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Mastercard Is Focusing on These Three Areas

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Mastercard continues to focus on these areas

According to Mastercard’s (MA) top management, the company is focusing on growth. It’s also looking to connect consumers to their bank accounts in order to drive transactions and eliminate the need for cash when making purchases.

Mastercard is looking to make payments easier with the help of smartphones. From the consumers’ perspective, it’s beneficial because digital modes reduce the time it takes to conduct a transaction. The company saw total purchase volumes (including the United States) of $13 trillion in the first quarter.

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The other two areas

Another thing Mastercard has been working on is diversification. It wants to increase its presence worldwide and particularly in those economies where transactions still use cash. It wants to make consumers in emerging economies aware of the available digital techniques, which would help the company increase its share and payment volumes. Tapping emerging economies would also help its competitors (IYF) Visa (V), American Express (AXP), and Discover Financial Services (DFS).

Mastercard’s management has a positive view on the Indian economy and sees it as a growth opportunity. It may also be targeting the Indian economy due to supportive government measures. With demonetization, Indians are using digital forms of payment, and Mastercard and Visa might see a boost in their business fundamentals. Mastercard has been making efforts to expand its customer base there.

The third focus area is the build component, which used to revolve around its advisors business. Then it diversified and has been witnessing an uptrend.

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