Case Study On The Transformation Of G Securities Brokerage Business To Wealth Management

In 1990,China’s A-share market was formally established and securities companies sprang up one after another.The birth of a new industry was accompanied by the dividends of the times,and the traditional economic business of securities companies made each one a huge profit.However,as times progressed and competition intensified,commission wars were fought between brokerage firms.Brokerage firms with high commission rates were destined to lose a large number of clients,and securities firms that relied solely on traditional brokerage business as a source of business income were greatly affected.In the face of the changes in the ecology of the securities industry,major brokerage firms had to seek new profit growth points in order to be able to develop better.The concept of wealth management transformation emerged out of nowhere,and the well-established head brokerage firms took the lead in launching the transformation call,while small and medium-sized brokerage firms watched and began to organise plans for wealth management transformation.As the path of wealth management transformation of the head brokerage firms became clearer,the ways in which small and medium-sized brokerage firms could learn from the transformation also became clearer.But due to the head broker’s first-mover advantage,the share of the wealth management market is also getting smaller.How can small and medium-sized securities firms get a share of the wealth management market.G Securities,one of the small and medium-sized domestic securities firms,has grown rapidly into a nationwide securities firm by bench marking its organisational structure against the head brokerages.However,a series of problems have emerged in its development,such as incomplete qualification of in-depth service clients due to improper management,lagging development relative to the head brokerage firms,impact caused by the entry of third-party wealth management into the market,and bottleneck in the transformation of wealth management.Through research questions,this thesis analyses the branding of G Securities’ wealth management transformation,its bold reform drive,its capture of the financial development opportunities brought about by technology,and its precise positioning in niche markets.It describes how G Securities created an influential brand through management theory and how it pinpointed market segments to find a suitable path for its wealth management transformation.