THE WEAKNESS OF DUTCH LADY AND RECOMMENDATIONS
1) The competitor sells same products as the company
There are some of firms that sells the same products as Dutch Lady such as F&N
Dairies Malaysia, Coca Cola, Nestle, Pepsico, Fernleaf and many more. For example;
Nestle and Fernleaf also produce milk same like Dutch Lady, which is varies in the
quality and taste but not so much in price. Dutch Lady sells their products with high
price. This will lead consumers to choose a product that is cheap but high in quality
The higher the price, the lesser the consumers to buy their products. So, it is clearly
that consumers will choose other companys that sells same product with high quality
and affordable.
2) Financial statement decreases compare with last year
Based on annual report of Dutch Lady, we found out that the company have low ratio
of net profit income which is 26.2% drop in to RM 17.03 million or 26.6 sen a share
for its first quarter ended March 31 (1QFY15), from RM 23.07 million a year ago, on
lower revenue and increased marketing investment to support relaunch activities of