BSS050-6 Strategic Management: Industry and Firm Analysis Report

This report provides a strategic analysis of Study Active, an online learning platform for gym instructors and personal trainers. It begins with an introduction to strategic management and an overview of Study Active's business. The main body includes a critical analysis of the business environment using PESTEL factors, highlighting political, economic, social, technological, environmental, and legal influences. It also identifies key market drivers and current trends. The report then delves into an internal analysis of Study Active, assessing its enquiry response strategy, marketing collateral, social media strategy, and website. A competitor analysis, comparing Study Active to YMCA Fit, is also conducted. Finally, the report concludes with a summary of findings and recommendations for maintaining and improving Study Active's competitive advantage in the market.

Bss050-6 Strategic
management

Executive Summary
This report will provide all key aspects of company’s strategic position in business.
To understand the actual position of company in market strategic direction allows the exact
structure of company in market. Internal analysis will also do in this report.

Table of Contents
INTRODUCTION.................................................................................................................................4
MAIN BODY........................................................................................................................................4
Critical analysis of business environment of firm..............................................................................4
Critical internal analysis..................................................................................................................10
CONCLUSION...................................................................................................................................11
REFERENCES....................................................................................................................................12

INTRODUCTION
Strategic management is defined as management of company’s strategic direction in
such manner that it allows taking competitive advantages in the target market. This report is
based on the case study of Study Active. This is an organisation provide online learning for
gym enthusiast. The organisation provides gym instructors and personal training
qualifications across the United Kingdom. The organisation is based in United Kingdom.
This report would assess the competitive position of the Study Active organisation.
Henceforth, report will emphasis on competitors and competitive position of the company.
Market detail would qualify precisely in this report. Current trends and all key drivers of
market. Furthermore, report would give priorities to internal analysis in respect to
organisation. Assessment in respect to resources and capabilities of company would also
analyse in this report.
MAIN BODY
Critical analysis of business environment of firm
Study Active becomes one of the United Kingdom leading organisation in providing
gym instructors and personal training qualifications. The organisation serves the services
where everyone can become a gym instructor if they wish to be in life. The organisation
teaches study via blended learning program that allows the students to get complete exposure
of gym training and detailed knowledge about the moves. The organisation is growing at the
rate of approximately 5.6% every year (Altukhova and Semko, 2018). This growth rate
denotes that company in entertaining effective growth rate which denote that the response in
the market is good for the organisation. The market share and growth rate of company denote
that the organisation has entertained effective demand in the market.
Business Environment analysis
PESTEL Analysis is the most reliable tool use to assess the impacts different factors
associated with external business environment put over the business operations. This analysis
involve factors like political, economic, social, technological, environment and legal factors
that influences the business operations of Study Active.

Political Factor: Political factor denote about the policies government has formed to grow
and develop the corporate sector in United Kingdom. The corporate sector play crucial role in
the economic growth of the country which also attracts the interest of government towards
the growth and development of sector. Policies like licensing and many other policies
government has formed put a direct impact over the business operations of Study Active.
Policies form by government in United Kingdom put a direct impact over the business
operations of company. Specially in current situation of COVID 19 where businesses are
facing massive decrease in the turnover and sales figures internet based business houses
supported government in sustaining the potential of economy of United Kingdom (Barca,
2017). In recent time due to the economic crisis government in United Kingdom have
focused over supporting the internet based businesses that can generate revenue to cope up
the economic damage of country.
Economic Factor: Economic factor is another key external business environment factor that
influences the business operations of company. Economic factor involve factors like
economic flow, growth rate of gross domestic product of United Kingdom, per capita income
of people based in United Kingdom and other such factors. All these factors have supported
the Study Active in generating effective revenues for the business (Bergh and et.al., 2016).
Per capita income of people based in United Kingdom has allowed the organisation to charge
the fees that can be easily affordable for people in United Kingdom. Inflation in economy is a
big blockage for the company as it reduces the buying power of potential customers available
in market. All such economic factors are supportive enough for the Study Active in achieving
its business objectives.
Social Factor: Social factor is another crucial factor associated with the external business
environment. In this factor of business environment components like life style of people
based in United Kingdom, education background of people in United Kingdom, cultural
values, religious values and many other factors. Standard of living of people based in United
Kingdom is another crucial element of social factor. As the United Kingdom is a developed
country. Per capita income of people in United Kingdom also allows the people to get involve
with fitness and the industry (Denning, 2017). Company allocate fitness training at home
even in COVID situation which also attracted customers towards the services offer by Study
Active. Many people have joined the courses sue to their free schedule during COVID 19
crisis.

Technological Factor: Technological factor is another crucial elements part of external
business environment. Technological advancement in United Kingdom is a key to achieve the
success for the Study Active in this business model. Due to technological advancement of
United Kingdom all people im United Kingdom carry the accessories like phone, computer,
laptop, i pad and other such systems. People are actively using these equipments. Company
tried to provide online learning over these equipments so that home learning experience can
provide to such peoples. Technological developments like social media, digital mediums
have allowed company to get attention of people through marketing and promotional videos.
Study Active took strategic advantages of all the technological advancements in the current
COVID situation by giving attractive offers to customers and giving home training exposure
feature to customers.
Environment Factor: Environment factor is another crucial element associated with
business environment. In United Kingdom due to education and qualification people
understand the importance and significance of fitness in the life. Company has raised much
campaign to spread awareness about the fitness in United Kingdom. Study Active has also
involved in various social responsibility campaign part of the corporate social responsibility
campaign of company. Campaigns like environment protection, plantation and many other
campaigns have allowed company to initiate in corporate social responsibility campaigns.
Legal Factor: Legal factor involve all different laws and legislation applicable over the
companies and corporate sector. Different laws like data protection act, anti discrimination
act, equal right act, licensing act and many other laws are applicable over the Study Active.
The organisation needs to deal with all these laws in order to conduct the business operations.
Its mandatory for the organisation to deal with all these laws so that business operations can
be channelized in proper manner.
Key market drivers
All the factors involve in the PESTEL Analysis are the key market drivers. All these
factors involve different aspects of business like trend, mentality, thinking process, decision
making ability of people and all different factors that drives the company’s growth and
success in market. Technological advancement in business environment is another key driver
that dives the market for company (Gans and Ryall, 2017). Fashion, trend, per capita income
of people in United Kingdom is probably the most impactful drivers that work for the success
of company’s business in market. Trends and lifestyle of people plays huge role in the growth

and success of business. In case of Study Active all these market drivers works positively in
favour of the organisation which became one of the key reason why the organisation has
entertained massive success in the market.
Current trends
In United Kingdom online learning is a current and existing trend. Especially after the
crisis of COVID 19 pandemic this became the key trend of market. The online learning
allows the customers to get access to home based learning program that consumes less time
and practical based learning to provide the maximum exposure of learning experience of
customers. This has became the current trend in United Kingdom (Harrison and et.al., 2017).
Study Active is a online platform that provide the fitness training at home based learning
module. Fitness is also a part of current trend in United Kingdom’s people is really aware
about the significance of fitness in United Kingdom.
Future trends
Future trend in fitness is totally based on the concept of Study Active Company. The
organisation is involved in home learning of fitness training. The future trend of market is
totally based on this concept. The concept followed by the Study Active will cope up the
organisation in order to deal with the future trend in the sector.
Company’s analysis
Different aspects related to the company like enquiry response strategy, marketing
collateral, social media strategy and website review of company.
Enquiry response strategy: Enquiry response strategy is all about how the organisation
respond to the queries of all the interested customers approached the organisation.
Management of Study active follow the instant response strategy for its customers
(Konovalova and et.al., 2018). Company facilitate the response of customers query via phone
calls, mails, video calls and other mediums. Company has appointed a personal assistant that
overlooks all queries customers has in their mind related to the services of the company. Fast
enquiry response system of company allows the organisation to facilitate the potential
customers of company with all the details and information in respect to services and any
other factor.

Marketing collateral: Marketing collateral is defined as taking support of media to boost the
sales of company. Study Active also takes support of media like social media handle, internet
to boost the customers by attracting them over all these platforms. Company tries to approach
its potential customers by social media and digital mediums by attracting customers with the
support of different offers company provide to its customers.
Social media strategy: Study Active company follow the social media marketing strategy to
attract the potential customers towards the services company offer. Social media is a new
way to communicate about the business products and services to its customers. In United
Kingdom due to technological factor and advancement maximum peoples carry mobile
phones and other such devices which allows them to get access of all the different social
media platforms (Meyer and Xin, 2018). Especially the people who are fitness enthusiasts are
active over these platforms. In this strategy company channelize its advertisement over
different social media networks and platforms to attract the potential level of customers for
the services of company.
Website review: Management of Study Active has its own website so that customers can
easily overlook all the services offer by company. This website is denoted by
[e-mail]. This website address gives multiple options where customers ca not
only overlook about the services of company but along with this company also provide the
facility to customers to fetch any issue they face or any question they want to ask from the
company management.
Competitor analysis
Study Active face tough competition from company YMCA Fit. The organisation has
given aggressive level of market competition to the company. The organisation is growing at
the rate of approximately 4% per year. The organisation also provides the same services as
Study Active serve to its customers in market. It also provides the quality fitness services to
its customers in United Kingdom.
Enquiry response strategy: YMCA Fit also focuses on the enquiry res[ponse strategy.
Management at the organisation understand that this is the first move customers would take
to inquire about the services company offers. They contact with the organisation over phone
calls and emails. Company follow the convenience response strategy to get back to customers
once they seems to be interested enough in the services offer by company (Polyanin and

Dokukina, 2016). Enquiry response strategy allows the company in taking competitive
advantages by finalising the customers at the time when they inquire for the services of
company.
Marketing collateral: Company usage various methods like social media, emails, phone
calls, holding to promote the sales of company. Marketing collateral allows company to
achieve the sales objectives and growth targets company has set for its business. Marketing
collateral is all about supporting the sales of company with the support of different marketing
and promotional activities of company. Company try to give various benefits like discount,
purchase coupons to its customers so they can get attracted towards the services of company.
Social media strategy: Marketing team of YMCA Fit follow the social media marketing
strategies for promoting its services in front of the potential customers in United Kingdom.
Social media is a new way to promote products and services in front of the target customers
in market. In United Kingdom majority of customers who are fitness enthusiasts are active
over various social media platforms like Facebook, Instagram and many other social media
platforms (Rosenberg Hansen and Ferlie, 2016). Company try to attract the buying decisions
of such customers with the support of social media marketing strategy.
Website review: YMCA Fit provides its website address such as YMCA.Com. This website
address provides complete detail about the courses company offer and all different features
company provide to its target customers in United Kingdom. This is a well designed website
address that attracts the customers effectively.
Porter Five Forces Model
Porter Five Forces model involve various competitive forces that put an impact over
the business operations of company.
Competition in industry (High): Competition in the fitness sector is huge. Organisations
like YMCA Fit are giving aggressive level of market competition to Study Active. This force
work relatively high for the company due to aggressive level of market competition.
Potential of new entrants (High): As the fitness sector is growing rapidly in United
Kingdom due to massive demand. This allows the huge possibility to new entrants to enter in
the market.

Power of suppliers (High): Suppliers also carry the huge power in business. In order to
serve the services to customers suppliers carry huge involvement in the business (Teece,
2019). Due to involvement of suppliers it can be stated that this force is high for the
company.
Power of customers (High): Customers are the sole entity in the business. They play role in
the growth and development of business along with the sustainability of company. Due to the
huge dependence of company over its customers this force is high.
Threat of substitute products (Less): This idea is unique for the company. The force is low
as the threat of substitute product is less in current situation.
Critical internal analysis
Internal analysis of is done with the support of SWOT Analysis model. SWOT
Analysis model is a well diversified model comprises with company’s strengths, weakness,
opportunity and threat of company.
Strengths of Study Active Company
 Skilled human resources.
 Technological advancement of company.
 Focus on innovation and creativity.
 Financial capability of company.
 Product diversification.
 Customers oriented services.
Weakness of Study Active Company
 High pricing of company.
 Inflation in economy.
 Limitation in per capita income of people.
Opportunity of Study Active Company
 Product development opportunity.
 Flexibility in services.
 Digital promotions.
Threat of Study Active Company

 Competition in market.
 Economic crisis in United Kingdom.
The above analysis model is an internal analysis of company that projected about
different aspects related to the company.
CONCLUSION
This report has projected about the various aspects related to the strategic position of
company in target market. The Study Active Company is involved in providing online
training in the field of fitness which is a unique and innovative idea. In the crisis of COVID
19 this idea works really well for the company. Digital marketing is an effective tool that
company can give emphasis on in order to increase the business growth opportunity in
market.

REFERENCES
Books and Journals
Altukhova, L. A. and Semko, I. A., 2018. Strategic management of competitive agribusiness
organizations model. Международный журнал перспективных
исследований, 8(2).
Barca, M., 2017. Economic foundations of strategic management. Routledge.
Bergh, D. D. and et.al., 2016. Using meta‐analytic structural equation modeling to advance
strategic management research: Guidelines and an empirical illustration via the
strategic leadership‐performance relationship. Strategic Management Journal. 37(3).
pp.477-497.
Denning, S., 2017. The next frontier for Agile: strategic management. Strategy & Leadership.
Gans, J. and Ryall, M. D., 2017. Value capture theory: A strategic management
review. Strategic Management Journal. 38(1). pp.17-41.
Harrison, J. S. and et.al., 2017. Publication bias in strategic management research. Journal of
Management. 43(2). pp.400-425.
Konovalova, E. E. and et.al., 2018. Forming approaches to strategic management and
development of tourism and hospitality industry in the regions. Journal of
Environmental Management & Tourism. 9(2 (26)). pp.241-247.
Meyer, K. E. and Xin, K. R., 2018. Managing talent in emerging economy multinationals:
Integrating strategic management and human resource management. The
International Journal of Human Resource Management. 29(11). pp.1827-1855.
Polyanin, A. V. and Dokukina, I. A., 2016. Implementation of strategic management in
agricultural organizations: problems and prospects. Russian Journal of Agricultural
and Socio-Economic Sciences. 55(7).
Rosenberg Hansen, J. and Ferlie, E., 2016. Applying strategic management theories in public
sector organizations: Developing a Typology. Public Management Review. 18(1).
pp.1-19.
Teece, D. J., 2019. A capability theory of the firm: an economics and (strategic) management
perspective. New Zealand Economic Papers. 53(1). pp.1-43.