Dummies Are Not Allowed

There are so many companies that need to know a simple rule in the Philippines. The “anti-dummy” law is not acceptable in the country. However, there are some instances that foreign investors are becoming smart in terms of abusing the local people. In the legality issue, the foreign investors showed of being a good player in the business. It was all written and documented that seem no flaws on hard papers.

As stated, the “anti-dummy” law specifies that 60% of investment should be owned by Filipino citizens and 40% for foreign investors. It is clearly stated bylaws in the Philippines. These are being totally practiced in the country for years. The existing companies in the country are legalized with the accomplishment of legal requirements. How about behind the management of these corporations? For some reason, there are some business cultures of deception to the local people.

 The Existence of Business Cultural Deception:

 1. Marriage Agreement For Legality of Business

Some foreign investors engaged in a marriage of the local people. This is an option to dominate 100% investment to start up a business. It sounds perfect since the investment is well-secured and the requirements are legalized without a doubt. The local people can deny this but it is happening nowadays. It is a deception that works in silence to acquire a total investment of 100%.

2. Live Dummies in the Companies

Employees in companies are considered dummies of foreign investors. It looks too good to be true. We can consider some employees are puppets of the company in executing the internal policies in the company. They don’t say any words about the culture within the company. The mere fact, these employees just follow the higher-ups and cannot say against them. If they do, then the pressure will come in and the incidence of high turnover will be the next thing to happen.