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Assess whether Pure Gym is likely to overcome the possible difficulties of changing LA Fitness’s culture, as a result of the takeover. - Edexcel - A-Level Business - Question 2 - 2017 - Paper 3

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Assess whether Pure Gym is likely to overcome the possible difficulties of changing LA Fitness’s culture, as a result of the takeover.

Worked Solution & Example Answer:Assess whether Pure Gym is likely to overcome the possible difficulties of changing LA Fitness’s culture, as a result of the takeover. - Edexcel - A-Level Business - Question 2 - 2017 - Paper 3

Step 1

Understanding Corporate Culture

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Answer

Corporate culture is the unwritten code of conduct within a business, reflecting its values and shared beliefs. A strong corporate culture can significantly affect employee motivation and decision-making.

In the case of Pure Gym and LA Fitness, the integration of two distinct cultures presents both challenges and opportunities.

Step 2

Potential Challenges for Pure Gym

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Answer

  1. Task Culture vs. Role Culture: LA Fitness staff have collaborated on decisions locally, fostering a task-oriented culture. Pure Gym’s centralized decision-making might clash with this approach, leading to resentment among former LA Fitness employees.

  2. Change Resistance: Employees from LA Fitness may resist changes, particularly if they feel their previous working practices and cultures are being disregarded. This could result in decreased morale and increased turnover rates.

Step 3

Strategies for Overcoming Difficulties

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Answer

  1. Management Involvement: For Pure Gym to successfully integrate LA Fitness’s staff, senior management at Pure Gym must proactively promote a unified culture. Ambassadors for change could facilitate the transition by demonstrating the benefits of the new culture.

  2. Team Building Activities: Implementing team-building exercises could help bridge cultural gaps. Such activities should be tailored to the various local branches, ensuring that all staff feel included in the cultural shift.

Step 4

Potential Benefits and Conclusion

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Answer

While challenges exist, Pure Gym has the capability to foster a positive integration of LA Fitness’s culture. By addressing employee concerns, incorporating their feedback into decision-making, and promoting a unified organizational culture, Pure Gym is likely to not only overcome difficulties but also enhance overall employee satisfaction and performance. The commitment to balancing staff expectations remains crucial for successful cultural integration.

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