Virgin Atlantic - the world's sexiest airline?

[hkskyline]

Richard Branson bemoans 'overeducated,' risk-averse entrepreneurs: WikiLeaks
21 December 2010
The Christian Science Monitor

In a January 2008 meeting with Chinese businessmen, billionaire Sir Richard Branson agreed 'that British entrepreneurs are overeducated and that schooling does not prepare one for entering the business world.'

What do Microsoft's Bill Gates, Apple's Steve Jobs, Facebook's Mark Zuckerberg, and Virgin's Richard Branson have in common?

They all dropped out of school.

Why? Billionaire Sir Richard hints that schools, at least in Britain, fail to teach future entrepreneurs how to take risks while wasting time "overeducating" them on needless things, according to a confidential US diplomatic cable passed to the Guardian from WikiLeaks (available on the Guardian's website, but not yet uploaded to WikiLeaks.ch).

Branson's comments seem to have struck a chord with business professors and professionals on both sides of the Atlantic, perhaps indicating a growing sense in the business world that many of today's institutes are not keeping pace with real-world demands. The UK publication Management Today writes that Branson "raises an interesting issue - especially when soaring tuition fees might make some people think twice about heading down the university route."

"There is a growing urgency to teach entrepreneurship and innovation that is directly related to the decline of innovation in the American economy," says Dr. Dennis Ceru, who teaches courses on entrepreneurship and business strategy at Babson College in Wellesley, Mass.

"I think Branson's on to something," agrees Jeffrey Bernel, a business owner and professor at Notre Dame's Mendoza College of Business. "Education is really important. On the other hand, if it stifles your creativity and ability to innovate and look deeper into opportunities. It's not good for entrepreneurship."

Branson's off-the-record comments came in January 2008, when he and other high-ranking British businessmen accompanied then-Prime Minister Gordon Brown to Beijing and attended a lunch conference with Chinese businessmen entitled "What Makes a Good Entrepreneur?"

Too afraid of failure?

According to the cable (read here), Chinese participants criticized British entrepreneurs as being "overeducated, too conservative, lacking passion for entrepreneurship, and too afraid of failure."

Branson - who dropped out of school at age 15 but went on to found Virgin Group Limited, a conglomerate of more than 400 companies from Virgin Atlantic airline to Virgin Records music label - agreed with the criticism "that British entrepreneurs are overeducated and that schooling does not prepare one for entering the business world."

The Chinese also criticized their own system as inadequate to prepare people for entrepreneurship, according to the cable.

Professor Ceru at Babson says education should not come at the expense of action, or what he calls "the paralysis of analysis." He says "entrepreneurs fail forward. They learn from their errors as they refine their efforts."

This willingness to fail needs to be encouraged, says Ceru.

Drop out to succeed

The Guardian points out that Facebook investor Peter Thiel has encouraged young entrepreneurs to leave education altogether by offering two-year $100,000 fellowships to teenagers. "Some of the world's most transformational technologies were created by people who stepped out of school because they had ideas that couldn't wait until graduation," Mr. Thiel has said.

Professor Bernel at Notre Dame agrees that there is a tendency for business school graduates to be overly conservative since they are, after all, gambling with others' money. "To some degree, we teach our students to be risk averse in dealing with somebody else's money. We don't teach students innovation, creativity, how to use your intuition. Most business schools avoid it," he says.

But not all business school graduates are meant to be entrepreneurs, Bernel adds: The world needs data crunchers and financial experts to whom the entrepreneurs can turn. It's also important to recognize that people like Branson and Mr. Gates and Mr. Zuckerberg are incredibly talented individuals whose success is not easily replicated.

"They're special people. They see things," he says. "Very successful entrepreneurs are different from you and me. They can draw connections between disconnected issues into opportunities."

[dreadathecontrols]

dunno about all this but i do know that virgins 'conditions of carriage ' are bloody good and that if you fly with them, as im unfortunately not this time, you will not end up on the floor at heathrow as they will put you in a hotel, feed n water you and give you use of a communication device.
c me nxt week on the news in me space blanket.....

[hkskyline]

I thought the international standard is no compensation for weather delays?

[dreadathecontrols]

Originally Posted by hkskyline

I thought the international standard is no compensation for weather delays?

Nope.
Each airline has its own terms.
I imagine Cathays is good.
i'm flying with a good airline - kingfisher- but with shite terms.
u got insomnia?
must be about 2 am where you are.

edit: there is no compensation.
but all E U based airlines have an obligation to fed , water , supply phones and ahotel bed if need.
if they dont do it, its against the law and re embursment of incured expenses is compulsary.
i think for other airlines its not compulsary.

[Vrooms]

Source:http://www.businessweek.com/news/201...tic-stake.html

Singapore Air New CEO May Shed Virgin Atlantic Stake
December 30, 2010, 11:21 PM EST
By Chan Sue Ling

Dec. 31 (Bloomberg) -- Singapore Airlines Ltd.’s Goh Choon Phong, who takes over as chief executive officer tomorrow, may shed the last major remains of the carrier’s global expansion strategy as he confronts rising competition in Asia.

Goh, 47, may get offers for the airline’s 49 percent stake in Virgin Atlantic after the U.K. carrier said this month it had received tie-up inquiries. Outgoing CEO Chew Choon Seng called the investment “underperforming” two years ago and has said the airline would consider a sale.

In Asia, Goh faces low-fare competition on long-haul routes from Jetstar and AirAsia X Sdn., as well as renewed efforts by Cathay Pacific Airways Ltd. and Korean Air Lines Co. to lure lucrative business-class travelers. Middle East carriers Emirates Airline, Qatar Airways Ltd. and Etihad Airways have also ordered close to 300 planes since 2007 as they build hubs linking Europe and the Asia-Pacific region.

“Goh has a tough job ahead of him,” said K. Ajith, a UOB- Kay Hian Research Pte analyst in Singapore. “The environment is drastically different from five or 10 years ago, when SIA managed to fend off competition by focusing on its branding.”

Virgin, 51 percent owned by billionaire Richard Branson, hired Deutsche Bank AG to explore options as British Airways Plc boosts cooperation with American Airlines across the Atlantic and completes a merger with Madrid-based Iberia Lineas Aereas de Espana SA. Singapore Air bought its stake in a 600 million-pound ($930 million) investment concluded in 2000.

Singapore Air would consider “interesting opportunities” for the stake, Nicholas Ionides, a spokesman, said in an e-mail. Goh, who joined the carrier as a cadet administrative officer in 1990 after graduating from the Massachusetts Institute of Technology, declined interview requests, he said.

Virgin Offer

Whether Singapore Air will sell the Virgin stake will largely depend on what price is offered since the carrier isn’t short of funds, said Rohan Suppiah, an analyst at Kim Eng Securities Pte in Singapore.

“SIA isn’t in a hurry to sell, but if they get a fair price they will,” he said. “Virgin hasn’t provided any significant synergies over the years.”

Delta Air Lines Inc. and Middle East airlines are among carriers exploring a Virgin tie-up, Sky News reported this month, without saying where it got the information from. Singapore Air’s stake complicates a deal as local ownership rules limit non-European investors to minority stakes.

“Either Singapore Air sells or Branson loses effective control by selling part of his stake,” said Andrew Miller, chief executive officer of CAPA Consulting LLC, which advises airlines.

Very Supportive

Singapore Air is “very supportive of our business strategy including the review by Deutsche Bank,” Greg Dawson, a Virgin spokesman, said without elaborating. Virgin operates 38 twin- aisle planes, according to its website.

Chew, who has spent almost four decades at Singapore Air, sold a leasing arm and spun off a ground-handling unit while CEO to focus on the carrier’s main flying business. He will take over as Singapore Exchange Ltd.’s chairman on Jan. 1.

Chew’s predecessor, Cheong Choong Kong, bought stakes in Virgin and Air New Zealand Ltd. to expand overseas. The value of the Air New Zealand investment was written down in 2001, and the remaining holdings were sold off three years later. Virgin was expected to hold an initial public offering within three to five years of Singapore Air’s investment, Chew said in 2006.

Shares Trailing

Singapore Air, which operates 110 planes, was unchanged at S$15.54 as of 11:04 a.m. in the city-state. The carrier has trailed the 15-stock Bloomberg Asia Pacific Airlines Index this year amid rising competition for premium and low-cost travelers. The shares have climbed 4 percent this year, compared with the index’s 27 percent advance.

Competition is intensifying in the premium market, which accounts for about 40 percent of Singapore Air’s sales. Hong Kong-based Cathay Pacific is working on a HK$1 billion ($128 million) business-class upgrade to lure executive travelers.

Korean Air, which aims to get 50 percent of passenger sales from premium classes by 2019, will receive its first five Airbus SAS A380s next year. The superjumbos will each be fitted with 94 business-class seats, compared with the 60 found in Singapore Air’s A380s. Emirates is building a fleet of 90 A380s.

“Singapore Air needs to think about how to position for the longer-term given the competitive landscape,” said Christopher Wong, who oversees $45 billion of assets, including Singapore Air shares, at Aberdeen Asset Management.

Budget Competition

Singapore Air has responded to budget competition through a 33 percent stake in Tiger Airways Holdings Ltd. The low-cost affiliate, which operates from Singapore and Australia, plans to form a budget airline in Bangkok next year with Thai Airways International Pcl.

Tiger, Qantas Airways Ltd.’s Jetstar and AirAsia Bhd. are leading discount carriers’ market share gains in Asia as they add new planes. Budget airlines accounted for about 22 percent of passengers in the first 10 months of the year at Singapore’s Changi airport. That compares with 12 percent in 2008, according to data from operator Changi Airport Group.

Low-fare carriers are also adding intercontinental routes. Jetstar started flights to Melbourne from Singapore this month, touting fares 30 percent cheaper than full-service airlines. It plans to add more long-haul services next year. AirAsia’s long- haul affiliate is offering flights to Australia, London and Japan from its base in Kuala Lumpur.

Singapore Air’s corporate travel base and reputation will be an asset as Goh faces the new competition, said Steven Lim, who manages about $200 million at Daiwa SB Investments Ltd. in Singapore. The carrier, among six airlines with Skytrax’s highest five-star rating, has also been profitable every year since going public in 1985.

“As a business hub, Singapore Air does enjoy the advantage of business travel,” Lim said. “Goh’s immediate challenge is to continue Chew’s good work, keep the company’s profit record intact and maintain the reputation Singapore Air has as a premium airline.”

[hkskyline]

I wonder who would want to buy such a huge stake in an "underperforming" airline.

[Vrooms]

I don't know either.I dont think SQ will sell the offer is good. Does this mean the whole of Virgin Atlantic is for sale with Richard Branson willing to sell his 51% and Singapore Airlines selling it's 49%??

[hkskyline]

I doubt someone will offer a 'good' price given Virgin's shares have trailed over the years. There must be a very good reason to pay a huge premium above market, and I don't think Virgin is one of those airlines worth that premium.

[Vrooms]

I dont think soo too!! Well i guess we will have to just wait and see what happens............BTW have you flown Virgin Alantic before?? I wonder how their sevice is like cos i have yet to fly with them.

[cle]

Originally Posted by hkskyline

I doubt someone will offer a 'good' price given Virgin's shares have trailed over the years. There must be a very good reason to pay a huge premium above market, and I don't think Virgin is one of those airlines worth that premium.

Being privately owned, you know that of course they don't have shares.

And last year they made a profit.

I think they're in an ok position, but standards have slightly gone down and they probably need to get into an alliance to survive the many JVs and mergers across aviation.

Someone suggested a Virgin Alliance - with Virgin Atlantic, Virgin America, Virgin Blue and V Australia / Pacific Blue - both of which are basically Virgin Blue (of Australia) but not allowed by Singapore to use the word 'Virgin' internationally as part of its stake, With the 49% sold, expect Pacific Blue and V Australia to become part of a stronger Virgin Blue based in Brisbane, of all places. Air New Zealand and Delta are also cosying up with them.

But it would be weak on Asia and wouldn't provide much UK/Europe feed into Heathrow - which is why tragi-comic BMI makes some sense too.

[Vrooms]

There were reports stating that AirAsia's founder Tony Fernandes wanted to buy the 51% stake in Virgin Atlanic but AirAsia has denied the calms.

Here's an article on it:

Source:http://news.yahoo.com/s/nm/20101227/bs_nm/us_airasia_1

AirAsia chief denies planning Virgin Atlantic bid: report


– Sun Dec 26, 8:08 pm ET

KUALA LUMPUR (Reuters) – The chief executive of Malaysia's AirAsia (AIRA.KL) has denied considering a possible takeover bid for airline Virgin Atlantic (VA.UL), a Malaysian newspaper reported on Monday.

Tony Fernandes, responding to an unsourced Sunday Times report that he had renewed an interest in the UK airline, told the Star newspaper that no such discussions had taken place.

"There are no discussions taking place," he said.

The Sunday Times had reported that Fernandes, who runs Asia's largest budget carrier by fleet size, had previously considered and decided against a bid which could be worth up to 1 billion pounds.

The airline said earlier this month it had received several "lines of enquiry" about tie-ups with rivals after it hired Deutsche Bank (DBKGn.DE) to assess the aviation market.

It said the bank's review was expected to last for several months and did not name those interested in a possible tie-up.

Increased competition from low-cost airlines, weak demand and high fuel prices have combined to squeeze many carriers in recent years.

The low-margin industry has gone through a period of rapid consolidation and analysts believe larger carriers such as Virgin Atlantic need partners to stay ahead of the competition.

(Reporting by Razak Ahmad)

Come to think of it, Virgin and AirAsia have pretty similar liverys...............

[hkskyline]

Private companies do have shareholder concepts. They're not traded publicly, but stakes are still denoted in shares.

Originally Posted by cle

Being privately owned, you know that of course they don't have shares.

And last year they made a profit.

I think they're in an ok position, but standards have slightly gone down and they probably need to get into an alliance to survive the many JVs and mergers across aviation.

Someone suggested a Virgin Alliance - with Virgin Atlantic, Virgin America, Virgin Blue and V Australia / Pacific Blue - both of which are basically Virgin Blue (of Australia) but not allowed by Singapore to use the word 'Virgin' internationally as part of its stake, With the 49% sold, expect Pacific Blue and V Australia to become part of a stronger Virgin Blue based in Brisbane, of all places. Air New Zealand and Delta are also cosying up with them.

But it would be weak on Asia and wouldn't provide much UK/Europe feed into Heathrow - which is why tragi-comic BMI makes some sense too.

[hkskyline]

Source : http://pic.feeyo.com/posts/332/3324008.html

[Steel City Suburb]

I don't want Virgin Atlantic to be sold.. Seems a bit sad.

[Vrooms]

Originally Posted by Steel City Suburb

I don't want Virgin Atlantic to be sold.. Seems a bit sad.

It does seem a bit sad and sudden even though i'm not from the airlines home country. I'm suprised that Branson wants to sell the whole airline off and not keep a certain percentage for himself.

[hkskyline]

Source : http://pic.feeyo.com/posts/114/1141217.html

[Vrooms]

image hosted on flickr

http://farm6.static.flickr.com/5202/...9b0690b0_b.jpg

[Steel City Suburb]

Originally Posted by Vrooms

image hosted on flickr

http://farm6.static.flickr.com/5202/...9b0690b0_b.jpg

Beautiful.

[Vrooms]

Originally Posted by Steel City Suburb

Beautiful.

Thank you!!

Heres more:
image hosted on flickr

http://farm2.static.flickr.com/1158/...255588b4_b.jpg

image hosted on flickr

http://farm6.static.flickr.com/5084/...84581350_b.jpg

image hosted on flickr

http://farm6.static.flickr.com/5288/...316d676e_b.jpg

[hkskyline]

Did they change their livery or it's a one-off / special edition?