In late December 2004, Mark S. Mastrov, CEO of 24 Hour Fitness, reflected on how the company has come in 20 years. From its humble beginnings in San Leandro, California, in 1983, 24 Hour Fitness have grown to become the largest privately owned health club chain in the world. In 2003, the company operates 305 clubs in 16 U.S. states and 21 international locations. It had three million members, 16,000 employees and generated $ 1 billion in revenue. Going into 2005, Mastrov facing many opportunities. If a business is to focus on expansion in the domestic market or to allocate more resources for international expansion? If he decided to go to the North-East, as the company should enter against entrenched competition, such as Bally Total Fitness? Will there be a major acquisition makes sense, or it threatens the culture of the company? And he has to finance such acquisitions? "Hide
by John R. Wells, Elizabeth A. Raabe Source: Harvard Business School 11 pages. Publication Date: July 13, 2005. Prod. #: 706404-PDF-ENG
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