Wal-Mart revenues to top RP GDP

The American consumers may have momentarily lost much of their ability to save the American economy by mindless shopping but Wal-Mart just keeps charging ahead. The world’s largest retailer reported a 20-percent increase in earnings, to $8.2 billion, on revenue that grew 12 percent, to $245 billion, for the fiscal year ended Jan. 31. No wonder three or four of the top 10 richest people in the world are heirs of Sam Walton, the founder of Wal-Mart.

Analysts think the discounter can grow at its current pace for years to come. Can you imagine if we grew our GNP at the same level Wal-Mart grows its revenue, at 12 percent? Half of that, what we need to deal with poverty, is still our elusive dream.

According to BusinessWeek, Wal-Mart’s expansion in the US and beyond will enable Wal-Mart to grow its revenues to "exceed the gross domestic product of the Philippines, whose $350-billion economy grew 4.6 percent in 2002."

I know you cannot compare supermarkets with countries but the BusinessWeek comparison fascinated me. Imagine all 80 or 85 million of us Pinoys can’t earn as much as Wal-Mart. Yet, Wal-Mart does not have gold and copper deposits, hectares (diminishing) of forestland and the brain power of thousands of pyramid scam artists, not to speak of the talent for scheming of our politicians in Congress. How can Wal-Mart beat all of us and all that we have going for us?

In a word, focus. We are losers because we do not have a national focus on the things we ought to be doing for the national good. This is why the country is underperforming and this is why many of our people are escaping the risk of being trapped in this national underperformance by going elsewhere.

My column last week on the subject elicited some reader comments. There are two good ones, presenting different perspectives on the issue. The first one is from Ryan, who migrated to Australia. Next Wednesday, I will feature the other e-mail from someone who did well by staying home and becoming an entrepreneur. For now, here’s Ryan.

I read your column today in the on-line version of Philippine STAR. I agree with your analysis on the Philippine economy and can identify with the sentiment of some Filipinos who have left for overseas or are still in Manila and longing to live abroad.

My friend Mario wrote you before. He was the guy who studied in Ateneo and has moved to the USA to work in an IT firm. I left the Philippines last year after I was awarded my permanent resident status in Australia. I did not leave the Philippines because I did not have great opportunities but because I could not take the socio-political system.

I grew up in the province and went to one of the best schools in Metro Manila. I worked hard and finished my elementary course with honors, high school as class valedictorian and college as summa cum laude and valedictorian. After college, I opted to teach where I finished my degree to do my share in nation building. It was a very unpopular decision. Some friends considered me a loser for deciding to teach. I spent about two years in academia. I was then awarded scholarships to study overseas: one to study management and economics courses at the National University of Singapore and the other to take my master’s degree at the University of Sydney. I was also offered a Monbusho scholarship by the Japanese government.

I am not bragging about my credentials but merely to tell you that all throughout those times that I lived abroad, the interests of the Philippines were always in my heart and mind. What inspired me to study hard was the thought that I could one day become one of the leaders of the Philippines. I loved the Philippines so much that I devoted my Masters thesis analyzing the economic system of the Philippines.

After my Masters degree, I opted to work in the Philippines once again as a management consultant in one of the global consultancy firms. While it was a multinational company, I knew that helping local companies become more efficient will deepen my understanding of what can be done to further strengthen and solidify the role of the private sector in nation building. My dedication resulted to an overseas consultancy stint in an advanced Asian country for a Fortune 500 client. Despite lucrative job offers, I opted to leave consulting after three years and decided to gain experience in a real-industry setting in Philippine companies.

I must say that the four-year experience in local companies (in executive level positions) was frustrating but what inspired me to stay on was my belief in the Philippines, what it stood for and the future it holds for its people because Filipinos, in general, are talented and hardworking.

The political events of the recent years however disappointed me. No single event spurred me to apply for an immigrant status overseas. It is perhaps the cumulative result of my dealings with the well-off and the politicians. Most of the rich people I know are not concerned with how wealth can be distributed more equally amongst the population. The lower classes on the other hand look at short term gains (we cannot really blame them because no one can think of the future with an empty stomach). The politicians are more concerned with staying in power.

No one knows where the Philippines aspires to be five, 10 or 15 years from now. Correct me if I am wrong Mr. Chanco but what I see is a vicious cycle that leads to a downward spiral. The problem is systemic that is also deeply rooted in the culture. The realization just hit me one day. The thought that I cannot even be safe in my own country bothered me.

I got my permanent resident visa in Australia in mid-2002. I was able to get a job in one of the biggest service companies here even before moving to Sydney with the help of one of my foreign bosses who believed in my capabilities and talents. As of now, I am determined to change my citizenship so that I can one day work in government here because I am really attracted to public service. I am also focused on bringing my sisters and parents over.

My kids will no longer be Filipinos but I will make it a point that they appreciate their background by making them visit the Philippines regularly. It is something that remains to be seen because I am not even sure if someday it will be a safe place for tourists.

The sad part is, I am not one of the few who have left. My friends who have also gone abroad to study and returned to the Philippines to work are leaving the country one by one. I miss my friends and family in the Philippines but I left with no regrets because I know deep in my heart that I gave that country my very best shot while I was there.

Monday blues

There is nothing as bad as the Monday after a very long weekend. But there is nothing like a long weekend to give us time to think and be philosophical about life.

For instance, I found out that there is no pleasure in having nothing to do; the fun is in having lots to do and not doing it.

Just before the holidays, I had to sweat it out with my income tax return. That convinced me about the conventional wisdom about a fine being a tax for doing wrong; but a tax is a fine for doing well.

Anyway, even if thinking about life in this world brings you to the deep end, just remember ... if the world didn’t suck, we’d all fall off.

Happy Easter to all of you out there!

Boo Chanco’s e-mail address is [email protected]