Leadership Free Persuasive Essay Example

should be noted that Kodak actually invented the digital camera. However, when you apply an existing name to a new product category, you are likely to be unsuccessful. Instead, the bravery to use a new name is necessary. For example, Toyota should not have named its luxury car the Toyota Supreme. Lexus is a much more suitable name.

Sony's most profitable product is known as PlayStation rather than Sony itself. However, mega-brands such as Virgin, consisting of various product lines like Virgin Atlantic, Virgin Mobile, Virgin Mega, etc., are often not effective according to you.

Virgin, as a brand, differs from brands like Tide that are solely associated with laundry detergent. Despite some exceptions, Virgin has been effective overall. It is intriguing to understand what unique qualities the company possesses that contribute to its success. However, this does not imply that Virgin's methods are universally advisable for the entire marketplace. It is important to consider what lessons we can learn from Virgin's achievements. LR: Unfortunately, very little. The success of Virgin does not guarantee that implementing a similar strategy will lead to success for other companies. One of the core reasons behind Virgin's success lies in Virgin Atlantic, an airline that holds a monopoly position (alongside British Airways) at Heathrow airport near London.

Having enough "slots" at Heathrow is crucial for the success of any airline, although most companies that extensively brand everything with their corporate name do not thrive. However, GE is a notable exception. In your book, you cite the Segway as an instance where PR was effectively used to create hype for a new brand.

Although the product was leaked on the Internet and formally introduced

on Good Morning America, as well as being featured on evening new shows and in national newspapers, the Segway has not been successful. Its high price point ($3000 - $4500 at last check) is unaffordable for most people, and its practical applications are somewhat limited. Commercial sales for use in warehouses, etc., have also been disappointing.

) seem to be a bit stronger, but still nothing like what the initial fanfare led us to expect. Considering that, what caution do you give to those who have a "cool" concept and can generate buzz about it, but may be missing other key components to success? LR: You should read one of our previous books, Focus. Segway generated a lot of publicity with their launch of the product and then they made a mess of their marketing by trying to be all things to all people. We would have started with one market and then moved on to other markets after the first one was successful. Our suggestion: country clubs. Use the Segway as a replacement for golf cards. DP: In the book, you use Rock/Paper/Scissors as a model for how the opposite strategy to that of your opponent (or competition) is often the best strategy. You discuss how emulating a leader is dangerous because they will still be perceived as the leader and a better strategy is to go for second place with the opposite strategy (what you call Survival of the Secondest).

In the book, it is stated that when someone says "'That's not the way it's done,' it usually indicates that an idea has value. Rather than questioning if the idea is logical, one should consider

whether it goes against the leader's strategy. However, it should be noted that being the opposite doesn't necessarily mean it is 'good' or 'better.' There is a risk that the leader's approach might actually be the best and going against it could have negative consequences. LR: The risks of doing the opposite may seem valid in theory, but in reality, it rarely proves successful.

Charles Darwin once stated that "Nature favors the extremes," using elephants and mice as examples. Our research indicates that there is always more than one approach to any task. While both Wal-Mart and Sacks Fifth Avenue have achieved success, Sears is struggling in the middle ground. On a different note, Virgin is widely recognized as Europe's most innovative company, with its founder being highly regarded as the most trustworthy person in Britain.

The Virgin organization consists of over 20 companies, generating approximately ? 1.8 billion (2.65 billion Euros / 3.44 billion US dollars) in sales and employing around 2,500 individuals. The group is involved in various industries such as aviation, retail, financial services, and also has smaller stakes in enterprises like the Storm model agency, the Heaven nightclub, and numerous restaurants and hotels. Richard Branson, the founder of Virgin, continues to have a strong association with the group.

Richard Branson is known for his unconventional style, as he refuses to wear business suits and ties. Instead, he can often be found dressed in unusual outfits like a pink rabbit suit to entertain his employees or wearing a wedding gown for the launch of Virgin Brides. Despite some high-profile failures, such as unsuccessful bids for TV franchises and the National Lottery, as well as poor

financial performance in retail businesses and a failed personal computer venture, Branson has achieved remarkable success in his business endeavors. His success can be attributed to two key factors: his irreverent entrepreneurship, seen in his signature beard and jumper look, as well as his willingness to take risks and defy industry conventions. Additionally, Branson believes in the power of luck, citing unexpected successes like Mike Oldfield's 'Tubular Bells' and the continued popularity of Phil Collins. Interestingly, Branson himself has no musical talent but signed Oldfield and Collins to his Virgin label simply because he personally liked them.Virgin’s strategy is to enter markets where its corporate brand and reputation hold significant market value. This allows the company to disrupt the market with minimal investment, as Richard Branson has a tendency to avoid large financial commitments in new ventures. Additionally, Virgin has diligently fostered the concept of ‘challenge’ as a fundamental component of its brand identity across all its businesses and among its employees. Guided by its flamboyant CEO, the company has consistently maintained this core brand value of ‘challenge’ in its market positioning, portraying itself as David against Goliath. Notably, Virgin has positioned itself as the advocate for consumers against large corporations, most notably British Airways. This projected identity has resulted in the widely held perception that Virgin is an innovative, daring, and enjoyable company to engage with.

The concept of "challenge" is also evident in Virgin's corporate communications and marketing efforts, all centered around the extensive self-promotion of its CEO Richard Branson. For instance, when Virgin Cola was introduced in the United States, Branson made a splash by driving a tank through Times Square as a

noteworthy event. This was done to increase awareness and challenge the dominance of Coca-Cola and Pepsi in the market. Additionally, Branson has been engaged in various world record-breaking attempts since 1985. In 1986, his boat, 'Virgin Atlantic Challenger II,' broke the previous record for crossing the Atlantic Ocean in the fastest time ever recorded. The following year, Branson accomplished another feat by successfully piloting 'Virgin Atlantic Flyer,' the first hot-air balloon to traverse the same ocean.

Between 1995 and 1998, Richard Branson, Per Lindstrand, and Steve Fossett (who joined after the death of Alex Ritchie) attempted to circumnavigate the globe by balloon. Although they made a record-breaking flight from Morocco to Hawaii in late 1998, their dream of a global flight was shattered by bad weather. However, in early 1999, a Swiss team successfully completed a circumnavigation. Each of these attempts was presented as a Virgin venture and received significant media coverage. Moving forward, Virgin faces questions about maintaining its image as a challenger in the public eye. Additionally, the company's corporate brand heavily relies on its star CEO Branson and the Virgin People who make up the organization.

Richard Branson’s unique personality and entrepreneurial flair cannot be replicated by other organizations. It is this charismatic style that is closely associated with the Virgin Brand, making the company truly distinctive. The Virgin group also attracts a specific type of individuals known as "Virgin People," who contribute to the company's human capital, which is unparalleled and cannot be imitated by other firms. Alongside Branson, these Virgin People create a work culture, known as the "Virgin culture," that sets Virgin apart from other companies. This culture does not seek

clones but instead values individuality and operates like a close-knit family. Employees are expected to possess the "Virgin Flair." These exceptional attributes possessed by Virgin employees combine to form a unique corporate culture that only the Virgin Group can claim. Additionally, Richard Branson's personality is closely linked to Virgin's strong branding and reputation.

The Virgin brand has been recognized by 96 percent of UK consumers and is associated with fun, innovation, success, and trust. Virgin has successfully maintained its identity across multiple businesses, giving it a unique brand equity that is hard for competitors to imitate. The corporate strategy of the Virgin Group is to function like a venture capital firm, leveraging the Virgin brand. This involves diversification at the individual business unit level and creating synergies through hierarchical relationships and interaction between the corporate head office and individual units.

By taking advantage of the established brand recognition of Virgin, the company can make a strong entrance into new industries and disrupt existing norms. The unique culture of Virgin also allows for successful expansion into new markets. Virgin's corporate strategy, outlined in the Virgin Charter, involves autonomous enterprises operating under a unified brand. This decentralized structure empowers managers to effectively pursue their businesses without the limitations of a centralized corporation. Additionally, the individual businesses benefit from the global reputation of the Virgin brand and can use this recognition to enhance their marketing efforts. This synergy within the Virgin Group is a key advantage that would not be possible if the businesses operated under separate brands.

The use of a management system and an internet business strategy defined by the Virgin Charter allows Virgin to benefit from both smaller

entrepreneurial organizations and large conglomerates. This enables them to avoid the drawbacks of bureaucracy and brand conflict that often occur in diversified corporations. Additionally, Virgin effectively manages the potential downsides of autonomy and decentralization by implementing measures to prevent breakdown of communication and uncoordinated strategies among its business units. Information technology and the digital age play a crucial role in solidifying the Virgin brand, with the Virgin Charter outlining a unified system that leverages these technologies. As a result, Virgin maintains a single web address, Virgin.

Virgin.com serves as a single portal for consumers to access all of Virgin's services. This approach strengthens the corporate parenting strategy and enhances the existing synergies created by the Virgin Group's corporate branding. By consolidating all services onto one platform, customers can conveniently access multiple offerings through a single distribution channel, encouraging them to become "Virgin Customers" for their telecommunications, banking, transportation (including Virgin Galactic), entertainment, and internet service needs. This integration allows the various Virgin businesses to benefit from each other's successes - for example, Virgin Rail gains customers referred from Virgin Mobile visiting the Virgin.com portal, and Virgin Money gains customers referred from Virgin Records. This collaborative approach sets Virgin apart from competitors, as banking companies would not typically market to a music crowd and railway companies would struggle to target mobile customers of an unrelated company. Despite operating in different industries, the unified corporate strategy allows these businesses to mutually contribute.

3. Threats to Virgin’s corporate strategy The success of Virgin Group relies on the corporate parenting strategy led by Richard Branson, the founder. To maintain its competitive advantage, Virgin Group needs to uphold the Virgin culture

and decentralization strategy with a unified branding. With Branson at the helm, the strategy appears robust and nearly unstoppable in the short term. However, in the long run, Branson must establish a solid succession plan and hire executives who comprehend and implement the Virgin Charter at the corporate head office. Although Branson may be irreplaceable, he can ensure his vision lives on through the preservation of Virgin Culture and Virgin People.

Virgin must be cautious when choosing the industries it wants to enter so as not to damage the Virgin Brand, as their unification under a single brand can have both positive and negative repercussions. Additionally, Virgin should ensure that its individual business units align with the overall Virgin brand and do not deviate in unrelated ways. This is crucial as it may weaken the Virgin brand if business units do not uphold the fun, trust, and quality associated with Virgin. By establishing a strong leadership engine, carefully evaluating future business opportunities, and maintaining branding coordination across its diverse businesses, Virgin's corporate strategy has the potential to secure a prosperous future for the company. ------------------------------------- Branson seeks to deliver significant value to customers.

The individual seems to have no fear due to the belief that things can always be improved. One example is the conviction that record stores lack enjoyable shopping experiences and staff who genuinely enjoy their work. While many of us identify areas for enhancement, entrepreneurs are the ones who take the lead and strive to make those improvements. However, it is important to note that the individual does not carry out all the tasks alone. These ventures are established with the involvement of other

individuals.

He holds a deep admiration for his staff members. Intuition is another significant factor in venturing into unfamiliar industries. Although Virgin Airlines has indeed required financial support, it is common for businesses to experience periods of financial difficulty and rely on loans or additional investment. I founded the magazine because I had a strong enthusiasm for my work. This same passion drove me to enter the airline industry, despite being repeatedly warned that it was not a profitable field.

I believed that I had the ability to have an impact, which is the most compelling motive for entering the business world. Having a strong conviction that you can bring about change is essential. Branson is always on the lookout for opportunities in markets that have become stagnant and complacent due to the dominance of large corporations. Branson is intrinsically linked to Virgin as its founder, championing its distinctive corporate culture and embodying its entrepreneurial ethos.

Richard Branson, often called the "hippie entrepreneur" and a representative of counter-cultural enterprise, embodied the spirit of "New Britain" for many of his generation. His business style revolved around informality and a disregard for convention. Branson's trademark look, consisting of woolly sweaters, a beard, windswept hair, and a toothy grin, was synonymous with the Virgin companies. He eschewed office buildings and traditional symbols of corporate success, preferring to conduct business from his family homes. This lack of separation between work and personal life was evident in his tendency to involve relatives, childhood friends, and acquaintances from dinner parties in his business ventures. Branson believed that work should be enjoyable and that his employees should find fulfillment and pleasure in their roles as

creators of enterprises.

Branson has faced minimal issues in paying relatively low wages to most Virgin employees. The operational approach was not intentionally crafted, but rather shaped by the demands and urgency during Virgin's early stages. This has proven to be a replicable and flourishing model for Branson. His approach involves fully engaging in a new enterprise until comprehending its intricacies, subsequently entrusting it to a competent managing director and financial controller who are both given a share in the company and tasked with propelling its success.

Richard Branson believes that expanding the Virgin group by creating additional legal entities not only provides protection for the company, but also fosters a sense of involvement and loyalty among people. He trusts the managers of subsidiaries with full authority and offers them minority share holdings. Additionally, Branson's use of joint ventures was influenced by his admiration for the Japanese approach to business. He appreciates their dedication to long-term success and their emphasis on organic growth rather than acquisitions. The acquisition of parts of British Rail to form Virgin Rail was Branson's major acquisition, while he had previously made two significant acquisitions: Rushes Video for ? million and the precursor to Virgin Express.

The chairman of Virgin saw similarities between the Japanese keiretsu system, which is a collaborative network of multiple companies interlocked through managerial and equity linkages, and the structure he created at Virgin. Virgin consisted of around 200 mostly small companies that combined the principles of "small is beautiful" and "strength through unity." The chairman believed that prioritizing the well-being of the staff, followed by customers and shareholders, would lead to better performance. The Branson philosophy included principles such

as shaping the business around the people, building instead of buying, striving to be the best instead of the biggest, pioneering rather than following the leader, capturing every fleeting idea, and driving for change. Branson's ventures reflected his values of innocence, innovation, and irreverence for authority. He valued input from others within his organization and was willing to invest in new start-ups even in markets dominated by established incumbents.

Richard Branson approached his business ventures with the same attitude and beliefs that he applied to his sporting exploits - a mindset of "just live life" and the belief that the greater the challenge, the more fun it is. He had a particular interest in markets where incumbent firms lacked imagination and conservatism, resulting in a failure to provide value to customers. When entering these markets, Branson brought a "new" and "anti-establishment attitude," aiming to offer customers a better alternative. An example of this was Virgin's entry into the traditionally conservative and stuffy financial services industry, which Branson hoped to rejuvenate with a breath of fresh air.
Will Whitehorn identified several common themes in the types of markets Virgin entered and the strategies they adopted: "challenging markets," "taking competition to the next level," "sticking it to the Big Boys," "quality," "value for money," and "challenge." Alongside this, Branson's popularity among the British public stemmed from his ability to embody both traditional and radical qualities. His values and sense of fair play resonated with traditional British values, and his competitive battles against corporate giants like British Airways and Coca-Cola aligned with the heroic figures from English folklore such as King Arthur, Robin Hood, and St George.

The text highlights how

his efforts in combating British Airways' unfair tactics and standing against unethical practices in the competition for the National Lottery franchise align with the British value of fairness. Furthermore, his willingness to dress up in eccentric outfits is representative of the British fondness for extravagant attire, whether it be at costume parties, morris dancing events, or even within the House of Lords.