Steep Analysis for Malaysia

STEEP ANALYSIS FOR MALAYSIA

POLITICAL FACTORS

Political factors include government regulations and legal issues and define both formal and informal rules under which the firm must operate. These include tax policy, environmental regulations, political stability etc.(QuickMBA.com, 2010)

 TERAS for SPDP 5

A new party to accommodate the former SPDP 5 which most likely will be registered before the 13th general election is said to be now on the card. Sources told The Borneo Post here yesterday that a new party called PartiTenaga Rakyat Sarawak (TERAS) had recently submitted its application to the Registrar of Societies (ROS) for registration. (Digest on Malaysian News, 2012)

ECONOMIC FACTORS

Economic factors affect the purchasing power of potential customers and the firms cost of capital. These include economic growth, interest rates, exchange rates etc.(QuickMBA.com, 2010)

 Increase in Electric Cost

The parliment announced on 22th July last year that the electric bill will be revised every two quarters, next revision scheduled at Feb 2010 is just around the corner.

Do you think the electric price will increase again? Yes No? Anyhow, the price of current will only increase and will never mark down.

Moreover, the National Energy Plan are scheduled to release this year. The National Energy Plan will sketch out a guideline towards maintaining the sustainability of energy supply. (Top 5 Influential Economic Events in Malaysia for 2010, 2010)  RM800 to RM900 minimum wage for private sector

A minimum wage of RM900 a month has been set for private sector workers in Peninsular Malaysia while their counterparts in Sabah and Sarawak will take home RM800 a month.

This works out to RM4.33 per hour for those in the Peninsular while employees in Sarawak, Sabah and Federal Territory of Labuan are to be paid a minimum of RM3.85 per hour.

The amount is applicable to all sectors except for workers in the domestic sector such as maids and gardeners. (MALAYSIA CENTRAL: CURRENT & UPCOMING MALAYSIAN EVENTS, 2011)

SOCIAL FACTORS

Social factor includes the demographic and cultural aspects of the external macro environment. These factors affect customer needs and the size of potential markets. These include health consciousness, population growth rate, career attitudes etc.(QuickMBA.com, 2010)

 Malaysia International Halal Showcase - MIHAS 2012

Respected as a modern, peaceful and prosperous Islamic country especially among OIC member countries, Malaysia has the added advantage of championing the halal cause.

Malaysia's central position in Asia makes it an ideal trading platform to draw the world's halal players in facilitating the sourcing and selling of global quality halal products through THE 9th INTERNATIONAL HALAL SHOWCASE (MIHAS) – (MALAYSIA CENTRAL: CURRENT & UPCOMING MALAYSIAN EVENTS, 2011)

 Malaysia International Shoe Festival - MISF 2012 It's the event of the year for shoe shopaholics, and anyone who needs a pair of shoes, or two, or three, or more! Plus the festival has loads of exciting activities, fun and games for the whole family.

Now in its third, successful year, the Malaysia International Shoe Festival 2012, is set to be even bigger and better. There will be over 170 booths exhibiting shoe brands from Malaysia and abroad as well as foot health and beauty specialists and more.

TECHNOLOGICAL FACTORS

Technological factors can lower barriers to entry, reduce minimum efficient production levels, and influence outsourcing decisions. These include rate of technological change, automation R&D activity etc. (QuickMBA.com, 2010)

References

Longlibra, 2010 Top 5 Influential Economic Events In Malaysia for 2010: Higher and higher Electric Cost {Online} Available at : http://longlibra.blogspot.com/2010/01/top-5-influential- economic-events-in.html [Accessed on 2nd May 2012]

Mycen.2011, MALAYSIA CENTRAL: CURRENT & UPCOMING MALAYSIAN EVENTS: RM800 to RM900 minimum wage for private sector {Online} Available at: http://www.mycen.com.my/events/index.html [Accessed on 2nd May 2012]

Mycen.201, MALAYSIA CENTRAL: CURRENT & UPCOMING MALAYSIAN EVENTS: Malaysia International Halal Showcase {Online} Available at: http://www.mycen.com.my/events/index.html [Accessed on 2nd May 2012] Mycen.201, MALAYSIA CENTRAL: CURRENT & UPCOMING MALAYSIAN EVENTS: Malaysia International Shoe Festival e {Online} Available at: http://www.mycen.com.my/events/index.html [Accessed on 2nd May 2012]

QuickMBA.2010, Strategic Management: PEST Analysis {Online} Available at: http://www.quickmba.com/strategy/pest/ [Accessed on 1st May 2012]

TheStar.2012, Digest on Malaysian News: TERAS for SPDP {Online} Available at: http://malaysiadigest.blogspot.com/ [Accessed 1st May 2012]