CONFIDENTIAL COMPETITIVE ADVANTAGES Vintage’s competitive advantage relies on the experience of care which Alice Smith has already established. Through her care for seniors she has created a detailed activity list in which many assisted living homes do not have. The residential home has a pool which allows for recreational use during warm weather, which benefits seniors who cannot endure difficult resistance training or workouts. BARRIERS TO ENTRY Depending on the type of facility, California laws and regulations must be met in order to be a legitimate institution. In 2006 Governor Arnold Schwarzenegger of California raised standards of senior home facilities. This legislation raises home inspection standards, improves the rights of residents in uncertified nursing homes, and requires training of residential care facility employees who distribute medication to seniors. This thorough home inspection can make it more difficult to establish a facility. The California Department of Health Services must inspect all nursing homes for violations of both Federal and California laws (Ch.895, SB 1312). This includes laws of minimum staffing requirements, nurses’ assistant’s requirements and details regarding nursing home abuse. 10 Facilities must also contract liability insurance when handling and administering medication to others. Not having funds to adhere to regulations and insurance payments can be difficult for business owners enter the market.
10
http://www.elder-abuse-information.com/news/news_101306_CAlaws.htm
23 | P a g e