Virgin Atlantic Essay
The airline industry was affected more than most by the tragic events of September 11th 2001. There was an immediate and significant reduction in passenger demand, particularly across the North Atlantic, and a number of airlines became bankrupt. 9/11 was quickly followed by further challenges of SARS and the effects of the Gulf War. The industry is slowly rebuilding passenger confidence and recent traffic figures show signs of a recovery from 9/11. However, it is clear that in order to survive and compete in this challenging environment, it is vital for airline companies to adapt and evolve, focusing on capturing the market with an ever-improving range of services. Airlines with strong brand leadership, like Virgin …show more content…
Plans have also been announced for new routes between London Heathrow and Sydney to start at the end of 2004 and London Gatwick and Cuba and The Bahamas to commence in summer 2005. On December 20th 1999 Richard Branson signed an agreement to sell a 49% stake of Virgin Atlantic to Singapore Airlines to form a global partnership. The cost of the transaction to Singapore Airlines was £600.25 million, which included a capital injection of £49 million and values Virgin Atlantic at a minimum of £1.225 billion. The deal was finalised in early 2000.
Virgin Atlantic has pioneered a range of