Csr of Dutch Lady Milk Industries Berhad

Topics: Milk / Pages: 19 (4723 words) / Published: Jul 11th, 2013
Nature/ Background of Dutch Lady Milk Industries Berhad
Dutch Lady Milk Industries Berhad ("Dutch Lady Malaysia") is a branded manufacturer of dairy products in Malaysia. It was incorporated in 1963 as a manufacturer of sweetened condensed milk called Pacific Milk Industries (Malaya) Sdn Bhd. Dutch Lady Berhad then converted into a public company and became the first milk company in Malaysia listed on the Bursa Malaysia in 1968. Dutch Lady Berhad is a subsidiary company of the Royal FrieslandCampina in Netherlands, one of the world’s largest dairy companies. The second largest shareholder of the company is Permodalan Nasional Berhad. Dutch Lady Berhad obtains benefits from its holding company by obtaining global procurement services and innovation activities as a form of support. Dutch Lady Berhad is well known for its dairy product and beverage brands such as Dutch Lady, Friso, Frisolac, Completa, Omela and Joy. The product line of the company include product for infants, growing-up milk, condensed milk, pasteurised milk, cultured milk, yogurt, powder milk, fruit juice drinks and etc. Dutch Lady Berhad was the first company in the world to introduce the growing up milk formula. These products include Dutch Lady 123, Dutch Lady 456 and Dutch Lady 6+ (Colaco, n.d.). Main competitors of Dutch Lady Berhad are Nestle (M) Berhad and Fonterra Brands (M) Sendirian Berhad as they also produce similar dairy products. Nestle (M) Berhad became a threat when it tried to extend its production capacity by investing more money, and thus has a possibility of affecting Dutch Lady Berhad’s revenue. Apart from this, Fonterra Brands (M) Sendirian Berhad focuses on the growth of its high-performing brands such as Anmum, Fernleaf and Anlene in order to raise innovation and marketing investments of such brands (Elaine, 2008). On the bright side, Dutch Lady Berhad has a strong position and high 1

reputation to conquer its competitors. It is recognised as one of the top 30 of the most

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