Environment Factors

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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.

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