It wants to tap rising demand from foreign markets
KUALA LUMPUR: Fashion apparel group Bonia Corp Bhd will push ahead with overseas expansion, especially in the Middle East, as demand from foreign markets is increasing, said group managing director Albert Chiang.
“We are going to expand our business to Middle East markets such as Syria, Lebanon and Jordan through distribution rights to our partners there, most likely by April or May next year,” he said yesterday after the company AGM.
Bonia’s overseas sales were up by about 22%, contributing a third of the group’s total revenue of RM300mil, for its 2008 financial year ended June, despite the global financial crisis.
Currently, Bonia’s retail business is largely dependent on the local market, which contributed about 70% of the group’s total revenue.
“Our target is to have about 50% revenue from overseas markets by 2010.
“However, given the current slowdown in the retail market, we are going to extend the target by another two years,” Chiang said.
For the local market, he said the group would focus on its more affordable brands such as Carlo Rino and Sembonia.
“As the economy is getting slower, buyers are now becoming more cautious when spending. We have to change our strategy to face the current situation,” he said.
Chiang said two new Bonia outlets would be opened soon, one at Penang Airport and the other at KL International Airport.
“Apart from that, we already have outlets at other international airports such at Hong Kong International Airport and Changi International Airport,” he said.