Advanced economies are emerging from the worst financial recessions in modern times. Many developed nations have implemented austerity measures to adjust the deficit caused by massive spending during the years of cheap and available credit facilities. New industrial policies are also implemented at national and regional levels to police banks and financial institutions as measures of avoiding further economic problems in the future. The austerity measures and policy changes have forced industries and business practices to change.

1. What changes do you think this might cause in the immediate task environment for a business operating within the financial service industry?

2. How do these changes impact on corporate, business, and functional level strategies of financial service businesses? Are these changes going to affect you as customers?

3. How do you think a learning organization would act in this dynamic environment? What survival chances do the stagnant organizations have?