Share via Email This article is over 3 years old The Malaysia Airlines boss would not reveal whether the carrier would change its name in response to recent aviation disasters. Christoph Mueller said the troubled airline, which had been in dire financial straits even before the MH and MH17 disasters last year, was making 6, of its 20, staff redundant and would sell two its A superjumbos to cut costs. Mueller, who joined from Irish carrier Aer Lingus, where he also axed jobs as part of a turnaround strategy, said the state-owned airline could break even by Malaysia Airlines has been propped up by cash from a government sovereign wealth fund, and will be restructured after parliamentary intervention to keep the airline going, allowing the remaining 14, staff to be re-employed by a new company running the airline from 1 September.
In lieu of an abstract, here is a brief excerpt of the content: Regulation, Rent-seeking, and Policy Failure. Malaysia took on one of the most extensive and ambitious privatization programmes in the world and wound up with a load of collapsed and renationalized projects.
The debacles raise questions on why the country spectacularly failed in its mission to raise efficiency, attain self-sustainability, and foster entrepreneurial capacity through privatizing public entities.
Jeff Tan's Privatization in Malaysia: Regulation, Rent-seeking and Policy Failure tackles the topic with an insightful and original combination of political economy perspective and detailed case studies.
His framework and findings contribute richly to our understanding of Malaysia's privatization failures and challenge the continued propagation of such policies in developing countries.
The book poses three key questions to social science theory and to the Malaysian experience: Why may privatization fail? What is needed for privatization to work?
In answering them, the author engages with conventional theory and critiques its inadequacies in predicting and explaining policy problems, and outlines alternate approaches to engage the subject with greater cogency and real-world relevance.
The conventional case for privatization revolves around three main contentions about the superiority of private ownership over public ownership.
First, drawing on principal agent theory, private ownership provides incentives for the principal owner to monitor the agent managerbecause the owner controls and directly reaps profits.
On the other hand, citizens are the ultimate principal of state-owned enterprises, and can only exercise indirect control through [End Page ] the government, and need to overcome a host of coordination problems to effectively monitor management.
Second, public choice theory asserts that "the state is intrinsically inefficient and perpetually overburdened and underdisciplined", and public enterprises serve politicians' interests rather than maximizing efficiency p.
Third, privatization alleviates the burden on public finance and mobilizes new sources of funding.
Following from the axiomatic efficient market basis of these rationales for privatization, failures are attributed to institutional shortfalls and political interference that vitiate otherwise sound policy.
Corruption and cronyism compromise the integrity and transparency of contract allocation, while weak protection of property rights and poor governance permit business conduct to deviate from market norms. Such institutions are now considered preconditions for privatization.
The book's conceptualization of the processes and problems of privatization fundamentally differs from conventional theories. From the very start, Tan does not begin with dictums and preconditions, but with real-world situations, motivations, and constraints. The private sector, both in developed and developing countries, often finds projects with high capital costs too expensive and risky to finance, necessitating state intervention to share risks, even after privatization.
Paucity of entrepreneurial capacity and experience limits competitive bidding; lack of information constrains the scope for devising contracts, which in any case can never complete, but in developing countries are more likely to need room for manoeuver and adaptation. Also, in the context of low income economies, transitioning away from publicly subsidized infrastructure and services to paying higher user fees encounters popular resistance.
In consequence, "privatization necessitates continued and often even greater state intervention in terms of maintaining some subsidies, perhaps creating new ones, devising new methods of regulation and coordinating certain sectors" p. Regulation is not restricted to instituting investor-friendly provisions and consumer protections, but also involves managing learning rents, or subsidies and conditionalities [End Page ] targeted towards acquiring technological and entrepreneurial expertise and attaining market competitiveness.
In consequence, whether privatization leads to learning and efficiency gains hinges on the state's leveraging of subsidies to monitor and discipline the management of privatized companies.Developments and challenges in the hospitality and tourism sector discussions at the Global Dialogue Forum on new developments and challenges in the hospitality and tourism sector and their impact on employment, human resources with social and labour problems in particular economic sectors.
Sectoral action. Miami – Aviation in Africa faces four big challenges which are preventing the continent from reaping major economic benefits. This is according to Tony Tyler, chief executive officer of the International Air Transport Association (Iata), who spoke to Fin24 at the closing .
Advance Passenger Information System (APIS) for the Rockwell Collins CRT display unit and the replacement of CRT with LCD display units only exemplifies the problems faced by operators.
· China Airlines · EVA Airways · Garuda Indonesia · Japan Airlines · Korean Air · Malaysia Airlines · . the demise of several regional airlines, including Air Afrique, still unfilled. Throughout, there are many Infrastructure is not at the heart of the problems of the sector.
In addition, human resource management challenges must be defined and solutions determined in order to succeed. Today's Top 10 Human Resource Management Challenges Due to the fluctuating economy as well as local and global advancements, there are many changes occurring rapidly that affect HR in a wide range of issues. Jan 21, · Second, Boeing aimed to improve value for its immediate customers (the airlines) by improved efficiency by using composite materials and an electrical system using lithium-ion batteries. P a g e 3 | 24 Integrated Marketing Communication – Malaysia Airlines mission of Malaysia Airlines System Berhad, as a corporation, to provide a safe transport facility which now in seems hard to gain the trust after the incident of flight MH
The number of airports is stable and developed hub system. To address this vicious cycle, the CPG supply chain needs a system to identify and correct problems before they occur.
This requires monitoring of many different genres of information – POS, shipments, orders, forecasts, forecast errors, on-hand inventory, inventory position, number of stores selling, etc.
– and separating the signal from. Kuala Lumpur, called KL by locals, is Malaysia's federal capital and largest city at million (city-proper population of million).
Kuala Lumpur is a cultural melting pot with some of the world's cheapest 5-star hotels, impressive shopping districts, food from all parts of .