Volume 1, Disember 2008 Volume 1, Disember 2008

  1. Exploratory Study in Assessing The Market Potential and Distribution Network of Selected Tropical Fruits in Europe

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    Author(s):
    Norjaya Mohd Yasin, Mhd Suhaimi Ahmad, Norzalita Abd Aziz and Ahmad Khairy Ahmad Domil
    Keywords: Market potential, industry survey, tropical fruits, distribution channel, European market.

    Abstract: This is an exploratory study that aims at assessing the market potential of selected tropical fruits in Europe. Specifically, this study attempts to identify the distribution network and to determine the competitiveness of Malaysian tropical fruits in the European market. Through purposive sampling, 100 interviews were conducted on the industry players comprising of importers, wholesalers, retailers, and distributors in the Netherlands, which serves as a gateway to the European market. The study shows that the channel members include large-scale importers, wholesalers, and exporters, as well as large and small-scale retailers, who are the main players in fruits and vegetables distribution in the Netherlands as well as European markets. Results also indicate that there is a great potential for Malaysian tropical fruits particularly carambola, pomelo and dragon fruit due to low market competition. However, it is pertinent that these fruits be marketed in the premium market to reap premium earnings by supplying niche segments of the market. Although fruits such as pineapple, mango and papaya are highly demanded, competition is stiff. Despite low competition, durian, mangosteen, jackfruit and rambutan have less potential since market demand is low and the fruits are less attractive among the Europeans. Marketers of tropical fruits for European market should become more proactive in developing new fresh fruit products and build on the intrinsic strengths of fresh produce- namely freshness, associations with health, nutrition and light taste that is consistent with modern lifestyle.
  1. Exploring Market Potential of Malaysian Tropical Fruits in Japan: Assessment of Market Accessibility and Consumers’ Acceptance

    Author(s): Faridah Hj.Hassan, Rosidah Musa, Jamaliah Mohd Yusof and Jamaluddin Yahaya
    Keywords: Export marketing, consumer behavior, tropical fruits, Malaysian fruits, Japanese consumers, Japanese market, mango, market accessibility.

    Abstract:  Although the world market for tropical fruits is growing, Malaysia’s share in the overall international fruit trade is relatively insignificant. It has been reported that the market demand for fresh tropical fruits in Japan is increasing, and hence, there are great prospects for the development of such fresh fruit market in Japan. Exporting fresh fruits to Japan is considered very challenging but presents an outstanding opportunity for enterprising exporters. Hence, it is timely for Malaysia to examine the export potential for its fresh tropical fruits to the Japanese market. This study explores the market potential for Malaysian fresh tropical fruits in Japan. Specifically, the study aims to provide insight into the legal regulations and administrative procedures of exporting fresh fruits to Japan, to examine the distribution system for imported fresh fruits, to assess the awareness level, attitude, taste preference, and acceptance of Malaysian fruits among Japanese consumers, and to ascertain the potential supply of Malaysian fruits to Japan. Research methodologies adopted comprise personal interviews, customer surveys, field visits, analysis of official document and accessing relevant websites to gather current and pertinent information. The study reveals that mango has the highest potential among the tropical fruits to be marketed in Japan. Recommendations proposed to facilitate Malaysia’s entry into the fruit market in Japan include strategies related to production, logistics/supply chain management, regulations and product.
  1. The Broiler Chicken Industry in Malaysia: Some Evidences on The Structure, Conduct and Performance

    Author(s): Bisant Kaur and Fatimah Mohamed Arshad
    Keywords: Structure-conduct-performance, industry concentration, market integration, cointegration, livestock, Malaysia.

    Abstract:The broiler chicken industry in Peninsular Malaysia has undergone major structural changes in recent years, notably the increasing vertical integration in the industry, which has led to concerns over market power by wholesalers at the expense of producers and consumers. This paper investigates the performance of the broiler market by applying the structure, conduct and performance approach. Using primary data collected from a survey on the wholesale market for broilers, it was found that there was a high degree of concentration in most of the wholesale markets as evident by high concentration ratio and Herfindahl-Hirshman Index. There are also several conditions that restrict the entry of new players. However, in spite of structural rigidities, the study found evidence of spatial market integration using cointegration analysis. This finding suggests that the government could reconsider price control policy measures in the market.
  1. Distribution Channel  of Tropical Fruits in the Netherlands Market

    Author (s): Siohong Tih, Azhar Ahmad, Mohd Fauzi Mohd Jani
    Keywords: Tropical fruits, Distribution Channel, Netherland Market, Importer, Supermarket

    Abstract: Tropical fruits have started to gain acceptance in the European market. For instance, banana, papaya, and pineapple are commonly available at the retail food outlets in Europe. However, only selected tropical fruits are distributed and the main source of these fruits are the Asian countries. With the increased awareness of the value of these fruits that is associated with healthy eating, the potential of fruits in general and tropical fruits in particular is huge. Subsequently, it is crucial to understand the structure of tropical fruit supplies in European market in order to design appropriate channels that would reach the ultimate targeted market segments. Hence, the objectives of this paper are to explore the supply and distribution structure of tropical fruits in the Netherlands market; and to identify distribution channel structure of tropical fruits. In this study, 100 industry channel members were interviewed to gain first-hand information about tropical fruit supplies in the context of the Netherlands. The Netherlands is chosen due to its strategic location as a gateway to European markets. Content analysis of interview responses and percentage counts of quantitative data were included in the research results. Findings of this research indicated that tropical fruits are brought into the Netherlands through importers and wholesalers and then they are distributed to retail outlets such as supermarkets, retail stores and traditional open markets. In addition, the findings indicate that in order to access high-end consumer segments via supermarket chains, the quality of tropical fruits is important. The alternative channels via retailers and traditional grocers are also available at a lower margin. The findings from this research can serve as useful guidelines for tropical fruit proucers and exporters to support their decision making.
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