Quantcast Open for Business: September 2008 Archives

September 2008 Archives

Teal shoes 1Teal shoes 2Teal shoes 3 “The first thing déjà vu leaders do to succeed is to listen to their hearts and invest in their inner desires and drives,” so writes Dr. Henry Cloud in his book 9 Things a Leader Must Do. This is exactly what good friends Jenny Legarda and Anna Abes did. A year ago, while having breakfast with friends, talk veered to shoes and bags. “Anna had the experience in selling at bazaars while I had the shoe manufacturing facility,” says Jenny. “We both shared the same passion for shoes and bags, and the acquisition of well made and fashionable shoes and bags without depleting our bank accounts was our obsession.” And so a business was born to give other ladies what they were obsessing about. Teal Shoes and Bags basically targets women like Jenny and Anna, who like stumbling on great “finds,” are fashion forward, and yet are conscious of their budget. Both of them brainstorm on the designs of their products. “Basically we design shoes that we ourselves would wear or something that we see our friends in. We get inspiration from everything: artworks, interiors, people we meet, our lifestyle, our current needs and wants, trends, everything,” shares Jenny. Teal’s shoes are trendy; they also come in classic styles with a twist through the addition of color or detail. Their first collection featured matching classic ballet flats for moms and daughters. They since introduced platforms, wedges, fringed sandals, among others. Their holiday collection has just been introduced. Jenny has a shoe factory in Marikina that she owns with a partner and they do subcontracting for other shoe stores in the country. So this is where Jenny’s and Anna’s designs for ladies’ shoes come to life. The bags and kids’ shoes, on the other hand, are subcontracted. Quality is a top concern for the duo. “We don’t compromise quality for price. We don’t cut corners in manufacturing because we don’t want to cheat our customers in the same way we don’t want to be cheated by other retailers,” says Jenny. “Our shoes are proudly handmade in Marikina. The lining of our bags are well made,” shares Anna. They are also particular about exclusivity. “Only a maximum of four pairs per size per style are made,” adds Anna. Right now, Teal’s shoes and bags are sold online through their Multiply site and through the various bazaars they participate in. “We chose bazaars because this [strategy] helps us keep our price at an acceptable level,” says Jenny. Their ladies’ shoes are priced from P950 to P2,000 per pair; kids’ shoes go for about P600. “Bazaars entail only low overhead costs, so we get to keep our prices low. And I enjoy it. I get to tell clients to please try on our shoes,” says Anna. Both of them see the big potential for growth in the shoe business. From an initial capital of only P130,000, the partners got their return on investment within a year. “We have been asked to consign to a popular outlet and we are considering this venue,” says Jenny. They are also in talks with a group in San Francisco, California who wants to sell Teal’s products there. As for a store, Jenny says, “Why not? It’s the ultimate dream.” As Dr. Henry Cloud writes in the same book, “Grasp your dreams. Reach for them. Take appropriate risks.”
THE BUSINESS community is abuzz with the news that the search for this year’s Entrepreneur of the Year for the Philippines is on. Nominations are now being accepted and will be facilitated by SGV Foundation, Inc. Nomination forms can be downloaded here . The award is given by the accounting firm Ernst & Young. Past winners include National Bookstore’s Socorro Ramos, Jollibee Foods Corporation’s Tony Tan Caktiong, Alaska Milk’s Wilfred Steven Uytengsu Jr., Cebu Air’s Lance Gokongwei and Senen Bacani of La Frutera Inc. I've met Mrs. Socorro Ramos, fondly called Nanay Coring by everyone, before for a profile for Good Housekeeping Philippines. She was then 83 and was rushing from one meeting to another. It was then almost 3 p.m. and she hadn't had lunch, thus she urged me to join her for some pancit and barbeque. Nanay Coring works more than 8 hours a day six days a week overseeing the operations of National Bookstore. She says, "If you have the love and passion for what you do, hard work is no longer a sacrifice but a joy. I love this business. Eighty-three na ako pero takbo pa rin ako ng takbo. And you have to be humble. To be a successful tindera, kailangan mas mababa ka sa customer. Give them what they are looking for at the lowest price possible." All the previous winners have that same passion for their work. So who could be the next winner? All Filipino entrepreneurs with businesses operating for at least two years are qualified to be nominated for the prestigious award, as long as they are primarily responsible for their business’s performance. There are five categories: 1. Master Entrepreneur 2. Small Business Entrepreneur 3. Social Entrepreneur 4. Industry-specific Entrepreneur (manufacturing sector) 5. Woman Entrepreneur Anyone associated with a successful entrepreneur can nominate him for the award; you can even nominate yourself. Nominees will be judged in the following areas: growth in turnover, profit, and employee number; degree of innovation; development of creative and ingenious production; marketing and selling techniques, and; extent of expansion into local and international markets. The top winner will represent the Philippines in the World Entrepreneur of the Year awards to be held in Monaco in 2009. Tony Tan Caktiong bested entrepreneurs worldwide for the World Entrepreneur of the Year award in 2004.
clare_kids and manila bay By: Clare de Guzman Amador We travel primarily for the experience and then after the experience, we tell our stories. Our stories set us apart—we may go to the same place but come home with different takes. We buy the same souvenirs but got them for different reasons for different people. Our photos are the same frames, still we show it to everyone. All because our stories are our own and each experience hits us at the core. Travel is one of the best ways to experience the greatness of a place, of a people. It almost always leaves a positive mark—something that changes us and makes us look forward to every sunrise. Youth Trip Philippines (YTRIP) began as a story. A story of traveling around the Philippines and how the experience can change us as Filipinos. Along the way, we figured, if only more Pinoys could do the same, things might just work better. After all, once we see how amazing our people are, how beautiful our country is—what would hold us back from loving and taking care of it? YTRIP is a youth-led non-government organization that promotes sustainable local tourism and responsible travel to widen horizons and make Pinoys value our country and heritage deeply. As we find our stories, we discover ourselves. For us, travel is one of the most enjoyable ways to express the best of who we are as a people. Founded in 2006, YTRIP is a small group of young professionals and industry advisers. We volunteer and devote time, effort, and resources to jumpstart educational projects, using travel and tourism as tools. Tourism, for YTRIP, is not just about movement, but the shift from one mindset to another. We see tourism as a tool for positive change, beyond economics and more on social impact and responsibility. So far, we’ve run several projects—we’ve brought yayas and kids to Museo Pambata, we’ve taught college students photography, clean-ups, and backpacking; we’ve learned about Filipino dance, music, and baybayin. For the long haul, we are working on our PiliPinas campaign: Piliin ang Pilipinas. Choose the Philippines by willfully supporting Pinoy products and places. YTRIP is also embarking on becoming a social enterprise to become more sustainable. There still remains the notion that traveling is a luxury. YTRIP believes that if frameworks, strategies, and networks on budget travel, sustainable tourism, and Pinoy culture are made accessible and experiential for more people, then more Pinoys will truly experience the Philippines. Horizons will expand, stories will converge, and we will no longer say, “wish you where here” because no one will be left out of the journey anymore. This is why we’re building our travel program with tour groups who have the same vision as ours, to promote great value heritage tours.  YTRIP also hopes to create more opportunities for public school students to travel, as we develop our Field Trips for Public School Students program. Whether it was passion for the Philippines that gave birth to passion for travel, or the other way around, what’s important for us is that we have not run out of reasons to stay in this country. We have not run out of reasons to hope. Here in Pinas, we have 7,107 reasons to explore, 86 million people to meet, centuries of history to be rooted in, and a promising future, a national story to create. We always look forward to the next trip. *Clare de Guzman Amador is the founder of YTRIP.  She is currently working in the office of a Philippine senator but hopes to focus full-time on YTRIP in the future. For more info, you may log on to www.ytrip.org.ph or http://ytrip.multiply.com. You may also email youthtrip@gmail.com.

The art of selling fine art

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Secret Garden 17 by Inday CadapanStill Life by Inday Cadapan MAGEL CADAPAN is an independent art dealer representing artists Rogelio Guarico (impressionist watercolorist), Solano Cruz, Raymond Go (expressionist), and most of all, Inday Cadapan, her late mother. Although there is a thriving community of art collectors in the Philippines, Magel is quick to point out that the art business, like any other business, is not that easy. “If you will look at the monetary return, you’ll get frustrated.” This jives with what an art gallery owner said to me a few years ago—if you’re out to make a profit, there are other more profit-making activities than selling art. Indeed, between, say, hamburgers and paintings, more sales can be had with hamburgers. But this art gallery owner, like Magel, has stuck it out in the business because she really loves it and is happy with what she does. During these tough times, it becomes even more challenging to push for art. Magel, who studied arts management at the Asian Institute of Management, says art dealers should look for creative ways to sell fine art. There are many ways to do so, as shared here by Magel: 1. Make available some affordable art. Magel took her mother’s artworks and printed them on t-shirts, umbrellas, and notebooks “for name recall.” She also makes sure to use only Philippine handmade products to promote the local arts and crafts industry. By having affordable art, young people who would otherwise not yet afford to buy a painting will be able to take home a form of artwork. 2. Go to the bazaars. Magel is not afraid to venture into the bazaar business to sell artworks and merchandise. She has been a regular for years at Noelle Bazaar at Manila Polo Club. She also regularly takes part in the Art in the Park event at Salcedo Market (the next schedule is in November). This year, Magel will join the Cubao Expo Artists’ Fair on October 3 to 5. By joining bazaars, costs are kept low while giving one direct access to the target market. Magel used to have art galleries in Makati and Tiendesitas but she gave them up as she prefers to go from one place to another to reach more people. 3. Consign to galleries. Since Magel does not have her own art gallery, this allows her to consign artworks to several art galleries. Paintings of the artists she represents can be found at PNKY, 1/of Gallery and Art Gallery Philippines. But Magel has a warning for art dealers: Don’t flood the market. 4. Give special deals. Magel offers installment schemes and even ex-deal or barter agreements. Sometimes would-be buyers tell her their budget and she works out a package for them. 5. Do collaborative works with other artists. “It’s a way of slicing the pie,” says Magel. For instance, PNKY makes furniture and incorporates Inday Cadapan’s tile works in them. Magel agrees that it takes special skill—“and the grace of God”—to make it in the art business. Anyone who wants to get into it must, she says: 1. have an eye for good art 2. be responsible. Sell real works and issue certifications to protect the buyer. 3. network 4. help professionalize the art business. Negotiate well on behalf of the artist.

The Great Depression

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MY EYES were glued on Suze Orman, well-known personal finance expert and author, as she affirmed to Larry King yesterday on Larry King Live on CNN that the current crisis is comparable to the Great Depression. See the rush transcript here . Because of the US subprime crisis, the US big banks are falling, and so does everything else—stocks, yields, even the super insurer AIG, so it does seem like the sky is falling worldwide. After Bear Stearns, Lehman Brothers, and Merrill Lynch, two other banks—Morgan Stanley and Washington Mutual--are up for grabs. Just a few hours ago, news came in that central banks in other countries are pumping cash into their economies to help stabilize markets. So, is this really the Great Depression 2.0? The Great Depression happened in 1929 when the US stock market crashed on October 29, which has since been referred to as Black Tuesday. Crop prices fell, trade declined, businesses closed, incomes diminished, jobs became scarce, and in Gone With the Wind, Scarlett O’Hara had no choice but to face poverty. It was a devastating event for people who just experienced prosperity in the roaring ‘20s. It spread from the US to other countries and lasted into the late ‘30s when World War II began. Historians say the great imbalance of wealth and stock market speculation caused that 1929 Great Depression. The rich became so rich, while the rest of America discovered credit, and soon consumers had so much debt they couldn’t buy every new thing coming out of assembly lines. Farmers also encountered an over-supply situation in the international market, so prices fell. Then it snowballed from there. But thanks to government reforms and assistance, the US and other countries got back on their feet. Economic slowdowns happen, but they don’t last forever. Since then, financial reforms and restrictions have been put in place, so we stand a greater chance of bouncing back faster from economic setbacks. As the Bangko Sentral ng Pilipinas says, RP banks are safe. A New York economist shares the same view. Mark Getler, an economist from New York University, was quoted by Wall Street Journal saying: "This has been the worst financial crisis since the Great Depression. There is no question about it. But at the same time we have the policy mechanisms in place fighting it, which is something we didn't have during the Great Depression." So business goes on. Back to work, guys.
By Cristina Liamzon* Many said it couldn’t be done--that there wouldn’t be much interest among OFWs for yet another training program and that the initiative simply couldn’t be sustained. That OFWs in Italy were only interested in working and earning an income as domestic helpers, nannies or caregivers to elderly Italians, that they didn’t have any time to spare, even on Sundays to attend training programs, especially one which was a year-long, and which focused on the subjects of leadership and social entrepreneurship. After all, the term social entrepreneurship is new and sounds vague for many. What examples could we show of successful social entrepreneurs, or social enterprises that the trainees could use as models to create their own after the training? Skeptics opined that it would be difficult to find enough trainees who would participate and finish the program and that it could be a waste of time, money and effort. Still, the Associazione Pilipinas OFSPES, a Rome-based NGO hoping to empower overseas Filipinos in Italy, attempted to pursue this dream. It all began in early 2007. We explored collaborations with the Philippine Embassy to Italy, the Philippine Overseas Labor Office and OWWA and the Ateneo de Manila University-School of Government to interest them in a project that would enhance the leadership and social entrepreneurship skills of our OFW’s in Rome, and then we did an extensive promotion and fund-raising for the program. Despite the initial tepid interest among Filipino communities and armed with limited human and financial resources but a lot of determination, a clear vision and much enthusiasm, the program was launched last April 6, 2008 with some 30 OFWs as trainees. By the second training module on May 18, this number had increased to more than 50 OFWs and youth who had heard about the first session and who fulfilled the essential requirements for participation. One Sunday for every month from April 2008 to March 2009, a formal training session would take place to create a new breed and cadre of Filipino leaders in Italy, which include several young people below 30 years of age. Mentors from POLO/OWWA staff, private sector managers and the Associazione Pilipinas OFSPES members have volunteered to help. Staff of the Ateneo School of Government also form part of this mentoring group using the Internet. Mentors in Rome provide advice and encouragement of trainees in-between the formal training sessions. Modules that have been given so far since April include: an overview of servant leadership and social entrepreneurship concepts; computer skills training, including understanding and utilizing Web2 tools and Word, Excel, PowerPoint programs; basic financial literacy; conflict management and negotiations. Succeeding sessions will cover: developing and implementing social enterprise plans (marketing, funds mobilization, etc); trainors’ training on financial literacy (budgeting, savings and investments); strengthening communication and facilitation skills; group building; business planning in Italy. Sessions with practicing business persons and leaders of Filipino communities are also planned. Most of the resource persons would come from Rome to handle the courses while the Ateneo School of Government would send resource persons for the modules on social entrepreneurship. Trainees have been enthusiastic about the training sessions, highly appreciative of this opportunity to expand their horizons, build new skills that can benefit themselves, their families, their communities and the society in which they live, whether in Italy at the moment or eventually back in the Philippines. This training has been made available to migrants who have yet to fully integrate into Italian society or are seeking new directions or livelihoods. The training program is now about 30 percent into its implementation and the results are already evident. Trainees have said their eyes have been opened beyond their current employment as domestics or caregivers. They are grateful for having learned many new things to be able to hold up their heads high, empowered and enthused and more importantly, fired up with a desire to share these skills with our other kakabayans. (Cristina Liamzon of Associazione PILIPINAS OFSPES, in Rome)
Last week, the World Bank released a study called Doing Business 2009. In it, Singapore took the top spot in the rankings on the ease of doing business, New Zealand was 2nd, and the U.S. was 3rd. Hong Kong was 4th; Japan, 12th; Thailand, 13th; and China 83rd. The Philippines? 140th. The study monitored countries as to the ease with which businesses can do the following: start a business, deal with construction permits, employ workers, register property, get credit, protect investors, pay taxes, trade across borders, enforce contracts, and close a business. I’ve heard many tales from business people of red tape and corruption, which slow down business growth. A woman I know had a hard time getting the occupancy permit for her school due to red tape. Another friend asked around for anyone who could help her friend get a business permit the right way. It turned out her friend was being asked to give P20,000 as grease money. But don’t let these scary stories discourage you from doing business in the Philippines. There are some rotten eggs in the basket, but the good ones outnumber the bad ones. Know the proper way of doing things and stick to it—ditch those fixers!
By: Willy E. Arcilla* Nothing is more enduring in the field of advertising and communications than the slogan or tagline. Advertising experts even theorize that slogans are more important than visual executions because what we hear is what we remember most based on psychological studies. Visual executions change to provide freshness to a campaign, but great taglines endure. Over the years, we have been captivated by many taglines of the most popular brands from cigarettes to colas, soaps to shampoos, from cars to computers, and sports leagues to sports shoes.  Advertisers know too well the tagline represents the essence of the brand message that should influence consumer attitude and motivate purchase behavior.  Memorability will depend on both the strength of the line and the amount of media exposure devoted to promoting it.  However, this is not a chicken-or-egg situation because a good advertiser quickly realizes the power behind a strong slogan that deserves maximum media exposure. So what makes a good slogan?  Simple and memorable. Relevant to the target and unique to the brand. Consumer language.  In a word, “Brilliant”!  Allow me to pay tribute to the copywriters responsible for creating what I pick as the 101 top taglines (no particular order). 1.    Come to where the flavor is. -  Marlboro 2.    It’s the real thing. - Coca-Cola 3.    Coke is it. - Coca-Cola 4.    Always Coca-Cola. - Coca-Cola 5.    Just for the taste of it. - Diet Coke 6.    The choice of a new generation. - Pepsi 7.    Ask for more. - Pepsi 8.    Obey your thirst. - Sprite 9.    The uncola. - 7-Up 10.    Do the Dew. - Mountain Dew 11.    Is it in you? - Gatorade 12.    This Bud’s for you. - Budweiser 13.    It’s Miller time! - Miller High Life 14.    Tastes great, less filling! - Miller Lite 15.    It can only be Heineken. - Heineken 16.    Probably the best beer in the world. - Carlsberg 17.    Australian for beer. - Foster’s 18.    Keep walking. - Johnnie Walker 19.    The best part of waking up is Folger’s in your cup. - Folger’s 20.    Got Milk? - California Milk Board 21.    Melts in your mouth. Not in your hand. - M&Ms 22.    Have a break.  Have a Kit Kat. - Kit Kat 23.    Quality never goes out of style. - Levi’s 24.    Just do it. - Nike 25.    Impossible is Nothing. - Adidas 26.    I love this game. - NBA 27.    We bring good things to life. - General Electric 28.    Let’s make things better. - Philips 29.    It’s a Sony. - Sony 30.    Connecting People. - Nokia 31.    Hello Moto. - Motorola 32.    It keeps going, and going, and going. - Energizer (Bunny) 33.    Let your fingers do the walking. - Yellow Pages 34.    Think different. - Apple 35.    Intel Inside. - Intel 36.    There are some things money can’t buy. For everything else, there’s Mastercard. - Mastercard 37.    Not just Visa. - Citibank Visa 38.    Don’t leave home without it. - American Express 39.    Turning dreams into reality. - Citibank 40.    The world’s local bank. - HSBC 41.    Singapore Girl, you’re a great way to fly. -  Airlines 42.    The heart of Asia. - Cathay Pacific 43.    Smooth as silk. - Thai Airways 44.    Be the first to know. - CNN 45.    The happiest place in the world. - Disney 46.    I ♥ NY. - New York 47.    The ultimate driving machine. - BMW 48.    Safety. - Volvo 49.    Think small. - Volkswagen 50.    The power of dreams. - Honda 51.    We try harder. - Avis 52.    Pangmatagalan. - Motolite 53.    Success. It’s a mind game. - Tag Heuer 54.    Good times. Great taste. - McDonald’s 55.    I’m lovin’ it. - McDonald’s 56.    Finger-lickin’ good. - Kentucky Fried Chicken 57.    Have it your way. - Burger King 58.    Langhap Sarap! - Jollibee 59.    It’s more beautiful with a Red Ribbon. - Red Ribbon 60.    When it positively, absolutely has to be there overnight. - FedEx 61.    It cleans right down to the shine, and isn’t that a nice reflection on you. - Joy Dishwashing (USA) 62.    Tide’s in. Dirt’s out. - Tide detergent (USA) 63.    Labadami, Labango. - Mr. Clean 64.    Putting-puti, di maasul na puti. - Tide Bar 65.    Wais si Lumen - Surf 66.    99.9% Pure. It floats! - Ivory 67.    For superior skin-germ protection. - Safeguard 68.    I can feel it … yeah! - Palmolive shampoo 69.    No cavities! - Crest 70.    The best a man can get. - Gillette 71.    Raise your hands if you’re sure! - Sure deodorant 72.    No more tears. - Johnson’s Baby Shampoo 73.    The quicker picker-upper! - Bounty Paper Towel 74.    Kills bugs dead! - Raid 75.    Fill the air with love. - Glade 76.    Kills germs, even under the rim! - Toilet Duck 77.    Iba’ng may pinagsamahan. - San Miguel Beer 78.    Ito ang beer! - San Miguel Beer 79.    Ito ang tama! - Red Horse Beer 80.    Pang-kondisyon para bukas! - Gold Eagle Beer 81.    Baranggay Ginebra! - Ginebra San Miguel 82.    Magpakatotoo ka! - Sprite (Philippines) 83.    Tama ang timpla! - Pop Cola 84.    Be iba! - Sarsi 85.    The Olympic Energy Drink! -  Milo 86.    Drink Milo Everyday! - Milo 87.    You are my number 1! (jingle) - Nido 88.    One world of Nescafe. (jingle) - Nescafe 89.    Follow your heart! - Selecta Ice Cream 90.    Finest name in Ice Cream - Magnolia 91.    Wala pa ring tatalo sa Alaska! - Alaska Milk 92.    OK ka ba tiyan? - Yakult 93.    Chicletin mo baby! - Chiclets 94.    Haplos ng pagmamahal. - Vick’s Vaporub 95.    Bawal magkasakit! - Clusivol 96.    Nasa dugo lang yan! - Circulan 97.    Nakasisiguro gamot ay laging bago! - Mercury Drug 98.    We’ve got it all for you. - SM Malls 99.    Simply Amazing! - Smart 100.    It’s all in your hands! - Globe 101.    The Beauty of the Philippines Shining Through - Philippine Airlines Note that most if not all of the above taglines belong to market leaders -- or at one time dominant brands – perhaps until a new hire changed an old, hitherto successful tagline. (The author is President of Business Mentors, Inc. a Management Consultancy Firm, specializing in marketing and advertising, and Regional Director of ZMG Ward Howell, Inc., a leading provider of human capital solutions.  He has a 25-year career in Marketing, Sales and General Management with MNCs and regional conglomerates across Asia-Pacific).

How Mojo protected its brand

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Mojo Mojo sandals Mojo sandals with adjustable straps FOR ROCK CLIMBERS and other outdoor enthusiasts, it was a relief when the comfy Mojo sandals came out in 1991. These rubber sandals with their adjustable nylon straps and Velcro can be relied on for long treks and other activities in the great outdoors. That they were locally made (hurray for Marikina!) meant they were priced at pocket-friendly rates, which made the sandals even hotter. And, as expected, copycats soon got in on the trend and made their own “Mojos.” Poor copies were sold at bargain prices in the palengke, while the better quality ones were sold at malls under different brands. Some unscrupulous business people even manufactured such sandals under the brand name “Mojo.” Of course, the real brains behind Mojo, Joey Cuerdo, a surfer and rock climber, was incensed. He personally went after the counterfeiters who tried to pass off their footwear as Mojos. Believing that Mojo would be a profitable brand, Cuerdo took one step further and registered Mojo as a trademark. He worked with intellectual property experts to ensure that his brand is protected. “It really makes the processes quicker, and you’re bound to make fewer mistakes,” says Cuerdo. SME owners should not fail to take steps to protect their brand. “The brand is both a symbol of market dominance and a guarantee of quality. So it should follow that a brand is an asset every business should seriously take steps to protect,” says Atty. Anthony Bengzon, senior partner at Bengzon Negre Untalan (BNU) Intellectual Property Attorneys, Cuerdo’s counsel and attorney in fact. “Filipinos are brand-conscious,” says Cuerdo. “They perceive brands as marks of quality. In Mojo’s case, users see the brand as practical and comfortable.” Thus it really makes sense to go after counterfeiters as their low quality may have an adverse effect on the image of the true Mojo sandals. Besides, why shortchange the consumer who is thinking he is buying the real Mojos? Today, Mojo continues its presence, is available in various sports stores and gyms in different designs and materials, and has become a trusted brand all these years. Have you taken steps to protect your brand?
IF DOING business online—posting info about your products and services on the web, and taking orders from people you do not see—sounds alien to you, don’t let your fear of the unknown take away a host of opportunities. Many entrepreneurs have seen their businesses grow the moment they have stepped on the threshold of e-commerce. To make things easy for the Filipino entrepreneur, a group of Filipino businessmen and women joined forces to offer a web platform that can help the entrepreneur reach the global market at a low cost. It’s AgilaGlobal.net, a new vehicle that provides Filipino businesses all over the world with the tools needed to effectively and efficiently operate an online business, while expanding their market by breaking down geographical and financial barriers to operations. “There are a lot of business-oriented Filipinos, and a considerable number of them already recognize the opportunities of doing business over the World Wide Web. Unfortunately, most of our compatriots have a very limited capacity for business using new technology due to various reasons—most of them do not have any professional online presence which stands in the way of credibility, and a lot of those who have their own sites do not have an e-commerce and logistics infrastructure which will allow them to accept payments and effect deliveries within the system. AgilaGlobal was built for the purpose of enabling our kababayans to operate efficiently without the headache and heavy investment usually associated with operating online,” says Lalaine Chu-Benitez, managing director of Illustrado Marketing & Communications Incorp., the company behind AgilaGlobal. Lalaine Chu-Benitez With the web platform, subscribers can get various services, from a comprehensive website with their own URL and content management module, a ready-to-use e-commerce facility which accepts payments for orders and services, and a logistics infrastructure to facilitate deliveries anywhere in the world. AgilaGlobal also provides offline reach to clients through listings in the Annual Directory of Filipino Business slated for release in Filipino communities worldwide by the second quarter of 2009. Subscribers also get free e-learning course modules on basic management and entrepreneurship. What’s more, Filipino entrepreneurs can also strike trade deals by floating or participating in tenders through the Kabuhayan Syndicate system, the company’s networking project for Filipino entrepreneurs in the United Arab Emirates. “Our kababayans are very hardworking, that we already know. Our role is to take them to that next level, where they can really benefit from the fruits of their labor,” says Chu-Benitez. The company thus made sure to offer the service at a very low cost—just P25 or USD 0.55 a day (equivalent to about 25 text messages or three jeepney rides!). Sonny SilvestreProject director Sonny Silvestre, an IT consultant and entrepreneur based in Abu Dhabi, says, “If through AgilaGlobal, we can discourage at least 100 Filipinos from leaving the Philippines just because they are in dire need of a job abroad, because we were able to give them a source of livelihood or help their business, our job is done.” AgilaGlobal was just launched last July in Davao, Cebu and Manila, but the system is already up and running, with over 9,000 Filipino companies all over the world listed in its system. The site has been attracting 25,000 hits a month.

Can you do away with PR?

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THESE DAYS when gas prices are high and companies are tightening their belts, it may be tempting to let go of public relations efforts. After all, as long as you’re delivering what the market wants, everything’s going to be fine, right? But who among your market will know what you’ve been up to lately unless you publicize it? That’s why you need public relations. Before you think PR is just an added optional expense, let’s take a look at what PR is. “Public relations is about managing corporate reputation through purposive, persuasive and proactive communication efforts that seek to establish and sustain relationships with a company’s stakeholders, or those groups of people on whom the organization’s success depends,” says Juris Umali-Soliman, vice president of the Public Relations Society of the Philippines (PRSP). “There is hardly any action that a company or an organization can take without considering the impact it would have on the company’s key publics or stakeholders. Thus, businesses need PR.” Jones T. Campos, PRSP president, adds, “PR encompasses managing communication touch points that allow the target stakeholders to experience what the company has to offer. This involves understanding the publics, crafting the messages in a way that would appeal to the target public, and would be engaging enough for relevant media outlets to carry, disseminate and talk about.” It’s more than just sending out press releases, as Campos points out, it also “involves evaluating the impact of the communication efforts to ensure cost efficiency.” And PR also encompasses corporate social responsibility (CSR). While writing press releases and marketing these to media outlets are PR efforts, PR success is not measured by the exposure the company gets. “Ultimately, PR’s goal is to influence change—in awareness, mindset and behavior,” says Umali-Soliman. So whether you have a new product to introduce, a new cause to share, or a crisis that has to be managed, PR can be an effective tool to meet your goals. PR practitioners will share their best practices and techniques in crafting PR strategies at PRSP’s upcoming 15th National Public Relations Congress on September 16 to 17 at the Inter-Continental Manila. Since the theme is “Planet. People. Partnership.”, the congress will also feature award-winning Filipino and foreign environmental advocates who will shed light on environmental advocacy. Christopher Graves, president and CEO for Asia-Pacific of Ogilvy Public Relations Worldwide and Asia Pacific PR Professional of the Year in 2007, will be the guest of honor and keynote speaker. Call the PRSP Secretariat at 638-0010 or log on to www.prsp.ph to register.
WE TALKED about SWOT analysis in my last post—assessing your Strengths, Weaknesses, Opportunities and Threats. A careful evaluation of your business’s SWOT can greatly help map out strategies so you can take your business to the next level. To illustrate the SWOT analysis technique, let’s take a look at the Philippine outsourcing and offshoring (O & O) industry. In Bayan B2Biz O & O, a formal study on the industry conducted in 2007 by Bayan Telecommunications together with the Institute for Development and Economic Analysis Inc. (IDEA) headed by former National Economic and Development Authority (NEDA) director general Dr. Cayetano Paderanga, Jr., Mr. Tunde Fafunwa, Bayan’s chief executive consultant, says the O & O industry has “unlimited potential not only to stimulate our economy, but to dramatically change our perspective on where the greener pastures are.” The study also says that the O & O industry may be the answer to brain drain by providing job opportunities for more than 35 million Filipinos. Briefly now, outsourcing is having third party service providers in other locations perform some of your business processes. In offshoring, offices are set up in other countries with no delegation of processes and serving only the mother company. In this study, here’s a SWOT analysis of the Philippine O & O industry: Strengths: 1. Strategic location in Asia 2. Infrastructure—well developed infrastructure, redundant and cost-effective telecommunications, and centrally located IT parks 3. Highly skilled labor force 4. Ample support from government and industry associations Weaknesses: 1. Scarcity of labor 2. Commoditization of services—non-core processes are easily learned and replicated by others 3. Disorganization of some sectors 4. High cost of power 5. International perception—political instability, red tape/bureaucracy, unclear policies on labor and land ownership Opportunities: 1. Infrastructure—building capacity outside established hubs, or in emerging O & O centers, providing adequate and competent training, refining and enacting policies on data security and intellectual property rights 2. Emerging O & O segments—in particular, the knowledge process outsourcing 3. Globalization Threats: 1. Labor migration and attrition 2. Emerging O & O providers With this SWOT analysis, O & O businesses can plot out their strategies, such as setting up marketing arms in overseas markets, building niche markets especially for skill-intensive segments, and focusing on training efforts, to name a few. Have you done your SWOT analysis? Take the time to work on it.
By: Lauren Wong* Being a born-and-bred Chicago suburbs girl, I love seeing the US triumph in water or on sand. My unwavering admiration, however, extends towards anyone who is a champion of human ability, not just the Americans. Jamaica's Usain Bolt, fastest man alive, and China’s golden gymnastics team are triumphs that the entire world can be proud of.  Beyond them are hundreds of men and women who pushed their bodies to the extreme to qualify for the Games. All of these Olympic athletes, hailing from slums and country clubs and bombed-out towns and crowded training academies, are success stories in my mind. It's easy to forget that sports are not the sole domain of superhuman elite athletes. The human necessity to play transcends language, class, religion, and geography. It is only natural, then, to use sports as a tool for good. Whether you look at prison boxing programs to keep convicts clean or the Homeless World Cup, the power of social change through sports is evident. In the Philippines, sport-centered social entrepreneurship has begun to gain some ground.  Christian Doroin, for example, has been working with Special Olympics in the Philippines for nine years now.  Now on the Board of Directors, he still wakes up early on Saturday mornings to train people with physical or mental disabilities. The athletes, ranging from small children to older adults, get the opportunity to have their moment of glory when they compete against their peers. Sports teach them how to follow directions, become self-disciplined, interact with others as a team, and value fitness for continued health.  "It's the lessons behind sports," Doroin explains, "that are really important.  [Special Olympics] finds them a place in society by showing them how to live and interact with others." Internationally, playing fields and oblong-shaped tracks are being used as classrooms for important life education. Grassroots Soccer combines HIV/AIDS awareness curriculum with soccer to give young people in Africa the skills they need to live AIDS-free lives.  They use popular soccer stars as strong role models and work AIDS awareness education into soccer training to affect the largest number of young Africans as possible.  In North America, Girls on the Run uses running to show preteen girls how to develop self-confidence and healthy lifestyles. Instead of contrasting their figures to those of the ultra-skinny beauty icons, GOTR shows girls how to respect their bodies and incorporate fitness into their lives. Sports keep kids dribbling around basketball courts instead of answering to juvenile detention courts.  Sports connect kids, rich and poor, onto the same court to learn the value of teamwork.  Sports stress discipline and hard work to reach goals and excel.  Those social entrepreneurs who take advantage of all that sports can offer will find a great vehicle for social change. The Olympics has shown just how powerful sports can be.  Its beauty lies in its ability to unite the entire world, for just two weeks, in an appreciation for how much power one individual or team has.  That’s exactly what social entrepreneurship is all about, isn’t it? *Lauren formerly interned at Ashoka Philippines.

What’s a SWOT?

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You know what a SWAT is: the Special Weapons And Tactics team which swoops down where the action is, both in real life and in the movie world. They take out the bad guys and rescue the good guys (ideally). But there’s a SWOT you should know as a business person: Strengths, Weaknesses, Opportunities and Threats. In any business, one should make a SWOT analysis, identifying the external and internal factors at play to help one steer the business better. The SWOT analysis strategic planning technique is credited to Albert Humphrey of Stanford University. You can do your SWOT analysis; MBA not required. Here’s how: 1. S: Identify your business’s STRENGTHS that can help you craft your competitive advantage. Ask yourself: what are your resources and capabilities? Examples would be a strong brand name, patents, and a good distribution network. 2. W: Determine your business’s WEAKNESSES. What gets in the way of fulfilling your objective? What are the challenges you have to address internally? What do you need to improve on? Examples would be high cost of manufacturing and a weak brand name. 3. O: Look around for the OPPORTUNITIES open to you. What can you take advantage of to grow and make profits? Examples include new technologies, removal of international trade barriers (globalization) and an unfulfilled customer need. 4. T: Survey the THREATS posing themselves against your business. What are the external problems and conditions that threaten to affect your business performance? Examples include trade barriers and emergence of substitute products. As you answer these questions, find out how you can use your strengths, curb your weaknesses, take advantage of opportunities and address the threats surrounding your business. In my next post, we’ll illustrate the SWOT analysis using the Philippine outsourcing and offshoring industry.

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