Alpen Bank is wanting to dispatch Visas to target business of Romania, however before they push forward with this arrangement, they have to dissect their progressions to show signs of improvement results. This should be possible through diverse strategies, for example, deciding the breakeven point that they would confront and the clients that they can pull in resultantly. Another route is to perform a money saving advantage examination and have the capacity to figure out the outlook of individuals and their prospects with respect to the saving money area of Romania. It is additionally critical to figure out if the prospects for Alpen Bank has enhanced after some time or not and the distinctive components which had expanded or decayed their shots of entering this business sector portion.
1. How should alpen position its card if it intends to launch it?
2. What are the economics of the credit card business in Romania? What is the cost of acquisition of a new customer? How many customers will be needed to breakeven?
3. Is breakeven achievable? In what time period?
4. Do a cost benefit analysis of the launch. What information does this provide you?
5. What other customer insights can you infer from the case study?
6. Should Alpen Bank launch the credit card? Why or Why not? How does the credit card business compare to the core banking business?
7. If the bank launches the credit card, who should they target first? What should their positioning strategy be?