PHILIPPINES

a
business destination
 BUSINESS opportunities
 To start a new business it takes minimum 67 days for
a standardized company
 Overall 17th rank in the rankings of Market Potential
Indicator
 Good climatic conditions
 Access to sea root
 Less completion
 Fair legal policies & Foreign relationship
 Well acquainted with GLOBAL LANUAGES
 INTRODUCTION
 Named after Philip II of Spain
 Independence Day – 12th June 1898
 Capital – Manila
 Largest city - Quezon City
 There are 150 different languages and
dialects spoken in the Philippines
 Official language – Filipino & English
 Recognized regional languages - Bikol,
Cebuano, Ilocano, Hiligaynon,
Kapampangan, Pangasinan, Tagalog,
Waray-Waray
 LOCATION
 Neighbors are Taiwan to the north, Malaysia and
Indonesia to the south, Vietnam to the west, and China
to the northwest
 Comprises an archipelago of some 7,107 islands
located off Southeast Asia
 The total area is about 300,000 square kilometers,
including
 about 298,000 square kilometers of land and about
2,000 square kilometers of water
 Population - 88.701 million (2006)
 CULTURE
A fusion of pre-Hispanic indigenous Austronesian
civilizations of the Philippines mixed with Hispanic
and American cultures
Also been influenced by Chinese and Islamic
cultures
Spanish architecture
Commonly played games - Basketball and Billiards
Unlike westerners who value individualism,
Filipinos are usually collectivists
 CULTURE
 Music and leisure activities are an important aspect
of the Filipino society
 Filipino cuisine is heavily influenced by Mexican,
Spanish and Chinese cuisine
 The Chinese influences in Filipino culture are most
evident in Filipino cuisine
 About 25% of the words in the Tagalog language
and many other Philippine languages are Sanskrit
terms
 Many cultural similarities between
INDIA & PHILIPPINES
 ENTERTAINMENT
 Manila, Philippine's entertainment hub
 Folk dancing and cinemas during the day,
pubs and nightclubs during the night
 Tagalog cinema is big in the country with the
industry almost rivals that of Bombay or
Bollywood
 Jazz Clubs
 RELIGION

Christian Malays constitute 91.5 percent of the total

population, Muslim Malays 4 percent, Chinese 1.5
percent, and others 3 percent.
STUDY OF 6 THUMB RULE FOR
DOING BUSINESS ACROSS
CULTURE
Be prepared
Slow down
Establish trust
Understand the
importance of language
Respect cultural
differences
No culture is inherently
superior in all aspects
 GOVERMENT &
POLITICS
 Executive Branch &
Legislative Branch
 Judicial Branch
 Administrative Divisions
 Judicial and Legal System
 The basis of Legal Code is
primarily Spanish and Anglo-
American law
 Islamic Law
 Y
M
O
N
C O
E
FOREIGN RELATIONS
Seeking observer status in the Organization of the
Islamic Conference
Maintains close ties to Persian Gulf and other Middle
Eastern nations
Maintains strong ties to the United States
Fragile relationship with China
Cooperates with the neighboring countries of
Indonesia and Malaysia
Japan and the United States are the Philippines’
leading trading partners and sources of direct
investment
 IMPORTS & EXPORTS
Import’s
- US$ $53.96 billion ( telecommunication and
electronics equipment, chemicals and crude
petroleum)
 Export’s:
- US $48.38 billion (electronic products, clothing,
coconut oil and petroleum products)
 BOP:
- US$2.1 billion
TRANSPORTATION AND
TELECOMMUNICATIONS

a d s
a i lro
 R ds
R oa
 ts
o r ts
 P il i r p o r
C i v n / A y s
 at i o r w a
A v i a t e
n d W
I n l a

 GDP,PPP & GNP
 GDP(25th)
- US$84.6 billion & growth
of 7.3%
- Per-capita US$1,150
 PPP:-
- US$298.9 billion
- Per-capita US$3,300
 External debt
- US$61 billion ( 72.2% of
GDP)
 GNP
- US$1,080 (per capita)
CURRENCY, INFLATION & FDI
Philippine peso (PHP)
PHP41 = US$1
 Govt’s Budget:
Deficit US$3.4 billion
( 3.9% of GDP)
 Inflation:
2.3%
 FDI:
US$57 million
 BUSINESS
DESTINATIONS

CEBU CITY AYALA

BUSINESS TRINGLE
PARK MAKATI
CITY
 LABOUR FORCE
 UNEMPLOYMENT – 7.4%

EMPLOYMENT IN DIFFERENT SECTORS

SERVICE
16% SECTOR
48% AGRICULTURE
36%

INDUSTRY
 MINING AND MINERALS
 The Philippines has substantial copper, chromite,
and gold deposits, and the country also is rich in
many other minerals, including coal, cobalt,
gypsum, iron, nickel, silver, and sulfur.
 It employs about 36 percent of the labor force
but accounts for only 14.8 percent of gross
domestic product (GDP)
 MEMBERSHIP
 United Nations (UN), the World Trade
Organization
 Association of Southeast Asian Nations
(ASEAN), ASEAN’s Regional Forum, the
Asian Development Bank, and the Asia Pacific
Economic Cooperation (APEC) forum
 World Intellectual Property Organization
(WIPO)