Soctiabank Analysis

Executive Summary

This report provides an analysis and evaluation of the Bank of Nova Scotia's primary business operations including their marketing and information technology (IT) systems and the company's overall financial status and profitability. The methods of analysis used include secondary research of industry data, company reports, recent financial disclosures, as well as inquiries in various electronic databases. The purpose of this report is to determine whether or not the Bank of Nova Scotia, more commonly known as Scotiabank, is a good employer for recent and future Haskayne School of Business graduates.

Extensive research has determined that the banking industry is in an unstable state. The industry's profits have declined over the last few years mainly as a result of bad debt resulting from the US subprime issues as well as the recent global economic downturn. With many competitors, competition has increased in recent years to attract younger customers who historically have less loyalty towards banks.

Scotiabank is Canada's most international bank as well as a major player in the international banking industry. Their mission is to provide exceptional products and services to their clients around the world in addition to the general business goal of earning a profit. The company targets the major markets with their Canadian Banking, International Banking, and Scotia Capital segments. Scotiabank incorporates sophisticated technology in their operations systems in order to provide exceptional customer service as well as reliable accurate services. This technology is used effectively in bridging the gap between customers and branches spread out around the globe.

Scotiabank offers various banking and financial products and services to individuals as well as businesses. The services offered are partly determined by consumer preferences as well as other internal and external factors. The societies in which they operate reap significant financial benefits as well as non-financial benefits such as community building activities.

Scotiabank has consistently met their profit targets over recent years despite the economic downturn. Although it will be challenging, the Bank remains optimistic about maintaining their profit targets for 2009. With many recent acquisitions, Scotiabank has a major foothold in the industry and should see both short-term and long-term growth in the future.

Research indicates that Scotiabank is responding to the corporate social and environmental responsibility movements. They have altered their businesses practices in order to be more responsible as well as to cut costs and ensure their company's continuing presence in the market. It is their corporate social responsible attitudes and ability to adapt to changing markets which contribute to their financial success year after year. Considering all of these factors, Scotiabank is an attractive company for recent and future University of Calgary and Haskayne School of Business graduates to work for and learn from.

Table of Contents

Objective/Methodology .....................................................................................1

Company Introduction .....................................................................................1

Overview and Industry...............................................................................1

Stakeholders...........................................................................................1

Target Market .........................................................................................2

Government Impacts.................................................................................3

Marketing and Operations Management ...............................................................4

Products and Services................................................................................4

Quality Assurance....................................................................................4

Determining Factors.................................................................................5

Benefits to Society....................................................................................5

Mergers and Acquisitions...........................................................................6

Role of Technology..................................................................................6

Corporate Social Responsibility...........................................................................6

Ethical and Responsible Actions...................................................................6

Recent Issues...................................................................................................7

Recent Company Issues..............................................................................7

Recent Issues in Industry............................................................................8

Financials ......................................................................................................9

Recent Performance..................................................................................9

Internal Factors........................................................................................9

External Factors .....................................................................................10

Conclusion ...................................................................................................10

Appendices ...................................................................................................11

Appendix A -Excerpt from the Bank Act of Canada............................................11

Appendix B - Recent Mergers and Acquisitions ................................................17