Eng2

School Of Architecture, Building & Design

Foundation In Natural & Built Environment

Presentation Title :

Research Assignment Report (Chinese Herbal Medicine Shop)

Group Members :

Name Presentation / Research Report Roles

SEET TIONG HONG Overall Checking

NGIENG TIEN YUNG Brief Bio Of Businesses

TERENCE TAN Reference

LING SUE ER Comparative Analysis

OOI YIN JI Appendices

TAN MING HOWE Design and Video

DANIEL SONG Recommendation

LILLIAN TAN AI JUN Conclusion

English 2 [ELG 30605]

Lecturer : Cassandra Wijesuria

Submission Date : 1st June 2015

Table of Contents

No. Title Page Number

1. Artistic Cover 1

2. Cover Page 2

3. Table of Contents 3

4. Summary 4

5. Description Of History Of Business 5 - 6

6. Research Report

A. Brief Bio Of The BusinessesB. Comparative Analysis

7 - 17

7. Conclusion 18

8. Recommendations 19 - 22

9. Bibliography 23

10. Appendices 24 - 39

11. Minutes Of Meeting 40 - 47

12. References 48 - 49

SUMMARY

This report is a comparative analysis of two Chinese medical herb businesses in different geographical locations. The chosen industry is known to have an uninterrupted history of

development dating back to thousands of years, in China and other parts of the Far East. The selected Chinese medical halls are Poh Aun Tong Medical Hall in Georgetown, Penang and Huah Shan Medical Hall in Klang Valley, Selangor. Interviews have been conducted in each of the respective medical halls in order to obtain further information from both businesses. The collected information has been analyzed and justified through research carried out with reliable sources in reference. It is concluded that Huah Shan Medical Hall is more commercially successful than Poh Aun Tong Medical Hall due to a greater annual revenue, a higher number of customers and also, a wider variety of goods provided. Moreover, several impactful recommendations such as hire more personnels, advertising and so on that could be undertaken by the businesses in order to improve their competitive edges have been included into the report based on our careful analysis so that the businesses could compete in the market with their full potential.

Huah Shan Medical Hall Poh Aun Tong Medical Hall

HISTORY OF THE TRADITIONAL CHINESE MEDICINE (TCM) INDUSTRY

The origins of Traditional Chinese Medicine (TCM) can be traced back at least five thousand years ago from the ancient China, making it one of the oldest and most long-standing health care systems in the world. In the intervening millennia, the practice of Chinese herbal medicine and TCM has developed and matured to become what it is today - a natural and holistic system of primary health care that has been used by people from a wide range of cultural and social backgrounds to effectively treat different chronic and acute health problems.

According to the history of China, the first traditionally recognized herbalist is known as Shennong, a mythical god-like figure, who is said to have lived around 2800 BC. He allegedly tasted more than a hundred types of plants and imparted his knowledge on the medicinal properties of plants to his people. All his research and experimentation on medical herbs had been recorded in a book named Shennong's Materia Medica, which is known to be the earliest completed Chinese pharmacopoeia reference.

Over the millennia, the ancient Chinese people have used themselves as guinea pigs to

continue testing different types of plants for their medicinal properties. The accumulation of practical experiences had strengthened their understanding on pharmacological category, toxicity, and lethal dosage of different herbal plants. As to this day, it is known that more than three hundred types of herbs that are commonly used in the modern society today are found written in the historical record. According to the modern Chinese clinical studies, these herbs functions to not only increase the effectiveness of modern drug treatments, but at the same time reduce their side-effects and also serve as an alternative or replacement for some western drugs and medical therapy (Dharmananda, 1996).

Besides, with the succession of trading systems dominating the market between China and

India back in the past, TCM had been introduced to numerous places over Southeast Asia by the Chinese and other oriental immigrants. It happened long before the independence of Malaysia whereby during the time which our motherland was still known as “Tanah Melayu”. In the 19th

century, the increased population of Chinese immigrants to Tanah Melayu had highly exposed the locals to an exchanged cultures, tradition, knowledges and influences from China. Hence, this is when and how Chinese medical herbs were brought in and established in the place to where we are living in today. Pharmaceutical practices of TCM are then being handed down from generations to generations until today, the industry has seen growth in different places across the country.

In a nutshell, traditional Chinese medicine plays a very important part in the history of medicine. Understanding TCM through a historical context gives an insight to this ancient form of medicine and also establishes its validity as a healthcare system.

Shennong as depicted in a painting in 1503, tasting different types of plants (left) Shennong's Materia Medica (right)

BRIEF BIO OF BUSINESSES

A) Poh Aun Tong Medical Hall, Penang.

Poh Aun Tong Medical Hall is located at 125, Campbell Street, 10100, Georgetown, Pulau Pinang, and is a small-scale family business. They are a traditional chinese pharmacy selling traditional chinese herbs besides providing health-care consultation services. The pharmacy was founded in 1965 by Mr. Chan Swee Foo and was operated single-handedly by himself. Ms. Chan Soo Sum, his only daughter, started helping him at the age of 22 and managed to learn most of the herbology-based knowledge from him. Ms. Chan officially took over the business in 1990 and has been running the shop since then. She does not have any employees to help her as she’s able to cope with the workload, and because employees would need certain traditional Chinese medicine (TCM) licenses in order to work in the hall.

Poh Aun Tong provides services that most of the pharmacies seem to be lacking in which chinese herbs could be pre-decocted or decocted by Ms. Chan so that customers are able to get the most out of the herbs as she understands that her customers might be very busy or lacking in knowledge on the decocting of herbs. The majority of her customer are customers who have patronised this business for many years. According to Ms. Chan, there will be no more than 10 customers visiting her shop daily and that most of her customers are adults and senior citizens. She believes that sooner or later, TCM will be substituted by Western medicine. Furthermore, there has been no changes or developments in her family business as she thinks that she will have to retire in few years time and her only intention is to provide her services to the residents of Georgetown.

B) Huah Shan Medical Hall, Klang Valley.

Huah Shan is currently located at No.33, Jalan USJ 10/1E, 47620 Subang Jaya, Selangor Darul Ehsan. They are a modern chinese pharmacy which provides health-care consultation services and also sells traditional chinese herbs. Huah Shan’s main branch is located in Taman Megah, SS 2 where Mr. Lee worked at for 8 years. The main branch was founded in year 1985 by Mr. Lee Lap Man and was operated single handedly by himself. Since young, Mr. Lee desired to become a chinese physician mainly due to his strong TCM background and his father’s influence, who was also a Chinese physician. Today, there are a total of ten employees being employed to help him manage two of the shops. He runs his business in such a way that he will diagnose patients and delegate that his employees prepare the medicines or herbs to the patients based on the prescriptions issued by him.

Moreover, Huah Shan provides services such as acupuncture and cupping therapy. Unlike the other modern chinese pharmacies whose business models are money-driven as they are more focused on processed and packaged products. Surprisingly, their best selling products are herbal soup packs and dry herbs such as Bai Qu Cai. Besides that, utensils meant for decocting chinese medicine are being sold here. The price range of their products is as low as RM 1 up till RM 3000. According to Mr. Lee, the minimum capital needed to start this TCM business amounts to RM 200,000. An average of 20 customers are expected daily and 30 customers during peak seasons such as durian harvest seasons. Most of his customers are adults and senior citizens. Mr. Lee believes that TCM will not be substituted by Western medicine in the future as TCM has centuries of historic culture and believes that every genre of medicine has its own benefits.

Similarities & Differences Of Both Business

Poh Aun Tong Medical Hall

Similarities Huah Shan Medical Hall

- Short-term Future Plan - Short-term

- Local Customer- Senior Citizens

Targeted Market - Local Customer- Senior Citizens

Poh Aun Tong Medical Hall

Differences Huah Shan Medical Hall

Founder

- Mr. Chan Swee Foo

History

- Emigrant from China

- Took over by Ms. Chan

- Operate single- handedly

Founder & History Founder

- Mr. Lee Lap Man

History

- First shop in SS2- Chinese Physician Father- Determination to helping

the poor

- 125, Lbh Campbell, 10100 Georgetown, Pulau Pinang

Location - No.33, Jalan USJ 10/1E,47620 Subang Jaya Selangor Darul Ehsan.

- Current Branches 1

- Workers Ten

- Chinese Herbs Types of Products Sold&

Services

- Packaged Herbs- Utensil

- Pre-Decocts Herbs Services - Acupuncture- Cupping Therapy

- Daily- 10 am to 7.30 pm

Business Hour - Monday - Saturday- 9 am to 8 pm

Second generation is currently operating the

Business Operation Owner is an experienced Chinese physician.

business

Around 10 Number of customers Around 20

- Internet blogs- Newspaper articles

Media None

- Old signboard- Antique cabinets

Shop Layout & Atmosphere

- Air-Condition- Tempered Glass

Around RM 180,000 Annual Revenue Around RM 400,000

Comparative Analysis Between Poh Aun Tong Medical Hall & Huah Shan Medical Hall

I - Number of Competitors Poh Aun Tong Medical Hall, which is located at George Town, Penang has only 2 top competitors which are Cheng Woh Medical Hall and Kean Aun Hoe Medical Hall. On the other hand, Huah Shan Medical Hall has 3 top competitors which is Hai O, Eu Yan Sang and Herbs and Food.

II - Brief Description Of Competitors

Poh Aun Tong Medical Hall, Penang

Although there are many Chinese medical halls in Penang, Ms. Chan Soo Sum knows very well who her competitors are. In the fore, Cheng Ho Medical Hall is the strongest competitor among

all, as they have been established for more than 80 years and has built long-term client relationships. They provide over 500 different formulas of herbal soup, desserts and teas recipes. Their best selling products are bird’s nest, packaged anti-aging supplements and traditional Chinese herbs. Cheng Ho Medical Hall believes that people respond to incentives, hence improves customers’ demand on products as they offer free delivery service for customers who purchase products worth RM100 and above. To stay in the game, they also has their own official website to gain a bigger market share as the website provides convenience to the customers.

Secondly, Kean Aun Hoe Medical Hall was established in year 1956. They are a family business committed to provide friendly and trustworthy service to their customers. Their main products are packaged ‘Penang Bak Ku Teh’ and Cordyceps Flower Soup Base. Both of the products have received many positive feedbacks from local and international customers.

Huah Shan Medical Hall, Selangor

On the flip side, it’s much tougher to operate a Chinese medicine hall in Selangor as the competitors are more aggressive in terms of marketing and expansion of businesses. Based on Mr. Lee, Huah Shan Medical Hall has three top competitors around the area. Firstly, Hai-O Enterprise Berhad which was established in 1975, and owns over 70 branches nationwide. They offer a wide variety of complementary medicine, health-care products and much more. They employ professional herbalists in every branch to advise their customers on herbs. Besides, Hai-O Enterprise Berhad also has their own in-house brands which are recognized internationally. They only import patented products that are approved by the Ministry of Health.

Secondly, Eu Yan Sang which started as a small Chinese medicine hall was established in 1879 and has built an empire of over 300 retail outlets globally. Eu Yan Sang provides more than 1000 types of quality traditional Chinese medicines, health foods, packaged anti-aging supplements and much more. They offer over 300 varieties of products under their brand, Eu Yan Sang. In order to increase customers’ demand, they also offers several kinds of special promotion for members. Furthermore, they intentionally increase their brand awareness by organizing many events locally and internationally such as the well-received Parenting Sharing Sessions, Natural Organic Party, Thank You Teacher Campaign and many more.

Thirdly, Herbs and Food Sdn.Bhd was established in 1981. They are a modern Chinese medicine hall dealing in chinese herbs, grocery, wines and packaged herbs. Their main products are bird’s nest, homemade Chinese herbal jelly and wines. They believe that in order to improve their products’ demand, incentive is a must for their customers as exemplified in their free member only monthly wine tasting sessions. Moreover, they also apply promotions on their groceries weekly as an incentive to potential customers.

Competitors of Huah Shan Medical Hall : Herbs N Food (left) and Hai-O (right)

III - Competition Strategies

A) Poh Aun Tong Medical Hall, Penang

I) Advertisement In order to increase the brand awareness of the business, Ms. Chan has been accepting interviews in order to feature in newspaper articles and blogs and both mediums have been receiving positive responses.

II) ServicesWith their excellent services, Poh Aun Tong Medical Hall attracts many customers by word of mouth. Ms. Chan who is a Chinese physician gives prescriptions based on results from the measurement of her patients’ pulses. Moreover, Ms Chan also decocts herbs for those patients who are too busy with their jobs to do this on their own. She has a good understanding of her patients’ health and needs.

III) PricingAll of the products are priced reasonably in accord to the market price. In order to increase profit, she keeps the operating expenses low by reducing the utility expenses and by employing no personnel.

Authentic measurement tools chinese scale and chinese grinder

B) Huah Shan Medical Hall, Selangor

I) ServicesMr Lee has established close relationships with his customers by providing trustworthy services .He provides diagnosis based on pulse-measurement, acupuncture services, and cupping therapy. Nowadays, most of the Chinese pharmacies do not provide these services as their business models are profit-driven.

II) PricingThe price of a product is an obstacle for potential customers who wish to purchase products. If the price of the product decreases, the quantity demand will be increased. Mr.Lee sets a slightly cheaper price compared to his competitors in order to take advantage of this principle.

Ms. Chan friendly and polite characters have been helping her in sustaining the business.

IV - Obstacles Faced By New Firms

A) Poh Aun Tong Medical Hall:

There are some obstacles faced by new firms. For example, Poh Aun Tong Medical Hall claims that chinese herbs will eventually be replaced by modern medicine because the younger generations believe that modern Western medicine is more effective and reliable as compared to traditional Chinese medicine. Besides, there are more and more modern pharmacies emerging in the market, which leads to increase in competition. Based on the principle of economics in a monopolistic competitive firm, they are known that a greater number of competitors leads to a weaker pricing power. Moreover, new firms would face difficulties in the process of getting licenses in terms of time required as every type of herb has its own license. Furthermore, Ms. Chan suggested that anexperienced individual is needed in order to start the TCM business. Nowadays, new firms are required to install air-condition and tempered glass at the entrance due to hygiene reasons.

B) Huah Shan Medical Hall explains :

Huah Shan Medical Hall indicates that it is difficult to hire experienced individuals who have basic knowledge about TCM these days as most of people are looking for jobs that pay high salary with lesser working hours. In order to start a new TCM shop, it also requires huge start-up capital as compared to decades ago. Besides that, Mr. Lee said that nowadays owners of new firms do not have sufficient knowledge and experience to operate the business successfully. Based on the principle of economics, the meaning of economies of scale is the firm’s ability to produce its goods at gradually lower cost over the long run. As such, new firms require some time to compete with such prices. As established businesses already have some amount of customer loyalty, it’s very hard to attract customers to go for other medicine halls.

Mr. Lim’s right-hand man, Mr. Koh (left) and the supplier, Mr. Tan (right)

V - Nature Of The Market

The nature of the market for Poh Aun Tong Medical Hall and Huah Shan Medical Hall is monopolistic competition as both businesses are operating in a market structure full of competitors selling similar but not identical products. Besides that, pricing power of monopolistic competition is weak as the firms cannot influence the prices of their products strongly because there are still many competitors who also hold influence on the pricing. If one firm were to independently manipulate product prices, customers would swarm to other firms who have not altered their prices. In order to maximize their profits, these business strive to differentiate their product from that of their competitors. Moreover, it is very hard for competitors to attract customers who have strong tendencies towards their preferred pharmacies.

Similar but not identical products from Huah Shan Medical Hall (left) and Poh Aun Tong Medical Hall (right)

Comparative Analysis Summary Table

Competitive Traits Poh Aun Tong Medical Hall Huah Shan Medical Hall

1. Number of Competitors

5 to 10 within the immediate area 10 to 15 within the immediate area

2. Barrier to Entry (New Firms)

High Barrier to Entry

- Advancement of western medicines

- Increase competition due to many emerging modern pharmacies

- No firm control on majority of raw materials needed to produce a product

High Barrier to Entry

- Difficulties in hiring experienced individuals

- Huge start-up capital

- Difficult to attract customers from established medical halls

3. Differentiated or Differentiated Products Differentiated Products

Standardized Products- Rare traditional chinese herbs

- Pearl powder

- Cooking Utensils

- Groceries

- Packaged anti-aging supplements

4. Pricing Power Price taker- Weak pricing power

- Causes the business have no ability to charge the price higher than the market price unreasonably, lest customers will turn to other competitors

Price taker- Weak pricing power

- Constrained to follow the market price determined by supply and demand

5. Other Characteristics Substitute goods- Modern Medicine

Substitute goods- Modern Medicine

6. Verdict Monopolistic Competition Monopolistic Competition

CONCLUSION

Based on the comparative analysis, it has been concluded that Huah Shan Medical Hall in Klang Valley is more commercially successful as compared to Poh Aun Tong Medical Hall in Georgetown, Penang. This statement has been supported by evidences obtained through research and critical analysis based on economics principles. Firstly, Huah Shan Medical Hall has two outlets, with their main outlet located at Taman Megah, Petaling Jaya and the second outlet being located in Subang Jaya, Klang Valley. As for Poh Aun Tong Medical Hall, the business has continued to operate within a single outlet for a period of more than 40 years. Hence, with 2 outlets with each operating at different locations, the amount of income and the business’s annual revenue figure of Huah Shan Medical Hall is reported to be higher as compared to that of Poh Aun Tong Medical Hall. In addition, the average number of customers who visits the outlet daily for Poh Aun Tong Medical Hall is estimated to be approximately 10 customers per day, whereas Huah Shan Medical Hall has twice the amount of customers as compared to that. Ultimately, a greater number of customers led to an increase in the revenues and therefore, the amount of profit generated annually tends to be higher for Huah Shan Medical Hall, resulting in a more successful commercialized business within the industry in comparison to Poh Aun Tong Medical Hall.

Secondly, besides having Chinese herbs as the main-selling products in both businesses, Huah Shan Medical Hall also provides a wide variety of goods such as packaged herbal soup recipe, organic food supplement, medical ointment, dry goods, snacks and more. On the contrary, Poh Aun Tong Medical Hall has shown a lack in variety of goods and products sold as the business adheres firmly to their own principles and traditions such that Chinese medical herbs and ointment remain as their main and only focus in the market. As a result of product variation in Huah Shan Medical Hall, consumers are provided with a wide range of choices and are able to purchase according to their preferences instead of being bounded by limitation with only a single or two options. Hence, it is concluded that more customers can be drawn to the firm, thereby creating more business opportunities to take place in Huah Shan medical store as compared to Poh Aun Tong Medical Hall. In conclusion, Huah Shan Medical Store is more commercially successful than Poh Aun Tong Medical Hall due to the supporting reasons as stated above which includes a greater amount of income and business’s annual revenue, higher average number of customers visited daily and last but not least, a wider variety of goods provided.

RECOMMENDATIONS

After the study was completed, it was determined that the businesses were lacking in specific areas, which hinders their ability to compete to their full potential in the market. The following, is a set of recommendations which can be undertaken in order to improve their competitive edge.

Poh Aun Tong Medical Hall, Penang.

A1 - Area Of Focus & Current Diagnosis :

Location & AccessibilityThe business currently only owns one outlet, which is located in the heart of Georgetown, where vehicular circulation is poorly organised. As such, customers may find reaching the outlet difficult. Also, given its position in the heart of the sprawl of the city, it can be difficult to find its specific location. People who are unfamiliar with the outlet will find it hard to reach. This can seriously hamper the potential the business has to expand in its market and develop.

A2 - Recommendation(s) Of Improvement :

Relocate The OutletThe option to relocate the only existing outlet is viable in the sense that moving it to a more accessible and navigable area would allow the current pool of potential customers to be expanded. Perhaps a more accessible, suburban area like Gelugor would be a good alternative.

Open Multiple Outlets

This option would allow for the authenticity and novelty of the original outlet to be retained, while allowing for the business to become more accessible to existing and potential customers.

B1 - Area Of Focus & Current Diagnosis:

Brand Awareness & DistinctivityGenerally, with medical halls as antiquated as the one we studied, brand awareness is almost totally reliant on word of mouth and brand loyalty. As observed, Poh Aun Tong is almost unknown to those who do not use its services, or buy its products. The closest this business is in the way of advertising is a customised tote bag it distributes to those who buy products from its outlet. The outlet is also indistinct from other shops in the vicinity, let alone other medicine halls.

B2 - Recommendation(s) Of Improvement:

Engage in Advertising This manner of improvement involves the use of flyers, advertisements on billboards, newspapers, or any other form of mass media. This will raise awareness of the business, which will attract customers, driving profits higher while giving this business the edge over competitors who have not caught on.Distinctive Outlet IdentityThe business needs to ensure that the outlet is pronounced, and well defined amidst its surroundings, even among other medicine halls. This can be done through the use of noticeable signage, and a recognisable exterior

C1 - Area Of Focus & Current Diagnosis:

Cost of Operations & ProfitAforementioned facts have stated that the Poh Aun Tong Medical Hall is a small business, which has been established for a long time. Due to the obligation to tradition, as well as the desire to preserve the original identity of the business, cost of operations has not been decreased in the areas of technological improvement, and stagnant business size.

C2 - Recommendation(s) Of Improvement:

Utilise Modern TechnologyThrough the use of modern technology, this business can provide services, and produce medicines in a much more efficient manner, driving up profits indirectly. For example, through use of modern scales and weights, and industrial grade centrifuges

Grow the Size of the FirmThis measure will allow the medicine hall to gain bargaining power, as suppliers are more obligated to provide better prices for larger firms. This in turn, decreases the cost of operations the business incurs. This is especially important in the purchase of supplies and raw materials, which this business engages in often.

Huah Shan Medical Hall, Klang Valley.

A1 - Area Of Focus & Current Diagnosis:

Product Variation & DistinctivityAs of now, the reach of Hua Shan in terms of customers and market share may be limited, due to the fact that the products which are sold in Huah Shan are not distinct or varied from the products which are sold in other medicine halls, in the surrounding area. This reduces the ability of this business to perform at its full potential, as it has to constantly compete with the other medicine halls which are located at such proximity due to the fact that they all sell similar products.

A2 - Recommendation(s) Of Improvement:

Variation of Products & Sales of Unique CommoditiesThis measure involves acquiring different products, which are not available in the other medicine halls in the vicinity. This can be done by seeking different suppliers, who can provide rarer products for the outlet to sell. This will drive customers to Huah Shan, as it has a variety of products, which is not available elsewhere. This in turn, greatly increases the firm’s competitive edge.

B1 - Area Of Focus & Current Diagnosis:

Skilled Labour & Trained Medical PersonnelHuah Shan is not simply a shop where traditional Chinese medicine is distributed, but also serves as a clinic of sorts, where one receives diagnosis and treatment for specific ailments. However, as stated. Huah Shan operates with the expenditure of very few staff and personnel. This causes certain problems, especially considering that Huah Shan cannot hire any applicant who wishes to work in the firm, but must carefully select staff who are knowledgeable in the area of traditional Chinese medicine. During peak seasons, they are understaffed, especially in the clinic, as only one practitioner is available for consultation and service. This can decrease the productivity of the firm.

B2 - Recommendation(s) Of Improvement:

Hire More PersonnelThe firm could remedy the situation aforementioned, through the employment of more trained personnel. This can be achieved by sourcing talent from training centers which specialise in traditional Chinese medicine, or colleges which offer such sources. This way, the firm is able to greatly increase productivity. For example, with the addition of more skilled staff, shop assistants can be replaced by knowledgeable staff who are able to advise customers on medication, or

treatment, driving up the brand reputation and sales revenue. Also, by hiring more practitioners of traditional Chinese medicine, more patients can be treated as the workload is now spread out between more doctors.

C1 - Area Of Focus & Current Diagnosis:

Location & Outlet SizeThe current outlet is the only existing outlet that the firm owns and operates. The location of the outlet is not conducive for business, as there are at least three other traditional medicinal halls in the immediate vicinity, and countless more pharmacies. Besides that, Huah Shan has the ability and capacity to expand the business, and can take this measure in order to develop it. Finally, the outlet size may not be conducive in the short run if Huah Shan does grow, as the principle of scale constraint applies, where it becomes inefficient to expand the business within the constraints of the current outlet.

C2 - Recommendation(s) Of Improvement:

Open Multiple Outlets By opening more outlets and medical halls, Huah Shan stands to gain tremendously. This is understood in a threefold manner. First of all, by opening multiple outlets, the business will be able to gain more revenue as the sales potential increases due to the expansion of the reachable market. Besides that, by opening more outlets, Huah Shan does not need to directly compete with the many medicine halls in the direct vicinity of the existing outlet. It will be able to compete better. Finally, Huah Shan will be able to solve the problem of scale constraint if it does choose to expand.

Huah Shan Medical Hall, USJ, Klang Valley

BIBLIOGRAPHY

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3. Wang, Z., & Xie, P. (1999). The Origin Of Medical Pharmaceutical and Hygiene. In

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27). Beijing: IOS Press.

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ed., Vol. 3, p. 121). Cambridge, New York: Cambridge University Press.

APPENDICES

This is a compilation of interview notes, documents and photos of both Chinese herbal medicine halls, as well as the background details of their competitors that were recorded in the process of

investigating and comparing both businesses.

A) Poh Aun Tong Medical Hall, Penang.

I. Details of the business

Shop sign of the business (left) and front view of the shop (right).

Interior view of the shop.

II. Details of the owner

Current owner, Miss Chan.

Miss Chan’s business card.

Certificate of Miss Chan as a valid Chinese Physician.

Founder of the business, Mr. Chan Swee Foo (left) and his wife.

The books that were used by Miss Chan as references.

III. Products & services provided

Main products sold: Chinese medical herbs

Poh Aun Tong sells herbs which are rarely seen as well.

There are also packaged products such as traditional chinese medicine and chinese ointment.

Services provided: Prescription for the patients and herb decocting.

IV. Strategies of promotional advertising

Articles taken from both English and Chinese newspapers which promote the rare products and services provided by Poh Aun Tong.

Media report by China Press.com on 29 May 2013.V. Top Competitors

I. Cheng Woh Medical Hall, Penang.

Exterior and interior view of Cheng Woh.

Products sold by Cheng Woh Medical Hall include soups, teas, desserts and chinese herbs.

II. Kean Aun Hoe Medical Hall, Penang.

Front view of Kean Aun Hoe.

They sell soups that were made by their secret recipes. The special Kean Aun Hoe recipe Penang Bak Ku Teh (left) and special Ginseng Soup Base (right).

Kean Aun Hoe Medical Hall sells valuable bird’s nest and herbs as well.VI. Documents

Printed interview questions.

Handwritten notes which were recorded during the interview process.

B. Huah Shan Medical Hall, Subang Jaya.

I. Details of the business

Front view of the shop.

Closer view of the shop.

II. Details of the owner.

The founder and current owner, Mr. Lee.

Above are license of Mr. Lee to run his business (left) and business card of Mr. Lee (right).

Mr. Lee refers to books to widen his knowledge about chinese medicine. III. Products or services provided.

Chrysanthemum is one of the main products as well.

Variety of chinese herbs available at Huah Shan Medical Hall.

They provide services such as cupping therapy and acupuncture.

Mr Lee uses these to provide a better understanding of the sickness to his patient.

IV. Top Competitors

I. Hai-O Enterprise Berhad.

Front view of Hai-O.

They sell various products which are traditional as well as modern one such as traditional chinese pills (left) and Bamboo salt drink (right).

II. Eu Yan Sang.

.Front view of Eu Yan Sang (left) and surrounding area of the shop (right).

Chicken Essence and Bird’s Nest are the main products of Eu Yan Sang. They promote their main products by combining them into gift hampers (right) which are in a lower price.

Above are promotion advertisements of Mother’s day and Father’s day. They have very strong promotion strategies especially during the festival such as Chinese New Year.

III. Herbs N Food Sdn Bhd.

Exterior view of the shop.

Packaged herbs are the main products of Herbs N Food.

They sell special products such as homemade honey drink, homemade chinese herbal jelly (left) and bird’s nest, snacks (right).

V. Documents

Handwritten interview notes that the transcriber used to document the interview process.

Minutes Of Meeting (1)

Date 28th April 2015 (Tuesday)

Time 12.30 PM

Venue LT 7, Taylor’s University Lakeside Campus

Attendees:

Name of group members Tutorial Group Role

Seet Tiong Hong Wednesday, 8am-10am N/A

Tan Ming Howe Wednesday, 8am-10am N/A

Terence Tan Peng Ong Wednesday, 8am-10am N/A

Ling Sue Er Wednesday, 8am-10am N/A

Ooi Yin Ji Thursday, 8am-10am N/A

Lillian Tan Ai Jun Thursday, 8am-10am N/A

Ngieng Tien Yung Thursday, 8am-10am N/A

Daniel Song Thursday, 8am-10am N/A

Minutes:

No. Activity Details

1. Introduction Discussed and made clear about project brief and submission requirements

2. Discussion of business Discussed and decided to choose TCM business

3. Discussion of plan Discussed and set a plan of how to progress (refer to Table 1.1)

4. Delegation of duties Made clear about duties and details of duties and delegated to every member (refer to Table 1.2)

5. End Meeting adjourned

Table 1.1 : Schedule of progression

Date Action

By 31.04.2015 Shops selection and interview appointment of the business at Penang

02.05.2015 Interview of the business at Penang

By 15.05.2015 Shops selection an interview d appointment of the business at Kuala Lumpur

18.05.2015 Interview of the business at Kuala Lumpur

Table 1.2 : Delegation of duties

Name Role

Seet Tiong Hong Leader / Transport / Overall checking of report

Tan Ming Howe Video recording / Report writing

Terence Tan Peng Ong Interviewer / Report writing

Ling Sue Er Interviewer / Research / Presentation slides

Ooi Yin Ji Research / Report Writing / Note-taker

Lillian Tan Ai Jun Research / Report Writing / Note-taker

Ngieng Tien Yung Interviewer / Research / Report writing

Daniel Song Research / Report writing


Date 11th May 2015 (Monday)

Time 11.00 AM

Venue Outside Library, Taylor’s University Lakeside Campus

Details:

Meeting called by Seet Tiong Hong

Notes taken by Ooi Yin Ji

Subject Regarding report writing and shops selection at KL

Attendees :

Name Tutorial Group Role

Seet Tiong Hong Wednesday, 8am-10am Leader / Transport / Overall checking

Tan Ming Howe Wednesday, 8am-10am Video recording / Report writing

Terence Tan Peng Ong Wednesday, 8am-10am Interviewer / Report writing

Ling Sue Er Wednesday, 8am-10am Interviewer / Research

Ooi Yin Ji Thursday, 8am-10am Research / Report Writing / Note-taker

Lillian Tan Ai Jun Thursday, 8am-10am Research / Report Writing / Note-taker

Ngieng Tien Yung Thursday, 8am-10am Interviewer / Research / Report writing

Daniel Song Thursday, 8am-10am Research / Report writing

Minutes :


1. Introduction Brief of current progression

2. Discussion of situation Discussed about current situation and problems addressed (refer to Table 2.1)

3. Delegation of duties in report writing

Discussed about roles of each member in report writing(refer to Table 2.2)


Table 2.1 : Problems addressed

Problems Actions

Rejected by every shops that we had contacted at Klang Valley

Expand shops selection area and contacted more shops

Incomplete information of competitors at Penang

More research to be done

Table 2.2 : Delegation of duties in report writing

Name Role

Seet Tiong Hong Overall checking of report

Tan Ming Howe Artistic cover

Terence Tan Peng Ong References and Bibliography

Ling Sue Er Comparative Analysis

Ooi Yin Ji Appendices and Minutes of meeting

Lillian Tan Ai Jun History of industry and Conclusion

Ngieng Tien Yung Brief bio of business

Daniel Song Recommendations


Date 15th May 2015 (Friday)

Time 3.00 PM

Venue Open air seating area, Level 2, Taylor’s University Lakeside Campus

Details:



Subject Preparation for trip to KL on 18th May 2015

Attendees :










Minutes :



2. Delegation of duties in interview session

Discussed and assigned roles to each member in interview session (refer to Table 3.1)

3. Discussion of execution Discussed about things to bring, transport arrangement, video shooting equipment (refer to Table 3.2)


Table 3.1 : Delegation of duties in interview session

Name Role

Seet Tiong Hong Transport / Interviewer

Tan Ming Howe Video recording

Terence Tan Peng Ong Look for competitors

Ling Sue Er Interviewer

Ooi Yin Ji Look for competitors

Lillian Tan Ai Jun Note-taker

Ngieng Tien Yung Interviewer

Daniel Song Look for competitors

Table 3.2 : Discussion of execution

Items Details

Transport arrangement Seet Tiong Hong will be driving all the group members to KL

Video Shooting Tan Ming Howe will be preparing photography equipment


Date 26th May 2015 (Tuesday)

Time 1.00 PM

Venue LT 7, Taylor’s University Lakeside Campus

Details:



Subject Regarding report writing and presentation slides

Attendees :










Minutes :



2. Discussion of situation Discussed about current situation and problem addressed (refer to Table 4.1)

3. Delegation of duties Discussed and assigned roles to each member in interview session (refer to Table 4.2)


Table 4.1 : Problem addressed

Problems Actions

Report of second business not completed

Every member agreed that the report need to be done by 30th May 2015

Presentation slides not yet prepared Some of the group members start working on it

Table 4.2 : Delegation of duties

Name Role

Seet Tiong Hong Presentation slides (layout)

Tan Ming Howe Report writing (artistic cover)

Terence Tan Peng Ong Report writing (references and bibliography)

Ling Sue Er Presentation slides (layout)

Ooi Yin Ji Report writing (appendices and minutes of meeting)

Lillian Tan Ai Jun Report writing (history of business and conclusion)

Ngieng Tien Yung Report writing (brief bio of business)

Daniel Song Presentation slides (design)

References

1. Kean Aun Hoe is a Chinese medicine shop in Penang. (2015, January 23). Retrieved May

18, 2015, from http://www.keanaunhoe.com/#!address/cejz

2. Mark, & Reese. (2012, September 13). Season with Spice - an Asian Spice Shop:

Spotlight on Spice: A visit to Cheng Woh Medical Hall - a Chinese Herbal Medicine

Shop. Retrieved May 18, 2015, from http://blog.seasonwithspice.com/2012/05/chinese-

alternative-medicinal-herbs.html

3. Reuters, T. (2014, July 27). Three ways small drug stores can beat big-box competitors.

Retrieved May 18, 2015, from

http://www.theglobeandmail.com/report-on-business/small-business/sb-marketing/

customer-service/three-ways-boutique-drug-stores-stay-competitive/article12468461/

4. Tok Keong, T. (2015, February 11). Hai-O Enterprise Berhad. Retrieved May 18, 2015,

from http://www.hai-o.com.my/retailing.php

5. Essays, UK. (November 2013). The Background Of The Company Hai O In Malaysia

Business Essay. Retrieved May 18, 2015 , from

http://www.ukessays.com/essays/business/the-background-of-the-company-hai-o-in-

malaysia-business-essay.php?cref=1

6. Essays, UK. (November 2013). Business Analysis Of Eu Yan Sang International Limited

Business Essay. Retrieved May 18, 2015 , from

http://www.ukessays.com/essays/business/business-analysis-of-eu-yan-sang-

international-limited-business-essay.php?cref=1

7. Soo Sum, C. (2015, May 2). History and Background of Poh Aun Tong Medical Hall

[Personal interview].

8. Lap Man, L. (2015, May 18). History and Background of Huah Shan Medical Hall

[Personal interview].

9. Ong, A. (2014, October 17). GST will be a bitter pill for traditional medicine. FMT

NEWS. Retrieved May 19, 2015, from

http://www.freemalaysiatoday.com/category/nation/2014/10/17/gst-will-be-a-bitter-pill-

for-traditional-medicine/

10. Si Yan, Y. (n.d.). More traditional Chinese medical professionals be introduced to

Malaysia: Experts. Xin Hua, p. 24. Retrieved May 19, 2015, from

http://news.xinhuanet.com/english/2015-02/27/c_134023295.htm

Eng2

Health & Medicine

Transcript of Eng2