Malaysia’s Biodiesel Industry

Malaysia’s biodiesel industry will not expand fast due to the rising feedstock costs, slumping oil prices and

uncertain government support. Although GPB is doing well in year 2017 compared to all the past years, it

still far behind from major industry players where GPB is at the 4th placing in Bursa Malaysia Plantation

Companies Listing with 8.43bil of market capitalization where Sime Darby Plantation (SDP), IOI

Corporation and Kuala Lumpur Kepong Berhad (KLK) is ahead of it. Besides, GPB is also subjected to price

violation which contributes to low crude oil price with last price recorded MYR 2,211.00 up by RM31.00

(1.42%) on 8th August 2018 (Market Insider, 2018). Furthermore, alternative oils and fats with lower price,

uncertainty of climate and higher demand from buyers also into consideration.

1.4.2 Revised Vision Statement

Genting Plantation’s vision statement have to be revised as to follow and matches the proposed strategies

in section 5.2 below;

“To be the leading Plantation Company that best understands and satisfies with product quality and

diversity by adopting new technologies and innovations to become market leader by the year 2020”

2.1 Macro environment analysis - PESTEL

The macro-environment is the environment analysis framework which consists of broad environmental

factors that impact to a greater or lesser extent on almost all organizations survival. The PESTEL

framework will be used to identify how future issues in the political, economic, social, technological,

ecological and legal might affect GPB and to identify key drivers of change which can be used to construct

scenarios of alternative possible futures (Yuksel, 2012).

Factors Analysis

Political

Factor

 Malaysia boasts as the one of the south-east Asia’s most vibrant economies, the fruit

of decades of industrial growth and political stability furthermore with the immediate

changes in the government in recent election (May 2018) there is no violence nor

terrorism activity where the rate were at 0.10065 in 2016 as