The Impact of the Asian Financial Crisis on Small and Medium Enterprises in Malaysia: Policy Responses

2002 ◽  
Vol 1 (2) ◽  
pp. 227-244 ◽  
Author(s):  
Abdullah Moha-Asri
Keyword(s):  
Financial Crisis ◽  
Small And Medium Enterprises ◽  
Asian Financial Crisis ◽  
Policy Responses ◽  
Medium Enterprises ◽  
The Impact

scholarly journals MSMEs IN TIMES OF CRISIS. EVIDENCE FROM INDONESIA

2020 ◽  
Vol 5 (2) ◽  
pp. 91
Author(s):  
Tulus Tambunan
Keyword(s):  
Financial Crisis ◽  
Global Financial Crisis ◽  
Raw Materials ◽  
Small And Medium Enterprises ◽  
Asian Financial Crisis ◽  
The Past ◽  
Transmission Channels ◽  
Different Types ◽  
Medium Enterprises ◽  
The Impact

This descriptive study is about micro, small and medium enterprises (MSMEs) in Indonesia. It has two objectives: (i) to estimate the impact of the Covid 19 crisis on MSMEs and compares it with other previous problems. Second, to explore crisis mitigation (CM) measures adopted by affected MSMEs. It shows that different types of crises have different transmission channels through which such situations affected MSMEs. CM measures adopted by affected MSMEs also vary by different types of emergencies and hence various business risks. In the 1997/98 crisis, replacing imported raw materials with local raw materials was widely adopted. The 2008/09 problem was finding new customers or markets in unaffected countries or switching to the domestic market. While in the case of the Covid-19 crisis, switching temporarily to manufacturing medical devices such as masks and changing the marketing system from conventional to e-commerce are the most widely adopted strategies. There is already a lot of literature on economic crises such as the 1997/98 Asian financial crisis and the 2008 global economic crisis. The Covid 19 pandemic's reports and articles impact on the economy have emerged in the past two months. To the best of the author's knowledge, this is the first study on how such crises affected and through what transmission channels, MSMEs. Keywords: MSMEs, 1997/98 Asian Financial Crisis, 2008/09 Global Financial Crisis, COVID-19 Crisis, CM MeasuresJEL Classification: D2, F6, G01, I1

Financial Inclusion, P2P Lending, and MSMEs

2022 ◽  
pp. 60-81
Author(s):  
Tulus Tambunan
Keyword(s):  
Economic Development ◽  
Financial Crisis ◽  
Financial Services ◽  
Small And Medium Enterprises ◽  
Asian Financial Crisis ◽  
Aggregate Data ◽  
Financial Inclusion ◽  
Alternative Source ◽  
P2p Lending ◽  
Medium Enterprises

In Indonesia after the Asian financial crisis of 1997–1998, wide reforms were carried out, and “inclusive” economic development were adopted. One component of inclusive economic development is “financial inclusion.” This implies an absence of barriers that might deter micro, small, and medium enterprises (MSMEs) from obtaining financial services. However, the portion of bank credit received by MSMEs is still small. Therefore, financial technology (FinTech) is welcome as an alternative source of funding for MSMEs. This chapter discusses three related issues, namely financial inclusion, MSMEs, and P2P lending. It concludes that Indonesia still has a long way to go to achieve full financial inclusion. This chapter suggests that with the presence of P2P lending, the number of MSMEs, especially MSEs, in Indonesia that have access to formal financing will increase. Even though aggregate data are not available, the interviews with a small number of owners of MSEs who received P2P loans suggest that the presence of P2P lending companies give some benefits for MSEs.

Assessing the Impact of Recent Global Crisis on Small and Medium Enterprises (SMEs): Evidence from Indonesia

2013 ◽  
Vol 1 (1) ◽  
pp. 6
Author(s):  
Tri Winarno
Keyword(s):  
Financial Crisis ◽  
Interest Rates ◽  
Global Financial Crisis ◽  
Small And Medium Enterprises ◽  
Quantitative Methodology ◽  
Spatial Error ◽  
Medium Scale ◽  
Spatial Lag Model ◽  
Medium Enterprises ◽  
The Impact

In this article we examine three broad issues. The first is to measure the impact of 2008 global financial crisis on Indonesia’s economy, particularly on loans extended to small and medium scale enterprises at regional level. Next is to analyze significant factors of inducing loans extended to small and medium scale enterprises. Finally, it is to fill the gap in the literature by introducing a quantitative methodology. A spatial lag model and spatial error model are used to assess the three broad issues. Regionally, quarterly panel data spanning from 2002 up to 2011 are employed to support the analysis. One of the results is the global financial crisis that negatively impacts on Indonesia economy, particularly on the performance of small and medium enterprises (SMEs).  In terms of loan extended to the SMEs, there is strong and positive spatially correlation among province, showing commoving and integrating economy within the territories of Indonesia. Finally, this research suggests that interest  rates is not significantly correlated with loans to SMEs, which indicates that the access to financial institutions is more important and urgent to boost the performance of SMEs in Indonesia which is  reinforcing the opinion of financial inclusions for SMEs.

Structural Modeling of Institute of Entrepreneurship in Russia

2019 ◽  
pp. 34-48
Author(s):  
Svetlana L. Sazanova
Keyword(s):  
Global Economy ◽  
Structural Model ◽  
Institutional Environment ◽  
Small And Medium Enterprises ◽  
Structural Modeling ◽  
Entrepreneurial Activity ◽  
Pattern Modeling ◽  
Medium Enterprises ◽  
The Impact ◽  
The Relationship

Entrepreneurship plays an important role in the modern global economy; the share of products of small and medium enterprises in the gross product and exports not only of the developed but also of developing countries is growing. Innovation processes cover all sectors of the economy, and more and more people are involved in entrepreneurial activity, which contributes to the penetration of entrepreneurial thinking and business values in all areas of the socioeconomic life of society. The Institute of Entrepreneurship plays an increasingly prominent role in the institutional environment of socio-economic systems. This actualizes the problem of studying the relationship of the institution of entrepreneurship with the institutions of law, culture, management. This requires a methodology that allows you to explore the impact on the institute of entrepreneurship not only economic, but also non-economic factors. The methodology of the “old” institutionalism possesses such a tool, it is structural modeling (pattern modeling), which allows to explore the diversity of interrelationships of the institution of entrepreneurship with other components of the institutional and economic environment. The article explored the features of the development of the institution of entrepreneurship in Russia, established the relationship between the institution of entrepreneurship, values, motives and incentives for entrepreneurial activity, built a structural model of the institution of entrepreneurship based on the methodology of the old institutionalism (pattern modeling). The structural model of the institution of entrepreneurship reveals the relationship between the institution of entrepreneurship, the values of entrepreneurial activity, its motives and incentives; as well as the relationship between the institution of entrepreneurship with the institutions of governance, cultural and religious institutions, legal institutions and society.

AFRICA’S RENAISSANCE AND POTENTIAL IN THE LEATHER SECTOR WITH REFLECTION TO THE GLOBAL PERFORMANCE

2015 ◽  
Vol 2 (1) ◽  
pp. 1-17 ◽  
Author(s):  
Mwinyihija M.
Keyword(s):  
Value Chain ◽  
Small And Medium Enterprises ◽  
Middle Level ◽  
Individual Member ◽  
Socioeconomic Indicators ◽  
Value Add ◽  
Medium Enterprises ◽  
The Impact ◽  
Productivity And Competitiveness ◽  
Critical Aspects

Africa’s renaissance is inevitable and rapidly emerging as a reality in tandem with the continent’s continued exploration of its natural resources in a more sustained way than previously done. Currently, the clarion call is to value add, avoid plundering and involve its population through the SME’s to adapt modern methods of entrepreneurship. During the study, critical aspects that are envisaged to trigger the growth and development of Africa, included the entry of major countries of the continent into the global emerging markets such as MINT (Mexico, Indonesia, Nigeria and Turkey) and BRICS (Brazil, Russia, India, China and South Africa). For the leather sector, certain socioeconomic indicators such as the youthful participation in the value chain, ownership status, literacy levels and acquired experiences are all contributing to a vibrant sector. It was observed that these indicators if well aligned with individual member states of African Union Commission and structured than productivity and competitiveness of leather products will be attained. As such, ease of either foreign direct investment, local recapitalization and development of the SME’s could become feasible. Indeed, with the emergence of over 300 million youth at middle level income level is construed to start building on the impact of the continents purchasing power. Therefore, Africa needs to respond by address on development of ICT, develop affordable financial support to provide stimulus packages to SME’s (Small and Medium Enterprises) to transform, improve on inter and intra trade to optimize on unexplored synergies and enhance mobility of persons with in Africa as preamble to Africa’s renaissance.

THE ACCESS TO GOVERNMENT FINANCIAL SUPPORT THROUGH LEGAL CHANNELS OF SMALL AND MEDIUM ENTERPRISES IN FOUR ASIA PACIFIC COUNTRIES

2020 ◽  
Vol 9 (2) ◽  
pp. 298
Author(s):  
Muhamad Marwan
Keyword(s):  
Financial Support ◽  
Small And Medium Enterprises ◽  
Mediation Effect ◽  
Asia Pacific ◽  
Survey Questionnaire ◽  
Access To Finance ◽  
Medium Enterprises ◽  
The Impact ◽  
The Relationship

The aim of this study is to determine the impact of networking on SME’s ability to access government financial support through legal channels in Asia Pacific. This study is quantitative in nature in which the data has been gathered from 281 employees and managers working in SMEs through survey questionnaire. The SEM technique was utilised for the purpose of analysing and testing the mediation effect. The study found that there is a partial mediation of government financial support through legal channels among the relationship between networking with officers and access to finance. This study is restricted to the SMEs operating in the region of Asia Pacific.

The Impact of Financial Literacy on Financial Preparedness for Retirement in the Small and Medium Enterprises Sector in Uganda

2020 ◽  
Vol 9 (3) ◽  
pp. 26-41
Author(s):  
Colin Agabalinda ◽  
Alain Vilard Ndi Isoh
Keyword(s):  
Financial Literacy ◽  
Small And Medium Enterprises ◽  
Group Analysis ◽  
Moderating Effect ◽  
Primary Data ◽  
Retirement Preparedness ◽  
Medium Enterprises ◽  
The Impact ◽  
The Relationship ◽  
Effect Of Age

The study investigated the direct effects of financial literacy (knowledge, skills, and attitudes) on financial preparedness for retirement and the moderating effect of age among the small and medium enterprises in Uganda. Primary data was collected from a sample of n = 380 selected from the SME workforce. Descriptive analysis was run on SPSS, while validity and reliability of the measurement items yielded satisfactory composite reliability scores and average variance explained (AVE) scores for all items. Structural equation modelling (SEM) was used to test the hypotheses and multi-group analysis conducted to test for the moderating effect of age on the relationship between financial literacy and retirement preparedness. The results revealed that knowledge and skills were significant predictors of retirement preparedness. However, ‘attitude' was not a significant predictor, and age had no moderating effect on the relationship between the study variables. These findings present practical implications for policymakers and financial educators in a developing country context.

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