In 1998, the Travelers Group and Citicorp joined together to form Citigroup Inc., thought of as the first real international "financial supermarket," and a business design to be admired, feared and rivaled by competitors. In year-end 2006 the company had a market capitalization of $274 billion, with $1.9 trillion in its resources and $24.6 billion in income. However, a decade after the coming together of the companies, it was sadly over. In july 2009, the state nationalized the company completely, with a large sum of money – including billions of dollars – in bailout money turned into a 34% ownership share for the US state. Citigroup was valued at less than $16 billion, having foregone more than $250 billion in its worth compared to its highest point. This case looks into Citi's business design, issues it was met with, its leadership and key decisions to further comprehend what led to the fall of one of the most influential financial companies of the globe.
Introduction & Problem Identification
Strategic Alternative 1
Strategic Alternative 2
Strategic Alternative 3
Recommended Action Plan