Since the end of World War II, the Philippine economy has been on an unfortunate trajectory, going from one of the richest countries in Asia (following Japan) to one of the poorest. Growth immediately after the war was rapid, but slowed over time. Years of economic mismanagement and political volatility during the Marcos regime contributed to economic stagnation and resulted in macroeconomic instability.
A severe recession from 1984 through 1985 saw the economy shrink by more than 10%, and perceptions of political instability during the Aquino administration further dampened economic activity. But in recent years, the Philippine economy is slowly doing its best to increase its economic development. Due to the strong post-crisis, the Philippines continues to face challenges and must sustain to achieve economic growth. Thus, the role of business enterprises is essential in pulling up the country’s economic development.
One of the biggest contributions of the business sector in Philippine’s development is through investments. They invest in society so that nobody falls out of the market. They also invest in building and maintaining capital resources to reduce cost of doing improve efficiency and invest in new and innovative technologies that create new services that promote public good. The business sector dominates the Philippine economy contributing a big part to the country’s GDP. These private enterprises hire workforce and so uplift employment rate.
The Philippine business sector has demonstrated a wide range of innovative initiatives aimed at maximizing their positive social, economic and environmental impacts on the communities where they operate and on the society in general. The business sector does not only provide employment but also has a corporate social responsibility through providing opportunities for education, communications, engineering and financial supports. That is why the business sector plays an important role in the Philippine economic development.