Government Policies, Challenges, and Virgin Active's Response

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Added on  2023/06/12

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This report examines the impact of UK government policies, particularly post-COVID-19, on Virgin Active health clubs. It discusses government intervention methods, including financial support and regulations, and their effects on the health club's operations. The report highlights the challenges Virgin Active faced, such as membership cancellations and technological advancements in fitness, leading to decreased revenue. Recommendations for Virgin Active include implementing new marketing strategies, offering customer incentives, and launching campaigns to promote fitness and address obesity. The study concludes that while government policies presented difficulties, they also provided crucial support for Virgin Active's recovery and emphasizes the ongoing need for fitness awareness.
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GOVERNMENT POLICIES
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Table of Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
Intervention Methods of Government..........................................................................................3
Challenges faced by Virgin Active :............................................................................................4
CONCLUSION................................................................................................................................4
REFERENCES................................................................................................................................1
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INTRODUCTION.
Virgin Active, the chain of health clubs operated in many countries such as UK,
Thailand, South Africa, etc. It provides the classes and training to the superstars and public with
the best quality equipments. It focuses on development of strength, stamina and Stability. To be
the member of the club, people have to subscribe to its monthly or yearly memberships. It also
provides the clients online workouts through its App.
The report will discuss the intervention method of Government that will affect the health clubs. It
will also discuss the Global challenges faced by Virgin Active and the recommendations to
overcome them.
MAIN BODY.
Intervention Methods of Government
The Government of UK imposed many new policies and legislation post Covid-19
pandemic regarding the Health and well being of the people. It were also issued to comply with
the goal of health and well-being of the countries issued by UN. Due to the pandemic, UK also
faced a downfall in the economic growth of the countries thus it increased the tax rates and
decreased the deductions to pay off the debts and finances. The government imposed new
guidelines that only 50% of the people were allowed to go and conduct trainings with full safety
measures. Many health clubs of Virgin Store were shut down to avoid losses due to limited
involvement of people in the training fitness sessions (Piotrowski and Piotrowska, 2021).
However, Government helped the Virgin Active health clubs to restart its clubs and centres by
proving financial support as the centres promote health and well-being of the people. It helps in
educating and creating awareness about the workouts and fitness requirements in the human
body. Government supported the businesses who were unable to pay taxes during the
coronavirus may delay their payments without any penalties or fines. UK Government imposed
Furlough Scheme for the benefit of employees of the business organizations and in the same
context it helped the Virgin Active employees during coronavirus by paying 80% of their wages
even though they do not work (Stuart and et. al., 2021). The government initiated many policies
which negatively affected the Virgin Active and other health centres but many initiatives
provided support to them to restart again.
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Challenges faced by Virgin Active :
Due to Covid-19 pandemic, the health clubs face a massive disruption. It also impacted
Virgin Active. Many health clubs of the Virgin Active were closed due to decrease in the
revenue because many people cancelled their memberships and few of them denied renewing the
memberships post Covid. From the current scenario, it is quite clear that people are facing
obesity issues, they have become lethargic and lazy due to changes in the working and health
environments during the pandemic time. The obesity issues were faced by most of the people due
to closing of gyms and fitness centres, thus adversely affecting the lifestyle of people (Yates and
et.al., 2020). Many countries are facing the technological challenge due to issues in adoption of
updated and expensive technology, thus it affects the health clubs. As the technology is
continuously expanding and growing, it affected the fitness industry as well. Many fitness apps
have been installed providing free fitness tips and fitness wearables like gadgets that people use
to track their calories estimation, heartbeat, steps walked in a day, etc.(Pizzo and et.al., 2020).
This is affecting the health clubs that people are avoiding going to gyms and fitness centres.
Many people started with training sessions through their personal coaches and trainers
through video calls or live fitness sessions, this totally led to shut down of the Virgin Active
health clubs. Virgin Active should start with new marketing strategies and offering benefits to
the customers to come back to the pace. It should offer the customers discounts and benefits for
subscribing to the memberships. It should advertise about the services its offering and aware the
people about the updated equipments used in the clubs. Virgin Active should start with
campaigns and programmes that motivate and encourage people who suffer from obesity and
other health related problems to join the club and overcome their health issues.
CONCLUSION.
From the given report, it is concluded that UK government took various initiatives to
safeguard the lives of people and support the health centres like Virgin Active during the post
Covid times. Virgin Active also faced many issues during that time. The report also
recommended the ways that will help Virgin Active and other fitness centres to spread awareness
and need of workout and fitness in their lives.
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REFERENCES
Books and journals
Yates, T., and et.al., 2020. Obesity and risk of COVID-19: analysis of UK biobank. Primary care
diabetes. 14(5). pp.566-567.
Piotrowski, D. and Piotrowska, A. I., 2021. Operation of gyms and fitness clubs during the
COVID-19 pandemic-financial, legal, and organizational conditions. Journal of Physical
Education and Sport. 21. pp.1021-1028.
Pizzo, A.D., and et.al., 2020. Sport experience design: Wearable fitness technology in the health
and fitness industry. Journal of Sport Management. 35(2). pp.130-143.
Stuart, M., and et.al., 2021. COVID‐19 and the uncertain future of HRM: Furlough, job retention
and reform. Human Resource Management Journal. 31(4). pp.904-917.
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