SMEs need to go digital to remain in business – UMT | Portal Rasmi Universiti Malaysia Terengganu

SMEs need to go digital to remain in business

Thursday, 06/05/2021

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As another Ramadan is being observed, the COVID-19 pandemic is still widespread everywhere. First

occurring in 2020, the pandemic has greatly affected business owners, especially those of small and

medium enterprises (SMEs). Some will be further affected with the recent reintroduction of the

movement control order (MCO) in six districts in Selangor.

However, some have been able to survive the pandemic and in fact made more income. What kind

of strategy have they adopted? e-commerce.

Businesses are taking advantage of the current trend across the globe—people turning to e-

commerce.

A study titled “COVID-19 and e-Commerce” by United Nations Conference on Trade and

Development (UNCTAD) and its partners examined the effect of the pandemic on consumers’

participation in e-commerce in several countries including Brazil, China, Germany, Italy, Republic of

Korea, Russia, South Africa, Switzerland, and Turkey.

The study found that there was an increase in online buying in those countries at varying degree.

The highest increase occurred in China and Turkey, while the lowest Switzerland and Germany. The

low increase in the last two countries was due to the fact that online buying was already practiced

before the pandemic. The study highlighted a positive progress on online business in developing

countries during the pandemic.

In Malaysia, people were initially sceptical towards online buying and hesitant to complete their

purchases on the Internet. However, the pandemic left them with no choice but to buy what they

need from online stores.

As a result, online buying increased 28.9 percent in April 2020, one month after the government’s

MCO enforcement.

Per SME Corporation Malaysia’s report, the percentage of SMEs participating in e-commerce in 2019

was 32 percent (290,260), which is still on the lower side.

The government has been taking various initiatives to increase SMEs’ competencies in e-commerce.

It has set up a company, Malaysian Digital Economy Corporation (MDEC), under the Ministry of

Communication and Multimedia to oversee the country’s digital economic development and ensure

its advancement is at par with the rest of the world.

By the end of 2020, MDEC has helped more than 489,000 SMEs and micro businesses set up their e-

commerce platforms. It has also trained another 378,000 on e-commerce venturing.

Participating in e-commerce is the surest way for the SMEs to survive going forward. More should

take the opportunity and make use of the initiatives and platforms offered by the government and

other responsible bodies to set up their e-commerce platform.

The pandemic has given rise to the setup of online businesses by many, including those laid off and

those just started to make a living. The time is ripe for more SMEs to follow the same path.

Original Malay version by:

Nurhazliyana Binti Hanafi

Lecturer

Department of Fundamental Knowledge and Entrepreneurship

Centre for Fundamental and Continuing Education

Universiti Malaysia Terengganu

Email: nurhazliyana@umt.edu.my

English translation by:

Corporate Communication Office

Universiti Malaysia Terengganu

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OFF-CAMPUS CARNIVAL CONNECTS UMT AND LOCAL COMMUNITY Sunday,...

TAN SRI DATO’ SERI (DR.) HALIM MOHAMAD APPOINTED...

UMT EXPRESSES SUPPORT TO BREAST CANCER PATIENTS THROUGH...

UMT AND UiTM COLLABORATE THROUGH SMART PARTNERSHIP OF...

UMT WORKS WITH UEA TO STRENGTHEN RESEARCH Monday,...

UMT COLOUR RUN FOSTERS SPIRIT OF UNITY AND...

UMT ORGANIZES SYMPOSIUM TO DISCUSS CONSERVATION OF THREATENED...

3.8% INCREASE IN APPLICATION TO UMT REFLECTS ITS...

UMT LANCAR CAKNA KESIHATAN SOSIAL DAN KLINIK KEKAL...

UMT Lancar Kempen Kibar Jalur Gemilang Sunday, 26/08/2018...

Hari Raya Korban? Tuesday, 21/08/2018 Share This Article...

UMT SEBAR KEPENTINGAN FUNGSI KULAT Monday, 20/08/2018 Share...

KONTINJEN UMT TEMPAT KETIGA SUKUM 2018 Sunday, 19/08/2018...

INOVASI UMT JADIKAN KELULUT EJEN PENDEBUNGAAN MELON MANIS...

UMT, UBH JALIN KERJASAMA SERANTAU BIDANG PERIKANAN DAN...

UMT Diiktiraf Pensijilan ISO 9001:2015 Thursday, 09/08/2018 Share...

PROFESIONAL BIDANG SAINS DAN TEKNOLOGI MAKANAN DAN AGROTEKNOLOGI...

UMT TINGKATKAN HASIL TUAIAN USAHAWANTANI MELALUI PRODUK BAJA...

UMT BUKUKAN WARISAN TASIK KENYIR Wednesday, 01/08/2018 Share...

KOLABORASI PELAYARAN SAINTIFIK UMT DAN STATE OCEANIC ADMINISTRATION,...

UMT Tuan Rumah Karnival STEM 2018 Wednesday, 25/07/2018...

Kuda Laut UMT Tambah Rezeki Komuniti Besut Tuesday,...

RHB Islamic Endowed Scholar In Finance di UMT...

UMT dan CCM Polymers Sdn Bhd Jalin Kolaborasi...

UMT dan BERKAT Celebrate Iftar with Students Saturday,...

Ramadan 1439H@UMT Monday, 21/05/2018 Share This Article :

UMT Embrace Silver Medal In Conjunction with Belt...

UMT won 3 awards in National Book Award...

UMT won Best Journal Article (Science, Technology &...

UMT comes first runner-up in MyAgrosis Cup 2018...

UMT seized 30 Golds from MPI 2018 Thursday,...

Successful KPTN 2018 UMT! Sunday, 25/03/2018 Share This...

UMT Vice-Chancellor Flaming Aspiration for 2018 Monday, 19/02/2018...

Setiu Wetland, Terengganu’s Hidden Gem Tuesday, 13/02/2018 Share...

“Floating Breakwater” bring benefit to Mengabang Telipot community...

2018; UMT keep Soaring Upwards! Monday, 01/01/2018 Share...

Highlight 2017

UMT Bolot Tiga Anugerah di SIIF 2017 Sunday,...

Program “V-CARE, V-CONCERN FREE MARKET FOR NEEDY” Sunday,...

9 Sekawan Pegawai UMT Terima Ijazah Sarjana Saturday,...

Mahasiswa UMT Sumbang Bakti Bersama Komuniti Kg. Pantai...

MyREN-X Inisiatif Kerajaan Perkasa Pendidikan Masa Hadapan Monday,...

PECIPTA 2017; Manifestasi Konsep Translasional Sunday, 08/10/2017 Share...

Majlis Anugerah Tahunan 2017 UMT Meriah! Sunday, 01/10/2017...

STUDIO AL-QURAN ULUL ALBAB; PERTAMA DI BUMI ULUL...

UMT & CTI-CFF Rungkai Potensi Terumbu Karang Buatan...

Selamat Datang Pelajar Baharu UMT Sesi 2017/2018 Wednesday,...

“NEGARAKU SEHATI SEJIWA” Diterjemah Warga UMT Melalui Hari...

KONVENSYEN PEMIMPIN MAHASISWA KEBANGSAAN 2017 ‘MAHASISWA KE ARAH...

Pameran Antarabangsa “Rahsia Ikan Lut sinar” Wednesday, 16/08/2017...

Sea Horse & Horseshoe Crab Translational Research Project;...

GLOBAL TOURISM CONFERENCE 2017 PEMANGKIN EKONOMI GLOBAL Thursday,...

SATREPS – COSMOS RESEARCH LABORATORY Tuesday, 11/07/2017 Share...

Syawal 1438H dirai meriah Sunday, 02/07/2017 Share This...

Ramadan Membawa Rahmat kepada Pelajar Baharu UMT Wednesday,...

Ramadan bulan penuh rahmat dan keampunan Wednesday, 31/05/2017...

Karnival WOW 2017 UMT Meriah di Teluk Ketapang...

Sambutan World Ocean Week 2017 Lebih Meriah Thursday,...

UMT wins big at National Book Award 2017...

UMT Giat Usaha Lindungi Hidupan Marin Thursday, 27/04/2017...

UMT leads the way winning 4 awards in...

‘Young Motivator Competition’ (U-Mac) helps Public Speaking skill...

Felicitaciones (Congratulation)! Thursday, 30/03/2017 Share This Article :...

UMT in LIMA ’17; Exuberant! Wednesday, 29/03/2017 Share...

EMAC UMT Anjur Balloon X Charity Run Kumpul...

Majlis Apresiasi Media 2017 tanda penghargaan UMT kepada...

UMT Fokus Penyelidikan Translational untuk Manfaat Komuniti, Negara...

UMT Lancar Program 2u2i Sarjana Muda Perakaunan dan...

Commonality and Collegiality unites UMT and UniSZA in...

UMT Sailing Team participate in the 15th Royal...

UMT & Celcom Axiata Berhad work hand-in-hand for...

UMT Vice-Chancellor Received Honorary Awards from Swansea University...

UMT appoints Prof Dr Nora aini as the...

UMT Giat Usaha Lindungi Hidupan Marin Tuesday, 02/05/2017...