It all began when Malaysian lads Julian Lee, Alan Au and Clement Lee started a market stall in Chinatown, Sydney, selling roti canai (sheer-thin roti) and teh tarik (tea). The hit was intense and instant. Due to a tremendous rise in sales revenue, they followed up with a Chinatown restaurant in 2007, which size was doubled a year later. Ultimately, they opened a Chatswood Mamak in 2010. Within five-year of time, it's already something of a Sydney institution.
As a Malaysian, no doubt there is much pride received, realizing the symbolic Malaysian style of food being expanded to an international extent. Now, the question is, will the opening of Mamak restaurant in Melbourne succeed? Well, the performance of the business shall be interpreted separately in different time frames. In economic terms, all decisions of a business can be placed in two time frames: namely the short run and the long run. As for the short run, all factors of production (input) remains unchanged; whereas all factors of production are subjected to changes in the long run. Note that in economic terms, length of time is not taken into account when determining time frames of a firm.
Since the mentioned business is connected to selling of food, input of the restaurant can be divided into two components: raw food materials and amount of workers employed. Raw food materials are materials used in making nasi lemak, roti canai, fish curry, rojak salad and even cendol as a dessert. Examples of raw food materials are flour, curry gravy, tamarind notes, yam beans, peanuts and so on. Examples of workers employed are cleaners, cashiers, chefs, waiters etc. Since all inputs are fixed, the restaurant is said to be in the short run. Since the restaurant is able to expand the size of its business lately, there is no doubt that considerable sales revenue is generated in the short run.
At the later stage of the business, the Mamak restaurant has branched out to a different state of Australia, which is from Melbourne to Sydney. Therefore, the business is said to be experiencing the long run time frame. Factors of production such as premises, equipment, amount of labour and infrastructure have been altered due to an expansion of the firm’s size. All in all, the business has generated sufficient profit to excel in the long run.
As a Malaysian, we do hope that our local Mamak industry can be expanded further to an international extent. Apart from a sense of indisputable pride, the popularity of Mamak food may contribute to an increase in exports and national income of Malaysia, just like how the recent emergence of Korean wave contributed to the Korean economy.
Reference: http://www.theage.com.au/entertainment/restaurants-and-bars/mamak-20120924-26gcp.html
Well written. First of all, I am so proud of the three owners of the mamak restaurant mentioned who have brought fame back to Malaysia by introducing our unique and tasty local food to Australians. It is clear that our local food has started to gain popularity in Australia, and if this trend keeps on going, it will definitely contribute to our tourism industry as our local food may become an attraction to tourists. Penang laksa and other local penang food have been very successful examples in attracting tourists' interest due to positive feedbacks and recommendations from critics all over the world. If we can make our local food as an international brand and franchise it, such as Japan's sushi being introduced widely by the franchises like sushi king and sakae sushi, this will then bring a considerable income to our country. By the way, you have done a thorough analysis on the expansion of the business you mentioned and it is much appreciated. :)
ReplyDeleteI would also like to highlight to further enhance the point that for the first time recently, the humorous dancing of horse riding, gangnam style achieved an international sensation till date. It was an honor for such impact in Korean music. But apparently, in the term of economic, Gangnam style will not be able to monopolize the market perpetually. It brings back to the point that the popularity of Mamak food may be ambush by uncertain factors such as new competitors, copycats and etc. causing diminishing returns in the food industry.
ReplyDeleteMs teh had mentioned about franchising and branding was interesting, complying with some of the marketing strategy to increase NDP.
Truthfully,I have great respect by your patriotism and good will of your own country. you have certainly done a very good job revealing the beauty of the raw gem insight with us. Thanks
Sincerely, the comments were greatly appreciated. Thank you so much.
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