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Based on the Filipino context, what are the strengths and challenges for collaborating with local businesses to support corporate social responsibility for trauma-based initiatives?

A strength of collaborating with local businesses in the Philippines to support corporate social responsibility for trauma-based initiatives is the growth of interest and towards supporting populations in developing countries which provide incomes in addition to overall development (Nielson & Samia, 2008). These types of developments can also be a support to mental health, such as in the case of SAFFY (SAFFY, 2019).  However, challenges which are mentioned in Nielson & Samia (2008), and also in my talks with SAFFY, is the difficulty in selling products at local markets where they earn little for their products and be unable to reach a larger scale of consumers.

Other significant challenges are the lack of a country-wide system and structure to focus efforts on small local businesses rather than large corporations (Nielson & Samia, 2008). Furthermore, initial training in leadership and management, marketing, and having upfront capital are needed, in a somewhat ironic cycle, for a business to prove its viability and usefulness, upon which they may be able to gain additional funding such as from government programs or NGOs, but often the initial stages must come from the grit and pockets of the founders themselves. This can be challenging in areas where people are severely impoverished, and because of social-economical factors which perpetuate themselves and prevent the poor from moving up, many may struggle with appropriate education, or even basic literacy.

Another issue to consider is both the large amount of overseas workers who have been “exported” from the Philippines, due to lack of economic viability within their own country, causing the loss of these intelligent and hardworking individuals who could instead be participating directly in the Philippine workforce (Watt, 2015). In the Philippines, however, these workers are seen as heroes who sacrifice their desire to remain with their family in order to instead send back money which can support family members and also build the economy within the Philippines.

Furthermore, there is a large section of workers in the Philippines who constitute the informal sector (Ofreneo, 2013). These workers are not formally employed by a company, but often hustle in various capacities to earn a daily living, and do not pay taxes to the government. While these workers must certainly have strength of determination, creativity, and adaptability, many times they lack an organized network, additional funding, or the training to implement a movement from these informal skills to creating a viable business. Ofreneo (2013) argues that a “rights based’ approach to social protection, via the passage of protective labor laws for the vulnerable, is insufficient to secure such protection, given the weakness of the economy” (p.421). Therefore, policies and laws for these protections are not completely invaluable, but rather do not target the whole picture of needs to move the economy forward for these workers, in addition to addressing the social transformation and mental health needs of both individuals and communities who have undergone collective trauma.

A strength in the above regard is that there are already organizations which aspire to empower and build people up who might not otherwise have opportunities to do such, such as the work of SAFFY, Pakisama, and Solidarity with Orphans and Widows.  There is a definite need for these types of organizations, and it is inspiring to see their work carving out grassroots efforts to address the above problems, while simultaneously addressing implications and effects of longstanding, as well as immediate, trauma.

References

Nielsen, C., & Samia, P. M. (2008). Understanding key factors in social enterprise development of the BOP: A systems approach applied to case studies in the Philippines. Journal of Consumer Marketing, 25(7), 446-454. doi:10.1108/07363760810915662

Ofreneo, R. E. (2013). Precarious Philippines: Expanding informal sector, “flexibilizing” labor market. American Behavioral Scientist, 57(4), 420-443. doi:10.1177/0002764212466237

SAFFY. (2019). About Us. http://www.saffyinc.com/about-us/

Watt, G. (2015, September 13). BBC HardTalk on the Road in the Philippines . YouTube. https://www.youtube.com/watch?v=A0XUQa55OhI&t=504s

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Based on the Filipino context, how might we collaborate with local businesses in terms of corporate social responsibility for trauma-based initiatives?

Neilson & Samia (2008) state that social enterprise development is important in addressing some of the challenges for local businesses in developing countries, such as the Philippines. These models identify the transformation in individual lives and communities that come along with increased incomes and self-reliance among the disadvantaged populations. In reviewing past studies in other locations, Neilson & Samia (2008) say, “results do indicate that economic development and social transformation are interconnected…” (p.448). For a country which has suffered hundreds of years of colonial trauma, as well as trauma under the dictator Marcos, and now the extra-judicial violence and authoritarian policies of President Duterte, and again in dealing with multiple losses of homes and lives from repeated typhoons, social transformation is a method to both increasing economical stability can also address issues of trauma, for example as through empowerment. However, there has been limited research on these models, especially in the Philippines, as of the publication date of 2008 (Neilson & Samia, 2008). The Philippines has expressed a desire to reach “developed country status by 2020” (Neilson & Samia, 2008, p.447), which has clearly not materialized, but knowing that this is a goal for the country helps gain momentum on projects which aim to support local businesses.

As seen in the case study of Nelly Nacino’s social enterprise system in the Philippines (Neilson & Samia, 2008), many branches and webs are required to sustain a business model, with multiple projects, in conjunction with parts of the government, groups of subcontactors addressing different roles, and development of assistance of other organizations. Because of the collective nature of the Philippines, this seems especially relevant, and it seems they all must find a multitude of ways to fund themselves and create opportunities. Use of tools such as microfinancing and allowing employees to take loans which they can pay back as they are able for the equipment they need allow for individuals to find employment in areas where they might not have been able to otherwise. Training and education should also be a part of the model, to continue to promote from within and to also assist in recruiting newcomers, ultimately seeking to benefit a whole community of people rather than an elite few. Initial capital funding, motivated entrepreneurs, and training in leadership and management are needed to begin such a business.

SAFFY/ SAFRUDI (SAFFY, 2019) represents a sustainable business model in the Philippines which is also working in supporting trauma-based initiatives. They provide a network through which individual merchants and artisans can produce their goods, which are then sold in bulk to an international market. This means that these producers are able to have a reliable, consistent income that runs at a higher price than they would get for their goods at local markets. Strictly adhering to the principles in the WTFO Fair Trade principles means that SAFFY ensures that they make sure producers have good working conditions, providing training, workshops and conferences for local producers, transparency with local producers as well as with their trade partners in all aspects of business, and assist the producers in being environmentally responsible, among other aspects. All of these factors means that opportunity is created for local Filipinos who might not otherwise be able to make a living while supporting their artistic and cultural work, which enhances the livelihoods of individuals and families, and ripples into creating sustainable models and increased economies in local communities. Furthermore, SAFFY works to provide a layer of protection for the producers, such as continuing to provide funds and capital for them during COVID, shielding them in some regards from the devastation and subsequent traumas of the pandemic.

References

Nielsen, C., & Samia, P. M. (2008). Understanding key factors in social enterprise development of the BOP: A systems approach applied to case studies in the Philippines. Journal of Consumer Marketing, 25(7), 446-454. doi:10.1108/07363760810915662

SAFFY. (2019). About Us. http://www.saffyinc.com/about-us/