Hypermarket chain dedicated for local goods
KUALA LUMPUR: Groom Big Entrepreneurs Cooperative plans to establish Malaysia’s first hypermarket chain dedicated for products made by local small and medium enterprises (SMEs).
Deputy International Trade and Industry Minister Datuk Hamim Samuri said the initiative aims at providing the much needed platform for local SMEs’ products to establish strong position in the local market, before making way to penetrate overseas markets.
"It is quite difficult for SMEs’ products to enter major hypermarkets in the country. Hence, the proposed Groom Big hypermarket chain will provide the platform for their products to compete in the highly competitive local market, which is dominated by imported products.
"So far, only 12 per cent of local products manufactured by Bumiputra entrepreneurs’ managed to enter major hypermarkets in the country," Hamim told reporters at the Groom Big Entrepreneurs' Cooperative Convention 2013 here yesterday.
The hypermarket chain model is based on Singapore’s largest supermarket chain, NTUC Fairprice, run by the country’s National Trades Union Congress’ cooperative, NTUC Fairprice Co-operative Ltd, with a network of more than 230 outlets.
Hamim said the Groom Big hypermarket chain should be privately-driven in order to be more competitive, and that the government will only provide support along the way.
"Once established in the local market, the hypermarket chain network can be expanded overseas," he added.
There are currently nine cooperatives nationwide registered under the Groom Big Entrepreneurs Cooperative, covering some 1,500 entrepreneurs.
Hamim said the government is constantly looking at expanding the cooperative from time to time, to include more local entrepreneurs.
Meanwhile, the two-day event, jointly organised by the ministry and Malaysia Co-operative Societies Commission (SKM), is the first convention held by the Groom Big Entrepreneurs Cooperative. It is aimed at gathering entrepreneurs nationwide to exchange ideas, develop organisational management skills, and expand business network.