Rental Crisis Case Study

in Australia

Summary
In the "Rental Crisis Case Study in Australia" video, we get a deep dive into a major problem
facing Australia: the rental crisis. The video paints a grim picture of skyrocketing rental
prices and a severe lack of affordable housing, causing significant distress for individuals,
families, and the country's economy. It points to a range of reasons behind this crisis,
including not having enough homes, changes in who's living where, and global economic
influences like the pandemic.
Real-life stories shared in the video illustrate the human toll of the crisis, with many renters
struggling to make ends meet or even being priced out of the market entirely. It's a situation
that demands urgent attention.
To tackle the problem, the video suggests a comprehensive approach, including building
more homes, offering incentives for developers to create affordable housing, and
implementing regulations on short-term rentals. These measures aim to address the root
causes of the crisis and provide relief to those affected.
Alongside the video, various strategic analyses like the VIRO analysis, Competitor Analysis,
Core Competency Analysis, and PESTLE Analysis offer valuable insights into the complexity
of the issue and potential solutions. They highlight the importance of understanding the
resources at hand, the actions of stakeholders, and the broader economic, social, and
environmental factors shaping the rental market.

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 Rental Crisis Case Study
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Title : Marketing Consulting

Case Study : Australian Rental Crisis
Submitted to : kreative Kode
Submitted by : G.Manohara Reddy,
From Siva Sivani Institute Of
Management

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 Rental Crisis Case Study
in Australia

Table of Contents

Introduction…………………………………………………………………………... 4

Analysis of Case Study……………………………………………………………….. 5

Risk matrix………………………………………………………………………….. 6
Stakeholder Matrix…………………………………………………………………. 6
VIRO Analysis………………………………………………………………………. 7
Resource Based View (RBV)……………………………………………………….. 8
Competitor Analysis………………………………………………………………… 8
Core Competency Analysis………………………………………………………… 8
PESTLE Analysis…………………………………………………………………… 9

Customer Persona……………………………………………………………………. 10

Gantt Chart…………………………………………………………………………… 11

Reference……………………………………………………………………………… 12

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 Rental Crisis Case Study
in Australia

Introduction

The YouTube video "Rental Crisis Case Study in Australia" delves into the pressing issue of the rental
crisis gripping Australia. It highlights the unprecedented surge in rental prices coupled with a severe
shortage of affordable housing, posing profound challenges to individuals, families, and the nation's
economic stability. This crisis stems from multifaceted factors including inadequate housing supply,
demographic shifts, global economic influences, and the phenomenon of gentrification. As depicted in
the video, rents have escalated far beyond income growth rates since the onset of the pandemic,
rendering a significant portion of the population financially strained and unable to secure suitable
accommodation. The narrative is punctuated by real-life anecdotes of renters grappling with the
unyielding market dynamics, underscoring the human toll of this crisis.

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 Rental Crisis Case Study
in Australia
Analysis of Case Study

The "Rental Crisis Case Study in Australia" video elucidates the complex web of factors driving the
rental crisis plaguing the nation. It elucidates how the confluence of insufficient housing supply,
demographic transitions, and global economic forces has precipitated soaring rental prices and
exacerbated housing unaffordability. The pandemic-induced disruptions have exacerbated preexisting
trends, exacerbating regional rent hikes while capital city rents witnessed a downturn. This
phenomenon is attributed to a surge in demand for rental properties fueled by factors such as student
immigration and urban migration, further compounded by foreign investment inflows driving up
property prices. Moreover, stagnant wage growth and inadequate social safety nets have exacerbated
financial burdens on renters, exacerbating their housing insecurity. Gentrification emerges as another
significant contributor, as affluent individuals' influx into traditionally low-income areas drives up
rents, displacing existing residents. In light of these challenges, the video advocates for a
comprehensive policy response encompassing measures such as zoning reforms to boost housing
supply, incentives for developers constructing affordable housing, regulatory interventions in short-
term rentals, and reforms in wage policies and social safety nets.

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 Rental Crisis Case Study
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Stakeholder Matrix

Stakeholder Interest Influence Importance

Renters High Low High
Developers Low High High
Government High High High
Investors Low Medium Medium

Community Groups High Medium Medium

Real Estate Agents Medium High Medium

Risk Matrix

Risk Category Risk Description Likelihood Impact

Economic Stagnant wage growth High High

Global economic downturn Medium High

Social Housing insecurity High High

Displacement due to
High High
gentrification

Lack of regulatory measures

Regulatory High High
on foreign investment

Inadequate housing supply

Medium High
regulations

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 Rental Crisis Case Study
in Australia
VIRO Analysis

Valuable:

The analysis sheds light on the dire situation of the rental crisis in Australia, highlighting its profound
effects on individuals, families, and the country's economic well-being. By emphasizing its severity,
the study underscores the urgency of addressing this pressing issue.

Furthermore, it delves into the intricate factors contributing to the crisis, ranging from a shortage of
housing to shifting demographics and global economic forces. This comprehensive understanding
provides valuable insights into the multifaceted nature of the problem, enabling stakeholders to
develop more effective solutions.

Rare:

While the analysis offers valuable insights into the rental crisis in Australia, similar challenges may be
prevalent in other regions grappling with housing affordability issues. Therefore, the specific findings
and solutions presented in the study may not be entirely unique to this case, limiting its rarity.

Inimitable:

Although the analysis provides valuable recommendations, they may not be exceptionally difficult for
other entities or governments to replicate. While each region may have its unique nuances, the
fundamental strategies proposed, such as increasing housing supply and implementing regulatory
measures, are not inherently exclusive to Australia.

Organized:

The analysis presents its findings in a clear and structured manner, making it easily accessible to
policymakers, researchers, and stakeholders alike. By systematically discussing the causes, impacts,
and potential solutions of the rental crisis, the study enhances understanding and facilitates informed
decision-making in addressing this critical issue.

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 Rental Crisis Case Study
in Australia
Resource Based View (RBV):

Valuable Resources: Think of valuable resources as the key ingredients in a recipe. In the
case of the rental crisis, these could be things like not having enough homes available,
changes in who's living where, and how the world's economy is affecting things. These
resources are important because they make the problem more serious and complicated.

Rare Resources: Just like finding a rare gem, some of the problems causing the rental crisis
might not be common everywhere. While not having enough homes might happen in many
places, the exact combination of problems seen in Australia might not be found elsewhere.

Inimitable Resources: Imagine you've got a special recipe that everyone wants to copy, but
only you know exactly how to make it taste perfect. The solutions suggested for the rental
crisis, like building more homes or changing the rules for investing in property, could work in
other places too, but how well they work will depend on the unique situation in each place.

Organized Resources: This is like having all the pieces of a puzzle neatly laid out in front of
you. The information about the rental crisis is presented in a clear and organized way, helping
us understand why it's happening and what we can do about it.

Competitor Analysis:

Imagine you're watching a game of chess and trying to figure out what moves each player
might make next. In the rental market, we're looking at what different people and
organizations involved in renting homes are doing and how their actions affect things like
prices and how easy it is to find a place to live.

By studying how many homes are available to rent and how many people want to rent them,
we can see where there might be chances to do things differently and stand out from the
crowd.

Core Competency Analysis:

Think of core competencies as the special skills and abilities that make someone really good
at their job. For example, the people and groups working to solve the rental crisis might be
experts in making laws, planning cities, or bringing communities together.

By understanding what these experts are really good at, we can make sure they're using their
strengths to tackle the big problems causing the rental crisis.

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PESTLE Analysis:

Political: This is like looking at the rulebook that governments follow when it comes to
housing. Are there laws or taxes that make it easier or harder to build new homes?
Economic: Imagine looking at how much money people have and how that affects whether
they can afford to rent a home.
Social: Think about how things like where people want to live or how families are changing
affect what kind of homes are needed.
Technological: This is like considering how things like apps or new building materials might
change the way we rent homes.
Legal: This is all about the rules that landlords and tenants have to follow and how those
rules affect things like rent prices.
Environmental: Imagine looking at how things like climate change or pollution might affect
where people can live and what kind of homes are available.

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Customer Persona:

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Gantt Chart

3-Apr 8-Apr 13-Apr 18-Apr 23-Apr 28-Apr

Task A Task B Task C Task D Task E
Start Date Task A 45383
9 45387 45390 45394 45400
10-Apr 15-Apr 20-Apr 25-Apr 30- 9 10 12 13 12
Apr

Task B 10

Task C 12

Task D 13

Task E 12

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 Rental Crisis Case Study
in Australia
Reference

1. Australian Bureau of Statistics. (2021). Housing Occupancy and Costs, Australia,

2019-20. Retrieved from https://www.abs.gov.au/statistics/people/housing/housing-
occupancy-and-costs/latest-release

2. Department of Social Services. (2020). National Rental Affordability Scheme

(NRAS). Retrieved from https://www.dss.gov.au/our-responsibilities/housing-
support/programs-services/national-rental-affordability-scheme-nras

3. McGrath, L., & Jones, A. (Eds.). (2019). The Australian Rental Housing Market: Key
Economic and Demographic Drivers. Springer.

4. Parliament of Australia. (2020). Affordable Housing. Retrieved from

https://www.aph.gov.au/About_Parliament/Parliamentary_Departments/
Parliamentary_Library/pubs/rp/rp2021/Quick_Guides/AffordableHousing

5. Real Estate Institute of Australia. (2021). Housing Affordability Report. Retrieved

from https://www.reia.com.au/research/housing-affordability-report.html

6. Smith, J. (2023). Understanding the Rental Crisis: A Comprehensive Analysis of the

Australian Housing Market. Journal of Housing Studies, 15(2), 123-145.

7. Taylor, M. (2022). Rental Crisis and Its Socioeconomic Implications in Australia.

Australian Economic Review, 35(4), 367-382.

8. United Nations. (2020). Sustainable Development Goals: Goal 11 - Sustainable Cities

and Communities. Retrieved from https://sdgs.un.org/goals/goal11

9. World Bank. (2021). Australia Overview. Retrieved from

https://www.worldbank.org/en/country/australia/overview

10. Zillow Research. (2021). Australia Rental Market Analysis: Trends and Outlook.
Retrieved from https://www.zillow.com/research/australia-rental-market-analysis-
trends-outlook-36974/

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