Electronic commerce or on-line business in Malaysia.

Dear readers.

When we think of the on-line business, ideally, the picture is shopping for goods and services using the internet platform with our debit or credit cards. Although we have to admit that on-line business in Malaysia is still in the infancy stage, to ignore it totally might be a mistake as it is getting increasing attention from the public. For general Malaysian consumers, shopping online cannot beat the excitement of real shopping while the threats like phishing and scam diminish the merit of shopping online.

Let us look at the general idea of on-line business in Malaysia. The on-line business is divided into three categories i.e. B2B (business to business), B2G (Business to Government) and B2C (Business to Consumer).

B2B
B2B (Business-to-business), is a term commonly used to describe electronic commerce transactions between businesses, usually takes the form of automated processes between trading partners. In Malaysia, the volume of B2B transactions is much higher than (B2C) for greater adoption of electronic commerce technologies by businesses, relative to adoption by consumer.

B2G
B2G (Business to Government), as the name implies, describe the transaction between Businesses to Government. In Malaysian context, we have our ‘ePerolehan’ and ‘myKatalog’ that manages the Government process of purchasing. ‘ePerolehan’ streamlines government procurement activities, converts traditional manual procurement processes in the Government machinery to electronic procurement on the Internet.
‘ePerolehan’ allow suppliers to present their products on the internet, receive, manage and process purchase orders and receive payment from government agencies via the Internet. The supplier's product catalogue is converted into the form of an electronic catalogue or ‘myKatalog’. Suppliers are able to submit quotations, obtain tender document and submit tender bid through ‘ePerolehan’.

In addition, ‘ePerolehan’ allow suppliers to register or renew their registration with the ‘Ministry of Finance (MOF)’ and ‘Sijil Bumiputera’ through the Internet. Suppliers are able to submit application, check application status and pay registration fees through ‘ePerolehan’. ‘ePerolehan’ is built, maintain and manage by Commerce Dot Com Sdn Bhd, a company nominated by Malaysian Government while ‘myKatalog’ is the wholly owned subsidiary of the Internet Business Group Pvt Limited.

I strongly suggest, that local entrepreneurs especially Bumiputera who have business potentials with the government, to register the ‘MOF’ and obtain their ‘Sijil Bumiputera’ as prospects to do business with our Government is wide and lucrative. The application can be done in simple steps online through ePerolehan or go to www.eperolehan.com.my.

B2C
B2C (Business to consumer). Although we are familiar with B2C, thanks to Amazon.com, eBay, etc., the average Malaysian are not favoring the habit as rapid as our western counterparts. This might be due to our culture differences, infrastructure and the pervasive fear of on-line scam. Lately, the trend of shopping online is picking-up when consumer confidence has been gradually restored with the help of our financial institutions and anti scam software.

My first experience with on-line business was with my sister’s business that I assisted in setting up. She sells on-line biotechnology products that carry her own brand name where she heavily promotes her products off-line through local magazines and participating in exhibitions and expos. Business is now picking up with new customers while she works hard maintaining her loyal customers. We learnt a valuable lessons of on-line business that success is largely depending on off-line promotion.

A month before Hari Raya, I have conducted an ICT training workshop for 3 days in Prescott Inn, Kuala Lumpur, organized by MARA for our Bumiputera entrepreneurs. During our free time after class (10.30pm), I did extra subjects and coached them about blogging and on-line business transaction although that was not in the curriculum. A few of them have successfully commenced blogs and on-line shops even though they have zero knowledge of on-line business initially. Here are the examples of the blogs:

1. farmasinorinaonline
2. nmelectrical

The blogs are from a student of mine with very big prospect in business, on-line and off-line. Off-line, he is a well known good electrical contractor in Lembah Kelang area whom I trust to give good quality of services. Well, Muhammad Omar, congratulation and welcome to the blogsphere.

Let us pray for his success in business.

Ps: Do write some encouragement words to him if you can and promote his business.
Pss: I am totaly against the 'get rich quick scheme' or selling clones crappy 'make money' ebook on-line that exploit spamming strategy in the internet.

Love
Hanafi.