ST.

THEODORE PERPETUAL SCHOOL

#8 Bunyi St., Buting, Pasig City

THE EFFECTS OF COVID-19 THAT HAS AFFECTED THE ECONOMY OF THE

PHILIPPINES

IN PARTIAL FULFILMENT OF THE REQUIREMENTS IN ENGLISH 10 FOR THE

SCHOOL YEAR 2020-2021

ETHAN MARQUI C. SEBASTIAN

RESEARCHER

Ms. Ghia C. Sag-uban

RESEARCH ADVISER
 TABLE OF CONTENTS

TITLE PAGE i
TABLE OF CONTENTS ii-iii
LIST OF TABLES/FIGURES iv
ACKNOWLEDGMENT v
ABSTRACT vi

CHAPTER I INTRODUCTION 1
A. BACKGROUND OF THE STUDY 1
B. STATEMENT OF THE PROBLEM 1
C. SIGNIFICANCE OF THE STUDY 1
D. SCOPE AND LIMITATIONS OF THE STUDY 2
E. DEFINITION OF TERMS 2

CHAPTER II REVIEW OF RELATED LITERATURE AND STUDIES 3

CHAPTER III METHODOLOGY 5

A. METHOD OF RESEARCH 5
B. SUBJECTS OF THE STUDY 5
C. DESCRIPTION OF RESEARCH INSTRUMENT 5
D. DATA GATHERING PROCEDURE 5
E. STATISTICAL TREATMENT APPLIED 6

CHAPTER IV PRESENTATION, ANALYSIS, AND INTERPRETATION OF DATA

7
A. RESULTS OF THE STUDY7

CHAPTER V SUMMARY, CONCLUSIONS, AND RECOMMENDATIONS 12

A. SUMMARY OF FINDINGS 12
B. CONCLUSIONS 12
 ii

C. RECOMMENDATIONS 13

CHAPTER VI BIBLIOGRAPHY 14

CHAPTER VII APPENDIX 15

 iii
LIST OF TABLES/FIGURES

Graph 1: Graph of the Change of the Growth Rate of GDP……………………………3

TABLE 1: Table of Growth Rate of GDP in Various Sectors…………………………..3
 iv
ACKNOWLEDGMENT

First of all, I would like to thank God for guiding and protecting everyone involved
in this research throughout the school year. I would also like to thank Ms. Ghia C. Sag-
uban for advising us in our various researches. I would also like to thank my mother for
supporting me in my research. I would also like to thank the respondents for the survey,
which include relatives and friends, for helping and contributing to my research.
 iv

ABSTRACT
The purpose of the study is to know how big of an impact the pandemic COVID-19
did to our country financially. So many things changed because of the pandemic, and
this has affected many people financially. I also want this research to be a tool for
people with small business and use it to know how they can still be successful while the
pandemic is ongoing. The way I am going to find out how much of an effect the
pandemic had to our country, I am going to ask small businesses of how much their
business changed, how much they had to adapt, and if their business would be better
off in or out of the pandemic.
 v
CHAPTER I
INTRODUCTION
A. BACKGROUND OF THE STUDY
Many lives have been affected in the pandemic. It has been a hard ordeal for
everyone. That is why I am doing this research, to find a way to help people who are
struggling in the pandemic. In this research, I want to know how much of an impact
has done to the economy of our country. I want to know how to help small
businesses that are struggling in the pandemic. As a student, I can only help in small
ways, so I want to do as much as I can. I also want to know how much of a change
the economy of the Philippines received when the virus first hit. As a son of a mother
who runs her own small business, I know how hard it was for a person running a
business when the ECQ was announced and how hard it still is to run the business
in the current GCQ.
B. STATEMENT OF THE PROBLEM
In the study, I want to answer three questions;
 The positive and negative effects of the pandemic to certain businesses
 The state of the economy of the Philippines today. (If it’s worse than when the
virus first hit, if no change happened, or if it improved)
 The way for businesses to adapt to the new normal
C. SIGNIFICANCE OF THE STUDY
This study is for people who run small businesses and companies. Since there is
a pandemic, many restrictions and precautions were made to help the safety and
health of the community. But this had a huge impact to many businesses, big and
small alike. Thus research is mainly for the small businesses and companies that
are struggling to adapt to the new normal but this research can also be used by
bigger businesses. I want to focus this study on the smaller businesses because
they have it harder when it comes adapting to the new normal. Big businesses have
 many resources and funds that they can use to adapt to the new normal whilst the
1
smaller companies only have a small amount of things they can use.
1

D. SCOPE AND LIMITATIONS OF THE STUDY

In this research, I will mainly be focusing and limiting myself to small businesses
and companies. I will still look at bigger businesses to see similarities in them with
the smaller ones, but they won’t be the main focus of the study. This is because it is
harder to find information about their businesses. But this is still a good source of
looking at what type of businesses are thriving in the pandemic, like how grocery
stores still thrive in the pandemic. 2 We will also look at a more genral view of the
economy by looking at the growth rate of the Philippines GDP.
E. DEFINITION OF TERMS
Here are the definitions of soma of the terms used;
1. Adapt - become adjusted to new conditions
2. Business - a person's regular occupation, profession, or trade
3. Economy - the wealth and resources of a country or region
4. ECQ – Enhanced Community Quarantine
5. Funds - a sum of money saved or made available for a particular purpose.
6. GCQ – General Community Quarantine
7. GDP – Gross Domestic Product
8. Growth Rate – the rate of speed something grows.
9. New normal – The new way of doing things now that the pandemic hit
10. Resources - a stock or supply of money, materials, staff, and other assets that
can be drawn on by a person or organization in order to function effectively.

1
https://abcnews.go.com/Business/businesses-adapting-coronavirus-pandemic-economy/story?id=69748107
2
https://business.inquirer.net/313404/sectors-that-not-only-survived-but-thrived-during-the-pandemic
 2
CHAPTER II
REVIEW OF RELATED LITERATURE AND STUDIES
To see the effects of the pandemic to the economy of the country, we are going to
compare the growth rate of the countries GDP in the years 2018, 2019, and 2020.
Graph 1: Graph of the Change of the Growth Rate of GDP3

Growth Rate of GDP

10
5
0 Growth Rate of GDP
Early 2018 Late 2018 Early 2019 Late 2019 Early 2020 Mid 2020
-5
-10
-15
-20

We can see here that starting from 2020, there was a significant drop off from the
growth rate. From late 2019’s 5.5 to early 2020’s -0.7. A 6.2 difference between the
years. And when the ECQ was implemented, it dropped off even more to -16.7. This
confirms that the pandemic had a huge impact on the economy of the Philippines.
TABLE 1: Table of Growth Rate of GDP in Various Sectors 4
Growth Rate of 2017-2018 2018-2019 2019-2020
Agriculture, Forestry, and Fishing 2.6 0.5 -0.3
Transportation and Storage 8.8 6.8 -11.4
Accommodation and Food 11.6 6.0 -16.4
Services
Human Health and Social Work 2.1 3.0 4.7
Education 5.4 5.1 1.1
Electricity, water, steam, and 7.7 3.4 4.9

3
https://tradingeconomics.com/philippines/gdp-growth-annual
4
http://ateneo.edu/sites/default/files/downloadable-files/ADMU%20WP%202020-16.pdf
waste management

3
Here we can see some sectors that are the ones who are affected the most by the
pandemic. We can see that transportation and storage and accommodation and food
services were the ones most affected. Because of the quarantine, these sectors could
not operate properly, so their income declined significantly. Human health and social
work had a rise in the growth rate of GDP because of the demand there is because of
the pandemic. Doctors, nurses, and other social service workers are the most active in
the pandemic. They are the ones who help and protect the public while the pandemic is
ongoing. Electricity, water, steam, and waste management isn’t affected much because
these are essential for human living and won’t be shut down or stopped operating even
if there is a quarantine.

Today in the state of quarantine, e-commerce is where most people try to go to.
Online business has turned popular in the pandemic. They had a huge success
throughout 2020. According to an article written by Andrew J. Masigan, “91% of Filipino
internet users searched for goods and services to purchase during the quarantine
period. Of all those who searched, 76% consummated the transaction.” He also said
that 2020’s sales turn over doubled 2019’s P3 billion. 5 As for trying to make a business,
it is not an easy ordeal, but it has a high pay-off. As said in the book The Complete E-
Commerce Book, all the tools to start a business are available to us, but we need to
learn how to manage things like web servers and such. 6

5
https://www.bworldonline.com/the-state-of-e-commerce-in-the-philippines/
6
The Complete E-Commerce Book by Janice Reynolds
 4
CHAPTER III
METHODOLOGY

A. METHOD OF RESEARCH
The method of research used for this research was a survey/questionnaire
research. I made a questionnaire with which result would show the answer to the
topic. They were given to people who worked for or ran a small business.

B. SUBJECTS OF THE STUDY

The subjects of my research were my friends and friends of my mother. Their
ages ranged from 15 – 55. Many of them work for or help at a small business. They
are people that can observe how the business they work at is changing. A few of the
respondents owned businesses themselves, two of them being my mother and my
aunt.

C. DESCRIPTION OF RESEARCH INSTRUMENT

The instrument used for the research is the online program called google forms. It
is a platform made by google that allows anyone to make any form of questionnaire.
You can make quizzes, exams, and for this research, surveys.

D. DATA GATHERING PROCEDURE

The study started at trying to look for a numerical value of change in the
economy. I wanted to look for a certain percentage of change the economy of the
country had. But the more a thought about it, numerical values wouldn’t be much
help because these things can easily be found on the internet. So I decided to
examine how businesses were affected. This would make for a better representation
because this would make people know what and what not to do in their business
while the pandemic is taking place. This would also show way to how to adjust to the
 pandemic if your business is struggling. With a goal set in place, I created a survey
for people who work for or own a business.
5

E. STATISTICAL TREATMENT APPLIED

To show the results of the survey and find the results of the research, I used
graphs as a representation of the data found. I also used this to find the final results for
the study.
 6
CHAPTER IV
PRESENTATION, ANALYSIS, AND INTERPRETATION OF DATA
A. RESULTS OF THE STUDY
After conducting a ten question survey, we were able to gather data that will help
us formulate a conclusion for the research.

Is your business still affected by the

pandemic today?
STRONGLY AGREE
AGREE
NEUTRAL
DISAGREE
STRONGLY DISAGREE

Most of the businesses of the people I surveyed for the research said that they
were still somewhat or heavily affected by the pandemic. The types of businesses of
those where affected were mostly food services like food stalls or small diners. There
were some businesses that are not affected by the pandemic anymore are online
sellers. Online selling is one of the alternatives many people have used to still run a
business while the pandemic is taking place.
 Was your business able to run when the
pandemic first started
STRONGLY AGREE
AGREE
NEUTRAL
DISAGREE
STRONGLY DISAGREE

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Although many businesses were affected financially, they were still able to keep
their business open, albeit with near to no customers. Some were still forced to
temporarily close though like food stalls in populated places.

Where you able to adjust to the pandemic?

STRONGLY AGREE
AGREE
NEUTRAL
DISAGREE
STRONGLY DISAGREE

Most of the people I surveyed were somewhat able to adjust to somewhat adjust
to the pandemic, albeit not perfectly. There were still a few people who weren’t able to
adjust because they were struggling financially.
 Did your business change greatly after the
pandemic?
STRONGLY AGREE
AGREE
NEUTRAL
DISAGREE
STRONGLY DISAGREE

Most of the businesses of the people I surveyed have changed ever since the
pandemic started. Most of them said that their business changed because of the various
changes they had to do. A couple of the people that I surveyed said that they only
changed very lightly because they needed to adjust much. Those people who answered
negatively where people who had an online based business.
8

Were your customers happy to those ad-

justments?
STRONGLY AGREE
AGREE
NEUTRAL
DISAGREE
STRONGLY DISAGREE

Half of the respondents answered neutrally. Some of them said that their
customers didn’t really mind the adjustments but they were still a small inconvenience.
But there were still some cases that the customers were happy with the adjustments
because they served to be a way to protect their customers from harm.
 Are you going to keep those changes?
STRONGLY AGREE
AGREE
NEUTRAL
DISAGREE
STRONGLY DISAGREE

The majority of the respondents answered positively. Some said that they were
going to keep it because there wasn’t much of a reason to remove the changes they
made, and some said that they still fear that even if the pandemic ends, they fear that
the disease may still linger so they will keep most of their changes as a precautionary
measure. A few said that they will remove their changes because their changes were a
limit to people allowed inside their establishment.

Was the income of your business affected by

the pandemic?
STRONGLY AGREE
AGREE
NEUTRAL
DISAGREE
STRONGLY DISAGREE

Almost everyone agrees that there was a change to their income because of the
pandemic. Most of them were negative changes but there were a couple that e nature
had a minor positive change because their business was online based. The nature and
convenience of their platform made it so that many more people went to buy from them.
 Has your income returned to the state that it
was before the pandemic?
STRONGLY AGREE
AGREE
NEUTRAL
DISAGREE
STRONGLY DISAGREE

Many of the respondents say that there income hasn’t reverted back to how it
once was. They say that the pandemic still has a big effect to their business till this day.
Some however were able to find ways to adjust and were able to get back some of the
income and lost and get back to the financial point they were on before the pandemic.

10

Did all of your usual customers come back to

your business after the lightening of the
pandemic? STRONGLY AGREE
AGREE
NEUTRAL
DISAGREE
STRONGLY DISAGREE

Most of the respondents answered positively. They said that all of their usual
customers went back to buying to them when they were allowed to go outside again.
Some of them responded negatively because their establishments where placed in
crowded areas, so some were still unwilling to go back to their business.
 Can you say that your business could be in a
better state today if the pandemic didn’t
happen? STRONGLY AGREE
AGREE
NEUTRAL
DISAGREE
STRONGLY DISAGREE

Most of the respondents agree that there business would be better off if the
pandemic never happened. They say that because of not being able to open for the first
few weeks of the pandemic, the reduction of the customers they get, and extra
expenses for adjustments, they would have a lot more money if the pandemic didn’t
happen.

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CHAPTER V
SUMMARY, CONCLUSIONS, AND RECOMMENDATIONS

A. SUMMARY OF FINDINGS
Many things can be found out from the survey conducted. Most people think
that the pandemic was a bad thing that affected their business and it still affects
them till this day. Many agree that it was big effect on them financially. Most of them
also haven’t recovered from the blow the pandemic dealt. But there were some
cases that were different from all the rest. The answers of few business owners that
were online based even before the pandemic showed that they struggled a little bit
less because of the platform they were on. Also, observing at the changes many
businesses around the country are doing, online services look like a really reliable
thing in the current situation we are in.
B. CONCLUSIONS
 To conclude the study, I would like to answer the questions mentioned for the
study. Firstly, there were many affects the pandemic had to our community, both
positive and negative. In what I observed during the research, some of the effects
the pandemic has done in the economic world are reduction of customers due to the
quarantine, reduction of transportation services for supplies due to the quarantine,
closing of public establishments, and people favoring online shopping. Some of the
positive effects of the pandemic are the success of the online space, businesses
learning of new platforms for where they can expand their business, and experience
for how to deal with this type of experience. But with I observed, it can be seen that
the negatives outweigh the positives. Secondly, as seen in the eyes of a small
business runner, the economy is certainly in a worse state than it is before the
pandemic started. Lastly, there are some ways to adjust to the pandemic. One of the
ways is to try to get in the online space and either expand ore move your business
there. In what I observed in the research, the online space is less affected by the
pandemic due to the amount of human contact needed. This is one of the best ways
to adjust. If the online space is not an option for you, there are still a few things you
12
can do so that your customers can ensure their own safety when they see your
business. You should and a plastic barrier to spate you and your clients from any germs
that may transfer from you and them. Also provide isopropyl alcohol for the customers
so that they can disinfect themselves. If you are running a food establishment, you
should reduce the amount of people that are allowed inside so it can’t be crowded and
the customers can still practice social distancing. Speaking of social distancing, you
should always your customers to do so. Advise them to try to distance themselves from
other customers. If there is a line, advise them to give space for each other. If there are
tables and chairs or benches, add marking for were they should seat. Also advise them
to follow proper hygiene. If these are applied to your business, risk of infection for the
customers will be greatly reduced and more people will go to your business even in the
pandemic.
C. RECOMMENDATIONS
 As said earlier in the research, this study is for people who run or plan to run a
small business. If you were to try this research for yourself if another situation like this ,
which hopefully it will not, happens, I would recommend looking at wider variety of
business types so that you would see the other effect of the pandemic to other
businesses.

13
CHAPTER VI
BIBLIOGRAPHY
Dumlao-Abadilla, D. (2020, December 7). Headlnes: Sectors that not only survived, but thrived during

the pandemic. Retrieved January 14, 2021, from INQUIRER.NET:

https://business.inquirer.net/313404/sectors-that-not-only-survived-but-thrived-during-the-

pandemic

Lim, J. A. (2020). Department of Economics. Retrieved January 11, 2021, from Ateneo de Manila

University: http://ateneo.edu/sites/default/files/downloadable-files/ADMU%20WP%202020-

16.pdf

Masigan, A. J. (2020, August 2). The State of E-Commerce in the Phillipines. Retrieved January 14, 2021,

from BusinessWorld: https://www.bworldonline.com/the-state-of-e-commerce-in-the-philippines/

Philippines GDP Annual Growth Rate. (n.d.). Retrieved January 4, 2021, from Trading Economics:

https://tradingeconomics.com/philippines/gdp-growth-annual

Reynolds, J. (2000). The Complete E-Commerce Book. CRC PRESS.

Thorbecke, C. (2020, March 29). How businesses are adapting to a coronavirus pandemic economy.

Retrieved January 14, 2021, from ABC News: https://abcnews.go.com/Business/businesses-

adapting-coronavirus-pandemic-economy/story?id=69748107

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CHAPTER VII
APPENDICES
RESEARCHERS PROFILE:

NAME: ETHAN MARQUI C SEABTIAN

BIRTHDAY: JUNE 11, 2005
AGE: 15
ADDRESS: 129 E. MENDOZA ST., BUTING, PASIG CITY
ACHIEVEMENTS: WITH HONORS
OUSTANDING PERFORMANCE IN RESEARCH
TASK CHAMP AWARD
COURAGEOUS LEARNER AWARD

15
SURVEY:
RESEARCH PAPER QUESTIONAIRE
THE EFFECTS OF COVID-19 THAT HAS AFFECTED THE ECONOMY OF THE
PHILIPPINES
RESPONDENT’S NAME:_________________________________________________
AGE:_____________________ DATE:___________SIGNATURE:_______________
DIRECTIONS: Put a check mark on the boxes to express your opinion on the following
questions.
1-Strongly Agree 2-Agree 3-Neutral 4-Disagree 5-Strongly Disagree
QUESTIONS 1 2 3 4 5
1. Is your business still affected by the
pandemic today?
2. Was your business able to run when the
pandemic first started
 3. Where you able to adjust to the
pandemic?
4. Did your business change greatly after
the pandemic?
5. Were your customers happy to those
adjustments?
6. Are you going to keep those changes?
7. Was the income of your business
affected by the pandemic?
8. Has your income returned to the state
that it was before the pandemic?
9. Did all of your usual customers come
back to your business after the lightening
of the pandemic?
10. Can you say that your business could be
in a better state today if the pandemic
didn’t happen?

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LETTER TO THE RESPONDENT:

Dear __________(Name of Respondent),

Greetings

I am currently conducting a survey about The Effects of COVID-19 That Has Affected
the Economy of the Philippines. The goal of this research is to help small businesses
such as yours to be better suited to the challenges that are being faced toady. Your
answers will play a big part in looking for ways for businesses to adjust in the pandemic.
You cooperation will be fully appreciated.

Thank You.

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DOCUMENTATION:
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