Abstract

American Express (Amex) is a diversified financial services company. It provides a range of financial advisory, brokerage and asset management services. Amex is famous for its charge cards as well as revolving credit cards, which account for more than half of its revenue. Warren Buffett's Berkshire Hathaway owns about 11% of American Express. Amex's travel agency operations, is the world's largest issuer of travellers checks. This case discusses the various risks Amex faces and how the company manages these risks. MBA students, as part of the business strategy course, will find the case useful in understanding the various strategic approaches to risk management.

Learning Objectives

The case is structured to achieve the following Learning Objectives:

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Keywords

Amex, American Express, Risk, Enterprise risk management, Corporate strategy, Executive education case study, Finance case study, Risk management