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FACULTY OF BUSINESS MANAGEMENT UNIVERSITI TEKNOLOGI MARA

MARKETING OF TRANSPORT SERVICES (TPT656)

THE FREIGHT TRANSPORTATION SERVICES IN MALAYSIA

NAME MATRIC NUMBER PROGRAMME CODE GROUP LECTURERS NAME SUBMISSIONS DEADLINE

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MUHAMMAD IZHAM BIN JOHARI 2010660922 BM216 5A DR. HARLINA SUZANA BINTI JAAFAR APRIL 9TH, 2013

QUESTION

In not more than one page, elaborate the Services Industry in Malaysia. Then continue by explaining the various transportation services available in Malaysia. You may narrow down to either passenger or freight transportation by concentrating on the historical perspective, the current state of the industry and your dream future scenario of transportation services in Malaysia. (Please write within less than 2000 words)

Service sector which is the tertiary sector of the industry can be defined as an industry made up of company that primarily earn revenue through providing intangible products and services. Service industry companies are involved in retail, transport, distribution, food services as well as other service-dominated business (BusinessDictionary.com). In 2011, the service sector had contributed 58% of the Gross Domestic Product (GDP) and the government of Malaysia has targeted the service industry to be the main driver of future growth by projecting growth up to 67.3% of the sector shares of GDP by 2020 (Ministry Of International Trade And Industry).

There are lots of transportation services in Malaysia like public transportations (stage buses, taxis, LRT, monorail and ferry sevices), forwarding services, haulage services, warehousing services, cold chain logistic, logistics problem solving services and much more. Some firm focusing on one service but most of them provide two or more services for their customers. RapidKL (public transportations) and Gerimis Baiduri (cold transportations) are some of the company that focusing on one service while Kontena Nasional, Total Field Logistics and MISC are some of the company that provide more than one services to its customers.

The history of freight transportation in Malaysia had started long ago since the era of Malay Sultanate of Melaka and start to develop when British conquer this land by introducing the railways to move tins and golds from mines to the ports. The transport industry in Malaysia, comprising of land, sea, air and pipelines has gone through numerous changes from that time especially in the 1990s in terms of infrastructure facilities, operators, equipment, manpower and operating systems. Nevertheless, there was no cohesive and comprehensive transport policy guiding the industry, but some mode-specific policy statements were made on ad hoc basis. Two main contributors to the development of the local transport industry are industrialization and international trade where these two key factors are complementary in nature and created the necessary demand for transportation and logistics services (Salina, 2004). Today, Malaysia has climbed to number 29 of the Logistics Performance Index (LPI), a benchmarking tool created by The World Bank to help countries identify the challenges and opportunities they face in their performance on trade logistics and what they can do to improve their performance.

Anybody would hope that their country has a realible and sustainable transportation system with less pollution environment and its the same for me. I would like to see Malaysia to be a developed country with a great transportation system, a reliable public transportation services and also to see Malaysia to get into the top 10 of LPI.

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