Assessing the effect of advisory services on growth of small scale food processors in Selangor

Ismail Abd. Latif, . and Suwardi Afandi Ahmad, . and Nittiy Hirawaty Kamaruzaman, . and Amin Mahir Abdullah, . Assessing the effect of advisory services on growth of small scale food processors in Selangor. pp. 111-127. ISSN 1823-8149

During the Ninth Malaysia Plan 2006 -2010 the development of the Small and Medium-sized Enterprises (SMEs) have been prioritized by the government. Various initiatives were implemented with the aim to enhance SMEs competitiveness. One of the initiatives was the advisory service programme. This programme focuses on enhancing SMEs capacity and capability. After being implemented for several years it is necessary to assess the effect of this programmel. Hence this study was to assess the effect of advisory service on growth of small scale food processors. Primary data was collected from 103 firm using a structured questionnaire. The data was analysed using descriptive analysis and logistic regression. The result obtained showed that the utilization of advisory service among the respondents is still low except from Department of Agriculture (DOA) Malaysian Agriculture Research and Development Institute (MARDI) and Federal Agriculture Marketing Authority (FAMA) Where the number of clients served was above 40. Majority of the firms surveyed received technical advices from government institutions. This indicated that the technical know-know is very crucial in the food processing industry. The results of the logistic regression showed that technical advice has greater influence on sale growth while business and management advice has greater influence on both sales growth and owner/managers ability to manage the business. The study suggested that the advisory service programme should be continued with some transformations on the method and approach used.

Full text available from: Official URL: http://etmr.mardi.gov.my/Content/ETMR%20Vol.8%20(2...

Abstract

During the Ninth Malaysia Plan 2006 -2010 the development of the Small and Medium-sized Enterprises (SMEs) have been prioritized by the government. Various initiatives were implemented with the aim to enhance SMEs competitiveness. One of the initiatives was the advisory service programme. This programme focuses on enhancing SMEs capacity and capability. After being implemented for several years it is necessary to assess the effect of this programmel. Hence this study was to assess the effect of advisory service on growth of small scale food processors. Primary data was collected from 103 firm using a structured questionnaire. The data was analysed using descriptive analysis and logistic regression. The result obtained showed that the utilization of advisory service among the respondents is still low except from Department of Agriculture (DOA) Malaysian Agriculture Research and Development Institute (MARDI) and Federal Agriculture Marketing Authority (FAMA) Where the number of clients served was above 40. Majority of the firms surveyed received technical advices from government institutions. This indicated that the technical know-know is very crucial in the food processing industry. The results of the logistic regression showed that technical advice has greater influence on sale growth while business and management advice has greater influence on both sales growth and owner/managers ability to manage the business. The study suggested that the advisory service programme should be continued with some transformations on the method and approach used.

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Item Type:	Article
AGROVOC Term:	Advisory services
AGROVOC Term:	Food processing
AGROVOC Term:	Food processing equipment
AGROVOC Term:	small and medium enterprises
AGROVOC Term:	aid programmes
AGROVOC Term:	Business management
AGROVOC Term:	Marketing strategy
AGROVOC Term:	Economic growth
AGROVOC Term:	Economic competition
Depositing User:	Mr. AFANDI ABDUL MALEK
Last Modified:	24 Apr 2025 00:55
URI:	http://webagris.upm.edu.my/id/eprint/9717

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