This study is an attempt to analyze the load – settlement behavior of short composite caisson foundation using the continuum approach. The steining considered to be rigid, undergoes rigid body translation and hence is treated as an incompressible cylinder while the core inside is analyzed as a compressible pile. Only compatibility of vertical displacements is considered in this analysis. The soil displacements are calculated at mid points of the outer surfaces of each element, and at the centers of bases of steining and granular core by integrating numerically the Mindlin's solution for a vertical point load inside a semi-infinite medium. A detailed parametric study is carried out to evaluate the relative influence of each parameter on the overall deformation response of the composite foundation. The results encourage the use of the above foundation for alluvial lowlands.