SUMMARY OF THE INTERVIEW WITH THE OWNER OF KHALISHA

KHAISARA ENTERPRISE

QUESTIONS

A) Details of the owner

1. What is your full name?
My name is Wan Nurul Ashikin Bt Rosli.
2. This company of yours is sole proprietorship or partnership? Why do you
choose that?
It was my own business and no partner. Because my business is online
business, so I dont need a partnership.

B) Company Background
1. What is the name of your company?
My company is Khalisha Khaisara Enterprise.
2. What is your businesss nature?
My business nature is services where I selling health and beauty products
available in the market. Before that I sell toys, handbags and Al-Quran
digital.
3. When did your company been established? And for how many years
already your company has developed?
I started my business on 2013. So, I already run my business for three years.

4. How does this business start? What driven you to open up this kind of
business?
The business started when I once opened boutique shop vendors in Batang
Kali, Hulu Selangor but only lasted for 8 months only. Locations where
business is not situated in the rural areas where people are less likely to buy
even the name of the location that Bandar Baru Batang Kali.

C) Products or Services
1. In this company, what kind of product or services that you choose to be
produce? Why did you choose them to be selling?
Id choose services. I wanted to help people because people prefer to buy
online via facebook, blog, instagram and etc. With my services they save on
costs and time cause they dont have to go to a boutique or store to buy the
necessary goods.

D) Factors Lead To Entrepreneurial Action

1. Is there any factors that driven you to be involve in entrepreneurship?
Factors that driven me to do an online business because when my first
business which is vendor business did not last long unless we were there
own product or brand, the better. After I started the business online, all the
problems and the expenses done.

2. What interest you the most in involving in this nature?

People prefer to buy online, so buyers are also many. So that I can shared
my experience about the product and I also can manage my time
accordingly.

E) Business Capital
1. If you dont mind, could you share with us on how much you have spent in
setting up your businesses?
Im not really sure how much Id spent to start this business since it online
business. I just need to spend on buying the products before sell it to
customers.

F) Challenges in Business
1. In setting up this business, did you have encountered any challenges or
problems? If so, mind sharing with us?
There are no challenges for me in setting up this business.
2. Do you have any problems with your staff/ workers and between your
competitors?
In online business, of course I have many competitors.
3. From the problems and challenges that you have, how do you solve it?

To solve the problem, I have to know how to get attention from the
customers and also gain their trust.

G) Achievement
1. What your company has achieved after start up this business?
After start up this business, sometimes in one month I can get close to two
to three thousand.
2. What you want to achieve in future?
I hope that my business wills more success in future.

H) Quality of a Good Entrepreneur

1. In your opinion, what is the definition of good entrepreneur to you?
Good entrepreneur should have to really have a strategy, strong marketing,
product or item number, customer vibrant and strong work team, then the
store can operate successfully.
2. In order to be one, what does him/her need to have in becoming a good
entrepreneur?
To become a good entrepreneur, him/her has to have a strong heart with the
challenges that exist in the business and competition. Besides that, they also
should have a fresh idea that can tap the market.

Assignment 2: 10%
1. Profits
International sales as a potential source of higher profit margins or of
more added-on profits. Of course, the profitability expected when
planning to go international is often quite different from the
profitability actually obtained. Profitability is often linked with
international growth yet many corporate international entry decisions
are made based on expectations of market growth rather than on
actual market growth. Particularly in start-up operations, initial
profitability may be quite low due to the cost of getting ready for going
international, and the losses resulting from early mistakes. The gap
between expectation and reality may be especially large when the firm
has not previously engaged in international business. For the online
business, the profits that they get are based on the selling. Sometimes,
in one month they can get two or three thousand. In future, maybe the
entrepreneur can expand the business to global such as stated that

before this she always travel to Guangzhou for business like toys,
handbags and digital Al-Quran whereby can gain more profits.
2. Competitive pressures
A company may worry about losing domestic market share to
competing firms that have benefited from the economies of scale
gained through international business activities. Further, it may fear
losing foreign markets permanently to competitors that have decided
to focus on these markets. Because market share usually is most easily
retained by firms that initially obtain it, some companies may enter the
international market head over heels. Quick entry, however, may result
in equally quick withdrawal once the firm recognizes that its
preparation has been inadequate.
As mentioned in the interview, the competitive pressures are very
high. In order to maintain in the market, the entrepreneur have to have
a strategy so that she can compete with others competitor. Besides
that, to be a competitors to others need a strong marketing because
the power of words. People will attract if we have a strategy and
marketing to convince customers about our products.
3. Unique product(s) or service (s)
Unique products or a technological advantage can be another major
stimulus. A firm may produce goods or services that are not widely
available from international competitors. To going global is not an easy
thing because we need to have product or service that has their
uniqueness. As mentioned by Mrs Wan Nurul Ashikin, to be a good
entrepreneur, we need to have our own product which is strong in the
market so that people will remember our product or service. The
entrepreneur also needs to be considered is how long such an
advantage will last. The length of time is a function of the product, its
technology, and the creativity of competitors.

4. Excess production capacity

Excess capacity is a situation in which actual production is less than
what is achievable or optimal for a firm. This often means that the
demand in the market for the product is below what the firm could
potentially supply to the market. For consumers, this can be a good
thing, because the price of the product will remain relatively low as

well. Low demand can also be a sign that the economy is experiencing
turbulence and that consumers are reluctant to buy new products.
Thus, excess capacity may sometimes be a warning notice that
consumers are reluctant to buy because they are worried about the
economy.
Excess capacity can also be a powerful motivator. If equipment for
production is not fully utilized, firms may see expansion abroad as an
ideal way to achieve broader distribution of fixed costs. Alternatively, if
all fixed costs are assigned to domestic production, the firm can
penetrate foreign markets with a pricing scheme that focuses mainly
on variable cost. So, for the entrepreneur, they have to aware about
this. For going global, the entrepreneur has to make sure that the
production capacity can meet the demand of customers and not too
much as it may harm the business.
5. Declining home country sales
Declining domestic sales market has similar results to saturated
domestic. Again, firms in this situation can use the international market
to prolong the life of their good and even of their organization.
Declining domestic sales, whether measured in sales volume or market
share, have a similar motivating effect. Goods marketed domestically
may be at the declining stage of their product life cycle. Instead of
attempting to push back the life cycle process domestically, or in
addition to such an effort, firms may opt to prolong the product life
cycle by expanding the market. As an entrepreneur, when the sales are
declining, they can try to expand the market to global to make sure
that their business do not be harm by the declining home country
sales.
6. Unique market opportunity
As an entrepreneur, we have to find the market opportunity such as
find a country that can give lower price on manufacturing overhead or
raw materials. This will lower the cost of on producing the products. As
an entrepreneur, to produce products, they have to lower the cost of
production where they have to find the supplier that can give the raw
materials at the lower price. The lower the price, the more they can
save the budget for production.

7. Economics of scale
International activities may enable the firm to increase its output and
therefore rise more rapidly on the learning curve. The benefits of
centralized production are substantial enough to offset any increases in
transportation costs. Therefore, increased production for international
markets can help reduce the cost of production and make the firm
more competitive domestically. When the entrepreneur found the
opportunity of unique market, the economic scale for the business will
expand. So, it will be the motivation for the entrepreneur to going
global.
8. Technological advantage
To going global, entrepreneur has to use the technology to establish a
global presence. Entrepreneur has to use a technology in producing or
distributing the product because it will help the business to compete
with others competitors. To make a sure the product or service be wellknown in the market, entrepreneur has to establish their own pages or
website that can make customer easy to review their product. By using
the technology, the entrepreneur can compete with others
competitors.
9. Tax benefits
Many governments use preferential tax treatment to encourage
exports. As a result of such tax benefits, firms either can offer their
product at a lower cost in foreign markets or can accumulate a higher
profit. However, international trade rules make it increasingly difficult
for governments to use tax subsidies to encourage exports. As an
entrepreneur, motivation for going global is tax benefits. It is because
the profits they get from foreign country are more highest because to
when the customers buy the product, they have to pay for the price
and also the tax to export the product.