CEBU, Philippines — While the Philippines is already done as far as awareness is concerned in the recently integrated ASEAN market, it still needs to address critical issues in terms of providing market information on the multi-cultural consumer base.
Economist Gilberto M. Llanto of the Philippine Institute of Development Studies (PIDS) warned that if Philippine businesses will not be given proper information on the diverse culture of consumers of the ASEAN member countries, it could be one of the pitfalls in taking advantage of the 650 million market.
The different religions, traditions, and cultural affiliations making up the entire ASEAN market, is seen as one of the serious risks that the government should look into and develop an extensive information dissemination campaign especially for companies that are planning to make presence in every corner in the ASEAN.
Llanto said the next step the government should do now is to provide information to Filipino entrepreneurs on how to enter each country in the ASEAN, reiterating that this market, although huge in consumer value, has a very diverse market and approaches should be country-specific.
The obvious failure now in addressing the readiness of entrepreneurs to face the ASEAN integration, Llanto said is the absence of providing information externalities, and there should be a symmetry of (market) information, alongside with the giving awareness of the rules and regulations in ASEAN trading.
Market intelligence, per culture or per country is highly critical now, and very "expensive."
He said there are possibilities that capitalists in a particular country will hoard information just to guard their home-ground market.
"It is costly to acquire market information now. Information after-all is not free," said Llanto adding that while it could cost the entrepreneurs another millions of pesos to embark on deep market information study, it would be good for the government to invest in providing market information and share them to Filipino entrepreneurs.
The next step now, he said is to get to know the ASEAN consumers, as regulations and mutual agreements as well as compliance are nearing completion.
Llanto suggested in supporting entrepreneurs to participate in trade fairs within ASEAN, organize trade exhibitions to effectively connect with the market inside the Asean Economic Community (AEC).//
Country-specific facts economist: Phl industries need ASEAN market info
