No wonder lots of big listed corporations are owned by foreigners because that number.
That is why I came up with the idea why Pinoys don’t invest in the stock market (again this is just my idea if you agree leave a “yeah” in my comment box and if not we are more than willing to read your opinion also in the comment box). With our long history of colonialism, it seems that we develop this mentality of limited resources or scarcity. Since we think this is all that we have, we tend to instead of use such to gain more we hold on it tight and don’t use it well.
Also with that, since we think we are limited every time there is a chance of extra we tend to spend it so that at least we have a taste of the things that we don’t usually have. For example, you are a regular 8-5 employee with a salary of 10,000.00 pesos a month. When you get half of that in your “kinsenas”(salary is usually paid every 15th and 30th of the month) you first make sure to buy your groceries, then pay your rent, then allocate some for your fare and whatever is left is free to spend like watching movies or eating at Max’s Restaurant. That is a typical Pinoy employee. But when your employer suddenly announces a bonus of course your mind starts to plan where will you spend that bonus. The typical Pinoy employee will usually plan a Boracay or Baguio trip.
Since we think we are limited we first make sure our daily living is taken cared of thus we buy groceries and the stuff but not save. In addition, when we have a chance to have extra instead of saving it we would love to spend it in your dream getaway.
If you have followed the manga or anime Fullmetal Alchemist, you might have encountered the famous basis of the story: Equivalent Exchange.
I have discussed this topic in my previous post (click here if you haven’t read that post). The law of Equivalent Exchange means when you want to get something there should be an equal value, item, or sacrifice that you should give in exchange for such.(Sorry if I use a manga ideology but this is so real in real life).
Since Pinoys have this mentality of scarcity we are afraid to make an “Exchange” because we know that in order to have something that we don’t have we need to exchange it with something that we already have and that scares as the most.
The stock market is risky specially now but you are not looking at the other side of the story. It is scary for those who bought the stocks at a high price but what if you are on the buying side now. Isn’t it you are buying things at a bargain? Yes, the market is still at a bargain and yet you don’t want to part with your savings because you think deserve a getaway in Bora.
Besides the stock market, you have other choices to put those small savings. You can start a mobile loading service (its mobile because it’s your phone and your business is where you are). Alternatively, probably you can join a onetime bazaar selling some stuff, or maybe you can even setup an online store where you can ship goods within Metro Manila for free (but actually shipping is included in your pricing) and shipping for outside Metro Manila will be at buyer’s expense.
Yes I believe that is one of the reason why the simple Juan or Maria are afraid to invest in either stock, small business, or even an online business because they don’t want to lose the small savings that they have but are ready to spend an extra money to something they have been wishing for.
PS. ARE YOU INTERESTED IN ONLINE BUSINESS?