The following case analysis will explain the many facets of Weight Watchers as a company in a very competitive industry. It will illustrate how the business remains resilient in its market by breaking down its strengths, weaknesses, opportunities, threats, forces, and many financial aspects. A plan of action will be provided in the form of a balanced scorecard so as to conclude all variables in a meaningful way.
This report will provide an analysis on weight loss leader, Weight Watchers International. It will examine a multitude of factors starting with a strategic company profile. The profile will be followed by a situational analysis; an assessment of Porter’s Five Forces, a review of the company’s financial ratios, and a SWOT and TOWS evaluation that will demonstrate how areas of strengths, weaknesses, threats, and opportunities can be developed into a strategy for success. Lastly, a plan of action based on all of the diagnostic tools mentioned herein, will be presented as a conclusion in the form of a balanced scorecard.
What started out as a support group by founder Jean Nidetch in 1963 has turned into a weight loss behemoth, reaching a whopping $1.8 billion dollars of revenue in 2011. Ms. Nidetch’s idea was simple—she wanted to gather with like-minded friends and lose weight in a caring, motivating, and nurturing environment.
According to the company website, the Weight Watchers philosophy has grown and over one million people attend monthly meetings worldwide. The company is headquartered in New York City, NY where a rudimentary program, put in place by Ms. Nedetch, has evolved into a variety of product and service offerings. The very popular and easy to follow point program has had a number of reinventions over the years to attract new markets. The Weight Watchers program goes beyond a simple meal plan; it offers support services that are the heart and soul of the program. Coupling that with the fact...