is the third largest listed company in the Australian Stock Exchange. It is one of the Big Four Australian banks, along with NAB, ANZ and Westpac. CBA has 48,240 employees as per 2019 records.

Commonwealth Bank of Australia (CBA) Revenue :


AU $ 25,907 million (Total operating income cash basis) (FY ending 30th June 2018)
AU $ 25,257 million (Total operating income cash basis) (FY ending 30th June 2017)

Competitive Analysis of Commonwealth Bank of Australia (CBA)

SWOT
PESTLE
The SWOT Analysis for Commonwealth Bank of Australia is given below:
Strengths
Weaknesses
1. Leading Australian bank according to Main Financial Institution (MFI) rankings
2. Higher quality and well diversified credit portfolio
3. Continued emphasis on technology
4. Robust financial position and capital ratios
5. Continually improving work environment
1. High dependence on offshore borrowings
2. Embroilment in money laundering scandal
3. Limited geographical diversity
4. Increasing operating expenses
Opportunities
Threats
1. Expansion into Asian and other emerging markets
2. Indigenous Customer Assistance Line (ICAL)
1. Phasing out of the government guarantees to banks
2. Higher capital requirement by APRA
3. Fragile business environment and slowdown in China
SWOT & PESTLE (combined)
Complete Report
USD 12.53
*
  • with PayPal
  • with Debit/Credit card
Great quality, Affordable pricing.
Safe and secure payments

Detailed SWOT Analysis of Commonwealth Bank of Australia (CBA)

 

Strength

1. Leading Australian bank according to Main Financial Institution (MFI) rankings: Commonwealth Bank of Australia has always been committed to customer satisfaction and this has been the key to its business sustainability and success. CBA was ranked number one among major banks of Australia in the Retail MFI Customer Satisfaction Index. Further CBA also maintained equal rank or first position in MFI customer satisfaction for most business segments including mobile and online banking for 2016. CBA’s Wealth Management segment is also its key business strength and was ranked first for first for adviser satisfaction among leading Australian banks. According to the latest customer satisfaction rankings by Roy Morgan’s Single Source survey, as of January 2018, CBA has maintained the highest satisfaction rating amongst the Big four Australian banks at 79.6%. CBA is continuously pursuing innovation to provide better services to its customers and the focus is on exceeding customer expectations and achieving customer delight.

2. Higher quality and well diversified credit portfolio: Commonwealth Bank of Australia has adopted a more conservative approach and has entered into Master Netting Arrangements with its aides. This has helped CBA manage and reduce its derivatives risk. CBA has also maintained a more conservative and diversified portfolio using portfolio approach for the management of its credit risk with 57.8% of its loans and receivables in domestic mortgages while only 10% of its loans and advances accounted for by overseas transactions as of FY18. This has allowed CBA to meet its liquidity as well as regulatory requirements.

3. Continued emphasis on technology with new offerings: Commonwealth Bank of Australia has continued its innovation in technology in order to streamline its operations build its capabilities and ensure customer satisfaction. Some of the technological innovations introduced by CBA are CommBank App which allows card less withdrawal from ATM’s, Emmy - contactless payment terminal, Daily IQ – a mobile analytics app which uses transaction data to deliver customized analytics to business customers and Simple Life – an offering from CommInsure which provides life insurance solutions on the mobile phone.
CBA’s has also established a state-of-the-art global Innovation Lab network which helps it to partner with clients, start-ups and FinTech companies to develop next-generation technology products and services. CBA’s acquisition of TYME (Take Your Money Everywhere), the South Africa based fin-tech company in 2015 has helped the bank strengthen its digital banking ecosystem and capabilities. CBA has also made investments in areas like blockchain and quantum computing which will help it prepare for the future by establishing a strong technology framework which the bank can capitalize on. As of FY18, CBA has 6.5 million active digital users and remains the only major Australian bank with a real time banking system.

4. Robust financial position with high credit ratings: Over the past year CBA has maintained a strong financial position. CBA’s net profit for FY ending June 2018, stood at $9.23bn. The bank also delivered a total dividend payout of $4.31 a share for FY18, which was above expectations. The retail segment which is the main growth driver for the bank also delivered a stellar performance with 9% increase in profits in FY17. In FY18, CBA’s Net interest income had increased by 4.5% to A$18,336 million and the bank had also maintained Common Equity Tier 1 ratio of 10.1% on APRA which is in line the Australian Prudential Regulation Authority (APRA) norms and the bank is well set to meet APRA targets and have a CET1 ratio of 10.5% or more by 1 January 2020.
CBA has also received strong and high ratings and a stable outlook from all three major credit rating agencies Fitch, Moody’s and Standard & Poor's with the agencies citing Strong franchise value supporting bank strong profitability in 2018. The bank’ rating outlook is also stated to be stable.

5. Continually improving work environment: CBA has more than 49,000 highly satisfied employees across 15 countries as of FY18. Internal engagement surveys have shown continually reflecting work environment. It has strong productivity training program and has launched a number of higher skilled courses in order to increase capability and productivity qualifications of its employees. The bank also strives for workplace equality ad inclusivity and was named Platinum Employer in the 2018 Australian LGBTI Inclusion Awards.

Weakness

This section is available only in the 'Complete Report' on purchase.

Opportunity

This section is available only in the 'Complete Report' on purchase.

Threat

This section is available only in the 'Complete Report' on purchase.

SWOT & PESTLE (combined)
Complete Report
USD 12.53
*
  • with PayPal
  • with Debit/Credit card
Great quality, Affordable pricing.
Safe and secure payments

Check Out Analysis of Other Relevant Companies

TABLE OF CONTENTS
DELIVERY AND FORMAT
WHY CHOOSE US?
References used in Commonwealth Bank of Australia (CBA) Analysis Report

1. CBA Annual report 2019 - https://www.commbank.com.au/content/dam/commbank/about-us/shareholders/pdfs/annual-reports/CBA-2019-Annual-Report.pdf

2. CBA Annual report 2018 - https://www.commbank.com.au/content/dam/commbank/about-us/shareholders/pdfs/results/fy18/cba-annual-report-2018.pdf

3. CBA income statement - 2015-2019 - https://quotes.wsj.com/AU/XASX/CBA/financials/annual/income-statement

4. CBA mission and vision statement - https://cbagroup.com/mission-and-vision/

The detailed complete set of references are available on request in the 'Complete report' on purchase.

How to Reference This Page?

You can use the following in your reference section in order to give credit to the source. For different referencing styles and detailed guidelines, please click here.

Commonwealth Bank of Australia (CBA) SWOT & PESTLE Analysis - SWOT & PESTLE.COM

SWOT & PESTLE.com (2020). Commonwealth Bank of Australia (CBA) SWOT & PESTLE Analysis - SWOT & PESTLE.com. [online] Available at: https://www.swotandpestle.com/commonwealth-bank-of-australia/ [Accessed 25 May, 2020].

In-text: (SWOT & PESTLE.com, 2020)

Copyrights and Disclaimer

Copyright of Commonwealth Bank of Australia SWOT and PESTLE analysis has been conducted and reviewed by senior analysts from Barakaat Consulting.

Copyright of Copyright of Commonwealth Bank of Australia SWOT and PESTLE Analysis is the property of Barakaat Consulting. Please refer to the Terms and Conditions and Disclaimer for usage guidelines.

You might also like to check out :
Commonwealth Bank of Australia (CBA) SWOT & PESTLE Analysis
Price : USD 12.53