Sample Business Case Study on Marketing strategy 

Marketing strategy

Executive company

It is without any doubt whatsoever that the elderly population living in China is increasing at an alarming rate. Today, the demand for nursing homes and shelters has become eminently high as compared to the limited supply. It is for this profound reason that the Old Apartment organization was formulated with the key purpose of bridging the wide gap between the demand and supply of elderly homes and shelters. Established in the year 2001, Old Apartment Company aims at improving the standards of living for the elderly population. Old apartment Company was designed and created with the primary purpose of providing home and nursing care solutions to the vast majority of the elderly population residing in China. The company mainly focuses on meeting the home needs and demands of the elderly population by constructing suitable and excellent structures as shelters. The company has also managed to cut an edge over its competitors as it is recognized among the best construction companies in China. One apartment company has successfully constructed and developed both large-scale and small-scale construction. Currently, the company’s main objective is to provide excellent residential homes for the outgrowing number of the elderly whose ages are 65 years and above. The company’s shift to focus on residential nursing homes for the elderly has also been influenced by the need of the company to increase in its annual profit margin.


The Old Apartment Company’s interest to invest in designing and constructing homes for the elderly population in China is to improve the living standards and conditions of the elderly. The company’s vision is to construct as many homes as possible with the intent of meeting the growing needs and demands of the elderly population residing in China.


  • To provide the best home and nursing care solutions for the elderly population living in China.
  • To improve the quality of living standards for the elderly population residing in China.
  • To be the top not residential and nursing home construction company in China
  • To ensure that the company attains the maximum profit with an increased profit margin.
  • To develop financial resources for new construction of affordable housing.
  • To facilitate innovative models that reduce the costs of housing production

Objective plan

According to China’s National Bureau of Statistics, the proportion of the elderly population in China had reached approximately 10% in the year 2015. Out of the 10% population, there were 62,649,017 males and 68,200,980 females (Attané et al. 1). The percentage of the elderly population is also projected to shoot to higher levels by the year 2025 (Attané et al. 3). In deed, the number of elderly population in China is huge as it represents 20% of the world’s elderly population and 50% of the Asian elderly population (Attané et al. 2) According to several research demographic studies, China has transitioned into an accelerated state of rapid population aging in an underdeveloped economy (Attané et al. 5) Even though the Chinese government had put aside policies for population control, the unprecedented rise of the elderly has reintroduced an economic burden to the government. China ages rapidly because of one-child population policy that had been set by the government more than a decade ago. Although China has had remarkable economic growth and development, the fast-paced increase in aging population is likely to negatively transform China into a lower middle income earning country in the near future.  This is because of the fact that the population of youths entering the workforce is far less as compared to the vast elderly population that are today exiting China’s workforce. This tends to drag down the economic growth as labor as a factor of production becomes very limited and scarce. The effects of the rise in elderly population is today portrayed in form of social and fiscal pressure that would eventually create the need for inviting immigrants who will fill up the gap left by the exiting workforce. This has more so created a wide array of challenges for the government which has found it enormously difficult to fully support and take care of the ever-growing elderly population. It is with this profound reason that Old Apartment Construction Company was initiated with the sole purpose of assisting the government into providing some of the vital needs for the elderly population.

Aside from the company’s need to meet on the demands of the elderly population, the company aims to cut an edge over its vast competitors who also seek to capture the wide market share of the elderly population. In addition, the company seeks to widen its profitability margin by getting a larger market share as compared to other local and international construction companies. Thus, it is eminently vital for the company to provide the best construction services to its clients. The nursing homes need to attain or even surpass the quality standards so as to attract more clients from the rising elderly population in China. First and foremost, the company aims at establishing a robust and sustainable internal home structure. It is for this profound reason that the company plans to employ more erudite and skilled personnel who are able to provide services that match the needs and preferences of the clients. The skilled person will be employed to serve in different departments available in the Old Apartment organization. Since employees are an important part and parcel of any given organization, Old Apartment Company plans to provide sufficient training programs for the employees. This is with the primary intent of ensuring of honing the employees’ skills whilst also ensuring that they offer up-to-par services.

One Apartment Construction company’s objective of increasing its profitability levels all depends on its ability to attract more customers who are in need of a home solution. Thus, it is vital for the company to integrate stellar marketing skills and techniques. To add on to the objective of honing the employees’ skills, One Apartment Construction Company also seeks to adapt to proper and effective marketing techniques. Although there is evidently a significant shoot in the number of elderly people in China, there are also an increased number of companies that have ventured into providing residential and nursing homes for the elderly population. One Apartment Construction company’s another objective is to invest in marketing so as to generate interest from prospective new home buyers.

For any company to operate sufficiently there is a need for finances which are in form of capital. Since One Apartment Construction Company aims at expanding its services by venturing into construction, repair, and redesigning old homes for the increasing elderly population, the company seeks to increase its finances. With time, the company aims at reducing its marginal costs so as to increase its overall profitability. The company will thereby need to cut its expenditure by reducing waste and maximizing using the limited resources so as to reduce the capital used on inputs of production. In addition, One Apartment Company aims at reducing the many departments it has by merging related departments together. This will lead to a slight reduction in human labor as only a few employees will be needed to perform two or more responsibilities. Indeed, this will be helpful in cutting the company’s cost of labor and other resources. To add to this, the company aims at expanding its branch company which mainly focuses on recycling biodegradable wastes so as to produce biogas that is usually sold to the customers. The company thereby seeks to introduce a gasification process which is the more convenient and cost-efficient process of producing byproduct gas in form of biogas or methane gas. In essence, the company would add more to its capital as biogas itself has a wide array of uses. The community mainly uses biogas or methane gas for purposes such as cooking. In addition, biodegradable wastes such as kitchen wastes may be recycled to produce compost manure and fertilizers. The company will thus be able to sell the produced compost manure to the agricultural farmers. In turn, the company would be able to generate more income which it will utilize as capital necessary for implementing nursing home and residential home construction and development for the vast elderly population. Since construction companies require an extensive outlay of resources, securing ample finances through several inlets such as the recycling project would evidently help in the company’s operations and sustainability. In addition, One Apartment aims at introducing skilled and erudite financial advisors who would be able to effectively and sufficiently manage the company’s cash flow with the intent of ensuring that One Apartment Company attains maximum returns in form of profit.

Success factors

There are a plethora of factors that continue to determine the success of One Apartment Construction Company. One of the necessities includes the availability of skilled labor. Skilled labor serves as the backbone of any given construction company. The efforts of the employees are simply related to the quality of the services that are given to the customers. This is due to the fact that the employees work in specific departments such as research and development, operations, and management departments which will all contribute to either success or failure. Thus, One Apartment Construction Company may fully befit if it invests in honing the skills of its employees. In addition, proper use of capital is vital in ensuring that the company maintains its operation activities thereby evading bankruptcy or worse, dissolution of the company. Also, marketing techniques act as a factor that determines the success of the company. Amidst a broad range of different construction companies, proper marketing techniques are certainly a necessity. If One Apartment Construction Company invests in excellent marketing techniques, then they will be able to capture a wider share market as compared to other companies.

Support from the government will also largely influence the success of the construction company. The government should be able to relax strict measures that are stringent on the development and advancement of the construction company. In essence, the government should support the company by reducing tax rates and by subsidizing the cost of resources that are usually purchased by the construction company.

Why the initial strategy performed well

            One of the initial strategies that had been adopted by One Apartment Construction Company is the development of a recycling company. One Apartment Construction company has invested in an energy production company that utilizes biodegradable wastes such as food wastes which release byproducts in form of biogas or methane gas. Furthermore, the company has developed a gasification process that is considered to be more effective in gas production. Through this, One Apartment Construction Company has been able to generate income which it utilizes in form of capital.

Why the initial strategy did not perform well

Furthermore, the company has also merged some of its departments which have assisted it in reducing the cost of production. This has enabled the company to increase its profit margin by reducing its cost of production.  The management’s decision to take over all the responsibilities of other departments like that of the operational department is what derailed the company from achieving success. Before the integration of several departments in the company, each of the departments performed its responsibilities separately. The main departments that were there before the integration of all departments included development, sales, research and development, operations, and project among other individual departments. Even though the aim of joining different departments was to abate unnecessary expenditure, the quality of the construction works was not to standard. The organization’s spirit of teamwork was greatly interfered with as the different departments merged to be one. Thus, there were no clear directions or goals that would have otherwise directed each team from every department to achieve the overall goals of the company. There were also a lot of bureaucracy problems that derailed the entire company from performing its tasks. It is for this profound reason that the company failed to cut an edge over some of its competitors who’s that were better organized.


How to contract unprofitable operations and the implications for change management should they proceed?

            For the organization to avoid a further unprofitable operation, it may consider expanding its own business so as to reach a larger population of the target market. This may be through; internationalization, expansion, and diversification.

Internationalization is basically defined as the process through which a firm expands its business outside the domestic market (Rugman et al. 52). In order to successfully enter new global markets, the company should adapt to newly formed entry strategies. This is due to the fact that they would likely have to face various SWOT threats such as competitive market, cultural differences, discerning tastes and preferences, and new international policies among many other threats (Rugman et al. 102).

In addition, the company may enter additional lines of business that offer new related services and products. The company may introduce the sale of products that are usually required for construction purposes. To add to this, the company may employ its own employees who would handle the construction works thus reducing the cost of outsourcing construction workers from different companies. The company may also expand itself by entering into new markets within China. They may do this by opening new branches that all clients would be able to access. Furthermore, they may adapt to new marketing techniques that may incorporate new technologies for advertising purposes.  Effecting change is indeed a daunting task; however, the company can be able to maneuver through the myriad of challenges by using Kurt Lewin’s eight-step model of change.

Works Cited

Attané, Isabelle, and Baochang Gu. Analyzing China’s Population: Social Change in a New Demographic Era. , 2014. Internet resource.

Rugman, Alan M, Simon Collinson, and Rajneesh Narula. International Business. , 2017. Print.