For the change of global people population structure and social culture, long-term care market is a new industry, and it grows too fast to make many elderly people care problems in Taiwan. Although it is still have a lot opportunity in long-term care market, nursing home stands among lots of competitive long-term care facilities, has to face the dilemma between quality and operating profit. Nursing home not only has to meet the higher facility requirements from Department of Health, but also survives with other low rate long-term care facilities, and it would be an important issue that "How to use correct strategy to increase its competitive advantage to keep leader situation and profits". Long-term care market is an incomplete competitive market, several different resources involve in that. When an industry faces the environment changing and modification, in-to-out resource based theory is more important. The study object is a hospital-base nursing home, economic scale for 258 accommodations. The main of the study is as resource based theory model to link industry resources and competitive strategy, through inner resource analysis, empower its resource and ability to create continued competitive strengths. The result shows that the study object has better resource than ability in the institute. In strategic matrix, building design, location, technique resource and reputation are critical advantages; however, finical control, department’s flows and manpower are its disadvantages. To strengthen resource and ability, transfer its resource cultivation, the suggestions are showed as fallow: 1. It had better to strengthen its multi-level care model and de-institute characters in building design. Communities nearby and convenient for residents are location concern. To extend medicine support and expand inner marketing is good for technique resource advantage. The reputation advantage should be to get more outer resource and root its position in long-term care market. 2. The suggestions for finical control are new bad debts and material management mechanism. Raising coordinated manager level and enhancing more conscientious flow management model may be helpful. The last suggestions to manpower are to estimate manpower resource development and modify the labor numbers in the nursing home.