Conduct a feasibility analysis

Answer

The growing demand for fitness training in the global spectrum informs the ideation and development of the athletics sports training facility, primarily aiming to providing training for all sports. Powell's Sports Development seeks to penetrate the market while leveraging on innovation and technology, considering that traditional train firms are increasingly adopting technology utilization to gain a competitive edge in the market. It is essential to understand the dynamic nature of the business environment would force firms to change the dimension of strategy implementation or, sometimes, the adoption of new ones. Therefore, conducting feasibility analysis offers the best opportunity for Powell's Sports Development to establish a strong foundation through strategy re-structuring and incorporating new ones.

Industry and market feasibility

The growing demand for fitness services in the general population is likely to increase, and Powell's Sports Development recognizes the existence of gaps that need to be filled. The sporting industry in the United States continues to bring billions of dollars in revenue, but the establishment of Powell's targets a market niche mainly consisting of youths. According to market analysis, the youth fitness industry presents opportunities for growth where data indicates that in North America, the estimated size of growth surpassed $32billion. The United States` market constitutes 90% of total revenue from the youth fitness industry, affirming the potential of market and industry in terms of investor confidence (IBIS World, 2019). Further analysis of the market and industry suggests a growing demand, not just training services but also education, motivation, and accountability. The requisites of the industry demand that firms establish an integrated service delivery center that will allow nurturing of talents besides instilling ethical standards to the youths. Powell's response to market and industry feasibility analysis will be anchored on the expansion of service elements, mainly focusing on the development of new niches besides general fitness training.

Product and service feasibility

The fitness and training industry is hugely diverse and demands undivided attention from the investor to fulfill customer demands. Surveys in the market regarding products and services affirm the need to create a diversified niche for products and services, mainly since the firm aims to attract youthful customers (Thompson, 2018). Currently, Powell offers general fitness training, but trends of the market demand inclusion of training on baseball, football hockey, and softball. Although the implementation of these services and products will be adopted gradually, one area of concern expressed by customers entails education on accountability and motivation. Generally, motivation and education are different aspects, mostly unrelated to fitness and training, but Powell's aims at cutting a unique niche in the extremely competitive fitness industry by introducing them. The firm's goals realize that it would be necessary to incorporate education as part of services since it primarily targets young people.

Financial feasibility

Financial feasibility forms a critical aspect for ideation and development of startups through assessment of economic viability, costs, operating expense, expected cash flows, and forecasts of future performance. The United States Small Business Administration estimates the cost of starting micro-businesses to be in the range of $3000 and $5000. However, the startup cost required to equip Powell's Sports Development fully is estimated at around $10000. Considering the economic viability of the business given that increasing demand for fitness services in the United States, the financial feasibility of the market in terms of cost offer low-risks. The future of the youth fitness industry in the United States looks vibrant, and the current trend affirms the aspect; 90% of revenue in the youth fitness industry in North America comes from the United States.

Entrepreneurial readiness

Entrepreneurial readiness defines individual cognitive attributes, capabilities, and willingness to direct behavior in an entrepreneurial context. The fast-changing face of business in the global arena implies that investors must remain aware and establish behavior tendencies receptive change. In the analysis of the market and industry attributes, one factor remains prominent, the fitness industry is extremely dynamic and requires evolving entrepreneurs. Considering the proposition of setting up Powell's Sports Development, one of the areas involved opportunity identification (Olugbola, 2017). Success in any business venture relies on how effective investors can identify opportunities. The Fitness industry offers diverse opportunities for investors, an element that motivated the ideation of Powell's fitness center. Other factors demonstrating entrepreneurial readiness include establishing the availability of resources and taking part in entrepreneurial training. Motivational factors such as the need to be part of a fitness solution in society and the creation of employment demonstrate my readiness to be an entrepreneur. Business ventures entail taking risks, a critical element demonstrated through my commitment to ensuring the success do Powell's Sports Development.

Assessment

The youth fitness industry offers great potential for investors considering the growing concern in the population about fitness. Although the business model provides opportunities, modifications that would see it assume a medical face in addressing fitness issues can fundamentally boost its feasibility.