Sellers need to change their business strategy to stay relevant, says economist

SHAH ALAM - Merchants or sellers need to adapt their business strategy to ensure they have a profitable business that remains relevant with the times.

Chief Organizational Economic Analyst of Bank Islam Malaysia, Dr Mohd Azfanizam Abdul Rashid said the matters should be taken seriously following the adjustments of new norms since the Covid-19 outbreak.

“I noticed that the focus of the consumers is diverted towards digitalisation, so traders need to enhance their skills in line with consumers' demand.

“They need to find opportunities to enhance their skills because the old methods are no longer suitable since we are already transitioning towards the new norms,” he told Sinar Harian.

Looking at the current situation, Mohd Azfanizam said, sellers and consumers, need to be prepared in facing price hikes.

“The truth is, we do not know what will happen to prices of products as they are always fluctuating but often mostly up.

“The cost of living issue is contemporary and we will always have to deal with it, therefore, the rakyat need to accept it and always be ready to adapt to the changes,” he said.

Meanwhile, Putra Business School Economic analyst of Universiti Putra Malaysia (UPM), Dr. Ahmed Razman Abdul Latiff opined that sellers will face huge challenges in sustaining their business if prices of raw and basic materials continue to rise.

Ahmed Razman said, if the price hike continues, the sellers need to increase the price of their products to cover the operational cost as well as make sure their businesses are still able to run in the future.

“As we all know, the cost of living continues to rise and it will be a burden towards the rakyat.

“Therefore, the government needs to make sure that prices of products are always under control,” he said.