Management in Southeast Asia: a Business Systems Perspectivein The Oxford Handbook on Management in Emerging Markets
Authors: Witt Michael A.
This chapter contains an overview of business and management in Southeast Asian markets. Drawing on the business systems literature, it lays out the institutional features of business in the region, which broadly fall into two clusters: Singapore as an exponent of advanced city economies, and the remainder of the region as Southeast Asian emerging markets.The chapter identifies key historical themes and material forces that have led to the emergence of these ways of organizing economies in the region and discusses their key characteristics, including the importance of family and state ownership as well as, for much of the region, rentier business models and attendant high levels of corruption.The chapter then discusses typical strategies by foreign direct investors coming into the region, including the use of Singapore as a hub and a preference for partnerships to handle the political environment. While most major multinational enterprises are probably present in the region, few multinationals have emerged from the region, and their strategic range seems limited.