UPSI Digital Repository (UDRep)
Start | FAQ | About
Menu Icon

QR Code Link :

Type :Article
Subject :HG Finance
ISSN :2232-0032/eISSN 0128-0481
Main Author :Sherly George
Additional Authors :
  • Farnaz Jafari Harandi
Title :Key indicators influencing foreign direct investment in Malaysia
Hits :5
Place of Production :Tanjong Malim
Publisher :Fakulti Pengurusan dan Ekonomi
Year of Publication :2013
Notes :Vol. 3 (2013): Journal of Contemporary Issues and Thought (JCIT)
Corporate Name :Perpustakaan Tuanku Bainun
PDF Full Text :You have no permission to view this item.

Abstract : Perpustakaan Tuanku Bainun
Foreign Direct Investment (FDI) is a direct investment into business or production in one country through an entity in alternative country, either via purchasing a business in the target country or via developing operations of a current business in that country. Despite the vast research by Malaysians and other foreign researchers about FDI in Malaysia, there are still other indicators that affect Malaysia as an attractive destination for FDI flows and consideration for any investment opportunity. This research is based on primary data, which was collected through questionnaires with a sample of 34 foreign companies invested in Malaysia. The SPSS software is used to analyze the data. The findings show that 85 percent of investors agree to invest in Malaysia again, most of them prefer to invest in the tourism industry due to many reasons such as country attractiveness, economic growth, technology availability, religious freedom, and access to capital. Investors consider Malaysia as a good destination for investing in South East Asia. Among all factors, social and cultural factors, location factors and economic factors have the most impact on FDI inflows in Malaysia and among independent variables, there is a significant relationship. This research can be useful and reliable for Malaysian government to change its policy in some industries and focus more in incentives that attract more foreign investors. Keywords Political, governmental and legal factors, social and cultural factors, location factors, financial factors and economic factors

References

Aini, A., Takiah, M., Hamid, P., and Jenny, T. (2006). Earnings management in Malaysia: A

study on effects of accounting choices. Malaysian Accounting Review, 5(1), 185‒209.

 

Ali, H., Ahmad, S., and Muhamad, R. (2010). Determinants of Foreign Direct Investment

Locations in Malaysia. International Review of Business Research Papers, 6(4), 101‒117.

 

Almselati, A. S. I., Rahmat, R. A. O. K., and Jaafar, O. (2011). An Overview of Urban Transport

in Malaysia. The Social Sciences, 6(1), 24‒33.

 

Ang, J.B. 2008. Determinants of foreign direct investment in Malaysia, Journal of Policy

Modelling, vol. 30, pp. 185‒189.

 

Aw, Y. T., and Tang, T. C. (2009). The Determinants of Inward Foreign Direct Investment: the

Case f Malaysia. Monash Economics, Working Papers.

 

Bee, W. T., and Hooi, H. L. (2010). An Analysis of Dynamic Linkages between Domestic

Investment, Export and Growth in Malaysia. European Journal of Social Sciences,

16, 1‒10.

 

Carson, C. S. (2003). Foreign Direct Investment Trends and Statistics, 1-54. Statistics

Department.

 

Demirhan, E., and Masca, M. (2008). Determinants of Foreign Direct Investment Flows

to Developing Countries: A Cross-Sectional Analysis. Prague Economic Papers, 4,

356‒369.

 

Economic Inteligence Unit (2011). Malaysia outlook 2015.

 

Economic Planning Unit Prime Minister’s Department. (2010). Tenth Malaysia Plan 2011‒2015,

1‒429.

 

Hooi, H.L. (2008). The impact of foreign direct investment on the growth of manufacturing

sector in Malaysia, International Applied Economics and Management Letters, vol.1, no.1,

pp.41‒45.

Govindaraju, V. G. R. C., Sundram, V. P. K., Kamil, M. H. B. M., Ibrahim, Z., and Ghapar, F.

B. A. (2005). Science, technology and innovation in Malaysia: What do the key indicators

suggest?.

 

Jensen, C., and Kara, N. (2011). Trade Policy Review: Malaysia 2010. The World Economy,

34(12), 2063‒2080.

 

Kanapathy, V. (2003). Services Sector Development in Malaysia: Education and Health as

Alternative Source of Growth.

 

Kanapathy, V. (2006). Migrant workers in Malaysia: An Overview. Institute of Strategic and

International Studies (Malaysia).

 

Kuppusamy, M., Raman, M., and Lee, G. (2009).Whose ICT Investment Matters to Economic

Growth–Private or Public? The Malaysian Perspective. The Electronic Journal of

Information Systems in Developing Countries, 37(1).

 

Malaysia Bank Negara, (2010). Economic Developments in 2010.

 

Zubair Hasan (2003). “Determinants of FDI flows to developing economies: evidence from

Malaysia”, International Islamic University Malaysia.

 

World Economic Situation and Prospects. (2011). World Economic Situation and Prospects.

New York: United Nations.

 

Oxford business group, Malaysia: eye on education).

 


This material may be protected under Copyright Act which governs the making of photocopies or reproductions of copyrighted materials.
You may use the digitized material for private study, scholarship, or research.

Back to search page

Installed and configured by Bahagian Automasi, Perpustakaan Tuanku Bainun, Universiti Pendidikan Sultan Idris
If you have enquiries, kindly contact us at pustakasys@upsi.edu.my or 016-3630263. Office hours only.