English Project 2 Report

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School of Architecture, Building and Design Foundation in Natural and Built Environment [ FNBE ]

English II Ms. Cassandra

English Final Project Research Assignment Report FNBE August 2014

Group Members :

Caleb Soh Er Wen 0320292 Cheok Jian Shuang 0320089 Chia Ly Vier 0320142 Chin Vin Yan 0320311 Chong Kit Yee 0319748 Erica Lo Set Lek 0319005 Ng Wyn Jane 0319440 Teh Sin Ying 0320509

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Table of Content

No. Title Page Number

1. Artistic Cover 1

2. Cover Page 2

3. Table of Content 3

4. Key Summary 4.1 The Location 4.2 The Team 4.3 The Assignment 4.4 Research Questions 4.5 Methodology

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5. Research Report 5.1 History of the Trade 5.2 Description of the Business 5.3 Comparative Analysis

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6. Recommendations 15 16

7. Bibliography 17

8. Appendices 18 29

9. References 30

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Key Summary 4.1 Location For this assignment, we were to locate two Chinese medical halls, one in Penang and the other one back here in the Klang Valley. The different locations and environments were to serve as point of comparison between the two businesses. The first Chinese medical hall we contacted, going by the name of Cheng Woh Medical Hall, was located in Georgetown, Penang. Georgetown in itself is a UNESCO World Heritage site and serves as a tourism hub through its many cultural and commercial sites. Cheng Woh Medical Hall in specific is located along Lebuh Campbell and is housed in an old colonial era shophouse. For the Chinese medical hall located in the Klang Valley, we contacted a shop by the name of Keen Hing Enterprise. Located at Petaling Street, Kuala Lumpur, which is a Chinatown infamous for its counterfeit goods, it is located in a prime area where international tourist and locals likewise can be expected on a daily basis. 4.2 Team Placed into teams of eight people, we all brought different skills and strengths to the table. Caleb, playing the role of a leader, took it onto himself to keep everyone accountable on their progress. He also helped facilitate discussions and made key decisions for the group. Ly Vier, Winter and Erica were responsible for everything concerning the medical halls. In between the three of them, they researched on suitable chinese medical halls, arranged our appointments with the chinese medical hall and prepared the interview questions. Cheok and William were tasked with preparing the main bulk of the research materials as well as the data presentations for the report and slides. Jane and Kit assisted in taking recordings and photos which were later used in the report. However, these task appointment did not hinder the group members from aiding one another and giving input to each others section as things progressed. From the research until the final phase of report writing, each of the team members served as an integral member in completing this assignment.

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4.3 Assignment Utilizing comparative research as the fundamental methodology, each of the groups were tasked with studying and comparing two trades or businesses of similar nature, one located in Penang and and the other in the Klang Valley. The main purpose of the assignment was to analyze and compare the similarities and differences of the identified businesses. The data required for analysis and comparison needed to be obtained through a mixture of primary sources and secondary sources. Primary sources being the interview and secondary sources being other printed sources or research papers. The outcomes of the analysis and comparison then needed to be presented in the form of a research report and formal presentation in front of our lecturer. 4.4 Research Questions Based on and modified from the questions provided in the appendix of the assignment brief : 1. When was the business founded? 2. Who are the key founders? How many, if any, generations have inherited the business? 3. What prompted the founders to start the business? 4. What are your main products? 5. Who are your customers? 6. What is the business annual revenue figure? 7. How many branch offices or stores do you have? 8. Can you provide us a brief history of your business and its most recent development? 9. Do you have many competitors? Who are they? Who are your top 3 competitors? 10. Is the business constantly facing strong competition from competitors? What strategies have they used to compete with you? 11. How much capital is required to start this business? What, if any, specialized field of knowledge do you need to run this business? 12. Generally, do you feel that it is easy or hard to enter this market? Why? 13. How do you compete with your competitors? What strategies do you employ to divert customers away from your competitors? 14. Do you have your own medicinal prescription? 15. Where do you get your supply of medicinal herbs? 16. Are your pricing decision strongly affected by your competitors?

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4.5 Methodology 4.5.1 Data Collection We conducted interviews with both owners of the respective chinese medical hall during our visits to their shops. At the same time, we went there equipped with cameras and voice recorders to obtain the necessary evidence and materials. Even before our visit to the chinese medical halls, we did a research on relevant informations and familiarized ourselves with the traditional chinese medicine business. This enabled us to formulate relevant interview questions with the result of better, more workable data. 4.5.2 Data Presentation The end goal of this assignment was to produce a good written report and verbal presentation. To achieve that, we delegated each individual in our team to work on a certain subtopic. This method enabled everyone to focus explicitly on a certain topic and data scope and thus increase the productivity as well as efficiency of each member. Having gotten everyone to arrange the initial data, we then filtered and edited it, looking out for basic grammatical errors as well as ensuring a structured flow to the overall data arrangement. In the mean time, a few others worked on the presentation slides. Referring to the written report, they included all the key elements of the report into the slides. Lastly, we familiarized ourselves with the subtopic allocated to us to ensure a smooth verbal presentation.

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Research Report

5.1 History of the Trade

Chinese herbal medicine has been around for a long time, with a history of about 4000 years. It all started around 2300 years ago, when Shen Nung, now widely recognized as the father of Chinese medicine, harvested and codified wild herbal medicine. Ever since then, Chinese herbal medicine has experienced constant improvement and modification.

Unlike Western herbs, Chinese herbs consist not only of plants, but also of

animal parts and minerals. It fundamentally includes the knowledge of hundreds of herbs and formulae. In most cases herbs are not used on its own but are used in tandem with one another. Formulas usually consist of 10 to 15 or more ingredients, each having a functional relationship with the others. One of the advantages of putting together all the individual dry herbs is that the prescription can be created specifically for each patient and adjusted on a regular basis in relation to the changes of the patient's condition.

In the olden days, most of the Chinese medical hall served as a one stop center

for traditional Chinese medical treatment. To fulfil this function, Chinese medical halls are manned by Chinese physicians and equipped with the traditional Chinese medical counter. The role of a Chinese physician is to accurately identify the root of a medical condition and also prescribe the appropriate medication, much like a modern day doctor. At the same time, the counter contains hundreds or maybe thousands of herbs. Both of these are the soul of a traditional Chinese medical hall.

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In Malaysia, most of the Chinese medical halls were set up by the Chinese immigrants who came to Malaya. Those immigrants were the pioneers who manufactured, managed and distributed Chinese herbs and medicines in this region to countries of this region, e.g. Sumatra, Singapore. Thus, most Chinese medical halls have been handed down from generation to generation, some even amounting to four generations, spanning over hundreds of years.

Nowadays, the Chinese medical halls in Malaysia not only provide medical

treatments, many of them have ventured into the market of herbal mixes for soups, desserts and teas. Some are selling western medicine and miscellaneous goods as well. This serves as a response to the changing demands and needs of this era. Unfortunately, an increasing amount of Chinese medical halls have been finding it increasingly difficult to sustain this business in this era and are slowly waning under the pressure of business.

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5.2 Description of Business This research assignment is based on two chinese medical halls. They are Keen Hing Enterprise in Petaling Street, KL and Cheng Woh Medical Hall in Penang. 5.2.1 Keen Hing Enterprise Keen Hing Enterprise is a chinese herbal medical hall started by their own. This medical hall is located at Petaling Street, Kuala Lumpur. The founder of this business is Mr. Lim Xing. Mr. Lim started his business about 50 years ago because of his passion for Chinese herbal medicine. The business was previously a partnership within three brothers but it is now solely owned by Mr Lim, who is one of the three brothers. The business consists of only one medical hall and it has no branches. A huge portion of the herbs and remedies, up to 90%, are sourced and imported from mainland China. The remaining 10% of the herbs come from local suppliers. The majority of these herbs are then packaged into sachets used to boil soup. These sachets are the main product. According to the interview, most of the customers are either mothers or senior citizens. Many of these customers are regular customers. However, there are also new customers, consisting of tourists and visitors, who visit occasionally. The pricing of the products are adjustable due to economic issues. The average income for this business is around RM3000 per month. In terms of competitors, there are only two in the area. Based on Mr Lim’s words, there used to be more medical halls in the area but many of them has closed down as they they couldn’t afford to continue. Reasons behind this includes high rental fee and the lack of a successor for retiring business owners.

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5.2.2 Cheng Woh Medical Hall Cheng Woh Medical Hall is located at 164BC, Lebuh Campbell, 10100, Pulau Pinang. The business was founded by Mr. Lee Cheng Woh in 1933 and is currently owned by his great grandson Mr Lee. This means the business is in its fourth generation. Mr Lee ventured into this business because of the market and social needs of that time. This was also the only profession in which they were familiar with. They moved to their current premise in 1988. The main product of Cheng Woh Medical Hall is herbal soup sachets which they pack on their own. Dry seafood is also another product which is sold. These are all proven and effective means of treating infertility. As a result, women who suffer from infertility regularly purchase their herbs here. All of these products come from different places with an acceptable and an affordable price. The target market of this company are mothers which includes grandmothers as well as young mothers. Most of them are regular customers. There are also tourists who visit the store as they pass through the area. This is the only store and has no branches. The owner stated that he wish to develop his business and the renovation of current shop is now taking place. Competitors are very wide. They included direct competitors and indirect competitors. Direct competitors are the medical halls nearby and indirect competitors are the small business that sell chinese herbal. Development of this business is on the progress. The strategy of improvement are high value of products, positions of the employee and educate people about the knowledge of chinese herbal.

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5.3 Comparative Analysis

Item Cheng Woh Medical Hall Keen Hing Enterprise

i. Competitors There are many competitors, which includes direct competitors, Poh Aun Tong Medical Hall, and indirect competitors, Hai O Enterprise Berhad and Eu Yan Sang International Ltd.

There are only 2 competitors, which are Kien Fatt Medical Store and Yong Fong Thai Sdn. Bhd.

ii Brief Descriptions of Competitors

1. Poh Aun Tong Medical Hall Since 1965. Sells traditional chinese herbs and provides healthcare consultation services. Product from local and overseas supplier.

1. Kien Fatt Medical Store Since 1967. Categorized as traditional chinese pharmacy. Newly renovated and equipped with air conditioning and lights.

2. Hai O Enterprise Berhad Since 1975. Offers a wide range of products and services Manufactures and distributes products independently.

2. Yong Fong Thai Sdn. Bhd. Since 1975. Categorized as traditional healthcare therapy. Newly renovated and equipped with air conditioning and lights.

3. Eu Yan Sang International Ltd. Since 1885. Market fine quality chinese herbs, chinese proprietary medicines, food and supplements. Manufactures and distributes products independently.

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iii. Competition Strategies i. Pricing

Prices based on market price.

Adjusted according to the economic condition

ii. Advertisment

Featured on social media sites, such as Facebook and Instagram. Preferred by the locals and good reputation is spread by customers.

Advertised via customers’ word of mouth

iii. Signature Product

Specializes in remedies to cure infertility

Specializes in medical herb mix for soups

iv. Quality of Services

Familyrunned, astonishingly warm and friendly. The shop owners regularly chat with customers and give them opinions about health care.

Friendly, but sufficiently fast and efficient. Suitable for the fast paced lifestyle of a big busy city.

iv. Obstacles Faced by The New Business

Large capital is required Owner needs to acquire indepth professional knowledge is required. Face competition from well established shops, such as Eu Yan Sang International Ltd.

v. Nature of Market Perfectly Competitive. Cheng Woh Medical Hall is located in close vicinity to all competitors, which requires them to be unique in order to stand out from the crowd.

Oligopoly. Keen Hing Enterprise is one of the three survivors in the area where they all have their own fix customers flow.

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vi. Summary Table of Similarities and Differences between two businesses.

Cheng Woh Medical Hall Similarities Keen Hing Enterprise

Soup Base and Dry Seafood

Main Products Soup Base and Dry Seafood

None Current branches None

Relatively modern. Newly renovated and equipped with air conditioning and lights.

Business layout and atmosphere

Relatively modern. Newly renovated and equipped with air conditioning and lights.

Cheng Woh Medical Hall Differences Keen Hing Enterprise

The founder of Cheng Woh Medical Hall is Mr. Lee Pak Fong, from Guangzhou, China. He started the business in 1933 in Campbell Street and was forced to close down the business due to the chaos of World War II. The current owner, which is the 4th generation, Mr. Lee Xi Wen inherited the shop from his father, Mr. Lee Tak Tsong and insist on following the philosophy of Mr. Lee Pak Fong, which is to use genuine products only.

History The founder of this business is Mr. Lim Xing. Mr. Lim started his business about 50 years ago because of his passion to chinese herbal. The business is previously partnership with three brothers but is handled by the owner now.

Cheng Woh Medical Hall is located in Campbell Street. Address: 164C Campbell Street Georgetown, 10100 Penang

Location Keen Hing Enterprise is located in Petaling Street Address: Jalan Petaling, 50000 Kuala Lumpur, Wilayah Persekutuan, Malaysia

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7 employees, 5 of them are locals as well as family members of the owner and the other 2 are foreign workers.

Workers 4 employees, all of them are locals as well as the owners’ family members.

Longsighted with plans to have their first branch when they settle down after the renovation of their shop.

Future Plan Shortsighted

Mostly married women, senior citizens, tourists and locals.

Targeted Market Old customers which includes mostly mothers and senior citizens.

Featured on websites and social network sites.

Media Doesn’t advertise2.

Improving on chinese herbal formulas which already achieved 500 different formulas designed to cater treatment and also health food for the community.

Combating Competition Focus on the supply for old customers only

Due to the market needs and obtain qualified knowledge.

Reason of Starting The Business

Passion towards chinese herbal

Mostly from local sources Product Source Mostly from other countries such as China

Around RM60,000 Annual Revenue Around RM40,000

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6.0 Recommendation Based on our analysis regarding the two Chinese medical hall, Cheng Woh Medical Hall and Keen Hing Enterprise,we have proposed a few recommendation to further improve their competitiveness in the future

1. Cheng Woh Medical Hall

Current Situation Recommendations

Limited choices of products.

The owner should consider selling a small selection of western medicine to increase the variety of medicine available. Moreover, the owner should also consider selling some miscellaneous items. A variety of products will definitely attract new customers and maintain the existing customer.

Stagnant expansion of branches. The family owners of this chinese medical hall should further develop their business by opening branches in other towns that lack of Chinese medical hall. This will definitely create a new source of income for the business.

2. Keen Hing Enterprise

Current Situation Recommendations

Limited services. The owner could consider hire a Chinese physician to provide medical treatment . This way, the shop will turn into a onestop traditional chinese medical hall .

Weak advertising Due to the lack of advertisement and publicity, Cheong Woh Medical Hall is hardly visible.The owner should improve on advertising strategies, such as printing some banners in order to allow the customers to search them easily.

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Besides, they could consider being more aggressive in advertising in order to create awareness and draw attention.

Product sources mainly from China The owner could consider getting products from local retail shop. As local product’s cost less. This way, the business profit will increase .

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Bibliography

Borowy, I. (2009). Uneasy encounters: The politics of medicine and health in China, 19001937. Frankfurt am Maim: Peter Lang. Soepadmo, E. (1989). Malaysian traditional medicine: Proceedings of the Seminar on Malaysian Traditional Medicine, Kuala Lumpur, June 1011th, 1988. Kuala Lumpur: Institute of Advanced Studies, University of Malaya.

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Appendices

A compilation of handwritten document and photos that were involved in the process of compare and study on two Chinese medical hall.

A. Cheng Woh Medical Hall Sdn. Bhd.

1. Photos

Signage of Cheng Woh Medical Hall Group photo after the interview section

Owner’s and his family also involved to run the business.

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Process of their coworker packaging the Chinese medical hall.

Products they sell after well packaging the Chinese medical hall.

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2. Handwritten documents.

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B. Keen Hing Enterprise 1. Photos

The front view and the signage of Keen Hing Enterprise.

The overall look of the shop. Group photo after the interview section.

Some of the competitor that we found along the Petaling street.

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Minutes of Meeting (1)

DATE 21th April 2015

TIME 3:00 pm 4:00 pm

VENUE Lecture Theatre 10 ATTENDEES:

NAME OF GROUP MEMBERS TUTORIAL GROUP ROLE

Caleb Soh Er Wen Friday 12:00 pm Leader

Chia Ly Vier Friday 12:00 pm N/A

Chin Vin Yan Friday 12:00 pm N/A

Cheok Jian Shuang Friday 12:00 pm N/A

Chong Kit Yee Friday 12:00 pm N/A

Erica Lo Friday 12:00 pm N/A

Teh Sin Ying Friday 8:00 am N/A

Ng Wyn Jane Friday 8:00 am N/A MINUTES:

NO. ACTIVITIES DETAILS

1. Introduction A brief introduction on what been assigned to do.

2. Discussion Brainstorming on what kind of businesses we want to compare and duties of each members. (See table 1)

3. Research After decided kind of business we want to study, we made a list of shop around Georgetown that we found on internet .

4. Making Appointment We made a phonecall to have an interview section.

5. End Meeting adjourned.

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Table 1.1 ROLES AND DUTIES

NAME ROLE

Caleb Soh Er Wen Leader / Interviewer

Chia Ly Vier Secretary / Interviewer

Chin Vin Yan Voice recorder

Cheok Jian Shuang Video recorder

Chong Kit Yee Document / note

Erica Lo Research / Document

Teh Sin Ying Request for interview

Ng Wyn Jane Document / note

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DATE 2nd May 2015


VENUE Cheng Woh Medical Hall ATTENDEES:


Caleb Soh Er Wen Friday 12:00 pm Leader / Interviewer

Chia Ly Vier Friday 12:00 pm Secretary / Interviewer

Chin Vin Yan Friday 12:00 pm Voice recorder

Cheok Jian Shuang Friday 12:00 pm Video recorder

Chong Kit Yee Friday 12:00 pm Document / note

Erica Lo Friday 12:00 pm Research / Document

Teh Sin Ying Friday 8:00 am Request for interview

Ng Wyn Jane Friday 8:00 am Document / note MINUTES:


1. Introduction Brief of what task and duties before we start the interview.

2. Discussion Business location and appointed. Discussion and creation of illiteracy. (See table 2.1)

3. Delegation of Duties Duties and detail of duties we were made clear and delegated to every members. (See table 2.2)

4. Discussion on Logistic

Thing to bring, transport arrangement and thing to be discuss and set. ( See table 2.3)


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Table 2.1 ITINERARY FOR 2ND MAY 2015

TIME ACTIONS

3:30 PM Meeting at Continental Hotel Lobby and ready to depart to Cheng Woh Medical Hall.

3:45 PM Arrived in Lebuh Campbell. Walk around to survey the surrounding

3:50 PM A brief discussion on what are the task and duties of each group members

4:00 PM Interview of business

4:20 PM Sightseeing of the shop and the process of packaging

4:30 PM End our interview section and walk back to Continental Hotel. Table 2.2 DELEGATION OF DUTY

NAME ROLE

Caleb Soh Er Wen Leader / Interviewer / Navigator

Chia Ly Vier Secretary / Interviewer

Chin Vin Yan Voice recorder / Navigator

Cheok Jian Shuang Video recorder

Chong Kit Yee Transcript writing

Erica Lo Transcript writing

Teh Sin Ying Unable to attend

Ng Wyn Jane Document / Note / Photographer Table 2.3 LOGISTICS

LOGISTICS DETAILS

Transport Walking.

Things to bring Water, pen and paper, electronic devices, questions

Things to do Interview, record, shoot photos, eat.

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DATE 9th May 2015

TIME 9:00 am 11:30 am

VENUE Classroom E3. 11 ATTENDEES:


Caleb Soh Er Wen Friday 12:00 pm Leader


Chin Vin Yan Friday 12:00 pm N/A




Teh Sin Ying Friday 8:00 am N/A



1. Introduction A brief introduction on what been assigned to do.

2. Discussion Brainstorming on what kind of businesses we want to compare and duties of each members. (See table 3)

3. Research After decided kind of business we want to study, we made a list of shop around Georgetown that we found on internet .

4. Making Appointment We made a phonecall to have an interview section.


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Table 3.1: ROLES AND DUTIES

NAME ROLE

Caleb Soh Er Wen Leader / Interviewer

Chia Ly Vier Secretary

Chin Vin Yan Voice / Video recorder

Cheok Jian Shuang Research / Report writing

Chong Kit Yee Research / Report writing

Erica Lo Report writing / Presentation

Teh Sin Ying Request for interview / Document / Note

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DATE 17th May 2015


VENUE Keen Hing Enterprise ATTENDEES:


Caleb Soh Er Wen Friday 12:00 pm Leader / Interviewer


Chin Vin Yan Friday 12:00 pm Voice / Video recorder




Teh Sin Ying Friday 8:00 am Document / Note



1. Introduction Brief of what task and duties before we start the interview.

2. Discussion Business location and appointed. Discussion and creation of illiteracy. (See table 4.1)

3. Delegation of Duties Duties and detail of duties we were made clear and delegated to every members. (See table 4.2)

4. Discussion on Logistic

Thing to bring, transport arrangement and thing to be discuss and set. ( See table 4.3)


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Table 4.1 ITINERARY FOR 17TH MAY 2015

TIME ACTIONS

1:00 PM Meeting at Taylor’s University Lakeside Campus and ready to depart to Keen Hing Enterprise.

2:05 PM Arrived in Petaling Street. Walk around to survey the surrounding

2:15 PM A brief discussion on what are the task and duties of each group members

3:15 PM Interview of business

3:25 PM Sightseeing of the shop and the process of packaging

3:30 PM End our interview section and journey back to campus. Table 4.2 DELEGATION OF DUTY

NAME ROLE

Caleb Soh Er Wen Leader / Interviewer / Navigator

Chia Ly Vier Unable to attend

Chin Vin Yan Voice / Video recorder / Navigator

Cheok Jian Shuang Unable to attend

Chong Kit Yee Unable to attend

Erica Lo Unable to attend

Teh Sin Ying Document / Note / Photographer

Ng Wyn Jane Unable to attend Table 4.3 LOGISTICS

LOGISTICS DETAILS

Transport LRT and walking.

Things to bring Water, pen and paper, electronic devices, questions

Things to do Interview, record, shoot photos, eat.

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References

Chinese Medicine: History, Traditional Four Methods of Diagnosis. (n.d.). Retrieved May 26, 2015, from http://www.travelchinaguide.com/intro/medicine.htm Traditional Chinese Medicine. (n.d.). Retrieved May 26, 2015, from http://healthcaremalaysia.com/newsinfo2/traditionalchinesemedicine Who We Are. (n.d.). Retrieved May 26, 2015, from http://www.chengwoh.com/whoweare Season with Spice an Asian Spice Shop: Spotlight on Spice: A visit to Cheng Woh Medical Hall a Chinese Herbal Medicine Shop. (n.d.). Retrieved May 28, 2015, from http://blog.seasonwithspice.com/2012/05/chinesealternativemedicinalherbs.html HaiO Enterprise Berhad. (n.d.). Retrieved May 29, 2015, from http://www.haio.com.my/background.php Eu Yan Sang : Gift Hamper, Ginseng, Birdnest, Bo Ying Compound, Bak Foong Pills, Chicken Essence, Yen, Honey Mart. (n.d.). Retrieved May 29, 2015, from http://www.euyansang.com.my/About/frmAbout.aspx?intCMSContentID=1074

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http://www.chengwoh.com/who-we-are



Education

English Project 2 Report