Local YWCA Struggles with Future of Its Fitness Center and Other Matters

Karen A. Berger, Pace University
February 13, 2023
North America
Strategy & General Management, Operations
19 pages
Not-for-profit, funding models, Mission, service quality
Student Price: 
$4.00 (€3.75)
Average rating: 

It was budget time and Maria, the CEO of the YWCA of White Plains and Central Westchester (YW), was once again facing the issue of how she was going to explain declining revenue numbers and negative profit before overhead. Management was complaining that a renovation in 2008 cost the YW millions of dollars, but did not result in increased membership for the fitness center and group exercise classes. Periodic promotions which sometimes offered steeply discounted memberships to current members did not bring in new members. The board and its donors were asking questions. These questions led to questions about the fitness center business. Should they use the space to expand a profitable program or should they consider a whole new concept like dance? Did having a fitness center make sense at all given the YW’s mission?

Learning Outcomes: 
  1. Illustrate the dilemma that many not-for-profit organizations often find themselves in

    when it comes to revenue and profit sources using a specific not-for-profit organization.

  2. Using the mission as a guide, identify and explain which enterprises of an organization

    are most consistent with their mission.

  3. Analyze a service business using market research data that involves customer

    demographics, expectations, and perceptions. Use gap analysis to better understand the

    issues that face the business.

  4. Develop a set of recommendations based on the mission analysis and market research


  5. Discuss some of the ways that the YW can refocus its activities to generate funds to

    continue the work of the organization using concepts from funding models.