Hup Seng Industry Analysis

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(a) Background information on the companies. (Describe your companies’ profile and core business activities.) In this assignment, the 2 companies selected in a same industry are Hup Seng Industries BHD. and Apollo Food Holdings BHD. Both corporations are classified in the Consumer Products sector on Bursa Malaysia. Hup Seng Industries BHD. (HSIB) is a Malaysia-based investment holding corporation established in 1958 along with its subsidiaries involved in manufacturing and trading of biscuits and confectionery food items. The company’s headquarters is registered in Batu Pahat, Johor and is listed on Bursa Malaysia. Its market spans across Asia, Africa, Oceania, Europe and North America. It divided its business in the biscuit manufacturing …show more content…

Porter. This analysis is used to measure the level of competition of the company in same industry. Abundant of economic studies stated that different industries can survive at different profitability level, the difference is explained by industry structure ("Porter 's Five Forces," n.d.). In other words, this model identifies industry structure based on the varied profit margins between industries, to help the company determines corporate strategy ("Industry Analysis | Porter’s Five Forces | Competition," 2014). The objective in this analysis is to help managers determine profitability and attractiveness of an industry (Investopedia, n.d.). The increasing level of competition decrease the profitability. Moreover, this tool provides a foundation to formulate strategy and recognize the competitive landscape in the same industry of the company ("Industry Analysis | Porter’s Five Forces | Competition," …show more content…

Hup Seng Industries BHD. implements centralization as the planning decision making power lies with top management. The Board of directors take the responsibility to plan the business. Y. Bhg. Dato’ Keh (Kerk) Chu Koh, Chairman of the Company, develop business strategic and plan the production development. Kerk Chiew Siong, Non-Executive Vice Chairman of the company, plans strategies for market development of Group’s products. Kuo Choo Song was appointed as Managing Director of the company responsible to plan the Group’s business development programs and represent the group at numerous outsider functions. Teo Lee Teck, Non-Independent Non-Executive Director of the Company, supervise the product manufacturing, quality, and hygienic assurance of the company. Kerk Kar Han, Non-Independent Non-Executive Director of the Company, is responsible for maintaining and improving the organizational administration system, and company performances (Hup Seng Industries BHD.

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