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SlS Cl 8AnklnC
lnuuS18? Cl AkSl1An
Slr 8llal Afsar
umar Muhammad
M8A (llnAnCL)
8CLL nC20481
PAZA8A unlvL8Sl1? MAnSLP8A

Soclal Lrends are of greaL lmporLance Lo companles whlch research and produce geneLlcally
modlfled producLs Many have been caughL unawares by Lhe sLrengLh of consumer response
and flnd LhaL Lhey musL flrsL paclfy consumer fears lf producLs are Lo be fully accepLed

Soclal facLors mlghL lnclude
1culLural changes
2 lncome dlsLrlbuLlon
levels of educaLlon
4 aLLlLudes Lo work and lelsure
3 demographlcs
6 soclal moblllLy
7 changlng consumer behavlour
Some of Lhe ma[or changes Laklng place ln Lhe general envlronmenL LhaL are
lmpacLlng Lhe compeLlLlve envlronmenL are Lechnologlcal 1echnologlcal
advances also lnclude Lhe use of sofLware (used ln Lhe deslgn and LesLlng of
auLomoblles) geneLlc englneerlng and nano Lechnology 1he pace of change of
Lechnology ls lncreaslng lLs unpredlcLablllLy ls lncreaslng MarkeLs are becomlng
lncreaslngly LurbulenL 1hls makes lL lmporLanL Lo Lry Lo deLecL Lhe weak slgnals
whlch grow lnLo dlscernlble paLLerns LhaL have Lhe poLenLlal Lo dlsrupL how
lndusLrles operaLe
1echnologlcal facLors lnclude
11he raLes of obsolescence le Lhe speed wlLh whlch new Lechnologlcal dlscoverles supersede
esLabllshed Lechnologles
2levels of lnnovaLlons
CovernmenL spendlng on research and developmenL
4 1echnologlcal advances eg Lhe lnLerneL
1he problem wlLh economlc daLa ls LhaL lL can be noLorlously flckle and amblguous ln addlLlon
an economlc lndlcaLor can never provlde a compleLe plcLure buL provldes lnsLead a snapshoL
and slmpllflcaLlon of complex economlc phenomena 1hls makes scannlng and monlLorlng Lhe
general envlronmenL for slgns of economlc shlfLs whlch mlghL lmpacL an organlzaLlon's lndusLry
a llLLle dlfflculL 1he sLrengLhenlng of an economy wlll generally beneflL lndusLrles buL Lhe
exLenL of lLs effecL wlll vary accordlng Lo whlch economlc facLors are mosL affecLed lor
example Lhe consLrucLlon lndusLry and manufacLurlng are mosL suscepLlble Lo lncreases ln Lhe
raLe of lnLeresL
Lconomlc lndlcaLors lnclude
1lnLeresL raLes
2ulsposable lncome
unemploymenL raLes
4 8eLall prlce lndex (lnflaLlon)
3 Cross domesLlc producL (Cu)
6 Lxchange raLes
Lnv|ronmenta| |ssues |n ak|stan LhreaLen Lhe populaLlon's healLh and have been dlsLurblng Lhe
balance beLween economlc developmenL and envlronmenLal proLecLlon As a greaL problem for Lhe
naLure and naLlof aklsLan and As aklsLan ls a large lmporLer of boLh exhausLlble and renewable naLural
resources and a large consumer of fossll fuels Lhe MlnlsLry of LnvlronmenL of CovernmenL of aklsLan
Lakes responslblllLy Lo conserve and proLecL Lhe envlronmenL

Current |ssues waLer polluLlon from raw sewage lndusLrlal wasLes and agrlculLural runoff
llmlLed naLural fresh waLer resources a ma[orlLy of Lhe populaLlon does noL have access Lo
poLable waLer deforesLaLlon soll eroslon deserLlflcaLlon

A governmenL pollcy of deregulaLlon or prlvaLlzaLlon has Lhe effecL of openlng up markeLs Lo
compeLlLlon 1he reducLlon ln carbon dloxlde emlsslons and new fuel consumpLlon sLandards
for cars came abouL as a resulL of lnLergovernmenLal regulaLlons 1hls ln Lurn was a resulL of
wldespread concern by consumers and envlronmenLal groups abouL cllmaLe change due Lo
lncreased levels of 'greenhouse gases' ln Lhe aLmosphere whlch hlghllghLs Lhe llnk beLween
soclal Lrends and pollLlcal changeSome Lhe pollLlcal facLor can effecL on CovL pollcyA CovL
pollcy work LhrouhouL Lhe leglslaLlonlL enLlre all legal elemenLs of Lhls analysls1here are some
lLem lncluded whlch ls Lhe followlng as
1CovL SLablllLy
21axaLlon ollcy
CovL regulaLlon
4CovL Spendlng
Legal dlfflculLles and Llme delays ln recovery of defaulLed loans have been removed
Lhrough a new ordlnance le 1he llnanclal lnsLlLuLlons (8ecovery of llnances)
Crdlnance 2001 1he new recovery laws ensures expedlLlous recovery of sLuck up
loans by Lhe rlghL of foreclosure and sale of morLgaged properLy wlLh or wlLhouL
lnLervenLlon of courL and auLomaLlc Lransfer of case Lo execuLlon proceedlng A
8anklng Laws 8eforms Commlsslon ls revlewlng revlslng and consolldaLlng Lhe
banklng laws and drafLlng new laws such as bankrupLcy law
1he corporaLe Lax raLes on banks were exorblLanLly hlgh ln aklsLan Lhus adversely
affecLlng Lhelr proflLablllLy and aLLracLlveness as an avenue for lnvesLmenL and new
equlLy ln[ecLlon 1he CovernmenL has already reduced Lhe Lax raLe from 38 percenL Lo
44 percenL durlng Lhe lasL Lhree years and lL ls envlsaged LhaL Lhe raLe wlll be reduced
gradually and broughL aL par wlLh Lhe corporaLe Lax raLe of 3 percenL ln Lhe nexL Lhree
years 1hls wlll ln Lurn help ln reduclng Lhe spread beLween Lhe deposlL raLe and
lendlng raLe and beneflL flnanclal savers
Legul Burrlers:

Legal and Government policies are very crucial and these are the strongest barrier Ior the
new entrants. Government can limit the entry oI the companies in particular industry by
license requirements and by applying diIIerent tax policies.
l dellver my lasL annual address aL Lhls augusL gaLherlng l wlsh Lo
address Lhe bankers on a seL of enLlrely dlfferenL lssues LhaL are very near dear
and near Lo my hearL 1hese have Lo do wlLh Lhe culLure values and eLhlcs ln
aklsLan's banklng secLor
Whlle Lhe compeLlLlve envlronmenL ln Lhe banklng lndusLry has Laken a
Lurn for beLLer lL has also glven some cause for concerns When you are
consLanLly challenged for boLLom llne resulLs for capLurlng markeL shares for
aLLracLlng new deposlLs and buslnesses and when you are dangled wlLh lncenLlves such as
performance bonuses sLock opLlons excepLlonal merlL lncreases some of you may feel
pressurlzed Lo make compromlses As more and more lndusLrlal famllles and blg buslness
houses Lake over Lhe relns of Lhe banks some of Lhem may exerL dlrecL or lndlrecL pressures or
persuaslons on Lhe managemenL Lo use Lhe bank's deposlL base Lo acqulre new buslnesses or
expand exlsLlng buslnesses Clever schemes wlll be presenLed Lo you under whlch Lhe
prudenLlal regulaLlons wlll be followed ln leLLer buL reclprocal arrangemenLs and llnked
LransacLlons wlll be seL up whereby Lhe ulLlmaLe beneflclary wlll be Lhe ma[or shareholder l
am qulLe confldenL LhaL Lhe S8 lnspecLlon Leams and markeL lnLelllgence wlll evenLually Lrack
down Lhese arrangemenLs and LransacLlons buL lL wlll reflecL poorly upon Lhose of you who
were wlLLlngly or unwlLLlngly lnvolved ln Lhem lL ls wlLh greaL dlfflculLy LhaL we have goL Lhe
banks prlvaLlzed buL please do noL commlL such acLlons LhaL wlll provlde ammunlLlon Lo Lhe
deLracLors of prlvaLlzaLlon 1hey wlll clalm we Lold you so" LhaL Lhe prlvaLe owners wlll use Lhe
banklng lnsLlLuLlons Lo enrlch Lhemselves Lhelr famllles and Lhelr frlends raLher Lhan serve Lhe
larger lnLeresLs of Lhe economy l wlsh LhaL momenL never arrlves ln our hlsLory buL all of us
have Lo work hard Lo ensure lL by upholdlng hlghesL eLhlcal sLandards
O obson Starkey k and k|chards I (2004) SLraLeglc ManagemenL lssues and
Cases 8lackwell
O ord nenry A L (2011) undersLandlng SLraLeglc ManagemenL 2nd ed Cxford
unlverslLy ress Cxford
O orter ML (198S) CompeLlLlve AdvanLage lree ress new ?ork
O CuL1u8L L1nICS Anu vALuLS ln 1PL 8AnklnC S?S1LM (Ishrat nusa|n)
O J|k|ped|a