Analysis of Four Fitness Centers Int

 
 
 
 
The purpose of this portion of the study is to offer a comparison of four different fitness center models (i.e., Curves Fitness Center for Women, L.A. Fitness, Bally's, and Lady of American Fitness) with respect to the operating environment in which such firms are positioned and would potentially be positioned, if expanded into Germany. The operating environment to be examined consists of specific variables or factors: Customers, Competition, Creditors, Labor, and Suppliers.

It will be argued that of the four companies, Curves Fitness Center for Women is most likely to succeed in the German fitness sector for several key reasons. These reasons include of the bare-bones nature of the Curves facility prototype, its inherent appeal to an aging population of older (i.e., over 45-year-old) of women, and its relatively low cost for establishment and promotion or marketing (Wereszynski, 2003).

Overall, Curves Fitness Centers for Women are most likely to appeal to German fitness buffs because the facility offers a complete workout in only 30 minutes, the simple to use and user-friendly equipment provided in Curves facilities, and the opportunities for socialization and bonding provided by Curves stores (Wereszynski, 2003).

Like the United States, Germany is home to a substantial population of women in the so-called baby boomer age cohort. It is also home to a culture in which a relatively heavy diet is commonplace and in which a growi


     
 
 
 
    

 

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ths ended September 30 % September 30 % 2003 2002 Change 2003 2002 Change Net revenues $241,503 $243,078 -1% $747,024 $729,737 2% Operating income 5,477 7,561 -28% 23,864 42,406 -44% Write-off of debt issuance costs on refinanced debt 2,562 2,562 Net income 4,741 7,224 -34% 6,610 42,701 -85% Diluted earnings per common share: Income from continuing operations $0.14 $0.23 -39% $0.75 $1.37 -45% Loss from discontinued operations (0.01) -100% (0.07) (0.04) 75% Cumulative effect of changes in accounting principles (0.48) Net income $0.14 $0.22 -36% $0.20 $1.33 -85% Operating Data (in thousands, except locations) Gross committed membership fees $266,231 $287,389 -7% $857,333 $888,117 -3% Products and services revenue 71,586

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