Preview

A Case Study of Virgin Airlines

Good Essays
Open Document
Open Document
1391 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
A Case Study of Virgin Airlines
A case study of Virgin Airlines Introduction

Internationalization of the business nowadays apparently became a trend for the organizations to expand their market position and gain the competitive advantage among their contemporaries. The extent and nature of business activities are almost as diverse and comprehensive as the totality of the social and economic interest of a man. Various business activities acknowledged the opportunities that the internationalization may deliver. Through their ability and capacity to expand their business operations, internationalization is highly possible. For most of the time, the high degree of the competition under the umbrella of an industry and the number of competitors that are engaged in the creating the same product and/or services or often referred as the competitors that are closely related can cause market stiffening and will tend to saturate the resources. This idea is one of the reasons on why the businesses are moving into foreign markets.

Background of the Study

There are businesses that in the start of the operation had a great investment and one of which is the airline industry which can perform in either local and/or international markets. This kind of service is one of the broad classifications of the business services. Part of the business operation should cater to personal needs of people or with rendering of a personal service. In this industry, the passengers or the travellers needs the efficiency in travelling in form of safe and friendly services. One of the organizations is Virgin Atlantic Airways that is considered as one of the leading airlines. Like the other companies that play actively in the international market, there are challenges and experience different changes in their operation. But unlike the other business’s ideas, the VAA believed in the option that it is more positive and much less risky to invest in a long-term change program to satisfy the need to grow in the future (Blue

You May Also Find These Documents Helpful

  • Powerful Essays

    Southeastern Jet Airways (SEJA) philosophy and vision is very simple: to be a client-focused company. Armed with this philosophy, the team developed a strategy to guide and take SEJA beyond the next level and well into the future. SEJA’s vision which is to ensure that the organization remains an affordable transportation company, continues to build, remains strong to maintain customer loyalty by providing excellent customer service, and enhances shareholders’ value is a reflection of its mission. Such mission is to provide the highest quality transportation service while committed to excellence, safety, reliability, and efficiency, Intrinsic factors as those described above very seldom change the direction of an organization. However, on the other side of this equation is the basic framework where lies the strategy – the link between the firm (internal) and the industry (external) environment. Key factors that require a change in strategy could be found either in the firm (resources and capabilities, structure and systems changes or fluctuations) or the industry environment (competitors, customers, or suppliers) (Grant, 2013, Chapter 1).…

    • 1650 Words
    • 5 Pages
    Powerful Essays
  • Satisfactory Essays

    FlyWithUs Airlines has started a new low-cost carrier service to link major cities such as New York City with small towns. A few of the airports that service FlyWithUs are located in remote areas and are ill-equipped to handle emergencies.…

    • 451 Words
    • 2 Pages
    Satisfactory Essays
  • Good Essays

    1. Southwest Airlines has been a highly successful undertaking. This is due in part to the marketing objectives it has set for itself. Its main objective was to create brand awareness/preference, customer value and be a market share leader. The next step was to come up with a marketing mix strategy of price, place, product and promotion to achieve its objective. Southwest cut out many amenities in order to differentiate itself from its competitors. Its main objectives were to become a market share leader, have the lowest airfare with a high frequency of flights to make profit. In order to cut costs for instance, they would use entertaining flight attendants opposed to electronic entertainment. The idea was that if cost structure can be streamlined and airfare lowered, more people would fly, this was a unique selling position at the time.…

    • 1172 Words
    • 5 Pages
    Good Essays
  • Good Essays

    Virgin group limited is world largest british multinational company founded by Richard branson.it has various core business like travel,entertainment and life style and it includes 400 companies world wide.…

    • 2827 Words
    • 12 Pages
    Good Essays
  • Satisfactory Essays

    1. Southwest Airlines in 2010: Culture, Values, and Operating Practices: Essentials of Strategic Management, Third…

    • 21090 Words
    • 85 Pages
    Satisfactory Essays
  • Satisfactory Essays

    The position held by British Airways is situated in the range high-cost because they focus on Businessman who can afford a good service to pass their working trip. Also, that company is considerate as an international airline company to the extent that they provide around 170 destinations in the world in more than 80 countries...…

    • 610 Words
    • 3 Pages
    Satisfactory Essays
  • Satisfactory Essays

    In order to know how to prevent and avoid such accidents from happening, we must first know what went wrong. As they say, the first step to resolving an issue to know and recognise that there is one.…

    • 586 Words
    • 3 Pages
    Satisfactory Essays
  • Powerful Essays

    With the development of the global economy, it is noticed that there is an increasing trend of companies’ internationalization since the “first age” (Wild and Wild, 2012:37) of globalization and there is a “real need” (Keillor, 2013:1) for business of all size to expand internationally. Besides the need of foreign markets mentioned early that attracts companies, the “limited growth opportunity” (Keillor, 2013:1) will barricade the firms from long-run operation, which pushes the companies abroad. Having known needs of globalization, it is time for companies to consider what objectives they want to achieve or in other words, what their motivations of globalization are. Three elements of motivation are focused in Daniels, Radebaugh and Sullivan (2011) including expanding sales, acquiring resources and minimizing risks. After the motivation, what options they should take when it comes to entry mode should be considered. Keillor (2013) argues that it is about how the product or service is distributed in and through the market. Different motivations lead to different entry modes. To acquire intellectual resources, for example, Zedtwitz and Gassmann (2002) indicate that there are four methods for companies in intellectual business to conduct their globalization business involving market and technology dimensions. Further, to be successful in the process of globalization, companies should be well aware of the business environment which usually includes political, economic, social, technological, etc. because they are very important when it comes to company strategies (Wild and Wild, 2012:310). However, companies preparing for international business often overlook the information they have as they think that they know the consumers in depth (Keillor, 2013:2). It would never be easy to have fully understanding of the changing business environment.…

    • 4978 Words
    • 21 Pages
    Powerful Essays
  • Powerful Essays

    Today we live in era of globalization. There is no definite answer whether it positively or negatively impacts on national economies, but it is obvious that companies seek more markets for its products and services than just local markets. The world became smaller and easily reachable. The national borders are something symbolic and open for international business. Companies are growing rapidly than ever and likely consider the opportunity to enter foreign markets and promote sales. Local business is nervously screening international news as any event in one point of the world could affect the other point considerably. The main goal of the course is to understand the entire international business environment, its background and peculiarities, concepts, theories and fundamental principles. Also the course will examine the main international tendencies and analyze the main global events in terms of their impact on a whole global market place.…

    • 1026 Words
    • 5 Pages
    Powerful Essays
  • Best Essays

    Leadership and management style have proven to be important factors in the effectiveness and development of an organization. (Blake, 1991) argues that leadership and management style influences levels of motivation, performance and commitment within a business. This essay using Richard Branson and Michael O’Leary as case study examples, aims to discuss how the state of affairs within an organization can be attributed to different leadership styles and behavior.…

    • 2454 Words
    • 10 Pages
    Best Essays
  • Good Essays

    Q2(a) Scoot is a budget airline that provides regular medium to long haul flight at half cost as compared to existing full service carrier. There are limited budget air carriers compeititors for long haul market die to high operating cost and this makes Scoot uniqiue.…

    • 1145 Words
    • 5 Pages
    Good Essays
  • Good Essays

    Internationalization is the increased significance for corporations to foster international relationships and to create alliances in efforts to provide goods and services to different parts of the world. This is all in part to globalization. The text talks about the various forces that are driving this behavior; for instance, the reduction of trade barriers through trade agreements so that more goods and services can be traded more openly, as well as they are able to enter into new markets with lower overhead costs.…

    • 1746 Words
    • 7 Pages
    Good Essays
  • Good Essays

    Saudi Arabian Airline

    • 4796 Words
    • 20 Pages

    In this case study we are going to analyze performance of some Saudi company. The main task of this analysis is to identify the main challenges that a company is facing nowadays in the circumstances of the global financial crisis, economic fluctuations and changes in the global business environment. Moreover, it is important not only to identify these challenges, but also to explain how the company is overcoming them and what it should improve in this context. Every of these items are going to be analyzed in the context of improvement of the company’s provision of services to the customers.…

    • 4796 Words
    • 20 Pages
    Good Essays
  • Better Essays

    With further advancements, producers started establishing their production facilities in foreign countries and the era of globalization arrived; this was the time when researchers coined the term “international business”. There are many thinkers who have worked in the field of international business and they have put forward various theories in order to justify the concept of international business. These theories collectively explain why business firms of one country should go to another country, although the industries of that country also produce the same goods and market them. So these theories explain the basis for international business.…

    • 3219 Words
    • 13 Pages
    Better Essays
  • Good Essays

    The study of international business does relevance to individual no matter they are going to work in a large multinational enterprise or small firms. An international business can be defined as requires the organization to change its processes and structure to accommodate a different way of operating. Because, nowadays domestic companies does not compete locally but competing globally against products and services that come from abroad. Furthermore, the international business now, comprises a large and growing portion of the world’s total business and affecting the world with its activities.…

    • 951 Words
    • 4 Pages
    Good Essays