Select the best strategic goal for Wirecard.
Improve our reputation on the German stock market.
Acquire 5 new Asian financial technical firms by June, 2030.
Do business in at least 10 new countries.
Increase sales by 5% and ROI by 10% in the next year.
The correct answer and explanation is:
Best Strategic Goal: Do business in at least 10 new countries.
Expanding into new markets is the most effective strategic goal for Wirecard, as it aligns with long-term growth, diversification, and resilience in the global financial industry. Here’s why:
1. Diversification and Risk Management
By entering 10 new countries, Wirecard can reduce its dependency on any single market. Economic downturns, regulatory changes, or market fluctuations in one country will have less impact when revenues are spread across multiple regions.
2. Market Growth and Revenue Expansion
Expanding internationally introduces Wirecard to new customer bases, enabling increased transaction volumes and higher revenues. The rise of digital payments worldwide, particularly in developing economies, presents significant opportunities for financial technology firms.
3. Competitive Advantage
In the global fintech industry, first-mover advantage matters. Establishing a presence in emerging markets before competitors allows Wirecard to build relationships with local financial institutions, merchants, and regulators. This can create long-term partnerships and customer loyalty.
4. Brand Reputation and Trust
Wirecard faced reputational damage in the past, and entering new markets provides an opportunity to rebuild its brand. Successfully operating in multiple countries demonstrates stability and reliability, increasing investor confidence and business partnerships.
5. Scalability and Technological Adoption
Wirecard’s digital payment solutions can be efficiently scaled to different regions. Many developing economies are adopting digital transactions, providing Wirecard with the chance to introduce innovative payment systems and expand its global footprint.
Conclusion
While other goals focus on short-term improvements, market expansion is a forward-looking strategy that ensures Wirecard’s sustainability, growth, and leadership in the financial technology sector.