By Syed Akbar Ali
Folks I have written a book called 'Malaysia & The Club of Doom - The Collapse of the Islamic Countries'. I have sought to explain why the Islamic countries are failing and why they will continue to fail - endlessly.
Well today a friend who runs the Blog Just Read has written about a power tussle at the Naza Group.
Looks like all is not right in AP land.
4 comments:
Dear Syed,
Family feuds in business empires are nothing new. Just 2 years ago the Ambani brothers from the Reliance Group did create a major stir in India. Somehow they settled it by dividing their interest in the Group.
I am sure if such a feud does exists, the 3 brothers would know how to settle it. I am sure they all would be keen to preserve the business empire that was built by their father. A man who is the epitomy of " a rags to riches" story.
Are we making a mountain out of an ant hill? I am sure the father's wishes would be fulfilled.
//'Malaysia & The Club of Doom - The Collapse of the Islamic Countries'//
buku tuan syed jual kat mana??any popular book store??
kafir
Sdra Kafir,
What a name you have taken for your self. Kuffr means 'to reject'.
Who knows you may be a person who actually submits to the correct way of doing things. And submitter is also the English meaning of the Arabic word 'muslim'.
My 2nd book 'Malaysia & The Club of Doom - The Collapse of the Islamic Countries' can be found at MPH, Times, Popular and most major bookshops.
My 1st book 'To Digress A Little' which has a strong critique of the NEP is also found in the bookshops.
My 3rd book 'Things In Common' which makes suggestions about the NEP is found in MPH and Popular in KL and some other bookshops. Thanks for your comments.
Mr Chandran,
Lets hope so.
The father built the Ambani petrochemical empire in India under the Reliance Petrochemicals brand after he secured 'permits' (APs?) to build factories in India - a closed and captive market at that time. So Reliance made excess profits very quickly.
But the real expertise and wealth came after India opened up and the sons Mukesh and Anil? competed on a global scale. Now after the founder's death, Reliance has even ventured to take over Hualon Corporation - a huge Taiwanese polyester thread manufacturer based in Melaka and Nilai.
The Naza Group is somewhat different. Under Tan Sri Nasimuddin they made major successes in manufacturing / assembly / distributorship of Kia cars and other brands, now rebadged as Naza. They have even rebadged the Peugeot 206.
All this was under the AP regime and strong protective tariffs.
It is indeed well known that a large chunk of Naza revenues come from APs as well as APs for Ferraris, Lamborghinis etc. Their showrooms in Kampong Baru and PJ attest to this.
This was a source of easy revenue for Naza, removed to some extent from the open market competition faced by the Ambanis.
Unforeseen changes in the business or political regime could severely affect Naza's revenues, which I believe has happened (or is happening now).
For example Naza could 'AP' their imported cars but only pay the import duties AFTER the car was sold. This was a great advantage. I dont know if this advantage is still available to them.
I believe when Tan Sri Muhyuddin Yassin was the MITI Minister, he had already opened up the award of APs. Perhaps this trend will continue with Tok Pa the MITI Minister under the new PM Najib.
Somehow I feel that this 'liberalisation' of sorts (less protection) is already showing its effect on Naza. It is rather unfortunate that Tan Sri Nasimuddin passed away at this point in history.
Rarely do feuds arise at a time of plenty. Business feuds are also symptoms of financial stress. And they are quite normal in family run companies. I recall the big fight at Tan Chong Motors.
But the company will survive when there is good business acumen, tempered by experience in a more competitive environment.
In the 90s, former General Motors CEO and mechanical genius Robert DeLorean started the DeLorean Motor Company and built a wonderful car called the DeLorean which was appreciated mostly by a niche market.
Yet his financial requirements needed a 'mass production' type of environment. It was a serious mismatch. DeLorean is now history.
Naza does not have technology. It used to enjoy the APs and other protection.
Regards. SAA.
To Digress a Little is a gem. Every Malaysian should read this book. Very frank and open. Very well written and very 'in your face'. No holds barred. As for Club of Doom, a bit disorganisedlah, probably written in a hurry. Not so smooth reading but ok jugaklah.
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