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EN. ZULKEFLI ABDUL RAHMAN

STRATEGIC MANAGEMENT

BM250 5N

MEMBERS

HAI

ADZLEEN SYZARENNA BINTI ROSLI (2016329141)

AIN AFIQAH BINTI ANUAR

(2016343173)

NUR AQILAH BINTI MUHAMAD MURAD (2016584201)

NUR UMAIRAH BINTI MUHAMAD

(2016729833)

BUSINESS BACKGROUND

INTRO

  • Owns by Arieni Ritzal and her family. Located at Kota Kemuning.
  • 6 years ago, she created Gula Bakery a home-based bakery and the morphed into Gula Cakery.
  • A child-friendly café that offers fluffy cakes with over 150 original flavours and freshly prepared hot meals.
  • Their signature cake : Pandan Gula Melaka, Double Chocolate Nutella, filled doughnut, Onde-onde and Nutella swiss roll
  • also offers a variety of meals such as pasta, rice, Asian noodles, burgers and coffee.
  • Opened pop-up store at IOI Putrajaya Mall, which is Gula Petite.

Organizational Chart

Vission & Mission

Vision

We want to create a mind-set among our student and customers that baking is an everyday thing that is fun and easy to do.

Mission

To help our students achieve their baking goals and grow as bakers, by providing a fun, friendly and supportive environment where their feel at home and part of the family.

Objectives

Long-term objective

Short-term objective

i. To expand the business networking to the entire Malaysia.

ii. To produce new products in the market.

iii. Sustainability organization.

iv. To build a professional team.

v. To increase the diversification of cakes.

i. To make sales and maximize profits.

ii. To develop creative marketing strategies.

iii. To build and nurture customers relationship.

iv. To improve productivity.

v. To be one most popular café and bakery in Selangor.

SWOT ANALYSIS

STRENGTH

WEAKNESS

INTERNAL FACTORS

  • Minimal Worker
  • Lack of Manufacturing Capacity
  • Product Lifespan
  • Operation hour is too short
  • Limited Space
  • Various flavour and cakes
  • High quality of product
  • Pricing strategy
  • Systematic financial and audit
  • Promotion strategy

Action on strength

Actions to capitalize on strength

Various Flavours

Quality of the product

  • They produced 20 flavours everyday.
  • Tackle the market by introducing western and local signature taste.
  • For example, Mrs Arieni introduce Watermelon Strawberry Cake and Momofuku Choco cake to tackle foreigner and local people.
  • They produce most smooth and flufffy cakes.
  • They keep improvise their cake recipe so that customers can enjoy it.

Actions on Weaknesses

Actions taken on overcome weaknesses

MINIMAL WORKERS

PRODUCT LIFESPAN

  • The cakes need to be stored in room temperature after it was bake or keep chill in chiller.
  • It ensure the cakes is in good condition.

Overcome:

  • Proper training and instruction
  • Functioning chiller and refrigerator
  • Cafe is usually pack on lunch hour and weekend.
  • They lack bakers and service team.

Overcome:

  • Hired Filipino worker from agency
  • Advertise the vacancy at social media.

EXTERNAL FACTORS

OPPORTUNITIES

THREATS

01

02.

EXTERNAL FACTORS

  • Seasonal Order
  • Price from Other Competitors
  • Taste and Preferences
  • Trends of Products
  • Uncooperative delivery services
  • Location
  • Expansion Of Business
  • Broad Product Advertisement
  • Halal Production
  • Product Diversification Strategy

Actions Taken To Take Advantage Of Opportunities

OPPORTUNITY

1) LOCATION

2) BROAD PRODUCT ADVERTISEMENT

OPPORTUNITIES

LOCATION

BROAD PRODUCT ADVERTISEMENT

  • Gula Cakery has joined plenty television shows and magazine such as GenY magazine and Pa&Ma tv shows.
  • Customers from: Klang, Kuala Lumpur and Melaka.

Gula Cakery location is strategic:

  • easy access from LKSA, ELITE and KESAS.
  • located near to residential area and offices.

They have a supplier advantages:

  • Their supplier nearby to the cafe
  • Low transportation cost

Actions Taken To Overcome Threats

THREATS

1) PRICE FROM OTHER COMPETITORS

2)TASTE, PREFERENCE AND TRENDS

threats

1) Price From Other Competitors

  • Gula Cakery practising premium pricing strategy.
  • They has her own recipe in making her cakes is unique from others competitors.
  • The cake is standardized and suits with priced change.

2) Taste, Preferences and Trends

  • Mrs Arieni Ritzal always engages with their customer in order to keep update on what the customer need and want which can satisfy their taste and preferences.

EFE MATRIX

EFE

PORTER'S 5 FORCE

5 PORTER

Competitive Rivalry

1. Competitive Rivalry

  • They produce in mass production, fully equipped with bigger scale machinery from mixing the flour to moulding the scrumptious cakes and freshly hot cook food.

Cake Jalan Tiung

  • Located in Sek9, Shah Alam.
  • Well-known cafe

Secret Recipe;

  • Well-establish company.
  • Numorous outlet all over Malaysia.
  • Loyal customers
  • Offer low prices compare Gula Cakery.

Threat of new entry

Threat of New Entry

  • Arieni Ritzal, she was aware of a new entrant last year but it did not increase the competition thoroughly.
  • New entrants did not have any barriers to entry but there is a big challenge for them to sustain.

Buyer Power

BUYER POWER

  • Gula Cakery offers premium price in the market.
  • It considered as competitive price.
  • Customers are willing to buy their product even they increased the price.
  • In 2016, the cake are RM14 but in 2017 they increase to RM16.
  • the price is worth it since the cake is big in size and meets with customer satisfaction.

Threat of Substitution

Threat of Substitution

  • More up-to-beat cafe concept to attract youths and family.
  • Customer might change to another product which way cheaper.
  • Low income and student might not buying to the price.
  • Gula Cakery vs Secret Recipe.

Supplier Power

Supplier Power

  • Supplier power is relatively low
  • Gula Cakery is not making a unique product
  • Choose the best supplier which can offer a good price to reduce the cost.

Financial Analysis

ALTERNATIVE STRATEGIES

SO STRATEGY

Alternative Strategies

WO STRATEGY

WT STRATEGY

SO STRATEGY

OPEN MORE OUTLET THAT NEAR TO THE TARGET MARKET

SO

1. Open more outlet in shopping malls

2. Open more outlet that near to residential

and working area

WO STRATEGY

HIRE MORE WORKERS TO INCREASE PRODUCT DIVERSIFICATION

WO

1. 20 Workers is insufficient to do all tasks

2. Quality product can be produce

3. All job will be done efficiently

WT STRATEGY

IMPROVING MANUFACTURING CAPACITY FOR MORE

PRODUCTION

WT

1. More machinery to do the production

2. Increase the quantity of production

3. Easy to fulfill order especially during special festive

WAYS TO IMPLEMENT STRATEGIES

Ways To Implement Strategy

Market Penetration

SME Micro Finance

Ways to control and overcome potential problems, during and after implementation.

4.0

Problem: Overdue In Repaying Debt

During

DURING

SME LOAN SCHEMES:

- TEKUN Nasional Medium Loan Scheme (SPS)

- CIMB BizLoan Scheme

After

AFTER

1. Some of the loan amount is set aside for Contingency and Repayment

2. Invest into Unit Trust as suggested by CIMB Wealth Management Partner (CWA)

3. Return from investment is a form of income

5.0 Creative Abilities

CREATIVE ABILITIES

  • They should separate the cooking class and café to operate.
  • The playground for kids ahould be provided in a room that is transparent which means a glass-room.
  • To reduce unwanted noise.
  • Gula Cakery should redesign the signboard and put a short highlighted sentence as their benchmark.

With Gula Cakery Manager. (Kent Ritzal)

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