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KB Financial Group SWOT and PESTLE Analysis

ID : 521332253| Feb 2023| 21 pages

COMPANY PROFILE -KB Financial Group

Business Sector :Financial Services

Operating Geography :South Korea, Asia, Global

About KB Financial Group :

Founded in November 1963, KB Financial Group is the leading financial services provider in Korea. The company offers a broad range of financial services and products to its customers. It is headquartered in Jung-gu, Seoul, South Korea, and consists of 13 subsidiaries. Having its origin in the Kookmin Bank and Housing & Commercial Bank, it was established in 2008 in order to serve its clients in a better way while delivering more value. The company strives to help its clients achieve their financial goals by providing integrated financial solutions and services to them. For the fourth consecutive year, in November 2020, KB Savings Bank received the prestigious customer satisfaction award in Korea Brand Hall of Fame by the Institute for Industrial Policy Studies. The core strengths of the group include expertise, broad customer base, wide distribution network and strong brand. In January 2021, Gpay’s parent company, G-Group Technology Corporation, teamed up with KB Financial to start a US$13 million fintech joint venture. In July 2022, KB Financial Group was Ranked 62nd in The Banker's Top 1000 World Banks List.

KB Financial Group's Unique Selling Proposition or USP lies in it being the largest bank in Korea. The company's mission statement reads "We aim to deliver financial services that bring happiness and well-being to our customers and society." While it's vision statement is "Our goal is to become a lifelong financial group by leading innovation that shift the financial paradigm with our best professionals."

KB Financial Group Revenue :


$17.106 billion - FY ending 31st December 2021 (y-o-y growth 2.78%)
$15.888 billion - FY ending 31st December 2020

Competitive Analysis of KB Financial Group

SWOT
PESTLE
The SWOT analysis for KB Financial Group is presented below in a matrix followed by the detailed analysis report:
StrengthsWeaknesses
1. Strong financial condition which may help in quicker growth
2. Balanced business portfolio and diversified income sources reduce reliability on one business unit
3. Focus on innovations of its products and services may help in growth
4. Integrated and upgraded financial platforms for offering its services
5. Strategic acquisitions to expand operations into new markets
1. Impact of COVID 19 on the KB Securities business unit of the group
OpportunitiesThreats
1. Embracing digital technologies as a growth strategy
2. Expanding operations to newer markets in Asia
3. Investments in fintech startups to get competitive advantage in future
1. Risk of cyber-attack on the group leading to data breaches and leaks
2. Geopolitical tensions in the Southeast Asian and in China markets may hamper daily operations
3. Rising popularity of cashless transactions in APAC region may affect the banking systems
SWOT & PESTLE (combined)
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Detailed SWOT Analysis of KB Financial Group

Strength

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

Weakness

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

Opportunity

1. Embracing digital technologies as a growth strategy: KB Financial Group improved platform quality management, launched the first private authentication service of its kind in the market, developed MyData business plans, and strengthened core operation capabilities for digital acceleration. When dealing with a pandemic-induced era, KB Financial Group should concentrate on upgrading its platform and turning its business operations into digital ones. In order to maintain its leadership in the market, KB Financial Group has significantly improved the functionality and user-friendliness of its key platforms, such as KB Star Banking, Liiv Mate, and M-able. Additionally, it has conducted quality insurance processes and developed UI/UX focused on the customer experience. Liiv Mate of KB Kookmin Card is expected to get ready for a quantum transition into an AI-based platform after converting to a cloud-based open infrastructure and a chatbot-based banking service. In order to combine real estate information with related financial information on one platform, KB Kookmin Bank introduced "Liiv Real Estate," a real estate platform where users can browse available properties and submit loan applications. In order to fully capitalise on these technologies' advantages, offer its customers better products, and increase revenue from them, the company needs to make significant investments in them. The company may benefit from improved UI and UX by improving the user experience on its platform. This could result in more devoted users and higher profits.

The remaining section under "Opportunity" is available only in the 'Complete Report' on purchase.

Threat

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

Major Competitors :

  • Shinhan Bank
  • KEB Hana Bank
  • Nonghyup Bank
  • Woori Bank
  • Busan Bank

Major Brands :

  • KB Kookmin Bank
  • KB Securities
  • KB Insurance
  • KB Capital
  • KB Asset Management
SWOT & PESTLE (combined)
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TABLE OF CONTENTS
DELIVERY AND FORMAT
WHY CHOOSE US?

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References used in KB Financial Group SWOT & PESTLE Analysis Report

1. Annual Report 2021 - https://www.kbfg.com/Eng/ir/report/annual/list.jsp
2. WHY SOUTH KOREA IS PRIMED FOR FINTECH GROWTH - https://internationalbanker.com/technology/why-south-korea-is-primed-for-fintech-growth/
3. Korea’s Exports to US Benefit from US-China Trade War - http://www.kita.org/about/newsView.do?no=2393
4. The Impact of COVID-19 on South Korean Trade in 2020 - https://thediplomat.com/2021/02/the-impact-of-covid-19-on-south-korean-trade-in-2020/
The detailed complete set of references are available on request in the 'Complete report' on purchase.

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KB Financial Group SWOT and PESTLE analysis has been conducted by Amit Kabi and reviewed by senior analysts from Barakaat Consulting.

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