FinTech and the Global Economy

BMAN75442 FinTech and the Global Economy 15 Semester 2 Postgraduate Taught Level 7 Andrea Lagna Unit coordinator 1 FHEQ level (Framework for Higher Education Qualifications) ' Masters/Integrated Masters P4 ' European Credit Transfer & Accumulation System Rating : 7.5 Are you ready to dive into the future of finance? This comprehensive introductory course is your gateway to understanding the cutting-edge digital innovations transforming financial services in advanced and emerging markets. Throughout the course, you'll explore global fintech innovation hubs, learn how to develop successful business models and strategies to revolutionize the financial services industry, and examine key innovations such as mobile banking, digital payments, robo-advisors, and various AI-driven financial solutions. You will also critically assess the ethical and developmental implications of these technologies, preparing you to lead fintech businesses in a responsible and sustainable way. Whether your goal is to innovate, invest, or understand the forces shaping the future of finance, this course will provide you with the tools and knowledge to succeed. Are you ready to dive into the future of finance? This comprehensive introductory course is your gateway to understanding the cutting-edge digital innovations transforming financial services in advanced and emerging markets. Throughout the course, you'll explore global fintech innovation hubs, learn how to develop successful business models and strategies to revolutionize the financial services industry, and examine key innovations such as mobile banking, digital payments, robo-advisors, and various AI-driven financial solutions. You will also critically assess the ethical and developmental implications of these technologies, preparing you to lead fintech businesses in a responsible and sustainable way. Whether your goal is to innovate, invest, or understand the forces shaping the future of finance, this course will provide you with the tools and knowledge to succeed. The unit aims to:This unit offers students a comprehensive introduction to the financial technology (fintech) revolution in advanced and emerging economies. The fintech revolution refers to the digital transformation of the financial services industry aimed at improving the efficiency, accessibility, and affordability of financial products and services. Particularly, the unit aims to:• Assess the role that financial technologies play in the global economy. • Develop an in-depth understanding of fintech business models and strategies. • Explore and evaluate the ethical and developmental implications of fintech.   Knowledge and understanding  KU1 Identify the political, economic, social, and technological factors shaping the fintech revolution as the digital transformation of the financial sector. KU2 Describe the fintech revolution in advanced and emerging economies. KU3 Evaluate the ethical implications of fintech innovations. Intellectual skills  IS1 Identify successes and failures of fintech innovations in the global economy. IS2 Analyse the role of technological advancements like AI, cloud computing, and blockchain in the fintech revolution. IS3 Explain the key technologies underpinning the fintech revolution and their strategic importance. Practical skills  PS1 Apply innovation management techniques to develop fintech business ideas. PS2 Apply strategic thinking to fintech challenges, focusing on innovation and sustainability. Transferable skills and personal qualities  TS1 Analyse information obtained from a variety of sources. TS2 Evaluate commercial and developmental outcomes of strategies. TS3 Communicate key findings to an audience.   Week 1: An introduction to the digital transformations of the financial sector By the end of this class, students should be able to: a) describe the fintech revolution as an ensemble of digital transformations in finance; b) explain the main actors underpinning the fintech revolution; c) apply the fintech innovation matrix to assess the impact of fintech. Week 2: Fintech hubs around the world By the end of this class, students should be able to: a) explain the importance of fintech hubs; b) describe the main actors and driving forces shaping the rise of London as a global fintech hub; c) assess strengths and challenges of fintech hubs around the world. Week 3: Selected areas of the fintech revolution—payments and lending By the end of this class, students should be able to: a) explain how fintech innovations are reshaping payments; b) describe how fintech innovations are transforming lending and borrowing; c) analyse two cases of fintech firms involved in payments and lending. Week 4: Selected areas of the fintech revolution—banking and investment management By the end of this class, students should be able to: a) describe how fintech innovations are impacting banking and investing; b) explain the challenges deriving from such innovations; c) examine cases of fintech players involved in banking and investing. Week 5: Selected areas of the fintech revolution—insurance and financial regulation By the end of this class, students should be able to: a) describe how fintech innovations are reshaping insurance and financial regulation; b) explain the challenges deriving from such innovations; c) examine cases of fintech actors involved in insurtech and regtech. Week 6: Group presentations on global fintech hubs Week 7: Positioning a fintech strategy By the end of this class, students should be able to: a) use PEST analysis to examine the global business environment faced by fintech newcomers and incumbents; b) apply Porter’s 5 forces to analyse what opportunities/challenges fintech firms face in global markets; c) use VRIN framework to assess a firm’s resources and capabilities. Week 8: Fintech strategy in action By the end of this class, students should be able to: a) use the strategy clock to analyse business strategies; b) apply the Ansoff's matrix to assess corporate strategies; c) examine different types of organizational forms. Week 10: Fintech as social innovationBy the end of this class, students should be able to: a) describe the fintech revolution as part and parcel of the innovation economy; b) explain innovation management and its application to fintech; c) discuss fintech’s potential to enable financial inclusion and poverty reduction.See Recommended Reading List for Required reading for each of the above weeks excluding week 6 • Interactive lectures (20 hours) • Tutorials on assessments, including collaborative group work culminating in presentation (10 hours) • Guided independent study and VLE forum (120 hours) Total: 150 hours   3 Report 70% 7 Oral assessment/presentation 30% Group presentation on global fintech hubs20 minutesWritten feedback provided on CLE. Individual business report 2000 words After the end of the unit. Written feedback provided on CLE   N Week 1: An introduction to the digital transformations of the financial sector Required reading:  • Gomber, P., Kauffman, R., Parker, C. & Weber, B. (2018) On the fintech revolution: Interpreting the forces of innovation, disruption, and transformation in financial services. Journal of Management Information Systems, 35(1): 220-265. Week 2: Fintech hubs around the world Required readings:  • 11:FS (2019) 11 years: The past, present & future of UK fintech.  • Deloitte (2017) A tale of 44 cities: The connecting global fintech.  Week 3: Selected areas of the fintech revolution—payments and lending Required readings:  • Chishti, S., Craddock, T., Courtneidge, R., and Zachariadis, M. (eds) (2020) The PayTech book: The payment technology handbook for investors, entrepreneurs, and fintech visionaries. Chichester: Wiley. • BIS (2017) FinTech credit: Market structure, business models and financial stability implications. Bank for International Settlements.Week 4: Selected areas of the fintech revolution—banking and investment management Required readings:  • 11:FS (2020) How to build a bank. • Williams, A. (2016) Millennials set to embrace micro-investing. Financial Times, 17 June.Week 5: Selected areas of the fintech revolution—insurance and financial regulation Required readings:  • VanderLinden, S., Millie, S., Anderson, N., & Chishti, S. (2018) The insurtech book. Chichester: Wiley. • Barberis, J., Arner, D., & Buckley, R. (2019) The regtech book. Chichester: Wiley. Week 7: Positioning a fintech strategy Required readings:• Johnson, G., Scholes, K. and Whittington, R. (2009) Fundamentals of strategy. Harlow: Prentice Hall. (Selected chapters on PEST, P5F, VRIN). • Ozcan, P. (2018, July 23) Monzo, Revolut and other challenger banks are shaking up the industry. The Conversation.Week 8: Fintech strategy in action Required readings:  • Johnson, G., Scholes, K. and Whittington, R. (2009) Fundamentals of strategy. Harlow: Prentice Hall. (Selected chapters on strategy clock and Ansoff’s matrix).  • Mintzberg, H. (1981) Organization Design: Fashion or Fit? Harvard Business Review, 59 (January-February): 103-116. Week 10: Fintech as social innovation Required reading:  • Lagna, A. and Ravishankar, M.N. (2022) Making the world a better place with fintech research. Information Systems Journal, 32(1): 61–102. In addition to the readings listed above, the following general introductory book to fintech is recommended: • Arslanian, H., Fischer, F. (2019) The future of finance: The impact of fintech, AI, and crypto on financial services. Basingstoke: Palgrave MacMillan• Shrier, D. and Pentland, A. (eds.) (2022) Global fintech: Financial innovation in the connected world. Cambridge: MIT Press.   Lectures 20 Tutorials 10 0 120