i)

Identify 2 values added to the primary activities in the value chain of the firm.

According to Michael Porter value is the chain of activities for a company that operates in a
specific industry. For gaining the competitive advantages, Porter suggested that going
through the chain of organization activities will add more value to the product and services
than the sum of added cost of these activities. And thus, the company will gain marginal
value for that product or service. If these activities run efficiently the company gains
competitive advantage on the product or service.
The principal activities of the Company (Glenmarie Properties Sdn Bhd) are investment
holding and the provision of management services. The principal activities of the subsidiary
companies and jointly controlled entities are engaged in the business of property
development. There have been no significant changes in these activities during the financial
year.
I.

Technology development
The use of technology to obtain a competitive advantage is very important in todays
technological driven environment. Technology can be used in many ways including
production to reduce cost thus add value, research and development to develop new
products and the internet so customers have 24/7 access to the firm

II.

Human resource management

The organisation will have to recruit, train and develop the correct people for the
organisation to be successful. Staff will have to be motivated and paid the market
rate if they are to stay with the organisation and add value. Within the service sector
such as the airline industry, employees are the competitive advantage as customers

are purchasing a service, which is provided by employees; there isn't a product for
the customer to take away with them.
j) Identify 2 strengths of the business
I.

Business Transformation Plan

To survive and prosper in a highly competitive market and a challenging economy
necessitates radical transformation of the business. The change must be holistic and
comprehensive to enable the company to be relevant to the market and become the
leader in the real estate industry, Opportunity-Driven Change which is based on the
following 6 pillars:

1) Creating the Future

2) Building New Competency
3) Encouraging Innovation
4) Finding New markets
5) Develop Compelling Brand
6) Form New Strategic Alliances
II.

Brand of Company Name

The name Glenmarie is synonymous with a trusted name in property development
and is generally accepted as the leading property player for residential, commercial
and industrial development also most desirable brand in the real estate industry.

k) Identify 2 weaknesses of the business

Enhancement of human capital competencies

To increase the level of knowledge and skill of members/staff and subcontractor/workers to the best of standard practices.

More efficient management of assets and liabilities

Change of rise of existing non-permanent atrium space to permanent to generate
revenues and hence bring in traffic and sales to tenants.
Rental collection remains a challenge. Effort is required to maintain a balance
between managing the occupancy of the mall and arrears collection.
Tenant relations: Maintaining good relationship with the tenants is crucial in the
driving the objectives