‘Stop the blame game’

GEORGE TOWN: No government in the world wants its industries and private sector to collapse in this age of technology and globalisation, said a business consultant.

And in the climate of uncertainty due to the China-US trade war, which has lingered on for two years, the governments of developing countries need a budding network of entrepreneurs to grow their economies further, said CHK Consultancy Sdn Bhd founder Dr Ch’ng Huck Khoon.

Ch’ng, who is a financial specialist and academician, said that entrepreneurs should not be worried about the government betraying the business community as the authorities need such enterprises to sustain and grow the economy.

The private sector creates jobs, provides security and pays the taxes so it is crucial that it be protected at all costs, according to him.

“All governments want a solid economy so they will help the business community. No sector would be left behind in this era.

“So there should also be a stop to the blame game and the constant whining about the business climate by us. The small medium enterprises (SMEs) must stop worrying unduly and instead tap the opportunities available to grow.”

The success of the SMEs can be derived from the China’s model of firstly harnessing and eventually growing its SMEs into global conglomerates.

Ch’ng said that in Malaysia, the SMEs must learn to position itself as part of the global supply chain of products and services instead of just trying to tap prospects within the country only.

“They must drop the fear factor and be courageous in moving forward.”

He urged them to conduct more SWOT (strengths, weaknesses, opportunities and threats) analysis to learn how to rebound from setbacks in the business circle.

And with the digitalisation of services and products, he said that the time is ripe for them to market themselves well via the electronic connectivity.

“China rose because of its innovative culture; not just for its original design manufacturing abilities,” said Ch’ng at a seminar on the trade war – moving forward, which was organised by the Penang Chinese Chamber of Commerce.

He said that tapping the latest technology was more important than ever as he was informed that some 200 companies relocated out of China this year due to the fear over the escalating trade war with US.

“But out of the 200, only three or four companies resettled in Malaysia.”

The bulk of them went to Vietnam, Thailand, Singapore and Indonesia.

So, there is a need for Malaysian SMEs to regain their competitive touch by reinvesting in technology and human capital, said Ch’ng.

He said there is also a need to provide more value-added components in the services and products made in Malaysia as well as re-exporting back to China, who has also become a major consumer nation such as in areas like halal food production.

source https://www.thesundaily.my/business/stop-the-blame-game-BX1550425