1. By
Vignes Gopal Krishna (EHA100016)
Yap Xiao Shan (EHA 100035)
Low Hui Qi (EGA100016)
Tan Yip Siew (EGA090046)
Wu Wei (EGA 100028)

2. Malaysia
a) middle income country, (GDP per capita [US 3000-9000 ]
b) Overall ranking = 26
Innovation = 24
Macroeconomic environment = 41
(Global Competitiveness Report, 2011)
c) Commodities based country – manufacturing based country
d) Backward thinking to forward thinking
Preliminary Remarks

3. Projects Approved by Major
Industries, Jan 2011
Industries Domestic investment Foreign investment Total Proposed Capital Investment
Transport Equipment (8) 2510.1 50.3 2560.4
Electronics & Electrical Products
(13) 562.7 269.1 831.8
Basic Metal Products (6) 445.2 49.1 494.3
Chemical & Chemical Products
(12) 263.8 51.7 315.5
Scientific & Measuring Equipment
(1) - 127.5 127.5
Wood and Wood products (4) 47.4 22.1 69.5
Rubber Products (1) 18.5 24.6 43.1
Source : Malaysian Industrial Development Authority (MIDA) report.

4. 0
2000
4000
6000
8000
10000
12000
14000
16000
2006 2007 2008 2009
Television Tubes
Valves & Tubes Other
Signal Diodes Small& Transistors
Power Devices
Discrete Semiconductors
IC & Other Microcircuits
Production of Active electronics components in India
Source: World report on electronics industry

5. 0
10000
20000
30000
40000
50000
60000
70000
2006 2007 2008 2009
Australia
Brazil
Canada
Hong Kong
India
Indonesia
Israel
Japan
Malaysia
Philippines
Singapore
South Africa
South Korea
Taiwan
Thailand
USA
Production of active electronics components in selected countries
Source: World report on electronics industry

6. PANASONIC
MALAYSIA
MATSUSHITA
SALES &
SERVICE (1976)
SALES &
DISTRIBUTION OF
ELECTRONICS AND
ELECTRICAL
EQUIPMENTS
140
PANASHOPS
AND 750
AUTHORISED
DEALERSHIP

7. SAMSUNG MALAYSIA
Source:http://www.samsung.com/my/aboutsamsung/corporateprofile/ourperformance/samsungprofile.html

8. Classifications Panasonic Malaysia Samsung Malaysia
Similar Products & Prices Plasma TV Plasma TV
a) VIERA TH PSO V20K
(RM 3699)
a) Samsung 50” Plasma 3D TV (RM 5399)
b) Panasonic 42’ Plasma
TV(RM 2411)
b) LG 50” HD Plasma TV-50 PS 60 FR
(RM 6,999)
Digital Camera Digital Camera
LUMIX DMC-GHI (RM
6999)
LUMIX-DMC-FH20 (RM
849)
NX11 Camera (RM 899)
NV 4 Camera (RM 1099)
Air conditioner Air conditioner
Panasonic Air conditioner
CS-PC18GKH (RM 2120
Samsung Air Conditioner (RM 950)
Laptop Laptop
Panasonic Toughbook CF-29
Heavy Duty Laptop
Centrino (RM 2300)
Samsung N230 Netbook
(RM 1499)

9. Classifications Panasonic Malaysia Samsung Malaysia
Strategies of the firms Promotion Promotion
Extended Warranty Service repairs
* Rebate for stolen or damaged
products
Products consultation
* Supported by Highly professional
staff.
Fotokem Promotion
(Free Gift Voucher + Discount Price)
* Free labor fee (repairing service).
Promotion sales (price discount)
Carnival – to attract the consumers.
Maybank Easy Payment Scheme

10. Market structure
• Mixture of perfect competition ,monopolistic and
monopoly
• ( product variations, profits, and large number of
firms)

11. Analytical Framework
Evolutionary
Economics
Meso-Trajectory
Phases of
Innovation
Origination
Diffusion
RetentionCreative
Destruction
Backward
Thinking
Forward
Thinking
Source: Nelson(2008) and Dopfer et al.(2004)

12. References
 Brue, S.L. & Grant, R.R. (2007). The History of Economic Thought(7th edition). United
States: Thompson South Western.
 Desai, P.N. (2009). Globalization of Innovations: Changing nature of India’s Science and
Technology Cooperation Policy. International Journal of Institutions and Economies, 1(1),
53-78
 Dopfer, K., Foster, J. & Potts, J. (2004). Micro-meso-macro. Journal of Evolutionary
Economics, 14, 263-279.
 Mishkin. F.S. & Eakins, S.G. (2009). Financial Markets and Institutions(6th edition).
United States: Pearson Prentice Hall.
 Nelson, R.R. (2008). Economic Development from the Perspective of Evolutionary
Economic Theory. Qxford Development Studies, 36(1), 9-21.
 Radosevic, S. (2009). Policies for Promoting Technological Catch Up: Towards a Post-
Washington Approach. International Journal of Institutions and Economies, 1(1), 23-52.
 Rasiah, R. (2009). Foreign Ownership and Technological Intensities in Ugandan
Manufacturing. International Journal of Institutions and Economies, 1(1), 79-105
 Schumpeter, J.A. (1934). Theory of Economic Development: An Inquiry into Profits,
Capital, Credit, Interest, and the Business Cycle. Cambridge: Harvard University Press.
