Arab African International Bank: The Introduction of Smart Cards to the Egyptian Market
Arab African International Bank (AAIB) is a private-sector bank competing in Egypt against four large state-owned banks and about 20 other foreign and domestic private-sector banks. The case focuses on AAIB's retail banking strategy, and particularly on the launch of a "smart card" for use as a credit/debit card, and potentially for additional functions. The product is supported by VISA International, and AAIB is the first bank to issue the card in Egypt. The case describes the product launch, the positioning of AAIB in the Egyptian market, and the strategy that AAIB was following at the time of the launch.
This case can be used for finance or financial-institutions course, a marketing course, or a strategy course. Information is presented in the case to analyze the product launch, the decision of whether to purchase or lease card-reader machines, and to consider AAIB's competitive position in the Egyptian market.