Strategic Management at Virgin

2076 WordsJul 11, 20189 Pages
Evaluate the suitability of the emergent and intended approaches to strategy management for your chosen organisation. Throughout the global economic environment the desire to out-perform the competition is always present. In every situation, the companies who do better are the ones with superior strategy (Rothaermel, 2013). Strategic management is therefore important in every company, no matter what industry or market they operate in; and as stated by M. Carpenter and G. Sanders, 2013, is described as "The process by which a firm manages the formulation and implementation of its strategy". Strategic management is a constant topic under discussion with different schools of theorists with different beliefs and attitudes which is described…show more content…
This shows the risk involved with using the emergent strategy approach to formulate a concept into a respectable business. To back up the risk of the approach Virgin Atlantic took Ansoff, 1991 states that the planned approach to diversification, not the trial and error will enhance financial gain. However with the enthusiastic entrepreneurial attitude by Branson and the determination to succeed, Virgin Atlantic took off. Supportive of Mintzberg, 1990 who talks about how organisations will change from prescriptive to emergent as a reaction to the turbulent environment endangering their survival in the industry, Virgin decided to implement an intended strategy from the development of Virgin Atlantic. Branson realised that from this a holiday package organisation could be formed, and using specific strategic management approaches Virgin Holidays was formed. The initial strategic planned aimed at families looking for a break away from home, a marketing plan was made with the slogan being 'Unleash your inner rock star'. However with the constant changing environment of the holiday industry, Virgin holidays had to quickly realise this was not bringing in enough revenue and change earlier this year (May 2013) to target the over 50's as the main consumer of the organisation. Contradicting this, Ansoff, 1991 suggests that the emergent strategy approach is a better way of strategic management when operating in incremented environments,
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