Industry_Analysis_of_Passion_Fruit_Business_in_Malaysia

Industry analysis of passion fruit business in Malaysia Political Political factors consist of government policy, laws and regulation regarding to business that may form some restrictions to the implementation of the business. The government policy including the tax policy, subsidy policy, however the related laws will be business laws, employment laws and others. The 10th Malaysia plan had mentioned that the government will focus on 12 National Key Economic Areas (NKEAs) in order to boost up the economy and attain the vision 2020. Agriculture will be one of the 12 economic sectors within the NKEAs which will receive the priority support from government such as funding and subsidy. Therefore, farming of passion fruit is considered as a type of agriculture which can be said as cater for the government trend. Economic Economic factor includes economic growth, interest rate, consumer income and others. These factors have major impact on the cost and decision making of running a business. The economics of Malaysia is recovering after the recession of year of 2008 and has a slowly but continuously growth during this few years. A positive economic growth will be ensuring the high consumption power of consumers. Therefore, an introduction of new variety of fruit, passion fruit during this period is considered as a suitable strategy. According to the economic census, we found out that the Gross Domestic Product (GDP) of Malaysia in 2010 will be RM 741.856 billion. The real GDP growth of Malaysia for 2010 is 7.2% which is much better than -1.7% on 2009 and this show that the Malaysia economic is moving toward a positive condition. Social Social factors can be classified as two major part which are demographic and culture. As our company targeted market will be the Kuala Lumpur (KL) consumers, we have carried out the market analysis on this city before we started our business. KL is the capital and the largest city in Malaysia by population. It population is estimated as 1.4 million during 2010. This huge population provides a great potential market for our new established industry-passion fruit. For the culture aspect, we will focus on people’s health consciousness. As we know, the healthy lifestyle is becoming a major trend among the people especially those who live in city during this few years. Therefore, an introduction of passion fruit, a healthy fruit that can help in people’s “healthy lifestyle plan” is seemed to be welcomed by KL consumers. Technology Technology refers to inventions or innovations from applied science or engineering research. By the help of technology, an entrepreneur can also achieve an economic scale by reducing cost and improving productivity. Our company business, farming of passion fruit is a type of agricultural business. The technology used will be focusing on automation, increase productivity, pest control. By carrying out automation in our farm, we can minimize the human force in order to reduce the labour cost.