Virgin Atlantic Case Study
Virgin Airline is now the second largest long-haul international airline in the United Kingdom. Virgin Airline is renowned for its consistent high-quality service and innovative ideas, focusing on the comfort and feelings of passengers while on a plane. Routes throughout the world’s major cities. This paper analyzes the general environment and industry environment of Virgin Airline by using PESTEL, Porter’s “Five Forces Model” and SWOT, taking Virgin Airline as an example. This paper analyzes the formation and development of business stratum and company stratum strategy provides the basis, and put forward some suggestions and opinions to the company's future.
1 Introduction to Virgin Aviation
Virgin …show more content…
2, large enterprises, financially strong, the state monopoly, with government support.
3, high-quality and thoughtful service.
4, concerned about the technology to improve and update, with the number of aircraft.
· Other European airlines (Air France, Lufthansa ...)
An analysis of the status of Virgin Atlantic can provide an objective assessment of the company as a whole; qualitative evaluation and appropriate adjustments to previous strategies; help clarify the future of Virgin Atlantic’s future; Accurately put forward the future business objectives; can better guide the future strategy of the system
Chapter Three: Strategic Environment Analysis
3.1 Industry environment analysis - five forces model
3.1.1 Threat of potential entrants - Weakness
For the civil aviation industry, potential entrants do not have a serious threat to enter the enterprise. The aviation industry needs huge capital investment to support the entire operation, and is a typical through the economies of scale to enhance the income of the industry, first enter the enterprise often have other than the cost of other …show more content…
Because Virgin Atlantic is primarily focused on international long-haul routes, alternatives are less of a threat to it.
Competition within the Industry - Strong
Aviation industry is a highly mature market, the industry is very competitive. As a result of deregulation and the signing and entry into force of a number of liberal agreements, the number of firms in the industry has increased, and competition in the sector has increased due to higher exit barriers in the aviation industry and sluggish economic conditions. In recent years, mergers and acquisitions and restructuring of the aviation industry is further exacerbated by the industry's competitive situation.
Virgin Airlines in response to fierce competition in the industry to avoid the traditional airlines and low-cost airlines, looking for market gaps for the passengers who did not think the boss, or do not want to do, and consumers are very welcome, it is necessary , Can benefit from the products and services. Thus in the fierce competition in the industry to win a