Chapter 16 Effective International Distribution

Woolworths competes to penetrate into Malaysian economy with numerous vase range of
strategies is been used. Woolworth set sales force by taking up local sales force to dispute the
cultural differences in Malaysia and Australia. To enable first cycle sales of Woolworths to be
executed in Malaysia we ensure the sufficient trainings is given to the staffs.

Besides, Woolworths have shown diligences in working with the distributors. Initially
Woolworths might faces obstructions in finding the distributors but through it was possible.
Woolworths have secured efficient distributor to import the goods fastest and easiest way to
Malaysia. It was not a issue since Woolworths is a well reputed company. Woolworths have
been partnered with numerous number of suppliers. Woolworths team which handle on
distribution that holds the responsibility to supervise the stock and spread delivery across the
nation wide which the orders that is purchased every day. Woolworths team works closely with
Woolworth’s trade partners, distribution centres and the business teams to ensure the right
stock is delivered to the distribution centres.

Next Woolworths is an online platform it operates through online sales. Hence it is the cheapest
way to test and dive in the market. Even though the sales promotion and the sales takes place
in online the shipping of the goods is offline where it require sending the goods to the local
distributer. Therefor certain set of criteria we really look into before penetrating into Malaysia
market (ASEAN UP, 2019). For instance, Woolworths check the availability of this online
grocery platform through an insight secondary data. Since we are providing shorter delivery
time we are able to catch the attention of the consumer by constantly meeting up the demand
and requirement on time even if the demand of the supply is high.

Woolworths planning to open our outlet sales for some customers who feels to have the touch
and seeing the grocery products directly and buying offline at our Woolworth sales outlet at
Penang. This substantially reduce the risk that the suppliers and distributers and become known
to the market.

Woolworths have outline on management of conflicts in our channels by sharing the company
vision mission and provide an intense training. Other than that, it is advisable for obtaining the
feedback from our customer to keep improvising this service and support the distributers to
help to support to achieve the ultimate goal of Woolworths.
Chapter 17 Marketing Services and Projects Internationally.

There several marketing issue that we have taken into consideration before planning ahead.
Marketing issues that Woolworths may face is dealing with the language of Malaysian. As per
the details on the language as shown in the graph above by Malaysian Economy source 2018
have shown that Malay is the most used language in Malaysia followed by Chinese, Indian and
English. Therefore for an Australian business to get in to the Malaysian market is knowing
their language and culture which serves as the most important aspect as per all
(Thestar.com.my, 2019). It is vital to know the customs of Malaysians culture to do business
in Malaysia.

(Breakdown of race in Malaysia of year 2018)

Next the political issues aspects, in Malaysia is the political point of view is very stable a few
corruption to take into consideration which gives less or no effects to Woolworths (Export.gov,
2019). Beside taking into account on the promotions issues Woolworths that might face is as
Australian high level technology is on the leading standards on the access to internet and
Woolworths employees are well trained on know how to do business in Asia therefor this
definitely erase the sceptics’ on promotional aspect where Woolworths main focus is by online
Platform this is align with the issues mentioned (Flecther,2017) .

The product issues is regarding the corporation tax that Malaysia is placing which is 26% in
2018 reduced to the current year (Export.gov, 2019). This can be supported by Malaysia holds
the placement of number 24 in easy of doing business between Australian market and
Malaysian (Export.gov, 2019).
The final issue to be discussed is to enter the shipping placement we have establish advice on
custom Department Malaysia and contacting MIDA the authority on to obtain license to operate
shipments from Australia to Malaysia.
Chapter 18 International Marketing in the decade ahead

Future of Woolworths in Malaysia is very debateable considering many factors that will effect
on the coming future on the sales is been explain in this chapter.

Malaysia which consist of thousands digital user is moving ahead in the future that every other
services to be digitalized including remote locations will be replenish with the online service.
Hence Woolworths will be very much face the competitive market with same set of service
provider. Most likely there will be more delivery free services that Woolworths is currently
working on. Not only that more much personalised recommendation food products nor will
groceries be found from Woolworths services. Such services can upstand the future of
Woolworths in Malaysia market (ASEAN UP, 2019).

Transparency of the business can be much augmented where the promotion deals or sales can
be much to the real-time perspective. Business models that Woolworths is considering to
redesign to suit the Malaysian market (Ey.com, 2019). According to Fletcher, Transparency
in sense of fast price information that customer can obtain, instant problem solving techniques
that the online service take over and real time set of information’s again is very vital for
Woolworths to continue to place its product placement in Malaysia in the coming future.

Fletcher also mention that, nowadays physical labour and automated work force is been very
impulsively over the decades. Woolworths have ensure that our labour have the set of
knowledge to move forward on the very high technology based era. Not to deny technology
and automated systems overtaking physical labour productivity. As for Woolworths we believe
our services have a balance between physical labour and automated online workforce to
continue generate sales in upcoming decades.

Woolworths will become less centralised to offer much localised product and service on the
coming years as it Is more exposed to the Malaysian market. This will enhance the market
effectiveness for Woolworths in Malaysia. Hence will become more productive and and
business is implied in Malaysian market in the most effective way as it strengthen the
relationship between employers, suppliers, distributers and customers. Therefor uphill our sales
as customer will choose Woolworths as their ultimate choice on shopping for their household
items.
Reference

ASEAN UP. (2019). Overview of business in Malaysia - ASEAN UP. [online] Available at:
https://aseanup.com/business-malaysia/ [Accessed 26 May 2019].

Export.gov. (2019). Malaysia - Market Challenges | export.gov. [online] Available at:

https://www.export.gov/article?id=Malaysia-Market-Challenges [Accessed 26 May 2019].

Ey.com.(2019). Business expansion into or out of Malaysia. [online] Available at:

https://www.ey.com/my/en/services/tax/transfer-pricing-and-operating-model-
effectiveness/business-restructuring-in-malaysia---business-expansion [Accessed 26 May
2019].

Fletcher, R. & Crawford, H. (2017). International Marketing; an Asia-Pacific Perspective

(7Ed.). Pg425-431

Thestar.com.my. (2019). Singapore-based companies eyeing Malaysia for regional expansion

- Business News | The Star Online. [online] Available at:
https://www.thestar.com.my/business/business-news/2018/08/20/singapore-based-
companies-eyeing-malaysia-for-regional-expansion/ [Accessed 26 May 2019].