Lloyds-TSB: A Champion of Shareholder Value, 1983-2007

Published 16 Dec 2010
Reference 5754
Industry Banking
Region Europe
Summary

The case presents the strategy of the British bank Lloyds TSB (called today Lloyds Banking Group) over the years 1983-2007. A long time span allows to evaluate the financial results of a long-term strategy.

Teaching objectives

The objectives of the case is twofold: discuss the trade-off between short-term profit and long-term value maximization, and the trade-off between a focus and a diversified strategy.

Keywords
  • Bank strategy
  • Diversification
  • Bank valuation
  • Corporate Governance
  • Value Creation, Strategy and Implementation