Virgin Company

Virgin Company

  • Submitted By: haoo
  • Date Submitted: 11/10/2008 6:36 PM
  • Category: Business
  • Words: 485
  • Page: 2
  • Views: 1170

Virgin company
Global Communications has been in a declining market position for some time now largely because it lacks the services to compete with cable companies who offer complete home and small business communications packages including internet service, television and land and cell telephone services. Redesigning the company’s service menu will help Global Communications better meet the needs of its current and potential customers and set itself apart from local and global competition. As for Virgin, a leading organization is one of the world's most recognized and respected brands. Start in 1970 by Sir Richard Branson, the Virgin Group has gone on to grow very successful businesses in sectors ranging from mobile telephony, to transportation, travel, financial services, leisure, music, holidays, publishing and retailing. Virgin starts its company as a student magazine and a mail order record company. Later it evolved into a music recording company and an airline (Virgin Website N.D.). Virgin Airlines was successful in expanding its sizeable brand equities from the entertainment to the travel industry. The Virgin Group followed many other companies during the 1950 to1980 period in adopting diversification as a mean for corporate growth. The boom of unrelated diversification of the early 1960s and 1970s was halted abruptly however by the failure of many large diversified companies (Grant 2005b:447). The simple action of bringing various businesses together under a single ownership itself was clearly not sufficient in creating shareholder value. The company also engaged in unsuccessful ventures such as Virgin Cola and Virgin Vodka, which was not a good category match for its iconic brand but does anyone remember Virgin cola? Virgin vodka? Virgin jeans? Obviously, these were not good category fits for the iconic brand. Trying to leverage Virgin's attributes into these categories made no sense to the consumer; else they would have been successful. Fortunately,...

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