Written By Culture clash can be a tricky business, especially when it comes to the world of finance. But what happens when two global banking giants from different cultures come together? That’s exactly what UBS and Credit Suisse are doing, with both companies striving to work together despite their differences. Join us as we explore how these financial powerhouses are navigating choppy waters and finding common ground in the pursuit of success.
Credit Suisse and UBS: A History of Conflict
As global banks continue to face increased scrutiny for their role in the 2008 financial crisis, Credit Suisse and UBS have been working hard to rebuild trust with regulators and customers. In this article, we take a look at the history of conflict between these two firms, and how they are currently working to unite their cultures.
Credit Suisse and UBS first came into conflict in 1906 when Credit Suisse opened an office in New York City while UBS was still based in Basel, Switzerland. The two banks sparred over banking practices and customer relationships until 1945, when both banks merged to create what is now Credit Suisse Group AG.
The early years of the merger were marked by intense rivalry and conflict. For instance, UBS refused to let Credit Suisse operate its New York clearinghouse, leading to months of tension between the two banks. However, as the merger progressed and both banks realized the potential benefits of being together, they began to work together more closely. This cooperation continued for the next few decades, despite occasional flare-ups.
However, things started to change in 1998 when UBS was caught engaging in illegal activity related to interest rate rigging. As a result of this scandal, UBS faced extensive government investigations and was forced to pay billions of dollars in fines. This event caused a rift between UBS executives and regulators that continues today.
In response to this scandal, Credit Suisse took a different approach than its Swiss rival.Instead
Unifying the Customer Experience
In a business world where cultural clashes can be costly and damaging, UBS and Credit Suisse are working to create a unified customer experience.
The two banks have been collaborating on initiatives like joint development of digital experiences and sharing best practices in areas like social media, chatbots, and mobile experiences. They’re also teaming up to develop new products that cater to customers from different cultures.
This effort is important because when customers feel divided or misunderstood, it can lead to trouble. For example, one study found that when employees from different backgrounds interact with each other, they start to make assumptions about each other that can have negative consequences. This can lead to less productive teams and more conflict.
By unifying the customer experience at UBS and Credit Suisse, they’re hoping to create a more harmonious work environment where their employees feel more connected and able to share ideas confidently. Their goal is not only to satisfy the needs of their customers but also to help their employees grow and develop in their careers.
Rebranding Credit Suisse
In the wake of a global financial crisis that rocked the world economy, banks and other financial institutions were quick to evaluate their branding and marketing strategies in order to ensure they were appearing coherent and professional. Credit Suisse was no different, as it underwent a significant rebranding effort in an attempt to restore its tarnished image.
One hallmark of the rebranding campaign was the introduction of a new logo, which featured a modernized version of the company’s traditional shield logo. Additionally, advertising and marketing efforts were revamped in order to portray Credit Suisse as a high-end institution that offered premier banking services to corporate clients.
The effort has paid off, with Credit Suisse reporting record earnings for both 2016 and 2017. In addition, customer satisfaction ratings have continued to rise since the rebranding began, illustrating the success of this strategy. The company is now positioning itself as one of the leading players in global finance, and its efforts appear to be paying off.
Pursuing a Culturally Understanding Strategy
Due to its global footprint and expansive client base, UBS is often the target of criticism from various cultural groups. To combat this, the bank has embarked on a “cultural understanding strategy” that aims to better understand different cultures and their impact on its business.
To date, UBS has collaborated with organizations such as UNESCO, the Global Initiative for Ethical Banking, and The Asia Society. Through these partnerships, the bank has developed tools and resources to help employees understand different cultures and how they relate to its business objectives.
One example of this strategy is a training module on China that was developed in partnership with the Chinese Academy of Social Sciences. The module provides an overview of Chinese culture and business practices, as well as tips for conducting successful business engagements in China.
This approach is not without its challenges, however. One major obstacle is that UBS faces competition from institutions such as Credit Suisse who are more familiar with traditional Chinese culture. This competitive environment necessitates that UBS continue to invest in training initiatives to ensure that it can remain competitive in a rapidly changing market.
Conclusion
It was one of the most dramatic displays of corporate rivalry in years: UBS and Credit Suisse fought publicly over how to price derivatives, leading to accusations of attempted market manipulation. The two banks eventually reached an agreement that ended their public spat, but they weren’t the only ones trying to appease regulators during this time. It’s been a challenging year for many financial institutions – and understanding what caused these troubles is essential if you want to avoid them in the future.
