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SWOT Analysis

Strength
First of all, TGV provides generous seating gradients. The seats slope is very slanting that the
row in front will not block those behind them no matter how tall the person is. For example,
in Kinta Citys TGV, the heights between rows are in the right measure. However, in Ipohs
GSC, the heights margins of seats between rows are too small. If someone sit up straight,
people from behind cannot really see the movie. The head will block the others view.
Second, TGV has sophisticated digital sound and projection system. TGV uses high
technology that is THX (Tomlinson Holman eXperiment ). This is a set of technical standards
created by Lucasfilm to ensure optimum sound and visual performance. For instance, the
THX halls that certified by TGV Suria KLCC had been exceeded the strict standards of
Lucasfilm, in the most critical cinema sound and projection standards that in existence today.
A movie soundtrack envelops you in the reality of the story so that you hear every creak in
the haunted house, the lonely whistle of the wind on an icy plain, or the teeming clamor of
the deepest jungle. From what seems to be every angle in the theatre, these sounds engage
you, even guide you through the story as it unfolds.
Next, TGV equipped by a unique feature which is the MEGASCREEN. This is a spanking 20
meter wall-to-wall screen. The screen is presently the widest wall-to-wall facility in Malaysia
(within Cineplex industry).
Furthermore, central computerized ticketing system with integrated tele-reservation
hotlines, telephone booking and online booking are available in TGV. These services bring
more convenience to the customers as they do not need to buy tickets personally in TGV
branches. This system helps the customers to save time and they do not have to queue up
for a long line.
There are also facilities for the handicapped including special wheelchair lifts. This brings
convenience to those disabled person who always come to cinema.

Besides that, TGV has strong financial resources. This is because TGV is a product of merger
between TGV, GHC and GEMS. Thus, the financial resources come from these three
company are strong enough to do a network expansion plan.
Weaknesses
TGV only focus on market which located in big cities and its branches do not scatter all over
Malaysia. For example, there are TGV Cinemas in Petaling Jaya, Klang, Johor Bharu and so on.
These cinemas are located in big cities. TGV neglected the market in small town.
Furthermore, TGV do not have e-payment ticketing. It provides online booking services only,
customers need to pay and redeem the tickets booked 45 minutes before the movies start in
TGV branches. This will cause inconvenience to customers because they have to come early
to take the ticket and wait for at least 45 minutes.
Opportunity
Demographic forces pose opportunities to the company. From the angle of location, certain
places do not have cinema such as Kampar, Teluk Intan and Kuala Kangsar, thus this is an
opportunity for TGV to set up new branches in these places.
From the angle of races, Malaysia is a multiracial country. Therefore, there are a lots of
festivals throughout the year. This is an opportunities for TGV to introduce festival-related
movies. For instance, TGV can introduce the movies that are related to Chinese New Year
during the festival.
In addition, technology today becomes more advance. TGV can provide more realistic
cinema-going experiences by improving the sound and projection system.
The trend of many youngsters likes to get out of the house and stick with their friends
creates an opportunity to TGV. This is due to the trend provides greater demand for social
support product such as movie.

Threat
Existence of competitors poses threat to TGV. There are a few companies compete
with TGV in film exhibition industry such as Cathay Cineplex, MBO Cinemas, Golden Screen
Cinemas( GSC) and Star Cineplex. GSC is the main competitor of TGV because before TGV
was established, GSC already exists in the market and has more branches than TGV.
Our country is currently facing economy recession. This affects consumer buying power and
spending patterns. Lesser people will spend money on watch movie in cinema because this
activity is considered as luxury at that moment. Only customers from upper class will not be
affected by economic recession.
Recently, the numbers of quality movies produced by Hollywood and Hong Kong are getting
lesser and lesser. This will definitely leave an impact on ticket sales.
In addition, certain state governments such as Kelantan banned cinema activities in their
state because they assume that cinema is against Islamic rules. Kelantan government
believes cinema will lead to social problems.
Besides, government policy that filters out certain parts of the movie that contain aggressive,
pornographic scene poses threat to ticket sales. Governments action affects the fluency and
flowing of the movie, thus reduces the interesting part of the movie. This causes many
customers stay away from cinema.