presentation of two businesses

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Presented by Chin Tze Wei, Tee Hing Nian, Siau See Sing, Thun Shao Xun and Yee Algel.

Transcript of presentation of two businesses

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Presented by Chin Tze Wei, Tee Hing Nian, Siau See Sing, Thun Shao Xun and Yee Algel.

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Comparative analysis between Tean Ean Local Products (Penang) and Sin HupHeng Food Trading Co. (Klang)

Local Product Businesses

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Products that you can only find in a particular area.

Includes : food, medicines, snacks, drinks, etc.

Main targeted customers : Residents and tourists in the area.

Acts as souvenirs to the tourists.

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Located in Georgetown

20 workers and 10 staffs

Founded in 1995 by Mr. Teh Tatt Huat

Main Product : Tau Sar Pneah and Bah Kut Teh ingredients

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Located in Klang

10 workers

Founded in 1974 by Mr Lee Xin Hup

Main Product : Biscuit Beh Teh Sor

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Lack of workers

Low supply of products from the supplier

Lack of experiences while they just started their business in the 90s.

There are many of competitors in the market.

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Lack of workers

There are many competitors in the market.

Lack of modern machineries.

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Tean Ean

Ghee Hiang, a 155 years old bakery.

Him Heang, one of the most famous local products shops in Penang.

Sin Hup Heng

Lian Bee Confectionery Sdn Bhd, Founded in 1963, it is very famous in Klang Valley.

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Retail Food Business

Medium private company

Family business

Average financial support

Monopolistic Competition in Penang Less than 100 firms

Low pricing power

Weak barrier to enter the market.

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Retail Food Business

Small private company

Runs by the owner only,

Medium financial supports.

Oligopoly Competition in Klang A few sellers in the market

Strong Pricing power

Mutual dependence between the oligopoly firms

Products sold either as standardized or differentiated

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Promotes & give discounts on their products.

Produces high quality products.

Provides good customer services.

Earn their customers’ faiths.

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Maintains the quality of the products.

Improves the production quality.

Emphasizes on the skills of making the products.

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Tean Ean and Sin Hup Heng both believe that pricing decisions do not affect their businesses’ performances.

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Promotes their company via social sites:

Internet

To introduce their product to whole world

Facebook Twitter

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Does not have any future plans for their business

The owner is 60+ years old, he needs to find a replacement.

However, the owner’s sons are not willing to take over his business.

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Tean Ean should try to promote their products around the world through IT technologies to complement their Facebook website.

They should also try branching out a few shops to make TeanEan an international brand.

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Sin Hup Heng needs to keep up to date with the latest trend in the pastries market by introducing new varieties of pastries to attract more customers.

Sin Hup Heng should consider trying to relocate their shop to a better strategic location to solve the problem of limited parking spaces and air pollution around that area.

A complete makeover to make the place stylish and easy to spot in the eyes of customers

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Managing Director of

Tean Ean

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The owner of Sin

Hup Heng

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