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Strategic Plan Part II: SWOTT 7

Strategic Plan Part II: SWOTT

Eugenio Roque

BUS 475

Dr. Yamil Guevara

April 29, 2015

Strategic Plan Part II: SWOTT

Through the use of the SWOTT analysis a company has a tool at their disposal that will generate vital information, both from its inception through its corporate life cycle. It allows a company to properly gauge where it is currently at within a given market as it pertains to its competitors, as well as where it can grow within the industry. By definition it provides essential data that will provide insight as to whether the company will thrive or falter to its competition within a given industry. The SWOTT analysis that was conducted for Planet Fitness within this paper will illustrate these previously mentioned indicators within the health and fitness industry.

Environmental Analysis

There are various outside elements that could influence Planet Fitness’s ability to reach it goals and accomplish the mission. In order to succeed Planet Fitness will have to determine the proper strategy that could maintain the business. Studying the external environment about the business industry, competition, economic elements, technological elements, demographics, and so on could give Planet Fitness an edge to continue succeeding move forward towards its goals. On the other hand, internal environment is equally as important since it analyzes the inside aspects of a company’s operation, internal guidance and mission (Wise geek, 2003-2015). Performing an internal environment will allow for better understanding of the business operations such as marketing, production, and leaders within the company. Knowing the internal environment will allow the company to design a strategy that could eliminate or minimize risk a company may experience.

Legal and Regulatory

Businesses and government could be complicated at times since both parties have different agendas. The element mixtures in legal and regulatory play a big factor in the strategic plan and successes of an organization. Importance of certain factors such as taxes and availability of skilled or qualified employees can have a tremendous affect. Considering the new division is an addition to the original; existing certified trainers, nutritionist’s, and staff will have to be certified to prevent and legal or regulatory issues.

Economic

The economic factor will also play a big part with the mission of Planet Fitness. Planet Fitness is relying on a large expansion of physical fitness all over the world. However, with the consideration of the current state of the economy within the United States and throughout a majority of the world, we will need to price the premium of the subscription accordingly. This is why the new division’s work out videos and recipes will be implemented with a small monthly subscription of anywhere from $10-$15 a month.

External Factors

Factors	Strengths	Weaknesses	Opportunities	Threats	Trends
Global	Physical Fitness along with healthy living is an important aspect all over the world	Even with access to videos online not everyone has computers or access internet	Expanding globally is possible with minimal cost	There are many competitors in the industry and competitors may be able to duplicate the business ideas	Importance of physical fitness and healthy living is still growing globally
Economic	Small amount of capital to implement the new division and still provide quality service	A new concept of physical fitness combining both physical location and adding online presence. Difficulty of determining results due to economic depression	Large of opportunity of growing the brand name and grow the franchise domestically and overseas	Global economic down fall	Higher internet presence and economic recovery is still continuing
Legal and Regulatory	Rules and regulations are implemented to help improve strategic ideas	Rules and regulation could be difficult to monitor when dealing with online exercise training	Awareness of access of rules and regulations could increase trust resulting in more profits	Growing amount of online scams can slow the growth of the company	Access to rules and regulation are becoming more easier to access online
Environmental	Excellent support with qualified and certified employees	Society now a days are always buys convincing people healthy living doesn’t take much time could be difficult	Ability to be able to exercise in any environment	Lack of personal interactions	Growing trend of working out from home
Competitive	New form of service that currently no other gym member ship is offering and 24/7 access to videos and recipes	Could be duplicated by other competitors	Profits from the new division could be utilize to expand business and grow franchise	Besides competition duplicating the service, the competition can grow as well	Physical fitness business has the capability of expanding globally without the brick and mortar
Innovative	Combining physical fitness and healthy living with technology provides better training and service	The addition of new division has the possibility of slowing advancement for employees	Combination of fitness and technology could attract new clients	Coming up with new ideas for exercises could become difficult	Consumers are always looking for something that better and fast affecting
Technological	Quick, dependable and easy to maintain	Not everyone has access to computer or mobile devices due to economic downfall	With the constant growth of technology possibilities of more personal workout online could be possible	Videos could be copied and shared as a torrent file resulting in los of profit	Consumers are always searching for options

Internal Factors

Factors	Strengths	Weaknesses	Opportunities	Threats	Trends
Strategy	Aggressive strategy along with proper marketing campaign will allow for rapid growth	Rapid growth could cause unexpected risk	Continues presence especially through social media flat form	Possibility of not being accepted by other culture, resulting in a slow growing process	Demands for physical fitness is growing especially if convenience can be provided
Technology	Increased in customer service	Needs to be monitored and constant update with security to avoid any risk	With constant growth of technology may be able to provide a more concise training	Competitors may come up with a better idea or developed a better technology	As technology grows its price seems to decrease with it
Structure	A well thought out design structure will increase the new division along with the older one	A mistake on the structure could turn into low moral within the employees, slowing down the process of growth	Proper structure will allow monitoring the progress of the company	Employees could ignore the structure and could potentially hurt the business	Consumers tends to towards a company with a well-placed structure

Conclusion

For any organization to succeed it is important to evaluate both internal and external attributes to determine the proper decision for the organization. Planet Fitness has challenges and roadblocks ahead of them. The SWOTT analysis should provide guidance to help them achieve their goal. Even though there are weaknesses and threats in the SWOTT analysis these can only help strengthen Planet Fitness.

Reference

Wise Geek, (2003,2015). What is an external environment analysis? Retrieved from

http://www.wisegeek.com/what-is-an-external-environmental-analysis.htm

Wise Geek, (2003,2015). What is an internal environment analysis? Retrieved from

http://www.wisegeek.com/what-is-an-internal-environmental-analysis.htm