ISSUES of class, race, and religion have no place in the day-to-day running of a mall, which success rests solely in its location and quality of service it provides, stakeholders said today.

They said setting a race-based quota for retail space and segregating retailers by racial markers are a bad idea that will harm the synergistic structure of the retail cluster.

They added such policies would also prove disadvantageous and a burden to the party which they are intended to help.

“It will be more positive and progressive for the government to provide the requisite assistance to prepare the candidate for the retail business and equip him with the necessary knowledge and management skills before embarking into the venture,” read a joint statement today from the Malaysia Shopping Malls Association, Persatuan Pengurusan Kompleks Malaysia, and Malaysia REIT Managers Association.

While it was not expressly stated, it was clear they were objecting to Prime Minister Ismail Sabri Yaakob’s recent proposal to introduce quotas for Bumiputera-owned businesses in locations such as shopping malls.

This is to be part of the government’s efforts to boost the community’s participation in the economy.

Ismail, who is chairs the Bumiputera Prosperity Council, said the quotas would be transparently and fairly managed.
 
The three mall groups today said the government could instead help the Bumiputera  by acquiring franchises of established brands and matching them with qualified candidates to run them.
 
“Starting out with an established brand will give the business a headstart and advantage in brand recognition and attract customers.”

They said the mall and retail industry has been deeply affected by the Covid-19 pandemic and many were struggling to recover from the lockdowns.

However, they added, the industry was confident that shoppers would return to the mall to shop and socialise and for food and entertainment.

“Neither race, religion nor class of the retail candidates matters at all. What critically matters is that the merchandise and services being offered are able to accommodate and match the needs and wants of the market (shoppers) and to fit the brand-mix and the tenant-mix within the respective cluster so that there is no anomaly or incongruity,” the groups said.

They added that it was important for retailers to understand that businesses need to be nurtured and must constantly evolve to meet changes and challenges in the marketplace.

“In shopping malls and retail, the only constant is change and adaptation where businesses who are quick to react to market trends will be able to sustain themselves and succeed. 

“While a solid financial foundation is important, it is noted that many business failures are due to insufficient understanding and adaptation and the lack of perseverance, dedication and hard work, particularly during the current challenging times.” – December 6, 2021.