Taking a Look at the Virgin Trademark

The Group Structure

The virgin group is a network of companies which are connected by the “Virgin” trademark. Virgin does not function as a single unit. Richard Branson, the president of Virgin Atlantic, was in charge of the corporate strategy of the entire group. Virgin group holding was the head of the group and held the group’s shares. The companies were managed by Virgin Management.

Virgin had a decentralized management and exercised control over all the operating companies by having representatives on each company’s board. In London, Sydney and New York, the Virgin’s Management office had about 30 investment professionals organized in seven teams. These professionals were on the board of four to five companies. Besides this, the head of strategy consisted of 30 professionals who monitored the new ventures.

Through licensing agreements, Virgin tried to protect the brand name. Agreements were made with terms and conditions which were signed by all the companies that bagged the Virgin name. Virgin’s brand, human resources and marketing teams were regularly in touch with all the operating companies to help and monitor in everyday activities. In the past, Virgin did not face many problems as to how the operating companies used the Virgin brand name. The importance of rejuvenating the brand and the business was well understood by the operating companies. Every time a new company is launched, Virgin as a rule injects five to six people in the new management to ensure that the company has only those people who know the business.

Even in cases where Virgin did not hold majority shares, the licensing agreement would be negotiated by Virgin in such a way that it would possess the right to at least appoint the CEO.

Virgin Media ca...

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... appointing new individuals. This informal incorporation was the virgin culture. All these values were completely influences by Richard Branson’s management style, hardworking spirit, commitment towards customers, sense of fun and eccentricity.

The Virgin group delivered an atmosphere where talented people are motivated to produce highest levels of performance. The work environment was always anti-corporate and informal. The Virgin culture was often called the “pop culture”. Although the culture was informal, Branson expected very high levels of commitment and demanded long hours of work. Branson sponsored weekend getaways and parties. The strong culture and ties made up for the lack in organizational structure. Employees were given adequate freedom to generate new ideas, commitment and fun. This corporate culture fostered team work and an entrepreneurial spirit.