Publications
Publications
- October 2007 (Revised March 2008)
- HBS Case Collection
First National Bank's Golden Opportunity
By: Shawn A. Cole, Peter Tufano, Daniel Schneider and Daryl Collins
Abstract
Executives at First National Bank in South Africa are considering whether to launch a potentially exciting, but rather unorthodox, new savings product. Instead of paying interest, this product gives depositors the chance to win large cash prizes each month. Michael Jordan, CEO of the bank's Consumer Solutions Division, must decide whether to approve the product, weighing the potential benefits against large upfront investment, uncertain market demand, and the complication that the product might face legal challenges.
Keywords
Decision Choices and Conditions; Banks and Banking; Investment; Innovation and Invention; Product Launch; Demand and Consumers; Banking Industry; South Africa
Citation
Cole, Shawn A., Peter Tufano, Daniel Schneider, and Daryl Collins. "First National Bank's Golden Opportunity." Harvard Business School Case 208-072, October 2007. (Revised March 2008.)