I read the letters to the editor with great interest, especially the latest by GH Kok (' Let's learn from Mahathir's mistakes ' ).

During the early 80s, Dr Mahathir Mohamad initiated the 'Look East' policy to emulate Japan and South Korea. What he either ignored, or chose to ignore, was the differences in the culture and economy of these two countries.

I admit to not knowing much about Korean economic history, but Japan had a large, well-organised, advanced economy until their demise at the end of the last war. They had a advanced military industrial complex - building advanced fighter planes, bombers, warships and aircraft carriers, along with its own steel and other industries before World War Two.

Japan did not start from square one after the second world as Malaysia had to. They also had a lot of American help, access to US markets, and also a large domestic market. On the negative side, they also had corruption and cronyism in their respective systems and still do, but possibly to a lesser extent now. In the early stages, they also had very protected markets.

Japan however has a large domestic market and competition in the various sectors, with economies of scale. In the car manufacturing industry for instance, there were the likes of Toyota, Datsun, Honda and Mazda vying for domestic market share as well as the export markets. Kawasaki, Mitsubishi, et al were making steel. Honda, Yamaha and Suzuki were making motorbikes.

A myriad on small companies were competing to supply these and other industries. These companies - and also the government - would recruit the best graduates from some of the best universities in Japan, which are world class.

I remember, in the early 90s, when the government was encouraging Malaysians to have larger families. It was as if the government was trying to create a larger domestic population so that the already faltering car and steel industries could thrive! In any case, a poor family with seven, eight or more children, living in a two- or three-bedroom house is a recipe for social problems.

I am saddened when I look at the wasted opportunities in Malaysia. We had a relatively small population and plentiful natural resources. Perhaps emulating Scandinavian countries would have been better proposition. Norway and Finland have no car industries but are successful advance nations. Sweden has Volvo and Saab, but even they are now owned by Ford and General Motors respectively.

Having a successful car and/or steel industry is no automatic passport to advanced status. Malaysia can even look closer to home, dare I say Singapore.