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Blog Entry# 5482208
Posted: Sep 20 2022 (20:54)
14 Responses
Last Response: Sep 20 2022 (20:58)
14 Responses
Last Response: Sep 20 2022 (20:58)
Sep 20 2022 (20:54)
TouristerDivyanshu^~
TouristerDivyanshu^~ 173604 blog postsGroup Recipients: *business
Most of us know how credit cards work but very few of us know how credit card companies make money and their business model.
9 Posts
Sep 20 2022 (20:57)
TouristerDivyanshu^~
TouristerDivyanshu^~ 173604 blog postsGroup Recipients: *business
Sep 20 2022 (20:57)
TouristerDivyanshu^~
TouristerDivyanshu^~ 173604 blog postsGroup Recipients: *business
So how are newer players disrupting the market?
1. They are able to reduce credit costs by building their own credit models and using analytics to minimise defaults.
2. They are able to build scalable technology to reduce operating costs.
1. They are able to reduce credit costs by building their own credit models and using analytics to minimise defaults.
2. They are able to build scalable technology to reduce operating costs.
Sep 20 2022 (20:57)
TouristerDivyanshu^~
TouristerDivyanshu^~ 173604 blog postsGroup Recipients: *business
3. They are able to offer a better experience to customers and give higher discounts and offers to acquire customers. However, high discounts may not be sustainable.
What are the challenges for these players?
What are the challenges for these players?
Sep 20 2022 (20:57)
TouristerDivyanshu^~
TouristerDivyanshu^~ 173604 blog postsGroup Recipients: *business
These players lack the vintage and scale of operations of older players. So interest costs are higher. And much of the growth has been due to equity funding.
Once that funding dries up, the business model is yet to be proved.
I...
more...
Once that funding dries up, the business model is yet to be proved.
I...
more...
Sep 20 2022 (20:58)
TouristerDivyanshu^~
TouristerDivyanshu^~ 173604 blog postsGroup Recipients: *business