The JB Premium Outlet selling branded goods has started with a big bang. Singaporeans as usual are visiting there to check the competition. When there is good bargain you can count on the Singaporeans to be there. I am quite pleasantly disposed to the competition given the cut throat business here. When everything is being charged a premium as if Singaporeans have no other alternatives, Premium Outlet is JB is most welcomed.
How much would it be able to snatch from Singapore, particularly from Orchard Road? The crème ala crème tai tais and the super rich would not be tempted by the inconvenience. But there is a section of the converts that are price sensitive and would not mind the hassle. The lesser the hassle, the greater will be this group. If Premium Outlet can take on 30% it will be good. This will force the rentals to go down or the shops to close down. And if they could take on 50%, then Orchard Road would not be the same again.
Why am I feeling good about this? But of course, the Malaysians have a lot of work cut out for them and they could easily unwind everything and all the goodwill and it will be back to square one.