Experiences of high-growth technology firms in Malaysia and New Zealand

ABSTRACT

How do technology firms experience high growth and the support available from governments? This qualitative study explores the experiences of high-growth technology-based firms in Malaysia and New Zealand. Case studies were developed for eight high-growth companies in the information and communication technology sectors of each country. The countries differ in national cultures and the forms of government support. There were no marked country differences in growth drivers. Growth was driven by innovation and flexibility within business-to-business sales relationships. These firms faced four obstacles: intense competition; liabilities of smallness; limited human capital; and funding ability. Malaysia offers broader mainstream support with favourable tax treatment of R&D related expenditure. In contrast, New Zealand’s has been criticised for a highly targeted approach, although this is now broadening. Both countries appear to be converging on a hybrid approach combining mainstream and targeted support for growth businesses.

KEYWORDS:

• High growth
• innovation
• flexibility
• obstacles
• government support

Disclosure statement

No potential conflict of interest was reported by the authors.

Notes on contributors

Poh Yen Ng has a PhD in Management from the University of Canterbury and currently a Faculty in Higher Colleges of Technology in UAE. Her research interests are in the area of entrepreneurship, specifically examining the strategies of high-growth firms. She has several conference proceedings and journal publications in Journal of Asia Pacific Business, International Review of Business Research and World Applied Sciences Journal.

Robert T. Hamilton is Emeritus Professor at the University of Canterbury. He holds a PhD in Industrial Economics from University of London. His research interests include small business development, work in the area of industry economics, including the international trading performance of New Zealand industries, interaction between governance and strategy, innovation and competitiveness. He has published in International Small Business Journals, Entrepreneurship, Theory and Practice, Journal of Small Business Management, Journal of International Entrepreneurship, Journal of Industrial Relations and Journal of International Business and Entrepreneurship.