Business transition in Bandar Penawar, a new town in Kejora Region, Malaysia

The development of new town is one of the strategies of regional development in the era of the New Economic Policy (1970-1990) with the main goals of eradication of poverty and restructuring of society. The development of Bumiputera businesses in Bandar Penawar was an initiative undertaken by KEJORA in pursuing the goal of the restructuring of society in which the Bumiputera or Malays were promoted to participate in business activities. This paper will look into the consequences of new development activities in the region in post 2010 period to the small businesses in Bandar Penawar and to what extend the Malay businesses are able to benefit from the economic expansion of the region. It will examine business transition in the new town in relation to the role of private capitals and government in economic development