Can 'drastic Dave' revive dispirited company's fortunes?

On landing a new job, nothing puts a spring in the step like knowing that news of your appointment has inflated the stock market value of your employer by more than £2bn. Dave Lewis could be forgiven for keeping that figure front of mind as he faces up to the challenge of reviving Diageo.

- Analysis Rob Davies

The London-based alcoholic drinks business runs a sprawling global empire upon which the sun never sets but whose glory has been on the wane. News that it had not only ended an uncomfortably long four-month recruitment drive but sent for the man widely credited with saving Tesco boosted the misfiring booze firm's shares by as much as 7% yesterday.

When Lewis formally starts work on 1 January, many customers will be recovering from overindulgence in Diageo brands such as Johnnie Walker and Guinness. For the highly regarded executive, the list of new year resolutions is daunting.

Earlier this month, the Motley Fool investment website asked if it was "game over" for investing in Diageo, one of the FTSE 100's traditional "defensive" stocks, the City term for safe bets that are resilient to economic downturns.