Strategic Management of Poh Kong consisted of the company's background, financial performance, swot and pestel analysis of Poh Kong. Besides, it is an attractive slide because it comes out with the video which can explain the uniqueness of Poh Kong's product.

1. FATIN SYAZWANI
SAFIYUDDIN
NOOR FAEZAH
BASARY
812878
812880
NORDIANA JAMRY
813482

2. POH KONG

3. INTRODUCTION
 HISTORY
 FINANCIAL AND NONFINANCIAL
PERFORMANCE

4. INTRODUCTION
Poh Kong Holdings Berhad:
an investment holding company that
provides management services while the
core activities of its subsidiaries are
manufacturers, dealers, suppliers, retailers
and exporter of jewelry, precious stones and
gold ornaments.

5. INTRODUCTION
• Poh Kong was established in 1976.
• Poh Kong has been listed on Bursa Malaysia since 2004.
• It has own manufacturing facility in Shah Alam and more than 100
outlets in Malaysia subsequently lead Poh Kong to be Malaysia’s
largest jewelry retail chain store.

6. HISTORY
1976
1982
19831992
• Poh Kong Jewellers was established on March 26.
• First Branch in SS2, Petaling Jaya
• Opened 13 branches
1993
• Poh Kong upgraded all outlets with fully computerised point-of-sales and
inventory systems.
1995
• Poh Kong was made the exclusive distributor of Disney characters in gold in
Malaysia.
1996
• Poh Kong won a gold medal for the “Golden Design Awards 1996” which
organized by the World Gold Council Europe in Italy.

7. HISTORY
2001
• the modern manufacturing facility was established in Shah Alam and then Poh
Kong launched its first in-house-brand, Tranz collaborated with World Gold Council.
2004
• Poh Kong was listed on the main board of Bursa Malaysia on March 9. Then, Poh
Kong opened its first Poh Kong Gallery which a stylish Italian Classic VIP lounge.
Poh Kong already reached 60th outlet in Peninsular Malaysia.
2007
2009
• Poh Kong has been appointed by Schoeffel in Southeast Asia as sole distributor.
Then, Poh Kong group was participated in the International Trade Malaysia exhibition
that organized by Matrade and supported by the Ministry of International Trade and
Industry.
• Poh Kong and Luca Carati, one of Italy’s oldest and most prestigious jewellers
launched the brand in Malaysia. Poh Kong is commemorated as the sole distributor
in Malaysia.

8. HISTORY
2010
2011
2012
2013
• Poh Kong was participated in Shanghai World Expo
• Poh Kong reached 100th outlet in Peninsular Malaysia.
• “Tranz, inspired by Design: Unveiling the Marque of the Future” was awarded the Event for Press/Media in the Marketing
Events Awards 2012.
• Poh Kong announced its partnership with Moraglione 1922 of Italy, one of Europe’s finest and notable jewellers.
• Poh Kong had embarked on a European theme road show, “World of Luxury” to showcase MORAGLIONE 1922’s latest
collection along with designs from LUCA CARATI from Italy, Schoeffel pearl from Germany, ANGEL DIAMOND for the first time
at signature mall Pavilion Kuala Lumpur.
• Poh Kong launched HEMERA, the world’s most brilliant diamond with 101 facets.

9. FINANCIAL PERFORMANCE

10. FINANCIAL PERFORMANCE

11. NON-FINANCIAL PERFORMANCE
PRODUCTS
• COLLECTIONS :
Gold Jewelry, White & Rose
Gold, Diamond, Pearl, Jade, Fine Jewelry, Bar &
Coin, Personalized (name etc.)
• JEWELLERY:
Pendant, Necklace, Earrings, Ring, Couple
Ring, Bracelet/bangle.

12. NON-FINANCIAL PERFORMANCE
PRODUCTS:
• BOMBAY STYLE
• HEMERA

13. NON-FINANCIAL PERFORMANCE
PRODUCTS
• ANGGUN COLLECTIONS

14. STRATEGIC
ORIENTATION
 FUTURE PLANS AND
STRATEGIES
 CORPORATE SOCIAL
RESPONSIBILITY

15. STRATEGIC ORIENTATION
FUTURE PLANS AND STRATEGIC
Leveraging On More Outlets
The Group plans to expand its retail network by establishing wholly or partly owned outlets
throughout Malaysia.
Poh Kong A Franchisor
Poh Kong plans to franchise its total retailing concept to potential entrepreneurs locally.
This venture allows Poh Kong to unlock the value of its brand and retail experience. The
new franchised outlets will carry Poh Kong's brand name and potential locations. This new
stream of income will boost Poh Kong earnings.
Expansion Of Product Range
The Company has decided to produce new range of platinum jewelry targeting younger
age group consumers. The new range will complement Poh Kong's existing gold jewelry
and meet the taste & needs of more consumers. New machineries and equipment will be
acquired to support the product expansion.
To Australia and China
Poh Kong has a vision to expand its retail operations overseas with Australia and China as
its initial target markets. A feasibility study will be carried out to assess the viability of
setting up gold jewelry retail outlets, consumer taste and preference in the new market.
Poh Kong's vision to spread its wings beyond local shores will enhance earnings.

16. STRATEGIC ORIENTATION

17. STRATEGIC ORIENTATION

18. 5 PORTERS’
ANALYSIS

19. 5 PORTERS’ ANALYSIS
No.
Porters’ Analysis
Description
1
Bargaining power of buyers
(LOW)
The bargaining power of buyers
comprises one of the five forces that
determine the intensity of competition
in an industry. The others are barriers to
entry, the threat of substitutes, the
bargaining power of suppliers and
industry rivalry.
The power of an industry’s important
buyer groups depends upon:
•
characteristics related to its
market situation
•
the relative importance of its
purchases from the industry as
compared with its overall business

20. 5 PORTERS’ ANALYSIS
No.
Porters’ Analysis
Description
2
Threat of new entrants
(HIGH)
Retailers and Manufacturers
Poh Kong faces intense competitive pressure from
3000 local gold jewellery retail outlets and import
products. Approximately 1500 of gold jewellery
retailers are members of Federation of Goldsmith
and Jewellers Association of Malaysia. The Group
also faces moderate competition from
manufacturers of gold jewellery. There are 48
licensed jewellery manufacturers of which only 23
are currently in production.
Some of the key players that pose some threat to
Poh Kong are:
a) Habib Corporation Berhad,
b) Degem Berhad,
c) OE Fine Jewellery S/B,
d) Wah Chan Gold & Jewellery Corporation S/B,
e) Selberan Jewellery S/B and
f) Tomei Gold & Jewellery Holding (M) S/B.

21. 5 PORTERS’ ANALYSIS
No.
Porters’ Analysis
Description
3
Threat of substitute
products
(HIGH)
Substitute Products
Poh Kong also faces competition from substitutes such
as jewellery made of silver, platinum, diamonds and
pearls. In addition costume or imitation jewellery have
provided consumers with an alternative to look good
but at a cheaper cost. The threat of substitutes is
mitigated as gold has inherent investment value,
which is further reinforced by industry buy-back
policy.
Gold jewellery retail outlets would purchase old
jewellery at prevailing gold prices and this provides an
avenue for consumers to upgrade or change their
existing jewellery sets.

22. 5 PORTERS’ ANALYSIS
No.
Porters’ Analysis
Description
4
Bargaining power of
suppliers
(LOW)
The bargaining power of suppliers comprises one of the five
forces that determine the intensity of competition in an
industry. The others are barriers to entry, industry rivalry, the
threat of substitutes and the bargaining power of buyers.
Power of supplier group
The following conditions indicate that a supplier group is
powerful:
•
it is dominated by a small number of companies and
is more concentrated than the industry to which it sells
•
it is not required to contend with substitute
products for sale in the industry
•
the industry is not one of the supplier’s important
customers
•
its products are an important part of the buyer’s
business
•
its products are differentiated or there are built-up
switching costs
•
it poses a definite threat of forward integration

23. 5 PORTERS’ ANALYSIS
No.
Porters’ Analysis
Description
5
Rivalry among present
competitors
(HIGH)
Rivalry among current competitors:
Rivalry refers to the competitive struggle for market
share between firms in an industry. Extreme rivalry
among established firms poses a strong threat to
profitability.
Factors that increase competitive rivalry among
existing firms include:
 Large Number of Firms
 Slowed Industry Growth
 High Fixed Costs or High Storage Costs
 High Exit Barriers

24. SWOT AND
TOWS MATRIX

25. Strength
Weaknesses
1)
Poh Kong’s stand alone credit profiles
2) Liquidity profile is strong
3) Largest retailer of Gold jewelleries in
Malaysia
4) Finest quality in jewellery, be it
pearls, jade, gold, diamonds or gem
stones.
1) Management Conflict
SWOT
Opportunity
Threat
1) Yellow gold is expected to remain
resilient
2) New product design and enhanced
customer services
3) Shopping malls and retailers have
geared up for the Malaysia Year End
Sale (MYES) campaign
1) Exposed to market competition
2) Customer sensitivity to gold price
movements
3) Raising cost of material
4) Government regulation

26. SWOT ANALYSIS
Strength
Video: Uniqueness of love cube box

27. SWOT ANALYSIS
Decreasing in Profit Margin

28. SWOT ANALYSIS
opportunity

29. SWOT ANALYSIS
opportunity

30. SWOT ANALYSIS
threat
Goldcrest Pavilion Sdn Bhd which used diversification of strategy when offers and
give highly concentration towards marketing strategy in order to attract the customers.
Gold distributor Goldcrest Pavilion Sdn Bhd is an organization that does business with
quality jewelry for every 999 purity gold jewelery produced. This product is a variety of
jewelry from gold sold in stores plain gold or Public Gold brand, Poh Kong, Wah Chan
and others who also pioneered the jewelry business but not the purity of gold jewelery
with 999. That's a marketing strategy developed and used by the Company's
distributors Goldcrest Pavilion Sdn Bhd gold.

31. SWOT ANALYSIS
threat
Retailers and Manufacturers
Substitute Product
Poh Kong faces intense competitive pressure from 3000 local gold
Poh Kong also faces competition from substitutes such as
jewellery retail outlets and import products. Approximately 1500 of
jewellery made of silver, platinum, diamonds and pearls.
gold jewellery retailers are members of Federation of Goldsmith and
In addition costume or imitation jewellery have provided
Jewellers Association of Malaysia. The Group also faces moderate
competition from manufacturers of gold jewellery. There are 48
consumers with an alternative to look good but at a
licensed jewellery manufacturers of which only 23 are currently in
cheaper cost. The threat of substitutes is mitigated as gold
production.
has inherent investment value, which is further reinforced
Some of the key players that pose some threat to Poh Kong are:
by industry buy-back policy.
•
a) Habib Corporation Berhad,
•
b) Degem Berhad,
•
c) OE Fine Jewellery S/B,
•
d) Wah Chan Gold & Jewellery Corporation S/B,
at prevailing gold prices and this provides an avenue for
•
e) Selberan Jewellery S/B and
consumers to upgrade or change their existing jewellery
•
f) Tomei Gold & Jewellery Holding (M) S/B.
sets.
Gold jewellery retail outlets would purchase old jewellery

32. TOWS
MATRIX

33. SO
WO
S1,S2,S3,S4 & O2,O3
- PRODUCT DEVELOPMENT STRATEGY
- The group actively evaluates various
initiatives and opportunities to attract new
customers through the introduction of new
product designs and enhanced customer
service,besides from the campaign of MYES
aimed at promoting domestic and tourist
shopping regionally, would benefit the
Group in jewellery retail sales since Poh
Kong have the strengths of S1,S2,S3 and S4.
W1 & O2
- R&D STRATEGY
- During the economy recession,people still
buy a yellow gold since the yellow gold
is universally recognised value and
Malaysians’ view of yellow gold
jewellery as a customary gift on special
occasions, even though the price is
increase, but the potential of people buy
a yellow gold are higher because of
special occasions.
ST
WT
S3 & T1
S1,S2 & T2,T3,T4
- MARKET EXPANSION STRATEGY
W1 & T1,T2,T3,T4
- NETWORKING STRATEGY
-With the reputation and strong brand
name of Poh Kong, can avoid and
overcomes the weaknesses and threats of
Poh Kong.

34. PEST
ANALYSIS

35. PEST ANALYSIS
POLITIC
Expects the price of gold to be on an upward trend in 2012, fuelled by
demand for the precious metal as investment. Movement of gold prices
would depend on the political stability in Iran, where Poh Kong gets its
supply. Poh Kong’s AGM expect that if war starts in Iran, gold prices may
increase by 30%. In 2011, gold hit above US$1,900 per ounce but has
since fallen to US$1,620. Demand for gold globally is still on upward trend.
The company are still seeing double-digit growth globally on gold bullion
and bars, so there is still a potential for the company to move forward.
Besides that, the high price of gold would bring higher margins for Poh
Kong as the cost is passed down to retail customers.

36. PEST ANALYSIS
POLITIC
http://english.astroawani.com/news/show/poh-kong-has-no-plans-to-expand-abroad-4394

37. PEST ANALYSIS
economy

38. PEST ANALYSIS
SOCIAL

39. PEST ANALYSIS
TECHNOLOGY
• Upgraded all outlets with
fully computerized point-ofsales and inventory system
• Fan page in Facebook

40. Always
Remember…
Jewelry are a girl’s best friend!