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Dynamic business

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Dynamic Business environment (answer)

Name of the organization – KNCC Myanmar Company ltd

Type of the organization - Partnership

Market – Export, Retails and wholesales for local market

Size of organization – Size of medium enterprise with over 100 employees

Location – Shwe Than Lwin Industrial Zone Plot No.37&47,Myay Taking Block No.14 Hlaing Thar Yar,
Yangon, Myanmar

Product – Cotton clothing and miscellaneous goods

Exports are directed to China, Thai, korea, Japan and other Asean countries. but in 2020 we can’t export
products very much to other countries because of the political problem. The company is engaged in
whole sale of textile products such as clothing and miscellaneous goods and also provides imports and
exports support for textile products and international trade consulting .

Key competitors – Cotton isn’t rare in Myanmar, so there are so many business which produces cotton
clothing and goods. So ,there are so many competition in the local market .And also have competition in
foreign market such as Thailand and Vietnam’s cotton products are key competitor in foreign market.

Main customer segment – In local, most of the people like to wear cotton clothing especially at the age
of over 20.So, we design our product that can wear every each of age.

(1) KCCC Myanmar Company Ltd is located in Myanmar which is the second largest country in
Southeast Asia.A cotton market is said to be perfectly competitive when all the firms act as price takers
when they can sell as much as they like at the going price but nothing at a higher price .This’s because
every firm is so small a part of the market that it can exert no influence on market price by selling a little
more or little less of its product .This is usually observed in markets for agricultural commodities like
cotton.A set of conditions that must be satisfied to guarantee this result is sometimes known as the
assumptions of perfect competition. There are some problems that cotton industries can be faced .They
are a shortage of raw material, particularly of long staple cotton, which is imported from another
countries and using old and obsolete machinery and the cotton industry is facing tough competition
from the fiber industry.

The cotton industries are very competitive .There is no barriers to entry and exit. A barrier to entry
is a financial or physical barriers that makes it hard for new company to enter a market. A new company
can enter and exit the market at any time. Freedom of exit means that any existing firms is free to stop
production and leave the industry if it so desires. In pure competition , an individual firm produces a
product which is the same as those of other firms.

In competitive cotton market there are a large number of buyer and seller .The products and service
within a competitive market need to be homogeneous in price, quality and availability. For firms to be
price taker, the number of sellers must be large enough so that no single firm acting by itself can exert
any perceptible influence on the market price of its product by selling a little more little less of the
product. And buyer of the product are fully informed about the price and qualities of good offered for
sale by sellers. As a consequence , if any firm raises the price of its product and not changing in high

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