THE PERCEIVED ADVANTAGES, DISADVANTAGES AND STRATEGIC RESPONSES OF INTERNATIONAL STOCKBROKING FIRMS IN ASEAN COUNTRIES

This paper presents the findings of a questionnaire survey of stockbro king firms in five countries in the Association of South East Asian Na tions (ASEAN): Singapore, Malaysia, Thailand, Philippines and Indonesi a. The main focus of the study is twofold: first, to investigate the a dvantages and disadvantages of the presence of international stockbrok ing firms in ASEAN, as perceived by local stockbroking firms and secon d, to survey the strategies of these firms in response to the competit ion posed by international broking firms. We find that local firms bel ieve that there are benefits arising from the entry of foreign firms i n the region. Among the more important benefits cited are higher quali ty research, increase in trading volume and market liquidity. The most important strategies of local firms are to improve their research cap ability and to provide better staff training. This augurs well for the stockbroking industry in the ASEAN region.