What makes up the synergy of Chinese and Philippine businesses?
- China’s One Belt, One Road & the Philippines’ Build, Build, Build
- The Boom of the Chinese Gaming Industry in the Philippines
- Increase in Philippine Real Estate Market Due To Chinese Businesses
- Gives the Philippines Economic Growth
- Chinese Investments in Local Philippine Industries
Chinese business in the Philippines has been thriving due to the collaboration between Chinese and Filipino businessmen. As the number of Chinese investments in Philippine industries rises, it has been causing a boom in the Philippine economy. In the Philippines, Chinese and Filipino businesses coexist to create powerhouse companies for a number of industries. Specifically, there has been an increase in the number of companies that specialize in offshore gaming and Philippine real estate.
Read on to learn more about the synergy of Chinese and Philippine businesses.
China’s One Belt, One Road & the Philippines’ Build, Build, Build
Both China and the Philippines currently have their respective initiatives to further the development of their own countries. As business relations strengthen, these initiatives overlap in certain areas, giving Chinese and Philippine workers the opportunity to come together.
One Belt, One Road Initiative
China’s One Belt, One Road Initiative aims to invest in the development of multiple countries. In the Philippines, China is investing in a number of Philippine businesses in order to create better quality services and products. They are also investing in Philippine infrastructure by sending Chinese workers to help build more railways and highways. Besides Chinese workers, Chinese contractors and real estate developers are also entering the country to help in their respective industries.
Build, Build, Build Program
The Duterte administration has been working hand in hand with China to further improve the development of the Build, Build, Build Initiative. This infrastructure development program sees the construction of multiple new links between various areas around the Metro. The goal of this is to address Philippine traffic and reduce travel time to and from multiple cities. China is a major investor in this initiative and has been a key supporter of its efforts.
Another industry that Philippine and Chinese businessmen come together to collaborate in is the gaming industry.
The Boom of the Chinese Gaming Industry in the Philippines
Due to the crackdown of the biggest gambling hub in Macau, casino operators started to look into different and more ideal locations all around the world. As Philippine-Chinese relations improved, the Philippines became an ideal option for Chinese offshore gaming companies to set up shop in.
Specifically, Makati, Fort Bonifacio, and the Bay area are quickly becoming popular locations for Chinese gaming companies to establish their companies. Chinese investors are renting out multiple floors in order to provide space for their employees. Residential condominium developments have also been purchased in bulk in order to give new Chinese employees a place to stay.
Increase in Philippine Real Estate Market Due To Chinese Businesses
The rise of the number of Chinese businesses in the Philippines has increased the demand for office spaces and residential areas, greatly improving the state of Philippine real estate. Manila’s commercial property market has undergone major renovations by converting offices and shops into gaming establishments. The prices of real estate have also surged due to the massive influx of Chinese workers availing of these properties due to its cheap rent.
These Chinese companies need to collaborate with Philippine companies who are in charge of managing the day-to-day tasks of each establishment. This partnership is prevalent in numerous industries and is key to helping the Philippine economy grow.
Gives the Philippines Economic Growth
As more Chinese companies come into the Philippines, the country’s economy will continue to boom. Besides the gaming and real estate industries, the Philippines has quickly also become China’s greatest trading partner. China has been receiving high quantities of Philippine exports such as tropical fruits in order to better the economic ties between the two countries.
Tourism is also an industry that China’s Belt and Road Initiative is interested in investing in. These investments can better improve the facilities of tourist locations in the Philippines. The arrival of Chinese tourists has also been extremely helpful in spreading the word about these natural attractions. These are just some of the positive effects of Chinese investments in indigenous Philippine industries.
Chinese Investments in Local Philippine Industries
Another one of the major investments of Chinese businessmen is in the development of indigenous Philippine industries. The energy sector is in collaboration with China to create alternative sources of energy such as Hydro Power, providing a cheaper alternative to the current energy source. The Chinese are also collaborating with Philippine manufacturing companies in order to introduce them to state-of-the-art machinery to help speed up their production process and to improve the quality of indigenous products. These investments have the potential to turn the Philippines into a global competitor in the international market.
These are just some of the prime examples of the advantages of the synergy of Chinese and Philippine businesses.
Key Takeaway
The synergy of Filipino and Chinese business in the Philippines has positively affected numerous industries. With the influx of Chinese workers renting out multiple floors in condominiums, real estate prices have been on the rise. Commercial real estate has also increased as offshore Chinese gaming companies have been setting up shop in key parts of the country. Philippine tourism has also been able to improve its services through key Chinese investments.
With the steady increase of the presence of Chinese businesses, the Philippines should also enjoy a steady boom in its economy. This is the synergy of Chinese and Philippine businesses.
