Environment Factors
Environment Factors

Environment Factors

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  • Pages: 5 (2593 words)
  • Published: October 30, 2017
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Perusahaan Otomobil Kedua Berhad (Perodua) For this given assignment, I have chosen Perusahaan Otomobil Kedua Berhad or Second Automobile Manufacturer Limited Corporation as the organization of my choice. This organization is more widely known as Perodua.

Perodua first emerge to the market on 1993 and is Malaysia’s second automobile manufacturer after Proton. Its first car is the Perodua Kancil, launched on 1994. It mainly manufactures small compact cars at very affordable prices and therefore does not really compete with Proton in the same market.It is not only available in the Malaysian market, it is exported to countries such as United Kingdom, Mauritius, Brunei, Sri Lanka, Cyprus, Malta, Egypt, Nigeria, Senegal, Lebanon, Qatar, Saudi Arabia, Syria, Nepal and Fiji in small numbers by local dealers.

Perodua does not actually produce any in house designs or engineering for the main components (i. e engine, transmission). All Perodua cars are badge engineered from Daihatsu. Daihatsu used to own a majority stake in Perodua. In 2004, the Toyota Avanza started being assembled by Perodua in their factory in Rawang for the Malaysian market.

Perodua’s target markets are teenagers, low income earners, small families and lower-middle class consumers. Now with the increase of fuel prices, it had managed to come up with cars that are fuel efficient. Therefore, it targets those who are concern with fuel consumption of the car. In order to reach out to its customers, it has to cope with the business environmental factors that consist of actors and forces outside marketing that affect its ability to develop and maintain successful relationship


with its target customers. Business environment however is divided into two types. They are microenvironment and macroenvironment.

By definition, microenvironment includes forces close to the company that affect its ability to serve its customers and macroenvironment are larger societal forces that affect the microenvironment. First, I will elaborate on the microenvironmental factors. There are six forces altogether. The company’s internal environment, suppliers, intermediaries, customers, competitors and publics are the six forces.

The company itself plays the most important role of all the six. This is because for the marketing people to carry out their marketing plan, they need the approval and support from the top management of Perodua.Then, they will need the financial support to make those plans successful. But, before all of that, they will need the help of the R&D department to do research on customers’ needs and wants before planning how to market the product. As I have said earlier about the price of petrol has escalated, therefore, Perodua came up with Viva, a fuel efficient car to combat those fuel consumption miseries in customers.

After that, as the orders are received, the marketing department will have to pass the number of orders to the manufacturing department. Then, it will also need to correspond with the accounting department on the sales made.Next, we have the second factor which is the customers. Customers are very important to a business.

Without customers there will not be sales and profit. Without that, the company might not be able to survive. What is the use of having a business if there are no

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customers? The customer markets are sort to five types. The business markets are one of it. This market buys a company’s product and uses it to assist in its own production or business.

This market gives big sales to Perodua as they usually buy in bulk. For example, driving schools buy Kancil and Myvi to train their students.The reason why driving schools buy Perodua products is because of its low cost and low maintenance. The main customer market of Perodua is the reseller markets.

Since Perodua is a manufacturing company that manufactures cars, it will need dealers to help sell out the cars. This is where the resellers come into position. Their main role is to buy the freshly assembled cars and sell it to consumer markets at a price that produces profit. Consumer market is one of the customer markets. Consumer markets are people who buy the cars for persona usage.

People like you and I are included into consumer markets.There are also the government markets who buy in bulk. In Malaysia, the government buys Perodua Kancil for polices to use it for go around neighbourhoods to ensure there are no suspicious activity going on. As I have stated earlier, Perodua has exported its cars to many other countries including United Kingdom.

Third, suppliers play a major role in a manufacturing company like Perodua. Perodua gets its supplies from various suppliers. It is best to stay in a good relationship with a supplier. This is so that they deliver their product promptly and on time.If they are not punctual in their delivery then the whole production might be stalled due to missing parts in the cars.

In order to stay in a good relationship, Perodua will have to pay their suppliers on time and stay loyal to the supplier. Alike to suppliers, Perodua also need to stay in a good relationship with their marketing intermediaries like resellers because they are the ones who help Perodua to promote their cars and sell them. The two major resellers of Perodua are Autowangi and Autobinee. Basing on feedbacks from customers, they provide the best customer service and have good efficiency.

This is why Perodua needs to stay in a good relationship with them as they might be able to increase sales and profit for Perodua. In order for Perodua to stay strong in the market, it will need to beat the other manufacturers. Recently, proton launched a new car, Savvy, to compete against the ever popular Myvi and Kelisa of Perodua. Not only that, for the past few years, other brands such as Hyundai launched their compact car, Atos and also iTen, Chevrolet’s Aveo and China’s Chery. All these brands are Perodua’s competitor as they produce the same type of compact cars.Despite all that, Perodua still emerge as the best selling car company in Malaysia.

Why is this so? This is because of the technology they use in cars. Making the cars more fuel efficient and they are also one of the companies that give out the best customer services. Their efficiency in satisfying customers’ needs has made them the best. The last

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