Enduring in Southeast Asia
Hsu Cheng-te, chairman of the Taipei Investors’ Association in Malaysia (TiAM), notes that many Taiwanese firms move from country to country as production conditions change. In that respect, they are quite different from European and American companies that have long had major factories in Southeast Asia. Leveraging political and economic power in the region since before World War II, these Western companies have long been selling to and manufacturing in Southeast Asian nations, gaining knowledge about the particulars of their domestic markets.
“Taiwan ought to regard Southeast Asia as a permanent economic base overseas, developing a sustainable, visionary Southbound Policy,” says Lee Fang-hsin. He suggests that the government serve the role of a matchmaker, inviting various industry groups to establish comprehensive industry directories and then providing these resources to Taiwanese firms overseas, thereby helping them to quickly find suitable partners.
Datuk James Lau, president of the Malaysian Chamber of Commerce and Industry in Taipei, suggests studying how multinationals use mergers and acquisitions to acquire local talent. “In that manner Taiwanese firms could quickly obtain personnel familiar with Southeast Asian markets.” Furthermore, Taiwanese industrial teams should be organized to participate in large-scale Malaysian projects. Gaining such practical knowledge of a Southeast-Asian nation would help with the entire “Southbound” campaign, which puts an emphasis on relationships and adapting to local conditions.
The Commerce Development Research Institute’s Huang Chao-jen says that Taiwan ought to leverage its national strengths to create brands that allow the people of Southeast Asia to become familiar with Taiwan.
He suggests that Taiwanese firms consider working with Malaysian firms to create brands, with the Taiwanese firms contributing technical expertise and the Malaysian firms providing financing and access to local sales and distribution channels. Following that template, it would be easier to establish mutually beneficial joint ventures.
During a period of regional economic integration and national strategic repositioning, Taiwan ought to do its best to gain deep understanding of the ASEAN nations, establishing strong relationships in Southeast Asia that will underpin a mutually beneficial future.
Malaysian streets feature a variety of ethnic groups. Apart from Malays, Chinese and Indians, there are also guest workers from Bangladesh and Nepal.
The observation deck of the Kuala Lumpur Tower offers views of Malaysian scenery near and far.