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Charles R. Schwab: Customers
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By 1983, the Schwab company had passed the half million customer mark. During that same landmark year, the Bank of America officially acquired the Schwab firm for $57 million. In 1984, three new online products that helped pave the way toward an online investments future were launched. The following year, the firm's one millionth customer account was opened, and the man who had formerly struggled with the written language had his first book, How To Be Your Own Stockbroker, published.
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Business writer John Kador describes the evolution of Charles Schwab & Company, a former discount brokerage blessed with the ability to transform itself through four different incarnations. Kador emphasizes Schwab’s commitment to integrity and customer service, a code that enabled it to prevail despite upheavals and threats. While the book focuses on the company, the running portrait of Chuck Schwab gives it a personal core. Kador highlights Schwab’s concern with exercising his values and leading a highly principled business amid an often shady industry he saw as corrupted by greed. Kador’s engaging narrative style is designed to inform and entertain general investors, executives and managers. At times, the discussion of Chuck Schwab and his company sounds almost too laudatory, as if the book is an in-house publicity piece.
Troubled by the decline of corporate pensions and the future uncertainty of the U.S. social security system, Schwab's founder and namesake says it is Schwab's mission to see that every American has a retirement plan. To reach this goal, Schwab employs customer service professionals whose jobs are to educate and help people make informed decisions about how to invest. Schwab's customer service representatives consult with customers, generate research reports, and discuss the ups and downs of various investment strategies based on an individual's financial circumstances and goals. But they won't recommend specific stocks or securities.
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Schwab was one of the first companies to exploit low-cost online trading, but competition in the 1990's led Schwab to broaden its business model to pursue wealthy investors. It acquired U.S. Trust in 2000 and recently announced an initiative to offer advice to customers.
Charles Schwab by John Kador Since its founding in 1973, Schwab has led the full-brokerage market by stressing customer service. Today, Schwab has established itself as a company with a unique identity: old-fashioned integrity meets technology-empowered financial services. Charles Schwab tells the compelling story of this organization's uncanny ability to reinvent itself around an unchanging set of core values.
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