Analyzing Strategic Decisions: A Malaysian Clothes Company Case Study

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Added on  2023/04/17

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Case Study
AI Summary
This case study analyzes the decision-making processes within a Malaysian clothes company, exploring potential strategies for growth and profitability. It considers options such as increasing profitability through automation, expanding into new markets via joint ventures, and diversifying the product line with a new air cooler system. The analysis incorporates SWOT, PESTEL, and Porter's Five Forces frameworks to evaluate each option's strengths, weaknesses, opportunities, and threats. Data collection involved focused group interviews to understand consumer preferences and market dynamics. Ultimately, the study suggests that purchasing a clothing business to control production and quality offers the best path forward, enabling the company to leverage skilled staff, optimize location, and maximize profit potential. The conclusion emphasizes the importance of a structured decision-making approach and highlights areas for future research using quantitative methodologies.
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Decision Making and
Solving
A case of Malaysian clothes
Company
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Introduction
The purchase and use of men’s garments has been
investigated by many researchers.
The research reported in this paper takes an integrated
approach to understanding clothing shop decisions, using a
comprehensive model of consumer decision processes as
an aid to collecting and analyzing data. This study
involves qualitative data and must be regarded as
exploratory in nature. However, it is based on an approach
designed to discover major variables important in clothing
decisions which may later be subjected to more
quantitative approaches. The results, though exploratory,
do describe how some consumers make clothing decisions
and may therefore be useful both to management
interested in marketing clothing and to home economists
interested in maximizing satisfaction from the use of
clothing.
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Decision Making
decision-making is regarded as
the cognitive process resulting in the
selection of a belief or a course of action
among several alternative possibilities.
Every decision-making process produces
a final choice; it may or may not prompt
action. Decision-making is the process of
identifying and choosing alternatives
based on the values and preferences of
the decision-maker. It's very important..
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SWOT
Strength
Weaknesses
Opportunity
Threat
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PESTEL
Political
Economy
Social
Technology
Environment
Legal
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PORTER 5 FORCES
Bargaining power of supplier
Bargaining power of customer
Threat of Substitute products
Threat of new entrance
Competitive rivalry within an
industry
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LIST TO DO
Analysis approach which is the best option
for the scenario
Hamzah: Come out with summary table for
all three option base on SWOT,PESTEL & 5
forces. Matrix for choose the best option.
Rahul: To come out with market and
branding information
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OPTION 1
Increase Profitability
No loyalty of employee
Always there is groom to increase
the production
Maintenance of the equipment
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Tax relief on capital allowance for new
machinery purchase
Growth in production to meet the
demand
Work life balance in production
environment
Improve the quality of the product
Increase product loyalty
Compliance with individual country
Safety Law and Environment
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Switching cost on autamation
Product availability
More options avalibale in the
market
Very low due high investment
Able to compete due lower
production cost
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OPTION 2
Existing Brand awareness
delivery issue
Sales will increase and growth
Competition with local brand
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Possible to Joint venture with Local
Player due shareholding rule in the
county
Exposure on foreign currency
Create job oppurtunity in new retails
Threat with online business
More brand awaness created
Tax rule and import duty impact the
pricing of the product
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