Most of the organization want to enter their business into the universal market sector to

grow their product globally, finding new target market and widen its market sector base. When a
company decide to expand their market, they have to choose international market as entry mode.
Entry mode to international market are the channel which your organization employs to gain entry
to new international market. The entry mode to international market such as exporting, licensing,
contract manufacturing, join venture and equity stake or acquisition.

Adabi Consumer Industries Sdn.Bhd is managed and run professionally, fully product-driven and
gives equal emphasis to both Research & Development as well as Sales & Marketing. ACISB’s
continuous commitment in providing consumers with products of the highest quality is assured
through strictest standards of requirements set on the processes and the quality of the material
used. Therefore, all Adabi products are guaranteed 100% halal, hygienic, wholesome and healthy.

In recognition of this commitment to quality, Adabi has received numerous awards and accolades.
In fact, Adabi products were the first to receive Halal certification from the Islamic Affairs
Division of the Prime Minister’s Department. Among other awards received are Superbrand Status
(Reader’s Digest Malaysia), International Food & Beverage Award (New Millenium Award –
Paris) and Anugerah Kecemerlangan Industri (MITI) and Anugerah Produk Terpuji (Malaysian
Institute of Food Technology).

The products from Adabi is higher demand and can gain more profits because it also gain
demand from other country. Adabi has potential to enlarge their market into international market.
This company is able to entry to global market through export, joint venture, franchising or
listening.
Nevertheless, Syed Manshor said, the higher costs of raw materials and the rising oil prices
had shrunk Adabi's profit margin.

The company's revenue grew from RM87.3mil in 2005 to RM97.1mil in 2006, of which 5%
was derived from export markets.

By introducing more products, it expects revenue to increase further to RM102mil this

year.

However, Adabi's pre-tax profit fell slightly to RM4.5mil in 2006 from RM4.8mil in 2005
due to the higher costs of packaging and raw materials.

“The demand for commodities has escalated. Combined with a lower supply due to poor
harvest, this has led to the high price,” Syed Manshor said.

He said the oil price hike had pushed up the cost of packaging materials. Therefore, Adabi
forecasts its pre-tax profit to remain at RM4.5mil this year.

To improve sales and grow its business, the company would maintain its strategy of
launching new products annually.

Adabi, set up in 1984 in Batu Caves, has used that strategy over the years. “Introducing
more products to the market would help to grow our business rapidly,” Syed Manshor
said.

Read more at https://www.thestar.com.my/business/business-news/2007/09/24/adabis-

growth-strategy/#H8BZ2plRd0tcuAJu.99

INTERNATIONAL OPERATION
OVERSEAS REPRESENTATIONS

1. PT ADABI NUSA CITARASA (PTANC)

Medan, Sumatera, Indonesia
(Inc. January 11, 1994 - 75% owned)
Operates business as Sole Importer of ADABI's products for Indonesia.

2. YANTAI SHINHO ADABI SPICE PRODUCTS CO. LTD. (YSASP)

Yantai, Province of Shandong, People's Republic of China
(Inc. November 1996 - 50% owned)

Operates business as:

I. Miller and exporter of chili powder and other local products
including garlic flakes, pickled radish, oyster sauce etc for use by the
parent company.

II. Manufacturer and Trader of a full range of spice - based food

products in China.

DISTRIBUTION OF PRODUCTION IN INDONESIA

P.T. Adabi Nusa Citarasa (PT Adabi) was set up in January 1994 in order to facilitate the export
of Adabi products into Indonesia. The local laws require that all food products to be sold in
Indonesia be registered and approved by the Health Department in Jakarta (referred locally as
DES KES RI ML).

Presently, PT Adabi registered 11 Adabi products with the DEP KES RI and each product is
designated a trade number. Since the registration, range of Adabi products were brought into
Indonesia, mainly to Medan, Sumatera. Medan has been picked as the entry point as Adabi
products are no strangers to the locals who knew about Adabi from Malaysia TV transmission.
Demand for the products is encouraging and to-date preparation is being made for the products
to be distributed to the other parts of Indonesia.

PT Adabi is presently negotiating with PT Eshan Rina, an established consumer goods

distributor in Jakarta, to appoint them as distributor of Adabi products for JABOTABEK - an
area which is made up of the province of Jakarta, Bogor, Tanggerang and Chilibon.

PT Adabi Nusa Citarasa (PT Adabi)

PT Adabi is 75% owned by ACISB. The balance of the equity is held by Indonesian
nationals. PT Adabi's business in Medan is looked after by En. Zahari bin Omar, who
also acts as Marketing Consultant. He is Malaysian and has been employed by ACISB
since 1991. Prior to this, he has held various positions from Sales Supervisor to Sales
Manager. When PT Adabi was formed, he resigned from ACISB and moved to Medan
and has been engaged with PT Adabi as Consultant.
 PRINTER FRIENDLY
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Adabi Consumer Industries aims to become one of the largest packaged food manufacturers in
Malaysia by 2020, and to produce flavoursome, healthy and high-quality food products meeting
international Halal standards. In addition, the company also hopes to be the largest distributor and to
become a multinational company in packaged food by 2020.

These Local Company Profiles are a concise set of briefings detailing the strategic direction taken by
a company. Discover key contact details, the company background and their competitive positioning
through this collection of snapshot company profiles.

Syed Manshor said although consumer expenditure on food in Malaysia grew strongly over the
last two years, the food manufacturing industry had reached maturity.
The packaged food sector registered a growth of only 3% to RM12.1bil in 2005 from the
previous year.

“We expect growth to remain between 3% and 4% annually over the next five years,” Syed
Manshor said.

Currently, Adabi has over 70 types of products in five major categories – curry, soup, paste, flour
and sauce.

Its products include kampung fried rice powder, Chinese fried rice powder, instant noodles,
white tom yam powder and kampung fried vermicelli paste.

Adabi recently launched chocolate and strawberry flavoured flour mix, fish soup spices and
assam jawa.

The company, whose major market segment comprises Malays, plans to introduce more products
that suit all Malaysians. Its products are also exported to Indonesia, Singapore, Japan, Hong
Kong, the Middle East and Britain.

Adabi's products are halal. The company has received the MS890:1984 certification from Sirim,
and the SuperBrand status from the Malaysian Superbrands Council and Reader's Digest.

According to Syed Manshor, Adabi is still the market leader for its sup bunjut products, which
have captured about 75% market share.

“Today, our major competitors are the big boys like Nestle, Unilever and also Baba's, which is
the leader in curry powder,” he said.

In terms of packaged food, Adabi has about 0.2% market share compared with Nestle's 14%. Its
curry products was the second most popular after Baba's with about 13% market share, Syed
Manshor said.
Due to stiff competition in the marketplace, Adabi aims to introduce products like Adabi
Tamarind Seedless Xtra as well as chicken and tom yam-flavoured stock cube within a year.

Read more at https://www.thestar.com.my/business/business-news/2007/09/24/adabis-growth-

strategy/#eSZHKt4eTYtquCqI.99

ADABI Consumer Industries Sdn Bhd, which plans to reduce dependency on wholesalers to
distribute its products, would focus strongly on brand building.

“As a medium-sized company, we need to build a strong brand to penetrate the mass market so
that consumers and retailers can recognise our brand,” managing director Datuk Syed Manshor
Syed Mahmood said in an interview.

He believes that the company needs a strong brand and quality products to compete with bigger
players like Nestle.

Syed Manshor said that over the past few years, Adabi realised that its biggest challenges were in
trading and retailing.

Currently, Adabi markets its products mainly through wholesalers and retailers, apart from
selling directly to 20% of its clients, which constitute hypermarkets and supermarkets.

“In the next five years, we want to increase our direct clientele to 50%,” he said, adding that
Adabi would boost the number of its van sales operators which directly service the retail outlets.

image: https://www.thestar.com.my/business/business-news/2007/09/24/adabi-gears-up-to-enter-
mass-market/~/media/40E307574B934E799FB7D147FA1B88B1.ashx

Datuk Syed Manshor Syed Mahmood wiith some of the chicken flavoured spices.
Syed Manshor said Adabi spent RM4mil to RM5mil a year on advertising and promotion to
strengthen its brand.

It also organises cooking competitions, product demonstrations and cooking sessions for
consumers as well as sponsoring cooking events to raise its public profile, he said.

Read more at https://www.thestar.com.my/business/business-news/2007/09/24/adabi-gears-up-

to-enter-mass-market/#MlXCYoQ5Wkq8jdT4.99

https://www.thestar.com.my/business/business-news/2007/09/24/adabis-growth-strategy/
http://asiaep.com/my_com/adabi/international.htm
https://issuu.com/the-halal-journal/docs/thj_06_2-mac/18

http://www.smecorp.gov.my/index.php/en/resources/2015-12-21-10-55-22/news/3021-adabi-
sasar-jualan-rm640-juta-tahun-ini
http://produkadabi.blogspot.com/

https://prezi.com/wkqoucwfbnrd/analisis-campuran-pemasaran-terhadap-syarikat-adabi-malaysia/

http://daftarsyarikat.my/disebalik-kejayaan-syarikat-adabi-terdapat-kisah-yang-ramai-tidak-tahu/

https://www.bharian.com.my/bisnes/korporat/2018/04/410709/adabi-sasar-pendapatan-meningkat-
20-peratus