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    Capital One Financial Corporation: Setting and Shaping Strat

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    Please read the attached case and answer to the following questions with in depth information.
    I got some help on fist answering to the questions and I attached it as well. But it is too general and not specific from the case. Please make further answers and PLEASE GET ANSWERS ONLY FROM THE CASE ATTACHED.

    1. Evaluate Fairbanks' approach to entrepreneurship in the credit card industry.

    2. Identify Capital One's key functional strategies, company policies, and organizational structure and how they support/fail to support the company's overall strategy and objectives.

    3. Write a one-sentence statement that summarizes Capital One's strategy.

    4. Evaluate Capital One's strategy. Is is internally consistent? What are Capital One's key competitive advantages?

    5. Was the company's strategy well-suited to the competitive environment that it faced? Why or why not?

    6. Evaluate the America One and Summit Acceptance Corporation initiatives. Trying not to use hindsight, would you have supported either? Both? Why? Why not?

    7. What strategic issues does Capital One face at the time of the case?

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    Solution Preview

    The response address the queries posted in 1662 words with references.

    // Strategy is an important ingredient in achieving any Company's goals. This paper discusses the strategy adopted by Capital one Financial Corporation and analyses its CEO Richard Fairbanks's entrepreneurship in credit card industry.//


    Richard Fairbank CEO and Chairman of Capital One Financial Corporation is a successful strategist and possessed the leadership qualities. Today company is highly profitable and ranked in top 100 fastest growing companies in top Magazines. Capital One Financial Corporation believed in providing the customized product to each customer and charging rates accordingly by the risk possessed by each consumer of the credit card. Entrepreneurship is taking risk in the business and developing innovation in the services. Fairbank always had a concern and importance about the information & technology and how it can be used to understand the consumer behavior. He believed in the policy of following the market trends and providing the consumers best products, that suits to their needs.

    The most significant approach to entrepreneurship by Fairbank was Information based strategy. It helped to customize the products and facilitated in maintaining huge databases. Scientific testing helped to mass customize the credit card and achieved the major market share in 13 years and 100 Million customer bases. Fairbank approach was to deliver the right product to the right customer at the right place. Information strategy assisted in other aspects of the company and it permeated all the business activities. He had the faith in developing rich information and targeting customers accordingly.

    // This part of the paper identifies Capital One's key functional strategies and how they support/fail to support the Company's overall strategy and objectives. //


    A functional level strategy refers to policies in each of the departmental units. In the information technology it had the policy as how to modify the products using the information. Through the communication with the consumers managers identified the needs of product and saved the data to develop new products. Pricing unit put the price below the secured loans. In the marketing department it used the technology to identify potential markets and directly contacted them through mail and had the individual pricing policy. Through the information it decided as what should be offered to an individual customer.

    In the personnel department there were many tests to analyze the capabilities and interviews ranged from 10 to 15. Every six months performance management was conducted and employees were evaluated. Company has 360 degree feedback system and effective employee development. It stressed on hiring the best people ...

    Solution Summary

    The response address the queries posted in 1662 words with references.