H&R Block and "Everyday Financial Services"
H&R Block, the U.S. market leader in tax preparation services, must decide whether to offer financial services to its low-income clients. H&R Block is facing increased competition from branded and nonbranded tax preparers, and the number of returns prepared by the company has declined in recent years. The CEO, Mark Ernst, considers a proposal for Block to differentiate itself from these competitors by offering its low-income clients a range of financial services, including check cashing, money transfer, and savings products. Ernst must decide whether this new suite of services would be profitable for the company and determine its impact on Block's brand and how the company and the marketplace would receive it.
Keywords: Financial Management; Income; Taxation; Product Development; Financial Services Industry; United States;
Citation:
Tufano, Peter, and Daniel Schneider. H&R Block and "Everyday Financial Services". Harvard Business School Case 205-013, July 2004. (Revised January 2007.) View Details
