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Saturday,
April 26, 2003
Intelligent television the
key
FEW people his age could challenge the trials and experiences
Tengku Ngah Putra Tengku Ahmad Tajuddin has gone through in building
his own business.
My journey in the entrepreneurial world has been full of ups and
downs. I've more sad, than happy, tales, he says, I made a lot of
mistakes, but I learnt from them. I've a lot more to learn about the
tricks of the trade in TV manufacturing. It's a very tough
industry.
To be a successful entrepreneur, Putra says, one has to be
creative and innovative, and have determination, besides being able
to market one's idea speedily.
The TV, interestingly, played a major role in shaping his values,
and encouraged him to dream and persevere in achieving that
dream.
His favourite TV series while growing up was Roots, which
followed the hardships and struggles of the life of Kunta Kintei, an
African man that was captured and thrown into slavery in the US, and
that of his descendants, who eventually became freemen and
landowners.
From there, he learnt that one must be true to oneself and
persevere to achieve one's dreams.
And because of Knight Rider, he dreamt of having a smart
car. But later, he concentrated his efforts on making smart TVs
instead.
Putra does not have any tertiary education. He started working
after completing Form Five.
I came from a poor family and our relatives looked down on us.
As the eldest of five siblings, I took it upon myself to break the
poverty circle for the family. I wanted to prove to them (relatives)
that we can be successful, he says.
I figured that starting my own business was the only way to
become rich. And I wanted to meet friends from other parts of the
world and see the real world outside, Putra adds.
In 1992, having earned enough money for a plane ticket and food,
Putra followed his friends to Moscow, without his parents'
knowledge. There he sold Malaysian-made products in the
streets.
We were selling chocolate, rubber bands and many other stuff,
even condoms, on the streets of Moscow, Putra says.
After a week in Moscow, his thoughts turned to nasi lemak,
which he greatly missed. This reminded him of his mother and he
called home and requested that she prepare some when he
returned.
Between 1992 and 1994, Putra and his Russian friends sold
chocolate, rubber products and furniture from Malaysia. He returned
to Malaysia for more when the goods were sold, which typically took
about two weeks. Meanwhile, Putra developed his connections and
network.
In 1994, a Russian steel mill cooperative asked Putra, then one
of the few foreigners doing business in Russia, if he could help to
source electrical goods as part of its employee remuneration scheme.
A salesman through and through, Putra, with his apa pun
boleh (can do) attitude, took on the job.
I wanted to source a Japanese brand, but they wanted me to
declare who the buyer was. I wasn't prepared to, so I went to an
original equipment manufacturer, branded the TV Nikom and sent it to
Russia, Putra said.
Putra formed a joint-venture TV assembling plant in Siberia with
the co-operative. He held a 45 per cent share.
It was a small outfit which later grew and I believe it is quite
famous now. I've long reduced my shareholding to 7 per cent. Siberia
is just too far for me to concentrate on, but I still go back there
once in a while to maintain contact, Putra says.
In 1997, Anggun Permai set up a joint venture company, Nikom
Industries JV, with a Kazakhstan partner in Almaty, Kazakhstan to
manufacture TV sets and home theatre systems.
In 1998, he sold off his 83 per cent equity in that company and
moved on to Krygystan, where he formed a joint-venture with a
prominent businessman there to manufacture TV sets.
Today, the factory, in which Anggun Permai has 70 per cent
interest, produces 450 TV sets a day for the Russian market and
contributes more than 10 per cent to Anggun Permai's total
revenue.
At one time, Putra sat on the board of Malaysia Electric Corp Bhd
(MEC), as Anggun Permai had 19.9 per cent equity interest in the
company. Anggun Permai later sold its shareholding to fellow
shareholder Fiamma Holdings Bhd to concentrate on its TV
business.
In 1996, Anggun Permai started to manufacture TV sets in Malaysia
but it wasn't until 1998 that it started concentrating on the local
market.
Putra says Anggun Permai has received enquiries from many
countries, including Algeria and Lebanon, but has not ventured there
yet, partly due to the competition from China.
China can produce TV sets very cheaply. We cannot win in a price
war against them. With China coming into the marketplace, the
competition is great, even locally. We feel the heat. We know we
must do something to make our products different. That's why five
years ago, we decided to make intelligent TVs, says Putra.
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