Financial institutions cannot isolate themselves from the trend toward globalization. Willingly or unwillingly, banks are being forced to move toward worldwide operation. One of the most compelling reasons for this change is the enormous potential of global transactions. Global scope in transactions is necessary in order to offer effective worldwide services, resulting in a higher profitability for the bank on one hand and closer relations between the bank and customers on the other. This is not only the case for financial institutions; worldwide operations, and specifically global financial transactions, are a necessity for any company wanting to address a global market. The paper defines global financial transactions from a business perspective, leading to a framework for developing a new geographically distributed business model. This model describes the division of labor between national and supranational organizations. Between the ideal of globalization and the realities of national markets, an equilibrium must be found in which communication and coordination mechanisms across national boundaries play crucial roles. Efficient information access, management and processing facilitate operation on a global scale.
|Title of host publication||Building blocks for effective telematics application development and evaluation|
|Editors||A. Verbraeck, A. Dahanayake|
|Place of Publication||Delft|
|Publisher||Delft University Press|
|Number of pages||11|
|Publication status||Published - 2002|