Entrepreneurship; e-Business; On-line banking; Business strategy
When Saambou Bank collapsed on 9 February 2002, 20twenty, its newly formed on-line banking arm, had only been in operation for six months. During the six months however, 20twenty had managed to capture the hearts of 40,000 customers with its innovative approach and fanatical service ethic, so much so, that most of its customers did not leave when Saambou collapsed, but stayed faithful to 20twenty until a rescuer came along 18 months later. The rescuer was UK bank, Standard Chartered, which wanted to open up an operation in South Africa and liked 20twenty's business model. Standard Chartered wanted 20twenty again to differentiate itself from its competitors by providing innovative banking services and fanatical dedication to its customers. However, this strategy might have worked two years previously, but would it still hold in 2004 when 20twenty re-launched? And if so, would it be sustainable in the long run?