... An Evaluation of SME Development in Malaysia Ali Salman Saleh∗ and Nelson Oly Ndubisi∗∗ Small and medium enterprises (SMEs) in play a vital role in the Malaysian economy and are considered to be the backbone of industrial development in the country. However, few studies examined their development, challenges and future prospects. Therefore, the aim of this paper is to examine and analyse the role of SMEs in different sectors as well as their major contribution to the economy. The paper goes further to review the existing literature as well as the empirical studies in order to identify the major challenges (domestically and globally) that face this sector. The key messages from the studies examined in this paper are that Malaysian SMEs still face many domestic and global challenges in achieving economies of scale and competing internationally. Among the challenges are the low level of technological capabilities and limited skilled human capital resources, a low level of technology and ICT penetration, low levels of research and development (R&D), a substantial orientation towards domestic markets, a high level of international competition (for example, from China and India), a high level of bureaucracy in government agencies, and internal sourcing of funds. These characteristics suggest that government programs and incentives are either insufficient or not delivered effectively enough to overcome these problems. This paper attempts to identify the challenges...
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... An Evaluation of SME Development in Malaysia Ali Salman Saleh∗ and Nelson Oly Ndubisi∗∗ Small and medium enterprises (SMEs) in play a vital role in the Malaysian economy and are considered to be the backbone of industrial development in the country. However, few studies examined their development, challenges and future prospects. Therefore, the aim of this paper is to examine and analyse the role of SMEs in different sectors as well as their major contribution to the economy. The paper goes further to review the existing literature as well as the empirical studies in order to identify the major challenges (domestically and globally) that face this sector. The key messages from the studies examined in this paper are that Malaysian SMEs still face many domestic and global challenges in achieving economies of scale and competing internationally. Among the challenges are the low level of technological capabilities and limited skilled human capital resources, a low level of technology and ICT penetration, low levels of research and development (R&D), a substantial orientation towards domestic markets, a high level of international competition (for example, from China and India), a high level of bureaucracy in government agencies, and internal sourcing of funds. These characteristics suggest that government programs and incentives are either insufficient or not delivered effectively enough to overcome these problems. This paper attempts to identify the challenges...
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...pp.1-14 An Evaluation of SME Development in Malaysia Ali Salman Saleh∗ and Nelson Oly Ndubisi∗∗ Small and medium enterprises (SMEs) in play a vital role in the Malaysian economy and are considered to be the backbone of industrial development in the country. However, few studies examined their development, challenges and future prospects. Therefore, the aim of this paper is to examine and analyse the role of SMEs in different sectors as well as their major contribution to the economy. The paper goes further to review the existing literature as well as the empirical studies in order to identify the major challenges (domestically and globally) that face this sector. The key messages from the studies examined in this paper are that Malaysian SMEs still face many domestic and global challenges in achieving economies of scale and competing internationally. Among the challenges are the low level of technological capabilities and limited skilled human capital resources, a low level of technology and ICT penetration, low levels of research and development (R&D), a substantial orientation towards domestic markets, a high level of international competition (for example, from China and India), a high level of bureaucracy in government agencies, and internal sourcing of funds. These characteristics suggest that government programs and incentives are either insufficient or not delivered effectively enough to overcome these problems. This paper attempts to identify the challenges as a positive...
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...of ethics and integrity. The government has implemented the Prime Minister's Directive No. I of 1998 which aims to enhance the integrity of the management in government administration. This has been done namely through the setting up of the Integrity Management Committee in all ministries, departments and agencies of the Federal Government as well as the State Governments. However, there is no mechanism thus far to involve other sectors, such as the private sector, political parties, non-government organizations, religious groups, the media, women, youth and students in an integrated and coordinated movement to enhance integrity. It is in this regard that the government has formulated the National Integrity Plan (NIP) which will act as a master plan to guide all of the above sectors. The formulation of the NIP is predicated upon the spirit and principles of the Federal Constitution, the philosophy and principles of the Rukun Negara as well as the aspirations of Vision 2020. The overall objective of the NIP is to fulfill the fourth challenge of Vision 2020, namely, "to establish a fully moral and ethical society whose citizens are strong in religious and spiritual values and imbued with the highest ethical standards." The NIP is an integrity plan that has evolved from the aspirations of our people and our country. It has been formulated in accordance with our own mould with Malaysians of all ethnic and religious groups as its stakeholders. The plan takes into...
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...media systems of the United Kingdom (UK) and Malaysia today. Autonomy vs. state intervention It is common to hear that the Malaysian journalistic field is restricted in reporting political and public issues (Kenyon, 2010). As one of many developing countries that support the guided press notion, the Malaysian government argues that by curbing certain freedoms within the mass media, the aims of national development can be met (Raj & Sreekumar, 2012). As a result, Malaysian journalists are swallowed in boundless lengths of red tape – all of which are adversely used in the government’s favour to constrain the media’s freedom of speech. Some of Malaysia’s legislations can be traced back to their inception during the British colonial period (Omar, 1996). In the face of a Communist insurgency in 1948, a state of emergency was declared. The Malayan Emergency, as it was dubbed, marked the beginning of a series of media campaigns implemented by Government Information Services to impede subversion and infiltration while promoting loyalty to the government (Lent, 1975, p. 663-664). Many of these acts were retained even after the end of the Emergency in 1960 and are (in some form or another) still enforced today. It then comes as no surprise that a country formed under oppression cannot be anything other than authoritarian. But it is ironic that while the Malaysian media at the time was increasingly being hard-pressed to report only...
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...University E mail: sivalingam.vglingam@buseco.monash.edu.my Network Governance in Malaysia’s Telecommunications Industry Abstract The focus of this study is on the liberalization of the telecommunications industry, especially the mobile phone sector and the emerging network governance structure in the mobile phone sector. From being a monopoly of the government, telecommunications services are now being provided by a number of government linked privatized firms, private firms and a foreign firm with Malaysian partners. In the mobile phone market there are currently three firms that are competing for market share. However, there is a close connection between the firms because current government officers or retired government officers sit on the board of all four firms. An independent regulator, the Malaysian Communication and Multimedia Commission (MCMC) has been set up to facilitate and coordinate competition among the mobile phone firms and to ensure the efficient diffusion of accurate information. The elite connection between members of the board of the five firms and members of the MCMC, who are from the government and the private sector, also facilitates the flow of resources between the members of the network and the interconnection of services between the firms. The MCMC is also required to hold public hearings before making decisions and recommendations to the Minister and this allows for the participation of civil society groups in the policy making process...
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...MARKETING PLAN – WOOD’S INTERNATIONAL TITLE PAGE TO BE COMPLETED INTRODUCTION TO BE COMPLETED ENVIRONMENTAL & INTERNAL ANALYSIS Economic statistics and activity - ERIC * Q1: Is the market economically viable and sustainable? Political System – CHEN – REFERENCES! * Q 2: Is the political environment supportive of the venture? a) Political structure: the government of Malaysia comprises the federal, state and local government. Malaysia is a federation of 13 states operating within a constitutional monarchy using the Westminster parliamentary system and is categorized as representative democracy. The federal government adopts the principle of separation of powers and has three branches: executive, legislature and judiciary. The state governments in Malaysia also have their respective executive and legislative bodies. The judicial system in Malaysia is a federalized court system operating uniformly throughout the country. The federal government of Malaysia adheres to and is created by the Federal Constitution of Malaysia, the supreme law of the land. b) Political parties: Malaysia has a number of parties in operation, while there is only one party holds the true power of the nation. c) Local government: local government of Malaysia is the lowest level in the government system. The local authority has the power to collect taxes, create rules and to grant licenses and permits for any trade in certain areas. d) Stability of government: Since has...
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...upgrading with technology and other services for competing in this ever-growing airline industry. Malaysian airlines is one of the prestigious passenger airline carrier owned and run by the government of Malaysia also known as MAS in short. Malaysian airlines operates in more than 60 destinations around the world. Product and Experience Analysis: Malaysia Airways is one of the mid cost airline company and operates from the homeland base Kuala Lumpur. Malaysian airlines has established itself in the South East Asia region and travelling around the world. Malaysian airlines is one of the few airlines to be awarded with the 5 star airline status by Skytrax. Malaysian airlines also operates 2 airline subsidiaries Firefly and MASwings which operate internally within Malaysia. Other services offered by MAS include things like architectural operation, resort management, catering, digital booking companies, transportation and warehousing companies. MAS is an international carrier operating in 117 domestic destinations and 115 international routes in six continents. MAS offers 3 different classes first, business and economy class to suit the customer needs and compared to other 5 star airlines the prices offered by Malaysian airlines are way cheaper and they are highly competing with the other low cost airlines and offer exceptional products and service at cheaper rates (Baharom, 2002). Malaysian airlines was the first few airline company to come up with the internet and mobile booking ticket...
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... must be clear about this issue. This matter is all the more important because the people themselves took over the rule from the colonialists. Focus is given to the country’s main developmental policies before 13 May 1969, the New Economic Policy (NEP)that became the first long term plan known as Outline Perspective Plan 1 (OPP1), followed by the second long term plan (OPP2) and the third long term plan (OPP3). These philosophies and principles underlying development will hopefully enable all Malaysians to appreciate the direction or objective of the country’s development that has as its aim, national unity and racial integration. Besides that, the objective is also to raise the status of the citizens of Malaysia as a nation that is developed, progressive and harmonious as envisaged in Vision 2020. National Development Objective The general objective of development is mentioned that to provide a peaceful life to the citizens of various races. To achieve this objective, the role of government authorities as the ruling body becomes very wide. Among them would be the preparation of education facilities by constructing primary school, secondary schools, colleges and universities; communication and transportation facilities by...
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...3.1 Sustainable Development in Malaysia Malaysia such as many other developing countries faces conflict between economic growth and conservation of environment [8]. However, it has recognized the concept of sustainable development and has embedded this concept in its policies, vision, mission, and plans [9]. Malaysia is also very active in international sustainability activities, which have been reflected by its participation in the 13th session of the commission on sustainable development in New York in 2005 [9]. Malaysia has also incorporated the principal of Agenda 21 as one of the important sustainable development documents in its planning process [8]. The following sections will explore some of the initiatives of sustainable development...
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...MALAYSIA RUBBER BOARD INSPECTORATE AND ENFORCEMENT UNIT INTRODUCTION Organizational background Malaysian Rubber Board (MRB) is the body responsible for the rubber industry in the country. MRB was established on January 1st 1998, the combination of the Rubber Research Institute of Malaysia (RRIM), Malaysian Rubber Research and Development Board (MRRDB) and the Malaysian Rubber Exchange and Licensing Board (MRELB) to continue their efforts to promote and develop the rubber industry, as was done during 78 years ago. R&D advancement in natural rubber (NR) achieved by RRIM has impacted the Malaysian NR industry as well as other NR processing countries. The main objective of MRB is to assist the development and modernization of the Malaysian rubber industry in all aspects from planting, production and processing of raw rubber, manufacturing of rubber products and marketing of rubber and rubber products. LGM also monitors the supply and demand scenario of rubber and world rubber products, market promotion and to advise the government on the implementation of suitable policies to ensure efficiency and industrial competition. Various innovation, technology and the latest discovery have been achieved by the Malaysian Rubber Board including the automatic planting machine for rubber seedlings, this machine was developed to overcome issue of dependency on labors. This technology is in line with NKEA project to improve the productivity and efficiency of farming activities...
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...Malaysian Airlines TIME TO TRAVEL……. Preliminary Consultancy Report (Update) Of Developing An Agile/Adaptive Organization by Concentrating HR Capabilities Perspective: Malaysian Airlines Prepared by Anupam Mazumdar Vidya Md. Mohsin Zaki Derrick Bungo Malaysian Airlines TIME TO TRAVEL……. ADOPTED APPROACH & METHOD JUSTIFICATION THIS REPORT IS BASED ON MALAYSIAN AIRLINES IN WHICH INDUCTIVE CONTEXT WILL BE DEVELOPED BY USING DIFFERENT SOURCES SUCH AS JOURNALS, ARTICLES, COMPANY DATABASE, COMPANY & CASE STUDY WEBSITE, COMPANIES ANNUAL AND LATEST REPORT REPORTS OF OTHER HOMOGENEOUS ORGANIZATIONS (RITCHE ET AL., 2014) CONCLUSION AND RECOMMENDATION (HOW HR CAN ADOPT AGILE/ADAPTIVE APPROACH) WILL BE DERIVED FROM MALAYSIAN AIRLINES DATA, INFORMATION, FINANCIAL STATEMENT, PRESS RELESE, FINDINGS AND ANALYSIS OF PAST AND PRESENT STATUS OF MALAYSIAN AIRLINES (SILVERMAN, 2014) Malaysian Airlines TIME TO TRAVEL……. THEORIES THE FOLLOWING THEORIES WILL BE USED TO IDENTIFY THE KEY ISSUES OF MA THEORIES ü ü ü ü ü ü ü ü ü PESTEL ANALYSIS SWOT ANALYSIS PORTER’S 5 FORCES CULTURAL AND LEADERSHIP STYLE OF MA (HARD & SOFT) KNOWLEDGE BASED VIEW & RESOURCE BASED VIEW FORCE FIELD ANALYSIS BLUE OCEAN STRATEGIES STRATEGY GROUP MAP SEVEN “S” MODEL KEY ISSUES ü COMPANY PROFILE OF THE MALAYSIAN AIRLINES ü CURRENT STATUS OF THE THE MALAYSIAN AIRLINES ü CURRENT STRATEGIC POSITION OF MALAYSIAN AIRLINES ü CURRENT HR PRACTICES IN MA ü STAKEHOLDER ANALYSIS...
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...micro-regulatory reforms in the sector seek to fine-tune the regulatory mechanisms in the sector. This paper reviews the recent history and development of the telecommunications sector in Malaysia. Section 2 provides a brief historical account of the sector and the current structure of the sector. This is followed by a discussion on regulatory reforms in Section 3. Section 4 examines the impact of reforms in the telecommunications sector. Section 5 concludes by discussing the future policy agenda for the sector. 2. EVOLUTION OF INDUSTRY STRUCTURE 2.1. Physical Expansion The infrastructure sector plays a key role in Malaysia’s economic growth and development. The sector’s share of development expenditure in the various five-years plans implemented since 1966 has fallen in the range between 18 per cent to as high as 34 per cent (Lee, 2000). This emphasis on infrastructure development notwithstanding, the expenditures appear to be targeted mainly at the transport and power sectors. As a result, telecommunications indicators - such as the fixed line penetration ratio - remained relatively low particularly before 1980 (Table 1). In 1970,...
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...helped us in gathering primary data, and our friends who helped us in fine tuning this report. Last but not least our parents for their huge support and immense tolerance. Without them this task would have never been a complete one or a successful report if it was not for their help and advices. Executive summary Globalization is a process of interaction and integration among companies and government of different nations. This is a process driven by international trade and investment and aided by information technology. And also it effects on the environment, on culture, on political system, on economic development and prosperity, and in societies around the world. The aim of this report is to provide finding and on Malaysian economy in a nutshell with regard to beauty and cosmetic products, identify the current trends and changes in the industry. And also analyze the cultural differences and the impact on Globalization, analyzed the Impact of multinational brands, local brands in the industry and future of the industry. Identify the direction and a coherent, overall plan is particularly important to a global Companies, like Ceylon spa which produces many different product lines worldwide. This report will provide holistic view of the findings and analyzing the environment and the basic structure of Malaysia. The PESTLE analysis of Malaysia identified different impacts on the country’s...
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...industrialized countries by the year 2020 have been clearly communicated and disseminated to all the organizations and its employees. The specific objective of the plan is to accelerate industrial restructuring, technological upgrading, human resource development and industrial linking. HRD being one of the development factor is given priority to support the implementation of a productivity-driven growth which required highly skilled, trainable and knowledgeable manpower. A greater emphasis is continuously given to increase accessibility to education at all levels in line with the democratization of the education policy. At the same time, the long-term objectives of generating a highly skilled labor force to meet the demand of the current economy remains in focus that HRD is a primary element in enhancing the nation’s competitiveness. Under the Tenth Malaysian Plan, one of the main emphasis for achieving productivity is to focus on skills development, especially in terms of upgrading the skills the existing work force to facilitate industries to move up the value chain. Skill development is also more concentrated towards specialization as one of the current ten big plans of the country is to thrive towards transforming into high-income country through specialization. Towards nurturing top talent of the nation, the Government plans to undertake a comprehensive reform across the entire life-cycle of human capital development, from upgrading early childhood education right through to upskilling...
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