By Akifumi Kuchiki, Masatsugu Tsuji (eds.)
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Automotive assemblers with strong competitiveness and strong related industries are to be selected. Second, in order to invite those firms, organizations in both the 44 Akifumi Kuchiki quasi-public sector and private firms must act as actors to engage further in human recourse development. Third, the central government must commit to and enforce the Economic Partnership Agreement (EPA) and Free Trade Agreement (FTA) in ASEAN in order for the Malaysian industry to enhance competitiveness by opening its market.
5 1 2 2 No 1 Return Flowchart Approach: Step 1: Agglomeration Source: Author. Private firms 1 Human resources Living conditions NPOs Automobile Cluster in Malaysia 21 Next we apply the flowchart’s second step, capacity-building, which takes place after the establishment of industrial zones. 6). We then proceed along the flowchart to examine power supply, communication and transportation. After looking at the physical infrastructure, we examine whether institutions are in place. The central government must institutionalize national tax systems and the local government must institutionalize local tax systems.
Third, the government should deregulate rules in order to attract foreign firms in the supporting industries. 9). There is no doubt that the above three issues are important to the further development of the Malaysian automobile industry, but a real problem is how to do it. We will then discuss this in the next section by applying the Flowchart Approach. 9 Related firms Partnership with foreign firms Go to step 2. innovation Prescriptions for the automobile industry cluster Source: Author. 5 Prescriptions for Malaysia’s automobile industry from the Flowchart Approach The Flowchart Approach specifies actors or players and prioritizes policy measures, and here we examine how to revitalize the Malaysian automobile industry by utilizing the Flowchart Approach.