PROPOSED BUSINESS MODEL CANVAS FOR L/C AND SKBDN ISSUANCE IN DOMESTIC TRADE FINANCE DEPARTMENT OF BANK WOORI SAUDARA

• Main Author: DEVITA (NIM 29115488), FITRI
• Format: Theses
• Language: Indonesia
• Online Access: https://digilib.itb.ac.id/gdl/view/27376
• Institution: Institut Teknologi Bandung

As a financial institution, the Bank has an important role in the economy activities of a country. one of the bank functions in the financial services is to become the intermediary in conducting trade transactions international or domestically across countries. One of the other services is a payment instrument for trading ie Letters of Credit (L/C) and Domestic Letters of Credit (SKBDN). L/C widely used in commercial transactions because L/Cs are considered as the most secure payment instruments and has many variations that can be used for various variations type of business transactions. BWS as the new comer in Indonesia’s trade finance industry has started to gain profit in this business, BWS tries to attract customers with special needs for their trade transaction, which is customers that cannot provide cash collateral or fixed asset collateral. BWS bring fresh air to them by partnering with ASEI, an insurance company, both of the parties agreed to offer insurance as collateral alternatives for BWS trade finance products. This partnership has brought benefits for both parties, however BWS still cannot reach its target in 2016. <br /> <br /> According to the conducted analysis, the current external and internal situation is considered favorable for BWS to gain more customers. After one year of its establishment, BWS position in this industry could be threat to another banks that categorize in BUKU 2. However, BWS did not reach its sales target in 2016. At this moment, BWS is facing 4 problems, such as, the competitive market, unskilled employees, infamous brand reputation and relying solely on ASEI for collateral alternative. Solving this problem will resolve the main problem which is the lack of strategy to reach the sales target. <br /> <br /> Having conducted thorough business strategy formulation, seven strategies are generated and three relevant strategic formulations are recommended for BWS, they are; strategic alliances with other insurance company, staff training to improve better services, and aggressive direct marketing in selected cities.