An experiment in changing corporate image in the financial services industry in the UK

Abstract

The increasing deregulation of the financial services sector in the UK in the 1980s greatly intensified the competition between firms in the industry. One company affected by this was the Prudential Insurance Company, which decided to diversify its product range and to change its corporate image in order to gain competitive advantage. As part of its corporate identity program the company was concerned with modernizing its distribution system through the mass acquisition of estate agencies which it viewed as being ideal bases for this purpose. After only six years, however, it withdrew completely from the business. Examines not only why estate agencies seemed so attractive to the Prudential as distribution systems, but also its acquisition program and why it abruptly decided to sell out. In particular, highlights the problems that arose from using acquired businesses as a key part of a corporate identity program.