Case Study: Richard Branson and the Virgin Group's Strategy (STRM043)

This case study analyzes the competitive strategy and innovation of the Virgin Group, led by Richard Branson. It examines the company's resources, capabilities using the VRIN model, and business diversification strategies across various sectors like finance, apparel, automobiles, and transportation. The analysis incorporates the BCG matrix to assess business segments and Porter's Five Forces to understand the competitive landscape. Recommendations are provided for organizational structure changes, management system improvements, and leadership transition after Branson. The study concludes that adapting to the dynamic business environment is crucial for maintaining a competitive edge, emphasizing the need for effective management and strategic adjustments within the Virgin Group.

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THE UNIVERSITY OF NORTHAMPTON
FACULTY OF BUSINESS AND LAW
MASTER OF BUSINESS ADMINISTRATION
STRM043 COMPETITIVE STRATEGY & INOVATION
Richard Branson and the Virgin Group Case Study Assignment 1
Model Name: COMPETITIVE STRATEGY & INOVATION
Number: STRM043 Assignment Title: Richard Branson and the Virgin Group Case Study

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COMPETITIVE STRATEGY & INNOVATION

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Introduction
 Strategic management refers to the framing of goals and
objectives by higher management level so that it can be
accomplished in effective manner. Proper plans and actions
are developed that mentions steps that have to be followed
by individual of organisation.
 The report highlights the case of virgin group which is
included in conglomerate industry supplying different types of
services like health care, banking, electronics, commercial
aviation and many other.

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Resources of Virgin Company
 Brand Name
 Risk Taking
 Richard Branson

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Capabilities of the Company
Each business organisation have certain distinctive capabilities that help
them to stand apart from their competitors in market place. Virgin group
of company possess capabilities of:
Effective management style
Prospective Employees

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Cont..
VRIN model is formulated in order to understand this process more
deeply which consisted of four components that are:
 Value
 Rare
 Inimitable
 Non- Substituted

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Business Diversification strategy of Virgin
company

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Virgin company operates in different types of sectors
 Financial sector:
 Apparels segment
 Auto-mobile segment
 Transportation sector:

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Cont.....
BCG matrix is adopted to analyse the different aspects so that
effective decisions can be made in that regard. This matrix
helps the virgin group of companies to examine number of
business segments so that optimum utilisation of resources
can take place and there is no wastage for the same. It is
analysed in four segments that are described below:
 Cash Cows
 Dogs
 Question Marks
 Stars