I think the idea was to keep out of the big money transfers after the Chelsea and Man City takeovers, especially with the expense of the stadium move (a pain that still awaits Liverpool, Everton, Tottenham ...) and with the perception that the transfer market was in any case highly inflated. Careful husbandry and then, when financial fairplay kicked in , bank.
That was the theory anyway. Also worth bearing in mind that one team's "bumbling along" is most other clubs' pipe dream :-)