Islamic Banking case Term Paper Example | Topics and Well Written Essays - 500 words

Islamic Banking case - Term Paper Example Moreover, the fact that the owner of the bank plays a huge role in managing the bank is strength, which makes it possible to analyze the bank’s current position in the market and make management decisions in a quick way. The biggest weakness in the bank regards the vulnerability posed by the lack of knowledge on other products in the market, and especially by competing products. In this regard, it is evident that Sultan does not know the principles and concepts of Islamic Banking, which is a major weakness since the bank is losing customers to other banks that offered products based on these concepts and principles. ABB’s major opportunity for development and growth lies within the bank’s niche market amongst the local community. With proper restructuring of the bank’s policy in banking, the bank can maintain this segment of clientele since locals have been the target market since the bank’s inception. In addition, the CEO, who is also the owner, has a â€Å"substantial inherited personal wealth† that he wishes to reinvest in the bank. In effect, this potential source of capital is essential as the bank seeks to position itself in the competitive banking industry due to the increasing role of Islamic Banking principles and concepts. Finally, the major threat that the bank faces is the increasing role of Islamic Banking, which has made some of ABBs customers switch to banks that offered services based on Islamic Banking principles and concepts. In line with this, the threat posed by Islamic Banking concepts and principles requires a rethinking since the bank is losing existing and potential customers due to its failure to establish Islamic Banking principles and concepts. Hence, this market trend is a threat to the long-term objectives of the bank and the bank can only restructure to accommodate this market trend. Sultan can restructure ABB’s banking structures and systems to accommodate