Name: Monroy, Jayzell A.

Section Code: CBET-01-503E

Student Number: 2018-100583 Course: Economic Development

Chosen Company: San Miguel Corporation

What are the uses of national income statistics?

(1) Formulation of Economic Policies

In formulating the economic policies of each company, management plays vital role.
Management decisions are based on company’s financial statements. There are
significant factors affecting the formulation of economic policies of San Miguel
Corporation. It includes:
Statement of Compliance. Where the company prepared consolidated financial
statements in compliance with Philippine Financial Reporting Standards (PFRS).
Significant Accounting Policies. The accounting policies they have been using
is applied consistently to all periods.
Adoption of New and Amended Standards and Interpretation. The company
based the reporting of financial statements by the approved number of new and
emended standards of Philippine Financial Reporting Standards Council (FRSC).

(2) Studying Economic Structure

San Miguel Corporation is considered as the Philippine’s largest corporation in terms of
revenue because of the methods they are using for allocating products. In fact, its
products are exported to major markets around the world. Continuing a tradition of
product quality, San Miguel is capitalizing on its unique strengths in brands and
distribution to weave its products more deeply into the fabric of everyday life. Not just in
the Philippines but in the Asia-Pacific region.

(3) Inter-Sectoral Comparisons

San Miguel Corporation established a significant presence overseas. The company’s
operations extend beyond its home base of the Philippines to China, Vietnam,
Indonesia, Malaysia, Thailand and Australia. Through strategic partnerships it has
forged with major international companies, San Miguel has gained access to managerial
expertise, international practices and advanced technology, thereby enhancing its
performance and establishing itself as a world-class company.
(4) Indicator of Economic Welfare
One of the Philippines’ most diversified conglomerates, San Miguel contributes 5% to
the Philippines’ GDP through its highly integrated operations in beverages, food, oil
refining, energy, power, and infrastructure.

In its long history, the company’s operations have always been strongly supportive of
national development in particular, the regional dispersal of industries and employment,
providing livelihood and business opportunities in virtually every local community.

Today one of the nation’s largest employers with a workforce of over 17,000 in seven
countries; for each job created within the San Miguel system, many thousands of
additional jobs are created through suppliers, distributors, retailers and other business
partners. The company’s recent scaling up and scaling out will mean involving a wider
range of people in its growth.

(5) Making International Comparison

One of the top competitors of San Miguel Corporation is the Finsbury Food Group. It  is
a leading specialty bakery manufacturer, producing a diverse range of cakes, bread and
bakery snack products. Their business strategy is to generate returns for shareholders
by building a crafted bakery group.

REFERENCES:
https://www.sanmiguel.com.ph/files/reports/PSE_SMC-
PreliminaryIS_05.02_.2018_C_.pdf
https://www.sanmiguel.com.ph/page/making-a-difference