Zumba isn't just a class that blends dance with exercise: it is billed as a "fitness-party," and what a party it has become. Zumba's creators and instructors have managed to see the Latin-dance style workout reach over 150 countries in just over 10 years. With over 14 million people taking at least one Zumba class a week; the company has generated enough dedicated instructors (numbering some 100,000) and followers to be named Inc. magazine's 2012 Company of the Year. The company has also extended its international brand into clothing, music, and charitable giving.
Beginnings From its inception, Zumba have been a globally minded company. Founder Alberto "Beto" Perez hails from Cali, Colombia, and calls the creation of the now-worldwide fitness-party a "happy accident." After arriving at an aerobics class that he was set to teach, Perez realized he had forgotten the tape he intended to play for his class. Perez reached into his bag and pulled out some of his personal music-primarily salsa and merengue. Rather than count repetitions over the music, Perez allowed the music to take the class on a journey. Gone were stiff moves and students trying to imitate steps in lockstep. Perez served more as a liaison between his class and the music, allowing each student to have his or her own personal connection with it. Participants in the off-the-cuff class "couldn't stop smiling," Perez recalled.
Expansion
After experimenting with and honing his new fitness-party-style workout, Perez traveled to Miami, Florida, in 2001. There he met Colombian entrepreneurs Alberto Perlman and Alberto Aghion, with whom he created Zumba Fitness. The trio's goals were never small: they always wanted to "expand the brand all over the world." After selling hundreds of thousands of Zumba DVDs through Fitness Quest, Perez, Perlman, and Aghion made the decision to branch out into group instruction. By 2005, there were 700 trained and certified Zumba instructors. Business skyrocketed from there: according to Perlman, the company grew by a staggering 4,000 percent between 2007 and 2010.
How did Zumba see such dizzying growth in such a short time? Part of the answer lies in the company's philosophy. Zumba customers instructors have said the "joy" that the music and dance fitness-party brings them is infectious-they want to share it with others. Despite its growth, that "joy" still plays a major role in Zumba's business practices today. Staff members at the headquarters refer to it as "FEJ," or "Freeing, Electrifying Joy," and it affects every decision made. Zumba relies on creating "FEJ" in order to attract and retain customers and instructors. Another reason for its rapid ascension is Zumba's faith and investment in a diverse cache of instructors. The Zumba Academy was created in 2005 to license new instructors, followed quickly by the Zumba Instructor Network (ZIN), a resource tool intended to turn instructors into entrepreneurs. The ZIN gives access to marketing materials, discounted workshops, music CDs and choreography DVDs, ways to earn money by selling Zumba apparel, and much more.
When expanding into new markets, Zumba doesn't seek out masters in business administration (MBAs). Instead, it hires top-tier, enthusiastic instructors and ensures that they have painstakingly cultivated
Diversity is the centerpiece of the mission of Zumba. Do you think this is true or false? Explain. What lessons can future entrepreneurs learn from Zumba in terms of the importance of diversity to entrepreneurial ventures? Can an organization be successful and not consider diversity as an important management issue?