International Business Current Issues

In Malaysia

By :

Yasmin Binti Kamaruzaman

Nur Syamimi Aqilah bt Azman
POLITEKNIK NILAI, MALAYSIA
Session Jun 2015

INTRODUCTION
It originated as an abbreviation ofvapourorvaporize.
TheOxfordDictionaries.comdefinition was added in
August 2014:
the verb means to inhale andexhalethe vapour
produced by anelectronic cigaretteor similar device,
while both the device and the action can also be known
asa vape.
The associated nounvapingis also listed.

The True Origins of Vaping (It All Started in the 1970`s!)

1963
Herbert A. Gilbert patents a non-tobacco cigarettethat heats a nicotine solution
and produced steam, but it is never manufactured.
1979
Dr. Norman Jacobson, one of the pioneers of the word vaping, develops the
Favor cigarette, a way to inhale nicotine with no smoke.
2003
Chinese pharmacist Hon Likfirst develops an electronic alternative to traditional
cigarettes.
2004
Thefirst e-cigarettes, a Chinese invention, comes from the Ruyan company.
2007
E-cigarettesenter the US market.

Article Summary
Malaysias half-a-billion ringgit vape industry
Malaysias vape industry is the second largest in the
world after the United States, and the biggest in Asia
Vaping communities are concentrated in the Klang
Valley and Johor, but Ipoh, Kedah and Penang are
catching up fast
There are a million vapers nationwide about 10% of
which are under 18.
At least 1,000 vape shops nationwide and over 400 local
mod (electronic vaporiser device) and juice (e-liquid)
brands

Article Summary
Malaysian-made stuff are highly demanded abroad,
adding that premium mods can cost up to RM4,000 with
quality juices selling for up to RM300 per 30ml
Vapers claim that its helped smokers, who industry
players insist are their target market, kick the habit.
Malaysian market is probably bigger than the US and is
still growing in terms of brands and products sold.
Vaping has a large following here despite the lack of
advertising

Opinions
Positive Effects
Increase jobs in vape industry (growing industry)
Potential to save state government
Infusing new money into the economy
National economys growth
More retail outlets are opening across the country

Opinions
Negative Effects
Effect the tobacco industry (US)
Culture Shows how Malaysians easily influenced by
foreign culture
Trend
Health (lung issues, cancers, emphysema)
Haram in FATWA
Uncontrolled trading/selling among youngsters

Hostfedes Culture
Uncertainty Avoidence Index

Long Term Orientation

Indulgence vs Restraint

Malaysia's
vaping
industry needs
to be
regulated

Solutions
High imposed of taxation
Must be regulated by government
Foreign industry should be aware about other
countrys religion
Embargo system towards e-ciggarates

THANK YOU
#VAPEOFF