Management of Financial Institutions - Essay Example

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Extract of sample
Management of Financial Institutions

Surely, the central bank is part of the financial institution. It is the British government's financial authority for it hands out periodic currency resources and also controls the supply of credit and holds the reserves of other banks while it sells new securities in behalf of the British government. The other financial institutions include, foundations, non-depository financial institutions, trust companies and others. Many companies use the financial institutions in their daily business transactions. Therefore, the companies being serviced by the financial institutions above can choose which financial institution to use. One of the criteria for choosing is the services that they offer. The following paragraphs discusses the factors affecting financial institution.
The contextual environment is often approached covers many areas of business. These areas include technology, the economy, the nature of government, social attitudes and, of course, competitive forces all affect the climate in which business operates. For, the contextual environment sets the context for business to exist and it creates a climate of change with the five areas mentioned here.
Technology. ...Show more

Summary

Management of Financial Institutions(see attached) The need for organisations to be aware of the influences of the external environment and the way in which developments in these influences can have a substantial impact on organisational success.
Financial Institutions, whether private or public, collect money from the general public or other financial institutions and generate interest income from investing cash inflows in financial resources like stocks, bonds, derivatives and others…
Author : carmela87
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