Power Root Berhad Case Study

1373 Words 6 Pages
Introduction (5%) Power Root Berhad, which formerly known as Natural Bio Resources Berhad, is a locally-founded company, listed on Bursa Malaysia, which has now expanded its business internationally in nine countries. Its headquarters are also in Malaysia and Power Root (M) Sdn. Bhd. is currently one of its subsidiary companies. It is a successful company in the beverage manufacturing industry in developing and popularising energy drinks enriched with Tongkat Ali and Kacip Fatimah, the two main herbs very well-known by the locals for promoting physical health (Power Root (M) Sdn. Bhd., 2017). Next, besides producing energy drinks, Power Root is also popular in manufacturing coffee, milk tea and chocolate beverages. There are several …show more content…
Consumers of coffee, tea, and other beverages have been spending their money frugally over the past few years following the global economic recession in 2008. Factors like interest rates, inflation rates and economic growth can also affect the cost of capital of the business, thus prevent the further investments in Power Root from both the existing investors as well as the potential investors. In addition, the cost of raw materials such as coffee beans and sugar, can be a significant factor if the economy for certain ingredient is …show more content…
The internet and e-commerce are vital marketing techniques in this modern era. The widespread use of social media has reduce the direct interaction gap between the consumers and the business. Power Root has to utilize technologies and social medias to create awareness about the new product. Power Root currently only has an official website for consumers to go to. However, if they were to create a social media web page, more awareness and publicity will be gained. On the other hand, Power Root strongly focuses on research and development. The company has invested a substantial amount of money on its R&D facilities with the best machines and equipment as well as sourcing and training human resources. With determination and innovation, the company’s team has created quality products under a highly professional environment. Therefore, the only concern for Power Root is creating more awareness through social media as people are more tech savvy in this

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