Strategic Management - Virgin Case Study

What follows will be a detailed discussion of the specific market conditions which lead to the successful collusion between BA and Virgin.

Virgin Atlantic is clearly the cash cow of the Virgin Empire but we have undertaken a

Virgin is a U.K-based company led by Sir Richard Branson and is one of the three most recognized brands in Britain. The company has a vast history of brand extensions – one of which is their launch of a wireless phone service in the USA. Dan Schulman has been appointed CEO of the Virgin

Additionally, the competition is likely to lead to erosion of margins and market share. Therefore, Virgin has to be sure that they can cope with the competition and take over some of the market share from the established banks.

Sir Richard Charles Nicholas Branson was born July 18th, 1950, in Surrey, England. He struggled in school and eventually dropped out at the age of 16. He started his first business after dropping out from school. In 1972, he founded Virgin as a mail order record retailer, and shortly afterwards he opened a record shop in London. This kick-started his Virgin brand globally, With more than 400 companies in over 30 countries, with different business ventures from alcoholic beverages to financial services, including airlines Virgin Atlantic and Virgin America, as well as wireless company Virgin Mobile. In addition, it includes international health club Virgin Active.

Global airline alliances in another issue included in Virgin’s external environment. Alliances benefit airlines in many ways as they enable them more market access, convergence of technologies and even help overcome legal barriers (Anon., 2009). One weakness for Virgin therefore is not being part of an alliance such as Oneworld Alliance (Anon., 2009), in order to take full advantage of its potential Virgin should look into adjusting their market strategy and look into joining an alliance, if not form its own.

The company tends to use pull strategy by creating a fresh and refurbished brand image so that the customer is coaxed to seek out the services offered by the brand(Appendix A). The company has an active social media presence which helps it to stay in touch with current customers and offer a window of experience to its new customers.(Appendix B) The company is actively present on facebook with the name of Virgin Australia, twitter, Instagram, YouTube, LinkedIn and the like(Appendix D). The customers can lodge complaints, find feedback forms; share their views through these websites. The idea behind the whole thing is to create positive social communities.

The purpose of this report was to provide a strategic evaluation of the company Virgin Australia. The report begins by conducting a strategic analysis of Virgin, including an analysis of the external environment and an internal analysis of competitive strengths and weaknesses. The report then identifies the strategic direction and objectives of Virgin Australia, including the vision, mission, strategic objectives and stakeholders of the company. The report moves on to explore strategic choices of Virgin Australia by identifying the key broad business level and

The first part of this report provides a broad introduction into the business of Virgin Australian by examining its principal sources of revenue, its nature of operating, its competitors, the market share and the regulations affecting its operations. From this, it can be seen that Virgin Australia operates in a very competitive environment and generates revenue by the core business of passenger and cargo transport.

Being in the service sector it is important for Virgin Atlantic to study its marketing mix as it works as an efficient tool, while building up marketing plans. It comprises of the seven P’s which are as follows.

The purpose of this report is to examine Virgin Blue’s external environment followed by its impacts to the organization as well as how management functions could help overcome the external environment for the organization to compete properly in the domestic airline market.

The five forces of Porter’s model are an exceptional tool that can help Virgin to understand the level of competition in the airline industry. Some of Virgin competitors are Qatar, British Airways etc. The managers at Virgin Atlantic can create strategies that are more successful to tackle competition and to improve Virgin competitive strengths by using this tool.

‘The update in 2003 of the upper class section of Virgin Atlantic aeroplanes has diversified Virgin from all other competitors in

Globalization changes have impacted Burger King in the following ways; since the company began in 1953 with its first restaurant in Jacksonville, Florida and opened several locations across the United States, the company began its international expansion in 1969 with its first international franchise location in Canada, followed by Australia in 1971, and Europe in 1975. The setting up of franchises outside the United States was as a result of fast food opportunities arising outside the United States. So as to fully integrate in the international market, Burger King had to adopt and embrace

In a branded house strategy, a master brand, which is in this case SPX moves from being a primary driver to a dominant driver role across a multiple offerings. The sub brand goes from having a modest driver role to being a descriptor with little or no driver role. Virgin uses a branded house strategy because the master brand provides an umbrella under which many of its business operations operate. Thus, there are Virgin Airlines, Virgin Express, Virgin Radio, Virgin Rail, Virgin Cola, Virgin Jeans, and Virgin Music and many others. Other branded houses include many (but not all) of the offerings of Healthy Choice, Kraft, Honda, Sony, Adidas, and Disney. This we have to accomplish with SPX as well. That every large subbrand of the industry Food and Beverages and Power and Energy have the name SPX somewhere mentioned in their brand