ENTREPRENEURSHIP IN

THE PHILIPPINE
SETTING
CHAPTER 02
Significance of Filipino Values in
running a business
 2 Factors that affect the business:
1. Existing Values
2. Culture
Significance of Filipino Values in
running a business
 Some Negative Values/Traits of Filipino that
foreign countries noted about us:
1. Tamad
2. Segurista
3. Mahilig Makisama
4. Gaya-gaya
5. Ningas-kugon
6. Balat-sibuyas
7. Bahala na attitude
Significance of Filipino Values in
running a business
 In a typical Filipino environment, entrepreneurship
is not so much encouraged at an early age. Children
were brought up focusing their attention in getting
an education so they can later find outside
employment. They were never molded for a
lifetime endeavor that is based on autonomy and
independence. However in families of Chinese
descent, parents require their children to start
working early by helping in the family. The effect
has been the proliferation of businesses owned by
the Chinoys.
Significance of Filipino Values in
running a business
 Positive effects of Filipino Culture
• Excellent Human Relations – filipinos have high
regard for pakikipagkapwa-tao which turn elicits
certain values like pakikisama, pakikibagay,
bayanihan at pagmamalasakit. Filipinos like to
be in harmony with others. They always maintain
what is known as SIR or Smooth Interpersonal
Relationship in their social dealings.
Significance of Filipino Values in
running a business
• Impact on entrepreneurship – they do not favor
exploitation of others. With these attitudes, the
entrepreneur is able to build rapport easily with
those involved in his business. He gains
satisfaction from the fact that he engages in
something of value to others such as improving
their lot.
Significance of Filipino Values in
running a business
• The value of self-esteem and good public image –
Filipinos though morally obliged to place the
group’s interests above their own, they nonetheless
try to preserve their dignity. The filipino attitude of
amor-propio ( A Spanish word meaning love of
one’s self) and delicadeza ( A Spanish word
connoting sense of decency) reflects this assertion.
It is common for filipinos to avoid getting
mapahiya by not making moves that would
warrant disapproval from peers or the public.
Significance of Filipino Values in
running a business
 Impact on entrepreneurship – an entrepreneur is
prevented from engaging in extreme pakikisama
because of the need for professionalism as required
by delicadeza. He may be motivated by amor
propio in aspiring to do well in business but his
sense of hiya will temper his desire to outsmart his
peers and competitors because of pakikisama.
Significance of Filipino Values in
running a business
 Adventurous – is seen in the form of risk-taking. It
is common for us to see people coming from
different provinces migrating to urban districts.
Their common answer as to why they migrate is
they want to try their luck in Manila.
Significance of Filipino Values in
running a business
 Courageous – Filipinos when confronted with
certain uncertainties, the usual answer is bahala
na. During times when hey have financial crisis in
the province, the first option that comes to mind is
“ang makipagsapalaran sa Maynila”. This is a kind
of risk-taking that reflects the optimism of Filipinos
in life.
Significance of Filipino Values in
running a business
 Sense of Optimism – Over the past years, several
crisis such as political, economic and natural
calamities have beset Filipinos. But they have
natural strength of character and a strong sense of
faith in God which enables them to face and
withstand any crisis.
Significance of Filipino Values in
running a business
 According to a 1988 study by Senator Leticia Ramos-
Shahani, the country needs a moral recovery program
that would address the moral weakness of the Filipinos.
These are:
1. Extreme Personalism
2. Extreme family-centeredness
3. Lack of discipline
4. Passivity and lack of initiative
5. Colonial mentality
6. Kanya-kanya syndrome
7. Lack of self analysis and self reflection
Trends and Issues in the Philippine
Market
 The Philippines before Colonial Rule
• The first type of society was very prevalent. This
was the society composed of barangays. The
barangay had a definite area of territory in which
several hundreds of people were present Tere were
lands owned by the raja and datu. The majarlikas
supervised the timawa(farmers), which paid the
rent to the datus and rajas.
Trends and Issues in the Philippine
Market
• The feudal system was the most advanced system
present during those times. This was present in the
Moro sultanates in Mindanao and in Sulu. There
were a bigger number of inhabitants in a sultanate
where the area was compared to the barangay. The
sultan and datus ruled it with the former being the
more powerful.
Trends and Issues in the Philippine
Market
• The primitive communal was the lowest society
organization. This can be observed fro the Aetas in
the Central Luzon and other nomadic tribes. There
was no private ownership of lands. The tribesmen
lived by fishing, hunting and gathering.
Trends and Issues in the Philippine
Market
 The Colonial Rule
• Arrival of Spain – Ferdinand Magellan accidentally
discovered the country. The emergence of mercantilism
and manufacturing in Europe made it necessary for them
to colonize territories to obtain their raw materials. The
Philippines became the station for trade between Spain
and China as well as other neighboring areas. The
Spanish regime cared less of the economic condition of
the Philippines as they exploited the natural and human
resources of the country.
Trends and Issues in the Philippine
Market
• Arrival of US – The beginning of major industrial
power. They assumed an imperialist posture that
wanted to take advantage of the raw materials and
resources other countries had to offer. During their
stay, the Americans instituted reforms and policies
that would ensure their presence even after they are
gone. This is marked by a period where the
capitalist system was strengthened.
Trends and Issues in the Philippine
Market
• Arrival of Japan – it brought the Philippines to a
great deal of devastation and economic depression.
Their short-lived stay left the Philippines with
nothing but the remnants of war.
• From these, we can infer that our experiences from
our colonizers never brought about the needed
development of our country. They only slowed
down our progress towards economic self-
sufficiency.
Trends and Issues in the Philippine
Market
 After the Colonial Rule
• The Philippines can be described as pre-industrial.
The country does not yet have the infrastructures
and industries that can make it qualify
industrialized nation. We do not have industry that
can construct machines needed for development.
We are limited to assembly of parts imported from
other countries.
Trends and Issues in the Philippine
Market
• Foreign Control is still present in our Country –
foreign countries have devised subtle schemes
which in effect make us dependent on them in our
market and economic activities. The Philippines is
a signatory in many treaties as member of different
world organizations (GATT or General Agreement
on Tariffs and Trade, ASEAN or Association of
South East Asian Nation) which raises the doubts
as to its being beneficial to the country.
Trends and Issues in the Philippine
Market
• Western originated Capitalism – The country’s
present economic system. The economy is working
under a free-market system. Our economy is
characterized by a mixture of private enterprise,
which supplies goods and services through the
market system while the State supplies the goods
and services. Presently, the Philippines is
implementing reforms in its economy to jive with
Globalization. Globalization is an economic
policy that aims to remove artificial barrier in the
market. Examples are tariffs and taxes.
The Need for Entrepreneurship in the
Philippine Setting
 Block and Stumpf have proposed the perceived objectives of
entrepreneurship education. This will guide the entrepreneur its
knowing the level of knowledge he/she wishes to obtain.
1. To acquire understanding of the concepts germane to
entrepreneurship.
2. To integrate business knowledge across functional areas and
synthesize action plans.
3. To identify and stimulate entrepreneurial drive, talent and skill.
4. To undo the risk averse bias of many analytical techniques.
5. To develop empathy and support for the unique aspects of
entrepreneurship
6. To change attitudes towards growth and development.
The Need for Entrepreneurship in the
Philippine Setting
They also enumerated the challenges to be pursued:
• Challenges to Entrepreneurship Education Research
1. Development of research methodologies for measuring entrepreneurship education
effectiveness
2. Determining the educational needs of different audiences including the contents
and the approaches of entrepreneurship education.
3. The needed characteristic qualifications and trainings of the entrepreneurship
educator
4. The acceptance of entrepreneurship education in professional schools other than
business schools
5. The learning requirements of practicing entrepreneurs at each stage of their venture
life cycle.
6. Establishing a common boy of knowledge in the field.
7. Knowing the parameters to test the relative effectiveness of pedagogical
alternatives.
The Need for Entrepreneurship in the
Philippine Setting
 Large Corporations – they have come to recognize the
potential of small businesses to come up with better
products or processes.
 Government – it has instituted KALAKALAN 20, or
the otherwise known as RA 6810 the Magna Carta for
Countryside and Barangay Business Enterprises which
provides incentives for countryside and barangay
business enterprises plus exemptions from bureaucratic
restrictions. The Philippines also have in effect RA
6977 or the Magna Carta for Small Enterprise. This
mandates the promotion and financial assistance to be
given to entrepreneurs through the Small and Medium
Enterprise Development Council.
The Need for Entrepreneurship in the
Philippine Setting
 Non-Government Organizations – the private
sector as shown its relevance by providing
assistance to small businesses. There are those that
offer technical skills training and even financial
assistance. An example is the Executive Center for
Professionals and the Confederation of Overseas
Filipino Workers, which had created the program
called “Balik Pilipinas Entre Pinoy Program”. This
is a training program aimed towards the returning
OFWs to equip them knowledge and skills in
entrepreneurship.
The Need for Entrepreneurship in the
Philippine Setting
 Ten Reasons for Doing Business in the Philippines by James L.
Nolan
 The Philippines is creating incentives to entice foreign investors,
opening opportunities particularly in the areas of industrial and
infrastructure development.
 Earnings and capital can be freely converted and repatriated.
 A wave of privatization and deregulation has added substantially to
the investment attractions.
 Philippines financial markets, while still volatile, have been most
rewarding emerging securities markets, posting remarkable
performance in the recent years.
 The Philippines is one of Asia’s most accessible countries for many
Westerners because of its historic links with the Spain and the US.
The Need for Entrepreneurship in the
Philippine Setting
 At the crossroads of international shipping and air routes, this island
nation is strategically positioned as a perfect intermediary between
Asia and the rest of the world.
 The country offers a skilled, highly trainable, and inexpensive labor
force of more than 26 million people, many of whom speak English.
 The Philippines has a long-established reputation as a significant
exporter of agricultural products, minerals and other raw materials
and commodity goods.
 The Philippines reawakening industrial sector has already begun to
produce and export a range of competitive, higher-value-added
industrial products, and its effort at diversification are succeeding.
 The nation’s population constitutes a huge domestic market for
modern consumer goods. Policies encouraging export mean a
demand for imports of intermediate good, high-tech machinery and
raw materials.
Business Ideas in the Philippines
 Computer software and services
 Rooms for rent
 Lockers for rent
 One-stop Applicance Repair Shop
 Event and Party Planner
 Meat Processing
 Food carts
 Fruit and Flavored Drinks
 Hotdog, Barbeque and Burger Stand
 Car wash and Minor car repairs
Business Ideas in the Philippines
 Signs and silkscreen printing
 Fashion Accessories
 Junk Shop and Recycling Center
 Raising Pets
 Telephone Answering Service
 Softdrink and Beer Distribution
 Water Filling Stations
 Laundry and Ironing Service
 Flower Shop
 Carpooling
List of Government and Industrial
Support
 Technology and Livelihood Resource Center(TLRC)
Courses Offered:
• Business Livelihood Courses(Fastfood Business
Operations, Setting up a travel agency, Reflexology
etc.)
• Agri/Aqua Courses(Mango Production, Tilapia
Culture, Swine Production etc.)
• Food Courses – (Ice Cream Making, Basic Meat
Processing, Commercial Breadmaking and Bakery
Management etc.).
List of Government and Industrial
Support
 National Youth Commission
• People’s Organizaton and Non-Government
Organizations
• Rural Financial Institution Cooperatives
• Educational Institutions by TESDA
List of Private Sector’s Assistance
 Philippine Business for Social Progress
 Philippine Exporters Confederation
 Chamber of Furniture Industries of the Philippines
 Chamber of Agriculture and Natural Resources of
the Philippines
Group Members
 Bonifacio, Justine Louis
 Del Villar, Raph Wilson
 Dizon, Sedfrey
 Llavore, Richard Carlo
 Lozano, Al Vin
 Manuel, Aldwin Hubert
 Sangalang, John Cassiel
 Yñiguez, Ma. Cecilia