World Gym Case Study

 Prepared by: Jawid Tabesh 1927

 Subject: Service Marketing
 Advisor: prof. Teja Dicholkar
Was World Gym's pricing plan appropriate in a market
where there was a relatively low supply of services?

 Yes World Gym's pricing plan was appropriate and satisfactory, their plan was to
have a fitness facility that targeted the common person with average income that
who every individual is interested to work out can join and use and get benefit of
fitness facility that was not on the high end or the low end, but in the middle price
range.
Over time World Gym's membership exceeded expectations. Demand was strong
and constant. What impact might this situation have on the company's pricing
strategy? Also, which might impact this situation on the company’s product
strategy?
World Gym’s membership expectations and faced a challenge in case of high
demands they have three options solve this challenges
 1- Expansion the area and provide more facilities
 2- start a new branch in around the area.
 3- increased their pricing and give more efficient service and manage the high
demands with
a) effective planning
b) Effective time management
c) The same profit by increasing price and making the demand lower.
Suppose the company learns that two new competitors plan to open fitness
facilities within a mile of World Gym. How might the increased supply of
services effect World Gym’s pricing policy

 If new competitors plan to open fitness facilities within a mile of World Gym
should get some competitive strategy and retain the customers by
 1- differentiation of services and provide them better facilities,
 2- pricing
 3- more offers and promotions