The paper "Virgin Airlines and Climate Change" is an outstanding example of a business case study. Virgin Airlines have successfully utilized branding to generate corporate personality perceptions, providing a unique blend of service attributes and elements that have enabled them to differentiate themselves from competitors. Virgin has developed a ‘ service brand’ that symbolizes both individualistic qualities of service and attributes. That is to say, the company is inclined to attract all customers, even those with limited international travel opportunities because of the values represented by the brand. The different qualities that the Virgin’ s brand represents have become a valuable tool for marketing.
One of the key brand values created by Virgin is offering quality service at all times. Virgin Airlines ensures that the passengers come first before anything else. This can be evidenced by every aspect of its service. Simultaneously, Virgin is considered by the customers as a fun-loving, distinctive, and very innovative brand that exhibits qualities of integrity, intelligence, and friendliness. Virgin offers a calming atmosphere for the passengers and the staff is very engaging. Furthermore, the process of boarding is very simple and the flight attendants always make sure that the passengers are comfortable (Nigam, 2009).
In Australia, Virgin Airlines was established in 2000 as a low-cost airline flying between Sydney and Brisbane. As mentioned by Virgin Australia (2016), the low-cost model of Virgin Blue was very successful since the rate of growth was faster than other Virgin companies. The airline repositioned and rebranded in 2012 from a low-cost carrier into a full-service airline, currently recognized as Virgin Australia. Virgin Australia has continued growing and has consolidated its presence in the global market.
A key attribute of Virgin Airlines is the efforts to address the company’ s material environmental impacts by reducing carbon emissions and supporting the local communities. Inter-Relationships between Virgin and Its Natural, Social and Economic Environments Air transport has negative effects on the environment because it emits harmful gases like sulphur oxide, carbon dioxide, nitrogen oxides as well as a particulate matter to the atmosphere. Besides that, Virgin Airlines contribute to noise pollution and this is likely to increase in the future if no actions are taken.
Virgin Airlines have come up with measures to reduce their annual carbon emissions by espousing an innovative and flexible organizational culture. With regard to social factors, social factors, Virgin airlines serve various nations with different social and cultural backgrounds. For that reason, the company has been forced to understand the cultural and social values of the destinations so that it can drive the business successfully. The cultural and social values include every aspect of knowing the destinations’ special needs and special arrangements that should be considered when serving a specific destination.
For instance, when serving the Muslim nations the meal choices should be limited to non-pork based foods. More importantly, the company has demonstrated a willingness to do business in a way that is in line with its values and those of its stakeholders. In terms of the economical environment, the cost of fuel, and the increased cost of living have placed Virgin Airlines in a very tight spot. The cost of travel has been influenced by the strong/weak home currency as well as global economic markets. The increasing cost of fuel has forced the company to transfer its costs to the customers; thus, it has become more expensive for people to travel by air.
Additionally, the fluctuation of the oil prices has directly influenced the currency; thus, affecting the cost of air travel. Still, an increased number of destinations has led to high profits for the airline. Even though the company is no longer dependent on one market, unexpected fluctuations in the international and domestic economies have negatively influenced its operations.
Capoccitti, S., Khare, A. & Mildenberger, U., 2010. Aviation Industry - Mitigating Climate Change Impacts through Technology and Policy. Journal of Technology Management & Innovation , vol. 5, no. 2, pp.66-75.
Condon & Forsyth, 2015. Airlines and Climate Change: The Aviation Industry’s Emissions Problem. [Online] Available at: HYPERLINK "http://condonlaw.com/2015/11/1093/" http://condonlaw.com/2015/11/1093/# [Accessed 7 July 2017].
Department of the Environment and Energy, 2016. Carbon Neutral Stories - Virgin Australia. [Online] Available at: HYPERLINK "http://www.environment.gov.au/climate-change/publications/factsheet-virgin-australia" http://www.environment.gov.au/climate-change/publications/factsheet-virgin-australia [Accessed 7 July 2017].
ETA, 2015. Air Travel’s Impact on Climate Change. [Online] Available at: HYPERLINK "https://www.eta.co.uk/environmental-info/air-travels-impact-on-climate-change/" https://www.eta.co.uk/environmental-info/air-travels-impact-on-climate-change/ [Accessed 7 July 2017].
Harvey, C., 2017. How climate change could make air travel even more unpleasant. [Online] Available at: HYPERLINK "https://www.washingtonpost.com/news/energy-environment/wp/2017/04/06/fasten-your-seatbelts-climate-change-could-increase-air-turbulence/" https://www.washingtonpost.com/news/energy-environment/wp/2017/04/06/fasten-your-seatbelts-climate-change-could-increase-air-turbulence/ [Accessed 7 July 2017].
IATA, 2009. Aviation and Climate Change Pathway to carbon-neutral growth in 2020. Geneva: The International Air Transport Association).
Johnston, I., 2016. Climate change set to increase turbulence and make it difficult for flights to take off, UN warns. [Online] Available at: HYPERLINK "http://www.independent.co.uk/environment/climate-change-global-warming-effects-air-travel-flights-planes-turbulence-a7169796.html" http://www.independent.co.uk/environment/climate-change-global-warming-effects-air-travel-flights-planes-turbulence-a7169796.html [Accessed 7 July 2017].
Nigam, S., 2009. What makes Virgin America an outstanding airline brand? The delivery. [Online] Available at: HYPERLINK "http://simpliflying.com/2009/what-makes-virgin-america-an-outstanding-airline-brand-the-delivery/" http://simpliflying.com/2009/what-makes-virgin-america-an-outstanding-airline-brand-the-delivery/ [Accessed 7 July 2017].
Virgin Australia Group, 2015. Sustainability Report. Sustainability Report. Brisbane: Virgin Australia Group.
Virgin Australia, 2011. Carbon Disclosure Project 2011. Brisbane, Australia: Virgin Australia.
Virgin Australia, 2016. Virgin Australia: The fastest growing Virgin Company in history. [Online] Available at: HYPERLINK "https://www.virgin.com/virgingroup/virgin-australia-fastest-growing-virgin-company-history" https://www.virgin.com/virgingroup/virgin-australia-fastest-growing-virgin-company-history [Accessed 7 July 2017].
Virgin Australia, 2017. Environment. [Online] Available at: HYPERLINK "https://www.virginaustralia.com/nz/en/about-us/sustainability/environment/" https://www.virginaustralia.com/nz/en/about-us/sustainability/environment/ [Accessed 7 July 2017].
Virgin, 2016. Change is in the Air for Virgin Atlantic. [Online] Available at: HYPERLINK "https://www.virgin.com/virgin-unite/change-air-virgin-atlantic" https://www.virgin.com/virgin-unite/change-air-virgin-atlantic [Accessed 7 July 2017].