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The government had launched different programs to help the Micro, Small and Medium

enterprises (MSMEs). These programs aim to develop and help for the sustainability of
the MSMEs in the country. Below are some of the programs/programs of the government
in the different aspects of business:

In Marketing:

 They have the what we called ONE TOWN, ONE PRODUCT (OTOP)
PHILIPPINES. This program enables localities and communities to develop and
promote their products and services that are rooted in its local culture, community
resource, creativity, connection and competitive advantage. Through this
program, it will also help the entrepreneurs to innovate and produce market ready
products and services.

One of the major components of this program is the OTOP.PH or OTOP


Philippines Hub, which is the demand side of the program. This provides the
physical and online channels and market access platform where OTOP products
are showcases on a day-to-day basis.

OTOP Philippines Hub or OTOP.PH is a retail store or spaces where products from
One Town One Product offerings can be found. Catering to the general
mainstream market of both local buyers and tourists, these one-stop shops offer a
general outlet for quality OTOP merchandise before they level up to the premium
market catered to by Go Lokal and other high-end market platforms. The hub can
be found in mostly in airports, terminals, pasalubong centers, tourist spots,
Negosyo Centers, public markets, and other consumer-frequented locations
including malls. As another flagship market access program by the Department of
Trade and Industry, this serves as a marketing vehicle and incubation platform to
promote and champion OTOP products. source:https://dti.gov.ph/programs-projects/otop

 Another program is the Filipino concept store for MSMEs, the Go Lokal! This store
helps entrepreneurs to build their products to global standards. After submitting
the application and the required documents to be a Go Lokal supplier, and if
approved, they can now display product samples at the Go Lokal Concept Store.
Hence, this will let them have another access to make their products known. This
will also help the entrepreneurs to always level up and innovate for them to
continuously compete with the market.

 Domestic Trade Exchange, this takes place through trade fairs, showcases and
expos. This helps the MSMEs expand their market at the same time strengthen
their linkages among other MSMEs. By joining this they can have an exchange of
ideas and other market matching related activities which will create or give them
also opportunities for new projects of business ideas.
 Brand Equity Development Program (BED), this aims to develop new strong
homegrown Philippine brands in both local and foreign markets from the ranks of
MSMEs. The programs is targeting at least one brand developed per year per
province.

Production and Technical:

 The Shared Service Facilities Projects (SSF), the government helps the
entrepreneurs to improve their productivity and technology through this DTI’S one
of the major component of MSMED Program. As per DTI, this program was
established to help improves the competitiveness of MSMEs by providing them the
needed equipment, machineries, tools, systems, skills, knowledge under a shared
system.

This project envisioned to attain one or more objectives, i.e, enable the MSMEs to
increase their productivity, accelerate MSME’s competitiveness by giving them
access to energy efficient technologies and more sophisticated equipment;
encourage the graduation of MSMEs to the next level where they could tap a better
and wider market share and be integrated in the global supply chain; take into
account convergence where government resources are pooled and integrated and
lastly to address the gap and bottlenecks in the value chain of priority industry
clusters.

 Small Enterprise Technology Upgrading Program (SETUP) The Department of


Science and Technology’s (DOST) Small Enterprise Technology Upgrading
Program (SETUP) encourages and assists SMEs to adopt technological
innovations that will improve their operations, increase productivity and enhance
competitiveness. The program facilitates technology transfer and provides techno
logical interventions for better product quality, human resources development, cost
minimization and waste management, and other operation-related activities.
STEPUP concentrates on its six priority sectors: Food Processing; Furniture; Gifts,
Decors & Handicrafts; Marine and Aquatic Resources; Horticulture; and Metals
and Engineering. (source:MSME-PRIMER-From-Local-to-Global-Borderless-Business-for-
MSMEs)

INCENTIVES AND FINANCIAL SUPPORT FOR MSMEs

 The Barangay Micro Business Enterprises (BMBE Act), this provides support
to microenterprises and the informal sector. They are given some in incentives
such as exemption from income tax, reduction in local taxes, and exemption from
payment of minimum wages for those micro enterprises registered in the barangay
level.
 PONDO PARA SA PAGBABAGO AT PAG-ASENSO (P3) – this is a funding
program to provide microenterprises an alternative source of financing that is easy
to access at a reasonable cost or low interest rate. The entrepreneurs can have a
Loan amounts range from P5,000 to P100,000, and at a maximum interest rate of
2.5% per month with no collateral requirement. Target loan beneficiaries are the
small business entrepreneurs like market vendors and agri-businessmen who
usually borrow from “5-6” lending sources.

Based on the above projects and programs of the government, I believe that the
government is doing their initiative in providing these different programs to help uplift the
quality of life and the sustainability of the MSMEs business in the country. These
programs let the entrepreneurs feel that the government is really doing something to
support them.
We can hear some success stories and positive feedbacks as to the different
programs, but we cannot also deny the fact that there are also many MSMEs businesses
who have not received or experienced or even know any of the projects and programs of
the government. With this I think that the government should exert more effort for the
MSMEs to further understand and appreciate the different programs that was created for
them.
Just like one of the beneficiaries of the shared service facility program here in
Davao City which happened to be that the chosen business where we need to make a
marketing plan as part of the requirements for our subject last semester. Yes, they have
been given the machineries and equipment for them to use to increase their productivity
but as per our observation they have not efficiently use this machineries and equipment.
With this we can say that the result is not really what the government wanted or expected
to happen. Hence, I believe that the government should also give importance as to the
monitoring of the status or results of the specific programs that they have. What happened
to that chosen beneficiary is just a product of poor monitoring, poor support and
evaluation. They should create a team or group to monitor and evaluate the results and
the impact of the programs that they have.

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