Company’s strategy on relevant market

<p><strong>Research question:</strong></p><p>The need to create unified strategy applicable in specific relevant market</p><p>&nbsp;</p><p><strong>Aim</strong>: &nbsp;Develop a competitive strategy for a company that operates in markets with different characteristics. That includes identification of boundaries of the relevant market, features of customer needs and detection of competitors for each of the branches.</p><p>&nbsp;</p><p><strong>Subject</strong> <strong>of</strong> <strong>the</strong> <strong>study</strong><strong> are</strong> two developing gymnastic centers for children in Moscow and Moscow region (Luzhniki and village. Zhukovka located near Rublyovo-Uspensky highway), the subject &ndash; features of their cases.</p><p><strong>Objectives</strong></p><p style="margin-left:40.0pt;">&middot;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;Definition of the relevant market and customer&rsquo;s needs</p><p style="margin-left:76.0pt;">a)&nbsp;&nbsp;&nbsp; <u>Mythology</u><u>:</u> customer survey conducted in two gymnastic centers, aimed to identify the main needs of the clients and their significance, get an understanding of relevant market.</p><p style="margin-left:76.0pt;">b)&nbsp;&nbsp; Result:&nbsp; gain an understanding of significance of customer needs (from&nbsp; l to iv in order of importance):</p><p style="margin-left:76.0pt;">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; I.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; High quality of equipment;</p><p style="margin-left:76.0pt;">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; II.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; professionalism of trainers;</p><p style="margin-left:76.0pt;">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; III.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; convenient location;</p><p style="margin-left:76.0pt;">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; IV.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; unique learning mythology</p><p>The boundaries of the relevant market for each of the branches: village Zhukovka - average travel time to the center is 25-30 minutes, maximum 40 minutes, customers travel by car. Luzhniki- average travel time to the center is 40-45 minutes, maximum 60 minutes, costumers travel by car and subway</p><p style="margin-left:76.0pt;">&nbsp;</p><p style="margin-left:76.0pt;">&nbsp;</p><p style="margin-left:40.0pt;">&middot;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Identification of competitors of each branch</p><p>Competitor analysis included several categories: location, service types, age groups of customers, pricing policies and schedules. The competitor&rsquo;s analysis has shown that European Gymnastic Center is a unique case of market leadership on the market with high barriers to entry. Recommendation - cooperation with most of the competitors in order to expand the customer base.</p><p style="margin-left:40.0pt;">&middot;&nbsp;&nbsp;&nbsp; Strategy development for each brunch:</p><p style="margin-left:76.0pt;"><u>Strategy for EGC </u><u>Luzhniki</u>: retention of existing positions. Find a new space for growth opportunities. Advertise in residential complexes, highways and subways. More attention should be paid to monitoring competitors.</p><p style="margin-left:76.0pt;"><u>Strategy</u> <u>for</u> <u>EGC</u> Zhukovka: development by attraction of new customers. Advertise strategy: advertising in residential settlements, roads, usage of mutual promotions of and the use of word of mouth.</p><p style="margin-left:76.0pt;">&nbsp;</p><p style="margin-left:76.0pt;"><u>Conclusion: </u>the information gained and analysed in the research has provided us with the ground for strategy determination that would help to develop a network of European Gymnastics Center.</p>