Simplified SWOT Analysis Of United Arab Bank

Here, we will look at the SWOT analysis of United Arab Bank.

The United Arab Bank was established in 1975 and is based in the United Arab Emirates (UAE). It has a significant contribution to the banking sector there. Headquartered in Sharjah, it plays a huge role in the economic stability of the UAE.

UAB, being a full-service commercial bank, offers an extensive array of financial products and services to meet the various demands of its clientele. The bank is well known for its dedication to quality, inventiveness, and customer-focused philosophy, which lays a strong basis for long-term financial solutions.

The bank incorporates digital marketing strategies as well to stay relevant. Hence, it proves that how even industries like banking industry have to update their marketing strategies. Online presence and digital marketing are very important in today’s world for growing a business. To know more about digital marketing and its different attributes, do check out the Free Digital Marketing Masterclass by Karan Shah the founder and CEO of IIDE.

If you’re as curious as we are about United Arab Bank’s success formula, you’ve come to the right place. We’ll learn about the Third-Party strengths, weaknesses, opportunities and threats of the United Arab Bank, but before that let us look at the company.

About United Arab Bank

The bank was incorporated as a joint venture between UAE investors and the French financial conglomerate, Société Générale (SG). It has 6 branches throughout the UAE and has commercial bases across the seven emirates. The bank’s brand story is characterized by its unwavering commitment to upholding moral standards, pursuing client happiness, and staying abreast with technical developments.

With time, UAB has earned the respect of both individuals and companies by becoming recognized as a symbol of dependability, trustworthiness, and a customer-first mentality.

It launched “Sadara”- premium banking services and Islamic banking services and was able to expand its clientele. It also formed an alliance with The Commercial Bank (Q.S.C.). CB made an acquisition of 40% interest in UAB in 2007. This is one of the cross border agreements between two national banks fostering better international relationships as well for both the parties.

There was a similar alliance with National Bank of Oman. In 2019, UAB also merged with Abu Dhabi Commercial bank fostering a stronger banking entity.

Current news about United Arab Bank

• SHARJAH (WAM) — The Board of Directors of United Arab Bank (UAB) unanimously elected Sheikh Mohammed bin Faisal bin Sultan Al Qassimi as Chairman of the Bank succeeding Sheikh Faisal bin Sultan bin Salem Al Qassimi, who chaired the bank’s Board of Directors for nearly fifty years.

Read more at: Link

Services provided by United Arab Bank

• Retail banking: Current and savings account, FDs, personal or home loans
• Business banking: Business accounts and loans, trade finance, treasury services
• Corporate banking: Corporate accounts, working capital finances, loans
• Wealth management: Investment consultancy, portfolio management, wealth planning
• Credit cards
• Online banking services
• Islamic banking: Sharia- compliant banking services
• ATM and Debit cards
• Insurance and investment products

Competitors of United Arab Bank

• Emirates NBD: One of the most prominent banks in UAE, offering diverse services.
• First Abu Dhabi Bank: Major player in UAE economy, formed by merging of First Gulf Bank and National bank of Abu Dhabi
• Dubai Islamic bank: It provides Sharia compliant services
• Mashreq bank: It an old private bank in the UAE, provides retail and corporate banking services
• Sharjah Islamic Bank: focuses on Islamic banking and financial services

Buyer Persona of United Arab Bank

SWOT Analysis of United Arab Bank

SWOT stands for Strengths, Weaknesses, Opportunities, Threats. It is used as a tool to know and analyze the market position and general health of a business. It is extremely useful and is done by every old as well as a new business to determine the most effective future path.

Analyzing the external opportunities and threats may also help to know the necessary steps that could be taken to make provisions and develop strategies.

 

Strengths of United Arab Bank

• Established name: it has a reputation for being reliable and popular in UAE. This increases its chances of expansion.
• Diverse services: The bank provides diverse services like retail banking, corporate banking etc, which again helps in expansion.
• Technology and innovation: The company is open and receptive of technological advancement and tries to incorporate new techniques in its process.
• Customer relationships: The company is known for having a satisfied customer base.

UAB has utilized its strengths well. For example, having created a name for itself and gaining customer faith, people respond well to its new marketing strategies and concepts. Customers prefer it because of its diverse services as well. And they are also technology driven making the bank relevant. 

 

Weaknesses of United Arab Bank

• Competitors: There are other UAE-specific banks which increase competition and might make it difficult to capture market share.
• Limited geographical presence: It has a limited reach (UAE).
• Financial uncertainties: Poor risk management can lead to problems for the bank.

UAB leads the market and competition because of its satisfied customer base. Hence, they have been able to dominate the industry in UAE, overcoming the first weakness mentioned.

 

Opportunities of United Arab Bank

• Collaboration with upcoming things like FinTech: Partnering up with Fintech companies can help expand the brand and help stay competitive in contemporary period.
• Geographical expansion: The bank can look for expanding geograhically and increase its target market.
• Technological innovations: The bank can focus on developing innovative financial products and services.
• Using digital marketing: It is an upcoming marketing strategy and hence the bank should focus on developing such a strategy.

The bank makes use of new technology and innovation in its business and has incorporated the idea of digital marketing as well.

 

Threats of United Arab Bank

• Changing regulations: Changes in regulatory environments may affect the bank. It should be prepared to tackle with sudden changes.
• Competition: Because of existence of many banks in UAE, UAB faces high competition and hence needs to constantly work on staying better.
• Cybersecurity risks: Cyber threat is always a threat for any company that is operating online too.

It has had campaigns and developed customer trust to overcome the threat of competition from other banks. 

Conclusion

The study begins with a brief description of the bank and describes the services the bank provides. The bank offers diverse kinds of services and is known for providing reliable customer services. The study also focuses on the marketing strategies and the recent news related to the bank. The major focus of the study is on the recognizing the strengths, weaknesses, opportunities and threats of the company.

If you liked the case study, you can read more such case studies of other famous companies.

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