Wawasan Open University (WOU) 4th RESIDENTIAL SCHOOL AND PROJECT WORKSHOP KL, May 2011 • Trends on Women & Entrepreneurship (Global and Malaysia) • Why Women Rule • Malaysian Government Support for Women and Entrepreneurship • Barriers and Challenges to Entrepreneurship • Understanding Your Business • Where Do I start? • Access To Funding and Capital in Malaysia • Networking, Assistance and Support in Malaysia

1. WOMEN &
ENTREPRENEURSHIP IN
MALAYSIA
STRATEGIES AND ACTION PLANS
Kenny Ong
CNI Holdings Berhad

2. Intro: CNI
1. 22 years old
2. Core Business: MLM
3. Others: Contract Manufacturing, F&B Retail,
Export/Trading, eCommerce, Shared Services
4. Malaysia, Singapore, Brunei, Indonesia, India,
China, Hong Kong, Philippines, Italy, Taiwan,
Oman, United States, Vietnam
5. Staff force: ± 500 (Malaysia)
6. Distributors: 150,000 (Malaysia)
7. Products: Consumer Goods and Services

3. The Business World Today…

4. The World Today…
13th April 2009
•Two Domino’s employees
•YouTube
•Apology from Domino’s after
48 hours
•1 million hits
•Twitter: questions on silence
•LinkedIn: suggestions by users
in forum
BusinessWeek, May 4, 2009

5. Guess Who?

7. Intro
Trends &
Statistics
Barriers
Government
and Intro Initiatives
Challenges
10th Malaysia
Plan

8. Trends: Women (Global)
• One billion people living on less than US$1 a
day, an estimated 70 per cent of whom are
girls and women.
• Globally, the participation rate of women in
economic activities is 52.5 per cent,
• Income earned by women is less than that of
men’s, with the ratio ranging from 0.83:1 in
Kenya to as low as 0.19:1 in Oman
Source: “Malaysia - Nurturing Women Entrepreneurs”, United Nations
Development Programme (UNDP), Malaysia, May 2008.

9. Trends: Women (Global)
Low Literacy: Why women have been prevented from
participating fully in the economy
Source: “Malaysia - Nurturing Women Entrepreneurs”, United Nations
Development Programme (UNDP), Malaysia, May 2008.

10. Trends: Women (Malaysia)
The level of gender inequality in Malaysia declined sharply
over the period 1980-2004
Source: “Malaysia - Nurturing Women Entrepreneurs”, United Nations
Development Programme (UNDP), Malaysia, May 2008.

11. Trends: Women
(Malaysia)
• Since 1990: rapid increase in the share of female
employment in the wholesale and retail trade, hotels,
and restaurants sector and the financial services sector
• Ratio of estimated female to male earned income is a
mere 0.36.
• Sizable portion of women to stop working after their
first child has been a continuing feature of Malaysia’s
labour market.
• A big challenge for Malaysia is to increase the
proportion of Malaysian women in higher professional
positions
Source: “Malaysia - Nurturing Women Entrepreneurs”, United Nations
Development Programme (UNDP), Malaysia, May 2008.

12. Trends: Women (Malaysia)
Women in Malaysia have high education attainment, however
labour force participation is still low

13. Trends: Women (Malaysia)
Distribution of Malaysian Women Entrepreneurs by Ethnicity,
Stratum, and Age Group
Source: Malaysian Labour Force Report (Department of Statistics, 2004)

14. Trends: Women
(Conclusion & Summary)
1. Women entrepreneurship has been
recognised as an important untapped source
of economic growth
2. Women entrepreneurship is the best and
fastest way forward to bridge gap in gender
inequality

15. Why Women Rule

16. Men vs. Women: Getting
Dressed

17. Decision Chain
Influencer Why Women Rule
Buyer
User

18. Men vs. Women

19. Government Initiatives
• Gender as a development focus was first
mentioned in the Third Malaysia Plan (1976–
1980)
• 2001: formation of the Ministry of Women,
Family and Community Development (MWFCD)
• 2004, the Cabinet Committee on Gender Equality
• The Ninth Malaysia Plan (2006–2010): gender
equality and women’s empowerment, new
policies and strategies to deepen the
mainstreaming of women in development
Source: “Malaysia - Nurturing Women Entrepreneurs”, United Nations
Development Programme (UNDP), Malaysia, May 2008.

20. Government Initiatives
[10th Malaysia Plan]
12 National Key Economic Areas
- Oil and gas
- Palm oil and related-products
- Financial services
- Wholesale and retail
- Tourism
- Information and communications Opportunities for
technology Entrepreneurship
- Education
- Electrical and electronic
- Business services
- Private healthcare
- Agriculture
- Greater Kuala Lumpur
Source: “TENTH MALAYSIA PLAN 2011-2015”, THE ECONOMIC PLANNING UNIT
PRIME MINISTER’S DEPARTMENT PUTRAJAYA 2010

21. KNOWING YOUR BUSINESS

22. Barriers and Challenges
Understanding
Business
Barriers
Networking Access to
& Support Capital

23. End
“Having money but no solid
business idea is like having
motivation with no direction”

24. Business Model
Why it’s the most important thing
you have to know

26. The McPlaybook*
Make it easy to eat Make it easy to prepare
• 50% drive-thru • High Turnover
• Meals held in one hand • Tasks simple to learn &
repeat
Make it quick Make what customers want
• “Fast Food” • Prowls market for new
• Tests new products products
for Cooking Times • Monitored field tests
*Adapted from: Businessweek , Februrary 5th 2007

27. What is the Business
Model?
•Google
•Tata Nano USP
Market
Profit Model
Discipline

28. What is the Business
Model?
USP
Market
Profit Model
Discipline

29. What is the Business
Model?
USP
Market
Profit Model
Discipline

30. Business Model: Profit
Model
Revenue
Assets Cost
Cash
Margin
Flow

31. Market Discipline
Product "They are the most innovative" •LV
Leadership "Constantly renewing and creative"
"Always on the leading edge"
Customer
•Air Asia Operational
•Ramly Intimacy
Excellence "Exactly what I need"
"A great deal!"
Customized products
Excellent/attractive price
Personalized communications
Minimal acquisition cost and "They're very responsive"
hassle
Preferential service and
Lowest overall cost of flexibility
ownership Recommends what I need
"A no-hassles firm" "I'm very loyal to them"
Convenience and speed Helps us to be a success
Reliable product and
service

32. Market Disciplines
Product Leadership
(best product)
Operational Excellence Customer Intimacy
(low cost producer) (best total solution)

33. Market Disciplines
Product Leadership
(best product)
Operational Excellence Customer Intimacy
(low cost producer) (best total solution)
Ref: The Discipline of Market Leaders, Michael Treacy & Fred Wiersema; 1995

34. Market Disciplines
Product Leadership
(best product)
Operational Excellence Customer Intimacy
(low cost producer) (best total solution)
Ref: The Discipline of Market Leaders, Michael Treacy & Fred Wiersema; 1995

35. Market Discipline: Disciplines,
Priorities, and KPIs
Operational Product Leadership Customer Intimacy
Excellence
• New, state of the art • Management by
• Competitive price products or services Fact
• Error free, reliable • Risk takers • Easy to do
business with
• Fast (on demand) • Meet volatile
customer needs • Have it your way
• Simple
(customization)
• Fast concept-to-
• Responsive
counter • Market segments
• Consistent of one
• Never satisfied -
information for all
obsolete own and • Proactive, flexible
• Transactional competitors' products
• Relationship and
• 'Once and Done' • Learning organization consultative
selling
• Cross selling

36. Alignment & Consistency
Product Leadership
(best product)
Operational Excellence Customer Intimacy
(low cost producer) (best total solution)
Ref: The Discipline of Market Leaders, Michael Treacy & Fred Wiersema; 1995

37. Alignment & Consistency
Apple powerful Product Leadership
products, premium (best product)
pricing, limited range
Still Doing
well in HP well-balanced
Acer super lean
2009-2011 portfolio, mass
cost structure,
aggressive pricing customization
Operational Excellence Customer Intimacy
(low cost producer) (best total solution)
Ref: The Discipline of Market Leaders, Michael Treacy & Fred Wiersema; 1995

38. The Business Model
USP
Market
Profit Model
Discipline

39. Conclusion
WHERE DO I GO FROM HERE?

40. “Hope is not a strategy.”
John Maxwell

41. How Do I Start?
1. Determine your objectives and reasons
‘why?’
2. What sort of business is suitable for me?
3. Where can I get financing?
4. Join business networking groups
5. Ask for advice from successful entrepreneurs
that you know

42. Why Entrepreneurship?
• Second income (side income)
• Dual income family
• Become rich
• Take care of parents/children/spouse
• Freedom from job/boss (current job)
• Savings for Retirement
• Unemployment
Self Employed ≠ Business

43. Sources of Extra or More
Income
• Lottery
• Investment (Passive)
• Change Job/Career
• Part Time Job
• Stock Market/Trading
• Insurance/Unit Trust
• Self Employed
• Business

44. Employment vs.
Entrepreneurship
Employment Entrepreneurship
• Stable income • Unstable income
• Low Risk • High risk
• Fixed/Limited income • Unlimited income
• Fixed hours • Flexible hours
• No control • Full control

45. Popular Business
Opportunities for Women
Business Types Remarks
Home-based Business Microenterprises
Direct Selling
Crafts
Financial Insurance
Unit Trust
Real Estate
Franchise F&B
Education/Child care
Services F&B
Education
Beauty
Trading Clothes
Beauty
Other Products

46. Post Recession Trends
and Implications
Industry Convergence/
Extinction
Social Networking
What do these
Increased Regulations mean to us?
Green & CSR
Non-Profit/NGO
increase

47. Global Trends
Back-sourcing Power re-balancing
Bottom-up Mergers, Acquisitions &
Innovation/Disruptions Divestment
Mobile Devices Lower Middle Class rule
Nationalism and Extreme Emerging
Protectionism Countries
Currency Wars BRIC and PIIGS

48. Retail Trends?
Cutting back In-store Ads
Let consumers help RFID technology
themselves
Smaller stores Niche private labels
Ready-made products Eco-friendly stores
Ethnic stores In-store restaurants

49. Where do Malaysians
get money for Business?
• Savings
• Sell stuff (e.g. Lelong.com)
• FAMA
• Relatives
• Joint Venture
• Direct Selling
• Government
• Banks
• Tai Yee Loong (not recommended)

50. Networking & Assistance
Special Assistance Schemes for Women Entrepreneurs
Executed by SMIDEC (August 1999–August 2007)

51. Micro Finance and SME
Financing
Definition of SMEs
• Micro business - sales <250K,less < 5
• Small enterprise - sales <10m, less < 50
• Medium enterprise - sales <25m, less < 150
Micro Finance = Loans of up to RM50, 000 ; No Collateral

52. Networking & Assistance
Microcredit Schemes in Malaysia

53. Networking & Assistance
Profile of
Microcredit
Institutions
in Malaysia

54. Networking & Assistance
Microfinance Graduation Programme – Mechanism for Adequate
and Relevant Access to Financing in Malaysia

55. Support & Networking
• National Association of Women Entrepreneurs of
Malaysia (NAWEM)
• Federation of Women Entrepreneur Associations
Malaysia
• PUMM - Malaysia Entrepreneurs' Development
Association (Persatuan Usahawan Maju Malaysia)

56. Support
• Malaysia Business Startup Community
http://malaysia-bsc.ning.com

57. Government Support
• MITI
• MIDA – Malaysia Industrial Development Authority
• MATRADE - Malaysia External Trade Development
Corporation
– Matching grant for market development
• MPC - Malaysia Productivity Corporation
• SME Corporation (formerly SMIDEC)
– Advisory, financial, infrastructure, support & services
– Central point of reference for info and advisory services
• MIDF – Malaysia Industrial Development Bhd
• SME Bank

58. Competencies required:
Women Entrepreneurship
Technical Soft Skills Market
• finance • Motivation • Market research
• planning • Negotiation • Funding &
• marketing • Selling financing options
• distribution • Grooming • Business
• branding • People skills networks
• packaging and • Time
labeling Management
• Contract & legal • Life balance

59. Encouragement for
Entrepreneurs
"The digital watch didn't come from
established watch companies, the calculator
didn't come from slide rule or adding
machine companies, video games didn't come
from board-game manufacturers Parker Bros
or Mattel, the ballpoint pen didn't come from
fountain pen manufacturers, and Google
didn't come from the Yellow Pages"
Bob Seidensticker, Futurehype

60. End
“Do something you love so much
that you are willing to do it for free.
Then, do it so well that others are
willing to pay you for it.”
Unknown

61. Thank You.
soft copy of slides:
http://totallyunrelatedrandomanddebatable.blog
spot.com/