Running head: Contemporary Business- BUS 508 April 28‚ 2012 Assignment #2 Diversification Strategies “Virgin Group and Benetton Group” Gilbert Feliciano II Professor- Dr. Brian Collins Strayer University CONTEMPORARY BUSINESS- BUS 508 2 ABSTRACT The diversification literature has largely focused on the degree of applicability of firm resources to a new industry: A firm should diversify into more related industries since synergistic benefits decrease with the distance between
Premium Virgin Group Brand Richard Branson
Air Asia Berhad Background Founded : 1993 Hubs : Kuala Lumpur International Airport Secondary hubs: * Kota Kinabalu International Airport * Senai International Airport * Penang International Airport Subsidiaries: * Thai AirAsia * Indonesia AirAsia * VietJet AirAsia * AirAsia RedTix Fleet size : 103 (+ 121 orders) Destinations : 70 in 19 countries Company slogan : Now Everyone Can Fly Parent company : Tune Group Headquarters Registered office : Petaling Jaya‚ Selangor
Premium
structure of Asia has made air travel the viable‚ efficient‚ and convenient mode of transportation. Threat of new entry is moderate; high capital requirement and government barrier such as air service agreement can act as barriers to entry. However‚ the deregulation of aviation industry in Asia Pacific region has resulted in more competitors entering the market. Furthermore‚ many full service airlines enter the LCC industry by launching their LCC version. For example‚ Nok Air set up by Thai
Premium Barriers to entry Competition Marketing
CHAPTER 6 STRATEGY FORMULATION: CORPORATE STRATEGY Corporate Strategy Corporate strategy deals with three key issues facing the corporation as a whole: 1. Directional strategy- the firm’s overall orientation toward growth‚ stability‚ or retrenchment 2. Portfolio strategy- the industries or markets in which the firm competes through its products and business units 3. Parenting strategy- the manner in which management coordinates activities‚ transfer resources‚ and cultivates
Premium Vertical integration Strategic management
Task 3 - Understanding approaches to strategy evaluation and selection Organisations may be made up of several divisions or business units. Therefore‚ when devising their strategies may well decide to adopt differing strategies – substantive growth‚ limited growth or retrenchment for different business units. a) Virgin is an example of a large and diverse organization. Describe conditions‚ which might lead them into adopting each of these three strategies. Growth in a business is described
Premium Richard Branson Virgin Group
huge.” The 48-year-old is targeting emerging wealth in Southeast Asia where an increasing number of its 598 million inhabitants can afford to travel and buy consumer goods such as mobile phones for the first time. Fernandes will relocate to Jakarta this month to focus on regional growth. He will also step down as CEO of his Kuala Lumpur-listed airline from June 30 to be replaced by Aireen Omar‚ currently regional head of corporate finance and treasury‚ according to an exchange filing in Malaysia
Premium Tune Ventures Chief executive officer
VENTURE STRATEGY AND EXTERNAL VENTURE STRATEGY by: Mary Ynde O. Araño STATEGIC VARIATIONS EXPANSION INTERNAL EXTERNAL UNRELATED HORIZONTAL VERTICAL ACTIVE PASSIVE WHY VENTURE STRATEGIES? The most successful companies are those that have developed aggressive venture strategies and have made ventures critical components of their strategic and operating success. Venture strategy can be… • Internal venture strategy • External venture strategy INTERNAL VENTURE STRATEGY • A vehicle
Premium Strategic management Mergers and acquisitions Marketing
policies due to oil and toxic spills; Occasional refinery explosions; Corrosion in pipelines; Competition from Shell and Chevron Ceasing operations in a number of potential locations with their further re-branding (Conoco); Sale of corporate-owned stations; More than 5.000 shortages within coming months; $66‚71 per barrel creates considerable tensions for running oil business;
Premium Petroleum
Corporate Level Strategies Kinds of Grand Strategies: * Stability Strategies * Growth Strategies * Retrenchment Strategies * Combination Strategies Stability Strategies The basic approach is ‘maintain present course: steady as it goes.’ In an effective stability strategy‚ companies will concentrate their resources where the company presently has or can rapidly develop a meaningful competitive advantage in the narrowest possible product-market scope consistent with the firm’s
Premium Vertical integration Strategic management Tata Group
Corporate Strategy Of Adidas SCOPE OF THE FIRM VERTICAL INTEGRATION STRATEGIES (EXISTING MARKET/ DIFFERENT STAGE OF PRODUCTION) A vertical integration strategy describes “The degree to which a firm owns its upstream suppliers and its downstream buyers” (Blackwell Reference Online‚ Vertical Integration Strategy). The purpose of vertical integration is to increase the control of the stages of development. In the early beginnings Adidas produced all the shoes and apparel on its own. Through
Premium Adidas Reebok Nike, Inc.