SWOT Analysis of Lagree Fitness - Essay Example

The paper explores the need that Lagree strives to satisfy with its innovative approaches.

Product Description

Lagree fitness plan is an innovation that focuses on attaining optimum physical fitness through the use of technological inventions. Participants in the physical fitness plan are taken through a series of workout practices that enhance five major functionalities of their bodies. After going through the fitness plan, participants are guaranteed of efficient and highly functional respiratory system of their body as well as proper blood circulation all over the body. Participants are also able to acquire the strength of their muscles and endurance. These exercises also shape the body and give it proper tone through the loss of fat and growth of muscles. The technology used while exercising on the other hand ensures that the muscles are well stimulated by the exercises to attain maximum flexibility (Lagreefitness.com, 2015).

SWOT Analysis

Strength

Lagree fitness uses innovative and new technology that sets it apart from other fitness plans. The training is conducted by young motivated instructors like the staff of Brooklyn Bodyburn and has various packages like group plans which make it interactive (Brooklyn Bodyburn, 2015).

Weakness

The use of new patented technology in Large fitness plans makes it inaccessible to the general population, thus limiting the growth potential of innovation. All new companies that want to employ the Lagree fitness plan must be trained and satisfied by Lagree, limiting its coverage.

Opportunity

The existing opportunity for Lagree is the many gaps in the innovation of new technology supporting body fitness. If well-advertised and marketed, there is sufficient potential for the growth of the company and its products. The release of the documentary dubbed future of fitness by Lagree will showcase the innovations to a wider range of clients.

Threat

With frequent improvements and innovations, Lagree faces the most threat from new entrants in the body fitness industry. These new entrants may come up with more improved technology and compete for Lagree’s market share

Competitive analysis

Barko & Nemati (2004) sums up Porter’s five competitive forces that would give Lagree an added advantage over competitors in the market. They include.

Competition from substitute products

For Lagree to continue enjoying huge profits from its operations, the company needs to keep innovating and improving its products to be more comprehensive and avoid instances of competition from substitute products.

Competition from new entrants

Patenting the technology involved in Lagree’s products offers a major competitive advantage over new entrants. To participate in the market, new entrants will have to go the extra mile of inventing their technology, which is a long and cumbersome process.

Competitive Rivalry

Regardless of the many players in the fitness industry, Lagree’s selling point is the use of new technology in its fitness pan. This sets Lagree apart from the rest.

Customers bargaining ability

With the comprehensive benefits of a single workout session exceeding those of other fitness plans, Lagree offers customers a range of membership plans that also allow members to work out in group sessions, making it more accessible.

Lagree’s bargaining power

Considering the level of innovation involved in developing the technology involved as well as the benefits of the fitness plan, Lagree manages to justify their pricing policy to clients, who in return respond by huge uptake of the services provided.

Market segmentation criteria

Lagree targets corporate bodies and individuals who are looking for modern fitness options for maintaining their physical fitness. With the high cost involved in developing the technology, Lagree offers a premium package to enjoy a huge return on investment while at the same time reducing the costs of manufacturing many products.