OpportunityWeightRatingWeighted Score1. Government support- preferential treatment and financial support will given to Perodua.0.1240.482.Inefficiency of Malaysia’s public transport- Bus always cannot arrive on time and Mass Rapid Transit (MRT) and Light rail (LRT) service only provided in Kuala Lumpur area.- Malaysian normally need a car to travel to the destination.0.0320.063. New technology from Japan- Price of car produces by Perodua may be lower than the imported car from Japan and will attract those people who are more interested in car with Japan technologies.0.130.34. Supplier from local – The increase number of suppliers from local who able to supply advanced technology will reduced the cost of raw material and assure a steady supply of product and services.0.0830.245. Hybrid car- In order to resolve the problems of high fuel prices and less dependence on natural sources, some of the consumer will choose to buy a hybrid or electric vehicles. – To attract a wider target consumer, Perodua should produce a wide range of vehicles by using the hybrid technology.0.05330.156. High demand for compact car at affordable prices- increasing of fuel prices and economic recession, people are more prefer to buy small compact car and instead choose to buy a larger pick-up trucks, SUVs and crossover.0.1040.47. Internationalization- With the evolving trends of internationalization, the company plans to expand its operations in china.- Entering new markets which are favourable for compact cars will increase in demand of its vehicles and boost its revenue and profit.0.0830.24ThreatWeightRatingWeighted Score1. Economic recession- All big company will facing over budget or does not achieve the sale for that year.- economic down turn actually come suddenly without notice- Economic recession also may arise other threats such as unemployment rate increase, inflation rate and bank interest rate increase which will affect the Perodua sales. 0.0930.272. Increased of fuel price due to subsidy cut-off – lower down the purchasing power of individuals especially for those lower income resident may prefer to buy motorcycle or use public transportation.0.0730.213. Upgrading of public transport- Upgraded public transport will minimize the usage of personal transport and opt for public transport.- The demand for vehicle will reduce and thus the sales of Perodua vehicle will decreases.0.0830.244. Competitors and substitutes in the market- The competitors such as Proton, Toyota, Honda and Nissan Motors. Perodua has a closest substitute product which is a local product, Proton.- Lack of differentiation opportunities will cause high rivalry and the company will compare to each other constantly. 0.1240.485. Multiple and diverse regulatory environment to contend with from international and domestic- The competition will exist between the governments because government will establish protection laws to protect the products of each own production.- These regulation generally increase the production cost and placing limitations on how the vehicle are sold and marketed. 0.0820.16Total1.0 3.23 The total weighted score of 3.23 is above the average of 2.5, so Perodua is doing pretty well, taking advantage of the external opportunities and avoiding the threats facing the firm. Perodua is considered as strong in position.There are 3 factors contribute to highest score in the EFE matrix which is Government support and high demand for compact car at affordable prices. The successfully of Perodua is influenced by the high tariffs imposed by the government. Without the support from the government, the sales and market share of foreign car brand especially Japanese car will dominated the domestic market. In recent year, Perodua has retained the first place in the local market by obtained the highest market share and Perodua has become a reliable brand to the consumer. High demand for compact car at affordable price is arise due to certain reason. For example, during economic recession people are tend to buy an affordable compact car rather than larger size of vehicle at higher price. It has become an opportunity for Perodua to boost its sales and revenue by providing more effort in its R department in order to produce a high quality of compact car with advanced technology rather than focus on producing a larger car.Competitors and substitutes in the market is high which consider as a larger threat for the Perodua. As compare between Proton Iriz and Perodua Myvi, the interior design and car size look similar. In recent years, their target market has start to overlap which influences the sales and revenue of Perodua. Thus, Perodua have to develop product development diversification strategy to compete with its competitors.