Virgin – Brand Extension or Brand Dilution

Virgin – Brand Extension or Brand Dilution

Appreciate a large multinational company’s brand management strategies aimed at cashing in on the equity of an umbrella brand.

The case discusses the brand extension strategies adopted by the Virgin group. Detailed information is provided about the values of the Virgin brand and the part they played in the group’s foray into many different businesses. The case also discusses how the Virgin group’s Chairman and CEO, Richard Branson, became an integral part of the brand itself. It then moves on to discuss the criticism leveled against the group for allegedly diluting the equity of the Virgin brand through reckless brand extensions. The views of various industry observers and analysts are provided along with the views of people employed by Virgin. Finally, the case discusses the future prospects for the brand in light of the various problems the Virgin group was facing in the early 21st century.   

Issues:

  • Appreciate a large multinational company’s brand management strategies aimed at cashing in on the equity of an umbrella brand.

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