1) INTRODUCTION

Retailer that I choose for this assignment that have been given to me is 99
Speedmart.

Let me introduce you some history and introduction about 99 Speedmart. The
seed of 99 Speedmart was sown in the form of a traditional mom and pop
sundry called Pasar Raya Hiap Hoe by the founder Mr.Lee Thiam Wah in Tepi
Sungai, Klang. Figure below shows you the first store of Pasar Raya Hiap Hoe in
1987.

This humble beginning has allowed Mr.Lee to gain firsthand knowledge and
insights into the sundry retail market through personal interactions with
customers and suppliers . Then in 1992 until 1998 the very first store that bore
the name 99 opens in Klang Utama. Pasar
Mini 99, represented the very first step Mr.Lee expanded Pasar Mini 99 to eight
other outlets in Klang ala chain store format.

Figure below shows you Pasar Mini 99 from 1992- 1998.

And in 2000, admist the growing popularity of Pasar Mini 99, 99 Speedmart name
was launched with new store opening at Batu Belah, Klang with an intensive
expansion strategy geared to help the chain increase market penetration and
share. It also represents more than just a rebranding exercise and entails the
introduction of a fresh approach in interior as well as exterior set up to enhance
the visibility of the shop and the comfort of shopping. Figure below shows you
the founder and Managing Director of 99 Speedmart, Mr.lee Thiam Wah.

2) WHAT THEY HAVE

BETTER THAN AEON?
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I)

LOCATION

Figure below is 99 Speedmart's 600th outlet in Saujana Rawang, Selangor

opened on 9th November 2014.

Now, 99 Speedmart has 600+++ store located all Malaysia compare to Aeon that
has 30 store located all Malaysia. Speak about location, of course 99 Speedmart
is much better than Aeon. The first reason why location of 99 Speedmart is much
better is because they focused on their customer needs and their store location
is near to residential area that many of whom are housewives. They also focused
on customer need in and fast when the customer want the item that they need
to buy so they can get it fast and no need to long queue to buy the item . For
examples, some housewives want to cook lunch for their children but she
depletion of salt and she need it right at that time because she want hurry and
cook lunch for their children after back from school. So, 99 Speedmart is the best
solution for her because 99 Speedmart is located near from her house compare
to Aeon, is a little bit far from her house for example, in Rawang, 99 Speedmart
has been located 24 store and Aeon in Rawang only 1 store. If she living in
Bandar Country Homes, she can go the nearest from her house because in
Bandar Country Homes got 3 store of 99 Speedmart because it build near from
residential area. It can save her fuel also her time than she go to Aeon because a
little bit far from her house and also she can save her time from get jammed on
the road only to buy salt.

II) MANAGEMENT & STAFF

DEVELOPMENT
The management of 99 Speedmart is better than Aeon management. At 99
Speedmart, according my interview with one staff at 99 Speedmart name
Maisara 26, as a supervisor at 99 Speedmart Bandar Country Homes, she said
the new staff is intake for part time only and after 3 month working,
automatically they switch to full time staff . Compare to Aeon, the new staff are
temporary staff for 6 month before they became permenantly fully time staff.
They also have to make sure they does not have any warning letter and perfect
attendance. Again Maisara said that 99 Speedmart is good in promote their staff
to became a supervisor, manager and upper level. They wont take a long time
to increase the salary also upgrading their hardworking staff. If they good in their
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daily job and multi-tasking, they have bright future to increase their salary also
nominated to became part of management. They really encourage their staff so
they more care and passion to working at 99 Speedmart . Different from Aeon,
they have system that all staff need to full filled up every year and its all about
their performance on their daily job and of course everybody give theirself 5
stars. After ranking themselves, then the Admin Manager or Store Manager will
judge and give star based on their Group Leaders said about that staff either
they good or not on their job. Aeon is more complicated in promote their staff
because first they need to know about knowledge that person, the education, so
they not promote based on their experience sometimes it make some staff angry
and feels no passion on their job. Thats why 99 Speedmart staff said the
management is good because they care and encourage the general staff to
advancement .

III) PRICE AND DISPLAY

99 Speedmart is a convenience store. Even that store is smaller than Aeon store,
but the price and the way 99 Speedmart display is much cheaper and neat
compare to Aeon. According to researches, 99 Speedmart could able to success
in Malaysia market because it fullfill customer requirements and needs by
supplying various type of daily use products with reasonable price compare to its
competitors like Aeon. The way they display also is very neat because all staff 99
Speedmart are multitasking because its their culture. Even the manager also
display item from box and cashier can also do cleaning. Everybody can do a
multiple task at the same time and same day. Compare to Aeon, the price and
the way they display the item is total different from 99 Speedmart because Aeon
have a big space and of course have many choice of item also the customer can

drop the display item so it make the things is messy. Price at Aeon also very
expensive than 99 Speedmart. For examples, if the price of Nestum is Rm 9.99
at Aeon, but at 99 Speedmart is cheaper and the price for the Nestum is Rm
7.99. At 99 Speedmart also have many choice of brands if compared to other
convenience store.

3) WHY AND HOW THEY

MANAGE TO DO IT
I)

LOCATION

WHY: Mr.lee Thiam Wah is always focus on the location because he want the
customer feel near from their house to buy the groceries. It coincide from
their slogan NEAR N SAVE thats why he built the 99 Speedmart near from
residential area so customer easy to buy things from 99 Speedmart. Based on
99 Speedmart, We strive to provide an ideal shopping environment that
incorporates with the elements of time and money saving. Therefore, our
slogan is NEAR N SAVE.
HOW: Even now they have many store in all Malaysia, they are always want
to open near from neighbourhood. Before 99 Speedmart is build, the HQ team
are survey the residential area whether they need to open the store near or
far but the depends on their slogan Near And Save so they look the vision
how the crowd of customer will be, is it the customer take a long journey to
buy things at 99 Speedmart ? That must to be considered by them because
they want build the store near from customer house. They are also looking
forward growing even bigger and serving their customer better as everyones
favourite neighbourhood mini-market.

II)

MANAGEMENT AND STAFF

DEVELOPMENT

WHY: They thrive working with their employees who want to make a difference,
who use their initiative and leave a positive mark on their business. Their
commitment to continue human and business development is driving force
behind they trust towards greater growth.
HOW: By providing training and other learning opportunities to employees to
inspire and motivate them to perform the functions of their position. Every
month they will discuss about staff progress so they can see whether they
improve or achieve something in their working environment

Personal Development

Monthly Discussion

Meetings

III)

Training

PRICE AND DISPLAY

WHY: Based on their company mission, " Our goal is to fulfill customer's needs
by supplying various types of daily use products with reasonable price." 99
Speedmart also want customer feel happy with the way the item is display. They
also get awards for Anugerah Kedai Harga Patut 2014.

How: For the price, they have the system that updated daily for the promotion
item, and they are also manage the price daily so the price are always being
updated daily by staff. There is no need to wait approval from manager to
change the price card because the system are allowed all staff can use the
system so they can change the price card. 99 Speedmart also awarded First
Consumer Choice of the year 2014 from the Ministry of Domestic Trade,
Malaysia. So every year they want to maintain the trust from customer.

4) HOW AEON CAN

IMPROVE
Aeon need to improve is Aeon need increase the promotion of cheaper price of
super item including the perishable item and grocery item so the customer will
choose to go Aeon to buy the groceries. Also Aeon need to do promotion daily
like ads at television, newspaper and radio so the customer can know what are
the latest promotion at Aeon store. From side of work, Aeon need to improve the
culture of management because most some the management of Aeon is choose
someone to upgrade the level is not based on how they work, how the
achievement, and how long they have been working. They choose because they

like the people and of course they will promote him/her to get upgrade. So that is
not good culture and not fair to other who working so hard to achieve something
in their life. 99 Speedmart is the best examples to Aeon because the
management of 99 Speedmart always look forward how to train and improve
their staff every month. So Aeon can also do the same thing so the Aeon people
can feel they can get a chance to become a leader at least a Supervisor. For the
display, Aeon need to improve the way they display because the display is
sometimes is messy because they told their staff to display at one shelf at the
same time many item can display. So it will look messy and make the auditor not
easy to counter the item when stoke take time. For the price, Aeon need to
improve the authorised from manager. All staff need know how to check the
system or communicate with merchandiser direct so no need to ask approval
from manager. So thats is all I think that Aon need to improve in my opinion.

CONCLUSION
Aeon is a leading retailer. Every year Aeon become grow and grow. So
Aeon also need to grow with their staff because without their employees
there is no have the Aeon and the achievement that Aeon have now. The
Company was incorporated on 15 September 1984. AEON CO. (M) BHD. (AEON or
the Company) was set up in response to the Malaysian Governments invitation
to AEON Japan to help modernize the retailing industries in Malaysia. The AEON
name today is well established among Malaysians as well as foreigners,
especially due to its association with the international AEON Group of
Companies. AEON has established itself as a leading chain of General
Merchandise Stores (GMS) and supermarkets. AEONs constant interior
refurbishment of stores to project an image designed to satisfy the ever
changing needs and desires of consumers is clear evidence of this. The
Companys performance has been further enhanced by the managements acute
understanding of target market needs and the provision of an optimal product
mix. AEONs stores are mostly situated in suburban residential areas, catering to
Malaysias vast middle income group. The AEON Group of Companies consists of
AEON Co., Ltd. and about 300 consolidated subsidiaries and affiliated companies.

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In addition to its core GMS plus its supermarket and convenience store
operations, AEON is also active in specialty store operations, shopping centre
development and operations, credit card business and services. The AEON Group
of Companies is an integrated Japanese retailer and is active not only in Japan
but also throughout ASEAN and China. At all times, in every market, AEONs
activities are guided by its unchanging Customer First philosophy. Its aim is to
surpass expectations by combining excellent products with unique personal
services that enhance the shopping experience to make customers smile every
time they shop.

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