Econs2. CONTENT
Content Page
Cover Page 1
Table of Content 2
Key Summary 3
Introduction 45
The history of Optical Trade 67
Brief Bio of the Businesses 811
Comparative Analysis of the Businesses
Competitive Trait
Number of competitors
Brief Biodata of top 3 competitors
Strategies of Businesses
Obstacles faced by new businesses
Nature in Markets
Comparative Analysis Summary Table
Analysis
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Appendices 1924
Recommendation 25
References 26
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3.
Key Summary
We were assigned to interview two businesses of similar industry in different
geographical locations. After we had discussion with each other, we made up
our mind to compare optical shop businesses in Klang Valley and in Kedah.
In Kedah, we interviewed a shop named Eye 2 Eye Optics at Ground Floor,
13, Lorong 20, Taman Patani Jaya, 08000 Sungai Petani, Kedah . Malaysia
On the other hand, we also interviewed New Image Optical at 10, Lorong CP
4 3/8, Taman Cheras Perdana, 10 Mile, Jalan Cheras, Cheras, 43200, Cheras,
Selangor, 43200, Malaysia. After analyzing all the data and information we
gathered, we concluded that New Image Optical is more commercially
successful than Eye 2 Eye. Lastly, both businesses are having Oligopoly
Competition.
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6. The history of Optical Trade
Glasses, otherwise called eyeglasses and displays, are utilized for vision
adjustment.
These days, 8 out of 10 individuals on the planet are wearing displays. Some
wear it for
vision redress, some wear it for design reason. The historical backdrop of
glasses started when the first vision help was designed by an obscure
innovator. It was known as a perusing stone which was a glass circle on top
of the material. In those days it was just used to amplify letters. In the
thirteenth century, handheld amplifying lenses are created from strong glass
and wooden edges. In 1267, an English friar called Reegan Bake made
handheld displays to be utilized to peruse the Bible, however it wasn't
generally relevant yet. Motivated by him, Salvino D'Armate, from Italy,
imagined the initially wearable glasses in 1284.
On the other hand, the Crystal Processing Trade Consortia in Venice
had made the
regulations that glass couldn't be utilized to make lenses for displays as they
are fake of precious stone. So when glass was initially utilized as a part of
lenses assembling, the
displays were made under the state of "scenes for perusing" and stamped
"made of glass". In 1498, Nuremberg began the exchanging of scenes and
had spread the offers of
scenes all over Germany and the Europe. A great deal of producers had set up
branches
in focal European urban areas, and later in the entire world.
The assortment of exhibitions started when shades were presented in
year 1752 by James Ayscough. Later on, American researcher Benjamin
Franklin, who endured from both nearsightedness and presbyopia, designed
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10. NEW IMAGE OPTICAL
The another choices of our business is New Image Optical shop that is
located at 10, Lorong CP 4 3/8, Taman Cheras Perdana, 10 Mile, Jalan
Cheras, Cheras, 43200, Cheras, Selangor, Cheras Perdana, 43200 Cheras,
Selangor. This business is own by Ms. Sherene Lim. She is around 42 years
old. This business was founded in year 2000. During the early period, this
business was not hard to enter the market because there is less of competitors.
The purpose of starting this business is merely to start her own business and
earn more incomes as well.
Furthermore, this business has no any branches and it is the only one at
Cheras. This business has 5 employees including herself who as the
optometrist as well in the shop. The main products sold by the business are
spectacles, contact lens and sunglasses.Services such as vision test and
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12. Comparative analysis of 2 Businesses
1) NUMBER OF COMPETITORS
EYE 2 EYE OPTICS, located at Ground Floor, 13, Lorong 20,
Taman Patani Jaya, 08000 Sungai Petani, Kedah , there are over 10
competitors in the market and about 6 competitors within the area.
NEW IMAGE OPTICAL, located at 10, Lorong CP 4 3/8, Taman
Cheras Perdana, 10 Mile, Jalan Cheras, Cheras, 43200, Cheras, Selangor,
43200, Malaysia, there are about 20 competitors in the market and about 5
competitors within the area.
2) The market share of the business and its top competitors
In Sungai Petani, Eye 2 Eye Optics’s market share is small which
pending to open another branch and its top competitors in the market would
be Eagle Eye Optics which is at Taman Sejati Indah which opposite of
Emerald Puteri Hotel, and Pro Eye Optics as well as Universal Optometry
Sdn. Bhd. both located at Lagenda Height.
In Cheras, New Image Optical’s market share is small due to that she
has no any branches with her another partner to manage his business. There
are few competitors when she is running this business and the top competitor
will be Big Eyewear which is a wellknown optical shop in Cheras area
which located 36 Jalan Temenggong 17/9 43200 Cheras, Selangor. Another
top competitor will be E Optics and finally the nearest optical shop from
Chai’s Optical & Contact Lens House which is next door from New Image
Optical.
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13. 3)Brief Biodata of Businesses Top 3 Competitors
EYE 2 EYE OPTICS
● Eagle Eye Optics which located at Taman Sejati Indah, was founded
since year 2009, by Mr. Lim. There are 2 employees in the shop. The
are only one shop and no other branches right now.
● Pro Eye Optics the second competitor of this business which located
107, Jalan Lagenda Heights 4, Lagenda Heights, Sungai Petani, Kedah,
Malaysia was founded in 2006 by the founder Michelle Yeoh. There
was about 4 employees in the shop. The business has 1 branches which
located in Alor Setar but the shop in Sungai Petani is the headquarter of
this business.
● Universal Optometry Sdn. Bhd. that owned by Keith is opened since
3 years ago in 2013 which have 4 branches. Compared to our business,
this shop has more variety of products and cover a wider area as it is
located at a busy area.
NEW IMAGE OPTICAL
● Big Eyewear Optical Centre which located at Jalan Temenggong,
Bandar Mahkota Cheras which founded by Alice Lee and his husband,
Marcus Leong. There was total 5 employees in the shop and it is no any
branches currently.
● E Optics which located which also located at Jalan Temenggong,
Bandar Mahkota Cheras but is in Seksyen 9 which founded by Mr. Ooi
since 2010. There was total 3 employees in the shop.
● Chai’s Optical & Contact Lens House which nearby New Image
Optical is a shop with a slightly older look compare to others. There
was about 3 employees in the shop.
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17.
Competitive Traits New Image Optical
(Cheras)
Eye 2Eye
(Sungai Petani, Kedah)
Number Of
Competitors
1020 510
Pricing Power Weak (Price Taker)
If their price is higher
than market price they
will lose customers
due to numerous
competitors around.
Weak (Price Taker)
The price he set will
not affect the market
price.
Barrier to Entry Strong. Because this
business have startup
long time ago
Strong. Because this
business have startup
long time ago
Differentiated or
Standardized Product
Standardized Standardized
Other Characteristics Contact Lens, Eye
drops, Sunglasses,
Eye Potion.
Contact Lens, Eye
drops, Sunglasses, Eye
Potion.
Verdict Oligopoly
Competition
Oligopoly Competition
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20. Group Photos in New Image Optical
Owner’s Name : Ms. Sherene Lim
Location : 10, Lorong CP 4 3/8, Taman Cheras Perdana, 10 Mile, Jalan
Cheras, Cheras, 43200, Cheras, Selangor, 43200, Malaysia
Contact Number : +60 39074 2985
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