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The Dispute between BSkyB and Virgin Media

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It has been claimed by Virgin Media that BSkyB has increased the prices at a massive level, but BSkyB has defended the rise by highlighting the fact that the number of channels has also been increased. If Virgin Media’s claim that the increased number of channels is not much popular among the masses, and it is only selected programs, not even channels. that are popular among the public, then it is believed that Virgin Media has not an ultimate threat of closure, downsizing or financial loss.
The deadlock is less likely to affect the growth and transmission services of Virgin Media, but then if BSkyB implements comprehensive strategy of the offer channels, through marketing and public awareness, so as to secure the public attention, it is expected that Virgin Media will be under immense pressure of the masses, and will be left with no other choice but to make a deal with BSkyB.
The proper strategy for the Virgin Media should be to approach and survey its customers, and seek their opinion, and should look forward to the remedial measures to end the deadlock, as per the preferences of the customers. If the survey concludes that masses are more willing to view the BSkyB programs and channels, the Virgin Media has the option to increase its charges per customer for the transmission of those heavy-cost channels (Ray, 2007).
The rise is less likely to be condemned by the masses, as bouquet-purchasing is popular among the customers, and it has become a common practice to subscribe for all instead of any preferred or particular channel. Virgin Media has, therefore, an open option to approach the production units, and transmit such programs by purchasing the legal rights. The Virgin Media is required to behave in a cautious manner, previously ITV Digital fell victim of the increased charges by BSkyB, and had to close its units, therefore Virgin Media should ensure that it further improve and enhance its relationship with customers, so that if BSkyB fails to develop understanding with Virgin Media, the understandable customers of Virgin Media is all Virgin Media can rely on for support, and consistent and long-term affiliation.