Home Blog Page 12649

Next-man-up mentality

To say the Celtics headed into Game One of their semifinal-round series against the Sixers as heavy underdogs would be understating the obvious. It wasn’t just that they had a mere day to rest after a grueling first-round Game Seven. Literally adding injury to insult, news of second-year stalwart Jaylen Brown sitting out the opener hit them an hour before tip-off, his insistence on suiting up trumped by concerns for his ailing right hamstring. As far as handicaps go, theirs was significant; Kyrie Irving, Gordon Hayward, and Daniel Theis were already out.
If there’s anything the Celtics have of late been much more pronounced at showing while burning rubber at the TD Garden, however, it’s their next-man-up mentality. Their home-and-away splits had essentially been even in the regular season, proof, if nothing else, of the solid work churned out by their coaching staff headed by Brad Stevens. Meanwhile, they proved to be all but invincible at home against the Bucks, relying as much on familiarity with surroundings as on rabid support from 18,624 fans.
It was, needless to say, in this context that the Celtics approached yesterday’s match. In part, they were helped by the apparent rust the Sixers displayed early on; the first quarter was a brickfest — even with open shots — for the visitors. And when the green and white saw fit to be even more atrocious hosts by tightening coverage to expected levels, the basket seemed to become even smaller. Parenthetically, the opposite rang true at the other end of the court, with Game Seven heroes Al Horford, Jayson Tatum, and Terry Rozier again leading the charge.
Yesterday was supposed to underscore the strength of the youth invasion, and, indeed, players long on talent and relatively short on experience took center stage. Joel Embiid and Ben Simmons were solid for the Sixers. That said, the Celtics’ own crop of developing stars shone even brighter. How they will fare as the series progresses remains to be seen, but, for now, the higher seeds have struck first in a rivalry that brings back memories of the storied eighties and looks to be rekindled anew.
 
Anthony L. Cuaycong has been writing Courtside since BusinessWorld introduced a Sports section in 1994.

The ASEAN Bows to China

Leaders of the Association of Southeast Asian Nations (ASEAN) wrapped up the 32nd summit on April 28 in Singapore, this year’s chairman. After half-a-century of existence, the ASEAN has found itself at a crossroads, as new geopolitical challenges put into question the future of peace and prosperity in Asia.
At the end of the gathering, however, which saw all Southeast Asian leaders in attendance, the ASEAN largely leaned in favor of China, both on key economic as well as geopolitical concerns, specifically on the South China Sea.
In contrast, the regional body adopted a particularly tough language vis-à-vis the rise of trade protectionism in the West, which could severely hurt the export-oriented economies of Asia.
As a leading global trade hub, the city-state of Singapore has advocated the vision of a “rules-based” order in Asia. In unusually strident language, Singaporean Prime Minister Lee Hsien Loong has expressed his country’s displeasure with America’s de facto declaration of trade war via unilateral imposition of tariffs on key trading partners.
Earlier this month, the Singaporean leader met with Chinese President Xi Jinping, where he underscored their shared concerns in ensuring continued flow of trade, technology, and investments across borders. Crucially, he presented China as a key pillar of the global multilateral system.
In his speech at the Boao Forum in Hainan, China, on April he argued that nations across the world could maintain their “economic dynamism” only if they stay “open and connected to one another.” Much to the delight of his hosts, he praised China’s economic reforms, arguing that the Asian powerhouse is taking “further steps” in bringing about a more open and competitive economy.
From Singapore’s point of view, free trade is a cornerstone of historic peace and stability, which has characterized much of post-World War II order in Asia. Singapore’s strong pro-trade position was reflected in ASEAN’s joint statement, where regional leaders expressed how “deeply concerned” they were “over the rising tide of protectionism and anti-globalization sentiments” across the world.
The regional body expressed its “continued support for the multilateral trading system,” while encouraging “the swift conclusion” of the Regional Comprehensive Economic Partnership (RCEP) negotiations, a China-led trade pact involving sixteen nations from across the Asia-Pacific Rim.
The ASEAN also advocated for the “early implementation” of the ASEAN-Hong Kong-China (HKC) Free Trade and Investment Agreements, which was signed last year November under the Philippines’ chairmanship. The Southeast Asian leaders also called for maintenance of the momentum as well as integrity of existing free trade arrangements between the ASEAN and dialogue partners, especially China.
What emerges from the ASEAN’s statement on trade and investment issues is the centrality of China to the health of regional economy as well as the primacy of the threat posed by American trade protectionism.
The recognition of China’s emergence as the economic hegemon in the region, however, has gone hand in hand with strategic acquiescence on the South China Sea issue. For years, Singapore has been a strong advocate of international law, including the United Nations Convention on the Law of the Sea (UNCLOS).
In recent years, the city-state has consistently emphasized the importance of managing and resolving disputes in the South China Sea in accordance with UNCLOS.
For some, including Beijing, this was an expression of indirect support for the Philippines’ landmark arbitration award against China in 2016.
The arbitral tribunal ruling nullified, without any equivocation, much of China’s expansive claims in adjacent waters based on a dubious “historic rights” doctrine. To many Southeast Asian states, this was a welcome development, because it legally checked excessive claims by any revisionist power at the expense of the interest of smaller states as well as freedom of navigation and over flight in major sea lines of communications.
Yet Singapore’s ability to push for a stronger language vis-à-vis China’s expanding military footprint in the South China Sea was limited. This was mainly due to the willingness of Southeast Asian claimant states such as the Philippines to opt for a policy of accommodation rather than resistance.
In fact, the Rodrigo Duterte administration hasn’t only downplayed the relevance of the Philippines’ arbitration ruling, refusing to raise it in any multilateral fora, it has also proposed resource-sharing agreements with China in the South China Sea.
Never mind that any joint development scheme with China may violate both the Philippines’ constitution as well as The Hague ruling, which made it clear that the two sides have no overlapping Exclusive Economic Zones (EEZs) to begin with.
In their joint statement, the ASEAN failed to raise direct concerns over China’s massive island-building as well as large-scale deployment of weapons systems to contested land features in the South China Sea.
In particularly meek language, the ASEAN only “discussed the matters relating to the South China Sea” by simply taking “note of the concerns expressed by some Leaders on the land reclamations” in the area, without even mentioning China.
To Beijing’s delight, the ASEAN even praised China for the conclusion of the hot lines among claimant states’ foreign ministries as well as the operationalization of the Joint Statement on the Application of the Code for Unplanned Encounters at Sea (CUES).
The regional body was “encouraged by the official commencement of the substantive negotiations” towards the early conclusion of an effective Code of Conduct (CoC) in the South China Sea. Yet there were no details as to the timeline of negotiations or whether the proposed CoC would be legally binding, based on the UNCLOS, and relevant to the resolution of the disputes at all.
Despite Singapore’s best efforts, ASEAN seems to continue its downward slide into strategic accommodation vis-à-vis China, while desperately holding onto the global free trade regime, which has enriched much of the region but is now under assault by America.
 
Richard Javad Heydarian is a non-resident fellow of the Stratbase ADR Institute.

Manila’s billboard jungle

My friend Greg Garcia, who is a bona fide advertising guru, has a piece of advice for the ad agencies and advertisers responsible for the outdoor signs that have transformed the major thoroughfares in Metro Manila, particularly EDSA, into a virtual billboard jungle. His advice: Billboards are not print ads.
In case the creative directors, art directors, advertising managers and marketing managers who create the outdoor signs don’t get Greg’s point, billboards are for distance and quickie viewing, which doesn’t allow enough time to read and appreciate the clever copy and the avant garde graphic designs.
For some reason, today’s graphic designers seem reluctant to show off the advertiser’s brand name and logo for the motorists and pedestrians to see and recall. They seem to forget who’s footing the bill. They seem to think that the brand IDs get in the way of the design and thus deserve to be consigned to the lower right hand corner of the layout, to be properly inconspicuous and unobtrusive.
At any rate, to go back to the subject of clever ad copy and avant garde graphic designs, they may be best appreciated in the context of a print ad. Scanning the morning paper while having a cup of coffee, a reader can give more than a cursory glance at an ad, assuming that it says something of interest. Even then, a lot of copy may be presuming too much on the attention span of a harried commuter, who is probably more intent on gulping down that breakfast before plunging into the traffic bedlam of the metropolis. But, at least, a print ad allows more exposure than a billboard does on the highway.
Aha! Manila’s marketing geniuses may counter: On EDSA, motorists are exposed to billboards for a much longer time than they are to print ads, whether they like it or not, because of the traffic. In fact, EDSA traffic — also known as carmaggedon — may be the main reason why that stretch probably has more outdoor advertising signs than any equivalent piece of real estate in such places as Tokyo, Hong Kong, Times Square, and the Las Vegas strip.
There may, admittedly, be some sense in that argument, if exposure were the sole or prime objective of advertising. The fact, however, is that the principal function of advertising is “to make a sale” or “para makabenta” (to quote mischievous colleagues who like to pun my surname).
Exposure is just one step in the process whose objective is to make a sale or create demand. Thus, an ad must generate brand awareness and stimulate interest. And then achieve comprehension. And then gain recall, And then, hopefully, trigger action — meaning the act of buying or consuming.
Mind you, I really think that the visual cacophony (sorry for the mixed metaphor) of brands, colors, and messages, create an exciting and art nouveau ambience. And the beautiful women who invariably dominate the billboards are a pleasurable sight to behold.
In such a case, to paraphrase media savant Marshall Mcluhan, the medium is the message — that is, if the message intended to be delivered is that Metro Manila is a modern metropolis, exciting and dazzling like Tokyo, Hong Kong, Manhattan, and Las Vegas, populated by beautiful creatures.
However, I seriously doubt that this is the main objective of the companies that are paying millions for the billboards. I think the advertisers are more interested in selling their merchandise and their services, than in promoting Manila and its beauties.
I can’t imagine the marketing manager of any of these advertised brands telling the company CEO that sales goals may not have been met by the outdoor campaign but, boy, is it doing wonders for the image of the Philippines as a paradise for prospective brides!
Frankly, the use of beautiful models as mnemonic devices makes sense only if they call attention to the brands. Otherwise, these lovely main illustrations are really a distraction. They are also a poor excuse for advertising creativity — or, rather, for lack of creativity.
According to reports, the Philippine outdoor advertising industry accounts for P5 to P6 billion in terms of expenditures and thus contributes significantly to the economy. I wonder, though, how much the billboards on EDSA and other traffic-beleaguered thoroughfares are contributing to the sales of the brands they purportedly promote.
Maybe I’m wrong. Maybe the return on outdoor advertising investments is such that the visual confusion is worthwhile for the dozens of advertisers that crowd every available space along EDSA, particularly in the vicinity of the Guadalupe Bridge.
On a recent drive up EDSA, while moving at a turtle’s pace, I asked my companions in the car what brands they recalled being advertised. They had difficulty remembering the brands, couldn’t recall the messages, and were, frankly, not in a buying mood anyway, because of the infernal traffic. In other words, it was not a positive selling environment.
Some of my companions did make an effort to identify the brands and recall the messages. However, they simply succeeded in confusing them with one another in a mixed-up and incoherent manner. It reminded me of “The Billboard Song,” a spoof by the comic duo, Homer and Jethro, that went this way:

“While I was walking down the street, the billboards caught my eye.

The advertisements written there would make you laugh and cry.

The signs were torn and tattered from the storm the night before,

And as I read the things they said, well this is what I saw.

“Smoke Coca-Cola cigarettes, drink Wrigley’s Spearmint Beer;

Ken-L Ration Dog Food makes your wife’s complexion clear;

Chew chocolate-covered mothballs, they always satisfy;

Brush your teeth with Lifebuoy soap and watch the suds go by.

“As I recovered from the shock, I went upon my way.

I’d gone no farther than a block when there to my dismay;

Another billboard caught my eye, just like the ones before.

The wind and rain had done its work and this is what I saw.

“Take your next vacation in a brand-new Frigidaire;

Learn to play the piano in your winter underwear;

And Symonize your baby with a Hershey candy bar;

What a difference Drano makes on your fav’rite movie star.

“Doctors say that babies shouldn’t smoke till they are three;

People over 35 take a bath in Lipton Tea.

You can make this country a better place today.

Just buy a record of this song and throw it far away!”

 
Greg B. Macabenta is an advertising and communications man shuttling between San Francisco and Manila and providing unique insights on issues from both perspectives.
gregmacabenta@hotmail.com

Community action against hunger goes viral

When he was president of the Ateneo de Manila University, Jesuit Fr. Bienvenido Nebres developed a program of outreach to public schools as a way of expressing its Christian values of compassion for the less privileged. Because social surveys indicated high incidence of hunger which had gone as high as 30% of families in the earlier 2000s, the program Fr. Nebres mobilized consisted of putting up centralized kitchens to provide nutritious packed lunches to public school children.
Studies had also revealed that high drop-out rates among grade school children were often caused by hunger, or the need to work or forage for food instead of going to school. Inadequate nutrition also caused low learning capacity among our poor children.
When he joined the board of Gawad Kalinga, (GK) Nebres advocated adding another dimension to GK’s successful anti-poverty programs. Gawad Kalinga quickly adopted the tested centralized kitchen concept and linked up with local government units and national government agencies at the local levels to get the program moving. Local governments provided the centralized kitchens, equipment (stoves, large kettles, delivery multicabs, and motorcycles, etc.) and cooking and packing tools and facilities. Local Department of Education (DepEd) provided access to elementary school students and the Department of Social Welfare and Development (DSWD) facilitated access to day care centers and SNP (Supervised Neighborhood Play) kids.
Working together with the local governments, GK also mobilized Corporate Social Responsibility support from the business communities. Best of all, parents were mobilized as volunteers. These volunteers did menial and necessary kitchen work such as peeling and slicing camotes, washing and slicing vegetables, washing and cooking rice and cooking and packing all the food for distribution to the target beneficiaries.
After piloting the concept successfully in a few LGUs, Gawad Kalinga’s Kusina ng Kalinga (KNK) has expanded to many provinces all over the country. KNK is now present in Tacurong City, Parang, Maguindanao, Maco, Compostela Valley, Bongao, Tawi-tawi, Mamasapano and Rajah Buayan, Maguindanao, Butuan City and Cagayan de Oro City in Mindanao.
In the Visayas, KNK also operates in Alang-alang and San Agustin towns in Leyte, and Hernani in Eastern Samar. It has just launched KNK in Cebu in San Remigio town where it is working with Mayor Mariano Martinez who volunteered to operate the pilot for Cebu.
In Luzon and Metro Manila, KNK is present in Quezon City, Nagcarlan, Laguna, Angat, Bulacan, San Gabriel, La Union, Baguio City and in Oas, Albay.
The geographic breadth of operations of KNK makes me wonder if the recent good news from Social Weather Stations that incidence of involuntary hunger at least once in the past three months among families has gone down to 9.9% nationally from its high of close to 30% about 10-12 years ago is at least partly due to this innovative, community-based centralized kitchens multi-sectoral initiative. Although the incidence of involuntary hunger during the past three months per the SWS survey in March this year seems low at 9.9%, in numbers it is still quite high at 2.3 million total families (Metro Manila estimated at 190,000 families, Balance Luzon, estimated at 1.1 million families, Visayas at 583,000 families and Mindanao estimated at 390,000 families).
Evaluation of impact studies on the Ateneo pre-cursor kitchens as well as those in Maco, Compostela Valley have demonstrated that one full meal a day for 120 days can bring struggling, hungry kids back to normal nutritional status. This approach to rapidly reducing involuntary hunger and malnutrition among our children is a godsend!
The volunteer parents not only experience the psychic reward from participating in ensuring better health and hope for the children’s future, they also benefit from sessions on family values formation incorporated into the program design.
Each central kitchen can feed 1000-5000 kids every school day with vegetable-based meals. Operating hours are from 4 a.m. to 2 p.m. Wherever possible, raw materials for food are sourced in the local area. Where some ingredients are not available, local farmers are encouraged to plant needed ingredients.
The good news, hard to believe, is yes, we can end hunger among our children. Yes, we can help keep them in school. After all, tuition in public schools, which comprise about 90% of our schools, is free! And yes, we can mobilize corporate social responsibility and family volunteerism in our country to deal with this basic problem.
And yes, the government, and I am talking here about local governments, is capable of dealing with this problem of hunger and helping to end it.
Thank God for the Local Government Code which president Cory Aquino signed in 1991. LGUs can mobilize resources to help solve this problem. We have not yet fully appreciated their capacity to address our most serious development problems. With more funding support from the national government, LGUs can do more. Certainly, they are more responsive to community concerns than the national bureaucracy.
I had the good fortune of attending the End Hunger Summit at the Provincial Capitol of Cebu last Friday and to listen to the opening remarks by Jesuit Fr. Nebres.
Being a mathematician, I am sure Fr. Nebres kept track of measurable impact of Ateneo’s centralized kitchen interventions.
On the volunteerism that Ateneo was able to mobilize, Fr. Nebres said of the mothers’ shared stories on their experiences as kitchen volunteers, “most important, their hearts were open.”
Governor Tyron Uy of Compostela province shared a report which detailed the provincial government’s contributions to the Bayanihan para sa Kalusugan (local counterpart of GK’s Kusina ng Kalinga): 14 central kitchens, 17 drivers, 17 vehicles, 950 liters fuel allocation per week and honorarium for some kitchen staff.
Mayor Mariano Martinez of San Remigio town was passionate when he described his heartfelt experiences in helping feed the hungry kids in the town’s schools. Mayor Martinez disclosed that San Remigio has set up two central kitchens from which 5,256 children are being fed each school day. During the summer break, San Remigio continues to feed 1,745 kids in Day Care Centers and Supervised Neighborhood Play areas (for 2-3-year-old kids). Toby Florendo, volunteer coordinator for GK in Cebu gave credit to many private sector volunteers including executives and BPO agents such as those from Tech Mahindra who gave of their spare time to do menial work in the centralized kitchens.
Following the replicable model demonstrated successfully in San Remigio, Cebu province will launch the program in three other towns notably Samboan where there is the highest malnutrition and child stunting rates:
During the End Hunger Summit, GK Cebu distributed Pledge forms with check lists providing options in number of meals to be funded from signatory’s donations. Each meal in Cebu costs P15. Therefore, P15 x 22 days x 10 months totals P3,300 to feed one child a year. GK Cebu can be reached at tel. no. (032) 266-1288. Other options are to volunteer as kitchen crew in one of the KnK Kitchens, or to initiate fund-raising activity for Kusina ng Kalinga (Kusina sa Kahimsug ug Pag-amuma in Cebu). For other areas, GK’s Kusina ng Kalinga can be reached through e-mail (knk@gawadkalinga.com).
We have found the formula. We can end hunger sooner rather than later by getting involved with time, talent, and/or treasure. The business community can make a huge difference.
In her closing remarks at the End Hunger Summit last week, Jobel Davide, wife of Governor Hilario Davide III and KKP ambassador cited a quote from Nelson Mandela, “Overcoming poverty is not an act of charity; it is an act of justice.”
 
Teresa S. Abesamis is a former professor at the Asian Institute of Management and an independent development management consultant.
tsabesamis0114@yahoo.com

‘Displaced Personnel’: a labor consequence of the K to 12

Almost four (4) years have lapsed since the Enhanced Basic Education Act of 2013, or Republic Act 10533 (RA 10533), introduced the Enhanced Basic Education Program or the K to 12 to the Philippines. By now, we have our first graduates of the K-to-12 Program.
Upon the effectivity of RA 10533, a decrease in enrolment at the Higher Educational Institutions (HEI) from 2016 and 2017 until 2021-2022 was expected due to the additional two (2) years of high school. Inevitably, a drop in enrolment entails an increase in retrenchment, among others, of HEI personnel, both teaching and non-teaching.
Anticipating the effects of the K to 12 to labor, the Department of Labor and Employment (DoLE) issued Department Order No. 152-16 which was superseded by DO No. 177-17 (DO 177-17). Article I Section 3(b) of DO 177-17 coined the term “displaced personnel,” and defined the same as teaching and non-teaching personnel either temporarily or permanently separated from employment with their HEI due to the implementation of RA 10533. The term was also construed to include retrenchment, availment of early retirement program and voluntary separation program, non-renewal of contracts or work suspension.
Seeing the continuous increase in labor displacement, DO 177-17 introduced the Expanded DoLE Adjustment Measures Program (Expanded AMP). The significant features of the Expanded AMP include: (1) Financial Support, (2) Employment Facilitation, and (3) Livelihood Opportunities. Essentially, it sought to support displaced personnel in their transition to self or full-time employment.
To avail of said benefits, the law requires that the same must be applied for within a period of one (1) year from displacement through the submission of required documents, such as, an application form, a Certificate of Displacement, a Certificate of Employment and a government-issued identification card.
Moreover, for a totally displaced personnel to continue receiving financial support, a conditional requirement of proof of active job search is required.
In acknowledging the insufficiency of the AMP under DO 152-16, the Enhanced AMP, inter alia, expanded assistance to displaced personnel by providing increased financial support. It also extended its application period, and broadened its coverage, to include the different contexts of displacement. Likewise, DO 177-17 was made retroactive to cover the transitional period between 30 May 2014 to end of Academic Year 2021-2022.
However, with the law’s full implementation, a higher influx of displaced personnel is yet to occur by academic year 2018 and onwards. Credit, however, should be given to administrators and managers of HEIs who have apparently adopted successful measures within their institutions to address the issue of displacement.
If ever the unresolved issues, such as, but not limited to, security of tenure, diminution of benefits, and validity of retrenchment, and those that deal with the procedural and substantive issues of displacement, will arise, the sufficiency — or insufficiency — of the Department Order might be tested. Or maybe, not at all, as with the entry of our K-to-12 graduates to the HEI, the problem of displaced personnel will soon be a thing of the past.
The views and opinions expressed in this article are those of the author. This article is for general informational and educational purposes only and not offered as and does not constitute legal advice or legal opinion.
 
Shenna Jane T. Parado is an Associate of the Angara Abello Concepcion Regala & Cruz Law Offices (ACCRALAW), Cebu Branch.
(6332) 231-4223
stparado@accralaw.com

The year of X

By Kap Maceda Aguila

THE global auto market continues to be enamored with the crossover format, which takes the utilitarian ethos of SUVs and blends it with the accoutrements of sedans. That the design hybrid exists across all price points is proof of healthy buyer appetite for these vehicles promising both space and sass. Munich-headquartered car maker BMW is obviously, and repeatedly, going to the well — steadily growing its ute lineup.
Over the weekend, SMC Asia Car Distributors Corp. (SMCACDC), official importer, distributor, and service provider of BMW automobiles, unveiled the first BMW X2 — joining other vehicles on display at its Joyfest 2018 event held at the Bonifacio Global City.
Billed as “attractive, exciting, and extroverted,” the X2 shares a platform with the X1, but the similarities ostensibly end there. The subcompact luxury SUV, first seen as a concept at the 2016 Paris Motor Show and officially launched in October 2017, borrows more stylistic cues from its bigger siblings in the X4 and X6, and all are touted as “sport activity coupes.”
Underneath the X2’s hood is a TwinPower Turbo diesel engine putting out 190 hp and 400 Nm. The X2 flaunts four-wheel-drive capability — courtesy of BMW’s signature xDrive intelligent all-wheel drive, mated to an eight-speed Steptronic Sport transmission “to enhance handling and responsive gear shifting.”
SMCACDC president Maricar C. Parco, in an exclusive interview with BusinessWorld, said that BMW fancies the X2 as a “rebel of the X range designed for the young or young at heart.”
AN X YEAR
Ms. Parco continued that it wasn’t easy to conceive of the X2’s groundbreaking design. “Our designs have been compared to competitors as conservative because our vehicles’ life cycles are typically longer,” she revealed. “You can see that the X2 is edgy but not faddish.” In the end though, it’s about giving the people what they want.
The executive has described 2018 as an “X year” because of BMW’s activity in the product line. The X2 launch follows the all-new X3’s unveiling in the first quarter, and comes ahead of the X4’s launch in the third quarter, and the anticipated global reveal of the first X7 later in the year. “Basically, we have an X vehicle for any life stage our clients are in,” Ms. Parco said. Worldwide, more than 5.4 million X model units have been sold since the first X5 debuted in 1999.
X2 TENETS
Meanwhile, in his presentation at the vehicle launch, SMCACDC marketing director Karl Magsuci said: “[The X2] unites the sporty, racing dynamics of a BMW coupe with the rugged character of an X model,” and while the vehicle is similar to its sport activity coupe siblings, the X2 is still distinct. “This is the first time that BMW is introducing an M Sport X model, which bears Frozen Grey color trims on the exterior,” further making it distinct from other vehicles in the X line.
Mr. Magsuci described the X2 as having a “fast-moving, low-slung” design, accentuated by wheels arches that are a “bit squared off,” aside from having side skirts, and a slim silhouette. Even its interpretation of BMW’s iconic kidney grille design is unique. Rather than being wide on top and narrow in the bottom, the X2 reverses it to “give the car the impression of a wider stance.”
In a statement, SMCACDC revealed the “BMW roundel on the C-pillars references a much-loved detail of classical BMW coupes, such as the 2000 CS and 3.0 CSL, highlighting the sporting DNA of the… X2.” Two new colors, Misano Blue and Galvanic Gold, also make their debut in the X2.
Inside, the X2 remains true to BMW tenets, averred Mr. Magsuci. “It is very driver centric, has dynamic lines, and is made with top-notch materials.” The upholstery is of Micro Hexagon fabric and Alcantara, marked by eye-catching contrast stitching. Drivers can choose from six different ambient lighting colors. A new version of BMW’s Parking Assistant should make parking chores easier, while the X2’s generous 470 liters of trunk capacity expresses its utilitarian character.
As for driving dynamics, the vehicle’s Dynamic Damper Suspension feature allows drivers to lower the ride stance by up to 10 millimeters to fine-tune it into a “sportier and more agile drive.”
LEVERAGING SYNERGIES
In light of the price changes implemented with the Philippines’ new vehicle tax scheme, Ms. Parco said SMCACDC remains “cautiously optimistic that the market will adjust.” The recently launched X3 has proven to be the company’s best-seller in the first quarter of 2018, and the executive expressed confidence that “new offerings will continue to get them back on track” in terms of unit sales.
One thing that SMCACDC hopes to leverage is its membership in the conglomerate that is the San Miguel Corp., which wholly owns it. “Definitely, we will leverage synergies,” said Ms. Parco. “It’s good to be a part of the group, and there are so many things we can do.”
In the country, BMW “has the widest dealership network in the luxury vehicle segment with eight full service dealer facilities nationwide. The brand also has a growing motorcycle business with five BMW Motorrad dealerships,” reported the company.
The BMW X2 M Sport X retails for P4.390 million.

Dashboard (05/02/18)

Ford Everest

Ford Everest logs 27.21 kpl in economy tests

FORD Philippines said its SUV model was found to be among the most fuel-efficient vehicles in recent tests certified by the Department of Energy.
The Ford Everest posted the third-best fuel consumption rating of 27.21 kilometers per liter (kpl) in a series of fuel mileage tests for 10 participating diesel-powered vehicles, according to Ford. It added the week-long tests involved trips from Baguio City to Ambuklao and Halsema, as well as to Manila.
“Fuel efficiency in our vehicles is very important for us at Ford, so we’re very pleased with the impressive results obtained by the Everest,” said Bertrand Lessard, managing director at Ford Philippines.


KTM offers 24/7 emergency assistance

KTM distributor Adventure Cycle Philippines, Inc. (KTM Philippines) said purchases of street-legal KTM motorcycles made between May 1 and April 30, 2019 come with a nationwide emergency roadside assistance coverage from Ibero Asistencia Philippines.
KTM Philippines said customers enrolled in the program can call (02) 459-4755 in 86 areas in Luzon, 17 in Visayas and seven in Mindanao if they need assistance for engine trouble, towing, removal of damaged unit or delivery of fuel or spare key. Also available are assistance for legal and ambulance services, hospital admission and accident coordination with relevant government units.
“Our customers deserve nothing less than the best after-sales services because our relationship with them does not end after the purchase,” said Dino Santos, COO at KTM Philippines.


Suzuki deliveries grow 21.4% in first quarter

SUZUKI Philippines (SPH) said its sales rose 21.4% in the first quarter of 2018 — the highest year-to-date growth in the domestic auto industry, according to the company.
It added it cushioned itself against the higher taxes imposed this year on new vehicles by keeping its prices at 2017 levels for a certain period in the first quarter of 2018.
“We were prudent with our marketing efforts for the first quarter of the year because we anticipated developments in the business landscape as a result partly of the TRAIN law and, of course, other factors,” said Shuzo Hoshikura, vice-president and division general manager for automobile at SPH.
The company credited the “strong performance” of the Suzuki Ertiga, Celerio and Vitara models for its growth.

Sedans are officially an endangered species

traffic sign slippery
In its recent first-quarter financial report, Ford Motor Company bared its grand plan on how to stay profitable in the foreseeable future, and this involves streamlining its product development particularly where it concerns North America. Specifically, the automaker revealed that its passenger-car portfolio for the US market would now consist of just two models, neither one of which is a sedan.
Yep, Ford has essentially issued the death certificate of its conventional sedans in the US, allowing just a pair of passenger cars to soldier on together with its utility vehicle offerings. Those cars are the Mustang sports car and the Focus Active crossover. According to the company, “almost 90% of the Ford portfolio in North America will be trucks, utilities and commercial vehicles” by the year 2020. The brand is basically blaming “declining consumer demand and product profitability” for its decision to stop investing in “next generations of traditional Ford sedans” for the continent.
Ford president and CEO Jim Hackett explained things this way, “We are committed to taking the appropriate actions to drive profitable growth and maximize the returns of our business over the long term. Where we can raise the returns of underperforming parts of our business by making them more fit, we will. If appropriate returns are not on the horizon, we will shift that capital to where we can play and win.”
It should be noted that Ford isn’t the first car manufacturer to throw in the towel in the sedan arena. Three years ago, Mitsubishi shocked its loyal fans by disclosing that it was killing the Lancer and that it was focusing its attention on crossover vehicles. At the time, it seemed like an inconsequential move by a minor global industry player, but now that a huge organization like Ford has followed suit, the implications could be farther-reaching than we initially assumed.
A question needs to be asked: Is this a case of one car company passively letting fickle market trends dictate its product strategy instead of improving its existing products and making customers want them?
“The decision of what types of vehicles to produce depends on what types of cars the market needs or wants,” admits Lexus Asia executive vice-president Vince S. Socco, widely credited for leading the establishment of Toyota Motor Philippines’ dealership network in the early 1990s. “The customer gets to make that call. How to meet those needs and wants in the most compelling way — design, engines, interiors, amenities — at a price point that customers are willing to pay and that manufacturers can make a desired profit from is the task that automakers face.”
As for Ford’s announcement about discontinuing sedan products in the US, Mr. Socco says: “Ford seems to be betting big on trucks, SUVs and light commercial vehicles. Perhaps it is because they see customer preference for these products continuing to grow, and also perhaps these offer them a better margin. Maybe producing sedans just doesn’t provide as good a return as they once did.”
So it’s clear: Even industry trailblazers bow to the vacillating preferences of the market, especially if said preferences have a huge impact on the bottom line — not just in the present but more crucially in the coming years. If it seems like we’re getting a lot of diesel-powered midsize SUVs and small crossovers in our market, that’s because these are the vehicles we’ve been buying. You could say it’s for the very same reason Hollywood has been serving up a lot of superhero movies — these films are what’s driving box-office ticket sales. What the customer wants, the customer gets.
Killing a vehicle model or type is not easy. It’s not something top executives agree on over lunch. Conversely, continuing to produce a car model is just as vital to the business. Creating a new-generation vehicle isn’t cheap, for one. A chief engineer doesn’t simply show up to work one morning with a concept for a brand-new sedan. The research-and-development work such an idea requires actually costs millions of dollars — not to mention thousands of man-hours. A sensible auto company should not and will not waste this kind of resources on something that no longer yields a decent return. If a part of your body has gone into atrophy and is damaging other healthy members of your anatomy, you have it surgically removed — you don’t lovingly keep it for sentimental reasons. You’d die faster than you could spell gangrene.
Ford is doing the right thing here. This is good for the company’s mid- to long-term prospects. It only sucks if you like sedans. Thankfully, I don’t. Give me a retro-styled hatchback or SUV, period.

DAR to distribute land titles to nearly 400 farmers in Quezon

The Department of Agrarian Reform (DAR) will be distributing land titles to around 386 farmers in the Quezon province on Wednesday, May 2.
Agrarian Reform Undersecretary for Policy, Planning and Research David D. Erro said that the department will be giving away 654 hectares (ha) of agricultural lands and 402 certification of land ownership in the municipality of Mulanay, as ordered by President Rodrigo R. Duterte.
“We will have a [land] distribution likely twice a month. Some of the covered lands [DAR will be distributing] are privately owned lands, [but] we will set aside the government-owned lands [for] Mindanao,” he added.
The DAR will be engaging local stakeholders in Mindanao by the end of this month to discuss the agrarian reform on government-owned lands in the region.
Agrarian reform Secretary John R. Castriciones said that they will still have to come up with their own data before the department can give out an estimate of how much land they can distribute to the farmer beneficiaries.
“[I]f that (agrarian reform) is the policy of the Duterte administration by our president, to give it to our farmer beneficiaries, then that can be done because that is valid, legal and allowed by law,” he added.
Basing from their own records, Mr. Castriciones said that there are 500,000 ha nationwide which can be turned over to farmer beneficiaries.
“That’s a big area. Our target is to cover 50,000 ha. If it’s a government-owned land, it’s no longer covered by the notice of coverage (NOC),” he added.
“Right then and there, we can already distribute these to the farmers.”
An NOC is only issued to private agricultural lands covered by the Comprehensive Agrarian Reform Program or Republic Act 6657, which dsitributes both agricultural lands to landless farmers and farmworkers. — Anna Gabriela A. Mogato

Listed companies ordered to secure shareholders’ approval on changes in external auditor

The Securities and Exchange Commission (SEC) has issued a memorandum circular that orders all publicly-listed companies (PLCs) to secure shareholders’ approval on the appointment of external auditors, a move that is seen to boost the country’s ranking in the World Bank’s Doing Business list.
SEC’s Memorandum Circular No. 8 Series of 2018, posted on its website, orders all PLCs to seek shareholders’s approval “on any change/s in the company external auditor”.
Aside from this, the agency also ordered all PLCs to have an audit committee that is composed only of board members.
The memo said that the orders are pursuant to Administrative Order No. 38 or the Task Force to Initiate, Implement Ease of Doing Business Reforms
Although Armando A. Pan, Jr., officer-in-charge of the Office of the Commission Secretary, said the securing of shareholders’ approval is already being practiced by some 93% of PLCs, the memo circular intends “to raise Phils’ ranking in the area [of] Protecting Minority Investors and the country’s overall rank”. — Janina C. Lim

Tokyo's Nikkei up ahead of US data, Asian trade quiet

Tokyo — Tokyo’s Nikkei closed higher on Tuesday in quiet trade during Japan’s Golden Week holiday period, as investors took to the sidelines ahead of key earnings and economic data in the US.
The benchmark Nikkei 225 index rose 0.18 percent, or 40.16 points, to end at 22,508.03 but the broader Topix index fell 0.17 percent, or 3.05 points, to 1,774.18.
Bargain-hunting replaced morning selling, with “appetite intensifying for individual shares with good earnings reports”, Yoshihiro Ito, chief strategist at Okasan Online Securities, said in a commentary.
Trade across the region was thin, with most markets closed for public holidays. Japanese markets are open just two days this week.
Sydney ended 0.54 percent higher but Wellington eased 0.1 percent.
Worries about US policy on Iran and trade pushed Wall Street into the red Monday, despite a strong start with good earnings from McDonald’s and several merger announcements.
The Dow closed down 0.6 percent, with the S&P 500 off 0.8 percent.
On oil markets Brent edged up six cents to $74.75 a barrel, while West Texas Intermediate was also six cents higher, at $68.64 as traders keep watch on developments in the Middle East.
Israeli Prime Minister Benjamin Netanyahu said he had fresh evidence Iran was continuing with a nuclear weapons programme, breaking an international agreement that US President Donald Trump will consider the future of this month.
“Netanyahu stoked the geopolitical fires by accusing Iran of lying about its past nuclear intentions,” said Stephen Innes, head of Asia Pacific trade at OANDA.
The “hawkish retort not only increases the odds the US will pull out of the deal”, a reference to a 2015 nuclear agreement, “but raises the spectre of Israel taking military action against Iranian nuclear facilities”.
The dollar changed hands at 109.40 yen in late Asian trade, slightly higher than 109.20 yen in New York late Monday, providing some support to Japanese exporters.
Investors are watching for Apple’s earnings report later Tuesday, as well as the US Federal Reserve’s policy decision on Wednesday. That is followed by key US jobs data on Friday.
“US jobs data this weekend requires attention as momentum for a rise in salaries is emerging in the US,” leading to stronger inflation and worries about a rate hike by the Fed, said Tsuyoshi Nomaguchi, strategist at Daiwa Securities.
In Japan, Sony tumbled 6.05 percent to 5,073 yen after the electronics giant reported profits worth $4.5 billion but forecast a moderate slowdown ahead.
SoftBank closed up 0.65 percent at 8,557 yen after its US subsidiary Sprint and T-Mobile, a division of Germany’s Deutsche Telecom, announced they will form a new company.
Sprint and T-Mobile tumbled in New York on worries their proposed telecom mega merger would be blocked by antitrust regulators.
Honda ended down 0.98 percent at 3,730 yen after its full-year operating profit forecast missed expectations, while Hitachi rallied 6.07 percent to 850.3 yen after its full-year forecast was in line with market consensus, according to Bloomberg News.
The dollar fetched 109.30 yen in Asian trade, against 109.20 yen in New York late Monday. The greenback was also slightly higher against the pound and euro. — AFP

MPIC targets June approval for Cavite-Tagaytay-Batangas Expressway

Metro Pacific Investments Corp. (MPIC) is expecting to get the original proponent status from the Department of Public Works and Highways (DPWH) for its Cavite-Tagaytay-Batangas Expressway (CTBEx) project by next month.
“As far as we are concerned, [we have completed the] required documents that they needed, the required information. So it’s really up to the DPWH,” MPCALA Holdings president Luigi L. Bautista told reporters Monday.
MPCALA Holdings submitted to DPWH in July 2017 an unsolicited proposal to build a 49-kilometer toll road connecting the Cavite-Laguna Expressway at Silang East Interchange to Tagaytay City and Nasugbu, Batangas.
Mr. Bautista said the project costs remain to be P22.43 billion. Upon getting the original proponent status from DPWH, it would be submitted to the National Economic and Development Authority (NEDA) for review. If NEDA approves it, that’s the only time negotiations would begin for the Swiss challenge. — Denise A. Valdez