Big business lifts up spirit of MSMEs as they cope with pandemic
For micro, small and medium enterprises (MSMEs), the week-long celebration of the 15th anniversary of Go Negosyo, with the theme “Angat Lahat,” provided inspiration, encouragement and, most of all, hope.
Devastated by the COVID-19 pandemic, which has kept the country in different degrees of restrictions, they heard that bigger business ventures were, like them, also thrown for a loop and had to scramble to cope with and conquer the totally unexpected challenges.
Opening day resource persons Anthony Tan, co-founder of the ride-hailing company Grab, and Dado Banatao, managing director and founder of Tallwood Venture Capital, revealed that they fell back on values they believed in to overcome the disruptions caused by COVID-19—flexibility, resilience, determination and courage.
“COVID-19 forced Grab to adapt,” Tan said. From just being a transport and courier service, it expanded to food and grocery delivery, among others.
Banatao said entrepreneurs had to be brave and fearless, “suicidal” even, to go into uncharted territories. “Some initiatives are easier than others. You have to work hard to complete [the task] but it could be rewarding,” he said.
He urged entrepreneurs to persevere and not give up. “You fail a lot and you win a lot until you get [the work] done properly. The benefits will make you feel so good once you get there.”
Tan encouraged entrepreneurs to prepare for what’s ahead. COVID-19, he said, might be around for a while. The situation now could be the new normal. People might have to go online more, for instance. He said Grab, for instance, was offering more cashless transactions, and might even “include financial products in the future.”
Seek feedback
Banatao said entrepreneurs should always plan ahead. Preparation should be done to the smallest detail, anticipating as much as possible, different scenarios.
Tan stressed the need to be always responsive to clients’ needs. “We are constantly seeking feedback to improve [our service and correct our mistakes].” He said the business should be true to its corporate values, “what you stand for, what you believe in. We cannot compromise our [company’s] culture.”
The MSME entrepreneurs also received statements of support from business leaders Jaime Augusto Zobel de Ayala of Ayala Corp., Tessie Sy-Coson of SM Investments Inc., Enrique Razon of the International Container Terminals Services, Inc. and Tony Fernandes of Air Asia.
Razon underscored the importance of MSMEs in the Philippine economy and why they needed to be supported in their efforts to survive or revive their businesses. “Without MSMEs there would be no big business. They are the bedrock of business. They provide markets for big business and are major employers.”
Zobel said while the priority of big business was the health and well-being of its own people, it was part of a larger ecosystem and had to make sure that that ecosystem was alive and vibrant. It had to work with MSMEs, which were part of that ecosystem, and address their needs.
Sy-Coson said the SM group was committed to MSMEs and it would continue to provide markets, both physical and online, for their products and services. She said they were looking into new digital channels to serve their customers.
Fernandes, who quipped that he “felt like being back as an MSME,” said his company was “focused on what is possible and was very positive although they had to restructure the business.” Like many successful entrepreneurs, he said, “Where there is a crisis, there is an opportunity.”
He said he thought they could branch out into the food business. “We will be doing things in reverse of Amazon,” which was going into the airline industry.
All four business leaders are optimistic that the situation will start easing up by 2021. Razon said things would pick up by 2022. Fernandes agreed that the situation should be back to normal by 2022. Sy-Coson had the same expectations—a better 2021 and “by 2022, things will be back to normal.”
Zobel stressed, however, that cooperation between the public and private sectors was needed to bring this about. “The crisis showed that we are all part of an integrated system. Cooperation is far more important [now] than at any time.”
He said priority should be given to job creation to stimulate the economy. When people had money, he pointed out, they spent. Jobs would also “ensure that no one was left behind.”
