Charles Schwab SWOT Analysis, Competitors & USP

Published by MBA Skool Team, Last Updated: April 26, 2020

SWOT analysis of Charles Schwab analyses the brand by its strengths, weaknesses, opportunities & threats. In Charles Schwab SWOT Analysis, the strengths and weaknesses are the internal factors whereas opportunities and threats are the external factors.

SWOT Analysis is a proven management framework which enables a brand like Charles Schwab to benchmark its business & performance as compared to the competitors. Charles Schwab is one of the leading brands in the banking & financial services sector.

The article below lists the Charles Schwab SWOT, competitors and includes its target market, segmentation, positioning & USP. Let us start the Charles Schwab SWOT Analysis:

SWOT Analysis of Charles Schwab

For Charles Schwab, SWOT analysis can help the brand focus on building upon its strengths and opportunities while addressing its weaknesses as well as threats to improve its market position.

Charles Schwab Strengths

The strengths of Charles Schwab looks at the key aspects of its business which gives it competitive advantage in the market. Some important factors in a brand's strengths include its financial position, experienced workforce, product uniqueness & intangible assets like brand value. Below are the Strengths in the SWOT Analysis of Charles Schwab :

1. Diversified business and broad product portfolio controls volatility in business cycle
2.Strong asset-liability management practices gives competitive advantage
3. Pioneering leadership in discount brokerage  and focus on client satisfaction levels  helps in business growth.

4. Nearly 12000 employees form a part of the workforce

5. The company is one largest discount brokers of the world

Charles Schwab Weaknesses

The weaknesses of a brand are certain aspects of its business which are it can improve to increase its position further. Certain weaknesses can be defined as attributes which the company is lacking or in which the competitors are better. Here are the weaknesses in the Charles Schwab SWOT Analysis:

1. Inefficient expense management impacts margins
2.Exit from certain international operations due to slow progress
3.Lack of presence in emerging markets increase domestic dependence risk.


Charles Schwab Opportunities

The opportunities for any brand can include areas of improvement to increase its business. A brand's opportunities can lie in geographic expansion, product improvements, better communication etc. Following are the opportunities in Charles Schwab SWOT Analysis:

1.Acquisition of ThomasPartners to add value to the company’s existing money management line up
2. OptionsXpress acquisition provides scope for clientele maturity, and increased trading volumes
3.On investing app for ipad likely to increase trading volumes

Charles Schwab Threats

The threats for any business can be factors which can negatively impact its business. Some factors like increased competitor activity, changing government policies, alternate products or services etc. can be threats. The threats in the SWOT Analysis of Charles Schwab are as mentioned:

1. Stiff price competition in its equity brokerage business likely to impact margins
2. Retail brokerage industry susceptible to high risk from litigation and regulatory fines and actions


Charles Schwab Competitors

There are several brands in the market which are competing for the same set of customers. Below are the top 3 competitors of Charles Schwab:

1. A.G. Edwards, Inc.
2.CIGNA Corporation
3.Citigroup Inc.

Hence this concludes the Charles Schwab SWOT analysis.

Continue reading more about the brand/company.

About Charles Schwab

Charles Schwab Overview
Parent Company

Charles Schwab

Category

Investment Banking

Sector

Banking & Financial Services

Tagline/ Slogan

40 years of innovation and challenging the status quo

USP

To champion every client’s goal with passion and integrity

Charles Schwab STP
Segmentation

Securities brokerage, banking, mutual funds, Asset management

Target Market

Investors and individuals seeking financial solutions

Positioning

Industry leading change with passion and purpose


This article has been researched & authored by the Content & Research Team. It has been reviewed & published by the MBA Skool Team. The content on MBA Skool has been created for educational & academic purpose only.

Browse marketing analysis of more brands and companies similar to Charles Schwab. This section covers SWOT Analysis, Competitors, Segmentation, Target Market, Positioning & USP of more than 2500 brands from over 20 industry sectors.

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