American Express Inc. Overview 

American Express Inc.

Introduction

American Express Inc popularly known as Amex is an American global financial corporation and a household brand name whose business operations primarily deal with the manufacturing of credit cards as well as other banking and financial related services with its apex headquarters located on the coast of Lower Manhattan in New York City. The organization was established in 1850 and since its inception, hither to this day, the company continued to grow as a household brand across, and its tentacles now spread not only in the shores of the United States alone but by extension, the world at large. As a result, it has since been appearing frequently on the list of the best-ranking bodies such as Fortune and Forbes. In the year 2017, American Express is ranked #23 most valuable brand across the world on the Forbes list. And in the same vein, American Express also appeared on the Fortune 100 list in the year 2020, ranking in the 9th position. The company recorded in the year 2021, a whopping 43.66 Billion USD generated from sales across all its business segments. In this article, however, you will be shown a more detailed, comprehensive, and extensive review of American Inc. As a result, the kickoff will begin with the company’s key facts and it will flow to all aspects of its operations, and dealings. As such, all relevant information detailing its key facts, historical background, its products and service offerings, financial overview, as well as its pros and cons will be concisely covered to enable you to understand the significant and major elements of the corporation as quickly as possible.        

Key Facts

Founding Year: American Inc was founded in the year 1850, approximately 172 years ago.      

Industrial Ranking: Amrican Express Inc has since been appearing frequently on the list of the best-ranking bodies such as Fortune and Forbes. In the year 2017, American Express is ranked #23 most valuable brand across the world on the Forbes list. And in the same vein, American Express also appeared on the Fortune 100 list in the year 2020, ranking in the 9th position 

Company Type: A Public Corporation Company (PLC)      

Market Reach:  American Express Inc operates globally, and its offices mounted strategically in all major parts of the world. 

Industry Type: Financial Services 

Trading Type:  American Express Inc is traded on the New York Stock Exchange (NYSE) market under the ticker symbol, AXP. The company’s stock is a component of DJIA, as well the S&P 100 and S&P 500 respectively.    

Workforce Strength: American Express Inc has a total number of 64, 000 employees in its workforce globally as of the 2021 report.      

Historical Background

The company, known today to be the global American Express Inc began its journey as an express mail enterprise on the coast of Buffalo, New York. It was previously joined as a merger company. Although the company initially had its headquarters mounted on the coast of Hudson Street, it was, however, later moved to 65 Broadway (the now Financial hub of Manhattan) in the year 1874. 

In the year 1966, American Express presented the Gold Card. In 1984, the organization sent off the Platinum Card, obviously characterizing different market fragments inside its own business, a training that has multiplied across an expansive exhibit of industries. The Platinum Card was charged as super-selective and had a $250 yearly expense (as of October 2021, the charge is $695. It was presented by greeting just American Express clients with something like two years of residency, huge spending, and superb installment history; starting around 2019, it is available to customers on demand.  

American Express was conjoined with Warner Correspondences in 1979, called Warner-Amex Satellite Diversion, which made MTV, Nickelodeon, and The Film Station. The association endured exclusively until 1984. The properties were offered to Viacom before long. 

In 1983, Edmond Safra, the proprietor of Exchange Advancement Bank in Geneva, offered his bank US$550 million to American Express. Safra was accepted into the leading body of American Express. The procurement of TDB by American Express was essential for James D. Robinson III’s arrangement to break into the confidential investor banking industry. TDB American Express was planned to be the third arm of American Express’ monetary domain which emerges as rich investors internationally. 

In the year 1990, American Express offered its Swiss financial tasks to Compagnie de Banque et Investissement, which prompted the production of Association Bancaire Privée (UBP). 

In the year 1992, April American Express ripped off one of its affiliates, operating under the name, First Information Corp., in a public offering. 

In the year 1993, in a bid rip of its investment banking venture, American Express Inc arranged the offer of its Shearson’s asset management & retail brokerage division to Primerica. The Shearson business converged with Primerica’s Smith Barney to make Smith Barney Shearson. Eventually, the Shearson name was dropped in 1994. 

In 1994, the Optima Genuine Elegance card was launched. The card was exceptional in that it offered an effortless period on everything buys regardless of whether an equilibrium was carried on the card (rather than customary spinning Visas which charge interest on new buys provided that this is true much as $1 was conveyed over). The card ceased a couple of years after the fact. 

In 1995, American Express and Hilton declared a co-brand Mastercard, permitting clients to procure Hilton HHonors extra focuses for regular charges. 

In the year 1994, American Express veered off of the remaining venture banking and institutional organizations as Lehman Siblings Property Inc, finishing what The New York Times called “a nettlesome introduction to the brokerage venture. 

In the year 2016, Visas utilizing the American Express organization represented 22.9% of the absolute dollar volume of Visa exchanges in the Unified States.  

In the year 2017, Forbes named American Express as the 23rd most important brand on the planet (and the most elevated inside monetary administrations), assessing the brand to be worth US$24.5 billion. In 2020, Fortune magazine positioned American Express at number 9 on their Fortune Rundown of the Main 100 Organizations to Work For in 2020 in view of a representative overview of fulfillment. 

And finally, as of December 31, 2021, the organization had 121.7 million cards in force, with the inclusion of 56.4 million cards for force in the US, each with normal yearly expenditure amounting to a total sum of $20,392. 

Financial Overview 

Revenues: $43.66 Billion USD (2021) 

Operating Income: $10. 69 Billion USD (2021) 

Net Income: $8.06  Billion USD (2021) 

Total Equity:  $2.18 Billion USD (2021) 

Total Assets: 188. 55 Billion USD (2021) 

Product & Service Offerings 

American Express Inc. products offerings include: 

Charge cards 

Credit Cards 

Traveler’s cheques 

Corporate banking 

Service includes: 

Finance services 

Insurance services 

Travel services 

Pros and Cons

According to reviews by employees on Glassdoor and Indeed.com, including an objective review of the company, below are the outlined pros and cons of American Express Inc. 

Pros

Staff Welfarism: Employee welfarism is another merit of  American Express Inc. as it strives to provide perks like insurance, health, and hazard allowances for its staff.  

Adequate Industrial Experience: American Express Inc. has been in existence since 1850. Thus, due to this broad year of accumulated industry experience,  American Express Inc. prides itself as a company with a saturated level of industrial and global expertise.    

Great People, Great Workplace: The reviews on Glassdoor reveal most employees commented that  American Express Inc. is a great place to work.   

Broad Spectrum of Brands and Products: Having a vast and comprehensive list of brands as well as products in its archive, the vast brand nature of  American Express Inc. is literally one of the pros of the company as it avails customers a pool of brands and products to choose from based on their individual needs.    

CSR Commitment: Committed to the service of humanity, American Express Inc. support and foster environmental and innovative program in its communities so as to fulfill its corporate social responsibility as a firm.    

Diversity & Inclusion: Employees also commented positively on American Express Inc.’s policy that it values diversity and cultural differences.   

Cons  

No Work/Life Balance 

Relative Low Pay 

Conclusion 

American Express has been in the industry for quite a long time, nonetheless, despite that, the corporation leverages its several acquisitions and lengthy experience to increase its growth exponentially from its inception hitherto this day. The company’s commitment to exceptional and innovative service offerings, dedication to its corporate social responsibility, as well as its continuous improvement in customer experience while helping customers and employees derive value in their respective pursuits are the key drivers to the company’s overall growth and development. Finally, with all being said in the foregoing sections of this piece, I hope your expectation, as promised in the introductory part of this piece has been met, and that you have adequately absorbed all there is to know about this ever-expanding company, American Express Inc., and that the knowledge gained therein from this piece would help navigate your decision in the right direction.