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Last Update: 2014-05-19
Last Update: 2014-10-14
The Motive for the Investment
The motive for a foreign investment is crucial in determining how linkages and
externalities develop. There are four main motives for investment: 1) seek natural
resources; 2) seek new markets; 3) restructure existing foreign production; and
4) seek new strategic assets [Narula and Dunning, 2000]. These can be placed into
two categories. The first category includes the first three motives: asset-exploiting,
to generate economic rent by using existing firm-specific assets. The second
category is the fourth motive: asset-augmenting, to acquire new assets that protect
or enhance existing assets. In general, developing countries are unlikely to attract
the second category of FDI; they primarily attract the first category.
The relative importance of each motive partly reflects the stage of economic
development [Narula and Dunning, 2000; Narula, 1996, 2004]. Least developed
countries would tend to have mainly resource-seeking FDI and countries at the
catching-up stage mostly market-seeking FDI. Efficiency-seeking investments,
with the most stringent capability needs, will tend to focus on the more
industrialised developing economies (though three or four decades ago they went
to countries with relatively low capabilities, e.g. the electronics industry in
Southeast Asia in the 1970s).
Not all affiliates offer the same spillovers to host economies. A sales office,
for instance, may have a high turnover and employ many people, but its
technological spillovers will be limited relative to a manufacturing facility.
Likewise, resource-seeking activities like mining tend to be capital intensive and
provide fewer spillovers compared to market-seeking manufacturing FDI. During
import substitution, most MNEs set up miniature replicas of their facilities at
home, though many functions were not reproduced (they were ‘truncated’). The
extent of truncation, however, varied by host country. The most important
determinants of truncation – and thus the scope of activities and competence of
the subsidiary – were market size and local industrial capabilities [Dunning and
Narula, 2004]. Countries with small markets and weak local industries had the
most truncated subsidiaries, often only single-activity subsidiaries (sales and
marketing or natural resource extraction). Larger countries with domestic
technological capacity (such as Brazil and India) had the least truncated
subsidiaries, often with research and development departments.
With liberalisation, MNE strategies on affiliate competence and scope have
changed in four ways [Dunning and Narula, 2004]. First, there has been
investment in new affiliates. Second, there has been sequential investment in
upgrading existing subsidiaries. Third, there has been some downgrading of
subsidiaries, whereby MNEs have divested in response to location advantages
elsewhere or reduced the level of competence and scope of subsidiaries.
DO WE NEED A NEW AGENDA? 451
Fourth, there has been some redistribution of ownership as the result of
privatisation or acquisitions of local private firms. In many, but certainly not
all, cases this also led to a downgrading of activities.
MNEs are taking advantage of liberalisation to concentrate production
capacity in a few locations, exploiting scale and agglomeration economies,
favourable location and strong capabilities. Some miniature replicas have been
downgraded to sales and marketing affiliates, with fewer opportunities for
spillovers. Countries that receive FDI with the highest potential for capability
development are, ironically, those with strong domestic absorptive capacities.
The article by Lorentzen and Barnes on South Africa shows that domestic
capacity – in the form of infrastructure or an efficient domestic industrial sector
– is a primary determinant of high competence affiliates. They base their analysis
on eight case studies in the South African automotive sector, and show that
indigenous firms can compete with MNEs, and – given the appropriate domestic
capabilities and infrastructure – can maintain and improve their competitive
advantages through indigenous innovation.
Like South Africa, other countries have succeeded in attracting such FDI,
notably Mexico and the Caribbean Basin [ECLAC, 2000, 2001; Mortimore,
2000]. In addition to providing a threshold level of domestic capabilities and
infrastructure, these countries have invested in developing their knowledge
base (although to a lesser extent in the case of Mexico). Mortimore 
argues that much of this FDI has created export platforms for MNEs with
limited benefits for the host countries [ECLAC, 2001]. This is a point
reiterated by Mytelka and Barclay here in the case of Trinidad, where FDI has
not been leveraged to develop the skills and capabilities of local downstream
and supporting firms. The state has largely failed to act as a facilitator to
stimulate and support domestic absorptive capacities and linkages with MNE
FDI transfers technology to local firms in four ways: backward linkages, labour
turnover, horizontal linkages and international technology spillovers. Studies of
backward linkages have identified various determinants, including those internal
to MNEs and those associated with host economies. The ability of the host
economy to benefit from MNE linkages has been found to depend crucially on the
relative technological capabilities of recipient and transmitter: the greater the
distance between them, the lower the intensity of linkages.
Again, MNE motives and strategies matter. Domestic market oriented
affiliates generally purchase more locally than export-oriented firms because of
lower quality requirements and technical specifications [Reuber et al., 1973;
Altenburg, 2000]. MNE affiliates are more likely to be integrated with host
countries where they source relatively simple inputs [Ganiatsos, 2000; Carillo,
Last Update: 2014-10-10
Last Update: 2014-10-01
Last Update: 2014-10-01
Last Update: 2014-09-22
Delta Welding Malaysia Sdn Bhd is a company with 18 yrs experience in the welding line since 1997. Our company offers a wide range of products such as Welding machinaries from Mig, Tig, Plasma, Arc, Gouging, Submerged arc, Spot welder right up to Robotics.
We also supply all products related to welding like all consumables, safety, industrial gases, abrasive, chemicals, and many more. We are a dedicated reputable company carrying our theme " Welding Supplies At Its Best" we strive to provide only the best for our customers.
Allow us welding specialists to support your welding needs. Please visit our show room to view more products in detail. Our company address is No 17. Lorong Sg Rasau 27A Off Jalan Batu Tiga, 41300 Klang, Selangor Darul Ehsan, Malaysia. We are located near Muhibbah Engineering Klang, Puspakom Padang Jawa , JPJ or Jusco Bukit Raja Klang.
Last Update: 2014-08-31
the unveiling of the name Sime
Darby Berhad as the name of the
new merged entity comprising Golden
Hope Plantations Berhad, Kumpulan
Guthrie Berhad and Sime Darby Berhad,
on November 28, 2007 marked the birth
of a multinational with a focused set
of winning businesses, either a global,
regional or local champion in key growth
sectors namely plantation, property,
energy and utilities, industrial and
motors.Effectively, Sime Darby becomes
Malaysia’s largest listed plantation
company and largest property developer
but most of all, the world’s number one
listed palm oil originator.
The combination of the plantation business
of the three companies has made the new
Sime Darby, owner of a total of 208 oil
palm estates and 65 mills in Peninsular
Malaysia, Sabah and Sarawak in Malaysia
and Kalimantan, Sumatera and Sulawesi
Currently Sime Darby’s Plantation & Agribusiness
Division oversees a plantation
area of 329,470 hectares in Malaysia
and 195,156 hectares in Indonesia with
the potential of producing eight per cent
of the world’s total palm oil output that
translates into RM8.8 billion revenue to
the company.The plantation downstream activities
of the Group include edible oil refi ning,
production of oils and fats products,
oleochemical and biodiesel. The activities
take Sime Darby’s operations to 15
countries including Malaysia, Singapore,
Thailand, Vietnam, Japan, China,
Germany, United Kingdom, Bangladesh,
South Africa, United Arab Emirates, the
Netherlands, Canada, the United States he decision to name the merged
entity Sime Darby Berhad was based
on recommendations by Synergy Drive’s
branding consultants who conducted an
in depth study into the brand positioning
for all the companies involved in the
Sime Darby Berhad was chosen as the
name of the new merged entity mostly
due to the brand equity it already
possessed as compared to the other two
merged companies. While Guthrie and
Golden Hope were well established in the
plantation and property sectors, Sime
Darby was a well established brand in
fi ve business areas namely plantation,
property, energy & utilities, motors and
Taking the existing brand equity into
account, the option for the name of the new
company was actually a choice between
a totally new name or Sime Darby. The
adoption of a new name would also cause
valuable equity associated with the Sime
Darby brand to be lost.
Besides that, the name Sime Darby also
had the credibility to position the new
merged entity as one of the leading
global drivers of sustainability from
all angles – economically, socially and
In addition, Sime Darby brand was
already known for its commitment to
social and environmental care. Therefore
the positioning represents continuity with
a new emphasis in this. It was also held
that maintaining a well established brand
like Sime Darby would enable the existing
equity to be built on further.
Last Update: 2014-08-29
Last Update: 2014-07-07
Last Update: 2014-06-10
Silterra is a project of strategic national interest to promote front-end semiconductor manufacturing and a catalyst for high technology investments in Malaysia. It was founded in November 1995 as Wafer Technology Malaysia Sdn Bhd and was renamed as Silterra Malaysia Sdn Bhd in December 1999.
Silterra broke ground on first manufacturing facility in Kulim, Malaysia in June 1999 and produced working silicon in November 2000. Since its inception, Silterra has served many top-tier global fabless design and product companies covering the consumer electronics, communications & computing, and mobile device market segments.
Silterra offers CMOS design and a broad range of fabrication processes for Integrated Chips (IC) in Advanced Logic, Mixed Signal & Radio Frequency and High Voltage applications.
The CMOS High Voltage Technology being used in the design and fabrication of Display Driver IC’s (DDI), is widely used in the mobile devices market segment. This includes display drivers for mobile phones, GPS equipment, MP3/4 Personal Media Players (PMP), Digital Cameras and other similar applications.
Silterra provides complete design solutions for customers to create leading-edge products, optimized for its high-yielding manufacturing processes, through strategic partnerships with industry-leading Intellectual Property (IP) design library providers, Design Services and Electronic Design Automation (EDA) suppliers. Silterra also offers comprehensive in-house Failure Analysis (FA) services to high-tech companies and universities, performing detailed construction and failure analysis of nano-scale structures.
Last Update: 2014-05-02
Last Update: 2014-04-30
Found in applications as diverse as industrial fan, blowers and pumps, machine tools, household appliances, power tools, and disk drives, electric motors can be powered by direct current (DC) sources, such as from batteries, motor vehicles or rectifiers, or by alternating current (AC) sources, such as from the power grid, inverters or generators. Small motors may be found in electric watches.
Yang terdapat dalam aplikasi yang pelbagai seperti kipas industri, blower dan pam, peralatan mesin, perkakas rumah, alat kuasa, dan pemacu cakera, motor elektrik boleh digerakkan oleh sumber arus terus (DC), seperti dari bateri, kenderaan motor atau penerus, atau oleh sumber arus ulang alik(AC) seperti dari grid kuasa, penyongsang atau penjana. Motor kecil boleh didapati dalam jam tangan elektrik.
Last Update: 2014-04-21
Last Update: 2014-04-03
PETRONAS was incorporated on 17 August 1974 as the national oil company of Malaysia, vested with
the entire ownership and control of the petroleum resources in the country. It has since grown from merely being the manager and regulator of Malaysia’s upstream sector into a fully integrated oil and gas corporation, ranked among the FORTUNE Global 500® largest corporations in the world.
Over the years, we have gained unique experience and expertise in nation building and this, coupled with our technical and operational competencies have allowed PETRONAS to be increasingly accepted as the preferred strategic partner by international companies and the host countries where we operate. This augurs well for the realisation of our vision to become a “Leading Oil and Gas Multinational of Choice".
Much of PETRONAS’ success can be attributed to our ability to strike a balance between being a state-owned entity and a full-fledged commercial organisation. As a state-owned entity, PETRONAS is responsible for the effective management of Malaysia’s oil and gas resources, to add value to this national asset and to ensure the orderly and sustainable development of the nation’s petroleum industry. As a business entity, we conduct our operations in a prudent and commercially oriented manner to compete effectively in the increasingly challenging global business environment, while maximising returns to our shareholders.
With a proven track record in integrated petroleum operations on our home ground, we embarked on a strategic globalisation programme in the early 1990s to augment Malaysia’s crude oil and gas reserves, add value to our core business and provide exciting new challenges for our young employees.
Learn more about PETRONAS’ achievements through the years, our guiding principles and values as well as our corporate structure:
Last Update: 2014-03-14
Last Update: 2014-01-23
Last Update: 2014-01-20
Last Update: 2013-12-18
Last Update: 2013-11-06
EngineerinCAN is an International Standardization Organization (ISO) defined serial communications bus originally
developed for the automotive industry to replace the complex wiring harness with a two-wire bus. The
specification calls for high immunity to electrical interference and the ability to self-diagnose and repair
data errors. These features have led to CAN’s popularity in a variety of industries including building
automation, medical, and manufacturing.
The CAN communications protocol, ISO-11898: 2003, describes how information is passed between
devices on a network and conforms to the Open Systems Interconnection (OSI) model that is defined in
terms of layers. Actual communication between devices connected by the physical medium is defined by
the physical layer of the model. The ISO 11898 architecture defines the lowest two layers of the seven
layer OSI/ISO model as the data-link layer and physical layer in Figure 1g
Last Update: 2013-10-27
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