Abstract

The establishment of business entity, especially among Malays ethnic, experienced a rapid development since Malaysia has gained independence from British colonial in 1957. In 1970 the government has launched a New Economic Policy (1970-1990) which aimed to increase Malays ownership in economic activities without sidelining other races. However, at the end of the period, the targeted figure of 30% Bumiputera (indigenous) ownership is far from achieved. The government was alerted and has conducted a substantial program to overcome the problems. Thus, this study aimed to investigate the factors that hinder SMEs from using the services, hoping that the awareness is no more a key issue. This study is also to assess non-users perception of firms’ performance in the absence of the government support services. The study used cross sectional data from database of national SME supervisory body. The respondents are Malays SMEs all over Malaysia.

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