analyze the best possible pricing strategy for the Virgin Mobile venture into the United States. 1.2 Situation Virgin is a global company that has 200 corporate entities involved in everything from planes and trains to beverages and cosmetics. The newest addition is the Virgin Mobile USA entity‚ which was created after Virgin was able to successfully penetrate the U.K. cellular market. However‚ the company was not so successful with the mobile services in other parts of the world. The company has
Premium Mobile phone Virgin Group Mobile network operator
on extra usage users penalized heavily 4. Charged less for off-peak than on-peak minutes‚ but the off-peak period had shrunk 5. An additional fee was added to monthly bill‚ including taxes and services charges. From Company’s Standpoint Virgin Mobile USA had to fix all these problems prevalent in the industry while taking a pricing decision. The main limitation it faced was that the prices should be competitive and portable without triggering of competitive reactions. There are three options
Premium Costs Cost
administrative situation. We have disguised some case information. Send correspondence to: James A. Narus Babcock Graduate School of Management Wake Forest University Suite 150‚ One Morrocroft Centre 6805 Morrison Boulevard Charlotte‚ NC 28226-3551 USA +1.704.365.6717 (telephone) jim.narus@mba.wfu.edu (e-mail) © 2002‚ James C. Anderson and James A. Narus. All rights reserved. CROON ELEKTROTECHNIEK‚ B.V. A loud but warm greeting startled Fred Kombrink‚ a lead engineer from Croon Elektrotechniek’s
Premium Paper
Virgin Mobile Company Analysis Critically analyse and evaluate the macro environment in which Virgin Mobile (VM) operates. What do you believe to be the key drivers affecting the mobile segment in the UK? Virgin Mobile is part of Virgin Group Limited‚ a venture capital conglomerate founded by British business tycoon Sir Richard Branson. Virgin Mobile was the first Mobile Virtual Network Operator which launched in United Kingdom in 1999 as a joint venture between T-Mobile and Virgin Group. This means
Premium Richard Branson Virgin Group
Virgin Mobile USA Pricing Strategy1.) Given Virgin Mobile’s target market (14 - 24-year-olds)‚ how should it structure its pricing? The case lays out three pricing options. Which options would you choose and why? Be as specific as possible with respect to the various elements under considerations (e.g.‚ contracts‚ the size of the subsidies‚ hidden fees‚ average per-minute charges‚ etc.)Given Virgin Mobile’s (VM) target market (14 - 24-year olds)‚ I would recommend the company to structure its pricing
Premium Mobile phone
Considering the youth that Virgin Mobile is targeting‚ we conclude that the best strategic decision will be to establish a new plan that offers no contract requirements‚ lower than industry average minute prices‚ fixed minute rates with no additional or hidden fees‚ prepaid plans internet and text messaging included and subsidies of around 40 dollars per cellphone. This new plan is necessary to differentiate Virgin Mobile from its competitors and retain market share. By having the new venture with
Free Mobile phone
Virgin mobile Failure in Indian Market Introduction Virgin‚ a leading branded venture capital organization‚ is one of the world’s most recognized and respected brands. Conceived in 1970 by Sir Richard Branson‚ the virgin group has gone on to grow very successful businesses in sectors ranging from mobile telephony‚ to transportation ‚travel‚financial services‚leisure‚music‚holidays‚publishing and retailing. Virgin has created more than 200 branded companies worldwide employing approximately 50000
Premium Richard Branson Virgin Group Virgin Atlantic Airways
Virgin mobile is planning to bring a cellphone service to the 14- 24 year market‚ which are overlooked by the big carriers. The young market is overlooked by carriers because they lack good credit or any credit history at all. In addition‚ the customer dissatisfaction in the industry is high so Virgin plans to improve customer experience for young users. The goal for Virgin is creating brand loyalty. It is would make the most sense to analyze the landscape of the whole industry using the Porter’s
Premium Marketing Marketing
289 CASE EXAMPLE The Virgin Group Aidan McQuade Introduction The Virgin Group is one of the UK’s largest private companies. The group included‚ in 2006‚ 63 businesses as diverse as airlines‚ health clubs‚ music stores and trains. The group included Virgin Galactic‚ which promised to take paying passengers into sub-orbital space. The personal image and personality of the founder‚ Richard Branson‚ were highly bound up with those of the company. Branson’s taste for publicity has led him to
Premium Virgin Group Richard Branson
Introduction Virgin Group LTD is one of the most well-known‚ respected brand and outstanding international investment group. Invented in 1970 by Richard Branson. Virgin Group became a widespread company and began to grow up in businesses such as: mobile telephony‚ travel‚ financial services‚ leisure‚ TV‚ music‚ holiday and health & wellness. It involved in the fields of airlines‚ rail services‚ and transportation services‚ motorbike and cruise packages. They also operate gym facilities‚ racing
Premium Virgin Group Richard Branson Virgin Media