Monday, August 26, 2019
The Strategy Virgin Group Case Study Example | Topics and Well Written Essays - 250 words - 2
The Strategy Virgin Group - Case Study Example The ownership group of the company believed that the normal pressures of the shareholders for instant results along with the added cost associated with the reporting requirement of institutions such as the London Stock Exchange (LSD) inhibit the ability of the company to grow. Due to the fact that the company was kept private, the firm has been able to keep basic accounting numbers of its operation without the rigorous requirement accounting frameworks such as GAAP or IFRS required. The management of the company established a business strategy for its conglomerate group based on the assumption that its brand would be able to captivate the domestic customers due to the fact the Virgin brand represents quality and value. The GroupÃ¢â¬â¢s ambition caused the firm to penetrate industries it should have not to such as the train travel industry. The firm believes that one of its primary business sectors that helped the company build brand value is its airlines' operations. The overall st rategy of the group so far has worked, but due to market changes, the firm must adjust its long-term strategy to meet the customer requirements of its clientele.