Companies that Last for more than 100 Years in Thailand
Most of the companies which last for more than 100 years are few in numbers - taking B Grimm, Dielthalm (DKBH), British Dispensary, East Asiatic (EAC), Oriental Hotel, Berlijucker, Siam Commercial Bank (SCB), the Golden Goud Herbal Drink ... So many well known business in the past generally faced the real ends at the 3rd generation.
However, those business firms that stand for more than 100 years generally Farang firms who manage to grow without deviate much from what they are good at ... just grow from theri own roots and manage to withstand the change of the time ... Restructuring the management and administration with the real quality.
For Thai firms like Siam Commercial Bank and Siam Cement, it require the professional managers to run the companies ... initially started from Farang managers before allowing Thai managers who just have the engieerign skills to take over steps by steps throgu hthe smooth transitions... and the real vision of the owners of the companies thqt allow these firms to take root.
Those firms that run for long rarely the family business ... Even Wang Lee has only a few venture left while the Lam Sam who run K-Bank manage to grow because they have sent their children to get the real management studying and training to obtain the know-how to run K-Bank and Muangthai Life Insurance along with the supports to those brightest to help their children to run the Bank.
The firms that last so long are the firms that strick their business to what they can do the best and relating business to the ones they can do the best.
Thai Business has been grown up through the following phases
1.business expansion in quantity
2.business diversification to be in line with the old trades
3.business integration to connect both ended of the business
4.business co-operation to form business allied forces.
To reach all of phases, the professional persons are the real ones who run the business, not the family business which is a plaguing problem for those Chinese and Sino-Thai Business, compared to Japanese and Farang firms.
Family business generally hit into the real crisis in the 3rd generation ... when brothers are fighting against brothers ... brothers pitting against uncles and so on so forth withing Kongxi - constrastign to Japanese firms and Farang firms which separated the owners from the administrators/managers.
Firms that managed to become Public Limited Companies generally survives since thsoe who joint the company will have a full commitment to keep the company going .... the family business generally insulated themselves from being under the professional managements ... so such companies would never last long.
Take a serious look at B Grimm ... First it is just Austrian trading houses ... but it started to grow by importing the machinery + locomotives and so on that supprot the industrilization and then it joitn with Siemens to import BTS rolling stocks .... after importing the tokens and signals for controlling railway traffics.
Take note, the richest firms in the item of King Chulalongkorn and King Vijiravudh like Kim Seng lee [ricemills and sawmills] .... now even the Phisanjbut family [descendants of Kim Seng lee] are still in Thailand but their ricemill and sawmill business are gone long time ago - due to the economic crises by the fall of Sino-Siam Bank in December 1913 (the first major economic crisis in Siam), the flood of 1917, the drought that caused the prohibition of rice export in 1919, the currency crisis after Pound has dropped the Gold Standard in1931 or so.
Last edited by Wisarut; 14-12-12 at 08:56 PM.
Davudee Bohra: The Shia Muslim trader from Gujarat state of India who settles down at Phahurat - the founder of Nightingale Olympic Store in Phahurat in 1936 and still running with downscaled
Abdulrahim: the Muslim of the white house who is the legend trader in the court of Siam
Those Shia muslim traders from Gujarat were trading fragrant stuffs along with herbal medicines in Siam since the days of King Mongkut (Rama IV) ...
The have set up the trading community in Phahurat to form the trading associations in that area as the way to cooperate with one another - comparable to Chinese traders in Sampheng and Yaowaraj
Last edited by Wisarut; 19-03-13 at 06:29 PM.
Reason: correcting and Addendum
Take a look at Naitingle Olympic Store (founded in 1930 - still be in business)
Now CP is now 90 year old - started from Jia Tai in 1921
80 Year Phraya Nak Matches by GIF Thai Matches headed by Jittakorn Sothonnopphaputra
Khao Kaeng Rama at the last branch in Phran Nok, near Siriraj hospital
There used to be an attempt to create the local originated fast food franchise business in Thailand such as "Khao Kaeng Rama" (Rama Rice & Curry) in 1980 ... but it is the business that comes before the consumer pattern of Bangkokians has been changed ... and the financial trouble that brought Rama Group into its knees
After about 100 Year of ferry service, the ferry from the pier for Ayutthaya Railway station across Pasak river at Trok Bua Wan has to be at the end ... 3 Baht per ride while having to maintain Three ferry boats at 80000 Baht per Year is now a big burden - especially hard during the day of rising oil price ... the Flood of 2011 has inflcit the final blow since it has damaged the pier beyond repair along with the ferry boats ...
The boat can carry 25 passengers but now nobody wants to take care that boat ... and indeed many Ayutthaya people felt sad to se theri beloved ferry gone for good ..
This is the classic case of the crisis of the 3rd Generation .... since the 3rd Generation no longer want to deal with the forefather business
Last edited by Wisarut; 22-03-12 at 02:56 AM.
120 Year anniversary for Osoth Sapha (founded in 1891) - from a humble drug store to become one of consumer product giants in Thailand - started from Kitsana Klan of Kirin brand, alogn with the list of common medicine including
Yah Hom Chana Lom, Ya Sabai, Ya That 4 of Kirin brand, Wan Wan pills, Botan pills, and Thum Jai (local version of Aspirin)
The success to the 4th Generation is due to the fact that it has focused on the core business (producing and selling medicines) with endless improvements to meet the changing demands of consumers with the marketing strategy to reach all corners of Thailand and neighbor countries long before the ASEAN common market.
Mitsubishi in Thai electric products for 4 decades (founded in Thailand on 1 Nov 1971) ... thanks to the high quality product ...
Haier has been in Thailand for a decade but still not showing itself as the serious rival to Mitsubishi - better work a lot harder
Commemorate Stamps for the 100 Year Aviation in Thailand
Third Generation is now running Suan Sam Phran and Sam Phran Rose Garden as "Sam Phran Riverside" as the way to support MICE and conference business
Last edited by Wisarut; 27-04-12 at 10:53 AM.
Now, Siam cement Group is about to reach 100 year old as it was founded on 8 December 1913, so it has opened the SCG Heritage group here:
Government Saving Bank is also about to reach 100 year old as it was founded on 1 April 1913, here is the evolution of Government Saving Bank
We have learnt that B Grimm has established the relationship with Career Air-condition for 50 year - started in 1962 when B Grimm has been Thai agent for United Technology Climate Control and Security ... and then the creation of Career Air-condition (Thailand) in 1984. Now, the revenue has reached 18 billion Baht in 2011 which will go up to 19 billion Baht by the end of 2012 ... Hot summer has effectively created the demand jump - up to 50% compared to 10% in the winter - Next on the line will be the new Power plant to satisfy the growing demands for electricity ...
Medicine for common cold and flu are on the high demands due to the fluctuation of weather - even though those medicine for cold (with paracetamol) has cause 30% of Thailanders [about 20 million people] to suffer from liver ailment due to the overdose - which will cause kidny cancer as well as liver failure due to accumulated paracetamol.
Started with Apacure from Germany which used to the big gun until the prohibition ion the advertising of Medicine for common cold and flu in 1967 ... Later on Tiffi and Decolgen have compete and grab 70% of market shares (40% for Tiffi 30% for Decolgen - 3% for Apacure) - Need a revival of Apacure with Apacure PC [Paracetamol - Cofenilamin] + Aparcure which are stronger cold medicine. Coff drop and new cold syrup will be added to boost the market share from less than 50 million Baht to 300 million Baht
Siam Match Factory (Producer of Phya Naga match) has been in business since 1930 - now it is under control of GIF Thai Match - now, it has to be sold along with the bundle of candles to make it viable
Here is the advertising of 100-year Siam Cement Group - founded on 8 December 1913 - ready for major expansion in AEC
Last edited by Wisarut; 14-12-12 at 08:42 PM.
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