American express:

American express American Express Company (NYSE: AXP), sometimes known as

"AmEx" or "Amex", is a diversified global financial services company headquartered in
New York City. The company is best known for its credit card, charge card, and
traveller’s cheque businesses. Amex cards account for approximately 24% of the total
dollar volume of credit card transactions in the US, the highest of any card issuer.
American Express as the 22nd most valuable brand in the world, estimating the brand to
be worth US$14.97 billion. Fortune listed Amex as one of the top 30 Most Admired
Companies in the World. The company's mascot, adopted in 1958, is a Roman gladiator.
Whose image appears on the company's travellers’ cheques and credit cards?

American express:

American express Type Public (NYSE: AXP) Industry Banking , Financial services
Founded 1850 Founded by Henry Wells, William Fargo, John Warren Butterfield
Headquarters New York City, New York, United States
Area served Worldwide Key people Kenneth Chennault (Chairman & CEO)
Products Financial, Travel services, Insurance Revenue ▲ US$26.7
Billion (FY 2009) Net income ▲ US$2.13Billion (FY 2009) Total assets ▼
US$124 Billion (FY 2009) Total equity ▲ US$14.4 Billion (FY 2009)
Employees 67,701 (2008)

American express:

American express Mission: To be the most respected brand in the world.

Vision: To win the hearts, minds, and wallets of our customers by providing
extraordinary customer service.

Values:

Values Customer Commitment We develops relationships that make a positive difference

in our customers’ lives. Quality we provide outstanding products and unsurpassed service
that, together, deliver premium value to our customers. Integrity we uphold the highest
standards of integrity in all of our actions. Teamwork we work together, across
boundaries, to meet the needs of our customers and to help the company win. Respect for
People We value our people, encourage their development and reward their performance.
Good Citizenship We Are good citizens in the communities in which we live and work.
A Will to Win We exhibit a strong will to win in the marketplace and in every aspect of
our business. Personal Accountability we are personally accountable for delivering on
our commitments

Business model:

Business model Typical credit card business model When a consumer makes a purchase
using a credit or charge card, a small portion of the price is paid as a fee (known as the
merchant discount), with the merchant keeping the remainder. There are typically three
parties who split this fee amongst themselves: Acquiring bank: The bank which processes
credit card transactions for a merchant, including crediting the merchant's account for the
net value charged to a credit card.

Issuing bank:
The bank which issues the consumer's credit card. This is the bank a consumer is
responsible for repaying after making a credit card purchase. The issuer's share of the
merchant discount is known as the interchange fee.

Network:

The link between acquiring banks and issuing banks. These banks have relationships with
a network, rather than with each other, for fulfilling card purchases.
For e.g. card issued by a community bank in Peru to be used at a shop in Sri Lanka, for
instance, without requiring the banks to have a direct relationship with each other. The
two largest networks in the world are Visa and MasterCard.

How “AmEx “is different:

How “AmEx “is different American Express typically plays the role of all three parties
above, keeping the entire merchant discount. In recent years Amex has begun authorizing
other banks to either acquire or issue on Amex's behalf, primarily in countries where
Amex would otherwise have little or no presence. Amex‘s "spend-centric strategy", card
spending and fees are responsible for 70% of Amex's card profit, vs. 10-40% for other
issuers. Amex also tends to make more money from annual fees than other issuers do.
Due to its focus on affluent customers, Amex has historically had lower levels of credit
losses than other issuers. The gap has almost disappeared for Q3'08 to
Q1'09, however, as card issuers of all types experienced heightened credit losses.

Products:

Products American Express is best known for its iconic Green, Gold, and Platinum
charge cards, and offers credit cards of similar colour levels in most countries. Centurion
Card often referred to as the "black card," catering to an even more affluent and elite
customer segment. Express Pay that requires a card to simply be waved in front of a
special reader and not swiped. Plum Card, card line for small business owners. American
Express Red With each card member purchase the company contributes to good causes
through The Global Fund to Fight AIDS, Tuberculosis and Malaria to help African
women and children suffering from HIV/AIDS, malaria, and other diseases American
Express introduced the ZYNC charge card. White in colour, this card was created for
people in their 20s and 30s. The card is currently in open beta testing and anyone can
apply for it.

Corporate responsibility:

Corporate responsibility American Express supports hundreds of non-profit organizations

each year through its foundation and corporate giving activities. like American Red Cross
Disaster Relief Fund for disaster relief, service to the armed forces, blood and tissue
services, and health and safety services.: Employee-Driven Philanthropy for feeding the
hungry, mentoring students, building homes, cleaning up the environment or making
personal financial contributions, Partners in Preservation contribution for preservation of
historic sites and monuments. Travel With Your Mind : which aims to re-establish
schools as the focal part of the community.

http://www.scribd.com/amex-case/d/42740707

American Express and the Improvement of Marketing Strategies.

Until quite recently, American Express (AMEX) faced little competition
of importance due to a marked shortage of firms that could offer
guaranteed financial services in numerous locations across the world.
However, the revolution in communications presented by
cyber-technology has forced a move away from this assumption of old to
do with near monopoly on the part of American Express. Businesses and
individual consumers now have little difficulty performing various
financial tasks of their own accord, employing the Internet, or one or
another of dozens of financial service firms that have joined the
field in the last decade or so. Later-pages of this paper emphasize
ideas presented in Tapscott's The Digital Economy which pertain to the
lack of predictability that is presented by the new economy and its
affiliations to both cyber-technology and globalization. (1996) In
good measure, the opinion presented here is related to the possibility
that the world economy and inherent business practices may not be as
revolutionized as contemporary phenomena might suggest. 21 pgs.
Bibliography lists 10 sources.