BACKGROUND COMPANY AND OWNER Aida Chocs Enterprise (PG 0200199-M) was found in Malaysia (local product) in June

17, 2007 which is Small Medium IndustryCompany. Leadership of this company is Zuraida bt Saibon. The status of this company is 100% of sole proprietors and she starts this business by having RM15, 000 as her capital. Aida Chocs Enterprise is a local product which is the operations of this business is in the region of peninsular Malaysia, especially in SeberangPerai, Pulau Pinang, Kedah and Perak. Aida Chocs Enterprise consistent desire to get the greatest service which is emphasizes customer satisfaction and quality service in every business transaction. Aida Chocsspecializes in chocolates and cookies.In the first year, when Aida Chocs Enterprise was operated, this company achieved nine thousand and seven hundred ringgit Malaysia (RM 9, 700) revenue (profit) an accomplishment to be proud of. We have never looked back since and have been growing from strength to strength.Made history when this company became the first of newly SME won award as Malaysian Good Design in 2009. This company also recognized as a one of Quality Malaysian Product and it bears unique product characteristics. In addition, this company also carry the HACCP and HALAL certification, making Aida Chocs Enterprise a beverage that can be enjoyed by all. The important aspect in the success of these business activities is by providing efficient services to their customers which are it based on excellent, long and short term strategic planning. Besides that, this company more focuses on production and their system of employment. Its means they have a good attitude in taking the order.

The wellbeing of Aida Chocs Enterprise consumers is a key priority and significant progress has been made in their efforts to improve their products ingredient profile by reducing sugar, and fats and this will be an on-going effort.

Mission To promote our products, continuous improvement and innovation that exceeds customer expectations; international area is also indeed to expand our business with the slogan we can.

Vision To spearhead breakthroughs and set the precedence in the market by developing line extensions and create new products to cater to customers changing needs. We embrace good business practices, adopt Small Medium Industry (SMEs) standards and demonstrate professionalism so as to earn respect and trust, and more confident to expand our business to international areas.

Aida Chocs Philosophy To build a team sprit among our employees, our company decided to use this slogan EMM...SemanisSenyuman.

Our Core Values Originality & Creativity To spearhead breakthroughs and set the precedence in the market by developing line extensions and create new products to cater to customers changing needs.

Ethics & Integrity We take pride in our work, and conduct our business with integrity. We embrace good business practices, adopt government standards and demonstrate professionalism so as to earn respect and trust. Then, we also create a spirit within our team members to provide our customers a total quality experience: quality of product, service and environment.

BACKGROUND OF ENTERPRENEURSHIP

NAME POSITION ADDRESS

: : :

ZURAIDA BINTI SAIBON MANAGER/OWNER 465 A BATU UBAN, JALAN SULTAN AZLAN SHAH 11700 PULAU PINANG

I/C NO D.BIRTH

: :

720424-02-5048 24 APRIL 1972

RACE/RELIGION: MALAY/ISLAM STATUS : MARRIED STPM 10 YEARS IN BAKING COOKIES AND CAKE AHMAD AFFENDI BN AHMAD AGENT INSURANS 660209-07-5243 6 PERSONS

ACADEMIC : EXPERIENCE: HUSBAND :

OCCUPATION: I/C NO :

DEPENDENT :

BACKGROUND OF PROJECT

COMPANY NAME : ADDRESS ;

AIDA CHOCS ENTEPRISE D9, MEDAN SURI, SG. NIBONG BESAR 11900 BAYAN LEPAS, PULAU PINANG.

BUSINESS TYPE REGISTER NO. REGISTER DATE MAIN ACTIVITY CAPITAL

: : : : :

FOOD AND BEVERAGE/ SOLE PROPRIETORSHIP PG0200199-M 12 JUNE 2007 CHOCOLATE COOKIES RM 15,000

Section 1: Business Background Nowadays people living in Malaysia, as well as holiday visitors, eat much the same kinds of foods as are eaten in many other countries in Europe, North America and Asian. Malaysia is the best known for her large varieties of delicacies where the essences of different races and cultures have blended well together, offering cuisines that are so unique which no one could resist. Chocolate and cookies is also a famous and popular food. Everyday people eat chocolate. Basically chocolate is made from cocoa beans and have many types of chocolate such as white chocolate, dark chocolate, pure chocolate and so on. Based on Malaysian population including the holiday visitors today, it is high potential to doing business of chocolate and cookies. So, Zuraida Bt Saibon who was born on 24 April, 1972 in Kedah, Malaysia; take this opportunity to expand her enthusiasm by build and operated a company that calls Aida Chocs Enterprise which is it promote and severed a local chocolate and cookies. She is an entrepreneur in SME industry which is it include forms of ownership as a 100% sole proprietorship. Entrepreneur has a lot of meanings; some view entrepreneur as a person who only starts a new business venture. Others see it as comprised of certain skills and knowledge. And some, we included, think of entrepreneur as a process through which individuals identify opportunities, allocate resources, and create value. According to Joseph Schumpeter, he saw the entrepreneur as innovators and popularized the uses of the phrase creative destruction to describe his view of the role of entrepreneurs in changing business norms1. Creative destruction encompasses changes entrepreneurial activity makes every time a new process, product or company enters the market; and basically the view of an entrepreneur is one who creates a new business in the face of risk and uncertainty for the purpose achieving profit and

Sullivan, Arthur; Steven M. Sheffrin (2003). Economics: Principles in action. Upper Saddle River, Jersey 07458: Pearson Prentice Hall. pp. 6

growth by identifying significant opportunity and assembling the necessary resources to capitalize on them2. SME is stand for Small Medium Enterprise which is his use of common definitions for SMEs will3: Strengthen government efforts to create effective policies and support programmers for specific target; make it easier to provide technical and financial assistance to SMEs; and allow for the identification of SMEs in the various categories and levels; while sole proprietorship is a business owned and managed by one individual. This form of ownership is by far the most popular. Approximately 73 percent of all businesses in United States are proprietorships 4. These arguments have been supported by Presidio Graduate School in 20085. Type of this business is food and beverage and it mains product is chocolate cookies. Definition of Food & Beverage (F&B) is the industry term which refers to all food and beverage needs for an event6. A successful host will incorporate the F&B planning into the party theme, the dietary or religious needs of the guests, and his/her own preferences and skills. Zuraida is the owner of Aida Chocs Enterprise and before she became the owner of this company, she was working as a clerk for Am Bank Group and involve as a part-time by selling cookies, bakery and chocolate at the Batu Uban, Penang and at the area fairs. Aida Chocs Enterprise establishes on 12 June 2007 but its really operation full time on early 2009. She also has 10 years experience in making cakes and cookies. The business is started with a medium amount of capital, it is RM 15,000. It is estimated that Production Department use 40% or RM 6,000 to making their products. The estimated amount that use by the Human Resource Department is about 10% out of the RM 1,500, it use to hiring employees.
2 3 4 5

Michael Gerber. Entrepreneurs and the Economy. Retrieved 12 June 2010 SMEs Info Online<(http://www.smeinfo.com.my/> (accessed March 20, 2011)

Presidio Graduate School, San Francisco, CA Online <http://econnect.entrepreneur.com/marycicalese> (accessed March 19,2011) 6 What is Food & Beverage: The definition of Food & Beverage or F&B in Entertaining ,Janice Benoit, published September, 1, 2006. <http://www.suite101.com/content/what-is-food---beverage-a6252>

Therefore, the other 15% and 35% is use to Marketing and Finance Department respectively. Aida Chocs is a food and beverage business orientated. Therefore, businesss financial is more focus on the production and finance, it because the products need to prepare by cooker (employee baking cookies and chocolate) and it used to modify the factory. Aida Chocs Enterprise also has its own sales strategy, which is 4P of the marketing. 4P means the elements of marketing mix7. Products The products offered are homemade chocolate and Malaysian local chocolate and it also include diversities of cookies such as Marble Orange, Almond Chocs, Sweet Paradise, Chinta Dania and so on. This product is homemade and it prepared in her factory. Customers are able to choose the products they want to eat. The products also have Halal prospects and two of her product which is Marble Orange Cookies and Sweet Paradise Chocolate has been awarded as Malaysia Good Design in 2009. Place Place represents the location where a product can be purchased. It is often referred to as the distribution channel. It can include any physical store as well as virtual stores on the Internet. At first year, all the Aida Chocs Enterprise products had been placed at convenient and popular place such as in Tesco, Carrefour and Sunshine in area of Seberang Perai, Pulau Pinang, Kedah and Perak; and also in Little Paris (Hyatt Nay) and Medan, Indonesia. Then after this, she will expand the business in each area of Malaysia.

The American Heritage Dictionary of Business Terms, by Houghton Mifflin Harcourt Publishing Company. Published by Houghton Mifflin Harcourt Publishing Company <http://business.yourdictionary.com/>

Promotion Promotions is represents all of the communications that a marketer may use in the marketplace. The role of promotion is to communicate with individual, groups, an organization to facilitate an exchange directly or indirectly. Promotion is used not only sell products to accept goods, services and idea. We (Aida Chocs Enterprise) use advertising and public relations as a promotion to promote our products. Then discount will able give to our fixed customers and free charge of transportation in a range of 10 KM from the Aida Chocss factory. Price The price is the amount a customer pays for the product. The business may increase or decrease the price of product if other stores have the same product. In this sale strategy, price would be set in accordance to the types of chocolate and cookies yet the overall price is in the range from RM20.00 to RM30.00 (cookies price) and RM3.00 to RM10.00 (chocolates box per prices) which is totally affordable by all range customers. Another strategy that has been developed by Aida Chocs Enterprise to make sure that the company activity run success and efficiently is: - Always give the best services to the all customers and fulfill their need as well. - Always have a good relationship among employee, employer and customers. - Build a harmony environment between management, employees and customers. - Make sure all the financial management company is manage by honestly, trust, and occurring so that it will deficient cost of company and will increase productivity.

Section 2: Perceived Meaning of Success Today, she has only three employees including her, but if she receives an order more then she expected, she will get helps from family. She love and enthusiasm in baking cakes and cookies which is it motivates herself to start her own business. Her target customers from all walks of life but emphasis will be more on person who love to eat cookies and chocolate; and In order to satisfy their (customers) needs, adaption of the local culture (including races and ethic) is essential to serve them with delicious chocolate and cookies. She also target that this company would be 100 outlets in Malaysia, but today she have only 20 outlets to support and cover her business financial. Meaning of success in business is the achievement of something desired, planned, or attempted8. Beside that, Success means is which comes after, hence, consequence, issue, or result, of an endeavor or undertaking, whether good or bad; the outcome of effort. Become an important aspect for the success of a business. 9A theory of success by Maria Palma can explain about meanings of success. According success is not something inherited. This is no matter what age, color, or origin you are, success is something that everyone has achieved at one point in their life. Beside that, success means about living a purposeful and fulfilling life. According to Zuraida, she said that her company not been successfully yet because of the above situations, and yes, she has been awarded as Malaysia Good Design in 2009 but she not satisfied with this achieved. Her product has been awarded as a Good Design because of the product was stylish and attractive in that way, it will attract the customers, and also of combination in 'catchy' colors and 'easy to carry' makes it appealing to users.

8 9

Daniel, D. Ronald, "Management Information Crisis," Harvard Business Review, Sept.-Oct., 1961, pp. 17 Self Help Article: A Theory of Success, by Maria Palma, http://www.newkerala.com/self-help/Articles/ATheory-of-Success.html

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Personally, she wants more than that. She wants to expend her product as globally and increase her revenue more. Section 3: Competencies Related to Managing Own Firms Aida Chocs Enterprise operate six day in a week and daily routines or activity of this business is for every morning, employee will punch card their attended before 8.30 a.m. then each employee have their own job. They do their job based on schedule that has been given by Zuraida. They work until 6.30 p.m. and their rest time is between 1.00p.m to 2p.m; if the employee needs overtime they will continue their work until 8.30p.m. Salary will give at the end of month plus with their overtime. For Zuraida daily routines or activity; she manages her time effectively which is every day she wakes up early in the morning around 6.00a.m to fulfill her responsibility to her family. After that, she will go to the company to monitor and observe business activity in Seberang Perai. She will check stock material whether it enough to use for production or not. If stock clearance, she will order and buy the stock from her supplier. Usually, she always pays more attentions on their production in making chocolate and cookies. Her core responsibility in managing her business is to make sure that all her employee achieve a standardize quality product that has been given by Health Department and Government. The common element of the business definitions is that the quality of a product or service refers to the perception of the degree to which the product or service meets the customer's expectations10. Quality has no specific meaning unless related to a specific function and/or object. Quality is a perceptual, conditional and somewhat subjective attribute. The business meanings of quality have developed over time. To be successes in her position now, Zuraida said that she have a good tolerance which is she balance her responsibilities between company and family, she able to undertake risk and

10

http://en.wikipedia.org/wiki/Quality_(business) (accessed March 20,2011)

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innovative thinking. Then, she also has management skills in business to support in running her business. For sort plan that Zuraida make is this business operate based on half line of authority and more to team structures. Line authority is referring to extending from upper organizational levels to lower levels, which clarifiers who report to whom, and authority is refer to the rights inherent in a managerial position to tell employee what to do and to expect them to do it11, but in Aida Chocs Enterprise, the manager and employee can communicate with each other to access information and always discuss to solve problem if they get problem. Its means that this company not uses fully line of authority but more to team structure. Then, for her perception a key of company successful is also by having a good leadership. So that for this sort plan also, she believe that by having a good leaderships it will create a good environment between her and employees along productivity of company will more increased. Leadership has a lot of meanings; some view leadership as a series of specific traits or characteristics. Others see it as comprised of certain skills and knowledge. And some, we included, that think of leadership as a process. According to Ms. Tiffany Yates study (as cited in Bolgelt & Falk, 2007), leadership is a nature requires individuals to think in new and different ways about products, services and processes-to learn new ways of doing things, take risks, make mistakes, and step out of the normal way doing things12. This is not easy for individuals particularly in business settings where failure is often consider career limiting. If an organizations culture fosters a fear of being fired, ridiculed, or marginalized at work, it damages the ability to direct self-managed leadership teams. There is a conundrum which is that risk taking is essential for leading innovation and change effectively; yet risk taking is

11

The American Heritage Dictionary of Business Terms, by Houghton Mifflin Harcourt Publishing Company. Published by Houghton Mifflin Harcourt Publishing Company 12 Tiffany Yates; Steve N Finikiotis Organization Development Journal; Winter 2010; 28, 4; ProQuest Psychology Journals, pg. 57

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increasingly difficult in a risk management environment. Leadership is also considered to be goal directed because the leaders use the influence to guide the followers through a course of action to achieve certain goals. It can be said that leadership is defined as a process whereby a person influences individuals and groups within an organization, which helps them to establish and accomplish goals. Besides that, to be a good leader must also have skills and good behavioural. And to make sure that she always be a good leader, she usually attend seminar to increase the proficiency of existing that she has. Then, she is not using autocratic and too task-oriented in her approach; and also shows good characters and values to the employees so that they will follow her leadership. As someone begins planning a business, they will become increasingly aware that they will face challenges along the way. Some challenges they may not be able to control, such as the legal limitations that come with being a teenage entrepreneur or not having all of the time and money they would like to dedicate to their business. As a newly food beverage business (company), a lot of challenges in this industry of services food industry are expected. But the core of challenges that been Zuraida undertake is about the capital of resources which is every festival especially Hari Raya Aidil Fitri and Chinese New Year, her chocolate is not enough and she has be compelled to compete other competitor to get the resources. However, with a support from her family, she plan properly (step by step) to make sure that the resources is enough to use, she build a strategy to maintain stock of the resources in that way, the stock is always have in her factory. Besides that, she believed that the goal of her company will be achieved when she use the resources with efficiently and effectively; and when the production system is good which is can fulfill customers need it also can gain confidence of customers.

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Section 4: Learning and Training Issues Training means giving new or present employees the skills employees to perform their job. Training also plays a key role today in the performance management process. Performances management means taking an integrated goal oriented approach to assigning, training, assessing and rewarding employees performance.13Training for food and beverage consultants can follow a step-by-step approach and it important to all F&B business because by training each employee, it will increase the company productivity. Training is organized activity aimed at imparting information and/or instructions to improve the recipients performance to help him or her attain a required level of knowledge or skills. Types of training that always use in all companies are general training and specific training. General training including communication skills, computer system skills and programming, customer services and executive development; specific training including basis life, work skills, creativity, customer education, and diversity/cultural awareness.14 In context of training that Aida Chocs Enterprise use is more to general training which is formal training. According to Zuraida, she said that formal training is important to her company because to her if somebody dont know how to make a cake or cookies it will affect their company performance like quality of product will decrease and product ingredients will not achieve healthy department standardize. As usually, all her employee will be send or attend a seminar to gain knowledge and get a measure in the processing of food products to guarantee that all employees know how to make a cookies and chocolate; and also to make sure that all the government standardized will fulfill. The period of training is 3 month. Besides that, Zuraida also will monitor and teach them a right way how to make truly chocolate and cookies.

13 14

Training and developing employees, Human Resource Management.P.248. Managing Human Resources, Management.P.232.

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This

company

has

support

by

trainers

from

healthy

department

and

also

PersatuanUsahawanNasionalBerhad (PUNB), its important to get the outside trainers because itll help this company to get the guaranty of foods that the company produces. Another thing that make Zuraida use external resources (trainers and experts mentor) because it indirectly can promote her products and they can guide her company by build one program that calls The Market Comes To You- a strategy to attract targeted buyers and traders. By having support from them also can get extensive media to coverage and promotional Aida Chocs Enterprise products. Then, she also got incentive from government. There is a whole range of various incentives, grants and other helpful programs designed to aid SMEs. Some of them are designed to help SMEs in critical areas such as product development and marketing. Likewise, SMEs being small businesses tend to lack economies of scale, among other barriers to achieving cost-effectiveness. The following incentives and programs implemented by the Government is divided according to their respective agencies and ministries; for SMIDEC (Small and Medium Industries Development Corporation), they give a plan of Product Design Grant which is this grant specifically allows up to RM200, 000 to be disbursed to a company in order to aid it in designing new and more attractive product packaging, as well as to enable it to purchase the equipment and services necessary to do so. And they also give SME Experts Advisory Panel which is this panel has been specifically launched by SMIDEC in order to provide SMEs with necessary technical and other advisory services in order to promote efficiency and productivity. SMEs (including Aida Chocs Enterprise) can claim up to RM18, 000 reimbursements for expenses incurred.15

15

http://www.smeinfo.com.my/

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Section 5: Business Environment Business environment is a set of political, social, economic and technology (PEST) forces that are largely outside the control and influence of a business and that can potentially have both a positive and a negative impact on the business.16 The classic PEST framework identifies four major categories of external factor that affect the ability of your organization to survive and prosper. Political factors include government regulations and legal issues and defined both formal and informal rules under which the firm must operate such as tax policy, employment laws, environment regulations and political stability. Economic factors affect the purchasing power of potential customers and the firms cost of capital. The following are examples of factors in the macroeconomic such as economic growth, interest rates, and exchange rates. Besides that, the other factors is social factors include the demographic and cultural aspects of the external macro environment. These factors affect customer needs and the size of potential markets. Some social factoring includes health consciousness, population growth rate, age distribution and career attitudes. Last factor is technological factors can lower barriers to entry, reduce minimum efficient production levels and influence outsourcing decisions. Some technological factors include Research and Development (R&D) activity, automation and technology incentives.17 According to Zuraida also, she thinks that environment not affect the success of failure in her business because she is the only one who is running Bumiputra chocolate cookies business in Penang compare to other city like Kuala Lumpur and Perak, it because chocolate entrepreneur

16

http://www.1000ventures.com/business_guide/business_environment.html http://www.quickmba.com/strategy/pest/

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is not easy to establish. It must have high tolerance and able to undertake risk, so based on this responsibility, many entrepreneurs not interest to involve in this business. Any individual, who possesses a business, firm, or venture, is known as an entrepreneur. He or she is accountable for its development, the inherent risks and returns associated with it. Entrepreneurship is defined as the practice of beginning a new trade or reviving an existing business, for capitalizing on fresh opportunities. Normally, entrepreneurship is a difficult proposition as many new businesses fail to survive in their initial periods and never take off. The entrepreneurial activities for a particular kind of business depends upon various factors and is quite specific on the kind of business or firm being run. Whatever may be the course of action, entrepreneurship has a lot of benefits both for the entrepreneurs and the society in which these businesses are carried out. Some of these benefits include opportunity to get control which owning a firm or a business endows the entrepreneurs with the independence and opportunity to control their own business. They can aim to achieve targets that are important to them. Entrepreneurship provides entrepreneurs a chance to take decisions according to their own wishes. In the other hand, entrepreneurs can offers a chance to make a difference.Some people begin and put a lot of effort just to make a difference in society. This has given rise to the concept of social entrepreneurship, which is a recent phenomenon. Such people search for opportunities to serve a cause that is significant to them and try to find pioneering solutions to some of the most pressing and challenging problems of society. They are also wanted to reap high profits. Reaping high profits by being an entrepreneur is one of the most important factors that motivate people to become one and take up all the challenges associated with it. The profits their companies and businesses make play a vital role in any

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decision made by entrepreneurs. Owning a business or a firm is the best way towards accumulation of wealth.18 Financial support isfinancial resources provided to make some project possible and it important to running a business. Capitals are important in business and have an estimate of how much start-up capital is required to launch the business.19 In Zuraida situations, she said yes, that financial support is really important to support her business. She started her business with her own money which is she get from her saving account. Before she opens this business, she was work as a clerk in AM Bank Group about ten years; and after she realizes and confident that she wants to be businesswoman and to gain more money, she decided to build her own company. Then, she has financial support from her family and friends. Besides that, she also got a financial support from LembagaKemajuan Wilayah Pulau Pinang (PERDA), (MARA), KementerianSainsdanInovasi, Malaysia (MOSTI), MajlisAmanah Rakyat (FAMA),

LembagaPemasaranPertanian

Persekutuan

PersatuanUsahawanNasionalBerhad (PUNB) and for SMIDEC.

18

http://benefitof.net/benefits-of-entrepreneurship/ Business plan, Essential of Entrepreneurship and Small Business Management Head

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Section 6: Final Comment Finally, she gives advice to someone who wants to start their business. To start their own business, they must have enthusiasm, confident, brave and innovative. Besides that, they must have financial support to cover and to run their business. Then for a marriage person must have permission from their partner and for a single must have permission from their family; and also dont forget to God. They must have good behavior and good attitude to run the business and besides that must always take opportunity to expand their company to global market. Must always learn and adopt a new idea to make sure that our product always be different than others competitors. Then, according to her also, she believe that by having a good leadership it can influences individuals and groups within organization, helps them to establish and accomplish goals of company, and as a good leader must also have skills or good behavior. After that, by understanding small business marketing concepts like getting a handle on the potential market for what a small business will have to offer and the value proposition of that small business is very important.

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CONCLUSION As a conclusion, possibilities that Aida Chocs Enterprise has different perspectives in term of manage the company. To develop this company, entrepreneur must have a good skills, ideas and behavioral. Aida Chocs Enterprise created in Penang, it had a good development in peninsula Malaysia, but it was not successful yet. To achieve a successful target, the first step is by followed strategy and as a leader she must able to monitor and control the whole management as well. Besides that, from this report also we as a researchers can learn more about entrepreneurial process, what role that have Zuraida use in develop her business and what risk or effort that she face. By having financial support also can help her in expand market and increased company productivity. Finally, to be a successful entrepreneur also must alert to internal and external environment because these entire environment will be effect to the company failure/success especially in pricing of product and competitor. In short, chocolate and cookies that this company produces is truly amazing idea and it attracts more people to buy this product. This company is under SME Malaysia industry and it was established on June 17, 2007; and the owner is ZuraidaBtSaibon.

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