Tough Mudder Inc Building Leadership in Mud Runs Case Solution

1. Introduction  

Conceived in2009during a business plan competition and launched officially in 2010, Tough Mudders is extreme obstacle-course event designed by Will Dean, an HBS graduate. The EOC is designed and set to appeal to individuals and teams to test their physical as well as their mental limits in a team oriented environment. However, in 2018, almost after a decade of running the business, the founding partners to the business noticed a trend of market maturity (Grant, 2010). With increased competitors and players offering high mental and physical simulation to consumers at competitive prices, as well as industry consolidation, Tough Mudders was challenged to ensure its competitive position in the market through ensuring growing beyond mud runs (Grant, 2010). This report is drafted and presented to the senior management and leadership at Tough Mudders to facilitate in decision making regarding growth plans and strategies. The report specifically critically assesses strategic growth options in the light of the external and the internal environment facing the business. Moreover, the report also critically assesses the competitive growth strategies of the company, and make suggestions towards development of sustainable competitive advantage as well as creating value for customers. The report concludes with a brief recap of the findings, as well as makes recommendations for future direction. 

2. Business assessment – internal and external

Tough Mudders generates its revenue primarily through advertising, appealing to, and recruiting individuals as well as teams and organization to participate in its events (Tough Mudder, 2022). However, with increased competition, industry consolidation, and industry maturity, the company has seen decline in the participation for its course events (Grant, 2010). The following section briefly explores growth strategies that the company can employ – based on an assessment of the internal as well as the external environments. 

External analysis – pestle

Political: tough mudders organizes outdoor challenges for individuals and teams across different countries. As such, the political situation is very important for the organization. Tough mudders need to assess political stability of different countries where they plan to organize their events. Moreover, policies regarding organization of such events by different governments is also important. Lastly, in the wake of the pandemic and this social restrictions imposed by different countries, tough mudders was directly influenced in the ability to organize events – especially in coordination with local authorities. 

Economic: endurance sports and related events are generally enjoyed by the developed countries, where such events are also sponsored by organizations and corporations as part of team building activities. However, in the post pandemic world, the developed countries are stills struggling to regain their pre-pandemic purchasing power, and consumption habits. As a result, the demand for endurance sports and entertainment events has dropped considerably (Hall, et al., 2020). 

Social: there has been an increased acceptability of obstacle events and endurance events. Seen as an opportunity for individual refinement as well as team work, there had been increased social acceptance and acknowledgement of endurance events. However, during the pandemic, and afterwards as well, there are special apprehensions attached with endurance events owing to health and safety reasons. 

Technological: there have been improved and progressive technology that has allowed for improved arrangement and organization of endurance sports. In addition, technological advancements can also be incorporated in the sports and events themselves as they allow for increased precision and advancement of the games. 

Legal: the company needs to pay attention to, and understand the liabilities, and regulation pertaining to the organization of endurance events in different countries. These legalities span not only the organization of the events, but also the regulations regarding the health and safety of the participants. 

Environmental: with increased awareness of environment protection and safety, tough mudders will need to ensure that it followed the environmental responsibilities in the organization of outdoor events – ensuring that it does not cause any harm to the environment where its events are taking place – including working on the reduction of the carbon footprint and any other pollution that may be caused. 

Internal analysis 

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