STRATEGIC MANAGEMENT PRACTICES IN PAKISTAN’S BANKING SECTOR WITH A MARKET INTELLIGENCE PERSPECTIVE ON DIGITAL TRANSFORMATION

Abstract

The country is going for a profound digital transformation in her banking sector due to the technological aspect, changing consumer expectations, and regulatory aspects. This research is all about the strategic management practices in the banking sector of Pakistan and how market intelligence contributes toward a digital transformation strategy. Data-driven decision-making, artificial intelligence, and fintech partnerships are being utilized by banks for improved customer experience, improved operational efficiency, and outreach for financial inclusion. The key strategic imperatives are agile innovation, cybersecurity, regulatory compliance, and the adoption of digital financial services. Employing a market intelligence perspective, this study addresses how banks gain competitive advantage through competitive analysis, customer insights, and the trends offered by new technologies. The research finds that digital banking services, mobile banking applications, and blockchain solutions occupy key positions in banks' competitive positioning. Besides, further traditional banking models are being reshaped through strategic alliances with fintech firms and investment in digital payment infrastructures. Some of the challenges noted in this research include cybersecurity risks, low digital literacy, and resistance to change among traditional banking institutions. However, if these challenges are to be mitigated, it will call for proactive policy measures, investments in human capital, and customer-centered digital strategies. This research makes several recommendations related to banking institutions enhancing their strategic management practices for sustainable growth in the digital era.