Explore BrainMass

Explore BrainMass

    Problems facing JP Morgan Chase

    This content was COPIED from BrainMass.com - View the original, and get the already-completed solution here!

    Research the JP Morgan Chase website. After reviewing of all the documents you can find on the web and in libraries, write a response to the following questions:

    1. What is the most important problem facing JP Morgan Chase company?
    2. What recommendation(s) would you make to JP Morgan Chase and in what order of priorities?
    3. How do you balance between your commitment to shareholders and your commitment to the community?

    You must integrate the course material and conduct additional research for answering question 2. In other words, by conducting additional research, you will be supporting your recommendation and your position in question 2. Please avoid using sites such as wikipedia.org, dictionary.com, tutor2u.net, answer.com, quickmba.com, etc. Please provide references. No definitions - simply apply the concepts when completing the assignment.

    © BrainMass Inc. brainmass.com October 2, 2020, 12:11 am ad1c9bdddf

    Solution Preview

    Hello. I provide the following to assist you.

    1. What is the most important problem facing JP Morgan Chase?

    I think the most important problem facing the company is that they are too politically connected which goes hand in hand with the other problem which is the problem facing all banks, the market. In the current market, most banks are having financial problems because of the state of the housing market. However, JP Morgan has previously been succeeding in this sector due to the fact that their CEO plays a major part in the political world as he is on the board of The New York Federal Reserve Bank. However, at the end of 2009 he was scheduled to step down. Therefore, more than likely since he will no longer have a hand in banking problems, this could cause a future problem for JP Morgan Chase. Many stockholders have purchased stocks with JP Morgan solely because this CEO is in charge.

    I provide the following:

    "Furthermore, as much as he likes Dimon, investors can only buy shares in the company he runs, not the man himself. This is especially important because the next step for Dimon could be out the door at 270 Park Ave. and in the door at 1500 Pennsylvania Ave. as the next Treasury Secretary. Given Timothy Geither's mediocre performance so far ...

    Solution Summary

    This solution provides an explanation of problems that face JP Morgan Chase, and how to balance between a commitment to shareholders versus commitment to the community.