I have received more than 3 call from Mobile Money over the last few weeks from difference Sales Executive from that company to market their company products to my company.
Mobile Money is a company that demerge from Redtone, a company listed on Mesdeq Malaysia. It claim it is a competitor to VISA and Master Card, joint venture with bank to create a platform that pay via mobile phone rather than credit card. As they claim everybody has a mobile phone. They have more advantages over Credit Card.
The company claim Hong Leong Bank has agreed to act as their bank and they are currently recruiting Merchant aggressively and try to sign up my company as one of their merchant. They will start to recruit member via Hong Leong Bank once they have recruit sufficient critical mass of merchant accounts. They claim they are in negotiation with BumiputraCommerce Bank and some other bank like Maybank as well.
I ask any of their product has been launch successfully in other country. They said non. That means Malaysia is the first country in the world to launch this kind of product if they successfully launch this product. They also claim their product has obtain approval from Bank Negara Malaysia.
TechnoratiTag:Asia Business Commentary competitive Computers Economics Economy finance Malaysia Opinion Shares Social Stock Market Tech News Technology World
Tag Computers and internet
Sunday, July 31, 2005
Sunday, July 24, 2005
Towards a Single Asia Currency
Last Thursday, China's Reminbi or Yuan and Malaysian ringgit depeg with US Dollar.
Before that, Oriental Daily reported that China has sent its central bank's official to IMF to study how Singapore's government manage their currency and its foreign reserve basket.
Meanwhile, Chinese version of Asia Week, Yazhou Zhoukan reported that Chinese government might appreciate their currency 5% to peg with Hongkong Currency and to create a single currency with Hong Kong.
Eventually, the news prove that Oriental Daily is correct. China government adopted Singapore method rather than Hong Kong one.
Malaysia government is a follower rather than leading what has happen. Singapore government prove successfully manage it currency during Asia Financial Crisis. With China adopting Singapore method. Malaysia central bank, as a follower has no choice but have to follow as well.
With Brunei currency peg with Singapore for more than 2 decade. And the fact that new leader in both Singapore and Malaysia can work well together. It might be appear that at least 4 countries currency in Asia can peg together eventually. ie: China, Singapore, Brunai and Malaysia.
Prior to Asia Financial Crisis. Malaysia Ringgit is an acceptable currency in Indonesia and Philippine as a large population in both of the above country work in Malaysia and Singapore as a foreign labor and maid. Thus, Ringgit might be popular again in both country, together with Singapore Currency.
If Ringgit Malaysia become an acceptable currency again in Indonesia and Philippine after the de-pegn. We would have six countries in Asia using a single currency.ie China, Singapore, Brunei, Malaysia, Indonesia and Philippine.
If Thailand evetually adopted the Singapore method as well. The whole Asean + 1 will be using a Single currency. As Thai Bath is also an acceptable currency in Indochina country like Cambodia, Vietnam, Laos and Myanmar.
Close proximity between Hong Kong and China resulting both countries currency acceptable by people in one another territory. Thus, we able to add one more country. It is only difficult to predict how the other 3 Asia country currency: Korea, Japan and Taiwan is heading?
The depeg has send KLSE composite index to 5 Years high. Those who jump on the Rooster Year bandwagon at the beginning of the year get burn terribly. However, with the currency depeg. The real Rooster bull is just in the begining. This is an opportunity in 12 years you unable to miss. If you are skeptical because you get burn at the beginning of the year. I can guarantee that you will regret at the end of the year.
TechnoratiTag:Asia Business Commentary competitive Economics Economy finance Malaysia News and politics Opinion Politik Shares Social Stock Market World
Before that, Oriental Daily reported that China has sent its central bank's official to IMF to study how Singapore's government manage their currency and its foreign reserve basket.
Meanwhile, Chinese version of Asia Week, Yazhou Zhoukan reported that Chinese government might appreciate their currency 5% to peg with Hongkong Currency and to create a single currency with Hong Kong.
Eventually, the news prove that Oriental Daily is correct. China government adopted Singapore method rather than Hong Kong one.
Malaysia government is a follower rather than leading what has happen. Singapore government prove successfully manage it currency during Asia Financial Crisis. With China adopting Singapore method. Malaysia central bank, as a follower has no choice but have to follow as well.
With Brunei currency peg with Singapore for more than 2 decade. And the fact that new leader in both Singapore and Malaysia can work well together. It might be appear that at least 4 countries currency in Asia can peg together eventually. ie: China, Singapore, Brunai and Malaysia.
Prior to Asia Financial Crisis. Malaysia Ringgit is an acceptable currency in Indonesia and Philippine as a large population in both of the above country work in Malaysia and Singapore as a foreign labor and maid. Thus, Ringgit might be popular again in both country, together with Singapore Currency.
If Ringgit Malaysia become an acceptable currency again in Indonesia and Philippine after the de-pegn. We would have six countries in Asia using a single currency.ie China, Singapore, Brunei, Malaysia, Indonesia and Philippine.
If Thailand evetually adopted the Singapore method as well. The whole Asean + 1 will be using a Single currency. As Thai Bath is also an acceptable currency in Indochina country like Cambodia, Vietnam, Laos and Myanmar.
Close proximity between Hong Kong and China resulting both countries currency acceptable by people in one another territory. Thus, we able to add one more country. It is only difficult to predict how the other 3 Asia country currency: Korea, Japan and Taiwan is heading?
The depeg has send KLSE composite index to 5 Years high. Those who jump on the Rooster Year bandwagon at the beginning of the year get burn terribly. However, with the currency depeg. The real Rooster bull is just in the begining. This is an opportunity in 12 years you unable to miss. If you are skeptical because you get burn at the beginning of the year. I can guarantee that you will regret at the end of the year.
TechnoratiTag:Asia Business Commentary competitive Economics Economy finance Malaysia News and politics Opinion Politik Shares Social Stock Market World
Saturday, July 16, 2005
Back to home town
Please be informed that I have to go back to Ipoh this weekend. Thus, no post for this weekend. Sorry for the inconvenient cause. Hope you will continue to give your support.
TechnoratiTag:Commentary Opinion
TechnoratiTag:Commentary Opinion
Sunday, July 10, 2005
Automobile industries in new economy
A lot has been write on our automobile industry especially proton recently. However, Malaysia has been transform from production or industrial economy to New economy as it unable to compete with China on production economy.
Traditional production economy or industrial economy cycle start from labour intensive industry like textile industry. Then it move to capital intensive industry like steel industry when accumulated enough capital from labour intensive industry. It subsequently would move to technology intensive industry like automobile industry.
Labour intensive----->Capital Intensive----->Technology Intensive
Textile industry------>Steel industry--------->Automobile industry
All new industrialized economy like Japan, Korea, Hong Kong and Taiwan go through that cycle. India's Tata Group also go through that cycle. However, with US quota on textile industry, Malaysia, Thailand and now China unable to leverage on textile industry.
Steel industry's product is a raw material for all industry product. Every industry's product comprise steel. It is an essential component of industry economy.
Whereas automobile industry is an engine of growth for the whole economy. , General Motor and Ford in US is the largest company in US previously. Like Merces in German and Toyota and Honda in Japan. Japan and German economy flourish due to it automobile industry.
In Malaysia, Supplier of Proton and Perodua used to comprise a large portion of company listed on Seond board of Bursa Malaysia.
However, If you look at Taiwan experience. It's electrical appliance industrial. Like textile industry, is labour intensive and export driven.
Semiconductor industry like steel industry. Semiconductor is like steel in industrial economy. Semiconductor are component in every product now. From electrical appliance, computer, automobile and computer.
Automobile industry or engine of growth in new economy is computer industry. If you look at Taiwan experience, Acer Computer, a renown brand in Taiwan personal computer industry able to have the same economic effect of Proton in Malaysia.
Thus, the Taiwan experience is:
Labour Intensive----->Capital intensive----->Technology intensive
Electrical Appliance----->Semiconductor--->Personal Computer
In Taiwan, it is the personal computer industry that drive the economy rather than automobile industry. Acer rather than Proton that drive the economy.
Do we have a personal computer company that able to create an economy effect like Acer in Taiwan. The potential is Mesdaq listed Ftec Resources Bhd.
Ftec started from a humble beginning like founder of Dell. It is sad to heard that it involve in an InventQjaya like crisis. Some directors of the company it invested in South Korea gone missing together with money its invested.
With every one focus on Proton. I feel we should put our focus on personal computer, laptop and notebook industry.
I feel government department should purchase computer from our only listed brand. Private sector also give it support to create a Malaysian's Acer.
Everybody would benefit if we able to create a Malaysia's Acer. It spillover effect
would benefit everybody in IT industry specifically and whole economy generally.
Why spend time on less competitive automobile industry. Spend your time to draft a National Computer Master Plan, incentive or protection policy on personal computer industry.
TechnoratiTag:Asia book books Business Commentary competitive Computers Economics Economy finance Malaysia Opinion Shares Stock Market Tech News Technology World
Traditional production economy or industrial economy cycle start from labour intensive industry like textile industry. Then it move to capital intensive industry like steel industry when accumulated enough capital from labour intensive industry. It subsequently would move to technology intensive industry like automobile industry.
Labour intensive----->Capital Intensive----->Technology Intensive
Textile industry------>Steel industry--------->Automobile industry
All new industrialized economy like Japan, Korea, Hong Kong and Taiwan go through that cycle. India's Tata Group also go through that cycle. However, with US quota on textile industry, Malaysia, Thailand and now China unable to leverage on textile industry.
Steel industry's product is a raw material for all industry product. Every industry's product comprise steel. It is an essential component of industry economy.
Whereas automobile industry is an engine of growth for the whole economy. , General Motor and Ford in US is the largest company in US previously. Like Merces in German and Toyota and Honda in Japan. Japan and German economy flourish due to it automobile industry.
In Malaysia, Supplier of Proton and Perodua used to comprise a large portion of company listed on Seond board of Bursa Malaysia.
However, If you look at Taiwan experience. It's electrical appliance industrial. Like textile industry, is labour intensive and export driven.
Semiconductor industry like steel industry. Semiconductor is like steel in industrial economy. Semiconductor are component in every product now. From electrical appliance, computer, automobile and computer.
Automobile industry or engine of growth in new economy is computer industry. If you look at Taiwan experience, Acer Computer, a renown brand in Taiwan personal computer industry able to have the same economic effect of Proton in Malaysia.
Thus, the Taiwan experience is:
Labour Intensive----->Capital intensive----->Technology intensive
Electrical Appliance----->Semiconductor--->Personal Computer
In Taiwan, it is the personal computer industry that drive the economy rather than automobile industry. Acer rather than Proton that drive the economy.
Do we have a personal computer company that able to create an economy effect like Acer in Taiwan. The potential is Mesdaq listed Ftec Resources Bhd.
Ftec started from a humble beginning like founder of Dell. It is sad to heard that it involve in an InventQjaya like crisis. Some directors of the company it invested in South Korea gone missing together with money its invested.
With every one focus on Proton. I feel we should put our focus on personal computer, laptop and notebook industry.
I feel government department should purchase computer from our only listed brand. Private sector also give it support to create a Malaysian's Acer.
Everybody would benefit if we able to create a Malaysia's Acer. It spillover effect
would benefit everybody in IT industry specifically and whole economy generally.
Why spend time on less competitive automobile industry. Spend your time to draft a National Computer Master Plan, incentive or protection policy on personal computer industry.
TechnoratiTag:Asia book books Business Commentary competitive Computers Economics Economy finance Malaysia Opinion Shares Stock Market Tech News Technology World
Sunday, July 03, 2005
BenQ,Siemens Vs Proton , Mitsubishi
In South Korea, Samsung mobile phone is competing fiercely against Nokia.
In Taiwan, one mobile phone brand that competing fiercely against Nokia is BenQ, a unit demerge from Acer Computer. However, unlike Samsung, BenQ market shares outside Taiwan is negligible. To enhance its market shares in Europe. BenQ has acquired Simens's mobile phone unit in German 3 weeks ago. BenQ would allow to used SiemensBenQ brand name for 5 years and only change to BenQ after 5 years.
However, BenQ get a good deal from Siemens. Siemens gives it mobile phone unit to BenQ. Siemens has to take over all the debt previously incurred by its mobile phone unit amounted to 500 million Euro. In addition, Siemens have to spend 50million Euro subscribe to new shares issue by the merge unit and provide 250million Euro to the new company for R&D, brand building etc.
In total, Siemens never get a single sen when disposed off its mobile phone unit but have to pay additional 300 million Euro to the new company, other than taken over the 500 million Euro debts!!!
In return, BenQ agreed that it would not retrench any staff or do any pay cut on previous Siemens's staff in German within one year.
Some said this is a bad deal as BenQ has taken over a loss unit but unable to do any cost cutting measure like pay cut or retrenchment. But if you compare this deal with China's company. Like Chinese oil company CNOOC Ltd to acquire Unocal Corp (USD18.6bil), HaierÂ’s offer to buy Maytag Corp for US$1.275bil and Renove aquired IBM personal computer business for US$1.75bil.Taiwaneses company has a better deal comparatively.
Now, back to Proton in Malaysia. Proton need to have a foreign technical partner urgently. It is in negotiation with German's Volkswagen now. However, I feel Volkswagen not that competitive compare to Merces and BMW in it own country. Its most competitive advantage is it has penetrate and dominant China market.
Mitsubishi group desperately want to dispose off it automobile unit like Simens with it mobile handphone unit. Proton acquired Lotus in UK before. Its Gen2 engine develop base on Lotus's technologyy is not well received. It is difficult for Proton to swallow Mitsubishi's automobile unit previously. But if Proton able to negotiate a deal base on BenQ-Simens model. I feel it is good for Proton and Malaysia.
Base on the experience Carlos Ghosn of French's Renault group turnaround Nissan. He stated that Japenese company have to buy its component from its related company under the same group, even at higher price. If we source the component from an outsider, there is a lot of price reduction can be done. Mitsubishi group has much larger internal group of component supplier.
Further Japanese company also has a lot of cross holding. Nissan hold a lot of 5% to 10% shares in other company. Like Mitshubishi also hold Proton's shares at some point of time. By disposing some of its shares in this inter-company holding. Nissan able to raise a lot of cash
Its really sad to see the recent event happen between Proton's CEO and the government. Actually, one weakness of bumiputraa involve in business is there operate a business organizationn like a political party. With a lot of poison pen letter circulting around. Even Proton adviser'ss Dr Mahathir also cannot stand it. Bumiputra have to change their "political animal" attitude if they want to succeed in business.
TechnoratiTag:Asia book books Business Commentary competitive Computers Economics Economy finance Malaysia News and politics Opinion Politik Shares Social Stock Market Tech News Technology World
In Taiwan, one mobile phone brand that competing fiercely against Nokia is BenQ, a unit demerge from Acer Computer. However, unlike Samsung, BenQ market shares outside Taiwan is negligible. To enhance its market shares in Europe. BenQ has acquired Simens's mobile phone unit in German 3 weeks ago. BenQ would allow to used SiemensBenQ brand name for 5 years and only change to BenQ after 5 years.
However, BenQ get a good deal from Siemens. Siemens gives it mobile phone unit to BenQ. Siemens has to take over all the debt previously incurred by its mobile phone unit amounted to 500 million Euro. In addition, Siemens have to spend 50million Euro subscribe to new shares issue by the merge unit and provide 250million Euro to the new company for R&D, brand building etc.
In total, Siemens never get a single sen when disposed off its mobile phone unit but have to pay additional 300 million Euro to the new company, other than taken over the 500 million Euro debts!!!
In return, BenQ agreed that it would not retrench any staff or do any pay cut on previous Siemens's staff in German within one year.
Some said this is a bad deal as BenQ has taken over a loss unit but unable to do any cost cutting measure like pay cut or retrenchment. But if you compare this deal with China's company. Like Chinese oil company CNOOC Ltd to acquire Unocal Corp (USD18.6bil), HaierÂ’s offer to buy Maytag Corp for US$1.275bil and Renove aquired IBM personal computer business for US$1.75bil.Taiwaneses company has a better deal comparatively.
Now, back to Proton in Malaysia. Proton need to have a foreign technical partner urgently. It is in negotiation with German's Volkswagen now. However, I feel Volkswagen not that competitive compare to Merces and BMW in it own country. Its most competitive advantage is it has penetrate and dominant China market.
Mitsubishi group desperately want to dispose off it automobile unit like Simens with it mobile handphone unit. Proton acquired Lotus in UK before. Its Gen2 engine develop base on Lotus's technologyy is not well received. It is difficult for Proton to swallow Mitsubishi's automobile unit previously. But if Proton able to negotiate a deal base on BenQ-Simens model. I feel it is good for Proton and Malaysia.
Base on the experience Carlos Ghosn of French's Renault group turnaround Nissan. He stated that Japenese company have to buy its component from its related company under the same group, even at higher price. If we source the component from an outsider, there is a lot of price reduction can be done. Mitsubishi group has much larger internal group of component supplier.
Further Japanese company also has a lot of cross holding. Nissan hold a lot of 5% to 10% shares in other company. Like Mitshubishi also hold Proton's shares at some point of time. By disposing some of its shares in this inter-company holding. Nissan able to raise a lot of cash
Its really sad to see the recent event happen between Proton's CEO and the government. Actually, one weakness of bumiputraa involve in business is there operate a business organizationn like a political party. With a lot of poison pen letter circulting around. Even Proton adviser'ss Dr Mahathir also cannot stand it. Bumiputra have to change their "political animal" attitude if they want to succeed in business.
TechnoratiTag:Asia book books Business Commentary competitive Computers Economics Economy finance Malaysia News and politics Opinion Politik Shares Social Stock Market Tech News Technology World
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