New Virgin Territory for Branson: Amazon’s

Having built a successful track record challenging established players in the airline, soft drink and music industry, Virgin founder Richard Branson now says he plans to jump into the Internet bookstore fray next month.

At the opening of his first Virgin cinema in Japan here in a suburb of Fukuoka, Branson said his most recent brainchild is a book and CD retailer on the Internet to be called, what else, Virgin.Com.

“In two weeks’ time, we’ll be taking on Amazon on the Internet,” Branson said. “But we’ll have 400,000 titles, or 50,000 more than Amazon.”

Branson made his name in the record business two decades ago by challenging music giants such as MCI and Electra. His airline has fought a high-profile battle against British Airways and American Airlines, among others. And his Virgin Cola soft drink line has battled, somewhat less successfully, industry giants such as Coca-Cola and Pepsi.

Branson did not say what advantage he thinks his company can bring to the book and CD e-commerce business, given the enormous success of Amazon and the long history of Barnes & Noble and Borders Group, both of which have ramped up their own own Internet business.

But Mike Inman, president of Virgin Entertainment Japan, said part of the motivation is to position Virgin as an Internet company with a brand that helps boost the entire group. “It’s more the total Internet business,” he said.

Branson cultivates a slightly outrageous image for his companies that has helped him distinguish his brands. He also speaks about the need for breaking businesses into small, relatively autonomous units when possible.

Virgin today officially opens its first theater in Japan with plans for several more in the next few years. The group also plans a nightclub in the Tokyo area in early May.