Bounce Fitness Assignment on Tactical Business Expansion Strategies
Question
What is the best strategic planning approach for Bounce Fitness and the company’s domestic and international expansion?
Answer
Executive Summary
This bounce fitness assignment will focus on Bounce fitness, a single branched small fitness business located in Brisbane. The business only has a single branch but has access to a large customer based. To tap into this increasingly demanding requirements amount the public, it is essential for the business to develop effective market expansion strategies which will help the business gradually expand its operation to the local city residents. Only after the local Brisbane market has been covered fully can Bounce fitness consider expanding its operations to neighboring cities and states before considering international expansions. The bounce fitness assignment shall outline strategies and approaches the business needs to adapt to expand its operations successfully thus allowing the brand to gradually and steadily expand its operation while allowing its staff and management the opportunity to adapt to the market expansion management strategies to help improve the businesses operations.
1.0 Introduction
Fitness has grown to become an important health requirement amount urban dwellers mainly due to the adoption of poor lifestyles habits. This has seen an increase in demand for fitness centers and trainers like bounce fitness which help urban resident’s asses and plan their daily exercise routine to help keep their bodies in shape and more importantly maintain good health. This bounce fitness assignment will evaluate different aspects linked to the fitness industry and how the fitness industry has gradually grown to be among the most important health requirements in urban settings across the globe. Health issues continue to increase globally as a result of lack of proper physical activity amount urban resident’s result in on overweight, high cholesterol, and escalating diabetic levels. With the increasing health considerations linked to lack of exercise, there has also been an sudden increase in the number of fitness service providers setting up their operations across the Australia and the globe making it important for existing service providers like bounce fitness to adopt new marketing strategies which will help the brand retain its market position as well as deliver valuable services to its customers. The increasing demand for fitness services is increasing competition between service providers thus making it important to assess bounce fitness current market and strategy to determine future strategies that can help the business improve its operations.
2.0 research planning Requirements
The first step linked to developing an effective marketing and business development strategy for bounce fitness is to first evaluate the businesses current operations. This is important as it allows business strategies to develop effective business marketing approaches based on current operations. Bounce fitness is an Australian fitness service located at 138 Albert St, Brisbane City QLD 4000, Australia. The fitness center is strategically positioned on the Brisbane River and at close proximity to the Roma Street Parkland and Brisbane City Botanical Garden. Both are major attractions for fitness enthusiasts which deliver the right setting for bounce fitness to utilize the facilities to its advantage and increase the business operations. The demand for fitness clients is also increasing in Brisbane where many residents are finding themselves locked in offices the whole day and would prefer outdoor activities as opposed to indoor fitness facilities. This is a trend which continues to grow popular across the globe within cities where residents prefer visiting open gym and fitness facilities as opposed to traditional indoor gyms. This is an important point to keep in mind which considering consumer needs and requirements and one which requires close considerations and inclusion to the services. In addition to developing strategies to deliver outdoor facilities, there are several other consumer needs which require to be addressed such as suitable timing, pricing and a way to measure their performance and results. Fitness services are mainly accessed by urban residents due to them helping improve an individuals health and body physic but at the same time it’s important to remember the consumer concerns. Factors such as budgeting as well as measurability require to also be delivered by bounce fitness in order to report on their clients statues and progress reporting to help improve performance and goal achievement. This bounce fitness assignment outlines how each business must have a way of measuring its progress and development in order to maintain consumer confidence. Bounce fitness must, therefore, ensure it's reviewing its existing action plans in order to develop new strategies to be adopted by the business for future expansion and growth. Healthy lifestyles are not only limited to diets and physical activity but also involve mastering the skill of stress management and mental relaxation. These factors play an imperative role in enhancing good health making it important for Bounce fitness to also consider including these strategies to its strategic market development plan.
3.0 Develop the human resource strategic plan
Human resource is imperative for every business making it important for Bounce fitness to also hire the right set of employees to develop effective marketing strategies to help them retain their market position and competitive edge. Human resource plays an important role in offering fitness training to clients but also important towards marketing, maintained and market expansion. Bounce fitness only has a single branch in Brisbane a city with over 2.2 million residents. The business, therefore, has a huge scope to expand its operations across the city in order to tap into a larger number of clients. To effectively do this, Bounce fitness requires to invest on a public and marketing relation office who will need to valet the Brisbane market to determine the region of the city which require the most fitness centres the most based on which the company can develop a business expansion strategy which will outline the regions which offer the highest demand thus making those the prime target for initial business expansions.
Targeting selective consumer segments
In addition to targeting new markets, Bounce fitness also needs to develop fitness programs which cater to each community member’s needs. Fitness is an increasingly demanded urban requirement but at the same time, a major concern linked to fitness centers across Australia is their emphasis towards bodybuilding as opposed to simply delivering daily fitness programs to help office workers retain a good body posture and good health. This has resulted in the fitness centers mainly being classified as being for the young and fit members of society with older members as well as overweight people simply avoiding to visit the fitness centers due to lack of confidence to work on their fitness alongside younger and more fit fitness center members. To address this Bounce fitness human resource and public relations manager will have to develop fitness programs designed for specific members of society and segregating special timing to those categories to avoid mocking which could deter unhealthy and unfit members of society from visiting Bounce fitness.
Adopting friendly work out environments
Another major concern which needs to be addressed by Bounce fitness is the growing concern raised by fitness center clients who complain of cramped and unfriendly fitness center conditions. After spending a long day at the office, many customers want to perform their fitness programs out in the open. This has resulted in more people opting to visit the local gardens and parks where they do their fitness programs such yoga simply due to this allowing them to do their fitness programs in the open and surrounded by nature as opposed to within a fitness room. For Bounce fitness to tap to a larger customer base, it is important for the business to focus its attention towards delivering a wider verity of facilities and services thus catering to a wider verity of society members thus allowing the service to grow and expand its operations.
4.0 Implement the human resources strategic plan
Bounce fitness small fitness center located in Brisbane which has considerable potential to expand its operations across the city, state and develop to be a national and international brand. The fitness industry has grown to become a highly demanded industry due to rapidly expanding urbanization which is resulting in more people needing to access fitness services which allow them to get the requires physical activity. The demand for physical fitness centers is on the rise globally due to the increasing number of working professionals who spend the majority of their day at the office and traveling. The scope and demand for physical fitness service providers and trainers are also rising simply due to people lacking exposure to physical activity throughout the day. Sitting at the desk the full day results in the requirement for people to device alternative approaches to get physical activity and improve their body posture and health. Bounce fitness is a single business which opens up the business to huge opportunities to expand its operations within the same city, state and nationally. It is not feasible for Bounce fitness to develop an international market expansion strategy at this moment since Bounce fitness needs to first focus its attention catering to the immediate market demands before considering further international expansion. International expansion is also classified as a difficult task for Australian based companies as the country has no immediate border enamors resulting in businesses needing to develop international market expansion plans for countries located far away which makes international expansion considerably more complicated for Australian companies.
Brisbane market expansion: On this bounce fitness assignment the first market expansion suggestion for Bounce fitness should be to expand its operation within Brisbane city. This will allow the brand to gradually develop the skills and technical requirements needed to operate and coordinate multiple branches thus allowing Bounce fitness managers to gradually improve their managerial skills before considering further market expansions. Brisbane has a population of over 2.2 million residents half of which who fall within the potential customer bracket which results in a total of 1 million potential customers in Brisbane alone. Of these Bounce fitness can set a target customer reach estimate of .5% which is approximately 5000 potential customers. Bounce fitness is currently located at an ideal position which is at the center of Brisbane city but this also puts the fitness center too far for north and south Brisbane residents. It is therefore advisable to develop an expansion plan that would see Bounce fitness open 2 additional branches one at Strapline (North Brisbane) and another at Springwood. Both locations are located within densely populated locations which will increase the number customers Bounce fitness has access to thus increasing the company’s revenue and profits. In addition to the location, Strapline and Springwoods are at close proximity to large open public parks which can be used by Bounce fitness to introduce and organize its open gym and fitness programs. This is a new strategic approach the business needs to adopt which will help deliver value to the fitness training facilities being offered by the service provider to tap into a larger number of customers. Bounce fitness must focus on first expanding its operations in Brisbane city after which the service can move its operations city and statewide
City Wise Expansion strategy: City and state expansions require for the business to first target the largest cities as close proximity to Brisbane. This expansion strategy will help the business gradually expand its operations across different states while maintaining close proximity which will help reduce the transportation and management requirements involved with managing the new branches. After analysis, the most logical State and city expansion for Bounce fitness would be to expand its operation down the southern coastline which gives Bounce fitness 3 major Australian cities to expand its operations namely Sydney, Melbourne, and Adelaide. Only after Bounce fitness has expanded its operation to the cities can further destinations like Perth be considered. Bounce fitness must focus its attention towards setting up between three to four Bounce fitness branches in each city which will cater to the local population. It’s important to retain focus on setting up the new branches in major urban cities where people are reliant on employment and jobs thus lack the required exposure and physical activity and fitness. Bounce fitness must focus on expanding its operations fully within Australia before considering international expansion as this will deliver the desired amounts of exposure and experience and infrastructure required by the business before considering international expansions.
International Market expansion strategy: Australia is considered as being an isolated nation due to it being placed deep within the southern sea. The nation only has a single neighboring nation New Zealand, resulting in a major market expansion dilemma for the Australian based businesses. The lack of immediate neighbors results in Australian companies needing to take major international expansion step which result in placing considerable management stress on the companies as per the research performed while preparing this bounce fitness assignment. This makes it important for small Australian based companies to first consider expanding their operations to countries closest to Australia to reduce the logistical limitation the company experiences. South East Asian countries are the closest international markets to Australia but this strategic position also places Australian market close to Major Asian markets like India and China which are classified as being the amount the most attractive consumer markets today.
5.0 Conclusion
This bounce fitness assignment outlines the business as being a small single branch business but one which has huge potential to expand its operations across Australia, New Zealand and in Asian. India and China offer huge fitness oriented markets in major cities but Bounce fitness will need to begin by first develop an effective market expansion strategy which allows the business to expand its operation by the opening between 12 to 16 branches within the Australian market before considering international markets. Once domestic market expansions have been completed, Bounce fitness can then consider expanding its operations to its immediate neighbor New Zealand which will deliver international market expectation based on which this bounce fitness assignment has proposed a suitable marketing strategies that ensures the company meets the international market guidelines. Bounce Fitness assignments are being prepared by our management experts from top universities which let us to provide you a reliable assignment help online service.
