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Amway to raise prices for selected products in March |
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Business & Market 2010
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Written by Elween Loke and Max Koh
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Friday, 22 January 2010 18:12 |
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PETALING JAYA: Amway (Malaysia) Holdings Bhd will raise the price for selected products including food supplements by 4.4% in March, said executive director Paul Yee.
"The 4.4% increase would be mainly imposed on nutrition and wellness products," he said on Friday, Jan 22. Details of the price increase would be announced to its 195,000 distributors by March 1.
The price increase was necessary mainly due to the rising cost of raw materials, he said after the official opening of Amway's RM100 million headquarters.
"Although the prices will increase, we will make sure that the products have good value and are still affordable for people," he said. He said Amway, for this year, would focus more on product retailing and training of the distributors, upgrading IT facilities to be more efficient.
Internet sales, which started in 2002, now accounts for 60% of its total sales and hence the need to upgrade its sales network.
On the expansion of its three outlets in Taiping, Mentakab and Segamat this year, Yee said Amway's employees would undergo three months training before they are sent to there.
When asked on the competition with other direct-selling companies in the country, he replied Amway would strive to do well in the industry, underpinned by its experienced distributors and value-added products.
Amway Malaysia's new headquarter encompasses an office block and a warehouse block which spans 4.5 acres or three times the size of the former building.
The warehouse features the "Pick-to-Light" Digital Picking System whereby the system is able to cater to more than 6,000 orders a day, up from 2,000 in the previous office.
The direct-selling group has allocated a RM4.8 million for 2010, specifically to setting up of three retail outlets and upgrade its IT infrastructure.
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