Fitness Industry Analysis and Trends

This assignment requires you to analyze the fitness industry using Porter's Five Forces framework. You'll examine factors like competitive rivalry, bargaining power of buyers and suppliers, threat of new entrants, and threat of substitutes to understand the industry's structure and dynamics. The analysis should also consider current trends in the fitness sector, focusing on service quality, customer satisfaction, and emerging technologies.

Running head: Management and organization
Management and organization

Management and organization
Table of Contents
Introduction.................................................................................................................................................3
Task 1..........................................................................................................................................................3
Background of the Pure Gym.......................................................................................................................3
Task 2..........................................................................................................................................................4
Organizational structure of the pure gym...................................................................................................4
Task 3..........................................................................................................................................................5
Modern management approach..................................................................................................................5
Task 4..........................................................................................................................................................6
Two innovative and effective strategic objectives of the pure gym............................................................6
Conclusion...................................................................................................................................................7
References...................................................................................................................................................8
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Management and organization
Introduction
The report talks about the activities and operations of the pure gym which is one of the
biggest fitness centers in the organization. Further, the discussion has also been extended to the
organizational structure of the company along with the procedural aspects and operations of
gym. The use of modern management approaches is essential to conduct the operations in a
hassle free manner. In this context, the report presented here explains the porter five forces
model to analyze and evaluate the competitors around the world. In addition to this, it tells that
how the porter five forces model helps to attain the innovative and effective strategic objectives
of the organization.
Task 1
Background of the Pure Gym
Pure gym limited is a chain of no-frills fitness clubs in the United Kingdom. The chain is
based in Leeds in the world. It has many gyms centers in the UK. It is the biggest gym chain by
the membership with more than 450,000. The company is trying to open 300 gyms by 2020. The
Peter Roberts is the co-founder of the pure gyms. The pure gym has over 180 gyms in the United
Kingdom (Yu et al, 2014). The pure Gyms open 24 hours a day. They render several services
such as fixed and free weights, cardio equipment, Zumba and exercise classes. The organization
does not offer swimming pools. This gym is very expensive and costly. The pure gym monitors
and focuses on the services in the global market. It also provides various emergency and security
services across the world (Nurkkala, Kalermo, and Jarvilehto, 2014).
The pure gym is privately owned by the investors and CCMP capital. In today’s era, the
firm is exploring and expanding its business operations and activities within the organization.
Further, the firm is also using enormous machines and equipment for providing health and
fitness services in the world. The firm is investing a lot of money to attract and increase the
number of people in the organization (Garcia-Fernandez et al, 2014). The main motive of the
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Management and organization
company is to increase and maximize the profit and revenue of the pure gym. Young girls and
boys are the main target audience of the pure gym. Now a day’s the company is improving its
services to increase the number of people in the global market. The company has appointed
various fitness experts to provide services to the organization. In this way, the company is also
able to overcome on the competitors in the world (Borgianni, Cascini, and Rotini, 2012).
Task 2
Organizational structure of the pure gym
The organizational structure of the pure gym is effective and unique. The personal fitness
training is becoming the part of the human life. Through effective and unique organizational
structure, the company is able to attract more people in large numbers. Leadership styles are used
by the firm to motivate and encourage people in the organization (Jasinskas, Reklaitiene, and
Svagzdiene, 2013). The company appoints supportive and passionate mentors and trainers
within the organization to provide fitness training sessions and programs to the young people and
women. The organizational structure of the pure gym comprises chief financial officer, chief
executive officer, non-executive director and chief operating officer (Hatch and Cunliffe,
2013).The pure gym is also using promotional and advertisement strategies to maximize and
enhance the number of customers around the world. The company provides a wide range of
fitness solutions to the people to reduce the extra fat of the people in the world. In this way, the
company is expanding and exploring its business operations and activities globally to accomplish
the long-term mission and vision of the firm (Soygüden and Sakin, 2016).
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Management and organization
Task 3
Modern management approach
Modern management theory is one of the significant theories of the management. The
modern management approach emphasizes the systematic use of mathematical techniques and
methods in the organization with evaluating and analyzing the interrelationship of the workers
and management in all the aspects (Berry et al, 2011). Most of the fitness centers use this
approach to attract more customers in the world.
System approach: This approach is used by the pure gym to attract more people in the world. It
is based on the generalization in which everything is interdependent and interrelated within the
organization. A system approach comprises of interacting components. It is the set of
interdependent and interrelated parts managed and arranged in an effective manner which
produces a unified whole (Brinker et al, 2014). It is the dynamic system and it provides the
responsive environment. The system approach is useful and effective for the management in
order to attain the goals and objectives of the pure gym. The company can take an effective and
unique decision by implementing system approach in the organization. This approach provides a
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Management and organization
theoretical framework to understand and evaluate the success and growth of the Pure Gym. It
monitors and focuses on the internal environment and subsystem of the company (Duflou et al,
2012). The company improves workflow by using system approach within the organization. This
approach is not affected by the external environment and it is a very complex theory of the
modern management. It affects the revenue and profit of the business in the Pure Gym. This
approach also helps to maintain coordination and communication in the organization (Hatch and
Cunliffe, 2013). It also helps to utilize the natural resources within the organization. It helps to
manage the other operational activities in the organization. This approach also provides support
to manage and operate personal management of the company. This approach helps to beat the
competitors around the world. The company can evaluate and analyze the plans and strategies of
the competitors in the world (Shuval et al, 2015).
Task 4
Two innovative and effective strategic objectives of the pure gym
The pure gym is focusing on the health and fitness of the women, men, and girls in the
world. The firm uses effective and innovative strategies to attract and retain more people across
the world. The primary objective of the company is to provide various services such as nutrition,
health and physical fitness (Berry et al, 2011). The firm is trying to use innovative technologies
within the organization to increase the number of people in the world. The other objective of the
company is to gain the competitive advantages in the global market. It is another effective and
foremost objective of the company to accomplish the long-term goals and objectives of the firm.
Apart from this, the company wants to appoint mentors and trainers to provide fitness and health
training to the women and boys across the world. The company is using porter five forces model
to explain and evaluate the effective and innovative objectives of the firm. The porter five forces
model have been discussed below (Hatch and Cunliffe, 2013).
Potential new entrants: Generally the company is trying to beat the competitor’s in the global
world. The gimmicks and competitors are the major threats to the company. Thus, the company
evaluates and analyzes the competitors by using porter five forces analysis within the
organization (Mullins, L2016).
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Management and organization
Bargaining power of suppliers: It is also another threat for the company to gain the long-term
success and growth within the organization. Thus, the Pure Gym always talks to the suppliers to
get reduce the prices of the services. The bargaining power of suppliers affects the business
activities and operations within the organization (E. Dobbs, 2014).
Competitive rivalry within in industry: There are several types of gyms in the global market.
It is the biggest threat to the company thus; the company must analyze and evaluate strategies
and plans of the competitors across the world (Johanson & Mattsson, 2015).
Bargaining power of customers: It affects the business activities and operations adversely. The
firm evaluates and analyzes the needs and requirements of the people in the world. The
customers compare the prices of the various gyms in the world (Shuval et al, 2015).
.
Threats of substitutes: It is one of the biggest threats to the pure gym to accomplish the long-
term mission and vision of the firm. In today’s era, many communities have their own gym in the
basements thus many people do not want to go in gym. Threats of rivalry are the major issue in
this business. By evaluating and analyzing porter five forces model, the company can beat the
competitors in the world (Berry et al, 2011).
Conclusion
On the above discussion, it has been concluded that pure gym is one of the biggest gym
centers in the organization. It uses effective and unique organizational structure to provide
effective and unique services to the people. Along with this, pure gym uses modern management
approach in the organization. The system approach is the most important approach to the modern
management. It helps to know and understand the plans, policies, and strategies of the
competitors in the global market. In addition, the company uses porter five forces model to
attain the long-term goals and objectives of the organization. It also helps to provide fitness and
health services to the women, men, boys, and girls across the world.
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References
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Borgianni, Y., Cascini, G. and Rotini, F., 2012. A Proposal of Metrics to Assess the Creativity of
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Farzaneh-Far, R., de Lemos, J.A., Drazner, M.H. and Berry, J.D., 2014. Association of
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Garcia-Fernandez, J., Bernal-Garcia, A., Fernandez-Gavira, J. and Velez-Colon, L., 2014.
Analysis of existing literature on management and marketing of the fitness centre industry. South
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Hatch, M.J. and Cunliffe, A.L., 2013. Organization theory: modern, symbolic and postmodern
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