Company Analysis Gardenia Bakeries (KL) Sdn. Bhd. Technology Entrepreneurship (Ent600) : Case Study

COMPANY ANALYSIS
GARDENIA BAKERIES (KL) SDN. BHD.

TECHNOLOGY ENTREPRENEURSHIP (ENT600): CASE STUDY
FACULTY & PROGRAMME:

FACULTY OF COMPUTER AND MATHEMATICAL SCIENCES
SEMESTER:
6 (D2CS2416A)
PROJECT TITLE:
COMPANY ANALYSIS ON GARDENIA BAKERIES (KL) SDN. BHD.
NAME:
WAN NURUL SYAFIQAH BINTI WAN PAUZI
MATRIC NO.:
2018260064
LECTURER:
MADAM YUSRINA HAYATI NIK MUHAMMAD NAZIMAN
EXECUTIVE SUMMARY
In this case study, we will look at Gardenia Bakeries (KL) Sdn. Bhd. in the consumer markets
including market segmentation and target setting. We will only concentrate on Gardenia Bakeries'
products and marketing activities in Peninsular Malaysia. Aside from that, this case study focuses
on the SWOT analysis that Gardenia developed this year, as well as its marketing environment,
which is essential in implementing marketing activities. Furthermore, we will gain a better
understanding of how Gardenia conducts its marketing activities in order to overcome the highly
competitive environment and maintain its reputation as the dominant bakery or breads
manufacturer among its competitors. The goal of conducting this analysis is to assist us in
determining what techniques are actually implemented and how Gardenia manages to remain as
the strongest brand in a highly competitive environment while also distinguishing itself from all
other competitors, including SME bread producers in Malaysia, in terms of various strategies,
plans, and ideas.
ii
TABLE OF CONTENTS
EXECUTIVE SUMMARY .......................................................................................................... ii

TABLE OF CONTENTS ............................................................................................................ iii
LIST OF TABLES AND FIGURES........................................................................................... iv
INTRODUCTION......................................................................................................................... 1
1.1 BACKGROUND OF STUDY .............................................................................................. 1
1.2 PROBLEM STATEMENT ................................................................................................... 2
1.3 PURPOSE OF STUDY ......................................................................................................... 3
COMPANY INFORMATION ..................................................................................................... 4
2.1 BACKGROUND................................................................................................................... 4
2.2 ORGANIZATIONAL CHART............................................................................................. 7
2.3 PRODUCTS .......................................................................................................................... 8
2.4 TECHNOLOGY.................................................................................................................. 12
2.5 BUSINESS, MARKETING, OPERATIONAL STRATEGY ............................................ 13
2.6 FINANCIAL ACHIEVEMENTS ....................................................................................... 18
COMPANY ANALYSIS ............................................................................................................ 22
FINDINGS AND DISCUSSION ................................................................................................ 23
RECOMMENDATION .............................................................................................................. 26
CONCLUSION ........................................................................................................................... 27
REFERENCES............................................................................................................................ 28
iii
LIST OF TABLES AND FIGURES
LIST OF TABLES
Table 2.1.1: Company Information ..................................................................................... 4

Table 2.1.2: Gardenia Malaysia's Awards .......................................................................... 5
Table 2.3.1: List of products of Gardenia Malaysia ........................................................... 9
Table 2.5.1: Steps of Gardenia bakeries food processing company ................................. 17
Table 2.6.1: Analysis for annual growth percentage for the year 2016 - 2019................. 20
Table 2.6.2: Break-even analysis for the year 2006 - 2008 .............................................. 20
Table 3.1.1: SWOT analysis of Gardenia Bakeries Malaysia .......................................... 22
LIST OF FIGURES
Figure 2.1.1: Gardenia Malaysia's bakery plant ................................................................. 5

Figure 2.6.1: Annual growth percentage for the year 2016 - 2019 ................................... 19
Figure 2.6.2: Break-even analysis for the year 2006 - 2008 ............................................. 21
iv
INTRODUCTION
1.1 BACKGROUND OF STUDY
Malaysia's bakery industry is a highly productive and rapidly growing industry, with an
approximate number of several thousand bakeries in the region, including stand-alone smaller
bakeries, industrial bakeries, home bakeries, and F&B outlets with their bakery production lines.
The Malaysian baked goods market has expanded as the items are steadily eaten at home for
breakfast, tea breaks, or even lunch may be substituted for rice and noodles (Business Malaysia,
2017). According to Raudhah Hirschmann (2021), in 2019, the amount of imported bread, cakes,
and other bakery goods in Malaysia was estimated to be about 3.03 billion Malaysian ringgit.
Many Millennials who have been introduced to Western cultures have become accustomed to
adopting bread as a staple meal.
Baked products on the Malaysian market are highly diverse, coming in a wide range of varieties,
tastes, and shapes with a fusion of different flavors and ingredients from the country's various
cultures, as well as western influence. Malaysian slices of breads and buns, which are heavily
inspired by Taiwanese bakery and flour-confection patterns, are smooth and fluffy in comparison
to European bread, which has a smoother and more stable texture. Suppliers and customers alike
are eager to explore innovative flavors, resulting in the ongoing emergence of new concepts and
creations (Business Malaysia, 2017).
During the lockdown, 74% of Malaysian consumers baked at home. The advantages they find are
obvious, such as the fact that home baking is considered healthier, gives them power over the
recipes, and encourages them to save money. Malaysian home bakers use mixes (56%) or bake
from scratch (81%) and tend to buy their ingredients at supermarkets (Jekyll, 2020).
Gardenia, a 50 percent joint venture of the QAF Group, is the biggest player in the Malaysian
bread industry. The Gardenia plants will produce more than 32,000 loaves, snack cakes, buns, rolls,
and waffles each year, making it one of the region's largest wholesale bakeries. In 2019, the
company's revenues surpassed RM1 billion. Gardenia is credited with revolutionizing the bread
industry by becoming Malaysia's first bakery to directly distribute its bread and providing

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COMPANY ANALYSIS

GARDENIA BAKERIES (KL) SDN. BHD.

FACULTY & PROGRAMME:

EXECUTIVE SUMMARY .......................................................................................................... ii

Table 2.1.1: Company Information ..................................................................................... 4

Figure 2.1.1: Gardenia Malaysia's bakery plant ................................................................. 5

1.1 BACKGROUND OF STUDY

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