PLC

The main stages of the merchandise life yes be Start Up introductory class of a lunch of a product proceeds -? new entrance be attracted into the grocery place hullabaloo where increasing product capacity result in overcapacity, and then agitation in the market resulting in shake off Maturity -where demand and supply in balance Decline where the market is satu balancen and therefore replacement or new product development is required. Start up When proton offset launched their product in the market theres lots of uncertainty from consumer during that time. Since its new, theres no guarantee of the victory of the brand.Start-up phase is where allocation of trust needs to be in consumers judgement because Proton was facing great competition with famous, successful car brand out there. Competing with these is not easy. Since proton already k forthwith about the market environment and their competitors Proton was smart, to dower their Proton brand to economy or affordable car market. Sales of proton during this phase was low due mishap to meet demand in the market. Growth The successful launch and introduction of the Xerox, the first truly Malaysian office in 2009, helped to improve the come production rule book from 157,643 nits to 173,057 units.Although it is new, the Xerox solely has contributed to 20% of the total volume in its first year of production, a testament of its high demand. In July 2010, the new Xerox Special mutant was launched and continued to capture the MAP segment with its enhanced styling and product specification. The Saga entrust also be upgraded by having a two phase facilitate, the first facilitate targeted in November 201 0 with minor appearance modification and a second involving an engine upgrade in 201 1. This facilitate is planned patronage its continuing streak of high bookings.In fact in the last pecuniary year, the Saga was a best seller several times for the Malaysian machine market due to its impressive sell ing points of consistent tint, value for coin and reliability. The launch of the Persona Elegance in March 2010 is another example of PROTONs allegiance to continuously improve its products. The Elegance is equipped with better specifications including a pussy ACE which means change magnitude functionality, better engine performance and attachd diagnostic capabilities.These combined with an enhanced stylish body kit, alloy rims and internal trim leather makes the Elegance a much sought afterward car in its class. We expect the Elegance to continue its reign as one of the top revenue generating models in our stable. Efforts to improve productivity and quality remain a core focus within the Manufacturing Division. Quality levels improve in 2009, and with the increase in production volume, we are also fetching steps to raise our productivity index. In term of market shares, the comp whatevers market share later grew to 65% in 1987.Proton maintained a bulk market share in the following historic period, which peaked in 1993 at 74% with over 94, 100 units sold. Turbulence The financial year 2009/2010 has been a challenging yet exciting year for proton. They started cautiously in the rouse of the drastic market slowdown due to the 2008 global economic crisis. This had mischievously affected the automotive industry municipalally and globally. Market analysts had originally forecasted an 1 1% decline in total industry volume ingathering in 2009 as compared to 2008 due to the effect of the economic downturn.And Automobile gross sales in Malaysia plunged from 404,000 units in 1 997 to 163,851 in 1 998 due to the 1997 Asiatic Financial Crisis. Protons revenue and profits ere severely affected, but a legal age market share was still maintained into the early 20005. Maturity untested sales and product distributions Effectively, PROTON gained an additional 2% market share, increasing to 28% from 26% in the previous year. This marked improvement of 13% incre ase in overall performance was primarily driven by the popularity of foursome core models namely the Saga, Persona, Xerox and Austria Neo.These made up 94% of the total registration. The Saga continued to be the lead model amongst the top four PROTON models and had managed to create the best-selling model in Malaysia for 3 institutive months from January 2010 to March 2010. With better systems and change processes in place, the overall monthly average of unregistered stock against registered ratio remained healthy at below 1 month, resulting in better gold flow. Decline The mid-asses witnessed a decline in Protons revenues and sales. In 2006, Protons market share was 32%, down from 40% in 2005.Proton lost its majority domestic market share for the first time in 20 years to Periods, the second Malaysian automobile manufacturer. Factors which contributed to the fall of Proton included the revision of the home(a) Automotive Policy (NAP), Protons newer indigenously designed models (I. E. The Proton Wag, Gene-2 and Saws) which were poorly designed and manufacture compared to the former Mediumistic-based Protons and stronger competitors, specifically Periods with their best-selling Mimi which launched in 2005.Both Protons total sales volume and market share failed to recover to its pre-2002 figures and Periods remained the domestic market leader from 2006 onwards. chore endangerment Factors Corporate and Operational Risks Corporate hazards are primarily jeopardizes caused by external events that have potential impact on the strategic finality or activities of the Group. The Board is responsible in ensuring that the corporate risks of the Group are identified proactively. This was performed via product development, quality improvement and process improvement programs.Operational risk is defined as the risk of loss resulting from inadequacy or failure of internal processes, people and system. As the Group progresses towards operational excellence, the Group faces a multitude risks relating to financial risks, vendor capacity and capability in achieving note objectives. Appropriate measures were undertaken to ensure that controls are in place to avoid any sorption Of operations. Export Market Risks Proton conducts its businesses across regions.This exposed the Group to risks such as changes in market regulation, infringement of Intellectual Property Rights (PR) and stiff market competition which may impact the Groups ultimate objectives. As the Groups future lies in expanding into the export markets, it is imperative that efforts are taken to ensure that a risk faced by the organization is effectively managed. Various risk assessments were performed in the year in re slew specifically for our operations in China, inwardness East and Sean.Updates on mitigation plan were reported to the GRAM and have respectively on a quarterly basis. Business Environment Risk Business environment risk is inherent in all businesses. The change global call for reduction in greenhouse gas emissions is now widely acknowledged in both developed and developing nations and is a catalyst for the Green Vehicle concept to be promoted. In view of this challenge, the Group has deliberated the challenges and opportunities in the green technology and ways to catapult this fancy into a feasible end state.