COLEGIO DE LA PURISIMA CONCEPCION

COLLEGE OF BUSINESS MANAGEMENT AND ACCOUNTANCY

ROXAS CITY
CLASSWORK WORKSHEET

NAME OF STUDENT: YEAR AND SECTION:

FACULTY: SUBJECT:

EMMANUEL B. BARTOLO, MRAP,Ph.D. INTERNATIONAL BUSINESS ENV. & TRADE

1) Discuss how the following factors influenced the economy of the country. What is the current
scenario of the country in terms of?

Inflation- Consumers and businesses increase their spending on products and services as the
economy expands. Demand for commodities often outstrips supply during the boom stage of
an economic cycle. As a result, manufacturers' prices can be raised, and inflation rises.
Moderate inflation indicates economic growth, but high inflation indicates an overheated
economy. Inflation has an impact on every part of the economy, including consumer
spending, company investment, and employment rates, as well as government programs, tax
policies, and interest rates. The country's present inflationary predicament is a shortage of
sugar supplies, with prices rising. The Philippines has warned of a growing sugar deficit as it
attempts to control increasing prices of the sweetener in a country already facing soaring
food expenses. Following crop damage from adverse weather events and expensive fertilizer
prices, the country fell short of its sugar output objective.

Unemployment - Unemployment has an impact on both people and society, as well as the
economy as a whole. High unemployment rates in specific locations can lead to increased
poverty rates and worse communities, exacerbating unemployment's socioeconomic impact.
The United States According to the Bureau of Labor Statistics, when people are jobless, they
spend less money, resulting in a lower contribution to the economy. The current scenario that
faces of unemployment in our country is the retrenchment of Cebu pacific airline MANILA,
Philippines—Cebu Pacific, the country’s largest budget airline, is reducing its workforce by 25
percent as it navigates a business environment dramatically reshaped by the novel coronavirus
(COVID-19) crisis.This is the second wave of layoffs at Cebu Pacific, which confirmed a
“right sizing” program involving its 4,000 employees last June 23 but gave no details.The job
cuts remain among the largest this year in domestic aviation, which continues to reel from
COVID-19’s impact in the Philippines and around the world.

Debt - Long-term economic growth will be hampered by high and rising debt levels. According
to the CBO, "greater debt crowds out investment in capital goods and thereby decreases
production compared to what would otherwise occur." In other words, excessive debt hinders
economic growth. The current scenario for this factor was The Philippines' outstanding
obligations as a share of gross domestic product (GDP) further climbed to 63.5 percent as of
March. GDP grew by a better-than-expected 8.3 percent year-on-year during the January-to-
March period. However, the national government's outstanding debt jumped 17.7 percent
year on year to a new high of P12.68 trillion.

Income distribution -There is growing acknowledgment that an extremely uneven income

distribution may be harmful to long-term prosperity. Couldn't cost-effective initiatives
focused at lowering excessive income and consumption inequality stimulate, rather than
prevent, long-term economic development in the context of macroeconomic stability and
allocative efficiency? I'll discuss three well-known routes that shed light on how economic
policies interact with social concerns and the political process. The identification of these
channels, on which some of you have done pioneering work, compels us to consider the
larger implications of, and prerequisites for, smart economic policy. The current scenario for
this factor

Poverty- Poverty results from a lack of economic opportunity, which eventually leads to
criminality. Global unemployment is at an all-time high. One hundred and ninety-two million
individuals worldwide are unemployed. Unemployment rates will rise in several regions of the
world, namely in impoverished areas. Example scenario for this is the impact of pandemic
where its seems more are affected.

Labor costs - Labor is the moral factor in the production of an economy's commodities and
services. finding enough individuals with the necessary capabilities to satisfy rising demand
This frequently leads to salary increases in some industries. The present labor cost scenario in
 terms of the nation

Productivity- The most fundamental and significant aspect affecting the standard of life is
production. Raising it enables people to obtain what they desire faster or to obtain more in
the same period of time. Supply rises in tandem with productivity, lowering real prices while
raising real incomes. Productivity is important because it keeps us progressing toward our full
potential.

Balance of payments- is often the largest component of a country's balance of payments since
it accounts for total imports and exports. A country with a trade deficit imports more than it
exports, whereas a country with a trade surplus exports more than it imports.

2) One of the major reason why MNC pharmaceutical products are premiumly priced because
of taxation, Research and development expenses and short term license to sell that pushed
them to do a forward pricing. This is in order to cope with their investments and profit
forecast. The limitations faced by MNC’s to recover and profit their investments are reasons
why most filipinos opted for generic drugs because of its low prices. Why do generic and
imitation drugs thrived? Local and Generic drugs manufacturers do not invest in Research all
they did were to copy the expiring or expired patent of products. Philippine drug regulating
law do not give just protection to foreign investors.

Think yourself as an international entrepreneur; if this is the situation you faced in the
country will you invest in the Philippines? Justify your answer.

As an international entrepreneur I will still invest in terms of generic drugs manufacture because
based on the research most of the Filipinos are patronized the low prices as possible and can provide
their needs TGP is a for-profit organization that provides low-cost pharmaceuticals to low-income
households in both urban and rural locations. It achieves this far and away better than any
government program or funded program.

TGP is the leading retailer of excellent generic pharmaceuticals due to its devotion and commitment
to delivering a wide choice of inexpensive drugs. Franchisees will receive a very profitable and
dependable investment that will almost certainly yield massive profits. It has a success rate of 90%.
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