Case Analysis: Commonwealth Care Alliance: Elderly and Disabled Care Case Solution
Challenges the company is facing
The main problem which CCA is facing is that Master is looking for geographic expansion of the company to serve more patients all over the region and to do the same, the company will need more funds, and more strategic alliances will also require. However, expanded geographic coverage will enable the company to serve more dually eligible patients (Medicare and medicate). Furthermore, this strategy will also allow the company to increase its revenue and profits. The primary focus of Master is towards SCP and its expansion across the region, and all the discussed things are required for this purpose. Therefore, it's is recommended for the company to make more strategic alliances with those providers which are feasible and can be easily aligned with the business’s cost structure. The company also have to increase its revenue at the lower cost to make more alliances and to expand its geographic coverage quickly.
Moreover, another threat which the company is facing is the data integration and interchange among its peers and partner businesses or providers. As CCA firstly started to record its data using Microsoft Excel and, later on, its partners also adopted the same method of recording data. The main issue with this interchange or integration is that all the peers are not coordinating closely to manage data and making practical use of it. As most of the partners were excluded the past data for patients which was able to help them for future. To overcome these issues, it is recommended for CCA to make sure that CCA and all of its peers have maintained the past data whereas all these providers are using it in a helpful manner to use it for future. (Ginter, 2013)
Population Avoided by others is CCA’s Target Market
The primary focus of CCA is to serve the poor, elder or less income population. The said population was avoided by many insurers since; it required a lot of documentation and permission from the federal government. It also requires alliances and many other formalities to be completed by doctors and physicians. However, the federal and state governments also give subsidies for this segment, but the legal considerations and documentations make it harder to continue with this portion.
The reason behind CCA’s adoption of this section includes the CCA’s high service distribution channel which includes many key players in the market, and CCA made alliances with them to increase its geographic coverage and service reach. Furthermore, CCA is a non-profit organization which gives treatment and all related services with less or no fee. The primary target market of CCA are Elderly, disabled and low-income citizens and the experience and relations of CCA among the industry to efficiently serve this segment as CCA made almost $27 million in revenues and approximately $2 million in profits in 2006. Furthermore, the majority of the population consists of senior citizens who offer more chances to serve patients and to charge a premium for CCA’s services.............
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