Corporate Princess 5 : Kuok Hui Kwong & Robert Kuok succession planning 郭鹤年女儿郭惠光及新人事部署

Robert Kuok, richest man in Malaysia, at age 90, still have a daughter age 35 .

Actually, Kuok Hui Kwong is daughter of Robert Kuok second wife. He remarried after his first wife pass away.

Ms. Kuok,  affectionately in the newsroom as "Baby" Kuok at one point, received her undergraduate degree BA, East Asian Studies from Harvard University. She worked as an analyst in the investment banking unit of JP Morgan.

Kuok Hui Kwong started as financial journalist in South China Morning Post Publishers Ltd and become Executive Director of South China Morning Post Publishers Ltd in 2003. Kuok Hui Kwong become CEO of SCMP Group Ltd in 2009.

She has been a Non-Executive Director at The Post Publishing Public Company Limited which published Bangkok Post since November 9, 2012 and served as its Director since March 27, 2009 until July 20, 2012.

Kuok Hui Kwong resigned as CEO and Managing Director of  SCMP Group Ltd in 2012. Robin Hu appointed as CEO of  SCMP Group Ltd replacing Kuok Hui Kwong position. Ms Kuok remain as Executive Director. Many speculation on her re-designation at that point as it is co-incident with protest of SCMP Group Ltd self-censorship policy. Although Kuok says his news executives publish without fear or favor, present and former staff members have publicly complained that the paper sometimes self-censors stories it thinks the Chinese government wouldn’t like.  Some gossip also said she is pregnant and prepare to give birth in Dragon year in 2012. She married to grandson of  Hong Kong's late "Instant Noodle" King. , also graduate from Harvard University. Her husban also work for father in law as Executive Director of Kerry Properties Ltd

There is also speculation that Kuok siblings has lost passion in media business after her step brother  resigned as Chairman Executive Director of SCMP Group Ltd earlier 2013.


 

Robert Kuok eldest son, 58, Kuok Khoon-chen,who’s known as Beau.

Beau, who’s worked in his father’s businesses since 1978, is chairman of Kerry Properties Ltd (683). The firm, 55 percent owned by Kerry Group, develops luxury apartments, shopping malls and offices mostly in China and Hong Kong.

On 21 Aug 2013, Chinese newspaper in Hong Kong reported that Kuok Khoon chen resigned as Chairman and Executive director of Kerry Properties Ltd effective 20 Aug 2013. However, we unable to find similar news in english on internet.


Kuok’s second son, Kuok Khoon Ean, 57, heads Shangri-La Asia (69), of which the family owns 50 percent.

Also, there is a report in Chinses newspaper in Hong Kong that Kuok Khoon Ean has on leave since March 2013 until Aug 2013. However, we unable to get similar news in English on internet. However, we get below filing which we unable to find similar report in chinese

"The board of Shangri-La Asia Limited (00069) announces that with effect from 22 August 2013, Kuok Khoon-ean has been re-designated as a non-executive director of the company and has also resigned as the chairman of the board, chief executive officer, member and the chairman of the Executive Committee, member of the Remuneration Committee, and member and the chairman of the Nomination Committee.

Also, Kuok Khoon-chen, brother of Kuok Khoon-ean, has been appointed an executive director of the company and assumes the above roles which Kuok Khoon-ean has resigned from.

Kuok Khoon-ean has confirmed that the above resignations are to enable him to focus on his board commitments at Kerry Group Limited and that he has no disagreement with the board and there is no matter which needs to be brought to the attention of the shareholders of the company in respect of his resignation."

However, we unable to find similar news above in bold in chinese version of Hong Kong newspaper. the chinese media in Hong Kong only reported that Kuok Khoon Ean has been on leave since March 2013 and Kuok Khoon-chen has resigned as Chairman and Executive Director of Kerry Properties Ltd (683) on 22 Aug 2013. this create a lot of speculation on Kuok succession planning as all  Robert Kuok's son has resigned leave only daughter, son in law and nephew in his group of company.



Wilmar International

A nephew, Kuok Khoon Hong, 63, co-founded and chairs Wilmar International, the largest Kuok-controlled company, with a market value of almost $20 billion, in which the Kuok family controls a 32 percent stake. One of Kuok’s companies, Singapore-listed Wilmar International, is the world’s biggest processor of palm oil and eighth-biggest sugar producer.

The family’s history of that period harbors an enduring mystery: a 16-year parting of the ways between Robert and Khoon Hong, who in 1991 left the Kuok Group to set up Wilmar with Indonesian entrepreneur Martua Sitorus.

It wasn’t until 2007 that Robert acquired a 32 percent stake in Wilmar and injected most of his agribusiness into it. Neither Robert nor his nephew would discuss the split.

Related read : Robert Kuok empire in Malaysia
Update : Robert Kuok succession planning crisis 2
Most beautiful Corporate Princess in 2013





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企业公主系列5 : 马来西亚华人首富郭鹤年其女儿郭惠光堪比明星


郭惠光於哈佛文学系毕业，　畢業后她曾任職摩根大通財經分析員，並于2003年起加入父亲旗下的《南华早报》时由低做起，曾任财经版记者，03年升为集团执行董事進入董事會，于2008年底起接任總執行長一職。。至於吴继霖亦来自显赫家族，是公仔面大王周文轩的外孙，也是哈佛毕业生，年年获奖学金。而吳繼霖目前亦是嘉里建設的執行董事。郭孔丞請辭后，這位糖王女婿便成為嘉里建設董事局中，唯一的郭氏家族成員。

郭孔华皆毕业于哈佛大学. 郭孔华目前也是香港嘉里控股有限公司董事。

幼女郭燕光美国斯坦福大学修读文科

 

不足半年，郭鹤年两位公子在上市公司的职位先后发生变化，令人揣测郭鹤年是否正对其家族旗下的业务，作出新的人事部署。


現年58歲的郭孔丞，郭孔丞毕业于澳洲墨尔本莫纳斯大学经济系. 自2008年起出任嘉里建設主席及執行董事。目前他是郭鶴年旗下的私人公司Kerry Group Limited的副主席兼董事總經理、嘉里控股有限公司的主席兼董事總經理，以及郭氏集團多家公司的董事；而Kerry Group Limited及嘉里控股有限公司，皆為嘉里建設的控股股東。

8月21日郭鶴年長子郭孔丞則宣布辭去嘉里建設主席及執行董事等職務，8月20日起生效。

郭孔丞一向少有新闻，最轰动要数早年同宝岛歌后邓丽君的一段情。有传80年代初，郭孔丞原本打算迎娶邓丽君，但郭家认为门户不对，郭邓之恋最后只有分手收场。

至於昨天嘉里的通告中，則交代郭孔丞請辭是要參与其它商務

香格里拉酒店业务交由二儿子郭孔寅（58岁）打理，其家族持股50%。

據香港信報報導，今年3月糖王郭鶴年次子、香格里拉主席兼首席執行官及執行董事郭孔演，突然宣布由今年4月1日起休假半年。

次子暫休香格里拉主席
　　

今年3月，香格里拉的公司通告指出，郭孔演將放無薪假，為期不超過半年，但未有交代休假的原因；換言之，郭孔演最遲應於9月復工。郭孔演休假期間，將由副主席雷孟成出任署理主席及署理首席執行官，並指董事會有信心，在郭孔演缺席期間，公司的管理及運作將不受影響。郭孔寅毕业于英国诺丁汉大学经济系。

丰益国际是郭鹤年与侄子郭孔丰联合创办，也是郭氏家族控制的最大公司，市值200亿美元，郭氏家族持股32%。


更新报告: 传郭家三房争产1220亿
2013年最美丽的企业公主

Culprit of Malaysia Balance of trade surplus drop

Malaysia, while registering faster economic growth in the second quarter of this year, saw its current account surplus narrowed substantially to RM2.6bil – the lowest since the 1997/98 Asian financial crisis – from RM8.7bil in the preceding quarter. On a year-on-year basis, the surplus fell by over 67%.

This is largely tied to the balance of trade, the component of the current account which has drawn the most scrutiny since late last year as the surplus dropped. Malaysia is reliant on such large surpluses, given its structure as an exports-reliant economy.

Essentially, the balance of trade is what a country earns on exports minus the import costs.
The lower goods surplus of RM18.7bil (from RM24.7bil in the previous quarter) shows the drop in exports, largely due to lower commodity prices (crude palm oil prices have been down since reaching a high of RM3,613 per tonne on April 10 last year) and the weak demand for consumer-electronics products.

There has also been a sustained services account deficit, which widened to RM3.7bil (from RM3.4bil in the previous quarter) as well as outflows in the income accounts, which widened to RM4.1bil (from RM3.8bil previously).

The current account surplus woes are amplified by the weakening ringgit, which has fallen by more than 10% since early May versus the US dollar, making imports more expensive.

Are the above the only reason for drop in export? Only lower commodity price and weak demand for consumer-elctronic product? What other factor beside above that cause the balance of payment drop by 67% .

Pos Malaysia Berhas has increase international postage rate on 15 May 2013. This has cause some Ecommerce operator scale down their operation by reducing low value item to high value item.  some have move their services to nearby country like Singapore. Some has effectively kill by Pos Malaysia by leaving the trade altogether.

File of complaint on Pos Malaysia Berhad violated  section 14 of Price Control and Anti-Profiteering Act 2011 has been move from  Domestic Trade, Cooperatives and Consumerism Ministry to  Malaysian Communications and Multimedia Commission (MCMC). This mean government no longer investigate Pos malaysia Berhad breach of section 14 of Price Control and Anti-Profiteering Act 2011 as that is not under jurisdiction of MCMC. MCMC might assess it impact on E-commerce operator.

As Malaysia Balance of trade surpus has been narrowed to RM2.6bil to from RM8.7bil. MCMC should be careful when drawn conclusion on it investigation. It is not sure Bank Negara have statistic on E-commerce from Paypal and other credit card merchant provider.

India's rupee has been devalue over pass few years but no increase in it export. thus, Malaysia should not be complacent that export will improved after a devaluation of Ringgit.

Nevertheless, Bank Negara governor Tan Sri Dr Zeti Akhtar Aziz says the current account is not likely to go into deficit due to the recovery in external demand and sequencing of large investments with high import content while the ringgit is likely to moderate versus the greenback in the medium term.

Malaysia should be proactive by leveraging on devaluation of currency to provide a competitive environment to E-commerce operator.

Update : Better external trade ahead?.

Jim O’Neill agreed with Jim Roger on BRIC eventually 奥尼尔：中国是目前唯一称得上的金砖国家

Former Goldman Sachs Asset Management Chairman Jim O’Neill, who coined the BRIC acronym describing four burgeoning emerging market countries, stands by the term he invented more than a decade ago, but admits that three of the countries have disappointed him in recent years, reported Wall Street Journal dated Aug 23, 2013

Earlier, Former analyst, co-founder of George Soros's Quantum Funds, Jim Roger,  in his new book, Streets Smarts (pic) stated that Jim O’Neill only get 3 countries's wrong, India, Rusia and Brazil.

The acronym created in 2001 groups Brazil, Russia, India and China, and has become a reference for a perceived shift in economic power toward developing economies.

“If I were to change it, I would just leave the ‘C,’” Mr. O’Neill said in an interview. “But then, I don’t think it would be much of an acronym.”

Jim Roger, who travel personally to all 4 countries after his retirement from Quantum Funds, feel that  only China have the potential.

Economic growth in other BRIC countries has been disappointing, and the economic outlook for developing economies in general has changed in the last few years amid the end of a commodities boom and a slowdown in Chinese growth–which nevertheless remains high compared with that of its counterparts.

Meanwhile, signs of a recovery in the U.S and expectations the Federal Reserve will soon reduce its bond-buying program have helped strengthen the U.S. dollar, sucking money out of emerging markets and putting even more pressure on their less developed economies.

It has become “fashionable” to say the developed world is recovering while emerging markets are all slowing down, Mr. O’Neill said. “But what people don’t understand is the size of China,” he added.

The economist said that if China’s economy grows 7.5% this year, as he expects, that would create an additional $1 trillion in wealth, in U.S. dollar terms. “For the U.S. to contribute at the same level, it would have to grow around 3.75%,” Mr. O’Neill said.

Economists currently expect the U.S. economy to expand 1.5% in 2013, down from 2% projected in May, according to a recent survey by the Federal Reserve Bank of Philadelphia.

From 2011 to 2020, Mr. O’Neill said he has assumed average growth for the BRIC countries of 6.6% a year, less than the 8.5% average in the previous decade. Most of it up to now has come from China.

India has been the biggest disappointment among the BRIC countries.

China’s one-child policy boost growth: This restrictive policy and China’s adoption of Deng’s pro-market reforms began in the late 1970s. Since then, China’s per capital income rose more than 8-fold.  In 2028, India will overtake China (with 1.39 billion) as the world’s most populous nation with 1.46 billion. However, Jim Roger feel India unable to solved it poverty and infrastruture problem.

Vulnerable economies

That might be the reason India drop from 2nd to 4th on 2013 Global Manufacturing Competitiveness Index . It is interesting to see whether Deloitte prediction will be correct that India would rise to 2nd position on 2013 Global Manufacturing Competitiveness Index in 5 years.

The broad-based sell-off in assets of Asian emerging markets (from equities to bonds) has led to significant decline in the values of the region’s currencies. Particularly hit hard have been India and Indonesia, which have seen their respective currencies, rupee and rupiah, crash over the week.

This month alone, India’s rupee has depreciated about 6.5% against the US dollar, while Indonesia’s rupiah has fallen by around 6.2% against the greenback.

India and Indonesia’s financial markets were the first two to be routed, as exit of foreign funds gathered momentum in recent weeks. There are reasons that these two markets were the first – and worst – hit. Both have huge and widening current account deficits, which reflect their dependence on external financing, and they also running on fiscal deficits.

India’s current account deficit, for instance, stands at around 4.8% of its GDP, while its fiscal deficit is around 4.9% of GDP.

Brazil has been the most volatile in terms of investor perceptions, the economist said.

“Between 2001 and 2004, many people told me I should never have included Brazil. Then, from 2008 to 2010, people told me I was a genius for including Brazil and now, again, people say Brazil doesn’t deserve to be there,” he said.

Brazil’s economic growth, which reached 7.5% in 2010, has been weak since then in spite of multiple government stimulus measures. The country seems doomed to growth of 2% or so in both 2013 and 2014, according to economists’ forecasts.

Brazil’s rapid growth in 2010 raised expectations, but many people forgot that the country is vulnerable to big moves in commodities prices, Mr. O’Neill said.

Another problem, he said, is that private investment remains a small share of the country’s gross domestic product. Brazil’s investment rate has been stuck at around 18% of GDP, the lowest level of any BRIC country, for a decade.

Brazil’s problems in recent years were compounded by the strong performance of the Brazilian real, which made the country uncompetitive outside of commodities, Mr. O’Neill said.

The trend for the Brazilian real has changed in the last few months and the currency recently slid to its weakest level in four years, amid slow growth, declining exports and high inflation. So far in 2013, the real has retreated 14% against the dollar.

The currency’s weakness has more to do with what’s happening outside of Brazil than inside, Mr. O’Neill said. A weaker real “will help Brazil into competitiveness,” he said.

His advice for the Brazilian authorities, who have shown unease with the rapid depreciation of the currency, intervening repeatedly to try to slow the real’s move, would be “relax,” he said.

“They should only worry if there’s a pickup in inflation expectations; otherwise, they should relax,” he said, before the central bank late Thursday unveiled a massive intervention program to provide relief for the currency.

Brazilian inflation is currently 6.15%, close to the 6.5% ceiling of the central bank’s target range for 2013.

Even in the face of weak growth, Mr. O’Neill says he doesn’t plan to add or subtract letters from his famous acronym.

“If, by the end of 2015, there is persistent weak growth in Brazil, India or Russia, then I might,” he said, noting, however, that he expects Brazil to surprise positively in 2015, possibly even in 2014.

Jim Roger opine that Brazil and Russian are just Commodity and resources economy and will be unsustainable.

Other prediction by Jim Roger's book including rise of Myanmar and North Korea. It is also interesting to read his prediction on USD.

奥尼尔：中国是目前唯一称得上的金砖国家

前

高盛资产管理部主席吉姆•奥尼尔(Jim O'Neill)十多年前创造了金砖四国概念，但他承认除中国外，其他三个国家近年来的经济发展令他感到失望。

2001年，以巴西、俄罗斯、印度和中国英文名称的首个字母组成了金砖四国的名称(BRIC)，它成为经济话语权向发展中国家转移的一个参考标志。

奥尼尔在接受采访时表示，如果他还能更改这个概念，只会留下中国一个国家。

奥尼尔补充说，人们不太清楚中国的经济规模。他称，如果中国经济像他预计的那样在今年增长7.5%，相当于额外创造了1万亿美元的财富；对于美国来说，如要达到这样的财富创造水平，其经济增长率也需要达到3.75%左右。

奥尼尔称，对于2011年至2020年，他预计金砖国家的平均年增长率为6.6%，低于之前十年的8.5%，而迄今为止，金砖国家的经济增长动能大多来自于中国。

他还表示，在金砖国家中，印度的表现最令人感到失望，而投资者对巴西的看法则经历了最为剧烈的变化。

他称，2001年至2004年期间，许多人告诉他金砖国家本不应包括巴西；而后在2008年至2010年，一些人士告诉他，将巴西纳入金砖国家的范畴是个非常明智的做法；但现在，人们再次告诉他，巴西称不上是金砖国家。

奥尼尔称，雷亚尔的强劲走势令巴西在大宗商品外的领域变得不具竞争力，从而加剧了该国近年来的问题。他表示，雷亚尔贬值有助于巴西提高竞争力。

Inaugural Network Asean Forum held in Singapore 2013年东协网络论坛

Key business leaders from across Asean were to gather yesterday for the inaugural Network Asean Forum to brainstorm solutions to some of the issues obstructing the creation of an integrated Asean Economic Community (AEC). The one-day NAF was held at the Shangri-La Singapore Hotel.

Organised by the ABC and the CIMB ASEAN Research Institute, a public organisation committed to realising the AEC, the NAF was premised on three goals: to identify bottlenecks and barriers to free trade, to construct solutions to industry-specific obstacles, and to bring together regional business leaders to shape ASEAN economic integration.

Singapore's Deputy Prime Minister & Minister For Finance, Tharman Shanmugaratnam:
Boost efforts to deliver commitments on time
ASEAN member countries have to intensify efforts to deliver their Asean Economic Community (AEC) commitments on schedule and to start working on future regional economic initiatives post-2015, says Singapore's Deputy Prime Minister & Minister For Finance, Tharman Shanmugaratnam.

In his address at the inaugural Network Asean Forum (NAF) yesterday, Shanmugaratnam underlined four key priorities, each of which offered real prospects for improvement in the region's growth. "First, we have to open up further, and create conducive conditions for private investment to grow."

Tharman said unlike China, which was shifting from investment to consumer-driven growth, ASEAN'S challenge was opposite to rebuild investment levels.

The deputy prime minister said the second priority was to invest in raising productivity. "This is in fact a real opportunity in ASEAN. Productivity levels in ASEAN economies (excluding Singapore) range from five per cent to 35 per cent of the level in the US," he said.

Shanmugaratnam said the third priority in ASEAN was to ensure that it could take advantage of opportunities in China's evolving economy. He said China's wages were rising rapidly, and will alter the Asian manufacturing supply chain. "Some ASEAN economies with relatively low labour costs will benefit by taking over some segments of this supply chain," he said.

At the same time, he said, there will be growing demand for higher value, more sophisticated products to cater to the rising middle class in China, even as Chinese producers themselves move up the same value curve.

Shanmugaratnam said the fourth priority was to accelerate regional integration in ASEAN.

Central to the forum was the sector-based “Lifting the Barriers’ roundtable sessions.

These roundtable sessions saw participants discussing issues specific to six key sectors, namely, aviation, connectivity, infrastructure, power and utilities (IPU), capital markets, financial services and healthcare.

 The research partners for the sessions were National University of Singapore, Bain & Company, McKinsey & Co, Oliver Wyman, Boston Consulting Group and Accenture respectively.

The outcome of the six roundtable discussions will be reflected in policy recommendations which will be published and presented to the policymakers.

Morning sessions : roundtables of aviation, connectivity and IPU

The aviation roundtable session of the inaugural Network Asean Forum (NAF) was held in Singapore which saw captains of industry from the region gather to thrash out issues that continue to stand in the way of the formation of an integrated Asean Economic Community (AEC) by 2015.

Universal themes that emerged from the three morning sessions roundtables of aviation, connectivity and IPU included the need for Asean-wide regulations, better communication and cooperation between key industry players and the abolishment of protectionist policies.

AirAsia Group CEO and Network Asean Forum 2013 (NAF) convener Tan Sri Tony Fernandes says the regional secretariat needs more “meat and muscle.”

Speaking at the aviation round-table session of the inaugural NAF yesterday, he said: “I would like to see the Asean secretary-general having greater power and influence on the economic direction. This is so that we can channel our regional proposals to one body, which would then disseminate them to the different Asean governments.”

His comments were reflective of the current state of the Asean market, which remains a largely fragmented region comprising a hodge-podge of local regulations and standards. Participants were unanimous in noting the near limitless potential of Asean as a key global trade and production base, while agreeing that much work remained to be done in ensuring seamless integration.

The lack of a single Asean regulator in any industry and the proliferation of non-binding agreements has also played a role in preventing greater collaboration.

“We have identified a number of barriers to integration which includes the lack of transparency, issues of nationalism in investment, and of changing goalposts,” said the CEO of Ayala Corporation and IPU roundtable chair,Jaime Augusto Zobel de Ayala.

Meanwhile, the CEO of Indosat and the chair for the connectivity roundtable, Alexander Rusli, said there was a need to view Asean as a “single unit of business”.

“We need to build an ecosystem through the Asean spirit with one set of standards defined across the board.

“The end game has to be that (in the case of connectivity), wherever we bring our devices, charges have to be transparent and the user experience must be seamless. Otherwise, people will find other modes of communication,” he added.


Afternoon sessions : roundtables of capital markets, financial services and healthcare.

 

NAF convenor Nazir Razak, group chief executive of CIMB Group, added that there was insufficient critical-mass support for ASEAN economic integration and although there had been improvement, much more needed to be done in these areas.

"Individually, each of the countries within ASEAN - with the exception of Indonesia - represents a relatively small market. We want to compete with the likes of China and India, and with the US and Europe, which must recover at some point. To do so, we must build scale but not for scale's sake alone. We must scale up in a sustainable and inclusive manner, and that means creating a collaborative regional bloc," he said.

2013年东协网络论坛

（新加坡23日讯）新加坡副总理兼财政部长尚达曼指出，东协国家不应再仰赖过去靠外围国家的增长模式，而应进行基本面结构改革、提高私人界投资和生产力、顺应中国经济改革方向，并积极推动东协经济一体化。
 

尚达曼今日出席“2013年东协网络论坛（NAF）”致主题演讲时指出，外围环境弥漫着许多不确定因素，相信未来5年或以上，将无法再支持东协国家的发展。
 

“先进国虽逐渐从衰退中回弹，但仍会陷入长时间的缓慢增长情况，比如说东协的主要市场———美国，长期增长率料仅有2%。因此，我们须在基本面下手，以自行支撑长期增长动力。”
 

除了欧美日大国的经济缓慢增长，中国经济再平衡从投资导向上升至消费导向，不仅对东协国家带来更大的竞争，也代表原产品价格因“超级周期”的终止而下滑，东协国家多元化经济成了当务之急。
 

尚达曼强调，外围环境的重大转变，还有内部供应方的能力，都是东协国家所面临的挑战，必须执行更深入的改革，以从当前的中低收入，提高至中或甚至是中高收入阶级。
 

有鉴于此，尚达曼认为，东协国家在面对如此大环境下，中长期需要着手显著的改革行动，想办法在国内外开创每个新增长机会。
 

投资比率偏低
 

尚达曼说：“我们需要为私人界投资创造有利的环境。在亚洲金融风暴前，我们的投资率占国内生产总值（GDP）的33%，但如今，新兴东协国家的投资比例平均仅有25%，较当前发展阶段所预期的来得低。”
 

同时，中国经济的改革进程，包括中产阶级的提升、消费导向、城镇化和环境注重课题，都是东协国家需思考的范围。
 

他也呼吁东协国家积极推动经济一体化（AEC）的进程，并点出在东协内部贸易方面，仍有许多须改革的地方，特别是一些非关税障碍，如配额、复杂的海关、进口执照的程序等等。
 

“我们在其他方面已有进展，如交易所连线和针对基金及证券的共同架构建立等，区域一体化将有助我们抵消外围负面影响，加强自我增长表现。”
 

论坛1：东协策略：航空、通讯、基建电力与公用事业领域
 

主持：菲律宾群岛银行总裁‧西查肯星（Cezar Consing）
 

主讲：亚航集团总执行长丹斯里东尼费南德斯、Garuda航空总执行长艾米沙（Emirsyah Satar）、Indosat总执行长亚历山大罗斯理（Alexander Rusli）、环球电信（Globe Telecom）总执行长欧内斯特（Ernest Cu）、Ayala集团总执行长嘉米、杨忠礼机构董事经理丹斯里杨肃斌
 

各领域业者认为，东协10国应制订出一套共同架构，促进业者合作，而不是各自“闭门造车”或视对方为竞争敌人。
 

嘉米表示，东协国家政府在经济一体化上扮演重要角色，包括制订无界限的机制，鼓励私人界的投资，带领东协国家真正改革。
 

抱持同样观点的杨肃斌也认为，东协国家不应再依循过去的思维模式，而是改变整个观点，并指政府应该给私人界更多帮助，促进经济一体化的进程。
 

东尼和艾米沙另也点出在开放市场下，东协应该一起“享受东协市场“，合作成了必然条件，当然政府也能从架构改革上促进这方面的合作空间。
 

“有钱一起赚”
 

亚历山大罗斯理和欧内斯特则以电讯领域为例，强调若东协不合作，彼此竞争将妨碍东协经济一体化的发展。
 

“比如每个人都知道国际漫游非常贵，或许东协之间合作，这也仰赖政府如何安排。”
 

杨肃斌则发表“有钱一起赚”的道理：“我们东协拥有许多资源，拿频谱来说，有LTE有Wimax，我们可以在东协生产设备，不要浪费我们的资源。”
 

亚航能与马航合作
 

亚洲航空（AIRASIA，5099，主板贸服组）总执行长艾琳奥玛在场外接受专访时透露，在东协经济一体化来临前，亚航和马航（MAS，3786，主板贸服股）或许可以先率先合作。
 

“虽然我们方针不同，亚航是廉价航空；马航是全服务航空，但在2015年东协领空开放后，将形成全面开放的市场，不如我们可以讨论合作的范围。”
 

避免非东协航空业套利 东协将迎单一航空市场
 

东协10国即将在2015年迎来单一航空市场（ASAM），然而，航空市场迄今仍有不少限制。
 

航空业者呼吁东协应该视为一体，否则，最终将让非东协国家的航空公司，从东协航空市场套利。
 

亚洲航空集团（AirAsia）总执行长丹斯里东尼费南德斯及印尼Garuda航空总裁兼总执行长艾米沙萨达，针对新加坡大学法律讲师陈祺仁的航空领域研究报告，共同探讨东协航空领域面对的问题和建议解决放案。
 

研究报告提到，东协早前与中国签署自由贸易协定后，开放双方的航空领域；虽然航班次数不受限制，可是，东协国家只能从一个定点飞往中国，中国却可从不同城市飞往东协。
 

东尼表示：“我们不应该出卖自己人，应该把自己视为市场，否则围绕我们（东协）的国家如韩国、日本、印度、中国的航空业者，就可从我们的市场套利。”
 

此外，陈祺仁呈报研究结果时，也提到东协统一管制单位，建议整合东协10国的航空交通管理。
 

东协机场不敷应用
 

研究报告中点出廉价航空发展迅速，承载量占许多东协国家逾50%，加上航空公司扩大机队，预期东协航空领域未来将变更拥挤。
 

然而，东协机场仍不足以应付所有航班。
 

因班机展延而迟到的艾米沙表示，航班经常会面对起飞或降落时间点的问题，机场会出现没有空档期可以允许飞机着陆的状况。
 

他们建议东协政府以投资机场容量为首要。
 

东尼认为，国营机场的能力庞大，并曾建议大马交通部长我国应该要有更多机场业者，达到完全开放。
 

艾米沙附和道，印尼也没有足够预算开新机场，所以认为私营机场也不错的方案。
 

有关研究报告也建议东协制定东协共同认证，让10国的飞机师、技师等专业人士，都拥有共同标准，并可在任何东协国工作，填补航空领域人力不足的问题。
 

“秉持一夫一妻制” 亚航不考虑全面服务
 

东尼和艾米沙也提到全面服务航空（Full Service Carriers）和廉价航空两种航空服务模式。
 

东尼在言谈中，巧妙的以“本身秉持一夫一妻制”的说法，暗示自己目前不会考虑全面服务航空的模式。
 

他认为，专注于一件事情是成功的关键，本身就是选择把资本投入到一个模式，最终也获得更好回酬。
 

他说明亚洲航空（AIRASIA，5099，主板贸服股）和亚航X（AAX，5238，主板贸服股），只是在同一品牌经营，非属于全面服务航空。
 

他强调，提供全面服务航空与廉价航空之间没有所谓对错，也认同随着东协经济增长、人民收入上升，就会转到使用全面服务航空。
 

艾米沙表示，本身不认同同步提供全面服务和廉价航空服务，是属于自相残杀；况且占东协人口逾半的印尼人民认为，廉价机票是其次，航空安全才是首要。
 

为市场开放做好准备
 

针对2015年东协市场迈向全面开放，艾米沙认为，无论业者喜欢与否，整体航空领域将迈向无界限的开放市场，所以业者必须做好准备。
 

单一航空市场须整合
 

“重点是，市场即将变为公平竞争的平台，大家都会站在同一个地方，而大家又能从中获得什么好处。那会是我们需要探讨的。”
 

他表示，航空领域迈向2015年的东协单一航空市场，必定出现一轮整合。
 

“要生存，规模是必要条件。你合并或被收购，那最终市场所剩业者不会多。”
 

至于本身是否成为整合下的并购对象，他表示，Garuda航空或与其他国家业者有别。
 

“不过，我们的历史很长，我不认为（会被并购）。就算合并，品牌仍会是Garuda，我们不会就这样改变。”
 

论坛2：东协策略：资本市场、金融服务和保健领域
 

主持：2013年东协网络论坛主席兼Northstar Pacific董事经理派德里克
 

主讲：联昌国际（CIMB，1023，主板金融股）总执行长拿督斯里纳西尔、菲律宾群岛银行总裁西查肯星、曼谷银行总裁陈智深、Mandiri银行总执行长布迪、综合保健控股（IHH，5225，主板贸服股）董事经理林焯彬、康民国际医院（Bumrungrad）高级总监肯尼思迈尔斯
 

商界已就绪政府未准备论 阿兹曼：不认同
 

国库控股董事经理丹斯里阿兹曼莫达不认同，商界已准备妥当，政府却没完全做好准备的说法。
 

阿兹曼出席“2013年东协网络论坛”第二场研讨会时说：“拿督斯里纳西尔早前传达一个讯息说：商界已经做好准备，政府反而没有完全准备……我不是很认同这说法。”
 

他表示，区域商业界整合还在进行中，所以称商业界已准备好或还没准备好的说法，其实皆非。
 

阿兹曼强调，这不意味商业界没有准备，目前一部分商界正努力为东协经济一体化努力，如联昌国际总执行长拿督斯里纳西尔、亚洲航空等。
 

他也提到，东协各国政府只要在2015年提升东协整体环境，而不是加以妨碍，相信商界人士会找到他们迈向经济一体化之途。
 

“这是全球化遇上地方利益……难免会出现融合的问题。”
 

张磊：投资者在东协寻商机
 

高瓴资本创办人兼总执行长张磊也附和道，投资者会选择在东协寻找投资机会，若东协可达成经济一体化，意味投资者可从中看到可靠和持续开放，即更多机会。
 

“长期投资者会寻求清楚和可预期的政策架构，不一定要革新，但要清楚路线、稳定和开放。”
 

新加坡驻马来西亚最高专员王景荣在会上强调，东协的区域整合并非在2015年之际就可达到完美水平，因为整个过程会持续不停。
 

不过，阿兹曼认为，东协各国面对的最大挑战是如何安排被取代或被迫离开的单位，否则最终出现反弹。
 

企业双边上市更能连接东协市场
 

纳西尔表示，东协交易连线（ASEAN Trading Link）的成效，不及企业在东协双边上市，后者更能够让上市公司连接东协市场。
 

他今日在论坛总结稍早前的圆桌会议结果，表示许多与会者认为东协交易连线“浪费时间”。
 

“他们更倾向于大企业能双边上市，这样更能进入东协市场的资本流动内，以吸引更多资金。”
 

当然，他也提出东协经济一体化后，会由谁扮演监管单位的疑问，并说笑希望大马证券监督委员会（SC）能助一臂之力。
 

新马银行可领导同业
 

此外，布迪也点出，东协金融市场存在基本面不一的情况，比如说新加坡和大马的发展较为前端，而印尼等落在后头，在此不对等的情况下难以促成经济一体化的理念。
 

“因此，我们必须要想办法创造同样的结构，新马的大银行或许可以帮忙，领导其他东协国家银行提高地位。”
 

保健领域方面，林焯彬和肯尼思迈尔斯表示，东协是医药旅游的热点之一，希望在东协经济一体化的进程下，为医药旅游者提供可负担价格的高品质服务。
 

也有业者提出不同国家对药物、保健服务的限制和认知不同，因此阻碍保健经济一体化的进程，并谓政府是极为重要的角色，希望能从中协调刺激该领域的进一步整合发展。
 

南洋商报特派：谢静雯、翁慧琪 【2013 东协网络论坛 “东协策略”】

Corporate Princess 4 : Natalie Cheng and sibings 企业公主系列4 : 钟惠严姐妹

 Puan Sri Chelsea Cheng and daughter Natalie Cheng









Natalie Cheng, eldest daughter of William Cheng of Lion Corporation, is General Manager of Merchandising Department of Parkson Holdings Berhad now.

She is 30 , same age with Dian Lee Cheng Ling .

Graduate of Mass Commnunication at University of Melbourne. She have internship at Saatchi & Saatchi in Beijing for 3 months unpaid, before back to work for Parkson's merchandising Department.

She start as PA for GM  worked from bottom at menswear and skincare & cosmetic department. She later become Sales Planning Manager og Parkson before become General Manager of Merchandising Department.

Tan Sri William Cheng second daughter 鐘惠雅worked in property development company.From left : second daughter,Natalie Cheng & mother

Whereas his youngest daughter鐘惠韵, like Ruth Yeoh, passion and study environment sustaibnability and green technology. she will be helping steel mill of Lion Group on Green Technology and environmental sustainability issue.

From left : youngest daughter, Puan Sri Chelsea Cheng & Natalie

Update :

Tan Sri William Cheng (3rd from right) and wife Puan Sri Chelsea Cheng (4th from right), eldest daughter Natalie Cheng (3rd from left) and husband 李绍杰  (second from left), 2nd daughter 鐘惠雅(2nd from right) and boyfriend 赵宇 (1st right), youngest daughter 鐘惠韵(1st left) and Godson 吴窙东(4th from left)

企业公主系列4 : 钟惠严姐妹

坐擁本地知名零售業務，鐘廷森亦有意栽培與陳秋霞所生的長女鐘惠嚴，成為大馬百盛接班人，安排女兒出任總經理助理，按部就班從基層做起。這名“太子女”從男裝內衣褲和化妝品部門起步，逐步熟悉每年營業額超過5億令吉的百盛企業運作。


2007年　10月才滿24歲的鍾惠嚴在公司內並沒有享有特權，薪金只有兩千多令吉，年假18天，在公司內購物的折扣率也有限制，即所享有的福利與同級職員無異。

24歲 惠嚴在百盛上班已有兩年，平時要到全馬31家百盛分行去巡視運作情況，並與供應商接洽。她目前只專注在男裝部，所以被媽媽潘斯里陳秋霞笑說：“我女兒現在學習賣男裝內褲。”

鍾惠嚴於墨爾本大學修讀大眾傳播，對商業管理一知半解。大學畢業後，鍾廷森便建議她回馬到百盛上班，並強調必須從基層做起，乖巧的惠嚴一口答應並接受父親的安排。

無獨有偶，鐘惠嚴與李金友的女兒李靜霖同歲。

鍾廷森培訓女兒在商場發展卻沒有傳授任何經商秘訣，只要女兒一步一腳印，在商場打好紮實的基礎。惠嚴也在父母的安排下，在北京一家美國廣告公司Saatchi & Saatchi當不受薪學徒3個月，以吸取多方面的專業知識，后来转到马来西亚百盛百货公司采购部工作，从基层做起。

“我很喜歡這份工作，有很多東西好學，而且上班像shopping般開心。”


2010年百盛集团销售规划总经理钟惠严。现出任Merchandising Department 總經理

右起陈秋霞，钟惠严及钟惠雅

至于二女儿惠雅，则在地产公司上班。

陈秋霞母女，左起幼女钟惠韵和长女惠严

“我的小女儿（惠韵）研修的学科更怪，是环保，她得空就会到我的工厂去看看有没有污染。”


 

钟廷森 

锺廷森（右三起） 与陈秋霞一起切蛋糕， 庆祝陈秋霞57岁生日。左起锺惠雅、吴窙东、锺惠严及李绍杰， 右起为赵宇及锺惠韵。

锺廷森与陈秋霞的大女儿锺惠严、大女婿李绍杰、二女儿锺惠雅、小女儿锺惠韵及男友赵宇及干儿子吴窙东皆在场招呼宾客，为母亲庆生。

How to benefited from newly launch Limited Liability Partnership (LLP) in Malaysia 2

Continue from Part 1

How Angel Investor and Startup make used of LLP

In a startup environment. Usually, there is innovator,entrepreneur and Angel investor.

Sometime, entrepreneur and innovator might be same person. In some situation, innovator might not want to involved in day to day management and there is separated innovator and investor. However, usually entrepreneur or innovator might not have capital and required Angel investor.

Let say your business have 3 partners. Innovator, entrepreneur and Angel investor. Innovator will rpovide an Intellectual Property (IP) to the business, either a secret recipe for a restaurant business or a software he developed but he do not want to involve in day to day management of the business, or the other two partner feel he is not a good manager and do not want him to involve in day to day managment of the business. Thus, he only provide IP but no capital nor day to day managment of the company.

Entrepreneur will involve in day to day managment of the business but do not have capital nor recipe.

Angel investor will invest 200,000 in the company but he also do not want to involve in day to day mangment of the business, angel investor might have other business and want to get all the tax loss of the company, if any, to off set profit from his other business. Angel investor also demand that other partner will not share profit of the business untill he recoup all his capital plus 1.5 times of his capital. this mean profit of first few years will solely go to Angel investor until he recoup 300,000, then only innovator and entrepreneur able to share profit of the business.

It is very difficult to structure such distribution of profit under limited company (Sdn Bhd). Usually, under limited company (Sdn Bhd) If Angel investor get dividend. the other two partner must get dividend as well.

However, under LLP, such flexibility of distribution of profit able to be structure under LLP.

Let say all three partner agreed to share profit equally, but only after Angel investor recoup 1.5 time of his invesmtnet.

Illustration 1 : Distribution of Profit
Under limited company (Sdn Bhd) :
                             Year 1           Year 2             Year 3           Year 4
                  ( 60,000) loss ( 30,000 )loss 300,000Profit 600,000Profit
Angel Investor   (20,000)       (10,000)          100,000          200,000
Innovator          (20,000)        (10,000)          100,000         200,000
Entrepreneur    (20,000)         (10,000)         100,000          200,000


Illustration 2 : Distributution of Profit
Under limited Liability Partnership (LLP)
                           Year 1         Year 2          Year 3           Year 4
                   (60,000)loss(30,000)loss 300,000Profit  600,000Profit
Angel Investor    (60,000)      (30,000)        300,000           200,000
Innovator              0                  0                   0                 200,000
Entrepreneur         0                  0                   0                 200,000

Illustration 1 show that demand of Angel Investor might not be fulfilled and negotiation with Angel investor might fail.

However, under Illustration 2 , demand of Angel Investor able to be fulfilled. Angel investor also able to make used of tax loss of first few year to off set profit of his other business to minimise tax. The other 2 partner, Innovator and entrepreneur will get distribution of profit in year 4 only after Angel investor recoup 1.5 times of his investment. Thus negotiation with Angel might be more flexible for startup company.

The above of the arrangement are follow limited libility company (LLC) in US. Please consult your legal consultant/accountant or comliance Officer (Company secretary) whether this can be implimented in Malaysia or not and get professional to draft your LLP agreement to set up such structure.

2013 Global Manufacturing Competitiveness Index

Singapore ranked 9th, Thailand ranked 11th and Malaysia ranked 13th  on 2013 Global Manufacturing Competitiveness Index by Deloitte Touche Tohmatsu and the U.S. Council on Competitiveness.

However, Vietnam and Indonesia expected to surpass Malaysia and Thailand and even Japan over 5 years. Vietnam will ranked 10th (18th in 2013) in 5 years and Indonesia will ranked 11th (17th in 2013) in 5 years.

 Malaysia will benefited from flood in Thailand in 2011. Just drop one place from 13th to 14th over 5 years whereas Thailand will drop to 15th over 5 yeas from present 11th.

Germany are only European country on top 10 list

 

Drivers in Global Manufacturing competitiveness

 

1. Talent-driven innovation

2. Economic, trade, financial and tax systems
 3. Cost and availability of labor and materials
4. Supplier network
5. Legal and regulatory system
6. Physical infrastructure
 7. Energy costs and policies.
8. Local market attractiveness
9. Healthcare systems
10. Government investment in manufacturing and innovation


1. Talent-driven innovation

Although Germany and the U.S. have strong Innovation Index scores, countries — such as South Korea and Singapore — are very competitive on multiple measures like researchers per million population and basic math and science test scores.

one could argue that South Korea and Singapore are laying a very solid foundation and infrastructure required for their own innovation ecosystems. This is reflected from the higher ranking of Singapore, South Korea and Japan on the Innovation Index and researchers per million population.

Hence, unless more significant strides are made in improving their education systems and raising the human capital bar further, developed nations like the U.S, Germany, and Japan would continue to be surpassed by other emerging nations like Singapore — which is ranked fourth in the World Economic Forum’s (The Forum) Global Competitiveness Report2 among 142 countries with respect to secondary education and training, ranked number one in terms of quality of math and science education, has a high per capita of researchers.

2. Economic, trade, financial and tax systems


It is interesting to note that smaller Asian nations — Singapore, Taiwan and South Korea are making their presence felt not only in terms of manufacturing competitiveness but also in their relative share of high and medium technology products.
 
There is quite evident from the gradual shift of low technology jobs from China to other nations like Vietnam, Bangladesh and Indonesia. 

3. Cost and availability of labor and materials

China are beginning to shift production to lower cost countries for more commoditized products. For example , China, is now shifting production to countries like Thailand and Vietnam, and is one example of this dynamic.4. Supplier network

China, with its focused efforts to localize supply chains and create innovation hubs, is seen by CEOs as the only emerging nation offering the same supplier network advantages as developed nations
 5. Legal and regulatory system

CEOs viewed the legal and regulatory systems in developed nations more than twice as strong as those in emerging nations,  primarily as a result of stability and clarity within their legal and regulatory environments.

 

 6. Physical infrastructure

Research reveals that ongoing investments in infrastructure results in long-term economic benefit. Specifically, a recent estimate by the United States Congressional Budget Office suggests that every dollar of infrastructure spending generates an additional 60 cents in economic activity (for a total increase to GDP of $1.60). This multiplier effect bodes well for India, which recently announced plans to invest USD $1 trillion on infrastructure through 2017.

 

 7. Energy costs and policies.

 

Those nations with the ability to provide access to clean and renewable energy at competitive costs would have an advantage over their competitors.
Supplemental research reveals that China’s electricity costs (7.4 cents per KWH) were on par with Canada (7.4 cents per KWH) and higher than the U.S. (6.9 cents per KWH); however, they were significantly lower than other emerging economies, including Brazil (15.4 cents per kWH) and India (10.1 cents per kWH) and also developed nations, such as Japan (17.9 cents per kWH) and Germany (15.7 cents per kWH).

Open markets and falling levels of energy import dependence in the U.S., as well as new discoveries in areas such as shale gas, have the potential to make the country energy secure.



8. Local market attractiveness

Of the emerging nations, executives felt the local markets in India and Brazil were less attractive than first-ranked China (Figure 16), despite all three nations experiencing substantial 10-year CAGR growth for per capita personal disposable income between 2001 and 2011
9. Healthcare systems

Germany is rated as the most competitive nation in this catagory. Japan is close behind Germany in healthcare system competitiveness. While the U.S. ranks third

10. Government investment in manufacturing and innovation

The Fraunhofer Societyin Germany, which is a leading example of public-private collaboration. Fraunhofer is Europe’s largest applied-research oriented organization and aims to transform scientific findings and basic research into useful innovations to further economic growth and job creation. Founded in 1949, Fraunhofer receives approximately 40 percent of its funding from the public sector and about 60 percent from contract research earnings; and it operates between application-oriented fundamental research and innovative applied research and early stage commercialization development projects.

The Industrial Technology Research Institute in Taiwan (ITRI)18, which received 50 percent of the funding from government, was developed with a similar mission and model as the Fraunhofer Society. ITRI describes itself as a national research organization, with a mission of conducting technological research, promoting industrial development, creating economic value, and improving social welfare for Taiwan.19 Today, ITRI is Taiwan’s largest applied technology R&D institution.20 ITRI has continued to evolve since its inception in 1973 and is now spearheading original and innovative industrial research, transfer of technology and product developments, thereby proliferating domestic and international industries.

Singapore

Advantage

• Highly-educated workforce: ––The Forum’s Competitiveness Report, rank’s Singapore’s secondary education and training fourth among 142 countries with the quality of math and science education ranked number one. ––In addition to four locally grown universities, the country has attracted 10 world-class institutions including France’s INSEAD and U.S — based MIT. ––The government also offers professional and skills-based training even after joining the workforce. It also provides tax relief to employees on training course fees. • Investment friendly climate: ––FDI inflow in Singapore increased at a CAGR of 23.4 percent between 2005 and 2011. Government provides tax incentives, depreciation schemes, favorable loan conditions, and high-quality industrial estate to attract investment. ––Manufacturing of electronics, pharmaceuticals, and petroleum remain primary magnets for investment. Government is also trying to attract MNC investment in high-technology sectors while trying to expand the country’s role as a global financial center. • R&D Incentives: Considering base deduction, additional and enhanced deduction, Singapore allows 400 percent tax deduction on the S$400,000 (US$319,440) for qualifying R&D expenses.

• High-quality infrastructure and intellectual property protection: ––WEF’s Competitiveness Report, rank’s Singapore’s infrastructure third among 142 countries with the quality of both port and air transport infrastructure ranked first. ––Singapore’s stringent intellectual property protection mechanism (ranked second globally by WEF) makes it easier for companies to invest in R&D. • Transparency and government efficiency: ––Heritage foundation ranks Singapore second (of 184 countries) in terms of economic freedom in the 2012 World Economic Index report. ––Singapore ranks first in terms of freedom from corruption as per the World Economic Index report as the country’s regulatory environment is flexible and transparent. • Favorable tax system: ––Singapore’s corporate taxes are at 17 percent compared to the U.S. at 39 percent and Japan at 38 percent. According to EIU, 80 percent of the companies pay tax at a rate of less than 10 percent in Singapore.

Challenge

• Increasing business costs and inflation: ––Unit business costs (UBC) in the manufacturing sector increased by 3.7 percent year over year in second quarter of 2012, following the 5.4 year over year percent increase in the first quarter and 2.6 percent in 2011. ––According to a study by Singapore’s Ministry of Trade and Industry, for every 1 percent increase in UBC, export prices increase by only one-fifth, hence negatively impacting profit margins. ––In 2011, inflation was 5.2 percent due to higher transport, housing, and food costs. Average inflation rate between 2002 and 2006 was 0.6 percent compared to 3.5 percent between 2007 and 2011.

• High living costs: ––Living costs spurred by inflation and an inflow of expatriates. In Singapore, property prices, rents, costs of owning a car, and private schooling expenses are very high. ––According to an HSBC survey, 50 percent of expats in Singapore earned more than $200,000 in 2011, making it the country with the highest expat salaries in Asia.

Singapore only Asean country on top 10 and it is smallest country on top 10.

Singapore ranked high and specifically mentioned on first driver...... "talent driven innovation". Ex-partner of George Soros, Jim Roger feel Singapore education system and healthcare system is better than US. That is the reason he migrate to Singapore.

40% of immigrant of Singapore are from Malaysia. When foreign direct investor move up value chain. It benefited neighbouring country like Malaysia and Thailand. Many company have move to Penang of Malaysia like National Semiconductor, H&P(now Agilent in Penang) etc. western digital also have present in Thailand other than Malaysia.

Thailand

Thailand ranked 11th on 2013 as a Detroit of Asia and have some investment on Hard disk Drive manufacturer like Western digital. However, a flood in 2011 make it drop to 15th, below Malaysia in 5 years.

The flood in 2011 seem have little affact of car and automoble manufacturer. It seem Thailand able to maintain it Detroit of Asia status. However, the flood might affected investment in Electrical and Electronic industry. Couple with competition from neighbour like vietnam. Deloitte expected it to drop to 15th in 5 years.

Malaysia

Malaysia ranked 13th on 2013 Global Manufacturing Competitiveness Index. It expected to be take over by Vietnam and Indonesia but Malaysia seem able to overtake Thailand. Thus, expected to drop one spot to 14th in 5 years.

Malaysia have an uphill task to compete with Singapore on Driver No 1. Talent-driven innovation. Lee Kuan Yew latest book "One Man’s View of the World” also comment on Malaysia talent policy. Top students’ failure to get places in public varsities become a yearly affairs in Malaysia. Usually, such student might be offer a scolarship by other country like Singapore and Taiwan and cause brain drain. This seem no improvement for many years due to race base politic. Even former Prime Minister Mahathir also wrote on his latest book "A Doctor in the House" that he knew civil servant practice a manipulated version of "meritocracy" and never practise directive of cabinet. Thus, this will never change in near future.

Out of 10 Drivers in Global Manufacturing competitiveness. I feel Malaysia should ranked high in Supplier network(E&E industry),  Legal and regulatory system , Physical infrastructure.

Malaysia a bit difficult to compete with Vietnam and Indonesia on Local market attractiveness.

However, as a net exporter of oil and gas industry. Malaysia have an advantage on Driver 7. Energy costs and policies. Malaysia have Bakun but, unfortunately,it is at East Malaysia, Sarawak.
In a recent interview with The Star , Perwaja’s major shareholder and executive chairman, Tan Sri Abu Sahid Mohamed said “Everybody in the world thinks that Perwaja gets cheap gas prices (from Petroliam Nasional Bhd or Petronas).

Let me tell you, today, Perwaja pays the highest gas price in the country at RM18.35 per million metric British thermal unit or mmbtu,” he says .

He points out that this price is higher than what the independent power producers (IPPs) and other steel manufacturers in the country pay.

“In fact, Petronas’ gas prices for us have increased by over 40% within the past six years,” adds Abu Sahid. this mean Malaysia never take advantage of oil producing country and net exporter of oil and gas.

Recent downgrade of rating by Fitch might pressure Malaysia to practise Fuel Cost Past Through (FCPT) mechanism for Tenaga National Berhad. However, I feel government should careful that not to severely affected manufacturing competitivenes of Malaysia when formulated any policy.

I feel a bit funny that PenjanaBebas, the association of independent power producers (IPPs), cried foul over what it saw as an “unfair advantage” that national utility company Tenaga Nasional Bhd (TNB) had when bidding for new power plant projects in Malaysia.

 Actually, PenjanaBebas president Zainal Abidin Jalil, who is also CEO of Malakoff Corp Bhd, under MMC Corporation.

"Open tender,Competitive bidding is crucial to the electricity sector as it keeps prices at reasonable levels and encourage healthy competition" TNB vice-president (new business and major projects) Datuk Mohd Nazri Shahruddin .

TNB unable to lower it price due to unfair contract term by IPP like Malakoff. IPP should try to lower it bid if they want to win the tender.

Malaysia already have Competition Act 2010. PenjanaBebas should reported to Malaysia Competition Commission (MyCC) if they feel TNB violated Competition Act 2010 rather than lobby to government. MYCC also should investigate whether a requested to excluded TNB from tender process violated Competition Act 2010?

Related : India and Brazil
Update : Let competitive bidding run its course