Strategic Analysis Report: Regis Healthcare (RMIT, Semester 1, 2020)

This report presents a strategic analysis of Regis Healthcare Limited, a publicly listed company operating in Australia's aged care sector. It begins with background information on the company's history, ownership, and business scope, focusing on its residential aged care division. The report then conducts a macro-environmental analysis using the PESTEL framework, evaluating political, economic, social, technological, environmental, and legal factors influencing the company. A SWOT analysis identifies Regis Healthcare's strengths, weaknesses, opportunities, and threats. Finally, the report applies Porter's Five Forces model to analyze the competitive dynamics within the industry, assessing the threat of new entrants, bargaining power of suppliers and buyers, threat of substitutes, and rivalry among existing firms. The analysis aims to provide insights into Regis Healthcare's strategic position and recommendations for enhancing its market size and quality of products.

Running Head: STRATEGIC ANALYSIS
Strategic Analysis
Name of the Student:
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1STRATEGIC ANALYSIS
Abstract
The report discussed about the market venture of the Regis Healthcare Limited which is a
publicly listed company operating in several units of Australia. The report analyzed the macro
environmental factors of the Regis Healthcare System that included the assessment of the
political, socioeconomically, technological, environmental and the legal factors that have
influenced the functioning of the company. Next the report has also analyzed the strengths and
the weaknesses of the company through the SWOT analysis. Finally the report ended with
application of the Porter’s Five Forces in the analysis of the company.

2STRATEGIC ANALYSIS
Table of Contents
Abstract............................................................................................................................................1
Background in Brief........................................................................................................................3
Ownership, History and Business Scope of the Industry................................................................3
Macro Environment analysis...........................................................................................................4
PESTEL Analysis........................................................................................................................4
SWOT Analysis...........................................................................................................................6
Industry Analysis under porter five forces model...........................................................................7
Conclusion.......................................................................................................................................8
References........................................................................................................................................9

3STRATEGIC ANALYSIS
Background in Brief
The Regis Healthcare Limited is the locally owned company which is publicly listed. The
company derives its revenue from the operational systems of the retirement villages and the other
facilities that are provided by the residential health care units for the aged people. The company
operates throughout Australia along its different care service units. The company mainly
operates under a number of smaller subdivisions and the other regional centers like the unit for
the aged care facilities, the different retirement villages. Under the retirement villages it has its
units in eth Six Villages of Queensland region of Australia, the unit in Victoria, Tasmania and in
the region of the Western Australia
Ownership, History and Business Scope of the Industry
The publicly listed company has started its business venture in the early 1990s and till
now it has enhanced its business to 104 different places and the business units that formed one of
the largest and the most geographically diverse residential care unit for the aged people which
has been under the private sector. In the recent times, Regis has managed to cover an
approximate figure of 7000 or more operational places across more than 60 homes that are
mainly located in the different metropolitan areas located across the entire region of Australia
(Towart 2017).
The company, Regis has also built an effective business platform that has the ability to
deliver the care facilities to the different people inhabiting this region and definitely who have
experienced the consistent level in their growth process. This growth rate has been characterized
by the very strong strategies of the development cycle and the other activities related to the
acquisition level that will deliver the operational activities along with the required levels of
efficiency. Regis has also recently come up with the plan of providing their investors with the
correct level of the exposure under the residential or the care sector for the aged in and around
the region of Australia that will be underpinned by the increasing levels of the care requirements
that will be funded to a significant amount of funding received from the government of Australia.
In particular it can be stated that the company of Regis has been always led by high quality and
the experienced team of management that will provide the investors with the following factors

4STRATEGIC ANALYSIS
like the diversification of the geographical aspects along with the facilities of the higher qualities
along with proper history to provide with quality health care.
Macro Environment analysis
PESTEL Analysis
The macro environmental analysis of the Regis Company can be understood with the
help of the PESTEL analysis:
The political factors that affect the company of Regis are its long term profitability
measures that will be considered under a particular country or a particular market type. The
Regis Healthcare Limited has its operation in the different health equipment’s sector not only in
Australia but in the other different countries that will expose the varied types of the political
environment scenario along with the risks faced by the political system. In order to achieve
success from all these factors it is very important to analyze the dynamic healthcare facilities
provided by the company.
The economic factors that has affected the functioning and the business output of the
Regis Company include the varied rates of the inflation. The rate of savings in the company, the
associated rate of the interests accrued by the company along with the structure of the aggregate
demand and aggregate production in the economy. The operation of the Regis Company depend
on the type of the economic systems in the selected country of their operation. The second
crucial factor include the rate of the intervention by the government along with the figures of the
exchange rates with the stage of stability that prevails in the host country.
The social factors on which the Regis Company depends for its function are the
demographic structure and the skills of the population of the selected region. The other social
factors that influence its growth rate includes the education level of the population in that region
along with the cultural factors like the gender roles, and the other conventions that have existed
in the society for long.
The technological factors on which the company depends are the current and the recent
forms of the technological developments that have taken place by the competitors of the Regis
Healthcare Limited Company. The impact of technology on the offerings of the products of the
Regis Company. The impact of the cost structure on the Regis Company and its allied services

5STRATEGIC ANALYSIS
industry. The different impacts on the value chain of Regis and the rate of the technological
diffusion in the company.
The environmental factors that affect the functioning of the Regis Company includes
the type of Weather, the occurrence if the climate change events. The environmental factors also
include the associated laws that will regulate the degree of pollution visible in the surrounding
environment. The recycling facilities, the waste management patterns along with the right
attitude the twill be driven towards the ecological products of the company. It also depends to
some extent the support that is received from the renewable energy sector (Pha 2018).
The legal factors on which the company depends on are the antitrust laws, the
discrimination laws, the patents and the copyrights in the consumer production sector or the e
commerce sector, the different employment laws, laws to ensure the health and safety of the
individuals working in the company and also to their customers (Tan and Carrillo 2017).
SWOT Analysis
The inherent strengths of the company are large number of the outlets of the company
that will also be supported by the strong network of the distribution strategies that will ensure the
fact that products are easily available to the large number of customers. The low cost structure of
the company, strong relationship among its leaders and the financial inclusion of the company
are its biggest strengths (Pohl et.al 2019).
The weakness of the company lies in the gap of the proper form of the research and
development that is required for the company. The high inventories of the high days, the rented
property of the company. The low current ratio, the problems associated with the cash flow
systems in the company, the lack of integration factors and lack of the quality control are the
other form of weaknesses of the Regis Company (Cloutier and Fortin 2017).
The opportunities of the Regis Company are the recent increase in its internet
connectivity, the broadening of the e commerce sector along with the social media networks
have led to the wider scope of the technological developments in the company of Regis The
increase in the overall share of the household income are the other areas of the opportunities
(Bocock 2020).

6STRATEGIC ANALYSIS
The threats for the Regis Company can be referred to the entry of the new competitors in
the market scenario. The fluctuating rates of the exchange and the interests, the changing patterns
of eth tastes of the consumers along with the other regulations on the international market are the
other firm of threats that restrict the functioning of the company (Wright et.al 2019).
Industry Analysis under porter five forces model
Threat of New Entrants: The Porter’s five forces include first the high competition that
is faced by the Regis Company in the market structure. The economies of scale in this situation
becomes very difficult to predict which makes it easier for the other companies to have cost
advantage along with the product differentiation patterns that exist in the market.
Bargaining power of the Suppliers: The suppliers in the industry is massive compared to the
buyers in the market. This refers to the fact that the low switching costs of the company will
make it much easier for the buyers in Regis to switch their suppliers (Chouraqui et.al 2018).
Bargaining Power of the Buyers: The number of the buyers in the ambit of the Regis
Company is much more than the firms producing the similar products. The income of the buyer
sunder this industry is also very low which exerts a pressure on the purchasing power of the
buyers. The Regis Company has to focus on the varied forms of the innovation to attract more
number of buyers (Maetens et.al 2019).
Threat of Substitute Products or Services: Though the substitutes for the Regis Company are
very few yet they are of high quality which can exert a strong threat to the Regis Company. The
Regis Company can ensure further enhancement of the quality of its products to avert this
situation. The Regis Company can also focus on the product differentiation under its company
(Beentjes et .al 2018).
Rivalry among the Existing Firms: The number of Competitors in the Regis Company are
often large in size which means that the firms operating in this industry will not make much
moves which makes the rivalry among the existing firms in the marketing structure a weaker
force in the broader view of the industry. The fixed costs rate of this company are often high

7STRATEGIC ANALYSIS
which means that the rivalry companies will reduce their prices for the products in order to
attract the wider level of the customers (Rothaermel 2016).
Conclusion
Finally it can be concluded that Regis Healthcare Limited in order to enhance their
market size should enhance their quality of the products. This will be the most important strategy
in the context where there are very few competitors in the market that can pose restrictions on
the effective functioning of the Regis Company.

8STRATEGIC ANALYSIS
References
Beentjes, C., Di Bucchianico, A., Hamster, C., Kadu, A., Man, I., Myerscough, K., Regis, M.
and Richardson, O., 2017. Equalizing the Cost of Health Insurance. In SWI 2017.
Bocock, R. (2020). Ritual in industrial society: A sociological analysis of ritualism in modern
England (Vol. 1). Routledge.
Chouraqui, J.P., Tavoularis, G., Emery, Y., Francou, A., Hébel, P., Bocquet, M., Hankard, R.
and Turck, D., 2018. The French national survey on food consumption of children under 3 years
of age–Nutri-Bébé 2013: design, methodology, population sampling and feeding practices.
Public health nutrition, 21(3), pp.502-514.
Cloutier, C. and Fortin, R., 2017. System and method for monitoring of activity and fall. U.S.
Patent 9,615,777.
Maetens, A., Beernaert, K., Deliens, L., Aubry, R., Radbruch, L. and Cohen, J., 2017. policy
measures to support palliative care at home: a cross-country case comparison in three European
Countries. Journal of pain and symptom management, 54(4), pp.523-529
Pha, A., 2018. Aged care: Abuse from profit. Guardian (Sydney), (1841), p.1.
Pohl, A.M., Pouillot, R., Bazaco, M.C., Wolpert, B.J., Healy, J.M., Bruce, B.B., Laughlin, M.E.,
Hunter, J.C., Dunn, J.R., Hurd, S. and Rowlands, J.V., 2019. Differences among incidence rates
of invasive listeriosis in the US foodnet population by age, sex, race/ethnicity, and pregnancy
status, 2008–2016. Foodborne pathogens and disease, 16(4), pp.290-297.
Rothaermel, F.T., 2016. Strategic management: concepts (Vol. 2). McGraw-Hill Education.
Tan, Y. and Carrillo, J.E., 2017. Strategic analysis of the agency model for digital goods.
Production and Operations Management, 26(4), pp.724-741.
Towart, L., 2017. Australian retirement living & aged care investment performance. In Pacific
Rim Real Estate Society Conference.