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Running head: AMERICAN EXPRESS CASE 2.01American Express Case 2.0NameInstitutional AffiliationDate
AMERICAN EXPRESS CASE 2.02American Express Case 2.0American Express Bank has become the main issuer of international cards in the paymentindustry. The bank has adopted the focused differentiation strategy to meet the needs of the targetmarket. American Express Bank seeks to engage in the prepaid venture after successful incorporation of the credit and charge activities in the industry. The bank has to increase its targetmarket, acquisitions, supply networks, and improve technology. American Express Bank has acquired the enterprise growth segment due to its rapid development in the payment sector. The aim of acquiring the enterprise growth segment is to improve the financial structure by providingfacilities to modern consumers. The company has carried out successful operations on providing ‘credit and charge’ accounts to wealthy clients. American Express Bank failed to attain the market share of the analog prepaid card. The target market including youths did not use the traditional credit cards. The primary purpose of the current expansion is to meet the needs of the target market. Traditional banking institutions can also use the card in case they have no means of conducting financial transactions. The main challenge encountered by American Express Bankis getting a new and an unknown target market. Description of American Express Bank Approaches to Cooperate LeadershipHitt, Ireland, Hoskisson (2012) focus on the kinds of internal cooperate ventures. The two kinds of company ventures include autonomous and induced strategic behavior (See Appendix 1). Autonomous strategic behavior focuses on the persuasion of new ideas using political strategies. The product dealers integrate and improve activities on innovation. The ideas are given by the subordinates and delivered to the executives. The induced strategic behavior involves the development of innovations within an organization. The executives in a company are responsible for developing the ideas. The organization’s strategy and structure enhance the innovations (Hitt, Ireland, Hoskisson, 2012). The strategies are designed to improve innovations in the company. Autonomous Strategic BehaviorThe team provided ideas to Chokski and Wright on expanding the traditional credit and charge strategies to the international markets. The group was ale responsible for the developmentof EG in the bank. The team had previously given ideas on developing American Express prepaid activities into the gift and reasonable cards. The enterprise growth team contributed ideason mobile and digital transactions in the bank. In 2010, the EG team introduced the revelation money in the bank. The aim was to improve peer-to-peer financial transactions in the bank. It