CH’NG CHIA YEE CHUA YI MEI NEW SZE YEE ONG WEI LING KHOR KHAR HOW CASE 1 :WAJI BOUTIQUE

LACK OF MARKETING STRATEGY Set low price on goods sold Initiate “Word to mouth” to gain reputation, recommendation from customers that satisfied with the price set will indirectly help in promoting the boutique Increase in sales volume and benefit from economic of scales Penetration pricing strategy Promotion on old inventory for clearance stock Help increase customer traffic to the store and boost sale Renew the image and reputation of the shop which previously selling expensive products. Promotional strategy Conduct survey to identify the segmentation of the customers that visit the shop Ex: Purchasing power, design and trend of the clothes By understand these, able to help Mr.Bashir in setting the price for the products. Market segmentation

POOR INVENTORY MANAGEMENT 1st Lodged every item sell in the shop into POS system included information such as the sizes, design, suppliers and price. 2nd Implement scan able bar codes on price tag, these ensure the inventory record will update automatically when sales occurred. 3rd Conduct physical inventory count on a regular basic to ensure the inventory amount is tally with the inventory record in POS system. Computerized inventory help to identify the inventory reorder point, the data helps Bashir to determine the hot seller’s item, and weed out the low sellers. Implement Point-Of-Sales(POS) system to manage inventory

LACK OF INTERNAL CONTROL Process and transaction record should not be done by same person Ex: Hire an employee who fully responsible in the shop but not accessible to accounting system, hire part-time book-keeper to keep the account Cross-checking able to be done, avoid fraudulent activities Segregation of duties Identify their own job scope and entity business process The purchase cannot be done without consent from authorized person (Mr.Bashir). Obtain approval before any purchase is made. Clear job scope and business process Appropriate recruitment process should be done such as required applicant to prepare resume, and go through the interview process in order to identify the most suitable applicant for the job Appropriate recruitment process Randomly drop by the store to check the employee, such as check is that the employee exist in the shop during working hours. Install CCTV to monitor the shop Check the work done by the employee, if there is any mistake action should be taken immediately Monitor employee’s work