Hashim , Mohd Khairuddin and Abdullah, Mat Saad
(2000)
A Proposed Framework For Redefining Smes
In Malaysia: One Industry One Definition?
Asian Academy of Management Journal (AAMJ), 5 (1).
pp. 1-15.
ISSN 1394-2603
Abstract
In Malaysia, small and medium-sized enterprises (SMEs) have been variously
defined by different supporting agencies. These differences matter because the way
an important concept such as SME is defined and interpreted has serious
implications on the formulation as well as implementation of a particular policy
(such as in identifying the qualified SMEs for assistance programmes). This paper
initiates an attempt to provide a framework towards developing a ‘fair’ and ‘efficient’
definition of SMEs in the Malaysian context. This alternative approach is developed
by taking into consideration not only the nature and needs of SMEs in Malaysia, but
also by examining some of the widely used definitions available in literature. It is
proposed that SMEs should basically be redefined according to the different types of
industries. It is also advocated here that both quantitative as well as qualitative criteria
be adopted in the framework for redefining an SME.
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