Case Study Fin
Case Study Fin
Case Study Fin
ARALING PANLIPUNAN 7
Alain Rhey P. Cahutay Jr.
Neptune
EXECUTIVE SUMMARY
The Philippine President signed the Foreign Investment Act to attract more foreign investors to the country. This Act permits the International Investors to purchase
Philippine-based businesses. Foreign investors can also own 100 percent of all small and medium-sized businesses under the law.
The problem that was being addressed is the country’s reality about small; tech driven startups are increasingly causing global economic crises. This Act would also
address prevailing issues in agricultural growth, financial services, healthcare access and other critical services.
INTRODUCTION
The issue that was being dealt with was economic problem that was addressed are:
Unemployment of the Filipino locals—Unemployment was one of the problems that the country has been facing for so many years.
Economic Growth— Due to the pandemic that happened around the world, the economic growth of the country has severely depreciated.
Policy Uncertainty — Previously, To enter the Philippine market, foreign corporations frequently form a partnership with a local partner or franchise chains,
and they have complained about local competitors' protection and lack of management control.
Based on my observation, a proposal to raise domestic investors' moral and interest in the competitive market in order to boost the country's domestic economic growth
is the best thing to do.
ANALYSIS
Local unemployed Filipinos would benefit from the application of the Foreign Investments Act. It would increase the number of Filipino workers and increase the
productivity of businesses. Another point is that the Philippines had leveraged their workforce to make it desirable and low-cost in order to attract foreign companies.
Since the amendment offered foreign investors the option of 100% ownership, they no longer require a local partnership. This eliminates the need for foreign investors to
quarrel with local investors or have arguments.
ALTERNATIVES
Alternative than FIA, here are some other solutions for dealing with the issues raised in the introduction. In order to reduce unemployment, it is important to improve
agricultural and industrial productivity. Local entrepreneurs and the growth of local industry receive government support.
Because all of the alternatives are based on research, I am confident that these have been extensively researched by specialists. With that, I believe this is a really
strong foundation on which to analyze.
RECOMMENDATION
As previously stated, increasing agricultural output is the best alternative; the government must assist farmers with machineries, tractors, and implements to conduct
land reforms. The government can provide more sprinkler irrigation systems to farms to increase production by 50%. Access to better seeds, planting materials, and
fertilizers is crucial for increasing productivity and narrowing yield gaps. Maintaining a company's physical assets, such as its equipment, plant, or buildings, extends
their life-span, reduces downtime, and improves quality and efficiency. With the national debate over the federal budget and present levels of deficit spending, federal
agencies must make spending statistics available in a uniform and downloadable way.
CONCLUSION
Given these considerations, it is preferable to preserve the Foreign Investment Act for the following reasons:
It has the potential to increase the country's economic growth;
It would assist the country in staying current with technology; and
It provides solutions to many of the country's current problems.
"Ultimately, you'll have improved buying power for everyone and will assist the government deliver higher quality goods and services, so it's absolutely a win-win
situation," Garin said, adding that it also helps Filipinos create their own tech startups. Local investors should not be intimidated or disheartened in the future; instead,
they should view this as a challenge to enhance local goods. To increase productivity, the government should supply additional equipment to workers, particularly
farmers.
EXIHIBITS
Source:( https://vikaspedia.in/agriculture/agri-inputs/farm-machinary/sprinkler-irrigation-system)
REFERENCES
Briefing, A. (2022, March 30). The Philippines Amends its Foreign Investment Act. ASEAN Business News. https://www.aseanbriefing.com/news/the-philippines-amends-its-
foreign-investment-act/#:%7E:text=The%20amendments%20aim%20to%20promote,small%20enterprises)%20in%20the%20Philippines
R. (2021, March 22). 16 advantages and disadvantages of foreign direct investment. ResearchFDI. https://researchfdi.com/foreign-direct-investment-advantages-
disadvantages/
Please Wait. . . | Cloudflare. (2020, July 24). FOREIGN DIRECT INVESTMENT: CHANGES IN THE PHILIPPINES. https://www.kwm.com/de/en/insights/latest-thinking/fdi-
philippines.html
Laskor, N. H. (2021, July 7). How to Solve Unemployment Problem? How to Solve Unemployment Problem? https://www.linkedin.com/pulse/how-solve-unemployment-
problem-nurul-huda-laskor-ashik
A. (2022, March 19). Top 10 Methods to Improve Farming Productivity. Blog - TractorJunction. https://www.tractorjunction.com/blog/top-10-methods-to-improve-farming-
productivity/
How to Boost the Productivity of Smallholder Farmers. (2021, November 3). Development Asia. https://development.asia/insight/how-boost-productivity-smallholder-farmers
Prema Srinivasan, Digital Content Marketing Manager. (2021, April 6). How to Improve Manufacturing Productivity. How to Improve Manufacturing Productivity.
https://www.ptc.com/en/blogs/iiot/how-to-improve-manufacturing-productivity