Rise and fall of TXU Europe
This case records the events leading up to the collapse of TXU Europe (“TXUE”). TXUE was a major vertically integrated UK electricity retail, trading and generation company with subsidiaries across mainland Europe. TXUE was wholly owned by TXU Corporation (formerly Texas Utilities). The case summarises the major events in the life of TXUE over the period from 1990 to 2002. By studying these events, students and instructors can develop an understanding of: the value chain, dynamics and business models of the regulated electricity industry; the impact of regulatory regimes – in particular, how sources of risk changes under different regulatory regimes; how changing industry dynamics affect the profitability and risk of different parts of the value chain – and so the importance of successfully foreseeing and managing those transitions. The case also provides for discussion of: the commercial logic behind the strategy and key decisions of TXUE and the strengths and weaknesses of the strategy pursued by TXUE; the challenges of trans-Atlantic supervision of subsidiaries and governance and horizontal expansion across European borders.
October 2002
Cranfield University
Wharley End Beds MK43 0JR, UK
Tel +44 (0)1234 750903
Email [email protected]
Harvard Business School Publishing
60 Harvard Way, Boston MA 02163, USA
Tel (800) 545-7685 Tel (617)-783-7600
Fax (617) 783-7666
Email [email protected]
NUCB Business School
1-3-1 Nishiki Naka
Nagoya Aichi, Japan 460-0003
Tel +81 52 20 38 111
Email [email protected]
IMD retains all proprietary interests in its case studies and notes. Without prior written permission, IMD cases and notes may not be reproduced, used, translated, included in books or other publications, distributed in any form or by any means, stored in a database or in other retrieval systems. For additional copyright information related to case studies, please contact Case Services.
Research Information & Knowledge Hub for additional information on IMD publications
The case study delves into strategic transformation and leadership transitions at Unilever since 2009. Unilever has been an industry leader of busi...
The case study examines recent aviation safety concerns at Boeing, focusing on manufacturing issues, leadership decisions and regulatory oversight....
The case is seen through the eyes of the newly appointed supply chain director at a cosmetics company based in Berlin. The general manager has task...
Few Business to Business (B2B) marketplaces have succeeded. Metalshub has successfully combined a software platform as a service, with a marketplac...
The case focuses on Contabilizei, a Brazilian startup providing online accounting services for small and medium-sized enterprises (SMEs). The case ...
Companies that modularize and externalize their best capabilities are in a strong position to seize unexpected opportunities. Prediction is hard. T...
Research Information & Knowledge Hub for additional information on IMD publications
Research Information & Knowledge Hub for additional information on IMD publications
in I by IMD 24 June 2024
Research Information & Knowledge Hub for additional information on IMD publications
Research Information & Knowledge Hub for additional information on IMD publications
Research Information & Knowledge Hub for additional information on IMD publications
Case reference: IMD-7-2457 ©2024
Research Information & Knowledge Hub for additional information on IMD publications
Case reference: IMD-7-2546 ©2024
Research Information & Knowledge Hub for additional information on IMD publications
Research Information & Knowledge Hub for additional information on IMD publications
in MIT Sloan Management Review Summer 2024, vol. 65, no. 4
Research Information & Knowledge Hub for additional information on IMD publications
Research Information & Knowledge Hub for additional information on IMD publications