Globalization Synthesis: Hallyu Wave and the Philippines

International business environment

My first encounter with globalization on a deeper discussion would have to be with GEWORLD, one of the standard electives offered for all courses at De La Salle University-Manila. Right off the bat, globalization is presented as increased interdependence and interconnectedness among individual, state, and transnational actors. When I went back to my notes, a similar thing was said in the lecture slides. The phenomenon of globalization has played a significant role in creating a cultural melting pot, where ideas, cuisines, and traditions are exchanged freely across borders. This has led to the development of a more interdependent and mutually respectful global community (FutureLearn, 2022).

Lomibao (2023) and World Bank (2023) report that the Philippines was able to greatly benefit from globalization, particularly in terms of economic growth, employment opportunities, international trade, and financial integration. Guinigundo (2018) claims that the Philippines has witnessed a notable rise in its level of interaction with the rest of the world, namely concerning the exchange of goods. The country has demonstrated an enhancement in trade openness throughout time, as seen by its endeavors to adopt a more liberalized trade approach since the 1980s. The rise in trade openness can be linked to the decrease in transportation expenses and the progress made in communications and information technology. These improvements have played a crucial role in enabling the establishment of global value chains (GVCs), particularly in industries such as electronics and electrical components.

I believe that pursuing globalization is inevitable for a third-world country like the Philippines, as we want to share with the world what we have to offer. Nonetheless, I could see the effects of globalization being a bit flawed for the country, seeing as there are instances where the country must focus more on strengthening local ties first. For instance, due to globalization, Filipinos are now more keen on consuming international goods, services, or media, rather than our own. A prominent example of this would be the Hallyu wave–something that I myself admit to enjoying more than its local counterparts.

Countries like South Korea can harness globalization to their advantage. In fact, this phenomenon is what they can consider as their most influential soft power on a global scale. Here, Filipinos are encouraged to consume their exports more because they enjoy their popular media and products significantly. This poses the question of how harmful this may be to the Philippines’ local economy. Moreover, how can the local market maintain its competitive advantage against international competitors?

Strategic management

Kenton (2023) defines strategic management as handling and allocating available resources to achieve high-level goals and create plans of action to realize an organization’s objectives. Its process includes reviewing a company’s mission and vision, utilizing a SWOT analysis, developing a strategy to be followed, and implementing the chosen strategy.

This is also a separate subject offered for all Ramon V. Del Rosario-College of Business students, although I have yet to have the opportunity to take it. Going back, I immediately realized that this is the same process of solving case studies. It provides me with a newfound sense of appreciation that as early as now, case studies are an integral part of the DLSU curriculum. Thankfully, I was able to apply the basic concepts of strategic management to my stints as the Executive Board member of both DLSU USG Judiciary and Junior Philippine Institute of Accountants for two different years. Given that, I believe that the concepts and processes behind strategic management may be utilized to identify the balance between globalization and local industries.

Synthesizing Hallyu’s underlying globalization effects

Strategic learning can be fully utilized by local companies to have a competitive edge against their international counterparts. In my example of the Hallyu Wave, South Korea already established the Hallyu Wave within the country. In fact, this also led to various free-trade agreements blossoming between the two countries. Market dynamics worldwide are constantly evolving, what with countries trying to one-up another. Local brands can use this opportunity to try to be on par with countries with a solidified pop culture. Specifically, they can identify unique value propositions, and key priorities, and formulate strategies. In the long run, it helps both countries sustain healthy competition among each other through cultivating innovative cultures.

With that said, I do believe that the Philippines is already doing its part to catch up with the Hallyu Wave. More recently, there has been an uprise in P-Pop groups in an attempt to enrich our pop culture further. Rightfully so, as Filipinos are known to be great singers–it is about time that we use it to our advantage.

#InquiryAnalysisReflection #COBIBMO

Sophia Isabel S. Cauilan

Topic: International Business Environment and Strategic Management