Introduction
Samsu Samsung ng made made its its first first inve investm stmen entt in Malay Malaysia sia in 1989 1989,, duri during ng the the wave wave of relocations of Japanese and Korean manufacturing companies after the Plaza ccord 198! which "rought a"out the dramatic appreciation in their currencies# ccording to Samsung, Malaysia is a strategic location as a manufacturing e$port "ase as well as a mar%et for high&value technological products '(a"our )esource *entre +-.1-/0# Samsung Malaysia lectronics 'SM0 Sdn#2hd# engages in distri"ution of consumer electro electronics nics## 3ts produc products ts includ includee mo"ile mo"ile devices devices,, televis television ion,, camera camera and lenses, lenses, information technology products, home appliances, and memory storage devices# 3t was founded in +/ and is "ased in Kuala (umpur, Malaysia# Samsung Malaysia lectronics 'SM0 Sdn#2hd# operates as a su"sidiary of Samsung lectronics *o# (td# Samsung has invested mainly in consumer electronics in Malaysia# 4hese investments are made mainly "y three of its glo"al su"sidiaries. Samsung lectronics *o# (td#, Samsung S53 *o# (td#, and Samsung *orning Precision Materials *o# (td# Samsung lectronics are a leading glo"al manufacturer of digital 46s, memory chips, mo"ile phones and 474&(*5s# 474&(*5s# 4he core "usiness of Samsung S53 is in display and lithium ion "atteri "atteries, es, while while Samsun Samsung g *ornin *orning g speciali specializes zes in the produc productio tion n of parts parts and materials materials for flat panel displays# displays# Samsung Samsung invested )M1#! "illion when it first came to Malaysia a"out / years ago# ith its latest investment of )M+#+ "illion for underta%ing the design, development and manufacture of lithium ion cells and "attery pac%s, Samsung has "ecome one of the largest foreign investors in the country '2ernama +1+0# 4he first first manufa manufactu cturin ring g plant plant of Samsun Samsung g lectro lectronic nicss was Samsun Samsung g lectro lectronic nicss Malaysia 'SM0, which manufactures microwave ovens and magnetrons# (ocated at Port Klang, one of the "usiest ports in Malaysia# Samsung lectronics *o# (td plays an important role within the Samsung group in Malaysia# 3t owns three of the si$ su"si su"sidi diari aries es of the the grou group, p, i#e# i#e# SM SM,, SM, SM, and and S5M S5M## 3n +11 +11,, these these three three su"sidiaries contri"uted 91# per cent of the total revenue and 8/# per cent of total pro:it after ta$ of the Samsung group in Malaysia#
Samsung Galaxy Note 7 Explosion issue arise in Malaysia Samsung Galaxy Note 7 is first launch in oversea county by 19 August 2016, to ate as of 1st of Se!tember there have been "# cases re!orte globally that the cell battery cell issue cause cell !hone ex!losion an it also bring threat to the flight safety inclue airlines in $alaysia%Airasia Samsung are currently conucting a thorough ins!ection &ith their su!!liers to ientify !ossible affecte batteries in the mar'et% (o&ever, because our customers) safety is an absolute !riority at Samsung, the organi*ations have sto!!e sales of the Galaxy Note7%Samsung is committe to !roucing the highest +uality !roucts an ta'e every incient re!ort from their value customers very seriously% n res!onse to recently re!orte cases of the ne& Galaxy Note7, Samsung conucte a thorough investigation an foun a battery cell issue% Samsung is allo&ing their customers &ho alreay have Galaxy Note7 evices to re!lace their current evice &ith a ne& one over the fixe !erio% -ustomers may contact Samsung $alaysia -arelinefor further en+uiries of their current Galaxy Note 7 evice before re!lacement ta'es !lace%
htt!.//&&&%nst%com%my/ne&s/2016/09/170"2/goocallmalaysianscanre!lacetheir samsunggalaxynote7 htt!.//&&&%soyacincau%com/2016/09/02/officialsamsungsto!ssaleofgalaxynote7existing unitstobere!lace/ htt!.//english%yonha!ne&s%co%'r/ne&s/2016/09/02/0200000000AN2016090200900"20%html htt!s.//&&&%lo&yat%net/2016/11"29#/samsungissuesglobalrecallforgalaxynote7/
1. VALUE, RARENESS, IMITABILITY, AND ORGANIZATION (VRIO) ANALYSIS This part analyzes the internal resources and capabilities of BIMB Holdings Berhad,CIMB Group Holdings Berhad and Malayan Banking Berhad using the VRI fra!e"ork# RESOURCE/ CAPABILITY
VALUABLE
RARE
COSTLY TO
ORGANIZED
IMITATE
TO EXPLOIT
COMPETITIVE IMPLICATION
Samsu! G"#u$ Ma%a&s'a S"#! B"a R*$ua'#
$es
$es
$es
$es
%ustainable co!petiti&e ad&antage
I#+a'+* P"#u
$es
$es
$es
$es
%ustainable co!petiti&e ad&antage
Em$%#&** S*%*'# a
$es
$es
$es
$es
R**'# $#%''*s D'+*"s'-* P"#u L'*
%ustainable co!petiti&e ad&antage
$es
'o
$es
$es
Co!petiti&e (arity
Samsu! G"#u$ Ma%a&s'a S"#! B"a R*$ua'# •
•
• •
Valuable:;igh mar%et share in electronic industries help Samsung increase their
"rand reputation# Rare:3n Malaysia, only few electronic production companies have strong "rand reputation# Costly to imitate: 3t is e$pensive and ta%es a long time to develop a "rand# Organized to exploit:Samsung is the world
R*#mm*a'# Based on the e)planation abo&e, I reco!!end that strong brand reputation can be a susa'a%* #m$*''+* a+aa!* #
I#+a'+* P"#u
Samsung >roup have their own strong research and development team
Samsu! G"#u$ Ma%a&s'a S"#! B"a R*$ua'# •
•
• •
Valuable:;igh mar%et share in electronic industries help Samsung increase their
"rand reputation# Rare:3n Malaysia, only few electronic production companies have strong "rand reputation# Costly to imitate: 3t is e$pensive and ta%es a long time to develop a "rand# Organized to exploit:Samsung is the world
R*#mm*a'# Based on the e)planation abo&e, I reco!!end that strong brand reputation can be a susa'a%* #m$*''+* a+aa!* #
I#+a'+* P"#u •
Valuable:Samsung >roup have their own strong research and development team
•
to innovate new product with shorten time# Rare:4here is rare companies is a"le and own the financial resources to innovate
•
new technology product# Costly to imitate: 3t need to "e spending huge capital and longtime ta%en to
•
innovate a new technology product# Organized to exploit: Samsung is managing their innovation in product ver y well, they are the first organization to laugh motion control sensor 46 in the mar%et#
R*#mm*a'# *ccording to the e)planation abo&e, I reco!!end that robust capital ade+uacy and li+uidity can be a susa'a%*
#m$*''+* a+aa!* # Em$%#&** S*%*'# a R**'# P#%'& Valuable: Samsung is giving high pay for their innovative employee and
Samsung Malaysia
Rare:3n Malaysia, there is limited talent in technology innovation company since
the talent mar%et in Malaysia is not mature enough#
•
Costly to imitate: 3t re=uires %nowledge, e$perience, a team of specialist, and high
•
pay&off to recruit a talented employee# Organized to exploit: Samsung Malaysia were awarded ?o#1 employer in the electronics sector "y Malaysiaraduate mployers +1/#
R*#mm*a'# n the basic of e)planation abo&e, I reco!!end that ull-ledge Isla!ic %tock Broking ir! is the susa'a%* #m$*''+*
a+aa!*# D'+*"s'-* $"#u %'* Valuable: 3t ena"les Samsung to fulfill more customers< need, so can attract more
•
customers and increase mar%et share# Rare:lectronic manufactures in Malaysia usually produce variety of product s. Costly to imitate: 3t is costly to implement a diversify product line in a company# Organized to exploit:Samsung Malaysia has "uilt -su"sidiaries tooffer its diversified products line, including SM, SM, and S5Mwhich product (5 46, washing machine, cell phone component and e$tra# Recommendation: 5ue to diversified product line is not rare, and thus 3
recommend that it is competitive parity#
Samsu!
Ma%a&s'a
E%*"#'
O"!a'0a'#
S"uu"*
Samsu! Ma%a&s'a O"!a'0a'# Cu%u"* Samsu! Ma%a&s'a "*a* a *a% am#s$*"* %a!sung Malaysia fosters positi&e "orking relationship by prohibiting o.ensi&e practices such as se)ual harass!ent, &iolence and i!propriate !onetary transaction bet"een e!ployees# The co!panies also do not allo"
fa&oritis!
or
pri&ate
groups
based
on
e)ternal
a/liations
detri!ental to har!ony "ithin the co!pany# %a!sung Malaysia establish "in-"in labor !anage!ent relationship based on !utual trust and open co!!unication
Samsu! "a2 a s"' %'* *2** $u%' a $"'+a* a3a'"s ' a%% us'*ss a'+'& 0hen the interest of co!pany and indi&idual con1ict, the legiti!ate interest of the co!pany shall take precedence# 0hen do not tolerate the appropriation of co!pany asset or use the co!pany in1uence for personal
gain# %a!sung do not allo" securities transactions based on insider trading# %a!sung Malaysia also respect the intellectual property of others by
a&oiding
acts
of
infringe!ent
!odi2cation or use "ithout per!ission#
such
as
copying,
distribution,
