Implementation of Inclusive Business Model in Malaysia: A Preliminary Analysis

Inclusive business models (IBM) have indeed gained significant attention for their potential to address economic and social challenges simultaneously. By integrating low-income communities into the value chain, these models create opportunities by improving livelihoods while fostering sustainable economic growth. In Malaysia, applying IBM to industries such as oil palm farming can enhance smallholder farmers' productivity, increase their income, and provide access to broader markets. Through better integration into the supply chain, farmers can benefit from training, financial support, and partnerships with larger enterprises. This business model also aligns well with global goals such as the Sustainable Development Goals (SDGs), particularly in reducing poverty and inequality. This paper explores the concept of IBM, examines its application in Malaysia, and assesses the country's readiness to implement and support such models. The findings provide insights for policymakers and business stakeholders to enhance the performance of Micro, Small, and Medium (MSMEs) in Malaysia, contributing to more inclusive and sustainable economic development.

Inclusive Business Models, Performance of MSMEs

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