TABLE OF CONTENT ACKNOWLEDGMENT 3 EXECUTIVE SUMMARY 4 LIST OF TABLES 5 LIST OF FIGURES 6 1.0 CHAPTER ONE: INTRODUCTION 7 1.1 BACKGROUND OF MALAYSIA 7 1.2 BACKGROUND OF THE COMPANY 9 1.3 PROBLEM STATEMENT 11 1.4 RESEARCH OBJECTIVES 11 1.5 SIGNIFICANCE OF THE STUDY 11 2.0 RESEARCH METHODOLOGY 12 2.1 DATA COLLECTION METHOD 12 3.0 CHAPTER THREE: LITERATURE REVIEW 13 4.0 CHAPTER FOUR: FINDINGS 15 4.1 INTERNAL ANALYSIS 15 4.1.1 STRENGTH 15 4.1.2 WEAKNESS 15 4.1.3 OPPORTUNITY 15 4.1.4 THREAT 15 4.2 HOST COUNTRY BACKGROUND / MACRO ENVIRONMENT ANALYSIS 16 4.2.1 POLITICAL 16 4.2.4 TECHNOLOGICAL 18 4.2.5 ENVIRONMENTAL 20 4.2.6 LEGAL 21 4.3 MODE OF ENTRY 23 4.4 EXTERNAL ANALYSIS 23 4.4.1 RIVALRY AMONG EXISTING FIRMS 23 4.4.2 THREATS OF NEW ENTRANTS 24 4.4.3 THREATS OF SUBSTITUTE PRODUCT/SERVICE 24 4.4.4 BARGAINING POWER OF SUPPLIER 25 4.4.5 BARGAINING POWER OF BUYER 25 4.5 MARKET PENETRATION STRATEGIES 25 4.5.1 PRODUCT 25 4.5.2 PLACE (DISTRIBUTION) 27 4.5.3 PRICE 28 4.5.4 PROMOTION 29 5.0 CHAPTER FIVE: CONCLUSION 30 5.1 CONCLUSION 30 5.2 LIMITATION OF STUDY 32 REFERENCES 33

ACKNOWLEDGMENT

Assalamualaikum and a very great thankful dedicated to almighty Allah S.W.T for giving us this wonderful opportunity where we are able to portray our capability in completing this international business report.

Special thanks is also dedicated to our beloved lecturer, Sir Zaid Mat Yusop for giving us this great task and helping us in developing our skill in various angel such as communication skill, team work, general knowledge about agriculture so on and so forth. We would also send our appreciation to our family for their moral support and non-stop encouraging us to do the best in this MGT361 assignment. Without their support and advice, we would not be able to successfully complete this report.

Nevertheless, not to forget to our class BM1116H members for their support, help information and collaboration as all of us are determine in completing this business analysis. We believe that with the implementation of the business analysis, it will give imaginative and innovative ideas to the entrepreneurs and encouragement to the local community to compel into this challenging business.

EXECUTIVE SUMMARY

FRESHBERRY ENTERPRISE is an indigenous company carrying on business related to agriculture. Our company chose to carry out strawberry plants as a main production. This selection is based on the current situation and also to meet the local and foreign market.

In addition of producing fresh strawberry, FRESHBERRY also provide products such as jams, cordials and dried strawberry. This product is developed to provide diversity in the production of our products. This would help meet the needs of buyers who seek for varieties of our product.

Although Malaysia is not a suitable place for the strawberry crop due to the weather factors, FRESHBERRY sees this as an opportunity to penetrate the local and domestic market and respond to the government to strengthen the agricultural sector. For that reason, FRESHBERRY believe that will be accepted and become one of the contributors to the improvement of the Malaysian economy.

The selection of strawberry as the main product is based on current condition that fails to meet customer demand. For that reason, FRESHBERRY see this as an opportunity to help in reducing the dependence and reliance on foreign products.

As we know, fresh strawberry also contains nutrients that can help increase healthy lifestyle among Malaysians. For example, a fresh strawberry contains antioxidants which arise from the red pigment found in skin of the strawberry. In addition, the strawberry also contains various vitamins such as Vitamin C which is scientifically proven great for health.

Finally, FRESHBERRY want to be one of the leading indigenous companies in the strawberry field internationally and also hope to produce more products based on strawberry such as ice cream, chocolate, topping and others.

LIST OF TABLES

Table 1 :The Importation of Strawberry in Thailand 26

LIST OF FIGURES

Figure 1: Organizational Chart by Department 10
Figure 2: The Image of Freshberry Production 10

1.0 CHAPTER ONE: INTRODUCTION 1.1 BACKGROUND OF MALAYSIA
The total population in Malaysia was last reported at 28.5 million people in 2010 from 8.1 million in 1960, changing 250 percent during the last 50 years. Malaysia has 0.41 percent of the world´s total population which means that one person in every 242 people on the planet is a resident of Malaysia (Trading Economics : Malaysia, n.d).

Because of its central location, between the Indian Ocean and the South China Sea, Malaysia has traditionally been a meeting point for traders and travellers from both the East and West. As a result, Malaysia has a multicultural and multiracial population consisting of Malays, Chinese, Indians and numerous indigenous peoples. Although Malay is the official language, English is widely spoken, especially in business, and the English language is a compulsory subject in all schools. With such a varying ethnic composition, it is no surprise that a great diversity of religions is prevalent throughout Malaysia (Trading Economics : Malaysia, n.d).

Although the official religion is Islam, freedom of worship is practiced. As a result, it is a common to see temples, mosques and churches within the same area. Such a diversity of ethnic groups inevitably features a large number of spoken languages. The official local language is Bahasa Melayu, but then English is widely spoken as are a number of Chinese dialects. Various other languages are spoken and East Malaysia features several other indigenous languages. With such obvious diversity it is remarkable that racial tension is not a constant problem but clearly the gentleness and tolerance of the local population contributes to a real spirit of peace and harmony (Trading Economics : Malaysia, n.d).

Malaysia Gross Domestic Product is worth 238 billion dollars or 0.38% of the world economy, according to the World Bank. Historically, from 1960 until 2010, Malaysia's average Gross Domestic Product was 55.64 billion dollars reaching an historical high of 237.80 billion dollars in December of 2010 and a record low of 2.42 billion dollars in December of 1961. Malaysia is a rapidly developing economy in Asia. Malaysia, a middle-income country, has transformed itself since the 1970s from a producer of raw materials into an emerging multi-sector economy. The Government of Malaysia is continuing efforts to boost domestic demand to wean the economy off of its dependence on exports. Nevertheless, exports - particularly of electronics - remain a significant driver of the economy (Trading Economics : Malaysia, n.d).

The inflation rate in Malaysia was last reported at 3 percent in December of 2011. From 2005 until 2010, the average inflation rate in Malaysia was 2.77 percent reaching an historical high of 8.50 percent in July of 2008 and a record low of -2.40 percent in July of 2009. Inflation rate refers to a general rise in prices measured against a standard level of purchasing power. The most well known measures of Inflation are the CPI which measures consumer prices, and the GDP deflator, which measures inflation in the whole of the domestic economy. Malaysia imports were worth 47.4 Billion MYR in November of 2011.

Malaysia imports commodities: electronics, machinery, petroleum products, plastics, vehicles, iron and steel products and chemicals. Its main import partners are: Japan, China, European Union, Singapore and United States. While Malaysia exports were worth 59.8 Billion MYR in November of 2011. International trade plays a large role in Malaysian economy. Malaysia is one of the top exporters of natural rubber and palm oil, which together with sawn logs and sawn timber, cocoa, pepper, pineapple and tobacco dominate the growth of the sector. Main export partners are: United States, Singapore, European Union and Japan (Trading Economics : Malaysia, n.d).

Under current Prime Minister NAJIB, Malaysia is attempting to achieve high-income status by 2020 and to move farther up the value-added production chain by attracting investments in Islamic finance, high technology industries, biotechnology, and services. The NAJIB administration also is continuing efforts to boost domestic demand and reduce the economy's dependence on exports. Nevertheless, as an oil and gas exporter, Malaysia has profited from higher world energy prices, although the rising cost of domestic gasoline and diesel fuel, combined with strained government finances, has forced Kuala Lumpur begin to reduce government subsidies. The government is also trying to lessen its dependence on state oil producer Petronas, which supplies more than 40% of government revenue (Malaysia Economy Profile, 2012).

The central bank maintains healthy foreign exchange reserves and its well-developed regulatory regime has limited Malaysia's exposure to riskier financial instruments and the global financial crisis. Nevertheless, decreasing worldwide demand for consumer goods hurt Malaysia's exports and economic growth in 2009, although both showed signs of recovery in 2010. In order to attract increased investment, NAJIB has raised possible revisions to the special economic and social preferences accorded to ethnic Malays under the New Economic Policy of 1970, but he has encountered significant opposition, especially from Malay nationalists and other vested interests(Malaysia Economy Profile, 2012).

1.2 BACKGROUND OF THE COMPANY

FRESHBERRY ENTERPRISE is established under the STRAWBERRY PARK RESORT Malaysia. This company has been officially operating in the year 2007 and registered with the Ministry of Agriculture (MOA) and Ministry of Tourism (MOT) Malaysia. Nowadays, own company has become the agro – tourism attraction at Thailand. Our company are co – operated with the STRAWBERRY PARK RESORT at Cameron Highland at Pahang to attract people to well known about the delightful of the strawberry.

Our website is www.freshberry.com and in this website there has more details and specific provided for our customer about our products. Our company not only produce fresh strawberry but we are also produce a food product based on the strawberry such as jam. We are also providing accommodation to the visitor that want to stay.

Vision * To be the world’s strawberry producer and supplier in the the Southeast Asia and among the ASEAN country.
Mission
1) Fresh from farm; to give the satisfation to our customer when they are eat our strawberry.

2) Safe to eat; to take trust from the customer regarding the usage of fertilizer that we use. Our customer does not have to worries to much regarding the fertilizer that we use in our plantation.

3) Agro – tourism; to attract and give opportunity foreigner to come to our strawberry cottage and take a tour by visiting farm and factory to learn more about the strawberry process.

Organization Chart

Figure 1: Organizational Chart by Department Products

Figure 2: The Image of Freshberry Production

1.3 PROBLEM STATEMENT

Competitors are attracted into the market with very similar offerings. Products become more profitable and companies form alliances, joint ventures and take each other over. Advertising spend is high and focuses upon building brand. Market share tends to stabilise.

Those products that survive the earlier stages tend to spend longest in this phase. Sales grow at a decreasing rate and then stabilise. Producers attempt to differentiate products and brands are key to this. Price wars and intense competition occur. At this point the market reaches saturation. Producers begin to leave the market due to poor margins. Promotion becomes more widespread and uses a greater variety of media.

1.4 RESEARCH OBJECTIVES

1) To identify and analyse the strength, weakness, opportunity and need.
2) To identify and analyse the best method for best entry.
3) To identify and analyse host country background (THAILAND).
4) To identify and analyse external analysis that might affect.
5) To identify and analyse market penetration strategies for our country

1.5 SIGNIFICANCE OF THE STUDY
To student: a) Understand the very basic concepts of international business. b) Distinguish international business from domestic business. c) Know how international business environment and national environment largely influence international business activities. d) Identify the various activities of internationaland the effective ways to penetrate international market.

2.0 RESEARCH METHODOLOGY 3.1 DATA COLLECTION METHOD

FRESHBERRY ENTERPRISE used primary and secondary data for gather the information data. By using primary data collection alternatif, the research of FRESHBERRY ENTERPRISE have been gathered by using interview. A purposeful discussion between our group and Encik Amnan, one of the successful entreprenuer in Cameron Highlands. We went to Tanah Rata, Cameron Highlands to gain more specific information related to our research. We also observed the operation and management of . By observing the activities, recording them systematically, and tabulating them, so we able to come up with some findings

The secondary data include the internet, whereby using a website for research to find an information about THAILAND structure and economic for usage of strawberry market. The website that have been used are Google, Factbook CSI, Yahoo, the Publication by Ministry of Agriculture, other government resourcs.

Besides that, we also used the journal for reference the data. Such as a journal for literature review and any other information that have been gathered. A journal can be gathered by using UiTM student portal, the Emerald or by using a Report on International Business, Exporting and Economic. The other method is by using a book, the example books that can be used for gather information is in the Fundemental of Marketing, Research Methodolology and Management guide books. 3.0
CHAPTER THREE: LITERATURE REVIEW

People travel their business abroad because of an opportunity. Opportunities are events which, when countered to accurately, can cause the perfection of a business. People often need to aspect very far in directionto find opportunities. Sometimes, opportunities can be found overseas. Founded by Deresky H., global competition is the most common responsive reasons that rapid a company to move abroad. If left unobstructed, competitors who already have overseas operations or investments may get so ingrained in foreign markets that it becomes tough for other companies to enter at a later time.
Other reasons are from trade barriers. Maynard M. (2005) found in U.S, this country is the first begun building manufacturing plant in automakers from overseas largely as a defensive response to protectionist threats. Foreign automakers like Toyota, Honda, and Mercedes-Benz are aggressively construction new factories and growing plants they opened not long ago even as General Motors and Ford have been declaring thousands of job cuts.

In other hand, proactive reasons might be one of the reasons why company move abroad. Company that using bases in emerging world as spring-boards to build global domains, such as Mexican cement giant Cemex, Indian drug-maker Ranbaxy, and Russia’s Lukoil, which has hundreds of gas stations in New Jersey and Pennysylvania (2006).
Holger Schiele (2008) believed that the clustering of entire value chains in single locations has considerable consequences for firms. For instance, Nokia officials explained that they closed the last mobile phone factory in Germany because they had failed to attract a cluster of suppliers near the factory. Most suppliers are located in Asia and even though transport costs are negligible, the distance to the industry centre and the resulting long lead times prevented Nokia from achieving the necessary flexibility to react quickly to market changes. Such as, in the word of Sim ( 2006 ) state that most of China’s export success is driven by firms located in ‘’one-product towns’’ where hundreds of firms agglomerate along a single value chain.

Beyond firm- and country-specific elements that are traditionally considered part of foreign market entry decisions, the structure of the foreign industry’s value chain, and the capabilities of the firms operating within that chain, can also play a very significant role in global expansion. Industry value chains, and the activities and skills of the firms within those chains, can evolve in distinctly different ways, even within industries that produce similar products or services stated by Jamie Anderson (2009). The FRESHBERRY group had also invited Carrefour to be a share partner , intended to expand the brands FRESHBERRY company.

Strategic reasons for companies investing abroad are primarily the desire for new markets, production efficiency and new sources of raw materials. Peter Williomson (2005) state a multinational enterprise has to assess the impact that such unexpected exchange rate movements will have on its foreign investment. Too often in the past, multinationals have only seen Asia as a manufacturing base or a source of customers in a growing market. With the decay of me-too strategies and the resulting increased emphasis on innovation amongst their local Asian rivals, multinationals will not only have to exploit transfer innovative technologies and products into Asia more rapidly, they will also have to ramp up their own innovation activities in Asia.

4.0 CHAPTER FOUR: FINDINGS
4.1 INTERNAL ANALYSIS
4.1.1 STRENGTH * Strong evidence of successful strawberry plantation in Thailand * Huge local and international demand * Relatively low production cost * The industry is close to very large potential markets and this should be encouraged

4.1.2 WEAKNESS * Fruit is delicate and shelf life is short. * Supermarket methods of storage needs to be addressed and staff educated * There can be difficulties for small industries in sourcing effective spray * A high-cost crop, with labour being a particular concern

4.1.3 OPPORTUNITY * Domestic market per capita consumption must be increased if growth is to be attained * Export markets could be significant and should be addressed * Fruit attributes by producing fruit to consistently meet consumer expectations * Effective health and benefits promotion could increase consumption * Profitability achieving is better returns through the supply chain

4.1.4 THREAT * Competitors in export markets * Labour costs regulatory increases within the wage system * Health scares. Consumer perceptions following a related/unrelated food scar * Protected cropping has potential impact of growing practices in other countries

4.2 HOST COUNTRY BACKGROUND / MACRO ENVIRONMENT ANALYSIS
4.2.1 POLITICAL Thailand occupies the western half of the Indochinese peninsula and the northern two-thirds of the Malay Peninsula in Southeast Asia. Thailand has a constitutional monarchy type of government. This country has a stable political environment since it is governed under the constitution of 1997, its 17th from 1932. The king is the head of the nation. The country has also a Prime Minister, the head of the government who is chosen by the House of Representatives (Comparative Case Study between Malaysia and Thailand, 2009). Thailand's political structure has undergone evolution in response to the changing environment. In the analysis, the Office of the Prime Minister is a central body, which in itself ranks as a ministry, whose responsibility is largely concerned with formulating national policy. Thai Government Policy had change from its being favor to protectionism. It is the policy of the Thai Government as delivered to the National Assembly on 26 February 2001, to "support and advance free trade" in both the regional and international arena. At the same time, Thailand could not solely emphasize acceleration of exports without paying equal attention to other aspects that would integrate the Thai economy dynamically into the global economy, such as building Thailand's competitiveness in key areas, harnessing local innovative capacity and developing a global marketing network system that is able to respond to the rapidly changing needs of the border less economy and strengthen our grass-roots economy to create taxable income (Comparative Case Study between Malaysia and Thailand, 2009). Prime Minister Thaksins (2001) said in his address to ESCAP is that "Thailand needs to draw on our inner strengths and develop new products that are unique, crafted from domestic inputs, traditional or local know-how that has special appeal to the new global market, combined with new marketing and communications technology in order to achieve long term competitiveness based on its internal strengths (Comparative Case Study between Malaysia and Thailand, 2009). Furthermore, Thai Government deems it necessary to seriously examine Thailand's current strengths and weaknesses in the new global economic environment. This is to ensure that the Thai private sector, including in particular Thai farmers and those who have been marginalized by Thailand's economic growth could henceforth withstand the adverse impact of liberalization and also compete and benefit equally in the open market in the long term. Commitments that the Thailand has towards the multilateral trading system under the WTO and banking reforms under BIS as well as other multilateral institutions will continue as well as its agreement with different ASEAN countries. Furthermore, in the analysis, it shows that Thailand has a view on its own culture and religion (Comparative Case Study between Malaysia and Thailand, 2009). 4.2.2 ECONOMIC Thailand, after two years of financial turmoil and suffering, analysis indicates that Thai's economy finally began to show distinct, if muted, signs of recovery in 1999. Moreover, Thailand has a free enterprise economy and welcomes foreign investment. Exports feature computers and electrical appliances. After enjoying the world's highest growth rate from 1985 to 1995 - averaging almost 9% annually - increased speculative pressure on Thailand's currency in 1997 led to a crisis that uncovered financial sector weaknesses and forced the government to float the baht (Comparative Case Study between Malaysia and Thailand, 2009). Long pegged at 25 to the dollar, the baht reached its lowest point of 56 to the dollar in January 1998, and the economy contracted by 10.2% that same year. Thailand then entered a recovery stage, expanding by 4.2% in 1999 and 4.4% in 2000, largely due to strong exports. An ailing financial sector and the slow pace of corporate debt restructuring, combined with a softening of global demand, slowed growth to 1.4% in 2001. Increased consumption and investment spending pushed GDP growth up to 5.2% in 2002 despite a sluggish globaleconomy (Comparative Case Study between Malaysia and Thailand, 2009). While market liquidity improving markedly throughout the year, allowing interest rates to decline, new lending remained subdued. Investment and consumer spending remained sluggish, prompting policy makers to unveil a raft of new fiscal measures to help jump-start recovery. Still, many key indicators suggested the worst for the economy was over. The manufacturing production index turned upwards in February 1999, showing 2.6% growth from the year before, following 17 straight months of declines. By June, the index was up 12% from the year before, and 14.4% in October. The organized labor movement remains weak and divided in Thailand; only 3% of the work force is unionized (Comparative Case Study between Malaysia and Thailand, 2009). In 2000, the State Enterprise Labor Relations Act (SELRA) was passed, giving public sector employees similar rights to those of private sector workers, including the right to unionize. Malaysian economy quickly back onto a rapid growth path following the Asian crisis; its recovery economically and politically has been better arguably than in Thailand (Comparative Case Study between Malaysia and Thailand, 2009). 4.2.3 SOCIAL-DEMOGRAPHIC The word "Thai" means "Free” and therefore Thailand means “Land of the Free." The population of Thailand, approximately 60.9 m, includes ethnic Chinese, Malays, Cambodians, Vietnamese, Indians, and others. Buddhism, the national religion, is the professed faith of 95 percent of the population. Islam, Christianity, Hinduism, and other creeds are embraced by the rest of the population. There is absolutereligious freedom. The King of Thailand, under the constitution and in practice, is patron of all major religions. The official national language is Thai. It is tonal, uninflected, and predominantly uses monosyllabic words. Most polysyllabic words in the vocabulary have been borrowed, mainly from Khmer, Pali and Sanskrit. Dialects are spoken in rural areas. Other languages are Chinese and Malay. English, a compulsory subject in public schools, is spoken and understood mainly in Bangkok and other major cities (Comparative Case Study between Malaysia and Thailand, 2009). 4.2.4 TECHNOLOGICAL

Thailand's technological advancement will be analyzed next. The National Information Technology Committee (NITC) was established in 1987 to oversee the policy aspect of information technology development and deployment in Thailand. At present, it has 18 subcommittees steering various IT developments, including three that directly affect the electronic commerce development: the Electronic Data Interchange (EDI) subcommittee, six IT-law subcommittees and the Electronic Commerce Task Force (Comparative Case Study between Malaysia and Thailand, 2009). The National Electronics and Computer Technology Center (NECTEC) were established in 1992 to carry out research and development in the electronics and computer-related areas. NECTEC operates 15 laboratories specializing in various technologies such as microelectronics, telecommunications, networking, software and linguistics. In 1992, NECTEC was assigned by the government to perform the role of NITC secretariat, in addition to its main role of R&D promotion and implementation. Recently, TDRI conducted a study on the technological capability of Thai industry (Comparative Case Study between Malaysia and Thailand, 2009). Altogether, 116 firms in the three areas of biotechnology, materials and electronics were the subject of the study. Analysis states that the biotechnology-based industries are mostly in resource-intensive industries. These technological developments were graded on four capabilities: namely, acquisitive, operative, adaptive and innovative. Finally, innovative capability involves carrying out research and development activities and making radical or major product and process modifications. It was found that the operative capability had the highest score in all industries of Thailand as far as technology is involved. Study further shows that Thailand has not sufficiently mastered the core technology to make further developments other than minor adaptations (Comparative Case Study between Malaysia and Thailand, 2009).

4.2.5 ENVIRONMENTAL

The modern Kingdom of Thailand has flourished for over two centuries, during which time a society built on tolerance and hospitality, openness and fervent independence has developed. Geographically, the country is at the centre of what was until the 1950s French Indo-China. However, the Thai people were never subjected to foreign colonial rule – a fact of which they are extremely proud.
Thai culture has been influenced and shaped by a number of diverse sources, such as Chinese culture and Buddhist and Hindu philosophies. This mix has led to a complex way of thinking which must be understood to interact successfully with Thai counterparts. By completing a cross-cultural training programme for business and management such as Doing Business in Thailand, your organisation will be better equipped to form coherent strategies for profitable and enduring associations with counterparts in Thailand. Below are some of the major conceptual challenges to understanding Thai business culture and society.

The concept of saving face is important in Thai society. Thais will do anything to prevent loss of face, including avoiding confrontation or telling others what they want to hear rather than dealing with immediate issues. Criticising someone in public and not staying true to promises are various ways that people may be perceived to ‘lose face’ in Thailand. Thailand is a collectivist society in which the needs of the group are often placed over those of the individual. Family and community concerns will almost always be put above business or individual needs.
Family in particular plays an important role in Thai society. You will notice that close ties between extended families and communities can have a major influence on individual behaviour in Thailand and often there are multiple generations living under one roof. Being subtle and indirect are valued characteristics in Thai communication. In conversation, a considerable part of the information lies in underlying messages or in non-verbal cues. Thai people avoid direct confrontation, and criticism, if given at all, is delivered indirectly. As the cornerstone of Thai society, the family is attributed great value and importance. Thai families are close and several generations may live in the same house, with the oldest male being the head of the household. The power structure of the family is mirrored in the organisational environment. Advice from elders is expected to be followed without question, although this is becoming less true with time and modernisation.
Thailand is a fascinating and complex country, influenced by centuries of religious philosophy, immigrant know-how and wisdom coming from foreign trade and commerce. This complexity can be hard to understand for the outsider in Thailand, and an obstacle to doing business. By enrolling members of your organisation on a cross cultural awareness training course such as Doing Business in Thailand or Living and Working in Thailand, your organisation will be able to form strategies to cope with and manage interactions when doing business in Thailand.

4.2.6 LEGAL

In Thailand, Consumer Protection Act, B.E. 2522 stated consumer has the right of protection to receive correct and sufficient information and description as to the quality of goods or services; the right to enjoy freedom in the choice of goods or service, the right to expect safety in the use of goods or services and the right to have the injury considered and compensated in accordance with the laws on such matters or with the provision of this Act. So, investors in Thailand must comply with this rights of proctection (Bhumibola Adulyadej Rev, 2009).

Thailand’s codified employment laws, administered by the Department of Labor, Protection and Welfare, stipulate working conditions such as maximum work hours, holidays, sick leave, minimum wage and severance pay. The laws, which may significantly affect a firm’s decision to do business in Thailand, also provide employers with flexibility in managing labor, such as in staff recruitment processes, retrenchment policies and employee transfers.Work Hours, Holidays and Sick Leave.
The maximum number of work hours is eight per day or 48 per week, except for work deemed by law to be hazardous, in which case employment is limited to seven hours per day and 42 hours per week. Overtime compensation must be paid at a rate of between 1.5 to three times the normal hourly rate to qualifying employees.Employees are entitled to 13 national holidays per year, plus a minimum of six days of vacation after one year of consecutive work. Thirty annual paid sick days is standard, and an employer may require a doctor’s certificate for sick leave of three days or more. Female employees are entitled to 90 days of maternity leave, including 45 days of paid leave. The minimum daily wage rate varies, depending upon location, from 137 baht (US$ 3.43) in some provincial areas to 175 baht (US$ 4.38) in Bangkok. Salaries for full-time office and management staff range from approximately 15,000 baht per month (US$ 375) for general office staff to 150,000 baht per month (US$ 3,750) for an IT manager (An Overview of Thailand's Labor Regulations, n.d).

It is suggested for a foreign investor in Thailand to register their legal entity to be recognized as a ‘Juristic Person’ under the laws of the Kingdom of Thailand in order to secure and facilitate all transactions. According to the laws of the Kingdom of Thailand, there are 5 categories of Juristic Person Registration, as follows: 1. Company Limited
The actual company registration can be completed in one day with only 3 promoters required as opposed to the usual 7 minimum number of promoters or shareholders. Being a Company Limited, shareholders in this company set-up bear the least liability limited to the unpaid share values. A Thai Company Limited as long as it’s properly incorporated and have the required capital and number of Thai employees can easily procure a Non B Visa and a Work Permit for its foreign employees.(Business Support, n.d)

2. Limited Partnership
It requires only two promoters (shareholders) at the beginning which is two promoters, one must be appointed “Managing Partner”, also known as “General Partner”, to act on behalf of the business. One important fact that needs to be taken into account for this business set up is that, according to CCC, the general partner must assume an unlimited liability for the business. This means that in case the business is indebted or goes bankrupt; the general partner must also resultantly be liable for all the debts occurred.(Business Support, n.d)

3. Foundation
The objective of the Foundation must relate to charity purposes and need at least 3 founders at the beginning. Another fact that needs to be taken into account is that it takes around six months to one year for the application to be approved.(Business Support, n.d)

4. Representative Office The registration of a Representative Office is governed by Foreign Business Act B.E. 2542 which specifies that being a Rep. Office; it cannot generate any income in the Kingdom. (Business Support, n.d)

5.3 MODE OF ENTRY

In order to market our business in Chiang Mai , we choose to use exporting mode of entry in international business. There are direct and indirect approaches to exporting to other nations. Direct exporting is straightforward. Essentially the organization makes a commitment to market overseas on its own behalf. This gives it greater control over its brand and operations overseas, over and above indirect exporting. On the other hand, if you were to employ a home country agency, for example an exporting company from your country - which handles exporting on your behalfto get your product into an overseas market then you would be exporting indirectly. Our company decided to use both direct and indirect exporting because we will farm at Chiang Mai and choose Carrefour as the sole marketer of our products.

4.4 EXTERNAL ANALYSIS 4.4.1 RIVALRY AMONG EXISTING FIRMS In the traditional economic model, competition among rival firms drives profit to zero. But competition is not perfect and firms are not unsophisticated passive price takers. Rather, firms strive for a competitive advantage over their rivals (Porter’s Five Forces, n.d). Based on the FRESHBERRY ENTERPRISE analysis, competition rivalry among existing firms are high due to the increasing number of firms that produce the same products in this country. Thailand having a strawberry festivals once a year especially at Chiang Mai (famous strawberry farms) which show us strawberry is one of their favourable fruits and flavours. If rivalry among firms in an industry is low, it may lead an industry’s history of competition or can be leading firm and can be competitive advantage. But in this situation it seems there are many competitors to be faced and we have to take a unique way to stay in competitive advantage. 4.4.2 THREATS OF NEW ENTRANTS
Based on (Porter’s Five Forces, n.d.) it is not only incumbent rivals that pose a threat to firms in an industry but also the new firms that enter a market can affects competition. Any firms should be able and free to enter and exit market. For this analysis, threats of new entrants are high because of increasing number of firms in this industry. When the firms add up to a maximum number, barriers are exists and the new competitor must have an ability to enter the market. Once the firm has entered, they have to evaluate their strategic plan to increase their profits that can be barriers for other firms. In this case, FRESHBERRY ENTERPRISE take an opportunity as a new competitor to exporting strawberries’ products into Thailand as it can give a chance to the entrepreneur to view evaluate the business and act as a practical business plan. Furthermore, our company tried to study about other firms and build a good relationship to be our guideline in management of exporting business.

4.4.3 THREATS OF SUBSTITUTE PRODUCT/SERVICE In Porter’s Model, substitute products refer to products in other industries. (Porter’s Five Forces, n.d.) shows that the economists, a threat of substitutes exists when a product’s demand is affected by the price change of a substitute product. A product’s price elasticity is affected by substitute product where more substitute become available, the demand become more elastic since customer have more alternatives. In this case, a threat of substitutes is very high as we discuss about the same firms which is exporting and supplying strawberry into Thailand. In Thailand, there are high number of supplier that sells and produce the same products which also known as substitute products.

4.4.4 BARGAINING POWER OF SUPPLIER
From the analysis model, it is possible to conclude that supplier power is low due to the number of suppliers that plants and produces strawberry products. This is because when the number of supplier is more than the number of buyer, it is difficult for the firms to promote the same things, same products, same usage and same benefits. All the supplier can do is reduces the cost but increasing their quality so that the consumer will satisfy and purchase fruits and products. For our company, this is our task to discover what consumer wants and servicing them with value-added. Due to lower supplier power, we have to come up strategic plan to attract people and approach them into our company.

4.4.5 BARGAINING POWER OF BUYER (Porter’s Five Forces, n.d.) stated the power of buyers is the impact that customers have on a producing industry. Buyers are powerful when in a market there are many suppliers one buyer. In this case, buyer power is reasonably high because they potential to buy and choose by themselves. With maximum number of suppliers, the buyers have their right to choose their trusted products and lowest price with the quality of the fruits. Plus, potential customers have access to price information through the internet and mobile technology; thus, they can find cheaper prices easier. Thailand has limited farms but because of increasing number in demand, there are lots of outside suppliers export their fruits into Thailand. With various types of strawberry products, consumer can choose and buy the fruits with their excellent choices. 4.5 MARKET PENETRATION STRATEGIES
4.5.1 PRODUCT

Most plants have fruits. Fruits are the part of the plant that contains the seeds. Plants use the fruits to spread the seeds. For example a bird that eats a cherry will drop the seed at some distance from the tree. Then another cherry tree can start growing there. However, there are many types of fruits in the world. But, in Thailand, they love to eat fruits. Therefore they called Thailand people the ‘’King of Fruit’’. The FreshBerry Enterprise have made an analysis on how well people in Thailand can accept the strawberries production in land of Chiang Mai, Thailand.

Year | Import Quantity From Company | 2002 | 10 | 2003 | 26 | 2004 | 316 | 2005 | 116 | 2006 | 107 | 2007 | 354 | 2008 | 302 |
Table 1 :The Importation of Strawberry in Thailand

The table above shows the growth and the fall of strawberries importation. In the early year 2002, the importation of strawberries is at the lowest demand in quantity and become high at early year 2004. In 2005 and 2006 was anomaly fall because the threat of Mother Nature in the end of the year 2004. In that year is where Tsunami struck. In 2007 shows the highest peak at strawberries importation which mean the highest demand in strawberries.But apparently in 2008, the importation of strawberries fall with the quantity of company supplies about 52 company withdrawals.
The study had shown that in the year of 2008, many company withdrawals because of problem of rising oil price. Therefore, many dealers raised up their price in strawberries plantation. In this case, FreshBerry Entrepreneur had decided to open the strawberry farms and companies in Chiang Mai, Thailand. With opening a company at Thailand, FreshBerry Entrepreneur can reach the customer desire.
Strawberry products usually get a lot potential in the local market because the products are not easy to get. Other than that, strawberry contains Vitamin C, Ascorbic Acid, Thiamine, Riboflavin, Niacin, Pantothenic acid, Vitamin B-6, Folate, Vitamin B-12, Vitamin A, Vitamin E which is good for health besides having a delicious taste.
There are several type of strawberry used in company plantation. It is U.S. No. 1 consists of strawberries of one variety or similar varietal characteristics with the capattached, which are firm, not overripe or undeveloped, and which are free from mould or decay and free from damage caused by dirt, moisture, foreign matter, disease, insects, or mechanical or other means. Each strawberry has not less than three-fourths of its surface showing a pink or red colour. The size of U.S No.1 isnot less than three-fourths inch.
Second is the U.S. Combination consists of a combination of U.S. No. 1 and U.S. No. 2 strawberries. Third is the U.S. No. 2 consists of strawberries which are free from decay and free from serious damage caused by dirt, disease, insects, mechanical or other means. Each strawberry has not less than one-half of its surface showing a pink or red colour. The size is unless otherwise specified, the minimum diameter of each strawberry is not less than five-eighths inch.

4.5.2 PLACE (DISTRIBUTION)

Place strategy refers to the decision made on the location of the businesses. As the above statement, the FreshBerry Entrepreneur has decided to open a new branch in Chiang Mai, Thailand. Consumer can expressly get to buy fresh strawberry in the area of Chiang Mai where that is the biggest place of strawberry plantation in there. Therefore, the area of Chiang Mai is also a hot spot of tourism. Which mean this will give a big impact to Thailand economic to increase.
Chiang Mai has been choose as our presence there because the temperature is in accordance with the strawberry crop. To market our products, we selected Carrefour as a sole marketer of FreshBerry product. Carrefore selection based on factors in which Carrefore is a supermarket of the most frequently visited by Thailand from other supermarkets. These factors led to a joint venture between us and the Carrefore.Chiang Mai is the main focus of marketing our products.As we see factors like level of income in Chiang Mai is high, so they will buy our product with no compromise.
Chiang Mai also the place that have high residential area. With many populations, they have many tastes and of course strawberry is one of their demands. Company will need to distribute the product or service that wants to offered to the end user. Efficient and effective distribution is important if FreshBerry Entrepreneur wants to meet the overall marketing objectives. Since Freshberry is located in Chiang Mai, therefore we need intermediaries to distribute our product to target market especially people in Thailand.
Indirect distribution involves distributing our product by the use of an intermediary for example a manufacturer selling to a wholesaler and then on to the retailer. Direct distribution involves distributing direct from a manufacturer to the consumer. As for our company, we use both methods which for indirect distribution we use wholesaler to distribute our fresh strawberry to our targeted market such as household while for direct distribution we distribute our product directly to our target market.The advantage of direct distribution is that it gives a manufacturer complete control over their product.

4.5.3 PRICE Business pricing objectives to identify in order to determine the optimal pricing. objectives include the following: * Current profit maximization - seeks to maximize current profit, taking into account revenue and costs. Current profit maximization may not be the best objective if it results in lower long-term profits. * Current revenue maximization - seeks to maximize current revenue with no regard to profit margins. The underlying objective often is to maximize long-term profits by increasing market share and lowering costs. * Maximize quantity - seeks to maximize the number of units sold or the number of customers served in order to decrease long-term costs as predicted by the experience curve. * Maximize profit margin - attempts to maximize the unit profit margin, recognizing that quantities will be low. * Partial cost recovery - an organization that has other revenue sources may seek only partial cost recovery.
The growth stage for our business, we will use the penetration pricing that pursues the objective of quantity maximization by means of low price. Price is set to penetrate the market. The low price is to secure high volumes. Furthermore, the penetration pricing is suggested to be useful if launching into new market.
For future plan, we will use competitive pricing. This is because we must to compete with the competitors to get the best place in the market. We will increase our price but in the same time we also will increase our quality and our varieties of the product that will be explain more in the product strategy.

4.5.4 PROMOTION

Our company not only focusing in printed channel but also electronic device such as internet since it is a popular medium in promoting our label and product.
The development of the World Wide Web has changed the business environment forever. Due to that, we had built our own website which known as Feshberry.com in order to promote our product. By using this website, our company will easily inform to our targeted customer about the company progress and also inform them about our new lunching product. Other than that, consumer can now obtain instant information on our product and give feedback for our future reference.
On the other ways, we also use billboard, banner, and bunting to promote our product. To make customer attract to our billboard, banner, and bunting, we put the best design and attractive colour. We also locate our advertising to the most strategic places such as on the main road, in front of our farm and at the specific places that usually visitors attract.
In order to save the cost of promotion FreshBerry Enterprise using free advertising to promote our product to the market. The way of free advertising is we promote our company and our product through friends and family. For example, in the function such as birthday party, wedding or reunion, we will promote our company and product among friends and family. It will save our cost but in the same time we also can give the promotion.
Walking advertising is also our strategy to promote our product. For example, when our manager or employees go to the seminar or other place, we must bring the identity of FreshBerry. For example, FreshBerry have their own product using to promote like button, t-shirt and cap. So we can use this stuff all the way and in the same time we also can promote our product to market.
In process to achieve our goals, we use sales promotion to attract customer. For the customer that buys in bulk, we give them discount. We took rate that for customer buys more than 100Bath, we give 5% discount for them. In the case of credit purchase, we give 5% discount for the customer that pay less than twenty days from the date of invoice.
Other than that, FreshBerry also give sample to our customer. For the customer that comes to our farm, we gives them sample of our fresh strawberry to give them satisfaction while coming to our farm. When customer taste our fresh and delicious strawberry, they will know the quality of our product and can make them believes that our quality is the best. In order to achieve our goals, we must to get the customer satisfaction and gives the best product and services.
In order to give more strength for our company, FreshBerry has to joint venture with Chiang Mai TripAdvisoragency which is the world’s largest travel site. In this case, for the person that follows the package of the agency to Chiang Mai, they must to visit our farm. It will increase of our customer and can say as the permanent customers.
5.0 CHAPTER FIVE: CONCLUSION
5.1 CONCLUSION In conclusion, the reason we chose to involve in the agriculture industry is to respond to the call of government to empower the indigenous people of Malaysia, especially in agriculture. Reaching the goal of "One District One Business", then emerge the idea to build a business based on agriculture, namely strawberry business. We see from a positive angle in which the business is able to provide a great opportunity in the future and bring lucrative returns. Besides, we expect to help to reduce the rate of unemployment among Malaysians. It is not easy to market product to Thailand. Thailand is a fascinating and complex country, influenced by centuries of religious philosophy, immigrant know-how and wisdom coming from foreign trade and commerce. This complexity can be hard to understand for the outsider in Thailand, and an obstacle to doing business. But we believe that in the future, FreshBerry Enterprise will be well received among Malaysians and also Thailands and view us as an agricultural enterprise that is noted in Malaysia and the world. We are aware of the challenges that we are going to face such as intense competition from producers of strawberries in the vicinity. But we are confident that with each business partner’s experience, all problems can be solved accordingly. Finally, we hope the best by exporting FreshBerry Enterprise product to Thailand so that our business can get the best of the local and abroad community and support to strengthen the agricultural land.
5.2 LIMITATION OF STUDY

Although this research has reached its aims, there are some unavoidable limitations. First, because the limit of time. We only given six weeks to complete this research. Six weeks in not enough for reseacher to observe all the related information regarding to this topic. It will be better if it was done in a longer time. Second, students’ overload works, to some extent, might effect the correlation between the result to this research and lecturers’ satisfaction towards this complete research. Third, lack of knowledge on how to do research especially this research need us to also monitor the information from the ouutside country. The format of research also might give limitation to our research for example we have to exactly follow the APA format for citations and references. We also need to find various of journals that related to our topic.

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