Virgin, history and analysis. Five forces analysis, SWOT and PEST
Extracts from this essay...
Part One Strategy Analysis 1. History review 1968-1983/4 Virgin went through the development stage of its founding, with its operations in music producing, issuing and the related fields. During this period, virgin had shown its insight in market opportunities, established its brand, style and market position by a series of unconventional operation acts. In 1984, Virgin Atlantic was founded. This seemingly risky strategic decision was made after Branson realized the possible threats and positioned better and fresher service VA could provide. Behind this lies Virgin's business idea of "never let the facts get in the way of a good idea" and providing value-for -money service. 1985-1992 In this period Virgin went through the process of float and management buyout. Meanwhile, it went through entertainment, airway, retailing business through a series of reconstructing such as selling, founding joint venture and launching, among with entertainment and retailing all entered international market successfully. Its airline won good reputation and greeted new developing opportunities in 1991. Virgin showed its ability to expand as a conglomerate and reconstruct its resource.
resource and develop new business; · Flexible, unconventional HRM and discrete, open, independent organisation structure guarantee the safe of its operation and the effectiveness of expansion. 1999-2000 Facing new millennium, V pushes its development in e-commerce, mobiles as well as consolidates and reconstructs its old core business such as VA, V retail. 2. Five forces analysis 3. PEST Analysis (current time) P: · Politically stable in Britain; · Competitive Tendering is carried out in public service sector including railway; · Worldwide peace and development have been commonly recognized; · Terrorist Attack on 11th Sept impacted on some industries, esp. airlines. E: · The issue of Euro will push the development of European economy; · China's entry into WTO provides opportunities for world; · Many markets remain stable; · Globalisation will speed up the flow of capital among the nations; · The collapse of NASDAQ had a negative effect on global e-commerce. S: · Globally, there is a trend of consumer's requirement for higher service quality and more service types; · Cultural differences among nations increases the requirements for service localization.
Airline 5. Major events 6. Business Philosophy About new venture · Built not buy; · Never let the facts get in the way of a good idea; · People who have to ask the questions don't understand; · Ideas are debated and analysed at center; · Branson immerses himself in a new venture until he understands the ins and outs of business and hand over it to a good managing director and financial controller; · Give new company initial awareness by Branson's public stunt. About organizational structure · A corporate strategy center around Branson by a small supporting team; · Discrete and autonomic legal entities; · Best not biggest; · Small is beautiful; · Virgin Charter. About Human resource management · Staff first, then customer and shareholders; · Family rather than hierarchies; · People matter, business should be shaped around people; · Promotion-within and making-millionaires within policy and suitable people on suitable position; · Trust the managers with full authority and offer them minority share options; · A sense of involvement and loyalty to the smaller unit. Virgin's Entry Into The New Millennium 1
Found what you're looking for?
- Start learning 29% faster today
- Over 150,000 essays available
- Just £6.99 a month
- Over 180,000 student essays
- Every subject and level covered
- Thousands of essays marked by teachers