![]() Besides, internal competition was caused by the reason of selling similar products in the market. However, it was a challenge and tough for Poh Kong to maintain each branch in similar environment and caused low customer satisfaction. These stores are used to meet the needs of different targets markets (PressReader, 2016). Poh Kong has differentiated their outlet into Diamond & Gold outlets and retail concept stores, for instance, Diamond Boutique, Gold Boutique, Jade Gallery and Oro Bianco. Low customer satisfaction is one of the weaknesses. Poh Kong are selling their products through online platform like Lazada and 11Street however they will be a limited selection for consumer from East Malaysia (Poh Kong, 2017). Consumers from East Malaysia unable to purchase any jewellery from Poh Kong due to there’s yet to be any outlets in Sabah and Sarawak, expansion of Poh Kong outlets in East Malaysia was planned and estimated to be happen in 2017. Besides, all of the 106 outlets are located at 10 states from peninsular Malaysia. Poh Kong only covers Malaysia regions, they didn’t export their products as a way to expand their business (Bernama, 2013). Large cash reserves make them have advantage in long term investments. They have the flexibility in financial and lower interest rate and liquidity risk as result from fail to loan repayment. Poh Kong group revenue and pre-tax profit in year 2015 are higher than 2014 while margins have been improved by cost control initiatives (Poh Kong, 2015). Besides, they able to compete with other international brands and has the opportunity to expand its business to abroad (Najumudeen, 2012).įurthermore, Poh Kong has a strong financial position. Partnership with Moraglione, a well-known jewellery brand from Italy has increased Poh Kong’s product variety and jewellery types. Poh Kong’s outlet showroom are much higher than its competitor, for instance, Tomei (52 retail outlets), Wah Chan (42 outlets), and Habib (more than 30 outlets). As market leader, Poh Kong has a strong reputation, market position and advantage in expanding their business as stated in annual report, Poh Kong has total of 106 outlets across 9 states in year 2014 (PohKong, n.d.). Poh Kong Holdings Berhad was the largest of gold jewelleries retailer in Malaysia. In this study, we are aiming to have more understanding on how a company could deal with the challenge faced by using strategic management, how strategic management could actually help to analyze issues more comprehensively and conducting various analyses and formulation of strategic plans. ![]() ![]() Besides, the executive chairman and group managing director, Datuk Choon Yee Seiong has claimed that year 2016 is challenging for gold jewelry industry due to the fluctuation of dropping of global gold price (Toh, 2016) and reduced demand for jewellery and gold related investment products (Poh Kong, 2016). are parts of the CSR from Poh Kong (TheStar, 2013).Īccording to annual report of year 2015, we observed that Poh Kong has a big drop in earnings before tax since year 2012, but it has successfully recover after year 2014. For instance, national cancer survivals day, charity golf, water vending machine, Malaysia AEON Foundation (MAF) fund raising and etc. ![]() Besides, Poh Kong truly understands their business is strongly reliance on brand name and brand reputation, therefore, Corporate Social Responsibility also a main concern of Poh Kong. Other than that, it also awarded the Malaysia’s Top 10 Retailers in the Asia, Putra Brand Award and Creative ASEAN Jewellery Design Award (Cleffairy, 2015). Poh Kong reaffirmed by RAM Ratings Services Berhad as largest jewellery retail chain store in Malaysia in 2014. In 2011, Poh Kong reached its 100 th outlet in Peninsula Malaysia. Besides, Poh Kong was the licensee for Disney Collection and sole distributor for famous brand such as Luca Carati, Schoeffel, Hemera Diamond and Angel Diamond (Gal, 2016). Furthermore, in targeting different customers range, they had several in house brands such as Anggun, Tranz, Happy Love, and The Art of Auspicious. Nowadays, Poh Kong was the leader of jewelry industry because of its tremendous growth and their core business philosophies, which are Quality, Value, Trust, and Choice. Besides, since 2004, Poh Kong has been listed in Bursa Malaysia, yet they owned a manufacturing plant in Shah Alam KL (PohKong, n.d.). Poh Kong, is a jewelry company founded by Cheong Teck Chong and Choon Yee Seiong which established first outlet in year 1976 located in Petaling Jaya.
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