Malaysian Indian Business Magazine July 2014

CHAIRMAN & MANAGING EDITOR PUBLISHER Rasa Rasik INDIANTODAY.NET SDN BHD (858997-V) [email protected] 016 711 4236 (Wholly-owned by Charu Holding Sdn Bhd) Petaling Jaya MANAGING DIRECTOR Suite 3A52, Level 3A, Block A2, R Surangi Leisure Commerce Square, Jalan PJS 8/9, 46150 Petaling Jaya, Selangor [email protected] Tel/Fax: 03 7865 7320 BUSINESS DEVELOPMENT Johor Bahru No. 6-01, Jalan Bestari 4/2, Darrshan Taman Nusa Bestari, [email protected] 81300 Johor Bahru, Johor Tel/Fax: 07 358 2320 016 201 4236 SALES & MARKETING www.malaysianindianbusiness.com.my www.IndianToday.net (e-Directory) Jayasree Vijian [email protected] [email protected] https://www.facebook.com/ MalaysianIndianBusinessMagazine 016 213 4236 ADMINISTRATION & CIRCULATION DISCLAIMER: Petaling Jaya Office The views and opinions expressed in the articles published are those Pungkodi of the authors and do not necesarily reflect the views of MIB. While every reasonable care is taken in compiling this publication, MIB does not accept [email protected] any liability whatsoever for possible errors, inaccuracies or omissions or the Johor Bahru Office consequences thereof. The Publisher also accepts no liability in respect Shila of the content of any advertisement in the magazine. All rights reserved. The reproduction, duplication, or republication [email protected] of this magazine or any part thereof in any form whatsoever without the EDITOR expressed written permission of the publisher is prohibited. Arikrishnan Subramanian WRITERS Thevi Sinnadurai Prasath Kanagaras Jeyaraman Seenivasagam Gursharan Singh Palani Murugappan Ganesh Murugan CONCEPT & GRAPHIC DESIGN Kugan Rengasamy DISTRIBUTOR One Stop Book Enterprise PRINTING Sampoorna Printers Sdn Bhd No.1, Jalan TIB-1/19 Taman Industri Bolton 68100 Batu Caves Selangor SOURCE OF NEWS & ARTICLESBERNAMA / YAHOO NEWS / IHRB

editor's note People of Islamic faith are to welcome the holy Ramadan, a period of strict fasting and increased religious devotion. The word Ramadan comes from the Arabic ramida, which meant “intense heat, scorched ground and shortness of food and drink”. Malaysian Indian Business wishes all our Muslim readers, The July 2014 edition cover story brings Mr. R V Ganesh whom runs very specialized Boutique Private Bank and Financial Advisory Services. The down to earth and high caliber person very much passionate in guiding Malaysian Indian business persons on their Banking & Finance matters. Readers are encouraged to make an appointment with the Head of Retail & SME Banking Advisory of Mortgage Guru Sdn Bhd on how they could assist your business and personal financial remain sustainable. In this edition, Malaysian Indian Business [MIB] gives special attention on business strategy by identifying current and past leader’s key strategic traits. We analyze the business strategies employed by Shri Narendra Modi that brought him tremendous victory by winning over the hearts of some 370 million voters whom decided to choose his BJP party. This month MIB Forum seek views from our readers about Goods and Services Tax [GST] that to be implemented from April 2015 onwards. Take a look at their views, some especially the younger generation really concern on the impact of GST implementation to our community. Read about Roles of Financial / Accounting professionals, some exercises to rejuvenate your inner wisdom and how humor create buzz in Advertising written by our professional contributors. Continue to browse and read as there’s a lot more valuable information for your business growth. Drop us an email or put your comment at our Facebook page on how we can further enhance the content of your Malaysian Indian Business. Happy Reading.

CONTENT06 LEADERSHIP 0609 Business Lesson10 From NaMo Wave14 EVENT COVERAGE18 Organ Donation2224 FINANCE2526 Roles of 'Financial'/'Accounting'28 Professional in Construction 09 'Projects' MALAYSIA BUSINESS NEWS MANAGEMENT SOFTWARE 22 Utilizing Microsoft Excel For Marketers EVENT COVERAGE 12th Global Indian Festival STRATEGY Ahead Of Time Strategies DID YOU KNOW? MIB FORUM 24 LIFESTYLE Stop & Think!

32 ENTREPRENEURSHIP Entrepreneur Framework 34 MARKETING Using Humor In Advertising 40 BOUTIQUE PRIVATE BANKING COVER STORY & FINANCE ADVISORY SPECIALIST R V GANESH PRAKASH MORTGAGE GURU SDN BHD 48 FACTS & FIGURES 50 SINGAPORE BUSINESS NEWS 54 MIB CALENDAR OF EVENTS 55 INTERESTING FACTS Today I Learned 56 TECHNOLOGY Nano Technology 60 INDIA BUSINESS NEWS56 62 LEARNING Speed Reading

06 LEADERSHIP BUSINESS LESSON FROM NaMo WAVEDynamic, dedicated and determined Narendra Damodardas Modi the Varanasi member of parliament was sworn as 15thPrime Minister of India on 26th May 2014. The Bharatiya Janata Party (BJP) leader has been Chief Minister of Gujarat forrecord four terms since 2001.During his tenure as Chief bachelor dedicating his youngness ACHIEVEMENT AS BRAND Minister the Gujarat to the Rashtriya Swayamsevak government won over Sangh (RSS), a movement based His success in delivering and300 awards from domestics and on the principle of selfless service transforming Gujarat state as India’sinternational including World Bank to the nation. economic growth engine basedGreen Award, Commonwealth on the principle of “Antyodaya” orAssociation of Public Administration Modi’s victory is an interesting serving the very last person in theand Management (CAPAM) Award subject for businesses to study queue has became talking pointand United Nation (UN) Sasakawa how his marketing strategies won all over the country. The GujaratAward. the hearts and minds ofFondly known as NaMo, Narendra India’s 551Modi is the third child born to million votersDamodardas Modi and Hiraba Modi, that caston 17 Sept 1950, that makes him to their votes.be the first Prime Minister born in Malaysian Indianindependent India . The out of box Business triesthinking India’s new Prime Minister to identifygot married during his childhood to key businessJashodaben Chimanlal Modi. It was strategies thata child marriage and Modi never met possibly gavehis wife again as ‘Gauna’, ceremony Mr. Modi theto send bride from her natal home edge over hisnever happened hence he remain opponent.| JULY 2014

LEADERSHIP 07model on his achievement be it in a political system stuffed with He went on to tackle seriouslygovernment policies, development cronies. His immediate action women’s literacy and health byof Infrastructures or education of sending SMS to Tata Group introducing several schemes suchturned to a brilliant brand. Knowing Chairman, Ratan Tata when farmers as ‘kanya kelavani”- encouraginghis target audience – the rural in West Bengal, backed by firebrand formal education for girls. Sendingpopulation, youth , middle class politician Mamata Banerjee, now a simple clear and right message -and diaspora and their need the state's chief minister, had been “Ladies’, I care for you”. The usageModi capitalise Gujarat model protesting land acquisition for the of basic marketing principle ofachievement and brand awareness plant by Tata Motors. Modi provided targeting by age, gender, incomeby promising to replicate the model the company land and other and place of living matched withacross India. Oh yes! He start incentives almost overnight. The persistent promotion had earnedwalking the talk, a prime principle action that seen some Rs 34,000 him lots of dedicated voters.of leadership. At time of writing Crore (approx. USD5.74 Billion)this article press reported high Investment by Tata Motors alone. SOCIAL MEDIA PRIMEpowered team from India’s central MINISTERgovernment departments visited SET THE RIGHT AGENDAGujarat to study the model. The 2014 India’s electoral battle Realizing how the 2002 godhra recognize role of social media byACTION ORIENTED episode had damaged his reputation making American owned platforms in certain sections of society. Modi as the real winner. A Twitter released “The need of the hour had to find an alternate way to build data indicates that some 58 million is a bureaucratic shift! his reputation. And he chose to focus election related tweets sent since Governments boast of giving on strength to succeed, the path start of 2014 until May 12, 2014 people the new rights but of development and stayed away the last day of election. Mr. Modi’s the Constitution of India has from communal agenda. When his victory message “India has won!’ already provided us with people asked “we want electricity has become the most retweeted many rights. What we need at least when we have our dinner” post in Indian history with more than are not more new Acts – we he went extra mile by providing 71,000 sharing. need action”- Narendra Modi. uninterruptible power supply that not only gave an impetus to the Mr. Modi understood the valueIn December 2013, The Economist economic landscape also for his of technology and social media,quoted Mr. Modi has a record from achievement brand. something which would appeal toa dozen years as a chief minister.Gujarat, a state of 60million people, He nurtured ambitions of being thehas boomed as he has cut red PM ever since Vajpayee's defeattape and built roads and power in 2004 and patiently waited for hislines. Business has flourished and moment and worked towards it. Heinvestment has poured in. Gujarat set the right agenda by focus towardsaccounts for just 5% of India’s the women and the 150 million firstpopulation, yet produces nearly a time voters. He perfectly knew thatquarter of its exports. He is a man ladies vote based on issues whichof action and an outspoken outsider affect their livelihood, budget and less on matters of caste or religion. | JULY 2014

08 LEADERSHIPthe youth and place from where Chuck Russell wrote in Right early as 2009 that gave him a clearhe can take direct feedback from. Person-Right Job “Core personality advantage to win first time andIt also helped him spread his is made up of traits that have been young voters.message quicker and cheaper. He conditioned over many years.has taken potshots at his political Such traits are critical in assessing His achievement as Chief Minister,rivals, showcased his methods a candidate’s ability to perform fast implementer with clear cutand results and has connected to virtually any aspect of any job”. The agenda together with let the peoplea segment of the population that Common Man (CM) who became know what you are, what you hadis rarely given too much attention Prime Minister, Mr. Modi is master done strategy made Mr. Modi as– the aspirational middle class. His of assigning the right person in the prime choice of people of India.use of 3-D hologram technology right job. He sent his right handturned out to be a huge hit, Financial man, Amit Shah to revive BJP's INDIA ELECTION:Times blog reported that Modi was fortunes in Uttar Pradesh which won STRANGE BUT TRUE FACTSpresent simultaneously at 150 a record 73 seats out of 80 seatslocations thanks to the technological in the state. His election public ---------------------------------development that created images for relation campaign was entrusted tohis public meetings. He successfully industry bigwigs like Piyush Pandey • 814 million voters are eligible to votedid it; his messages were floated all and Prasoon Joshi for TV, print in five-week-long polling process.around social media in no time. His and radio campaigns, and a hostsocial media followers commented of smaller agencies to cover major • A record 551 million or 66.38%on his views and ideas, and shared media vehicles, including social voters cast their ballots.them with their peers. The exchange media.of Modi’s social media messages by • More than 313 crore rupees (abouthis supporters reach the mass even HE CONQUERED PEOPLE’S US$52 m) in cash seized by Electionto areas where he could not directly HEART Commission.barge in. Modi became the brandpeople want to talk about it ultimately Upon being selected by BJP as next • 22.5 million litres of liquor also seizedsocial media Prime Minister. Prime Minister, Mr Modi reported by Election Commission. to have covered some 300,000RIGHT PERSON IN RIGHT kilometers crisscrossing the country • 168 Million First Time Voters.JOB to win people’s heart. He well aware • Ten million people directly involved that when someone has made nameWe Can't Solve Problems by Using the in certain field, more and more in conducting the 2014 election. people love him, love his work and • A whopping US$5 Billion expenditureSame Kind of Thinking We Used When We eventually endorsement the person. He started to use social media as estimated.Created Them - Albert Einstein. • Approximately 28,314 transgender eligible to vote. • First time Indian Voter able to exercise none of the above (NOTA) option. • 3.6 million electronic voting machines at 919,000 polling stations. • CNN says 30% of the parliament candidates face criminal charges. • Parliamentary Constituency with largest number of electors – 3,368.399 (Outer Delhi). • Out of 543 elected Member Parliaments, 45 are women. • The Oldest MP Elected was Ramchandra Veerappa, 94 elected for Bidar, Karnataka. • The youngest MP elected - 26 years Sachin Pilot in Dausa, Rajasthan. • Madras South parliamentary constituency saw the fight with 35 candidates. • For the first time Election Commission introduce photo voters' slip to ensure only genuine voters get to exercise right. • Election Commission approved Chappals, Green Chili and Pen Nibs with Seven Rays as symbols.| JULY 2014

EVENT 09LARGEST REGISTERIN AN ORGAN TRANSPLANTCAMPAIGNHEARTIEST CONGRATULATIONS Ramesh received Malaysia Bookto M. Ramesh who made it into the Malaysia Book of of RecordsRecords for successfully getting 595 people to pledge certificate fromtheir organs on June 7 and 8, 2014. Knowing less than Organ Donation1% of Malaysian, had pledged their organs Ramesh Public Awarenessand his team of volunteers managed to register a total Action Committeeof 870 pledges during 5 days Global Indian Festival chairman Tan Sriwhich was held at the Midvalley Megamall, Kuala Lee Lam ThyeLumpur. on June 13,“We just need to approach and invite people to fill up 2014 at Nationalthe pledge, rest happens automatically” says Ramesh Transplantwhen Malaysian Indian Business Magazine asked Resource Centreabout this feat. He added most people are confused [NTRC]. Alsowith the term ‘pledge’ and ‘donour’ and both are present NTRCdifferent. The authority still need to get the concern Chief Nationalfrom pledgers family upon his death. Clinical Manager Datin Dr Fadhilah Zowyah Lela Yasmin Mansor. | JULY 2014

10 FINANCE • by Gursharan Singh C.M.I.I.A ROLE OF‘FINANCIAL’/’ACCOUNTING’ PROFESSIONALS IN CONSTRUCTION ‘PROJECTS’The general perception of the These ‘F/AP’ generally accept comments are applicable to Owners role of Financial & Accounting without questioning the technical [‘Clients’] and Contractors/Suppliers Professionals [‘F/AP’] and documents that have financial and Sub-Contractors/Supplierstheir departments in respect implications (Valuations, Variations, [‘Contractors’].Construction Projects [’Projects’] Progress/Interim Payments, Claims, The ‘F/AP’ and ‘Auditor’ have furtherhas generally been that of a etc) as certified by the relevant strengthened this general perceptionrecorder of financial transactions designated professionals and other of their limited role by their hands-offpertaining to the respective professionals. Similarly Internal approach on the aspects of ‘Works’components of ‘Projects’ that include Auditors [‘Auditors’] may also tend implementation. The justificationConstruction Works [‘Works’], to limit the scope of their audit to provided is that the various aspectsServices of Technical Professionals compliance of financial standards of ‘Works’ are the responsibilities of[‘Consultants’] and Procurement of and for the benefit of their respective the relevant experts involved in theAssets & Services [‘Procurement’]. employers/clients. These and other| JULY 2014

FINANCE 11management, planning, designing, been made by the ‘Clients’. Thus the adverse financial effects for ‘SD’ areevaluation, pricing, implementing, possibility of recovery of any over/ very substantial compared with thatsupervising, monitoring, etc. The wrong/fraudulent payment would be of ‘Levy’ and thus needs seriousrelevant Technical Professionals greatly reduced if and when the loss attention of the ‘F/AP’, Management,include Architects, Engineers, is ever discovered. Internal Auditors [‘Auditors’] andQuantity Surveyors, Land Surveyors, other Professionals of both theLandscape Architects, Interior The case of CIDB Levy [‘Levy’] ‘Client’ and ‘Contractors’ involvedDesigners/Decorators, Project and Stamp Duty [‘S/D’] are good in implementation of ‘Projects’.Managers [‘Consultants’] and examples of how the ‘F/AP’ can The ‘Auditors’ have a limited butOther non-technical professionals contribute their knowledge positively positive role in the monitoringinclude Lawyers, External Auditors, at the inception stage of planning process as they can contribute theiretc. who are responsible for their as these can result in prevention expertise accumulated throughspecific fields of expertise. of wrong computation methods years of audit of ‘Projects’ byThe ‘F/AP’ and ‘Consultants’ are that may result in overpayments giving advice to the ‘F/AP’ prior thegenerally correct in this view but that may not be recoverable approval on financial aspects beingto a limited extent only and thus subsequently. The ‘Client’ is not given and thus contribute to effectivemay have neglected the function directly responsible for payment management and implementation ofof providing financial implications of ‘Levy’ on the contract sum and ‘Works’. of their advise an monitoring the the ‘SD’ on the contract document. In some cases, individual ‘F/AP’varying financial aspects of ‘Works’ This is because the ‘CIDB’ and the have gone beyond this limitedincluding where they could play a Inland Revenue Authority have role due to their personal or otherpositive role in the effective pricing mandated the ‘Contractor’ to pay interest in ‘Works’ by includingand implementation of ‘Works’ to these charges. Consequently the monitoring as part of their functionseffect savings or reduction of costs. assumption that these payments in the implementation processes are to be borne by the ‘Contractor’ and thereby helped in preventingROLE OF FINANCIAL is a fallacy as ultimately it is borne or minimizing losses. The ‘F/AP’’ ofAND ACCOUNTING by ‘Client’. Thus the ‘Client’ or his most construction industry playersPROFESSIONALS ‘F/AP’ may neither be inclined are provided with, or have access nor interested to scrutinize the to, all the relevant documents withThe ‘F/AP’ is part of the management computation basis and the quantum financial implications pertainingteam that should be involved from of the ‘Levy’ and ‘SD’ payable. to the ‘Works’. These include thethe inception of any ‘Works’. They The ‘SD’ comments will also apply following;should advise on various financial to Agreements for ‘Consultants’aspects that would include the and ‘Suppliers’ of Assets-Goods- • Budgetary approvals,Tenderingsources & cost of funds that will Services [‘ASG’]. process and Management offinance the construction, budgetary The aspects highlighted in respect implementation;controls, cash flow projections, of ‘Levy’ would also apply to theaccounting & classification of ‘SD’ Rate which has been fixed as • ‘Works’ Contract documentstransactions, best tax treatment of AD-VALORUM of 0.5% with effect and Appointment Agreementsthe disbursement and economic from 1.1.2011 for the main contract in respect of ‘Consultants’;viability of the ‘Works’. The role of and is legally prescribed to be bornethe ‘F/AP’ is thus relegated and by the Main Contractor where as the • Performance Bonds/Insurancelimited to that of examining the Sub-Contracts are subject to a flat Policies together with anyfinancial transactions and record rate of RM50.00 per contract. The extensions granted;keeping only after a decision has | JULY 2014

12 FINANCE• Cash Advances, Payments, of the organization. The ROLE OF Recoveries, Penalties, Claims, ‘F/AP’ should examine CONTRACTORS Final Accounts; those documents that have direct financial It is the responsibility of any• Utilities costs, Facilities implications and would ‘Clients’/‘Contractors’ to provide provided, Reimbursable include, among others, those to their respective ‘F/AP’ the Claims. Variations approved; listed in forth paragraph above. necessary support in the form of training opportunities in respect• Local Authorities/other The ‘F/AP’ may not be responsible of various aspects of managing payments – Advances, for the custody or maintenance or monitoring of ‘Works’. The Deposits or Fixed Charges; of the Contract Register [‘CR’] but ‘Clients’/‘Contractors’’ can thus and has access to it at all times. They better monitor and control the should base their examination on financial & physical implementation• Periodical progress/site the information that is required progress of the ‘Works’. Appropriate visits/monitoring reports and to be recorded in the ‘CR’ that is preventive measures to reduce briefings. an important internal control and costs and delays [that also cost essential for monitoring the financial money] to some extent can beThe ‘F/AP’ is the last stage in the and physical progress of any ‘Works’. taken in the early stages. This willapproval process of all financial Comprehensive and up to date ‘CR’ benefit the ‘Clients’/‘Contractors’’transactions particularly the would provide particulars about in creating another internal controlpayments before the funds are mandatory compliance terms and stage in minimizing if not preventingdisbursed or recovery of advances conditions of contracts and assist mismanagement, over/wrong/or any charges that may be levied. in risk management. The aspects fraudulent payments, corruptionThey are in a unique position to would include, among others, the opportunities and better manageprevent/minimize/mitigate any following: risks that exist in implementation ofover/wrong/fraudulent payment. construction ‘Works’.However, they may not be held • Basic information about theresponsible for any such loss where Contract/Agreement Security RECOMMENDATIONSthe payments have been subjected Clauses [Perf. Bonds/to prescribed and approved internal Guarantees/Retention Moneys/ There may be a possibilitycontrols and the payment certificate Advances] of identifying losses andapproved and certified correct by the some recoveries if therelevant appointed ‘Consultants’. • Insurance Policies [Fire, ‘Clients’/‘Contractors’ subjectThe possibility of any recovery Workmen Compensation, the ‘Works’ to comprehensivewould be substantially reduced if Public Liability or C.A.R.] and continuous monitoring.and when the loss is subsequently However this possibility is alsodiscovered. • Mandatory Compliances for very remote because the limited Payments [KWSP, PERKESO,SCOPE OF EXAMINATION CIDB/’SD’/Others]BY THE ACCOUNTING/FINANCIAL • Payments to Contractors/PROFESSIONALS Suppliers & Sub-Cons/ Suppliers [Interim, Final,It is not the intention to suggest that Advance]the ‘F/AP’ take over the role of otherswho are designated or responsible • Contract Cost [Variationsfor managing/monitoring any aspect Costs, Escalation and otherof the implementation of ‘Works’. Claims]The objective is that the ‘F/AP’should supplement and co-operate • Penalties for Delayswith others for the common benefit [Liquidated & Ascertained Damages]| JULY 2014

FINANCE 13interest, knowledge, expertise, the technical documents and briefing or writing articles whichawareness and willingness to take implications of their technical based can either be distributed to all thethis additional role of monitoring in decisions and that they depend on company human resources orrespect of ‘Works’. Generally those others who may also have limited published in the company newsletterin authority are more inclined to knowledge. Thus it is not in the if there is one. The ‘Auditor’ shouldbe finance orientated and may not interest of the ‘F/AP’ to have blind be accessible and work with thegive due attention to the ‘Works’ trust in other professionals but other professionals not just live ineven when the core activity of they should be aware of the many his own cocoon or mix with his ownthe ‘Clients’/‘Contractors’ is in adverse possibilities. They should kind. There should be a regularthe construction business in their be able to ask some commonsense mix of the ‘Auditors’ and theirrespective roles. questions from the ‘Consultants’ ‘Auditees’ to build a report wherebyIt is important and long overdue for and other professionals either on the ‘Auditor’ will be looked upon asthe ‘F/AP’ and ‘Clients’/‘Contractors’ their own or with the advice of their a friend and colleague who can beto support and play a more proactive colleagues within the organization. approached for advise and not beand comprehensive role and add Thus, when the ‘Consultants’ are perceived as a witch-hunter looking aware that the ‘F/AP’ are alert and for their mistakes. BE AWARE and KNOWLEDGEABLE and AVOID BLIND TRUST andBE PROFITABLE Especially in current times when the cost of ‘Works’ is in Billions And Facing Uncertain/Difficult Times with Rising Costs of ‘ASG’ and thus Constructionvalue to their services by being knowledgeable, the possibility of Finally the ‘Clients’ and theirinvolved in monitoring the many over claims/payments/fraudulent or ‘F/AP’ should realize that theiraspects of high cost ‘Works’. They mismanagement will be prevented failure to scrutinize and ensure thatshould not be over dependent on or minimized with better risk any of the two payments could resultothers but equip themselves with management. in action against the ‘Contractor’ ifknowledge about the varying aspects The ‘Auditor’ should also equip he were to default as it could resultin ‘Works’ and their implications. himself with knowledge relevant in stoppage/delays in completionThis would assist in upgrading to the various aspects of the of ‘Works’ and/or financial/legalthe quality of their duties and add construction industry if they are to penalties that could ultimately resultvalue to their contribution to their justify their post and their function. in additional costs to the ‘Client’.respective Clients’/‘Contractors’ He should alsobesides enhancing career prospects share his Gursharan Singh C.M.I.I.Aof the personnel involved. knowledge with Trainer, Knowledge Sharer, Audit Officer hasThe ‘F/AP’ generally may not ‘F/AP’ and other over 37 years of experience in auditing ofpossess in-depth knowledge about disciplines construction projects . He conducts trainingthe technical aspects of ‘Works’ including legal, seminars periodically for Bursa Malaysiaand their financial implications. company listed construction & property DevelopmentSimilarly other Professionals have secretary and since 2000. His articles appear on both localthe expertise in their respective others by giving publications and foreign websites includesprofessional disciplines but not periodical Malaysian Builders Journal. He can bemany have in-depth knowledge training reached at:about financial/legal aspects in programmes, [email protected] | JULY 2014

14 MALAYSIA BUSINESS NEWS GOVERNMENT TO LAUNCH SUBSIDY FOR GST SOFTWARE PACKAGE: MICRO BORROWERS, SME OWNERS AHMAD MASLAN STILL NOT AWARE IMPORTANCE OF GOOD CREDIT STANDING The government will launch the subsidy for goods and services tax (GST) software package for small andMany micro borrowers and small and medium enterprises (SMEs) medium enterprise (SME) in the near future, said Deputy are still not aware of the importance of a good credit standing Finance Minister Datuk Ahmad Maslan. He said out ofand its value threshold, says Credit Bureau Malaysia (CBM). Its the RM150 million allocated by the government, a subsidyChairman Datuk Wan Azhar Wan Ahmad said micro borrowers and worth RM1,000 would be given to each SME to enableSMEs must have information on their loans and a sound direction for them to update their accounting system. \"The governmentthe loans. \"The impact of not realising the information and direction will launch the subsidy possibly in June or July,\" he said tofor the loans include individuals resorting to credit cards or in other reporters after launching the national forum on GST titled \"Preparing for Malaysia GST Implementation 2015\" here words use debt to run their businesses. It's today. To disseminate information and exposure on the a wrong way of doing business. \"There are GST, the government has set aside an allocation of RM250 differences between personal borrowings million, out of which RM100 million is to provide training that utilise credit cards and loans that for SMEs while the remaining RM150 million has been are meant for businesses. \"Business allocated for the SMEs to update their accounting software. borrowings are more straight forward,\" he Ahmad said about half of the RM100 million allocation had told a press conference at the signing of a been used, and he urged the other SMEs to come forward memorandum of understanding between to utilise the balance of the grant totalling RM50 million to CBM and the Association of Development enable them to acquire a deep understanding on the taxFinance Institutions of Malaysia (ADFIM). The MoU is to formalise system which would replace the sales and services tax.a strategic collaboration to enable sharing of credit information He also said the government is currently working to lookbetween members of the two organisations. The MoU also facilitates for more vendors to supply the GST software comparedgreater ease to obtain credit facilities for micro borrowers and SME with 55 to date. The software price was around RM1,200operators. The collaboration enables ADFIM members access credit each, he said. \"The government will also come out withreports provided by CBM which include business registry, banking a goods price list early next year. To date, the prices ofcredit and trade credit information. Wan Azhar said this would result some 689 goods have been fixed and there's about 255in a speedier decision-making when processing loan applications more goods whose prices have not been adjusted,\" hefrom SME entrepreneurs and micro borrowers. In 2012, 320,000 said. Ahmad said some 10% of the goods in the list wouldcredit reports were issued and last year 625,000 credit reports were be see a price increase such as processed food, 48%issued by CBM, indicating that the reports issued by CBM were would see an unchange in price such as hotel serviceswell accepted and the reports are expected to increase in the years and fast food and 42% would see a decrease in priceahead, he added. CBM, established in 2008, is a central databank (clothing and furniture).for comprehensive and reliable credit information and ratings onSMEs, while the 20-member ADFIM is expected to further assist theSMEs and micro borrowers to instil a strong credit culture. VIJAY ESWARAN WINS SPECIAL AWARD FOR EDUCATION ENTREPRENEURSHIP AND LEADERSHIP Q I G r o u p E x e c u t i v e Chairman, Vijay Eswaran was bestowed the ‘Special Award for Education Entrepreneurship and Leadership’ at the 18th Malaysian Education Summit, organisedby the Asian Strategy & Leadership Institute (ASLI). Malaysia’s Minister of Education ll, Dato Seri Idris Jusoh presented the award held atthe SWAN Convention Centre here. The award recognises Eswaran for his vision, innovation, leadership and success in navigating QuestInternational University Perak (QIUP) to rapid growth during the last 3 years. Notably, the university, a joint venture between the QI Groupand the Perak state government, is expected to surpass the 1,000 mark student population and extend the programmes offered to 24 byend of this year. Eswaran, who is also the University Council Chairman for QIUP, wins this award for showing fine entrepreneurial skills andexceptional management expertise as well as for his role in the development of professional education, education reforms and innovation.Under the leadership of Eswaran, QIUP is today one of the fastest growing universities in the country, currently offering 20 programmesincluding medicine and post graduate. “From its humble beginning in 2011, the QIUP saga is a story of the hunger for excellence and thethirst for achievements. The far-sightedness, courage and determination on the part of the University’s management team in identifyingan industry niche and capitalising on core competencies are the mainstay in our quest to turn QIUP into an education hub in the country.Speaking as a Panelist at the Summit on the topic of “Transforming Malaysian Education in the 21st Century, Eswaran said Englishlanguage proficiency is fundamental to the transformation of the Malaysian education sector. “English proficiency in the country hasreached a critical level that it can undermine the well-being and international standings of this country in the absence of genuine efforts tocurb its decline. It is difficult to conduct economic and commercial activities without a strong command of English. “The poor, especiallythose in the rural areas, will suffer from the lack of proficiency in English. Malaysians need to be able to find employment anywhere in theworld and proficiency in English can provide access to the international job market, which undoubtedly can help the poor get a decent, goodpaying job,” explained Eswaran. The Malaysian Education Summit brought together key stakeholders in Malaysian Education to brainstormon how best to further enhance the quality of education as well as to discuss critical issues on the implementation of the new educationblueprint. The Summit also discussed key trends and identified new opportunities in the education sector. | JULY 2014

MALAYSIA BUSINESS NEWS 15MALAYSIA PUSHES FOR BETTER OFFERS IN MARKET ACCESS FOR SPECIFIC SECTORSMalaysia is pushing for better offers in terms of market access in specific sectors in the Trans-Pacific Partnership negotiations as discussion zeroes in on market access at the ministerial meeting which kicked off today. International Trade and Industry MinisterDatuk Seri Mustapa Mohamed said there has been a lot of progress in terms of market access talks since the past six months withparticipating countries expressing their interest. \"On market access, generally with all the 11 other countries, we have made a lot ofprogress. \"We are getting what we have asked but there are some specific areas that we would like to ask from, for example, Japan,Mexico, where we are asking better offers (but) offer here means faster rate of duty elimination,\" he told Malaysian journalists on thesidelines of the first day of the TPP ministerial meeting here today. Among the specific sectors include wood and plywood, textiles, palmoil which are considered as \"big ticket items\" for the country as well as automotive components. Referring market access as \"bread andbutter\" at the end of any free trade agreement talks, he said there had been a growing realisation for the participating countries to pushfurther talks on market access for the past six months. \"In earlier rounds, there are bilateral discussion on market access. Now, they wanttransparency on what others are giving in order for them to also make offers... (so) the linkages are coming,\" Mustapa said. The ministerheld bilateral talks today with Japan, Australia, Mexico and the United States. \"From December, there has been growing realisation for usto push for market access especially our people back home on what is there for Malaysia in terms of employment, growth and incomes,\" hesaid. \"There has been more momentum (and) as we begin to engage, it was dawn upon us that there's a lot of work to be done (on marketaccess),\" Mustapa added. Asked whether US President Barack Obama's visit had somewhat speed the talks, Mustapa said there had beensome momentum from his visit to Malaysia last month. \"There are some understanding. First, Obama recognised Malaysia's sensitivitiesand there has been further exchanges of views on those sensitive issues and better understanding by Americans on our positions onthese issues. That's the impact of Obama's visit for us in Malaysia,\" he said. Among the issues raised by the US included Bumiputera aswell as state-owned enterprises. On another issue, the minister said that the government would carry out a proper rigorous qualitativeanalysis on the benefits of the TPP once the talks settled with agreement to be signed. \"The government has decided that we should do aproper analysis of the benefits of TPP once it is completed and this will be shared with people and it will be very useful when the debatesin Parliament are being conducted,\" he said. However, a thorough analysis would only be done at a later stage on the trade benefits of themarket opening that the country is going to get from TPP, he said. The ministerial meeting was represented by seven ministers includingAmbassador Michael Froman from the US. Hosted by Singapore, those who attended included Singapore Trade and Industry MinisterLim Hng Kiang, Australian Trade and Investment Minister Andrew Robb, Japanese Economic and Fiscal Policy Minister Akira Amari, NewZealand Trade Minister Tim Groser and Peru Foreign Commerce and Tourism Minister Magali Silva Verlande-Alvarez. FIREFLY LAUNCHES NEW CRADLE AND GOLDEN GATE TRAVEL PORTAL VENTURES TO BRIDGE FUNDING GAPMalaysia's premium short-haul airline Firefly officially launched a new travel portal called Early stage ecosystem influencer,Firefly Holiday, offering convenience from the time of Cradle Fund Sdn Bhd (Cradle), has joined forces with Singapore-booking to arrival at the preferred destination. \"When based seed fund provider, Golden Gate Ventures Pte Ltd (GGV), toFirefly Holiday first started, we had an average of 300 co-invest in Malaysian early-stage technology companies to fund theirbookings a day. \"With the expansion of offerings now, global expansion. The agreement involves a one-to-one match in fundingwe hope we can grow five times if not more in terms amount.\"This means that every amount GGV provides in funding,of volume and sales,\" Chief Executive Officer Ignatius Cradle will fund an equal amount into selected technology start-upsOng was quoted as saying in a statement. Since its without taking any equity in the invested company, said Cradle Fundinception in April 2008, Firefly Holiday has evolved Chief Executive Officer Nazrin Hassan in a statement today. He said thefrom offering only Malaysian and regional packages working relationship with GGV would give Malaysian technology start-to more than 65 destinations worldwide. The portal ups the extra edge as they prepare to compete at a global level. \"This willenables customers to customise and select their be a boon for our entrepreneurs who are seeking to raise further fundspreferred flight timings and hotels and complement to support their business growth as they will not have to venture acrosstheir holidays with optional transfers and tours. The Malaysian shores to seek for investors,\" he said. Under the agreement,airline will launch two new routes in September Cradle and GGV would fund up to five companies a year with an annualthis year, connecting Penang with Krabi, and Johor total allocation of RM2.5 million. Selected technology starts-ups wouldBaharu with Ipoh. each receive a maximum of RM500,000 or the equivalent amount in Singapore dollars. Nazrin said Cradle's expansion into the co-investment was one step to attract foreign investors, especially venture capitalists and angel groups, to invest in technology business deals in Malaysia. The Cradle-GGV co-investment initiative, he said is the first of its kind for Cradle and plans are in the pipeline to forge similar partnerships with local venture capitalists and angel syndicates. \"Cradle planned to channel 50% of its funding allocation to co-investing initiatives by 2017. \"Such initiatives are timely as we prepare for the gradual reduction of government grants towards supporting early stage start-ups,” he added. | JULY 2014

16 MALAYSIA BUSINESS NEWS SME CORP TO HAVE 100 MALAYSIAN INVESTORS WORRY FIRMS CERTIFIED WITH MOST ABOUT HEALTHCARE COSTS IN NATIONAL MARK OF RETIREMENT: SURVEY MALAYSIAN BRAND BY YEAR-END Malaysian investors are more concernedSME Corp Malaysia is on track to achieve a total of 100 about the affordability of companies certified with the National Mark of Malaysian healthcare in retirementBrand, a certification that depicts quality, excellence and distinction than deteriorating health inof products and services by local firms, by year-end. Its Chief old age, says a survey byExecutive Officer Datuk Hafsah Hashim said as of April this year, Manulife. \"This is in contrastanother seven companies had received their certification, bringing to Malaysian investors'to 92 the total number of companies that had been certified with peers elsewhere in Asia forthe mark since its inception in 2009. \"Some eight companies are in whom declining health is thevarious stages of being certified with the National Mark of Malaysian main concern,\" the company said in a statement. FindingsBrand and are undergoing verification processes with SIRIM QAS from the Manulife Investor Sentiment Index (MISI) surveyInternational Sdn Bhd, our certification partner,\" she told reporters at for the 2014 first quarter show Malaysians (51%) to be theSME Corp's Branding Seminar 2015. She said the companies had to least concerned about declining health in retirement of allgo through stringent standard assessment processes, and through the markets in the region. In contrast, investors (64%)the certification, the government hoped to change the perception that across Asia cite this as their number one concern asSME products are of lower quality, reliability and with low packaging they look ahead to retirement, Manulife said. The surveystandards compared with other big brands. Apart from that, she indicates that Malaysian investors' focus on healthcarealso said SME Corp had introduced the merger and acquisition costs rather than their actual health suggests concernincentive for small and medium service providers in an effort to about medical inflation, the impact it will have on theirencourage them to merge. \"In order to create a more stable and savings and also reflects on their perceived state of goodstronger entity in facing increasing competition, we have introduced health. Manulife Holdings Bhd Group Chief Executivenine sub-sectors that the small and medium enterprises (SMEs) Officer Mark O'Dell said the concerns about health costsare able to merge into. \"These services are accounting, taxation, could be part of the response to a government move latespecialised medical practice, specialised dental practice, skills last year that paved the way for private medical fees totraining, engineering, architectural, courier and private technical and be raised. \"Having kept a lid on prices for the previous 12vocational secondary education,\" Hafsah said. She said the sub- years, the move is having a ripple effect and it's really justsectors might be broadened as there are manufacturing companies a symptom of the underlying medical inflation that peoplewhich are interested to be part of the incentive. \"Under this incentive, are noticing,\" O'Dell said. During retirement, Malaysianthe merged company will be eligible for a flat tax rate of 20% on investors estimate that healthcare and medical expensesall taxable income for a period of five years, as well as stamp duty will make up 13% of their total monthly expenses. Thoseexemption on merger documents,\" she said. With the reduced tax investors intending to maintain their medical insurance inrate of 20% from the current 24% imposed on companies, it would retirement expect to spend a further 10% on premiumsattract and entice the SMEs to take up this incentive, she added. for health and medical insurance. About half of thoseThe National Mark of Malaysian Brand, or generally known as the surveyed in Malaysia said they have personal health orMalaysian Brand, is developed by the government through the medical insurance at present and of these, about halfInternational Trade and Industry Ministry and SME Corp Malaysia expect to maintain their insurance during retirement,with SIRIM QAS as the certification partner. while just over a third said they won’t. Overall, about two-thirds of respondents said they will rely on the public health system in retirement, which is about average for the region. Manulife's Investor Sentiment Index (MISI) in Asia is a quarterly, proprietary survey measuring and tracking investors' views across seven markets in the region on their attitudes towards key asset classes and related issues.MDV ALLOCATES RM1.45 BILLION THIS YEAR FOR TECHNOLOGY SECTOR Malaysia Debt Ventures Bhd (MDV), the nation's leading technology financier, is allocating RM1.45 billion in financing for all technology sectors this year. MDV is collaborating with the Northern Corridor Implementation Authority (NCIA) and Universiti Sains Malaysia (USM), with which it shares the same goal of accelerating economic growth to become a high-income advanced economy and promoting long-term sustainability and socio-economic well-being, Senior Vice President of Business Division Aimi Aizreen Nasharuddin Aimi said in a statement. MDV held its first ‘MDV Tech Funding Day’ today at USM in Penang for technopreneurs and technology companies in the northern region. USM Deputy Vice Chancellor (Research and Innovation), Prof. Datuk Dr Muhamad Jantan, when launching the event, said the long process of commercialisation in the high- technology sector requires financing from agencies such as MDV, NCIA,SME Corp and Collaborative Research in Engineering, Science and Technology(CREST). MDV has disbursed over RM7.0 billion worth of financing to 600 technology start-ups, with more than 70% of the approvals to small and medium enterprises.| JULY 2014

MALAYSIA BUSINESS NEWS 17 EPF'S TOTAL INVESTMENT TOURISM, OIL AND GAS SECTORS ASSETS INCREASE 11.27 TO BE JOHOR ECONOMIC PCT IN Q1 2014 DRIVERS IN FUTURE: MUHYIDDIN The Employees Provident Fund (EPF) announced that positive net Tourism and oil and gas sectors are seen as the contributions from members and employers, as well as, encouraging future economic drivers for Johor's economy, investment performance has increased total investment assets to almost Deputy Prime Minister Tan Sri Muhyiddin Yassin RM600 billion. As at March 31, 2014, the pension fund's investment said today. He said that with the tourism lure such assets stood at RM597.02 billion, up 11.27% or RM60.47 billion, from as the Pinewood Iskandar Malaysia Studios, RM536.55 billion recorded in the same corresponding period in 2013. Legoland and Hello Kitty Town theme parks, the Chief Executive Officer Datuk Shahril Ridza Ridzuan said that the sector has high potential for expansion.He however, government agency remained focused on its objective to generate stable said the challenge to develop the southern Johor investment returns that consistently beat the rate of inflation. \"Based area, which has become a tourist attraction, must on the rapid growth in our investment assets, which average between be tackled with wisdom. \"Among the challenges 10 and 11% annually, we will continue to strategically diversify our are building more hotels to sustain the demand for long-term investment activities across different markets and sectors in another 5,000 rooms,\" he told reporters after visiting accordance with our Strategic Asset Allocation,\" he said in a statement. Kota Iskandar, the state administration centre, here. Shahril Ridza said depending on the market direction, the EPF would Muhyiddin was responding to reporters' questions on continue to capitalise on opportunities that arise in order to rebalance the development of new sectors as proposed under its portfolios for risk and return optimisation. For the first quarter ended the second Comprehensive Development Plan for March 31, 2014, the EPF reported an investment income of RM8.83 Iskandar Malaysia. The plan, being prepared by the billion compared with RM5.60 billion in the corresponding quarter in Iskandar Region Development Authority (IRDA), will 2013. The more than 50% increase in investment performance was be ready next month. primarily driven by returns derived from equity investments. The report also revealed that 52% of EPF funds had been invested in secure and AIRASIA INDIA: TICKET SALE low-risk fixed income instruments, 43% in equity investment and the STARTS TODAY, FLIGHT ON JUNE 12 balance in money market instruments, real estate and infrastructure, it ONWARDS said. On outlook for the rest of the year, Shahril Ridza said: \"Although we are optimistic that the Malaysian economy will record better growth AirAsia India is this year on expectations of export recovery supported by resilient set to fly Indian domestic demand, we remain vigilant, particularly over the uncertainties skies from June surrounding the movements of capital as long-term interest rates adjust 12, giving budget following recovery in key markets. \"In order to optimise returns, we hold flyers more choices firm to our prudent and long-term investment approach and we will always at possibly lower ensure that preservation of capital and value enhancement of members' fares. The airline will savings remain as the fund's primary objective,\" he added. start operations with two daily flights on Chennai- Bangalore-Chennai route and a daily on Bangalore- MATRADE URGES MALAYSIAN F&B COMPANIES TO Goa-Bangalore sector on the one aircraft it currently FOCUS ON PRODUCING HEALTHY PRODUCTS has, the Times of India reported. AirAsia group chief executive officer (CEO) Tan Sri Tony FernandesThe Malaysia External Trade Development Corporation (Matrade) has announced on Twitter commencement of sale of urged local food and beverage (F&B) companies producing and exporting tickets for these flights. The directorate general offood allergy and food intolerance products to focus on allergy-free, gluten-free civil aviation (DGCA) had given AirAsia India licenceor organic produce. This is due to the strong market demand for such healthy to fly on May 7 and cleared its schedule (timetable)products, especially in European countries like Germany. \"It makes a lot of on May 29. AirAsia India CEO Mittu Chandilya hasstrategic sense for more Malaysian exporters to explore this growing market promised to offer 35% lower fares than current levels,as Asian suppliers are clearly under-represented and there is much scope said the report. Low-cost carrier (LCC), IndiGo is thefor strong future growth. \"The market continues to register healthy growth market leader in India in terms of domestic passengerdespite the economic crisis as consumers try to reduce their medical bills by carriage. The other LCCs are SpiceJet, JetKonnect,opting for healthier food options,\" Matrade Frankfurt's Trade Commissioner, GoAir and Air India Express (which currently fliesS.Jai Shankar said in a statement. He also said several Malaysian exporters mainly between south India and the Gulf). AirAsia hasof F&B products had already started exploring this lucrative market after one Airbus A-320 and plans to induct an aircraft everyparticipating in the Matrade-organised ANUGA 2013 trade fair. This October, month.the national export promotion agency will be organising a national pavilion atthe forthcoming SIAL Paris Trade Fair and hopes the Malaysian companies | JULY 2014will focus more on healthy products, he added.

18 MANAGEMENT SOFTWARE • by Palani Murugappan Utilizing Microsoft Excel for MarketersUNDERSTANDING THEMARKETING PROCESSIn the quest for knowledge, it is In the Market Research stage, data The next stage of Targeting theoften the one who has the vision is collected via means of primary customers, after segmenting them,to seek meaningful and current and secondary data collection. requires you to look deeper intoinformation and the ability to The primary data includes direct the group’s vital statistics such asanalyze it quickly will be a step customer interviews, online surveys, sales, profitability, product/servicesfurther than the competitors. One etc. Secondary data collection offered, etc. and determine whichneeds to understand the market usually is via research articles and/ will be most successful. Theneeds and wants and package it or compiled statistics from reliable marketer needs to know which ofin an innovative manner to achieve sources. It can also incorporate an these groups the ideal customer is.high growth. Successful marketers organization’s sales data history. This is where a compilation of pastknow what information is important In the segmentation process, customer data behavior will greatlyand how to get the information existing customer and prospects help to show future indicators.together. are categorized into segments. A Once customers have beenTo reach the end users a profiling is done on them based segmented and targeted, the nextresourceful marketer understands on factors such as geographical stage is to position them. Afterthe mindset of existing customers location, industry, etc. However, to gathering the data and analyzingand provides products and services create new and profitable segments, it, you are ready to position thethat fulfill their requirements based this needs to be analyzed in more chosen segment targeted in termson a changing lifestyle. Here is details. of various strategies such aswhy for anyone to be successful in pricing and innovation. Marketersmarketing, one should understandthe simple logic of the marketingprocess as follows:| JULY 2014

MANAGEMENT SOFTWARE 19will position the product/service in marketing research What analysis can we perform froma way that the alternatives may not • Analyzing pricing analysis and the above? Let us create a criteria asappear attractive or appealing. This defined in cells I2 to J3 as illustratedis where the collection of past data strategy below.behavior helps. • Seeking new customersUpon positioning the customers, • Identifying market trends and We want to Excel to give us detailsthe Marketing Mix (Product, Price, of North Region with Quarter 3 salesPlace and Promotion, or also known emerging markets figures greater than 200. In otheras the 4 P’s) is to be applied. These • Monitoring trends words, let us say the managementfour ingredients of the marketing • Customer satisfaction analysis requires the following details:mix focuses only on these four items • Analyzing new opportunities 1. The average sales figure forand nothing else. Marketers need to Besides the above, we can furtherhave a good understanding and grip look into product management too: the North Region with saleson these four items. • Pricing and margins expected exceeding $200.The next implementation stage • Future sales estimates 2. The total number of months inrequires a strategy. How will you • Forecasting the North Region with salesmake it happen? This is where • Launching a product exceeding $200.advertisements, trade shows, • Tracking and monitoring new 3. The total amount in the Northexhibitions, billboards, online Region for sales exceedingbulletins, all come in place. Note product introductions $200.that these activities are supposed • Analyzing sales reports 4. The maximum value in the Northto be done after all the analysis and • Scheduling and rescheduling of Region for sales exceedingplanning, not before. $200.You will note that in every of the new product introductions 5. The minimum value in the Northmarketing process steps above, data Region for sales exceedinganalysis is required. An existing tool $200.to perform the analysis is utilizing ANALYZING SALESMicrosoft Excel. AND MARKETING DATAHOW EXCEL CAN HELP The sample data based on theIN MARKETING different regions below illustrates quarterly sales figures for the first 12 months of the year. This is raw data compiled for the first year of operations of an organization.When you have data, it can beformatted and presented in differentways. However, to draw conclusionsfrom data, analysis has to beperformed. Let us look as to in whatways Excel can help us in marketingdata analysis:• Budgeting for a new product (and product launches)• Performing competitive analysis• Creating a marketing plan• Performing market and | JULY 2014

20 MANAGEMENT SOFTWAREFirst and foremost, one has tounderstand what the questionrequires. Upon understanding, mostusers who do not have sufficientknowledge in terms of application offunctions will sort the data by Regionand attempt to perform calculationsof the above.Excel has an amazingly quick way Now, we are not limited to just Finally, we also have the optionof solving the above problems. changing the region. The user also of defining our own “logical tests”By utilizing the Database function has the option of changing the below the selection of Quartercategory, the problems can be Quarters from 1 to 2, 3, or 4, using header. Again, this utilizes the samesolved quickly with the following the same built-in feature of Excel. feature of Excel as that used for theanswers. selection of Region and the different Quarters.Note that besides solving the This produces a different set ofproblems quickly, the user also has figures once again.the option of changing the Regionfrom one to another as illustrated PRESENTING THE DATAbelow. This is achieved by using abuilt-in feature of Excel. Many Excel users utilize the various built-in functions to perform specific calculations. However, Excel is capable of analyzing data based on the combination of built-in functions and features as in the illustration below. A drop down list is created where the user has the option of selecting any of the 12 months by clicking on a specific month, or scrolling the vertical scroll bar and selecting a month. In the illustration below, the selection of August displays the four quarter results.The above produces yet a differentset of answers for the sameformulas.| JULY 2014

MANAGEMENT SOFTWARE 21By scrolling to the bottom of the list and selecting December, the four below, the user has the option ofquarter figures are updated automatically as below. changing the month by clicking on the drop down arrow and scrolling through the list. The display for the Quarter 3 sales figure is plotted on a column chart with the value inserted within the column.One of the quickest way of analyzing raw data in Excel is the use of Pivot Should the user change the QuarterTables. By applying the Pivot Table, we are able to summarize our raw to another, the column chartdata to be presented by Region as follows: updates itself automatically, with the corresponding changes to the Y-axis as illustrated.Notice that despite performing a summary using the Pivot Table, the Palani Murugappan“oomph” factor appears missing. To incorporate this, another built-in The examplesfeature of Excel can be applied to enhance the appearance of the above illustrated abovePivot Table as illustrated. is a snapshot of what the authorVISUAL PRESENTATION OF DATA covers in some of his 2-days trainingThe saying “A picture is worth a thousand words” cannot be truer. Excel sessions. Havingperfects this statement when a user is able to convert the analysis of data b e e n a corporateand present it in a graphical manner, such as chart. In the illustration trainer for the last 14 years, Palani specializes in training participants how best to perform data analysis from company’s raw data and concluding from the information gathered by harnessing Excel’s built-in functions and features. A HRDF certified trainer and author of 51 books to-date on various software applications, Palani is passionate on what Excel can do, and how best to present data in different formats.More information is covered in his website. He can be reached at: [email protected] www.avimursolutions.com | JULY 2014

The r e c e n t l y concluded Global Indian Festival 2014 [GIF 2014]recorded 15% growth onMalaysian entrepreneursparticipation. The grandshopping festival held fromJune 4 - June 8, 2014 at MidValley Exhibition Centre,Kuala Lumpur antipicated tohave recorded sales up toRM20 million.The South East Asia’sLargest Festival of IndianProducts was officiated bySecond Finance MinisterDatuk Seri Ahmad HusniMohamad Hanadzlahon Friday June 6, 2014.According to the organiserASC Agenda SuriaCommunication SdnBhd, this year event waspatronized by more than350,000 visitors well abovetheir target. Entrepreneursseeking trade opportunitiesas well as shoppers weretreated to over 270 boothsfeaturing elegant antiques,handloom products,handycraft, textiles andjewelleries specially flownin from India, Pakistan, SriLanka and Nepal.GIF 2014 provided a platformfor SMEs from South AsianCountries to introduce theirproducts and services to600 million ASEAN market.Business matching sessionheld alongside the festivalfurnish opportunities forMalaysian to expand theirnetwork. | JULY 2014

EVENT 23 | JULY 2014

24 STRATEGY STRATEGY:  INNOVATIVE  BETTER PRODUCT CHEAPER PRICE  RISK TAKER  NEVER GIVE UP  NEW MARKET  MANAGE SUPPLY CHAINKONOSUKE MATSUSHITA:AHEAD OF TIME STRATEGIES No matter how deep a Konosuke Matsushita a firm retailer shops, a distribution channelstudy you make. What you believer of p r o d u c i n g identified by Matsushita together really have to rely on is b e t t e r product at much with few samples without asking any cheaper price identified that demand payment. Seeing the lamp lasted your own intuition and for bicycle lamp was enormous. He more than fifty hours, retailers when it comes down to developed battery powered lamp showcased the new product toit, you really don't know requiring only 120-130 milliamperes their customers that resulted sales what's going to happen that could last for 30-50 hours at skyrocketed surpassing their 2,000 cost lower than candles. Matsushita units per month. until you do it. made agreement with supplier to a In 1926, Matsushita cancelled minimum order 2000 unit wooden distribution agreement of bicycle Konosuke Matsushita lamp casing, a huge commitment for lamp with Yamamoto by paying small firm in 1920’s. To his dismay 10,000 yen. Matsushita Electric their existing electrical distributors began to venture into its own declared lamp would not sell. distribution system an action that Matsushita had so much faith on his was unusual at the time in Japanese new product, instead of cutting back consumer product industries. Sony his production he invested into new followed the same path twenty years strategy. He told his salesmen to later. put one lit lamp on display at bicycle| JULY 2014

DID YOU KNOW? 25DID YOU KNOW? HSBC BANK MALAYSIA BERHAD IS COUNTRY’S OLDEST BANK Although Standard Chartered Bank presence in Malaysia dates back to 1875 with its first branch opened for business at Downing Street, Penang. HSBC Bank that established its first office on the Island of Penang in 1884 is Malaysia’s Oldest Bank. During 1959, then known as Hongkong and Shanghai Banking Corporation Limited acquired The Mercantile Bank which started operations in Malaysia in 1860 .THE STORE IS OLDEST SUPERMARKET IN MALAYSIAThe Store Corporation Berhad is the oldest existing supermarket cum departmental chain in Malaysiawith retail outlets established in every state of the Peninsular Malaysia. The company started firstoutlet in Bukit Mertajam, Penang on 3rd March 1968 also recognized at the largest supermarket anddepartmental chain by The Malaysia Book of Records since 2001. F & N IS OLDEST FOOD & BEVERAGE PRODUCER IN MALAYSIA Founded in 1883 by John Fraser and David Chalmers Neave , the F&N Group is the oldest Food & Beverage producer in Malaysia. The brand F&N enjoys a special place in the hearts of Malaysians as almost everyone has had consumed it.MALAYSIA’S OLDEST PLANTATIONS OPERATED BY SIMEDARBY BHDMergers and acquisitions made Sime Darby Berhad technically as oldest Malaysian PlantationCompany. In 2007 Guthrie Group founded in 1827, Golden Hope previously trading as Harrisonsand Crosfield and Sime Darby established in 1910 by William Sime and Henry Darby merged toform Synergy Drive which later renamed as Sime Darby within 10 months. GREAT EASTERN LIFE IS OLDEST LIFE INSURER IN MALAYSIA Great Eastern Life which began its operations in 1908 was certified by the Malaysia Book of Records in 1998 as the \"Oldest and Largest Life Insurer\" in Malaysia. As of 31st December 2013, the company has RM63.5 billion in assets, over 2.9 million policies in force and a network of 17,000 agents nationwide.EU YANG SANG IS OLDEST TCM COMPANY IN MALAYSIAEu Yang Sang is the oldest Traditional Chinese Medicine (TCM) company in Malaysia andone of Asia’s leading integrative healthcare company. Founded in 1879 with opening of firstshop Yan Sang in Gopeng, Perak Eu Yan Sang (Malaysia) is a member company of Eu YanSang International Limited which is listed in the Singapore Exchange. With over 1,000 typesof finest raw herbs in the store, and more than 300 products under the Eu Yan Sang (EYS)brand, EYS is probably the best-stocked TCM retailer outside China. The company hasmore than 80 retail outlets throughout Malaysia. | JULY 2014

26 MIB FORUM - GST : GST is a double taxation of income and it expected to increase inflation. What is members opinion? FEEDBACK #1 and this I had seen personally during my auditSATYA NARAYANAN service in 2003-2005, The newly proposed GST mayPrincipal Consultant at GST is a consumption based tax. What does suffer the same fate if enforcement is weak and alsoFoqual Consulting, that mean? It is a tax system to tax on provide greater number of opportunities for fraud byKuala Lumpur consumption, unlike income tax which is those with intent resulting in losses in quantum that taxed on income. Though may have implementation may be many times higher than that of the Service 1 challenges in Malaysia, like any other worthy Tax it is replacing. initiatives, when implemented well, GST is a fairer Follow Singapore where enforcement is effectiveGURSHARAN SINGH tax system and promotes savings. and penalties deterrent on those caught. SadlyC.M.I.I.A. Malaysia has the culture of weak enforcement andFreelance Trainer- Let me illustrate: If you earn RM5,000, you spend discounts on delinquents as happens in the caseKnowledge Sharer- RM4,000 and you save RM1,000, you will be taxed offenses pertaining to traffic, quit rent, assessment,Auditor, Kuala Lumpur for RM5000 on income tax and RM4,000 on GST licenses etc. (consumption tax). Suppose you only spend RM1,000 2 and you save RM4,000 instead, you tax will be on FEEDBACK #3 the RM5000 and RM1,000 (GST). Effectively, youKUMARAVELL are incented to save in this system. However, I must As GST applies to consumption in Malaysia,Entrepreneur, agree that with GST, all price will inevitably increase it taxes both citizen and non-citizen residingSelangor due to snowballing effect of leakages in business, here in Malaysia the moment consumption even though this tax should only be imposed on of goods or services begins. Malaysian earning 3 consumers. Business could recover GST paid but above RM3,000 monthly are subjected to income due to initial leakages that render to higher opex, this tax, effectively making GST as second tax to be is eventually passed to consumer. So while it is not paid by citizens of this country. Non Citizen includes going to be easy on all, especially the middle class, semi skilled and non skilled workers from Indonesia, we need to consciously find every opportunities to Myanmar, Nepal, India, Vietnam that already prepaid save. The more you spend, the more you are taxed! their levy has to poke out more when they purchase items not exempted by the GST. Businesses or Ultimately, the issue most of us have in mind is, Corporate Companies effectively don’t pay any GST will the govt reduce income tax with GST (though as they collects back from end consumer. I wonder there were talks but uncertain if it will happen and its why businesses being an official registered entity quantum). Secondly, a perennial question in all our get’s such exclusive treatment compare to human minds, what will the govt do with the huge income, being. expected to be about RM30billion/year. Where and how (or who <s>) will the money be spend? FEEDBACK #2 FEEDBACK #4 GST may end up as multiple taxation which At the mention of taxes, we notice many shying ultimately will be borne by the rakyat, The rich away and quietly going missing. It is a norm and in power normally have their purchases I guess, but in reality the ones who will be charged to the accounts of their companies or mostly affected, is you and me? organizations or employers [as it could be included First of all, I quote the gstmalaysia.com website: under perks]. “GST or Goods and Services tax or Value Added Tax Service Tax implementation is perceived to lack is a consumption based tax charged on all taxable effective enforcement as is evidenced by non-many supply of goods. There are a few “Zero Rated Supple” display of the license by the business owners who group of items is exempted from GST which includes collect Service Tax and thus the customers have Basic food items (flour, rice), Public Transportation no way of confirming the validity of the collection. and Healthcare and Education”. GST Registration Some charge all-in price and thus do do not show in is required for any company with yearly revenue of the invoice the Service Tax as an item. It had been RM 500,000. This actually means any manufacturer reported in the media that professionals also have or supplier who could possibly make that much, will been found to be collecting without being licensed register so that they can charge the consumer; and | JULY 2014

MIB FORUM - GST 27 SUBSCRIBTION FORMJEEVITHAN P. at the end, we see consumers payingGANASAN a must higher GST than of the GSTFounder & President paid by the manufacture. Does this notMalaysian Community seem like an increase in expenses forDevelopment the public? So, Malaysia’s inflationOrganisation (M-CEO) as measured by the consumer price index is expected to increase once the 4 GST takes effect, now how does this benefit the citizens who will then haveRENGANATHAN to take out more money than beforeKANNAN to get the very same items they havePartner Tratax, been getting all this while? Doesn’tPetaling Jaya that inflation caused by the GST bring about a vast change into the 5 expenses of the public, be it the higher or lower income? There are some basic things that are mentioned to be exempted of the GST such as medical fees. How about drugs? Wouldn’t the manufacturer be incurring the GST when they selling the drug Having paid that extra amount for purchasing the drug, am sure the drug price will increase, will it not? It is more known that the lower income category spends a larger portion of their income than the higher income, and it is clear that the more you spend the more GST you pay. In terms of household, many a times we see a lower income household having more people to feed for than those of the higher income. Definitely the lower income household will be forking out much more than the higher income household.It is of my opinion that if the government is adamant to implementthe GST they should then at least make increase the salaries ofthe employees. Otherwise, this GST increase will take a toll onthe public. Price of goods will increase in turn if the GST goesup. The poor will basically get poorer whilst the rich richer.FEEDBACK #5GST is not a double taxation. GST is a consumption tax based on a business turnover and substitute of present sales and service taxes. Price hike is expected which willburden the consumers, government will be implementing antiprofiteering act and we're unaware about the enforcement part. | JULY 2014

28 LIFESTYLE • by Thevi Sinnadurai STOP & THINK! Draw Out Your Inner WisdomQuestion Your Self. Underneath all the confusion and chaos that you currently believe is “YOU,” there lay a deep innerWhat is your intention in doing what wisdom. It knows your purpose. It knows you are hereyou are doing? for a reason. It knows what you’re capable of doing, and it has the creativity, strength, and resourcefulness toIt’s quite a powerful question. Does answering the help you achieve it. Yet, if we’re not intentional aboutquestion make you feel quite tense or more relaxed? If it listening to it, it gets drowned out by our own chaoticmakes you feel tense, is it possible that your awareness thinking, the demands of everyday life, and the voicesis telling you to dig deeper or maybe to be more honest of others. The good news: your inner wisdom is stillwith yourself? there, ready to help and guide you to a more fulfilling life. You just need to learn how to listen. Exercise #1 Here are some ways to start:1. Throughout the day, continually ask yourselfabout your underlying motivation: Why are you doing Remember a Time You Felt Fullywhat you are doing? Alive• Is it for selfish, manipulative or fearful It’s easier to find something when you know what you’re reasons? looking for. The times in your life when you have felt• Is it for honest service with integrity? most alive are those where you were strongly aligned• Maybe you do not know - maybe you will see with you inner wisdom. Remembering those times can help you reconnect. that much of your activity lacks purpose.This is a great way to enhance your awareness and Exercise #2be more conscious. Your intention and motives are 1. Find a quiet space where you won’t befundamental to the results you will achieve. Set high interrupted, and close your eyes. Think back to a timeintentions and your life will blossom. when you felt a powerful sense of joy, excitement, and purpose. • I don’t even know what I want • What were you doing? • I’m not sure who I am anymore • What were you thinking and feeling? • I’m not sure what to do • What made this experience so meaningful?| JULY 2014

LIFESTYLE 29Replace Self-Judgment and Criticism Meditation: in its most basic form, you simply focuswith Curiosity on observing your breath. When thoughts arise, acknowledge them and then gently return your focusWe can be quick to judge our thoughts, feelings, and to your breathing. By not getting caught up in thesedesires that make us uncomfortable. Yet they often hold habitual thoughts, we make room for new insights andvaluable information about our core needs and values. awareness.While we probably shouldn’t act on every emotion,craving, or impulse we have, we can gain access to our Focus on “What,” not “How”inner wisdom by exploring them. Sometimes our inner wisdom starts to give us a glimpse Exercise #3 of what we want, but instead of taking the time to fully1. Next time something pops into your head that listen, we immediately start drowning it out with worriesthat seems selfish, unrealistic, mean, or just plain wrong, about the possible challenges that could prevent us fromget curious! attaining it. We are naturally creative and resourceful,Ask questions like: we can rise above most challenges we face. But first we• What’s important about this? need a clear and compelling vision to inspire us. This• What am I longing for right now? requires temporarily letting go of the question of “how?”• What need am I trying to meet? and allowing ourselves to really explore what it is we• What am I afraid of? really want.The not-so-obvious answers might surprise you. Exercise #4Do Something Different 1. Get out three sheets of paper and write one of these questions at the top of each page.Our inner wisdom doesn’t usually communicate with • What do I want to do?words. It often speaks to us through strong desires, gut • What do I want to have?feelings, or baffling emotional “tugs.” • What impact do I want to have on others and world around me?Too often, we dismiss this kind of communicationsimply because it doesn’t make sense to our logical/analytical thinking. Yet, if we’re going to connectto our inner wisdom, we need to learn to trustthese wordless messages.Start now: think of something that unexplainablyinterests you and pursue it.>> A Cup of TeaNan-in, a Japanese master during the Meiji era (1868-1912),received a university professor who came to inquire about Zen. Themaster places a teacup in front of the professor. While the masterquietly served tea, the professor talked about Zen. The master pouredthe visitor's cup to the brim, and then kept pouring. The professorwatched the overflowing cup until he could no longer restrain himself.\"It's overfull! No more will go in!\" the professor blurted. \"You are likethis cup,\" Nan-in replied, \"How can I show you Zen unless you firstempty your cup.\" The master compares the professor’s mind to theteacup – so full it doesn’t have room for anything new. We also needto create some open space in our minds for our inner wisdom to flowinto. Meditation is a great way to do this. | JULY 2014

30 LIFESTYLE2. Then write as many things as you can think of. are doing, or why do it?Let yourself dream big. • What motivates you to get out of bed each day3. Afterwards, use what you’ve written to start • This would be your passion. Your desire to live visualizing what you want your life to look like 3 years -- this will cause you to spring into action even from now. when you are physically, emotionally and mentally exhausted.“For the past 33 years, I have looked in the mirrorevery morning and asked myself: 'If today were thelast day of my life, would I want to do what I amabout to do today?' And whenever the answer hasbeen 'No' for too many days in a row, I know I needto change something.” - Steve Jobs Exercise #5 Don't go the1. Look at yourself in the mirror. way life takes you.Describe the person you see in the mirror using 15 Take the life the way youmeaningful adjectives. Use both good and bad ones; go. And remember youremember this is a truthful exercise. Dig down deep, be are born to live.honest, this is not an exercise for who you want to be; And not living becausethis exercise is for the person staring at you now. Bedaring. Allow yourself to rediscover a few lost truths. you are bornNow that you have looked at who you see reflectedin the mirror, it is time to reflect on your likes and – Owm’r Faruukdislikes.This is important to allow you to identify potential Thevi Sinnadurai is a Practitioner in Clinicalissues and assist you in getting to the root cause. Hypnosis, Practitioner in Cognitive BehaviourUnderstanding why a phrase or an action can effect Hypnotherapy, NS-NLP Master Practitioner,you in a negative way helps you prevent repeating poor Certified Law Of Attraction Trainer andbehavior. Remember: If we fail to face our past, we are Emotional Freedom Technique Practitionerdestined to repeat it. Look for ways to cope with these (EFT). She can be reached at:stressors. [email protected] Exercise #6• What activities do you like to do?• What type of books do you enjoy reading?• What can you not tolerate• What makes you sad?For each answer, explain why. Explore the depths ofwhy and not just the surface.• Identify what makes you happy beyond compare.• In life we should be passionate about what we | JULY 2014



32 ENTREPRENEURSHIP ENTREPRENEURSHIP FRAMEWORK (Part1) Malaysia’s Vision 2020 established entrepreneurship as fundamental of economic policy to achieve economic growth in order to achieve the high income nation goal. The 10th Malaysia Plan 2011-2015 provides specific entrepreneurship measures i.e. i. Plan, Creating an Environment for Unleashing Economic Growth ii. Moving Towards Socio-Economic Development. We extracted and summarize the prime role of agencies under two main ministries entrusted to achieve these objectives. A Joint Entrepreneurship Education by :MINISTRY OF FINANCEAGENCIES FUNCTIONS Cradle Fund Sdn Bhd [Cradle], is a not-for-profit organisation that has managed RM150 million Cradle Investment Programme since its inception in 2003. Through the Cradle Investment Programme aim to: 1. Create an ecosystem that supports a strong and innovative business-building environment for technology entrepreneurs. 2. Achieve commercialisation efficiency and sustainable entrepreneurship for budding technology entrepreneurs per our credo of Catalysing Sustainable Technopreneurs. 3. Provides funding of up to RM150k, as well as monitoring, mentoring, access to market and supply chain, and training for 12 months in ICT and non-ICT sectors (i.e. biotech, renewable energy, life sciences, etc.) 4. CIP 500 fund for technology/ commercialization Grant up to RM500k for ICT and non-ICT sectors for 12 months. Malaysia Venture Capital Management Berhad [MAVCAP] was established in 2001. Today, we are the country’s largest venture capital (VC) company with investments in the ICT sector and other high- growth industries. MAVCAP makes investments through following programs: 1. Direct Investments -invest directly and participate actively in the management and operations of the investee companies. 2. Outsource Partners Programmes - through these programs, a significant amount of capital allocated to VC fund management companies, who in turn invest in high-growth businesses. Perbadanan Nasional Berhad [PNS] was mandated to lead the development of Malaysia's franchise industry. PNS aims to develop the franchise industry while increasing the number of franchise entrepreneurs through its expertise in providing quality service and products. PNS plays a role in spearheading the growth of the country's franchise industry in order to fulfill their goal of producing more franchise entrepreneurs in the business world. One of the main objectives of PNS is to develop local products and market them abroad. PNS also provides guidance and special schemes for franchisors and franchisees and welcomes franchise partners to Malaysia. Malaysia Debt Ventures [MDV] is a Premier Innovative Financier and Development Facilitator for the ICT, Biotechnology, Green Technology and emerging technology sectors in Malaysia. Incorporated on 23 April 2002, MDV has been entrusted to provide financing for projects in these sectors at the point of commercialization. With a fund size of RM4.1 billion, MDV offers innovative financing solutions and nurturing initiatives to spur the growth of these sectors based on client’s needs. MDV prides itself with fast loan approval and hassle free processes in its various products. Credit Guarantee Corporation [CGC] main objective is to play a developmental role in supporting the country’s economic development agenda by assisting marginal but potentially viable small and medium scale enterprises (SMEs), particularly enterprises without collateral or with inadequate collateral and track record, to obtain financing from the financial institutions. CGC facilitates SMEs access to financing through its guarantee schemes. To date, CGC have been instrumental in the establishment of more than 420,000 SMEs, guaranteeing close to RM51.4 billion. | JULY 2014

ENTREPRENEURSHIP 33MINISTRY OF INTERNATIONAL TRADE AND INDUSTRYAGENCIES FUNCTIONS Malaysian Investment Development Authority [MIDA] incorporated in 1967 assists companies which intend to invest in the manufacturing and services sectors, as well as facilitates the implementation of their projects. MIDA provides information on the opportunities for investments, as well as facilitating companies which are looking for joint venture partners. Small and Medium Enterprise Corporation Malaysia [SME Corp. Malaysia] implements SME Development programmes such as : 1. Business Accelerator Programme (BAP) 2. Enrichment & Enhancement Programme 3. Shariah Compliant SME Financing Scheme 4. SME Competitiveness Rating for Enhancement (SCORE) 5. Soft Loans for SMEs 6. SME Emergency Fund 7. The National Mark of Malaysian Brand 8. Enterprise 50 Award 9. SME@University Programme 10. Skills Upgrading Programme 11. SME Mentoring Programme SME Bank or Bank Perusahaan Kecil & Sederhana Malaysia Berhad commenced operations on October 3, 2005. The Bank was established to function as a development financial institution to nurture and meet the unique needs of small and medium enterprises (SMEs) through the provision of financial and non-financial services to SMEs. SME Bank provides : 1. ACCESS TO FINANCING -Ensure that creditworthy SMEs have access to financing for working capital and investment. 2. LEGAL AND REGULATORY ENVIRONMENT - Ensure that legal and regulatory environment is conducive for the formation and growth of SMEs, while protecting the broader interest of society. 3. HUMAN CAPITAL DEVELOPMENT - Enhance human capital and entrepreneurship development among SMEs. Malaysia External Trade Development Corporation [MATRADE] has several programmes to assist Malaysian companies to equip themselves with knowledge and skills. Those are: 1. Exporters Development 2. Export Promotion 3. Trade & Market Information 4. Trade Advisory & Support Malaysian Industrial Development Finance Berhad [MIDF] was incorporated on 30 March 1960 for the purpose of ensuring access to financing for manufacturing-based small and medium enterprises (SMEs), and as part of Malaysia’s post-independence strategy to accelerate development of the industrial sector. Over the years the Malaysia’s maiden development finance institution, MIDF has evolved and transformed itself into a diversified group providing financial services namely investment banking, development finance and asset management. Malaysia Productivity Corporation [MPC] which was formerly known as the National Productivity Corporation was established in 1962. Some of the functions of the Corporation are as follows: 1. To establish an information and reference centre for productivity indices for the country and for management systems and case studies; 2. To generate local expertise in the field of productivity, quality, management and entrepreneurship; 3. To enhance the development of human resource both at the supervisory and management levels in the country; 4. To assess and certify supervisory and management training programmes, entrepreneurship programmes and productivity and quality management programmes conducted by the private sector for the public; 5. To conduct training or other programmes relating to productivity, quality, management and entrepreneurship;To provide consultancy services relating to productivity, quality, management and entrepreneurship. Established on 18 September 2006, Halal Industry Development Corporation [HDC] coordinates the overall development of the Halal industry in Malaysia. Focusing on development of Halal standards, audit and certification, plus capacity building for Halal products and services, HDC promotes participation and facilitates growth of Malaysian companies in the global Halal market. | JULY 2014

34 MARKETING • by Prasath KanagarasUSING HUMORIN ADVERTISING?Do you like to laugh? Of course you do! Who The balance between funny and extremely unpleasant doesn't like it? Everybody likes to laugh. It is the ads can often be delicate, and a marketer must be best way to feel better (even though a doctor certain the positive effects outweigh the negativethat prescribes laughter as a cure is likely to be called before an advertisement can be introduced. Besides,a clown...)! the best products to sell using humor tend to be those that consumers have to think the least about. ProductsHave you watched the recent ads by Alagappa’s on that are relatively inexpensive, and often consumable,Astro? They used our local artist Denes, Tamil actor can be represented without providing a lot of facts, andVadivelu look alike together with a kollywood actress, that's where there's room for humor.Poonam Bhajwa. I believe these series of ads turnedout to be a great success. Why? It was a humor-based Drinks, food, alcohol, tobacco and toys/entertainmentadvertisement, which were displayed (I think it’s still related products have proven to benefit the most fromgoing on!) several times on Astro Indian channels. humor in their campaigns. One of the most important things to keep in mind is relevance to the product. AnotherYes, that’s the topic for this time! point to consider when using humor in advertising is that different things are funny to different people. AIf you could recall, many of the most memorable ad commercial that may leave one person gripping theircampaigns around tend to be funny. Advertisers use sides from laughter may leave a bad taste in another'sthis strategy to attract customers to their product. mouth. The target market must always be considered.Audiences like to be entertained, but not pitched. Think What's funny in a client presentation may not be funnyabout “I follow you”, the Digi Campaign. on an airplane, at a country club or in a hospital.WHY ADVERTISE WITH HUMOR? MOVING FORWARD, HOW TO DIGEST THIS?The practical fact is people will pay more attention toa humorous commercial than a factual or serious one, The most important aspect of using humor in youropening themselves up to be influenced. The key to advertising knows your audience. What kinds of jokesfunny advertising is assuring the humor is appropriate would your audience find funny? Is there any type ofto both product and customer. humor they would find offensive? Take all of these questions into account when you inject a little humor| JULY 2014

MARKETING 35into your marketing messages. All of the benefits of DON’T BE AFRAID TO THINK OUTSIDE THEusing humor in your marketing won’t amount to any real BOX!gains if you can’t connect with your intended audience. The key to using humor as a weapon is to understandNext, it should come as no surprise that the humor you your customer so well you know the things that theyinclude shouldn’t come out of left field. It has to relate hate. If you can get them to laugh at the things theyto your business, your products and services, or the dislike, you can get them to like you more. If you dooffer on the direct mailer. The best humor relates to the this, you're one-third of the way there (people buy fromspecific campaign that it’s featured on, but a well-crafted people they know, like and trust).campaign can incorporate humor related to your businessor industry that can span multiple marketing messages, This is where you really need to get creative!and create a compelling story arc for your brand.The most important aspect of using humor in advertising Prasath Kanagarasis staying away from offensive words or humor, and Brand Strategistbeyond that, you should also keep the humor brief. Point Blank Media worksWhen was the last time you laughed at a long, drawn-out joke? Lastly, keep your language positive for the [email protected] impact. | JULY 2014

36 MARKETING As businesses stepping into second half of 2014, it’s time for Small and Medium Enterprises (SMEs) to TURN YOUR analyze effectiveness of their marketing strategies andMARKETING INTO ways to improve it. In Malaysia, SMEs are classified CA$H MACHINE as businesses whose annual turnover less than RM50million per annum for manufacturing sectors while for the services sector it’s capped with revenue not more than RM20million per annum.According to a survey by  BE CLEAR  ALLOCATE PROPER Yodle’s First Annual Small RESOURCES Business Sentiment Survey, Most successful businesses finds42% of SME business owners out what are customers need or want Well, SMEs in Malaysia particularlyare worried about finding new prior developing the right product. the Indian Business usually downcustomers compare to only 21% SME management particularly plays the marketing efforts. Forof them cited competition as their marketing personnel’s must them, day to day operations, lacksomething to be worried. What be very clear on what they are of resources and skills overshadowmakes business owners to have offering to solve their consumer’s the need to proper marketingsuch high concern on finding new problem. In other word a prefect planning. Businesses tend to forgetcustomers, marketing? They often product must provide clear value that the 80/20 rule derived from theget confused between marketing for your customer. There is no point broader Pareto Principle conceptand selling. The Chartered Institute in developing a product or service introduced by Italian economistof Marketing had clearly explained that no one wants to buy, yet many Vilfredo Pareto in 1906 applied inthat marketing is sometimes wrongly businesses decided to offer first a number of business and resourcedefined within the narrow context of and the hope to find a market for it allocation methods, includingadvertising or selling. Marketing is afterwards. marketing. In general, 20 percenta key management discipline that Once, you’re clear on your of marketing messages produceenables the producers of goods customers’ needs and how your 80 percent of your campaignand services to interpret customer products fill in the need gaps the next results. Understanding which ofwants, needs and desires and step is to allocate your resources. your investments produce thematch or exceed them, in delivery to greatest results lets you eliminatetheir target consumers. Traditionally some of the costs associated withmarketing strategies consist of4Ps namely product, price, placeand promotion. An addition 3 Ps –people, process and physical wereadded as marketing became moresophisticated.In this article, we shall refrain fromdiscussing the 7Ps by focusinginto more practical and applicablemarketing strategies for MalaysianIndian SMEs in creating positivecash flow.| JULY 2014

MARKETING 37less productive techniques. This it’s BRAND. Let’s refer back to Group them by market sectorimproves your marketing efficiency Starbucks that delivers consistent such as manufacturers, traders,and returns. As rule of thumb, it is message to their customers. Not wholesales , service provider suchsuggested during the early brand only the logo, the decoration, the as recruitment agents, and so on.building year’s businesses to color tone, but the smell of the coffee Ask yourself other types of relevantallocate up to 20 percent of sales on beans, the choices of food and the questions about these people. Aremarketing. services provided. Being consistent they married? Are they male or in your marketing maintain and female? Do they play golf? Define BE UNIQUE delivery similar message to all your them in as many relevant ways as customers. possible.Look at your business from a differentperspective and start thinking  ESTABLISH YOURSELF  ASK FOR REFERRALSoutside of the box on how to reach AS EXPERTtarget audience and achieve your One of easiest way to target yourmarketing goals. A good promotion Becoming an expert in your field prospect clients with highestis not one-way communication; can be invaluable to your business. possibilities of closing sales isit must paves way for a dialogue You’ll be more likely to receive through asking for referrals fromwith customer. Do ensure your referrals, charge higher fees and your existing customer. When yourmarketing promotion communicate get to that most revered state of customer puts in his words thatthe benefits a customer can obtains being able to pick and choose your means he is putting his reputationfrom your product, not just simple clients. Speaking engagements, and trust build on you. If youexplain its features. publication articles and volunteer don't regularly ask your satisfiedIt can be daunting to try unfamiliar leadership roles can all help label customers for referrals becausemarketing tactics and not really you as an expert in your field. you don't know how or feel awkwardknow what to expect. But, as they doing it then you may need to putsay, without pain there is no gain.  BUILD STRATEGIC higher marketing budget. OneThe Starbucks coffee company and ALLIANCES way of getting referrals is throughits successful marketing strategies joining business networkingare definitely something that anyone Forging a strong strategic alliance session organized by businessinterested in business can learn with another business offers many groups or clubs such as Businessabout. The fact that it started with one benefits, including reducing risk, Network International or Rotarycoffee shop in Seattle, USA it was sharing costs and the opportunity International.able to continuously multiply over for co-branded marketing efforts.the years can be a huge motivation It's best to find a partner who is notfor small businesses anywhere in the a direct competitor and always goworld. One such marketing strategy into the relationship understandingStarbucks focused was on “word- your partner's \"must have\" list. Useof-mouth” advertising and letting a Memo Of Understanding [MOU] tothe high quality of their products clarify roles in your alliances.and services speak for themselves.For years, this has been uniquely  SEGMENTISE YOURStarbucks, and it has played a huge CUSTOMERpart in making Starbucks CoffeeCompany a success. First and foremost before your sales team get into the street, start BE CONSISTENT to list out all the different types of customers that your product orGiving a consistent message to services able to solve their problems.your prospects is vitally important Once done, you can start to portraitbecause no matter what kind of of these customers. Segregatebusinesses you are involving or then by location, social standing forwhat kind of products you are example, high net worth individualsselling, people buying because tends to live in certain postcodes. | JULY 2014

38 QUOTESQuotes by Sun Tzu 600 B.C “Can you imagine what I would “Victorious warriors win first and do if I could do all I can?” then go to war, while defeated warriors go to war first and thenYou are g�eater than you can ever imagine. Whether you accept or deny seek to win.” this t��th will still deter�ine the roads If you are not ready, don’t r�sh it. Time you’ll end up in life. is your friend and time will prepare you for any�hing in life.“If you know the enemy and know “The opportunity to secure yourself you need not fear the ourselves against defeat lies results of a hundred battles.” in our own hands, but the opportunity of defeatingIf you know all that needs to be the enemy is provided by the known, there is no room for fear of enemy himself.” nothing�ess. “Be extremely subtle, even to Be patient and wait for the the point of formlessness. Be oppor��nit� to st�ike when the enemy shows a glimpse of weakness,extremely mysterious, even to the for that is when the tide will t�r� and point of soundlessness. Thereby victor� may be seized. you can be the director of the opponent’s fate.” “You have to believe in yourself.”Sometimes it’s best to do nothing than Aleader is able to believe in his people to reg�et doing something. But if because he lear�ed how to believe inyou’re going to do something, don’t do it himself first. while g�abbing unnecessar� attention. “Invincibility lies in the defence; the possibility of victory in the “He who knows when he can attack.”fight and when he cannot, will be Lear� to be flexible and lear� what to victorious.” do when. There is a time and place for ever��hing.The bigger man will always admit to himself when he can and cannot win a fight. Swallow your pride and live to fight another day.| JULY 2014

“Regard your soldiers as your QUOTES 39 children, and they will follow you into the deepest valleys; look on “It is essential to seek out them as your own beloved sons, enemy agents who have come and they will stand by you even to conduct espionage against you and to bribe them to serve unto death.” you. Give them instructions andOne word, kar�a. They may be your care for them. Thus doubled soldiers but they are still men. agents are recruited and used.” Empower them with your love, and in ret�r� they will t�eat you with an even Rather than eliminating your enemy, g�eater love. you can benefit even g�eater by befriending them and using them “Confront them with annihilation, against your t��e enemies. and they will then survive; plunge “Hence that general is skilful in them into a deadly situation, and they will then live. When people attack whose opponent does notfall into danger, they are then able know what to defend; and he is skilful in defense whose opponent to strive for victory.” does not know what to attack.”If you are in an environment where Conf�se your opponent and you will safet� and comfor� sur�ounds you, that have won over his mind. A war is just may just be the thing holding you back as physical as it is mental. “If fighting is sure to result in from achieving your successes in life. victory, than you must fight, even “The general who wins the battle though the ruler forbid it; if fighting makes many calculations in histemple before the battle is fought. will not result in victory, then you The general who loses makes but must not fight even at the ruler’s few calculations beforehand.” bidding.”St�dy, st�dy, and st�dy some more! Always do your research and know thy Sometimes you have to do what must be enemy as much as you know yourself. done, whether that means disobeying or not. “The good fighters of old first putthemselves beyond the possibility “If we know that our own men are in a condition to attack, but are of defeat, and then waited for unaware that the enemy is not an opportunity of defeating the open to attack, we have gone enemy.” only halfway towards victory.”Break their spirits of ever hoping to Know thy enemy because knowledge is achieve victor� then st�ike back when power. they are vulnerable. | JULY 2014

BoutiquePrivate Banking & Finance Advisory Specialist: R V Ganesh Prakash Mortgage Guru Sdn Bhd

COVER STORY 41 Alex Tamilvanan The Number 1 problem faced Mortgage Guru current client list Asst. Vice President Retail & SME Financing by any entrepreneur is comprises of 3 types of clients. Specializes on SME Business Financing/ access to financing. Let it be First the Income Earners, being an Consultation Indian, Chinese or Malay, every income earner is all the more reason entrepreneur or SME businesses why your need to source or seek the Michael Yong face this problem at some point best financing options available for Asst. Vice President Retail & SME Business during their entrepreneurial career. your loan needs. Any costly mistake Specializes on Asset Lending There should be NO doubt in could lead to what is called as “A anyone’s mind that Malaysian Leaking Bucket” phenomena where Indians are very hardworking, smart small amounts of money going out and have lots of passion to succeed and you will not realize it until a later time. in business. They even stay positive during times of adversity. IF you have any banking The main problem faced by most related issues / problems Malaysian Indian SME businesses is their proper Banking & Finance or if you would like knowledge and know how to obtain to raise finance for your that financing from the banks,“ says business /other matters, the Executive Director and Head of Retail & SME Banking Advisory please feel free Division of Mortgage Guru Sdn Bhd to contact us to have a R.V.Ganesh Prakash. PRIVATE & CONFIDENTIAL Mortgage Guru is a Boutique Private session with our Senior Banking and Finance Advisory firm providing solution and guidance on Private Bankers. matters related to Mortgage & SME Loans for businesses in Malaysia The second type of clients seeking as well as Banking & Finance their assistance is the Small advice relating to financial aspect and Medium Entrepreneurs that of your businesses. Mortgage Guru forms almost 60% of company's services are very much personalized business. “These groups of clients and chooses clients based on their are the future nation builders of seriousness either turning around the Malaysian economy. However, their business fortunes, preparing sadly in my view our Indian business themselves to obtain financing or people find it hard to progress even to prepare them for a rainy further due to inadequate resources. day,” explained the former mortgage We don’t have many Malaysian banker of an International bank in Indians holding positions in banks Malaysia. today and as such lacking people He went on to add “that we source to advice the society on banking the best available package in the related matters. We are not talk only market based on that particular about getting a loan but rather how client’s needs and wants. Sometimes businesses operated as a whole a client wants package A but their and the business marketability to actual need is package B, so we assist them to make that crucial decision based on their current needs and not what they wanted yesterday.” | JULY 2014

42 COVER STORYbankers in raising capital. Every WHAT IS PRIVATE experience in areas of Retailbusinessperson has an accountant BANKING? Banking, Commercial Bankingor auditor to look at their books but and Corporate Banking will bedo they have a Banking & Finance According to Ganesh a Private able to provide the appropriateperson looking at their business Banking service is like having advice to their clients. “We have afrom a banker’s point of view?” your own Personal Relationship strong team, which makes us veryGanesh asked. Assistant to assist and advice on specialized in our services. WeThe third type of clients are the all Banking & Financial needs. In also have our own in house creditHigh Net worth Individuals (30% Malaysia Private Banking services team that able to assess your creditof business), these clients are available for depositors of RM300, worthiness before you even stepthose who need a bigger financing 000 minimum in fixed deposits and into a bank. This is interesting asor a proper system to further grow they only sell you products like clients able to rectify their weaknesstheir investments. Recently in June Unit Trust, Forex and Insurance. and prepare themselves before2014, Mortgage Guru Sdn Bhd They usually don’t advise clients going in for a loan. We also work insuccessfully got approval for RM on current or future banking needs partnership with banks both locally34,000,000 facility in Malaysia for a thus making their services usually and overseas. We currently do someproject financing. The company also irrelevant to most SME clients. corporate banking work with banksassist those clients with International Serving Malaysians regardless of in Australia and Hong Kong. Ourmarkets seeking financing jointly race, Mortgage Guru’s Specialized corporate banking division is underwith their partners in Singapore and Relationship Managers having the care of firm’s other partners whoHong Kong. minimum of 7 years banking only specialize on corporate work.” Ganesh added.  Ganesh with his colleagues at the launching of a Bank Branch| JULY 2014

COVER STORY 43When asked how SME customer for one person to do everything, so the corporate strategy into theirclassified, he responded by saying the easiest thing is to hire someone businesses. Tan Sri T. Ananda“for us any business with annual to assist your business according to Krishnan , Tan Sri Tony Fernandezturnover less than RM50, 000,000 your budgets. It helps to keep your and Tan Sri AK Nathan all used tois categorized as SME, beyond that documentation in order because at work for big corporations beforewill be Corporate Banking clients. the end of the day, banks requires venturing into businesses. BigMost of our SME clients who only paper work and how detailed corporations provide you with aapproach us are classified based you have been in order to grant a wealth of knowledge and the networkon their business age and annual loan. Proper record keeping also of contacts established during yourturnover. If they are less than 3 years guides business owners on where years there certainly makes thein business, their financing eligibility their money had been spend and difference. Mortgage Guru Partnerswill be much lower compared to how much the business actually held various positions including assomeone who has been in business making.” Retail branch banking, Commercialfor more than 5 years.\" Malaysian Indian Business banking heads and CorporateWhen we cross examined and inquired his opinion on why Indian banking heads prior venturing intoasked him “as Indian businessmen professionals are much more this business. However, that doesn’tmostly concentrate their efforts on successful compared to self made necessarily mean all professionalsgenerating cash flow and day to day entrepreneurs. He responded do well in business. Business is aoperations do they really focus in “the major difference between process, when done properly, itkeeping the documents properly?” self made entrepreneurs and works without you.”He replied “A business person has corporate professionals venturingmany roles to play; some really good into business is that they have theat marketing, some at operations and information on how a corporationsome at both. It is indeed impossible works and will usually emulate | JULY 2014

44 COVER STORYPERSONAL MINDSET AND competition there even in school.” as Assistant Manager within 23RELATIONSHIP BUILDING Ganesh described his educational months. Since then the interviewerRECIPE OF SUCCESS background to Malaysian Indian became one of my mentor as I Business. understand his motive then. DespiteBorn into a working class family, his Ganesh went to venture into various many opportunities to move to otherfather a strict disciplinarian who was types of businesses with a group banks, I remain loyal to Citibank asin the insurance industry for over of investors before realizing that opportunities always there to climbtwo decades before venturing into being 21 years old and in business the corporate ladder. Having servedown business and his mother is a is not easy as he still lack the in Sales Management, Operations,housewife. “My father wanted me to experience and not all partners are Customer Management, Risk andbe a doctor but as I was growing up honest people. Therefore, when Credit and when Citibank wasI felt I would make a better lawyer as a job interview for an Executive allowed to open more branches,my subjects related to science was in Mortgage Business with a big I was asked to Head the Cherasnot so good. After completed my Citibank logo appeared in the Star Mortgage Business at Bandar Tunprimary and secondary education in newspaper, he decided to capture Hussein Onn.” Ganesh explainedSingapore I went to work hard at a the opportunity and went for the how banking career comes to himlaw school in London. But, as I as interview. accidentally.just about to graduate my father’s “I got through the first round but Setting up a Banking & Financialbusiness was hit badly during the when came to the final interviewer Advisory firm has always been in1997/1998 Asian financial crisis I knew I did well but he did not hire Ganesh mind from the start. Heand I could not pursue my Bar me? Three months later, I saw the met Alex Lim, Deputy ManagingExaminations or CLP in Malaysia similar advertisement and attended Director of the Great Vision Group ofsince my three other siblings the interview. Again first round Companies one of the 16 registeredwaiting in queue to further their passed but to my dismay I had to financial advisory firms in Malaysia.studies. I could not even attend my face the same person who had They have total investment portfoliograduation in London as the pound rejected me earlier. After an hour of RM600 million. After a few roundssterling was nearly six times higher of “verbal interview abuse” I got the of casual meet up, he was offeredthe ringgit. I was never heartbroken job but he personally told me that he to take over their Asset Lendingbut wondered what to do next. This would kick me out of the 13th Floor Division which was already makingis probably an attitude I picked if did not perform within 6 months. RM100 Million a year in bookedup during my early education in I work hard and proved to the loans. It took them 8 Months toSingapore as it was very fierce interviewer through my elevation convince him to join them. That was a greatest challenge to take up. With a total force of 500 over financial planners/advisors, Ganesh went on to open new branches for Great Vision group in Penang, Kota Kinabalu and Johor Bahru bring the asset lending unit to RM200 Million in booked loans within a year. Subsequently, the 37 years old want to do something different as he wasn’t keen on the mass market. He wants to offer private banking services to clients which former did not cater any, so with the blessings from Board of| JULY 2014

COVER STORY 45Directors, Mortgage Guru Sdn property was worth RM800K and : We personallyBhd was set up with a group of his outstanding was RM200K and believe that you should not start yourcolleagues form various foreign here he was asking someone for business on borrowed money. It isbanks whom he had known for RM100K. not financially stable. As a Boutiquealmost a decade. Banking and Finance Advisory Firm,We started small because we : By any chance does race we focus on clients who are at leastwanted to be very Boutique. Today influence bank’s rating when more than 18 months in business towe can boast of having a total of applying a loan? offer any of our services.26 staffs that able to handle onvarious banking and financial : Today in 2014, : Do you assist clients inadvisory matters. When Malaysian all loans are approved via a scoring obtaining any Government loan,Indian Business interrogated system or via a Risk Scoring like Tekun or SEED Funds?the still single former banker Method. It is based on somethingon how did he find clients? He similar to a point system which takes : Every yearreveals that 90% of our business into account many pointers. In my as part of our Corporate Socialis mostly referrals from existing experience a loan is never denied Responsibility to the Indianclients whom they had known for to anyone qualified due to race. community, we assist 10 peoplemany years. We also have strong Everything is totally based on your with their Tekun applications. Wereferrals from property agents and paperwork and also your company share with them how to rightfullydevelopers. We do not advertise performance. ask for money with the costing andor do cold calling as our service is we ensure that they know what theynot suitable for everyone. : Can you assist someone are asking for. The application is who has a property but his CCRIS done by them directly to Tekun. : Most of Indian record or CTOS is not good?Entrepreneurs’ are afraid : Do you assist clientsto Mortgage their personal : Yes we can. We with the SEED Funds?property for business purpose, will conduct an interview with thehow do we tackle this? person and if we are satisfied that this person is genuine, we will assist. : Business has We have many loans approved thisits responsibility. When someone way. We had an Individual who wasgoes into business it is all about working at a MNC earning RM25,risk. That’s why you got to 000 a month. She had guaranteedprepare yourself mentally before for her husband and now she hadgoing into business. So instead of a CTOS and credit card issue.going around and asking for funds We applied to the banks with theor government loans it is easier condition that the equity in her loanto secure funding using your is only to pay off all her loans. Theasset. I once had a referral from margins are usually lower and youa Minister’s office; this client went may need to bring in a guarantor ifto him to ask for loan for his event your income is not strong.management company. Now, let’sbe fair to our Ministers, where are : Do you assist forthey going to get money from? companies which are newly setMoney problem is a personal up to secure financing?problem. He called me and asI was probing, I asked him if hehad a property, to my surprise, his | JULY 2014

46 COVER STORY : I had once and duration in business. 10% is : Some businesses dofollowed a client to SEED Office at derived based on certain National not last long or a small eventKL Sentral to find out what is actually Independent Surveys on Profitability can destroy everything theynot right there. Many had applied of Businesses as per tax declared built. Is there anything they canand the rejection rate is high. Firstly, by businesses in that particular do to prevent this?I found out that the SEED funding Industry.is actually a guarantee only. The : I learnt thisGovernment guarantees 50% of the : What is your opinion on when I was with Great Visionmoney you want to borrow. So the GST? Group. They call it a FIREWALL.other 50% the bank to take the risk. Every Business Owner needsWhich bank wants to take risk of : GST is a another a Firewall. This is to keep50%? So if you ask for 200K, 100K revenue stream for the government, your business as only a toolis guaranteed by the government Some businesses will benefit to make you money. Then youand 100K is clean money by the while some industries may be hit. need to reinvest this money for abank to the client. Do you think they However as long as the funds are rainy day. Property is one of thedo not check other things before channeled correctly to the people it best Investments. Every millionairegranting you the facility? Secondly, would help ease the lower income or billionaire invest in propertiesI did not see any experienced Indian people’s burden. because it is an appreciatingbankers or Accountants there in the asset. I am not asking you to investteam. It is actually sad that about : If someone is blacklisted in million dollar properties but at8 months ago I met another client in CTOS or a Bankrupt, what can least in a small apartment or flatwho showed a letter of approval for you advice them? will do. Keep it as your investmentRM2Million dated sometime back, in case if you need money sellstill awaiting his money. We actually : I was once referred that property to sustain for a fewstay away from Government related to a Client who has a business years.funds. turnover of RM7million per annum. He was planning to secure funding : What is your next plan : What type of business for an expansion. As I was probing I for Mortgage Guru?loans can you assist with? learnt that the company is under his wife and son who are 25 years old. : We are in : We actually work He explained that he was blacklisted putting up a working paper withwith the client on what their needs because he had guaranteed for a our corporate banking team to setand wants are and then we advise friend’s car loan many years back. up a Mortgage Bank in Malaysia.them on how much they qualify for. This is also the reason why he did A Mortgage Bank is a commonWe can do a FULL credit report for not purchase any property besides thing in overseas where they arebusinesses who want to know where the house he stays in. Surprisingly giving financing to clients basedtheir financial standing regardless of the debt was only RM20, 000. My on your property or asset you own.whether they want a loan or not. question is why could this person Just imagine how many Indian not settle this RM20, 000 and had we can rescue. How big this can : Is there a general rule he invested in small properties in become? But it is still in its infancyhow much a company can the last 10 years, he does not need stage because we need heavyborrow? Why? to borrow money today. If you made capital investment. We have set a a mistake by helping someone, do target date of 2016 to launch this. : A simple your best to settle it off so that you Malaysian Indian Business willcalculation would be 10% of your could leave a better life. be given exclusive rights to coverannual turnover. However it also this.depends on other factors likeyour payment conduct and nature| JULY 2014



48 FACTS & FIGURES US$160BILLION RM4.5BILLION MALAYSIA CHINA INVESTMENT TRADE VOLUME in OVER 15 YEARS TO 2017 IMPLEMENT DIGITAL TERRESTRIALChina and Malaysia signed an agreement to achieve TELEVISIONa targeted trade volume of US$160 billion in 2017.Malaysia has a total trade value of more than US$100 Malaysian Billionaire’s Al-Bukhary group is investingbillion in the past five consecutive years with China. RM 2.0Billion to build up Malaysia’s digital terrestrialThe signing ceremony took place in the West Lobby of TV (DTT) infrastructure and network facilities andthe Great Hall of the People in Beijing, the same place another RM2.5 Billion for it’s operation cost. Thewhere the then Prime Minister Abdul Razak led an investment through it’s member company Puncakice-breaking trip to Beijing to establish diplomatic Semangat Sdn Bhd that was recently awardedrelations in 1974. by Malaysian Communications and Multimedia Commission (MCMC) a 15-year concession to build---------------------------------------------- and lease the DTT infrastructure. 1000MW ------------------------------------------- POWER PLANT TO RM30MILLION BE BUILD BY A CONSORTIUM BiZMula-I FINANCING SCHEME FOREnergy Commission awarded to a consortium to build START-UPS1000MW combined cycle power plant in Pasir Gudang,Johor. Energy Commission said, the award to SIPP A good news for Start-ups that usually viewed asEnergy Sdn Bhd was based on their ability to offer high risk. Credit Guarantee Corporation Malaysia\"competitive rates\" in the recently concluded tender Bhd launched BizMula-i scheme with initial fundingexercises. size of RM30million that potentially benefit some 600 start-ups. The syariah compliant financing between---------------------------------------------- RM50,000.00-RM300,000.00 with repayment period of 7 years is unique as businesses will be directly 11 AGREEMENTS financed by the company. CGC President and Chief Executive Officer Datuk Wan Azhar Wan Ahmad SIGNED AT THE CHINA- said The BizMula-i direct financing scheme from MALAYSIA BUSINESS CGC is applicable to those aged 21 to 58, with a SUMMIT business licence registered in Malaysia under a local authority, and an enterprise that comes under thePrime Minister Datuk Seri Najib Tun Razak and Vice definition of an SME as stipulated by the NationalPremier of China Wang Yang witnessed the signing SME Development Council (NCSC).The companiesof agreements between Khazanah Nasional Bhd and must also be Malaysian-controlled or Malaysian-Beijing Enterprises Group Co Ltd . Meanwhile the other owned with at least 51% shareholding, and licencedagreement signed during the submit includes 1Malaysia or have been in operation for less than 3 years.Development Corporation Bhd and Export-ImportBank of China for the establishment of a joint venturepartnership for the proposed development of projects inMalaysia. Pemaju Jaya Capital Sdn Bhd and HandanCity Government signed framework agreement to opena charter airline business in Malaysia.| JULY 2014