Name Student ID

Lam zhong khee J18026043

E-COMMERCE THEORY
AND APPLICATION
ICT2107
Semester January 2020

ASSIGNMENT ONE
E-COMMERCE BUSINESS PLAN

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Marks

Tutorial Group: DB4

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Table of Content

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1.0: Executive Summary

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2.0: Company Description
Overview

KK SUPER MART is the flagship business of the group. It is one of the fastest growing 24-
hour convenience chain stores in Malaysia. Since its establishment in 2001, KK SUPER
MART has developed into a company with more than 300 outlets in just 17 years, mainly
distributed in Klang Valley, Putrajaya, Cyberjaya, KLIA2, Malacca and Seremban. KK
SUPER MART also has operations in Nepal and India. Our goal is to reach 500 outlets by
2020. Recently, KK SUPER MART opened its first outlet at LRT station.

KK SUPER MART is strategically located in densely populated areas, offering competitive

prices for 9,000 daily necessities (including the KK house brand). Other available services
include bill payment via electronic payment, photo stabilizer and recharge service. The
recharge service of the Touch & Go card here is also free.

Figure 1: KK mart Malaysia’s First Store Opening

On January 16, 2001, this was the beginning of KK Supermart, established by Datuk Seri Dr.
KK Chai and his siblings. KK Supermart's modest beginnings possess the ground floor of the
Kuchai Entrepreneur Park store in Kuala Lumpur.

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Market Offerings

Figure 2: Discount offered by KK mart in every festival.

KK mart is known to be the first convenience store brand in Malaysia to offer many things to
the small market. All 'KK" outlet is stocked with over 9,000 (SKUs) day essential products
including KK's own proprietary brand such as KK Brand Mineral Water. KK mart also offers
other products and services ranging from fresh Inns. vegetables. frozen foods. mobile phone
reloads. photocopying ATM, Touch 'n Go reload and bill payments (KK Group. 2016). The
KK mart recently added courier package drop-off to is service fine. The service is adopted
from "Amazon Locker" concept for online purchase.

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Missions & Values

KK Mart endeavours on accomplishing its missions through the qualities held that will
support the Company's development on going ahead as expressed in the accompanying
explanations.

1.Pursuance in satisfying of our social commitment as a dependable corporate resident

through adherence to proficient morals in every aspect of our professional interactions

2.Establish a solid corporate personality and picture

3.Form an enduring organization with our Business Partners, Associates, Vendors and
Suppliers

4.Forge close solidarity among all staff and over all levels

5.Continue to obtain and enlarge item extend from presumed sellers and providers

6.Continue to create restrictive item extend

7.Maintain seriousness through better worth for-cash for our item extend

8.Instill clients' certainty through polished methodology in our service

Overall, the accompanying company information summarizes the above provisions:

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3.0: Market Analysis

3.1: Industry Overview

KK SuperMart is the leader of the KK group of companies, and its different

organizations include home decor, food and beverages. New markets,
motorsports, boutique and fashion, skin care and personal care manufacturing,
surveillance systems, beauty treatments and education, stadiums, hotels and
even development and construction. Supermart and Superstore Sdn Bhd are
described as a finished supermarket, and we will provide your dear customers
with assistance with carefully and reasonably evaluated items 24 hours a day.
We accept our sincerity and provide a better stage for the development of new
businesses to withstand the breeze of change, thereby achieving business goals
for customers, associates, partner parts suppliers and workers. Let us establish
contact with us to achieve this spirit of cooperation. We are currently looking
for energetic, self-motivated and helpful people to fill expansion opportunities.
3.2: Overall Market Interpretation, Segmentation & Needs

Chart 1: Malaysia Population by State Chart 2: Malaysia Population by Gender & Age

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In terms of geographic segmentation, the population in West Malaysia is highly concentrated
in Selangor (Klang Valley), followed by Johor, Penang, and Melaka as indicated in Chart 1.

According to Chart 2 gives the dispersion of the populace as indicated by age. Data is
incorporated by sex and age bunch as follows: 0-14 years (kids), 15-24 years (early working
age), 25-54 years (prime working age), 55-64 years (develop working age), 65 years and over
(old). The age structure of a populace influences a country's key financial issues. Nations
with youthful populaces (high rate under age 15) need to put more in schools, while nations
with more established populaces (high rate over the age of 65) need to put more in the
wellbeing area. The age structure can likewise be utilized to help anticipate expected policy
centred issues. For instance, the fast development of a youthful grown-up populace incapable
to discover business can prompt distress.

In addition, Malaysians have a high preference and ability to adapt to international exposures
(such as lifestyle and objects). In any case, they usually invest a lot of energy to measure the
energy associated with progress, rather than chase and increase physical exposure. Therefore,
this shows that their characteristics lack real dynamics, can obtain data, rely on online
surveys and evaluations, and have a high awareness of different brands in the market, making
it possible to try new brands or new brands, or to follow conventional and well-known
brands. Or encounter.

3.3: Target Market Segmentation Strategy

As KK mart is quite old in the Malaysia market along with the fact that many categories are
among the products offered to customers. KK mart strategically targets to serve highly
populated and accessible regions from the Global Positioning System (GPS) to carry out its
business. As a major aspect of the KK mart development plan, wandering business abroad
will go pair with is residential extension plan. The majority of the outlets are as of now
situated at the previous expressed area in the close to purposeless. The chain will be extended
to different conditions of Malaysia starting at 2016. There are seven abroad outlets. and all
are situated in Nepal (KK Group. 2016). The stronger is hopeful about the fate of c-store idea
as the interest is consistently there. Notwithstanding the current financial circumstance or
some other factor. individuals are as yet purchasing their day by day necessities (The Star.
2009). This severs is additionally bolstered by the DBS Research (2015) where there are
noteworthy development openings especially in ASEAN areas. Nations like Philippines and
Indonesia have better potential for c-store administrators to develop their business.

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 Segmentation Characteristics
Geographic  Open the store in high population
places example: Subang Jaya ss15,
sri petaling and kota damansara
Demographic  KK mart is a store that aiming every
age and race because it selling daily
supplies.
Behaviour  organization will set up an internet
business stage for shoppers to
purchase from the store without the
problem of going out as there were
perceptible changes in buyer's
personal conduct standard that
emerged because of the pandemic.
Because of the pandemic, clients'
purchasing conduct has changed
from disconnected to on the web;
KK Super Mart is amidst building
up a web based business stage to
empower clients to purchase online
without the need to go out.
Psychographic  Enjoy shopping using e wallet
instead of cash.
 Customer can find everything they
want inside the store.

99 Speedmart, 'The King of Mini Marts" was set

up in 1987 by a wheelchair-bound man named
3.4: Competitors Overview Lee Thiam Wah It began as a conventional
"mother and pop" various Hart solidified Pasar
99 SPEED MART SDN BHD Raya Hiap Hoe in Tepi Sungai, Klang In 1992. the
primary store with the name '99" was opened in
Klang Utama known as Pasar Mini 99. From that
point forward. the originator has extended the
store to eight different outlets it Klang
dependent on Chill store position. In 2000. the 9
brand was renamed to "99 Speedmart" with
increasingly forceful techniques to infiltrate the
retail piece of the overall industry.
Figure 3: 99speedmart store

7-Eleven Malaysia Holdings Bhd

The initial 7-Eleven store in Malaysia

opened on 9 October 1984 in Jalan
Bukit Bintang, Kuala Lumpur and today
is as yet in activity. 7-Eleven Malaysia
praised its 25th Anniversary on 6 April
2009, it likewise denoted an
achievement opening of the 1,000th
store in Bandar Sunway.

Figure 4: 7 eleven store

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3.5: Google Trend Analysis – Competitors

The comparison table above describes the number of online consumer searches on Google
conducted by KK mart, 99 speedmart, and 7-eleven in the past 5 years (July 2015 to July
2020). With the opening of KK mart in Malaysia on January 16, 2001, although KK mart has
not achieved good results in the past 5 years. But in 2001 KK mart was a favourite
supermarket for everyone. Over time, as many of the same markets have begun to increase,
competition has become more intense, leading to the current situation. From a statistical point
of view, it is almost impossible for KK mart to surpass 99 speedmart and 7-eleven in the
future.

According to statistics, in 2015, 99speedmart was indistinguishable from 7-eleven. But

because 7-eleven is open 24 hours, 99 speedmart is not, so in the long run, 7-eleven is
definitely more profitable than 99 speedmart. Also because East Malaysia does not have 99
speedmart, the profit is not comparable to 7-eleven.

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