Case Analysis Virgin Group

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Analysis and Assessment Analysis of the Corporate Strategy Employed by Virgin Group From its beginning as a start-up, the Virgin Group still utilizes the same strategic model, which entails devolving from its original values and culture. Markedly entrepreneurial, Virgin group has no headquarters even though it has overseen an extended period of considerable growth and persistent profitability. Uniquely, even though lacking a specific corporate structure, Branson, his advisers and senior executives are observed to establish a team capable of guiding Virgin Group’s business development, entire financial control and overall strategy. Thus, all strategic objectives likely to involve altering the financial, organizational or managerial structures,…show more content…
However, the subsidiary companies, rather than being in a hierarchy, have their strategies linked in specific aspects of knowledge sharing in a similar manner to a family. They are individually empowered to carry out their respective affairs, even though while assisting each other while solutions to emerging problems are sourced from various sources. Plainly, Virgin Group emerges as a community having shared values, goals, interests and ideas. Similarly, most of the holding companies that the Virgin Group has are based offshore as a measure of avoiding the significant UK’s taxes. The regulators involve the core competencies of those directing the strategies of the various individual entities separately. For many conglomerates, their failures are linked to one individual (the CEO) being burdened in efforts to direct even the far-flung enterprises that they even hardly understand effectively. However, in the case of Virgin, Branson is only involved actively in the due-diligence phase. On acquiring or developing an entity, Branson turns over the daily operations of the virgin’s subsidiaries to an executive identified to have the expertise necessary for that particular…show more content…
In the case of a tall structure, there are numerous departments in proportion to employees’ number while for a flat structure, there are a few departments in proportion to the employees’ number. Virgin Group adopts a flat structure considering its few hierarchical levels and short communication lines between the senior managers and employees. Courtesy of the significant freedom and responsibility accorded, Virgin employees are encouraged to assume commitment, initiative and in coming up with
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