GFMA 3083 MULTINATIONAL CORPORATION

PREPARED FOR : DR. MOHD SOBRI BIN DON

JAMALIAH BINTI MOHAMD221675

NUR AMIMAH IZZATI BT APANDI228309

NUR ATHIRAH BT MOHD ADNAN 228363

NADIA SYAKINA BT ZAMANI228384

COMPANY BACKGROUNDBestDealer Rubber Export Co.,Ltd was

incorporated in the year 2009 by Ms. Nadia Syakina. BestDealer Rubber Export Co.,Ltd is a

company based in Kawasan Perindustrian Temasya, Shah Alam, Selangor, Malaysia. In the early stages, BestDealer Rubber Export Co.,Ltd only focuses on domestic market with the aim to provide the natural rubber to manufacturer in Peninsular Malaysia, gain stable growth and

experience in rubber industry.

MISSION

We do want to become the first choice for all the suppliers and trading companies of our rubber products

VISION

Improving the understanding of the rubber product supply chain and making more effective and efficient

CORE COMPETENCIES

BestDealer‘s core competence had been its proficiency in developing market-driven products that is more durable and technologically advanced in safety and fuel efficiency.

TYPE OF PRODUCT

• We prefer to export the natural rubber to Russia. According to Papadopoulus Denis (1988), the choice of market geographic cluster is about determining he best fit for this product in the cluster, and the choose the best country in the group.

FIRM SPECIFIC RESOURCES AND CAPABILITIES

• Natural rubber properties

- flexible at low temperatures

• Natural polyisoprene applications

- continues to be used for many applications rather than synthetic rubber, particularly for dynamic uses, because it works

• Fully supported custom rubber compounding

- formulate and optimize custom elastomeric compounds to achieve the desired field performance, manufacturability and cost for your compounds.

• 10,000 compounding ingredients

- We produce compounded elastomers in strips, slabs, pellets and calendared sheet.

Environmental Analysis of Foreign Country

• Industry-based competition.

• Institutional conditions and transitions.

• Legal/bureaucratic environment (imports, local manufacture, taxation).

• Economic and political climate for foreign business.

• Managerial and labor climate.

Industry-based competition

• Major competitors in the world market for raw natural rubber are Sri Lanka, Indonesia and Thailand.

• All of the three countries will be competing aggressively with each other on quality, consistency, and price factors and will try to tie up the major buyers through long term contracts.

• The remaining rubber producing countries will face tough competition in their narrow low- price segment for non-standardized rubber, unless they upgrade their own production standards.

Institutional conditions and transitions

• The institutional mechanism of the state and central governments for the natural rubber enterprises are inadequate to outlive short-term crisis in the market.

• Has to be significantly beefed up for the small enterprises in the sector to survive.

Legal/bureaucratic environment (imports, local manufacture, taxation)

• Atmospheric pollution from the release of 'greenhouse gases', especially carbon dioxide, from the combustion of fossil fuels and the depletion of forests, especially the tropical rain forests, have been viewed with great concern.

• The potential of natural rubber for sequestering the carbon from the atmosphere to support the ecosystem is widely recognized and adopted for establishing new forests or for reforestation purposes.

• Besides being environmentally friendly, natural rubber trees are a renewable resource where rubber wood can be extracted on a shorter cycle without endangering the environment.

Economic and political climate for foreign business

• Reforms of the financial sector must be in line with the requisite policies to make Malaysia develop the ability to withstand another Asian Financial Crises should there be one.

• In otherwise, the consolidation of the Banking sector as well as the insurance and financial sectors in the country are steps in the right direction

Managerial and labor climate

• Basic of management are, the pioneering adaptation principle. Any industry development has its particular niche.

• Meanwhile, labor action on climate change has proliferated.

• In Russia, there is a growing surge of labor unions engaging and activating their members and their members’ communities around a climate, jobs, and justice in the natural rubber industry.

Methods of market entry

- Entry Strategies.

Direct Exporting

Licensing

Joint Ventures

Piggybacking

Contract Manufacturing

Methods for marketing and distribution

• Analysis on advertising & promotion strategy.

Alternatives method

of advertisin

g

Persuasion• Function

al route• Experien

tial route

Alternatives method

of promotion

Advertising

- Internet- Banner

Marketing and distribution channel

The Distribution Channel

opath or route through which goods travel to get from the place of manufacture to the final users

Business-to-Business (B2B)

ooccurs between a producer and industrial users of raw materials needed for the manufacturer of finished products

Business-to-Customer (B2C)

ooccurs between the producer and the final user

Types of Distribution Channels

oDirect Distribution

Cultural aspects(standardization or modification)

culture is defined as a group of taught responses of different peoples to variable stimulus

As an exporter of rubber to Russia, we should be aware of cultural variables that influence decision making process at individual and organizational level

Product standardization or adaptation policy in a rubber company that deals with Russia has

available four alternatives

The selection of a standardization or adaptation strategy depends on numerous factors