References: http://www.oldchangkee.com http://en.wikipedia.org/wiki/Old_Chang_Kee http://infopedia.nl.sg/articles/SIP_1671_2010-06-16.html http://investing.businessweek.com/research/stocks/private/snapshot.asp?privcapId =39039697 http://en.wikipedia.

org/wiki/Porter_generic_strategies Based on the above SWOT Analysis, I would recommend and implement the below stra tegies to strength my company and grow its business. Franchising Old Chang Kee has a strong brand in Singapore. Quality has been the key factor b ehind its success. The same factor caused the failure in capitalizing the overse as market. Hence Old Chang Kee has to have a greater control and detail in produ cing the same high quality while venturing out in the overseas market. Expand in overseas selling local market foods Old Chang Kee is known for curry puffs in Singapore. Trying to promote the same product elsewhere might be risky. The company s strength of performing market rese arch could help to analyze the preferred food items and produce products that wo uld help to sustain and grow in the overseas market. Loyalty programmes Introduce loyalty programmes to retain the customers, increase the brand STRENGTH: -----------------Liquidity (Sales) Product quality Production Distribution Marketing Human Resource R&D Strategic Location Liquidity: Collects mostly cash payments Production Quality: Popular demand The food items are certified halal and hence it caters to everyone HACCP certification for the manufacturing of Curry puff and implemented a qualit y assurance program Production: Manufactured in a factory in Woodlands Fresh frozen food products are delivered daily to the outlets Distribution: Always have sufficient stocks in hand Freshly fried at the individual outlets Marketing: Creative Products XInnovative names. E.g. Yan K8 XConstantly introduces more products XWide range of products Creative advertising XE.g. Curry puff said to be pregnant Delivery service XFor special occasions and/or bulk orders

Human Resource: ?Efficient and enough workers to serve the high human flow at individual outlets ?Introduces flexi-work hours/ arrangement for mature homemakers Production Staff ?Replace manual labor with automation to reduce physical strain ?Simplify work processes and improve productivity Food Retailing Staff ?Train staff in standard work processes ?Training in soft skills such as customer service and interacting with customers R&D: XBrainstorms and tests the consumer market XSource for ways to better the taste their quality ingredients that go into their curry puffs XInstalled a delivery system software Strategic Location: ?The Group has 70 outlets in Singapore ?They are located in shopping malls, petrol stations and outdoor kiosks ?The outlets are strategic located to enhance their distribution channel WEAKNESS: 1.Product quality 2.Risk management committee 3.Production 4.Marketing 5.Foreign currency risk 1.Product quality ?Very risky to have only one factory for the production 2.Risk management committee XNo risk management committee 3.Production XNot much offers going on to push sales 4.Marketing XFried foods may not be appealing to the health conscious citizens. XIntroduce new but similar types. E.g. onsticks XReady made frozen curry puffs 5.Foreign currency risk Foreign currency risks ?The Group does not have a formal hedging policy ?About 34% of the Group s purchases are denominated in foreign currencies ?Hence they are exposed to foreign currency risk where if it is not monitor well , it will cause the company to lose money ?However, it is monitored on an on-going basis to keep the net exposure to an ac ceptable level OPPORTUNITIES: 1.Political and regulatory environment 2.Technology 3.Demographics 4.Sociological 5.Future Development of Singapore

1.Political and regulatory environment XThe corporate income tax rate will be reduced from 18% to 17% with effect from Y ear of Assessment 2010. XCompany pays lesser tax and hence result in more savings for other investments o r have better cash flow. 2.Technology ? The F&B industry is characterized by continuing improvements of food quality a nd services which result in many new products introduced. ?Old Chang Kee have to constantly introduce new food items and incorporate techn ology to improve customer services and demand. ?In this case, Old chang kee have creative products and advertising, HR and R&D department to keep up with the trends and improve customer services to meet the demand of consumers. ?Therefore the technology is sufficient to meet the demand. 3.Demographics XThe price range is affordable (i.e. from $1 to $2) XHence it is an opportunity for Old Chang Kee to cater to everyone needs. 4.Sociological ?In a fast pace society, a 'grab and go' service is convenient to the consumers ?Popular among all age groups Culture: ?A touch of Singapore flavor ?Attracts both tourists and Singaporeans 5.Future Development of Singapore Integrated Resorts XThe two integrated resorts is going to open in 2009 and 2010 XHence provides opportunities as this will boost their sales due to the increase tourists THREATS 1.Economic 2.Political and regulatory environment 3.Other competitor factors 1.Economic ?The food items are considered as snacks and hence, not a necessity. ?In times of financial crisis, consumers may choose not to purchase these food i tems. Foreign currency risks ?Currency risk arises from the change in price of one currency against another. ?There is uncertainty in the fluctuation in the exchange rates. ?The group did not have a formal hedging policy hence they face foreign currency risk which is a threat. 2.Political and regulatory environment Job Credit Scheme ?It allows businesses to receive a cash grant based on the CPF contributions the y have made for their existing employees. ?It provides a significant incentive for businesses to retain existing workers, and where their business warrants, to employ new ones. ?The job scheme will only be available till 2010. Therefore, the Old Chang Kee w ill have to find ways to manage their cash flow.

3.Other competitor factors XThe F&B industry is a highly competitive environment. XOther food chains that provide grab and go service such as doughnut factory, breadtal etc." Main Competitor BreadTalk Mr Bean tako pachi donut Polar puffs & cakes Breadtalk has a larger increase in revenue as compared to OCK because they a lar ger expansion of 44 franchise outlets and 27 owned bakeries while OCK has only 1 3 new outlets Breadtalk is covering a more diversified area including Bakeries, Food Atrium and Restaurants in the F&B industry while OCK place the main focus on grab and go se rvices and a few restaurants Furthermore, OCK has a drop in export sales of $46,000 Adequacy and Sustainability?Franchise in Indonesia and Philippines Currently in early stages of development Able to generate significant income in future when they are more stable. New restaurant in Chengdu, October 2008 China is a huge market with a lot of roo m for expansion. Able to generate significant income for Old Chang Kee In times of financial crisis, it can be seen that Old Chang Kee is still able to generate profits from their operation, thus it shows that Old Chang Kee's opera tion is not waivered even by adverse conditions, ?it shows great prospect for Ol d Chang Kee, as they will be able to perform even better in good times. ADEQUATE & SUSTAINABLE! Venturing overseas Reasonable steps taken to test the market Not being too anxious Reduces losses i f overseas venture turns out to be unsuccessful. If there ever comes a time where Singapore is badly affected by economy downturn and the group is unable to generate any operating profit from operations in Sin gapore, Old Chang Kee need not fear, as they would still have operating profits from their overseas outlets which are not as affected, sustaining the difficult period. Adequacy and Sustainability? ADEQUATE & SUSTAINABLE!