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HDFC BANKWe Understand Your World

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INTRODUCTION

HDFC Bank was incorporated inAugust 1994

Among the first in new generationcommercial banks

Registered office in Mumbai, India

Promoted by HDFC, the parentcompany

IPO in India in 1995

Listed in NSE, BSE, NYSE (ADR)

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VISION

Increase market share in Indias banking sector

Leverage technology platform

Maintain standards for asset quality

Focus on high earnings growth with low volatility

Develop innovative products and services

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MISSION

mission is to be "a World Class IndianBank

benchmarking ourselves against: international standards and

best practices in terms of product offerings,

technology, service levels, risk managementand audit & compliance.

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VALUES

Our business philosophy is based onfour core values Customer Focus,

Operational Excellence,

Product Leadership and

People.

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STRENGTH

Large share of low-cost deposits,higher net interest marginBetter quality of assets, NPA of 0.4per centFree float available, FIIs can buy itsstock

Higher profitability

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weakness

Marginal international presenceNo next line of leadershipNot very aggressive in M&A space,growing only organicallyPossible takeover target

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Opportunity

Growing Indian banking sector

People are becoming more service

oriented In the global market.

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Threats

From various competitors

- Foreign Banks

- Government Banks Future market trends

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PEST

POLITICAL FACTORS

Government Regulation

Stable constituency

Fiscal policy

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ECONOMIC FACTORS:

Market performance

Global Standards

Inflation

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SOCIAL FACTORS

Community initiatives

Income

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Technology factors

This is the era of information technologyand due to net banking, onlinetransaction, online RTGS, clearingsystem helps the industry a lot.

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MarketingAdvertisingMarketing automationtechnologyBusiness ki baatein

Brandingemotional bond

treat consumers with grace,trust and professional service

Sales support

Subsidiaries

SalesMulti-channel managmentaward for atm solutions andmanagement along with NCRThe asian banker technology

award

Market expansionRural marketsGlobal markets(bahrain)

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ProductProduct offeringIt includes these services: - Saving accounts. Current accounts.

Fix deposits. Demat account. Safe deposits lockers.

Product expansion: differentkinds of laons,different kind ofcredit cards etc.

TransactionPayment services:netsafe,visamoney transfer,merchantservices etc.Clearing

Settlements

T h olo i l d lo t H o

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Technological developmentautomated customer data de-duplicationand real-time scoring in its loanorigination process.

introduced faster ATMs which enabled thecustomer a faster servicing experience by

through the use of advanced technology

Sophisticated automated switch-over andswitch-back solutions

Human resourcesTotal number of employees is approximately51388 as of march 2010

training is done through external as well asinternal faculty

Infrastructure:It has the best IT infrastructure.

It has approximately more than 4000 branchesall over the country.

Risk management guidelinesThe identification, measurement, monitoring andmanagement of risks accordingly remain a keyfocus area for the Bank.

Basel II norms carried out

Credit risk is of two types :retail and wholesale

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PORTERS FIVE FORCES

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Competitors sizeLast Price Market Cap.

(Rs. cr.)Net Interest

IncomeNet Profit Total Assets

ICICI Bank 976.40 108,913.39 25,706.93 4,024.98 363,399.71HDFC Bank 2,087.55 95,962.73 16,172.91 2,948.69 183,270.78Axis Bank 1,328.20 54,184.44 11,638.02 2,514.53 180,647.87Kotak Mahindra 829.30 30,303.99 3,255.62 561.11 37,436.31YES BANK 321.00 10,946.75 2,369.71 477.74 36,382.50IndusInd Bank 223.75 9,197.47 2,706.99 350.31 35,369.52

Federal Bank 330.20 5,644.58 3,673.23 464.55 38,850.88JK Bank 875.05 4,242.05 3,056.88 512.38 42,546.80ING Vysya Bank 344.80 4,139.22 2,232.90 242.22 33,880.24Karur Vysya 608.70 3,313.49 1,757.94 336.03 21,993

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Strategy deploid by HDFC Bank

Merger with other banks

Acquisition strategy

Customer retention strategy.

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Views as a manager

We think that the infrastructure ofhdfc bank should be inproved so as tomatch upto icici bank.

We dont think there are any flaws tobe corrected in hdfc bank.

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THANKS