Virgin Blue Essay

1250 words - 5 pages

Introduction:
Virgin Blue is the second-largest airline and the largest fleet size airline company in Australia. It was taken to the Australian skies in August 2000 and it has expanded to routes that include most Australia major cities and holiday destinations. Virgin blue has strongly brand recognition and remain innovative, low-cost and high quality services let them gain more advantage of competitiveness. This essay will discuss how Virgin Blue has achieved strategic competitiveness base on the affect of strategic management and strategic competitiveness, the influence by external environment and the internal environment, and business level strategies.

Strategic management and strategic competitiveness:
Strategy management is the duty of the company leaders to plan their business at the highest possible level, which is to exploit the business’s core competencies and gain a competitive advantage. Besides that, strategy management is an ongoing process that evaluates and controls the business to enhance company’s ability to earn above-average returns. Further more, strategy management entails specifying the organization’s mission, vision and objective goals, developing policies and plans which are designed to achieve these objective goals.
Strategy competitiveness is the result of successful formulation and implementation of a value-creating strategy. By achieving strategic competitiveness and successfully exploiting its competitive advantage, a firm is able to gain its primary objective.
There are four main characteristics of the 21st century competitive landscape influenced the strategic competitiveness of firms:
First is the global economy. Global economy is one that goods, services, people, skills and ideas of a national society move freely across geographic boarders and making the global one. For virgin blue, global economy provides more opportunities to obtain the resource needed to achieve their goals.
Second is the march of globalization. Globalization is the increasing economic interdependence among countries, their organizations as reflected in the flow of goods and services, financial capital and knowledge across country boarders. Globalization is referring to the flow of goods and services, financial and knowledge across country borders. Globalization not only creates a lot of opportunities to the organizations but also many risks, one risk of entering the global market is that the firms need to spend much time to learn how to compete in the markets which are new to them. In additions, firms may over-diversity internationally beyond their ability to diversified operation.
For Virgin Blue, it has strongly operation all over the world, it has operated with few international airline's company to develop their international airline business; it has outsourcing catering and addressing catering wastage, maintenance agreement and a fuel efficiency program. Besides, Virgin Blue cooperates with their Australian television to...

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