Awang'8 Dlemma Awang was a real craftsman when It came to beling a machinist. Awang had leamed almost all that he knew from Daud, his first and only employer. Awang was marrled and had three young chlldren. He was 33 years old and had worked for Daud ever since he finished his tour in the Army. In 12 years, Awang had polshed his skills under the watchful and critical eye of Daud. Daud was qulck to recognize Awang's talent for the trade. Awanq had a posltive attitude about learning and displayed a drtve for perfection that Daud admired. Daud's Machine Shop was a successful small business. Its success was based mostly on the reputation for quality that had been establlshed over its 42 years in operation. Daud had come to this country with his new wife, Salmah, when he was in his late twentles. Now the buslness was a success, but Daud remembered the early years when he and Salmah had to struqqle. Daud wanted the business to continue to produce the hiqhest quallty craftsman products possible. On a Friday evening, he called Awang into his office at closing time, poured him a cup of hali-day-old cotfee, and began to talk with him about the future. "Awanq, Salmah and I are qetting old and I want to retire. It has been 42 years of fun but these old hands need a rest. In short, Salmah and I would like you to buy the business. We both feel that your heart is in this craft and that you would always retaln the qualty that we have stood for." Awanq was taken back by the offer. He, of course, knew Daud was qetting older, but had no Idea Daud would retire. Awang and his wife, TImah, had only RM4,200 in the bank. Most of Awang's salary went for the nomal costs of rearing three chlldren. Daud knew Awang dld not have the money to buy the business in cash, but he was willing to take a portion of the profits for the next 15 years and a modest Initial Investment from Awang. Awanq had, for the past four years, made most of the technical decisions in the shop. Awand knew the customers and was well respected by the employees. He had never been Involved in the business slde of the operation. He was a high school graduate but had never taken business courses. Awang was told by Daud that even after deducting the percentaqe of the pronts he would owe under the sales aqreement, he would be able to almost double his annual eamings. Awang would have to take on all the business functions himself because Timah had no business training elther. Source : Entrepreneurship Case Stvay homecoge (accersed December 2022) Answer all questions. 1. Explain any FOUR (4) entrepreneurial characteristics that may be important to Awang's success. (20 marks) 2. Describe any FOUR (4) ways Awang can fund his purchase of Daud's Machine Shop. (20 marks)
