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School of Architecture,Building and Design

Bachelor of Quantity Surveying


(HONOURS)

Construction Supply Chain Management


(MGT60803/QSB2433)

Name: Karen Lim Shi Chee


ID:0329431
Content
1.0 Company Profile 3
2.0Project Details 4-5
2.1Project Location 6
6
2.2Project Plan
3.0Market Trend
3.1Market Opportunities 7-8
9
3.2Current Trend
4.0Market Segmentation
4.1Introduction 10
11
4.2Segmentation Tabulation 12-16
4.3Data Analysis 17-18
4.4Marketing Strategies
5.0Use of Procurement Method
5.1Introduction 19
5.2Reason for choosing Traditional procurement 19
method
19-22
5.3Process of Traditional Procurement Method
6.0Constraint and development of future 23
development
7.0Conclusion 24
8.0References 25
Page 2
Page 3
Page 4
Page 5
Page 6
Market Opportunities
Nowadays,the stresses and strains are greatly increasing in modern life. People need a
place to relax after schools,as well as works to relieve their stresses.So ,our company
plan to build a universal studio theme park beside the One Utama shopping mall.This
land which located beside one u shopping mall typically is a golden zone.This
location is crowded and have potential for development.Why our company decide to
build universal studio theme park in this land instead of commercial
shoplot ,hotel ,condominium and others?Theme parks are star players in the tourism
industry, and play a special and important role in generating tourism demand.While a
Universal Studio is built beside one u shopping mall,you can play at Universal Studio
before or after shopping no matter which age groups you are in.

Surrounding Facilities

Universal Studio Malaysia surrounded by some higher education such as:First


City,KDU,SEGI and UCSI College.Therefore,this area consist of a lot of college
students and beneficial for Universal Studio Malaysia due to students mostly freedom
to dispose of their time after class.Besides,Universal Studio Malaysia definitely is a
place for them to reduce their stresses form schoolwork after class.One Utama
shopping mall,IKEA and The Curve is also nearby Universal Studio
Malaysia.Hence,these facilities will bring a large number of people to this area
especially tourists.Tourists can playing,shopping,

Nowadays,a lot of children or teenagers are watching movie,such as:Transformer,The


Mummy ,Cinderella and others.Thus,the movie themed world of Universal Studio
Malaysia will definitely attract them.For example,Cinderella castle in Universal
Studio,little girls dream of being Cinderella and living in a huge castle with a
handsome prince, so there are no words to describe the emotions that stir at the first
sight of this perfectly fantastical giant white castle.

At present,many family have their family day during weekends.At that day,they will
going out for a dinner,watching a movie or shopping.Others than that,Universal
Studio Malaysia will become one of the choices for them to spend their family
day.Activities in Universal Studio is not only suitable for children/teenagers,it is also
adapted to adults.Universal Studio Malaysia can become a place that enhance the
relationship between parent and children.

Some people will worry about transportation to going Universal Studio especially
tourists.However,transportation in Bandar Utama is also become convenient no matter
for tourists or local.If you are a tourists from foreign country and landing in
KLIA,you can take KL express from KLIA to KL Sentral,after that take Rapid KL
bus no. U82 which required time about 40 minutes to reach Universal Studio.Beside
that,the SkyBus provides point-to-point shuttle services from KLIA2 airport to KL
Sentral in Kuala Lumpur and 1 Utama Shopping Mall at Petaling Jaya.It is more
convenient if you are local,you can take either lrt,mrt,bus to access Universal Studio
Malaysia.Convenient transportation will also increase the visitors of Universal Studio.
Current Trend
Global Industry Analyst (GIA)launches comprehensive analysis of industry
Page 8and demand forecasts on the global
segment,trends,growth drivers,market share,size
amusement and theme park market.The global market for amusement and theme parks
is forecast to reach US$44.3billion by 2020,driven by the recovery in leisure
spending,rise in international tourism,and growth of the middle class population in
emerging countries.

The global market for amusement and theme parks is on a steady growth path,as
theme parks are expected to remain one of the primary destinations for visitors and
ride enthusiast.New theme parks being planned across Europe,Asia and the middle
east are likely to provide new leisure opportunities for people.Trends in customer
lifestyle,increasing household spending on
outdoor activities and technology
development in animatronics that add
hi-thrills to entertainment rides.The
increase in baby boomer visitors is forcing
theme park operates to focus on providing higher quality balanced family
entertainment.

The Malaysia market for amusement and theme parks is on a steady growth path due to high demand.

We use Universal Studios Singapore as an example for us to survey the trend of Universal
Studio.Universal Studios Singapore (USS), opened in March 2010, is the first Universal Studios theme
park to be launched in Southeast Asia. Within its first 6 months of operation, more than 1 million visitors
were attracted to the theme park. In 2012, USS was acknowledged to be one of the top 10 gated attractions
that helped Singapore to achieve its record high visitorship for year 2011 (Tourism receipts hit S$22.3
billion last year, visitor numbers at record high 2012). We can know that Universal Studio is successfully
bring in high volume of visitors and encourage economic growth of Singapore from this data.

Page 9
Market Segmentation
Introduction
Why our company decide to build universal studio theme park in this land instead of
commercial shoplot ,hotel ,condominium and others? Our company have do research
in market segmentation before decision is made.What is market segmentation?Market
segmentation is the process of dividing a market of potential customers into groups, or
segments, based on different characteristics.Marketers can also use segmentation to
prioritize their target audiences. If segmentation shows that some consumers would be
more likely to buy a product than others, marketers can better allocate their attention
and resources.There are 4 types of market segmentation,such as geographic
segmentation,demographic segmentation, psychographic segmentation and behavioral
segmentation.We use demographic segmentation for research in this
project.Segmentation according to demography is based on consumer- demographic
variables such as age, income, family size, martial status, etc.The main advantages of
using demographic segmentation is that the information you need is readily available
for you. Another advantage of demographic segmentation is customer retention and
loyalty. When an organization spends time focusing on its customers and their wants
and needs, customers will typically come back for repeat business. We sent out
approximately 150 pieces of questionnaire to do research and come out with the result
below.
Segmentation Tabulation

PageTU
Assessment Worksheet 10 Development

Target Segmentation Building Type Preference


Sector Segment Condo Hotel Universal Commercial Landed
Studio Shoplot Houses
Single √ √ √
Martial Married √ √ √
Status Divorce √ √ √
Widow/Widower √ √
1-2 people √ √ √ √
Household 2-4 people √ √ √
Size 4-5 people √ √
5 and above people √
RM3k-RM5k √ √
Income RM5,001-RM7K √ √ √
RM7,001-RM9K √ √ √ √
RM10K and above √ √ √
7-18years old √ √
Age 19-35years old √ √ √
36-50years old √ √
50years old and √ √
above

Total 8 9 11 7 7

Data Analysis

A.Martial Status

Preference Building Type

18% 21%

Condo
Hotel
Universal Studio

24% Commercial Shoplot


37%
Market Segmentation of Martial Status
8

7 T

6 A

R
5
G
4
E
3
T
2

1 C

0 O
Single Maried Divorce Widow/Widower
S

T Condo Universal Studio Landed houses

M
We use martial status for one of the market segmentation due to married and single
E
person have different demand and thinking since their circumstances is different.For
R
an example,a company might discover that married individuals are more willing to
pay higher prices than single individuals, or that single customers purchase a certain
product more frequently than married people.Our company decide to choose single or
married person be our target consumers.

Single person are comprising of students or teenagers who are still studying, adults
who are employed and others .This group of people mostly freedom to dispose of
their time and do what they want during their leisure time compare to married
person.Besides,they are full of stress from their schoolwork and job in daily
life.Therefore,they definitely need a place where can relieve their stress.

Divorce person and widow/widower have much more burden if they have children
due to the costs to raise and educate children alone are staggering.So,they are not
willing to enjoy.

From this analysis,Universal Studio can fulfill the needs of single person rather than
condo and landed houses.Single person can relieve their stress with friends in
universal studio.

B Household Size

Page 12
Market Segmentation of Household size
Condo Universal Studio Landed Houses

7 7.5
T 7.5
7 7 7
A
6
R
5 5.5
5 G 5
4
E

3 T
3
2 2.5
2
C
1
1 O
0 S
1-2 people 2-4 people 4-5 people 5 and above people
T

E
Second,the household size.Packaging
R and usage rates vary depending on the size of
the family. Different household size have different family values.Features and
benefits that satisfy consumer needs will also need to be adapted based on family
size.Our company want 2-4people family size to be our target customers. 2-4people is
a medium family size and smaller burden compare to larger family
size.Therefore,they are more willing to consume or enjoy compare to larger family
size.2-4 people family size mostly is two children with their parent and they are
mostly lay emphasis on family love ethics.Therefore,they will attempt to maintain
parent-child relationship through some activities or things that can bring them
together.

In conclusion,Universal Studio is suit for 2-4people household size rather than condo
and commercial shoplot.Universal Studio is a place that can bring them together and
enhance relationship among family members.
C.Income

Page 13
8
Market Segmentation of Income

7 T
T
A
6 A
R
R
5 G
G
E
4
E
T
3 T

2 C
C
O
1 O
S
S
0 T
High income group Mid income group Low income
T group
U
Condo Universal Studio Hotel
U
M
M
E
Income is used as a segmentation variable because it indicates
E a group’s buying
R
power and may partially reflect their education levels, occupation,
R and social classes.
Higher education levels usually result in higher paying jobs and greater social
status.In the income segmentation the most important things is the division of the
customer. As there are a lot of different customer in the market and each and every of
them has their unique and different requirements. Thus on the bases of this
requirements they are divided into different groups. In most of the condition the
income segmentation have three main groups i.e. high income groups, mid or middle
income groups and low incomes groups.

We are focus on medium income groups and low income groups.

MID INCOME GROUPS


There are still have a lot of middle class families and they may not afford the high
expensive products, for this reasons different companies have different low cost
products which can be affordable and provide different advantages to such people. as
the number of middle class families are more than high income peoples thus most of
the organization depend on such people to have their concentration and to move them
towards their products and to give them maximum satisfaction.For example,
Mercedes Benz’s cheaper line of “C” class vehicles is designed to appeal to these
consumers.
Page 14
LOW INCOME GROUPS
There are more than 50 percent of people who live their life in poverty. This means
that most of the people do not have sufficient income to by the products which are
expensive. For such people the quantity of the product have more advantage than the
quality as they do not have sufficient resources to get the high level and the best
quality product for themselves. Thus most of the companies have certain attention on
such customers to ensure them and to gain maximum satisfaction from such products
which they can improve their life style.

Universal Studio is affordable for mid income groups and low income groups.The
percentage of mid income groups and low income groups is larger in the
world.Therefore,the profit sure will increase if target well.

Page 15
D Age

Market segmentation of Age


9

8
T
7 T
A
6 A
R
R
5 G
G
4 E
E
T
3
T
2
C
1 C
O
0 O
S
7-18 years old 19-35 years
S old 36-50 years old 50 years old and above
T
Condo T Universal Studio Landed Houses
U
U
M
M
E
E
R
R
Many company identify market segmentation on the basis of age and some market
their products and services to specific age groups.They market the similar products
for a wide variety of age groups often use different approaches for each group.

Segmenting by age is important because consumer wants and needs differ among
these groups.For example,the marketing strategies and products for kids would be
different from those of teenagers, which would again be different from adults or aged
people.Our company want to focus at 7-18 years old group and 19-35 years old group.

7-18 years old group

This group of people is known to be out-going, sociable, tend to be thrill-seeking, and


also receptive towards new concepts (new fashions, new music, new games, new
foods and new ideas.) . They like to try everything fresh in their life.

19-35 years old group

People in this age group get their first major career positions, get married, establish
homes, and start families.Marketers know that this group is willing to spend and enjoy
due to stabilize income.

In conclusion,Universal Studio can fulfill their needs rather than other type of
buildings.This is the first Universal Studio in Malaysia and it is very new,therefore,it
definitely will attract teenagers and young adults.

Marketing Strategies

Page 16
Social media
Our target customer is 7-18 years old and 19-35 years old
group.These groups of people spend long hours maintaining their
social networks and are exposed to various media, such as
television, magazines, outdoor, but mainly and most frequently,
the internet.Therefore,we can advertising by online marketing
through social media (such as:facebook, instagram or wechat)
and mass media (such as:Youtube,mobile apps……).
Advertisement Board
The theme park usually markets and focuses its products
towards the whole family. It particularly focuses on the adults,
teenagers and children. In order to attract this segment of
customers, the marketers place their advertisements in the
places and articles widely used by the children, adults and the
teenagers i.e. in the children magazines, on the rappers of the
toys, on cartoon and music channels.Besides,place the
advertisement board of Universal Studio along the roads.

Advance Technology
Technology is becoming a huge key.Many areas of the parks are
seeing face lifts with new digital formats to menus, signs, and
interactive environments to keep them up to date.Universal
Studios has begun implementing technology in the parks, using
the Photo Connect Cards, and picture kiosks, as well as adding
free WiFi throughout the park. This kind of technology will
attract visitors.

Launch annual pass or season pass

Page 17
In addition,Universal Studio Malaysia also can launch annual pass or season pass for
visitors.Visitors can gain a lots of benefits if he/she is a annual or season pass holder.

Benefits such as:

Fantastic Privileges within the Park

▪Enjoy 12 months (Annual Pass holders) or 6 months (Season Pass holders) of


unlimited admission with no black-out dates
▪Priority access to attraction via VIP turnstile during 1st three hours of attraction
operating hours
▪Invitations to exclusive events
▪Free Ice Cream per day per entry (for Child Annual Pass only)
▪10% discount for dated One-Day Ticket for all RWS Attractions all year round
(maximum of 6 tickets per Annual Pass holder per transaction)
▪10% off Attraction photo purchase
Birthday Benefits
▪Receive a birthday gift and enjoy in-park Privileges during your birthday month
Shop&Dine Privileges
▪10%off at all retail and food&beverage outlets
These benefits will attract people for joining in.
Procurement method
Procurement is essentially a series of considered
Page 18 risks.Each method has individual
strengths and weaknesses, which must be carefully calculated by clients and industry
alike. There are a number of different types of procurement routes available for clients
to select. Each different type of procurement (Traditional, Design and Build,
Construction Management, etc) has its own advocates and inherent strengths and
weaknesses.
Reason for choosing Traditional procurement method

Our company decide to use Traditional procurement method to built Universal Studio
Malaysia.This is because traditional method usually come out with high quality works
since the client has the closer control to the works.Other than that,traditional
procurement method also will reduce cost but need to take longer
time.Nowadays,concern over theme park injuries and stringent safety standards is
increasing,especially for entertainment rides.Therefore,quality of the works must be
the most important part.If the quality of the building is bad,it will cost you more after
the building start operating.Besides, we may obtain the best or lowest price through
competitive tendering.The construction cost also will be more accurate since the
tender is bases on the complete design and specifications.

Process of Traditional Procurement Method


This is a common method that has been usually used in construction industry.
Traditional method is a procurement method that the design work will separate from
construction. In the traditional approach, we must engage consultants such as
Architect, Engineers and Quantity Surveyor to design the project. Those consultants
design must meet the client's budget and satisfied by client. Once it is not meet client's
budget the Architect and Engineers need to redesign the project and the Quantity
Surveyor must recalculate the cost of the project.
After the designed was satisfied Page 19 and met client's budget, client,
by client
Architect or Quantity Surveyor will call tender to give contractors to price and bid for
the tender. Client will base on the most suitable price that priced by contractors to
make decision, which contractor will be the successful tenderer for the project. The
price is not always the lowest but is the most suitable price for the project. Factors to
choose a successful tenderer other than price, the contractor must have reputation,
pass projects, good financial strength, skills and the contractor cannot have too many
projects in hand.

The successful contractor must follow the contract drawings and specifications to
start the construction work. Contractor also must responsible for his workmanship and
material, including work by sub-contractors and suppliers. Any defects, design errors
or generated misuse, the contractor has to use his own money to repair or settle the
problems.
Cost, Time and Quality of using Traditional Procurement Method

Quality

Cost Time

Cost
Since client can control everything via using this traditional method, contractor no
chances to adjust the project price become higher than normal price. Logically, this
procurement system is very fair for client to get lower cost because all the competitors
(contractors) must apply price to the project base on the bill of quantity that calculate
by Quantity Surveyor.

Time
Compare with other procurement system, traditional system take longer time than
other system to complete the project due to the design and budget must meet and
satisfy by client. Although it takes longer time to produce but it considered is the best
approach because client can clearly know actual cost to construct his project, can get
better design from consultants and get better quality control of the project. Client can
use this longer time to make decision and check the project design with consultant
team before start construction.

Quality
Traditional procurement method can come out with a construction project which is
high quality controlled compare with other method. This method gives a lot advantage
to client to compare the consultants design, decide which design suit his budget,
management the project, protected by consultants due to giving professional advice
and construction expertise between consultants and contractor.

Advantages of Traditional Procurement Method

▪accountability due to a competitive selection

▪design lead and the client is able to have a direct influence which can facilitate a high
Pagein21the overall design
level of functionality and improve the quality

▪price certainty at the award of the contract because of full set information

▪It is relatively easy of variations to arrange and manage if the design will be changed
because client’s needs

Disadvantages of Traditional Procurement Method

▪overall project duration may be longer than other procurement methods as the
strategy is sequential and construction cannot be commenced prior to the completion
of the design

▪no input into the design or planning of the project by the contractor as they are not
appointed during the design stage.

▪Cost not finalize until bids.

▪High risk for client if they are mistakes in the design of the project
Constraint and development of future development
We use traditional procurement method in this construction project but this method
is very time consuming.The labour cost on site will cost more if the construction time
is long.For example,the purpose of our project is to build a theme park, assume that
there is a problem from the drawing of the design and the contractor wants to
communicate and get information from consultant team. For traditional method, the
contractor will only be appointed after the design is done, therefore, contractor is
unable to plan for the project and input his design. So, the contractor need to
communicate with the client first, then only the client will communicate with the
consultant, since, there is no contractual relationship between the consultant team and
contractor team. Besides, the changes of the design need to be approved by the client
first.
Thus,we will try to use design and built procurement method for our next
construction project.This is because design and build projects can be completed in a
shorter amount of time because due to bid time is reduced, scheduling for the project
can begin before design is finalized, potential construction problems are uncovered
early and enhanced communication keeps everything moving.

Our company is going to develop another 8 acres land in next year.The project will
consist 3 blocks of condominium and 2 rows of commercial shoplot.The target
customer will be young working adults.There are some constraint that we developer
face.An afternoon downpour combined with clogged drainage system resulted in flash
floods at the nearby existing housing area caused by our construction
activities.Therefore,we need to spend more time to clear the water and clean the
clogged drainage to prevent flood.Other than that,we also need to change the method
of construction and ensure that this kind of thing will not happen anymore.One of the
solution will be upgrade our techniques and use more advance equipment that can
prevent environment issues.Although the advance equipment is costly,but it will more
costly on solve the environment issues like this situation(clooged drainage and flash
floods).

Conclusion
Page 23 and Singapore.It attract a lot of
Universal Studio is very famous in USA,Japan
tourists travel around there to visit US.Universal Studio is a theme parks that have
thrill rides, shows and family entertainment. Many of the Universal Studios attractions
are based on classic and familiar Universal movies.This will be the first Universal
Studio in Malaysia and definitely will be the hotspot of Malaysia.Therefore,Malaysian
also can experience Universal Studio and no need go to foreign country for visit
Universal Studio.This is because not everybody are affordable to travel foreign
country.Although there are a few Universal Studio in the world,but each of them have
different experience since they are different themes.Hence,Universal Studio Malaysia
also will attract a lot of tourists from foreign country and increase the economy of
Malaysia.

Universal Studio is definitely a theme park that suitable for


children,teenagers,adults,unlike Disneyland is only target children to be their
customers.It can be a place that you spend your family day.Beside that,it also can be a
place that you reduce stresses from schoolwork,works with your friends.Furthermore,it
is easy to access Universal Studio no matter by public or private transportation.
As of environment,we used sustainable building material to minimize the pollution
effect.
References
http://www.strategyr.com/MarketResearch/Amusement_Parks_Theme_Parks_Market
_Trends.asp

https://en.wikipedia.org/wiki/Universal_Studios_Singapore

https://www.slideshare.net/sarkargopal668/amusement-park-industry-in-indi

http://www.mba-tutorials.com/marketing/1815-income-segmentation.html

https://www.ukessays.com/essays/construction/what-is-the-procurement-method-cons
truction-essay.php

https://www.slideshare.net/hiewliming/traditional-procurement-method

http://pegdesign.net/2013/05/11/5-advantages-of-design-build-construction/

https://www.ciob.org/sites/default/files/CIOB%20research%20-%20Procurement%20
in%20the%20Construction%20Industry%202010_1.pdf

http://www.bradley-mason.com/wp-content/uploads/2017/05/Introduction-to-Procure
ment.pdf