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History of perodua analysis

Perusahaan Otomobil Kedua Sdn Bhd (PERODUA), established in 1993. In Malaysia Perodua is secondautomobile manufacturer which after Proton. It is a joint venture company between Malaysian andJapanese. The shareholders of Perodua are UMW Corporation Sdn Bhd 38%, MBM Resources Berhad20%, Daihatsu Motor Co. Ltd 20%, PNB Equity Resource Corporation Sdn Berhad 10%, Daihatsu (Malaysia) SdnBhd 5%, Mitsui & Co. Ltd 4.2% and Mitsui & Co, (Asia Pacific) Pte Ltd 2.8% (Corporate Information n.d).

Perodua does not contend with Proton for the similar market niche because Perodua mostly produce small-compact cars. Since end of 2009, Perodua has sold some 1.67 million units of vehicle of a variety of models.Perodua also sell overseas their cars to UK, Singapore, Brunei, Fiji, Nepal and Sri Lanka.

1.2 Background of Perodua

Perodua is located on a 138-hectare site in Sungai Choh, Rawang, Selangor Darul Ehsan. Besides, in the year of2001, Perodua Auto Corporation Sdn Bhd (PCSB) was established in the final quarter year. Furthermore, thereare also another two joint venture partners of PCBS from Japan which are Daihatsu Motor.Co.Ldt. and Mitsui &Co. Ltd. The PCBS are being managed the manufacturing operations of the Perodua Group (CorporateInformation, 2010).

1.3 Mission and Vision

1.3.1 Mission

Perodua mission is to

Professionalism in all our operations

Efficiency in utilizing technologies and available resources

Resilience in meeting our challenges

Optimizing benefits to customers and stakeholders

Dedication towards social responsibility to community, the environment and development of competent workforce

Uniqueness in our products

Aspiration to glorify the name of PERODUA

1.3.2 Vision

The vision of Perodua is to be the most preferred automotive brand renowned for products and services ofexcellent quality which contributes to the development of the nation.

1.4 Product Milestone

Below is the list of the vehicle that Perodua produce:

The Perodua Kancil-August 1994

The Perodua Rusa - March 1996

The Perodua Kembara - August 1998

The Perodua Kenari - June 2000

The Perodua Kelisa - August 2001

The Perodua Myvi - May 2005

The Perodua Viva - May 2007

The Perodua Nautica 4WD - May 2008

The Perodua Alza – November 2009 (Corporate Information, 2010)

2.0 Analysis of Market Environment Factors that Affect this Company

For a company it is very necessary to have updated date and to have a close watch and to assess the everchanging environment around them. There are 2 types of environment and there are Micro Environment andMacro Environment (Pride.et.al, 2007).

2.1 The Micro Environment

The close forces to the company that have effect on its capability to get the goods successfully to the customer.While for the micro environment consists of 6 factors (Pride.et.al, 2007).

2.1.1 Customer

Customer can be divided into 5 types of markets to get a better idea on them which are:

2.1.1 (a) Consumer Market

The person who buys the product for consumption is called the consumer market (Pride.et.al, 2007). PeroduaCompany comes with varies vehicles that can attract buyers especially these who want an affordable yet efficientvehicle. The company mostly targets on individuals or families who want to buy quality car at a premium asPerodua Company sets up the prices that are reasonable and affordable by most consumers. Perodua Myvi isproduct on May 2005 by Perodua Company which is one of the examples for individual or family use.

2.1.1 (b) Business Market

The companies which buy goods and services are to be used in the production id other goods (Pride.et.al,2007). For instance, Perodua Company buys the parts from other countries but theassembling is done in Malaysia.

2.1.1(c) Reseller Market

The companies that purchases the goods or services and resell the product withoutmaking any changes to it (Pride.et.al, 2007). For examples, Perodua dealers get theproduct from the main company and finally distribute to them without making anychanges of the cars.

2.1.1 (d) Government Market

For government market they may purchase it to be used it in the production of goods and services (Pride.et.al,2007). For example, the model of Perodua Myvi, Perodua Kancil, Perodua Viva are provided to the governmentfor the use of National Parade Day.

2.1.1 (e) International Market

The products used for the use of the government to carry on with the government duties (Pride.et.al, 2007). Forinternational market, Perodua Myvi purchases for the overseas market such as United Kingdom, Singapore,Brunei, Fiji, Nepal and Sri Lanka.

2.1.2 Company

This segment is about the togetherness which should be there among all departments so that the product will bedelivered to the customer in the desired time. This process will be an incomplete process if there aredisagreements between departments, which will result in a delay of not delivering the product to the customer ontime (Pride.et.al, 2007).

2.1.3 Competitors

There are two types of competitors that will affect the sales of Perodua Company which are direct and in directcompetitors.

2.1.3 (a) Direct Competitors

The companies which manufacture the same products within the same industry (Pride.et.al, 2007). For instance,Suzuki, Toyota and Proton are Perodua Company’s direct competitors as the companies sell similar types ofvehicles within the same industry.

2.1.3(b) Indirect Competitors

Indirect competitors mean that when any company which competes for the same customer dollar (Pride.et.al,2007). The indirect competitors for Perodua will be Toyota, Proton, Naza, Honda, BMW, and Mercedes. This isbecause they are also produce cars and they are also competing for the consumer dollars (Corporate Information,2009).

2.1.4 Suppliers

Suppliers could be defined as those who supply the necessary parts to build the product. The supplier influencesthe quality and delivery of the ended product. Suppliers should be from a reliable source and should be consistentat an arm’s reach (Pride.et.al, 2007).

2.1.5 Marketing Intermediaries

Marketing Intermediaries is also known as the middle man. The mediating is usually done by a company in orderto distribute or promote goods to the customer (Pride.et.al, 2007). The sales Manager stated that Giga ShippingCompany transports all the Perodua Products worldwide. There is also a trailer company which provides trailerservice to transport products around Malaysia (Personal Development Leadership, n.d).

Besides marketing intermediaries, mediating can also be financially. As an example, EON bank, RHB Bank, IslamBank act as a mediator in order to promote Perodua’s cars. These companies provide a loan system so that thecustomers could have a minimum payment monthly and enjoy the same benefits of a comfortable car.

2.1.6 Publics

Publics could be defined as a crowd of people who have an interest in a company and also who make an impactto an organization to achieve its objectives. Moreover, a company will take this consideration and try building uprelationships and also offer helpfulness to these groups. There are the 7 types of publics such as local, media,citizen action, government, general, internal and financial (Pride.et.al, 2007).

2.1.6 (a) Local

A community relations officer is appointed by the company to be present at meetingswith the local publics (Pride.et.al, 2007). Perodua Myvi customer are eligible to jointhe club via (http://www.myviclub.com/). There is a public relations officer isappointed from Perodua Company regarding this club. On the other hand, the officeralso can meet with the customer and makes interaction with the customer.

2.1.6 (b) Financial

The company issues an annual publication which is the annual report which alsoincludes the financial statements in the company. The shareholders were given bythe company (Pride.et.al, 2007). All the Perodua Company share holders receive the annual report of thecompany in order to keep the shareholders informed about the financial status of the company (CorporateInformation, 2010).

2.1.6 (c) Media

Media can be described as a company would promote their product more with a positively media coverage(Pride.et.al, 2007). For example, Perodua Company promotes Perodua Myvi on television advertisements. Theofficial advertisement is telecasted on television. Also, they also advertise the product on the World Wide Web(Corporate Information, 2010).

2.1.6 (d) General

The general public’s view in the company is called general (Pride.et.al, 2007). Through our research, most of thecustomer would like to view on the Perodua Company. Hence, positive or negative, it is basically what thecustomer thinks about the company.

2.2 Macro Environment

The societal forces that influence the organization’s ability to provide the customers are called macro environmentfactors which are 6 factors.

2.2.1 Political Legal

The legislation and laws which influences the industry, marketers should be on watch out of the laws which caninvolve the company in the future (Pride.et.al, 2007). Since Perodua Company is fully owned by the governmentof Malaysia, the tax is already included in the price of the vehicle. Therefore, the government gets a sum ofcharges (Corporate Information, 2010).

2.2.2 Economic Environment

The Economic environment investigates the disposable income levels. In addition, the economic conditionsinclude the business cycle, inflation, interest rate and inflations rates (Pride.et.at, 2007).

2.2.2(a) Inflation Rate

2.2.3 Technological Environment

2.2.4 Demographic

2.2.5 Cultural

2.3 How the Company faces Threats and how they convert them to Opportunity

The SWOT analysis is known as the tool to asses a company’s Strength, Weakness, Opportunity and Threats.Strength and Weakness are known as internal factors while Opportunity and Threats are known as the positiveconditions which could bring plunder to the company if acted in the necessary way. For Threats, it can be definedas the barriers which prevent the Company from reaching the company’s objectives.

When a company puts out a new product, there could be threats which come the company’s way. Then thecompany should be ready with a defensive strategy to stand up against the threat and that strategy is known asOpportunity (Pride.et.at, 2007). After the release of Perodua Myvi, the company has faced several threats. So, toget rid of these threats of Perodua Company, Perodua Company came made that threats into opportunity bymaking up a strategic plan (Corporate Information, 2010).

2.3.1 The Entry to the Domestic Market

The entrance of Perodua to the market was in the year of 1993 and it also result a massive change in the industry.Nissan and Toyota were dominating the market which result Perodua getting a small slice in the market. AndPerodua got a boost because Indonesia. This is because they tend to sell about 500 Perodua Myvi cars in amonth (paultan.org, 2010).

2.3.2 The Support

Since Perodua was quite new to the domestic market, as mentioned previously there was also because ofIndonesia. As a result of this undertaking of Indonesia, the workforce of Perodua wassent to Japan for a special training to learn more about engineering skills andassembling skills. This opportunity could be known as a Human Resource

2.3.3 The Competitors

Perodua is known as the second National Car producer in Malaysia which is afterProton Company. But, the competitors to Perodua are from the domestic Market aswell as the International Market. The Domestic competitors are named as Protonand Naza while the competitors from the international market are Toyota, BMW andMercedes. Through these competitors are threats to the company, Perodua’s strategic plan has kept them as thebest car in the Malaysia up-to-date. Besides, Perodua Company is always on the watch out of product life cycle.So, if any company comes out with any new model, Perodua will try to modify the existing model or trying to putout a new model. All in all, company will always want to produce products according to customer trends and notcompany trends. If the company produces according to the company trends then the sales can go down. But, ifthe company acts according to the customer trends there can be good sales.

3.0 Target Market

3.1 Target Customer Characteristics

Target market involves dividing a market into segments and then concentrating on marketing products on one or afew key segments (Pride.et.al, 2007). The target market of Perodua Myvi is segmented by demographicconsumer such as the businessman who likes to work and it is convenient to them. Therefore, the comfort of thepassenger is the main target. Also, the vehicle price of Perodua Myvi is affordable and reasonable for thecustomers which fulfill their demands too.

Furthermore, the first target market strategy used is differentiated marketing. Differentiated market is theorganization selects several market segments and designs different marketing mixes for each segment(Pride.et.al, 2007). The Perodua Company has used different strategy to attract different customers. Therefore,the Perodua Company offered the other vehicles for its different target segments to meet the customer demands.Some of the customers are looking for more convenient cars such as Perodua Viva while customers with bigfamily would like to choose Perodua Alza.

Another target market strategy used is undifferentiated marketing. The marketing mix, which are the 4Ps are theorganization at the whole market. Besides, the organizations also used to avoid other segments from existing, theorganization chooses to mass market (Pride.et.al, 2007). For example, 30 September of 2009, Citibank credit carddeals have organized Perodua Myvi 10X rewards points Easy Pay Campaign. This is use to the customer canmake a down payment by using the Citibank credit card and enjoy 0% interest on the customer down payment and10X rewards point (Citibank Perodua Myvi 10X Rewards Points Easy Pay Campaign, 2009).

While for the last target market strategy used is concentrated marketing. There are one or two segments will beselected by the company and a marketing mix for these few segments will be proposed (Pride.et.al, 2007).Therefore, the aim of Perodua Company use concentrated marketing strategy is not to maximize sales; it isefficiency, attracting a large portion of once section while controlling costs.

4.0 Product

4.1 Product Lines that are offered

A product line is viewed as a unit because of marketing, technical or for end-useconsiderations, by groups of closely related product items (Pride.et.al, 2007).Perodua have released many models of Myvi to suit the different taste of thecustomers. Firstly, there is the original Myvi and now comes with another twodifferent versions which is the Myvi SE and the Myvi EE (Exclusive Edition). Each ofthese models comes with a different pricing and specifications.

4.2 Core, Actual and Augmented

When purchasing tangible product, the buyer will not only obtain the product itself, but also all the extra things thatcome together with the product. This is also known as ‘total product’. The total product of the item can beseparated into three categories which are the core product, actual product and augmented product.

4.2.1 Core Product

Core products are the essential benefits that the buyer want when purchasing the product. The actual benefit thatthe buyers get when purchasing a Perodua Myvi is transportation. Buying a Perodua Myvi allows the buyer canmove around in a vehicle without depending on public transport. This allows the buyer to be able to travel to anydestination at any time without relying on the rigid time frame of a public transport.

4.2.2 Actual Product

Actual products are the fundamental expectation of the buyer of the product (Pride.et.al, 2007). The consumer’smost basic expectations from buying a Perodua Myvi are the style and design of the car. In the Perodua officialwebsite it is stated that the design of Perodua Myvi is a mix of classy and sporty characteristic (Perodua 2009).Besides that, there are many colours for the buyer to customize the Perodua Myvi to suit the their taste. Theengine of Perodua is also manufactured in Japan by Daihatsu. The Perodua Myvi is also known to be more fuelefficient as compared to other cars sold in the market. It is said that Perodua Myvi Auto uses around 13.5 km perlitre and the Perodua Myvi manual is clocked at approximately 17.1km per litre of petrol (Tan, P 2009).

The Perodua Myvi is readily built with air-conditioner and entertainment system with the latest audio technologylike mp3 and a USB reader (Perodua 2009). The consumer can have the option of the transmission of the car tobe automatic or manual. To prevent the car from being stolen, Perodua Myvi is equipped with a security systemwhich includes an engine immobiliser. The only way to unlock the immobilizer to start the car is by using theowner’s car keys. As a result, if somebody breaks into the car, they won’t be able start the car by using duplicatedkeys or by tampering with the wires.

4.2.3 Augmented Product

The augmented products are the additional services the consumer will receive when buying the product. Theaugmented product of buying a Perodua Myvi is that it easier to apply for a loan compared to other imported carsbecause it is a national car. Besides that, Perodua provide services like parts replacement and repair at theirservice centre. The spare parts of Perodua Myvi are also easily available compared to imported cars. Other thanthat, Perodua also provide an extended warranty service for free (Perodua, 2009).

4.3 Branding, Packaging, Labeling, Warranty, Customer Service

4.3.1 Branding

(Shenron, 2009)

Branding is a blend of a term, sign, name, symbol or design which is used torecognize and distinguish products and companies (Pride.et.al, 2007).

Perodua has a small car like Myvi with a big future. Hence, Malaysia’s leadingcompact carmaker is always taken by Perodua. Besides, their management teamstill not really satisfied with their position at the top and their research anddevelopment facilities have given the most critical activity, innovation in design andcreative engineering methods. Nowadays, Perodua is now able to deliver more stylish, unique, and cars with anattractive price to their consumers. This new brand statement, “Building Cars, People First,” is Perodua’s newvisual identity (Interbrand, 2010). Perodua expects to manage all their customers in harmony with their guidingvision.

Besides, Perodua was at the position of seventh most valuable Malaysia brand in Interbrand’s 2007 survey and itlooks set to continue get build up and enhance. This shows that Perodua try their very best to respond theircustomer satisfactory.

4.3.2 Warranties and Customer Services

Perodua Company consists of customer service which is known as smart assist. In the even of a breakdown,members can call the toll free number: 1-800-88-5555. The call centre will dispatch a rescue team to the locationof the vehicle. This service is available 24 hours a day, 7 days a week. Besides, all the customer service agentspractice a friendly, thoughtful, humble and committed routine to give their customers very best service.

Furthermore, 1-hour Superservis also provided and this service is a speedy service package that comes with amoney-back guarantee once the customer’s car is not serviced in one hour. While for the warranty period,Perodua Company has given 3-year/100,000km manufacturer’s warranty. For the extended warranty is plus 3-year/75,000km. ETP is stand for Extended Warranty Programme which is an extension of the Basic WarrantyCoverage that comes with your Perodua by giving the customer an additional coverage period (Perodua, 2010).

4.3.3 Product life Cycle

Product life cycle can be defined as progression of a product through development, introduction, growth, maturityand decline stage.

4.3.3 (a) Development

Product development is the incubation stage of the product life cycle. There are no sales and the firm prepares tointroduce the product.

4.3.3 (b) Introduction

In introduction stage, the product has just appeared in the market with the company having little profit or thenegative profit as there is only little consumer awareness on the product. In this stage, the company increases the

awareness of the public about the product through promotion or advertising. The Perodua Myvi is marketed to thepublic through local mediums such as newspapers, radio and television.

4.3.3 (c) Growth

During the growth stage, sales start to increase rapidly but the promotion costs are still high due to increasingconsumer awareness thru advertising and etc. The growth stage is critical to a product’s survival becausecompetitive reactions to the product’s success during this period will influence the product’s life expectancy. Theprofits begin to decline late in this stage as other car competitors enter the market with their own cars to competewith the Perodua Myvi.

4.3.3 (d) Maturity

During maturity stage, the sale curve peaks as there are maximum sales and production efficiencies lead tomaximum profits occurring in this stage. In this stage, the company will want tomaintain the sales on the product. In keeping the maturity stage going for as long aspossible, the company reintroduces the Perodua Myvi with versions and will alsohave a facelift. Example of this is the introduction of the Perodua Myvi SE to themarket.

4.3.3 (e) Decline

In the final stage, which is the decline stage, the sales will fall rapidly. This isbecause the sales and profits of the product decline. Therefore, the company needsto determine whether to retain or drop the product. The current Perodua Myvi is in a decline stage but is still doingwell in the market as it is ranked the top selling car in the country in the compact segment for the third yearrunning in the assessment conducted by J.D. Power Asia Pacific, therefore leading the Perodua Company tocontinue the production of the car.

The graph above illustrates how the product life cycle of Perodua Myvi has reached the maturity stage where thecompany is making maximum profit from the sales of its product that is the Perodua Myvi. (Managing Productsand Brand, n.d).

5.0 Pricing

Price is the value exchanged for product in a marketing transaction but price is not always money (Pride.et.al,2007). There are some pricing strategies that use in Perodua Myvi product. For example, optional product-pricing,psychological pricing and geographical pricing. The optional product-pricing is the pricing the accessory sold withthe main product. For instance, car sells with the air-conditioning. While for the psychological pricing is the priceset reflects the psychology of pricing and not just the costs. For example, $45900 instead of $46000. Lastly thePerodua company also use the geographical pricing strategies in the Perodua Myvi product. The geographicalpricing is pricing products to customers in different parts of the country such as FOB (free on board) and Zonepricing. FOB means that the customers need to pay the freighter fee from the carrier to the final destination andzone pricing is the company set up one zones, the customer in the more distant zones (Pride.et.al, 2007).

5.1 Optional – Product Pricing

Type of carsThe Perodua Company uses the optional pricing in the Perodua Myvi product, which is the pricing theaccessory sold with the main product. The Perodua Myvi is divided into eight type, Myvi 1.0L SR, Myvi 1.3L SX,Myvi 1.3L EZ, Myvi 1.3L SXi, Myvi 1.3L EZi, Myvi SE GHS, Myvi SE ZHS and Myvi 1.3 ZHL. The differentaccessory of Myvi contains different prices. The different prices are as shown in the table below: (Based on theprice listed given in the catalogue)

Colour

Solid

Metallic

SMET

Myvi 1.0L SR

RM 40,721.80

RM41,240.20

-

Myvi 1.3L SX

RM 45,450.20

RM 45,925.20

RM 46,325.20

Myvi 1.3L EZ

RM 48,425.50

RM 48,900.20

RM 49300.20

Myvi 1.3L SXi

RM48,225.50

RM48,700.20

RM49,100.20

Myvi 1.3L EZi

RM 51,240.30

RM 51,700.20

RM52,100.20

Myvi SE GHS

RM 51,926.00

RM52,401.00

RM52818.20

Myvi SE ZHS

RM 54,940.00

RM 55,426.00

RM 55,826.00

Myvi 1.3 ZHL

RM 51,000.00

RM 53,500.20

-

5.2 Psychological Pricing

The psychological pricing is the price set reflects the psychology of pricing and notjust the cost. It is also apply in the Perodua Myvi product. Example: (Based on the price list given the catalogue)

Myvi 1.3L EZ (solid)

RM 48,425.50

Myvi 1.3L EZ (Metallic)

RM 48,900.20

Myvi 1.3L EZ (SMET)

RM 49300.20

5.3 Geographical Pricing

The geographical pricing is the pricing products to customers in different parts of the country. The Perodua Myvicontains different prices according at the different country or different zone. Example (Based on the price list givenin the catalogue)

The Perodua Myvi’s Price in Malaysia (1.3L EZi)

The Perodua Myvi’s price in UK (1.3 EZi)

RM 52,240.30

£7,499

In the table above shown that the Perodua price in United Kingdom is cheaper once the price convert to Malaysiadollars. The reason Perodua Myvi’s price in UK is more expensive than Malaysia is because of the sales tax inunder vehicle pricing and special interest rate is included (Perodua-uk.com, n.d)

6.0 Distribution

According to Perodua Company, there are many branches in Kuching such as at Satok Parade, Jalan Matang andothers. The location of Perodua Company can be easily found in Kuching. On the other hand, the PeroduaCompany also has branches at the overseas country such as in United Kingdom. The Channel organization that isused by the Perodua Company is shown below:

6.1 Conventional Channels

The Conventional channels consist of independent producers, wholesalers and retailers. They are all selfbusiness which are trying to maximize own profit (Pride.et.al, 2007).

6.2 Vertical Marketing Channels

For the vertical marketing channels, the channel members work in a group rather than individually. It is either one

who owns the others or they are in contract with each other or has so much power that they all corporate(Pride.et.al, 2007).

6.3 Horizontal Marketing System

It is an arrangement with two or more companies at the same level linked together to follow a marketing chance(Pride.et.al, 2007).

7.0 Promotion

7.1 Promotion Goals

Promotion is communication by marketers that informs, persuades and reminds potential buyers of a product inorder to influence an opinion or to get a response. While inform is a communication used to increaseunderstanding of new brand, or a new product. The company explain how the products function, and recommendthe new application for product. The other goals of promotion, persuade the customer to buy now. Finally, remindis a task of retaining the customer knowledge and to call attention to the customers about the importance of theproducts for they might be used in the future (Pride.et.al, 2007).

The promotion goal of Perodua Company in the Perodua Myvi product is inform. Perodua Myvi is still the goodselling product in the market. It is convenient and suitable for businessman but also good for small family. Inaddition, Perodua Company gave information about the Perodua Myvi to society by using several methods, suchas brochures, internet advertising through Perodua official websites, road show and many more (Pride.et.al,2007).

7.2 Promotion Tools

To communicate with individuals, groups and organisations, various promotional tactics have been used byPerodua. When Perodua merges specific plans used to manage the integratedmarketing communications for Perodua Myvi, that combinations form the promotionmix for Perodua Myvi. Advertisement, personal selling and sales promotion some ofthe elements of promotion mix.

The elements of the marketing communications mix

Sources from: (Dolak,D 2009)

The main promotion mix used by Perodua in promoting Perodua Myvi isadvertisement. Advertisement is the activity of attracting public attention to a product or business, as by paidannouncements in the print, broadcast, or electronic media (advertising, 2010). Advertisements used by Peroduaare television, the internet, newspapers and prints. The benefit of using advertisement is that it can cover a widerange of audience but is very costly.

Personal selling is defined as oral communication with potential buyers of a product with the intention of making asale (promotion-personal selling, n.d). The advantage of this that it can influence the customer more compare toadvertisement. The disadvantage is that it depends on the attitude and the skilfulness of the salesperson toconvince the customer. Perodua Myvi is sold through direct selling which is face-to-face by using a sales person.The sales person who does not directly work for the company mostly can lower the price of Perodua Myvi toattract customers. This is because they can deduct the price using their commission. While buying fromsalesperson at the showroom is more convenient as everything is handled by them and also the quality of theservice is much better.

Sales promotion refers to many kinds of incentives and techniques directed towards consumers and traders withthe intention to produce immediate or short-term sales effects (Definition of Sales Promotion, 2010). Perodua havecreated many sales promotions to aid in the sales of Perodua Myvi such as the scrapping programme which was

scheduled on 1 April 2009. This promotion allows customers to trade-in their old car for a reduction of RM5000 offany Perodua cars (Perodua 2009). Another sales promotion is customers can buy a Perodua Myvi on loan forRM347 a month for the first 5 years. If they booked and registered a Myvi from 13 June to 31 July 2009, thecustomer is entitled to join their contest.

7.3 Communication Process

The communication process is a process whereby the sender is marketing their product to the receiver who is thepublic and except some feedback from them. Interference in this process which prevents the message beingconveyed to the receiver is called noise. One of the noises that can affect Perodua promotion is competitor’smessage. Other automobile companies will also have their own promotions to attract customers. They will alwaystry to convince the customers in believing that their product is better than the rest. When Perodua Myvi createspromotion, they have to compete with promotions made by the other car companies for example Proton with theircar, the Proton Saga. This can cause some of the Perodua Myvi’s customers who are convinced by Proton Saga’spromotion to instead opt for Proton Saga. The marketer will always try to convince the customers in believing thattheir product is better than the rest.

The distraction occurs when the advertisement being played is also one of the noises affecting Perodua’spromotion. When the commercial is aired, the customers might be having a conversation or preparing ameal. They will not be able to pay attention and understand the message being conveyed by Perodua.

Conclusion

As a conclusion, we would like to state that Perodua Myvi is a suitable car foreveryone since it is equipped with the latest features. Customer should not worrysince it comes from a powerful Brand name which is “Perodua”. Besides, the targetmarket for this vehicle is businessman or small family. The price of Perodua Myvi isaffordable for the customers. So, everyone can enjoy the facilities of a good,comfortable and safe drive.

“PERODUA MYVI – It’s a Passion”

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