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Food Franchising By: Rudolf Kotik

As the Food related expos in World Trade Center are held in the month of July and August with Wofex and Mafbex, let us discuss restaurant and food franchising. Around 60% of all 1,300 Franchise Companies in the Philippines offer food and the industry attracts also the same amount of interest among the Franchise buyers. However food franchises have also their own problems, such as logistics. A lot of Franchisors would like to be present in Palawan as an example but transportation and the cost involved of the commissary prepared items can become prohibitive. If a Company operates everything out of a Commissary, deliveries are limited to a certain radius around the commissary. The lesser commissary dependent a Company is, the bigger that radius can become. If the commissary only delivers powdered ingredients or pre-mixes, as in the bakeshop industries, then the operation can be nationwide. If you want to scatter your outlets through a big area, commissary operations does not always make sense and with a strong training and procurement program it might not even be necessary, and every outlet is allowed to do the entire production process. Quite some food franchisors from the Philippines have franchises abroad, which can be also a challenge with specialty ingredients and regulations in certain Countries, such as Halal certification for the Middle East. While there are challenges, all of them can be solved and Franchising can be the vehicle for any Restaurant or food brand to go nationwide or even worldwide. As eating is a favorite past time of Filipinos, the number of Food and Restaurant Franchises still have a long way to go and growth is still forthcoming for several years. A lot of people also embrace their regional taste palate and prefer to eat what they are used to or grew up and with more migration within the Country, it gives an opportunity to regional Companies become national players As Franchising is increasing in the Mindanao and Visayas areas, we are organizing the 9th Mindanao Franchise Expo in 2 places this year, namely from September 1-2 at Almont Inland Resort Nasipit Hall in Butuan and from September 4-6 at SM City General Santos City. In the Visayas our expos will be at Robinsons Place Iloilo from October 23-25, 2015 and at SM City Cebu Tradehall from March 4-6, 2016. Rudolf Kotik is the Founder of RK Franchise Consultancy, your Expert in the Franchise Industry, and can be reached through rk@rkfranchise.com or through (02) 912.2946 and 912.2973

Publisher: Marketing Editor: Marketing Officer: Publication Designer: Circulation Officer: Legal Adviser:

Contributors:

FIFA Filipino International Franchise Association Margarita Nacua Jennifer “Aper” Calimlim Johyver “Hyver” Ampang Roselyn Dava De Vega Law Firm

Rudolf Kotik Prof. Enrique Soriano Atty. Nikki De Vega Wilson Ng Paul Pereyra

Atty. Sara Saguitan Bunny Pages Harry Tambuatco Dioscoro Odsinada Jenny Shiel Bongolan

RK FRANCHISE CONSULTANCY INC. G/F Minnesota Mansion, 267 Ermin Garcia St., Cubao Quezon City Tel.: (02) 912.2946 / 912.2973 Fax: (02) 911.1966 | Cebu Branch Fax: (032) 253.5010

All rights reserved. Copyright 2015

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WHY DO YOU NEED

A BUSINESS COACH?

One way is by imparting new skills, tricks of the trade that they learned or figured ( PART 1 ) out for themselves, that aren't intuitively obvious to their players. Coaches get for the typical business their players to play harder. They do this owner/entrepreneur: through all kinds of means, among them goal setting and encouragement, to name 1. You are overwhelmed with ideas and a few. information and you need a trusted source to help you design and imple- Coaching addresses the loneliness of ment a compelling action plan to take business owners who just don't have your business to the next level. anyone they can turn to in order to discuss their challenges. Left on their own, strug2. You need to learn more business gling entrepreneurs or start-ups will be and marketing skills so you can tempted to kick back, especially after increase revenue and grow your achieving only moderate success. This business. can lead to backsliding and to a downward cycle of achievement. With a 3. You know what you need to do — but business coach, they’ll get the prodding, simply can't find the time to juggle all pushing, and occasional kick in the pants the responsibilities of owning a business. that they need to reach peak performance. Without support and knowledge in running a business, you'll end up strug- Hiring a Business Coach will: gling to make your business a success, and all your passion and enthusiasm will • HELP Owners and CEOs clarify their drain away. vision and goals; Presuming you know all of the basics, • CRAFT a cohesive action plan for what else can a Business Coach do for growing your business; you? • TURN breakdowns into breakthroughs; • SHOW you how to accomplish more by

By: Prof. Enrique Soriano "What makes a great coach? Credibility, creativity in solving problems, effectiveness in communication, as well as “an understanding that the details create success” — that small things usually make the difference between good and great." Atul Gawande - Harvard Gazette According to the Business Journal, CEOs of some of the most successful and largest companies have relied on etxecutive coaches. Henry McKinnell, CEO of Pfizer, Meg Whitman, former CEO of eBay and now Hewlett-Packard and David Pottruck, CEO of Charles Schwab & Co., are just a few who rely on a trusted adviser. If your reason has to do with time or money, then my response is you can’t afford to be without one. In an era of stiff competition both on domestic and global scales, no family business or any enterprise owner needs to be an island. Even the CEO of Google once said, “Everyone needs a coach.” There are generally three problems

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Let’s get back to sports. If we examine the word, "coach" and think of sports, we ask, how do coaches function to enhance the performance of their athletes?

working smart and not just working hard; • IDENTIFY and then put into action: what’s working, what’s not working, what’s missing and what’s next; • DEVELOP momentum and keep one from diverting from one project to another before completing the previous one; • CREATE a culture of accountability by holding the owner accountable for the goals he/she sets and never let reasons or excuses justify lackluster performance; • MANAGE/resolve conflict and build teams; • SHOW to the owner the ‘forest through the trees’ more clearly by identifying effective, as well as ineffective behavior patterns that others might not see or be aware of; • IMPROVE communications throughout the entire organization; • GENERATE substantial increases in sales and profitability; • INCREASE revenue and profits; • PROVIDE a complete toolbox of coaching skills for managers to use to inspire employees. However, let me point out that business coaching is not consulting. What's the difference between a Business Coach and a Consultant? Continue reading at page 23..


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THE ASEAN ECONOMIC COOPERATION,

are you ready? By: Harry Tambuatco, President and CEO

The Asean Integration is well on its way however with slight hitches that still need to be ironed out. These hitches obviously are the reciprocal benefits that need to be agreed upon by all ten countries as well as to be spelled out in policy and implementation. Are our Philippine brands ready? The Superbrand Academy tackled these issues last May 20 and 21 at the Plaza Ibarra venue with the participation of over 50 of our Philippine Superbrands. Presentors were from the Department of Trade and Industry Director Ma. Corazon Halili-

Dichosa who presented Investments Policy and Planning Service (IPPS), Pilar Marlyn Pagayunan, director Board of Investments and from the Food and Drug Administration. A more academic point of view from the Asean Family Business Advisor and Chair, Marketing Cluster of the Ateneo Graduate School of Business Enrique Soriano Ph.D. was a revelation towards facts on the ground succeeded by a pragmatic approach and best practices by Omi Romero, Vice Chairman, Philippine Vietnam Business

2015

Council. A market research approach would prove prudent as presented by Carole Sarthou of COnsumer REpubliQ Inc. towards any endeavor was advised.

Rolando Inciong Ph.D. presented the Asean Center for Biodiversity on why biodiversity conservation is key to business sustainability.

We also heard on best practices from an international brand; Atty. Lope Manuel LLM, LLM, Corporate Counsel of DIAGEO on Global Branding succeeded by Rommel Sangalang on Mergers & Acquisitions/ Finance with reference to investments. Not to be left out was Atty. Jesus Antonio Z. Ros, LLM on the Madrid Protocol / Intellectual Property Philippines and in the Asean as well as Country Trademark Registration (copyright and patents). JV Calleja, CEO Compact Pharmaceuticals spoke on ASEAN Integration re: BFAD approvals but also on potential business growth for Philippine companies in the ASEAN. Stephen Cutler Ph.D. presented the elusive concepts on Cyber Security (FSC Holdings Corp), and finally

All told, how did I stand on the Asean Integration? Till such time this integration is finalized and completed, it may best to stay prudent and lord over our markets we currently enjoy and control a majority share from. This by no means is to remain complacent but to be suspecting. It is best to join the rest of the world when it comes to e-commerce, towards digitizing our marketing strategies and to be openminded towards the many innovations now taking place in the world’s marketplace. Superbrands in the Philippines continue to enjoy a consumer preference but if we are to stay our markets it is best to take the bull by its horn rather than hang on its tail never knowing what it wipes next.

Superbrand Academy 7 “THE ASEAN INTEGRATION� PLAZA IBARRA, TIMOG AVENUE, QUEZON CITY MAY 20 & 21, 2015

Ms. Carole Sarthou

Director Ma. Corazon Halili-Dichosa

Atty. Jesus Antonio Z. Ros, LL.M.

Ms. Pilar Marlyn Pagayunan

Mr. Rommel Sangalang

Atty. Lope Manuel LLM, LLM

Mr. Harry Tambuatco

Mr. JV Calleja

Enrique Soriano Ph.D.

Stephen Cutler Ph.D.

Mr. Omi Romero

Rolando Inciong Ph.D.

Mr. Karl Mclean

The Superbrands in the Philippines tackles the Asean Integration together with esteemed professionals, the academe, and government. From Intellectual Property Rights to cyber security, and WKHLQWHUQHWZHUHVRPHRIWKHPDQ\LVVXHVGH¿QHG6HFXULQJEUDQGSUHVHQFHZLWKQRWMXVWDQDZDUHQHVVEXWWKUXLQQRYDWLRQDQGFRPSHWLWLYHQHVVZHUHRXWOLQHGE\EUDQGFXVWRGLDQVWKDWPDGHXSWKH A-team of the Filipino Superbrands. 7KHFUHHSLQJEUDQGLQYDVLRQZDVQRWOLPLWHGWRWKH$VHDQZKHUHWKHPDLQFRQFHUQVRXWVLGHLQIUDVWUXFWXUHDQGWD[HVZHUHLGHQWL¿HG,GHDOO\WKH$VHDQ(FRQRPLF&RPPXQLW\VKRXOGKDYHGHOLYHUHG VROXWLRQVWRFXUELQHTXDOLW\RWKHUWKDQWKHSHUFHLYHGSURVSHULW\&RQJUDWXODWLRQVWR6XSHUEUDQGV³3KLOLSSLQHVœ&KRLFH´

CHERUBIN RUBBER CORPORATION

superbrand marketing international inc.

)&RUSRUDWH&HQWHU%XLOGLQJ SedeĂąo Street, Salcedo Village, 0DNDWL&LW\3KLOLSSLQHV Phone (632) 728 8880 | 846 7525 Fax 758 1220 harry.tambuatco@superbrands.com www.superbrands.com/ph

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iPhone versus my|phone: A PREDICTABLE TRADEMARK LOSS By: Atty. Sara Jane Suguitan

On May 19, 2015, the Bureau of Legal Affairs (BLA) speaking through its ponencia, Director Nathaniel S. Arevalo, decided the opposition brought by Apple, Inc. against the my|phone trademark application. It was a well thought-out and predictable decision, one that the Filipino market will agree to, but will perhaps not be the same if this case was decided in other jurisdictions. The my|phone makers released the first local dual-SIM mobile phone in 2007. They weren’t able to successfully register their trademark at that time and had to refile their application in 2009. From 3 cellphone products, they now market over 40 models of cellphones under the my|phone mark. my|phone alleged that they are the first and only mobile phone with customised

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applications and content tagged as “Pinoy Phone”, which includes daily prayers. After the trademark application was approved by the Bureau of Trademarks, the my|phone application was published in the Official Gazette, from where Apple’s lawyers got wind of the pending registration. Apple filed an opposition to the my|phone registration. The process went on with the submission of position papers and the parties’ respective evidence until the BLA finally came out with a Decision. According to the BLA, the competing trademarks, iPhone and my|phone, are neither identical nor confusingly similar. The BLA conceded 2 main points for Apple: 1) that iPhone is first in time having

registered its trademark as early as 2007, and, normally, would be first in right, and 2) it is an international well-known mark. Having said that, the marks are similar only with respect to the word “PHONE” contained in both. “PHONE” is a generic term for mobile phones. “Clearly”, wrote Arevalo, the word “phone conveys the nature of the parties’ products and one cannot gain exclusive right to appropriate such term given that their products are mobile phones. The subject of scrutiny would have to be confined to the words “I” … and “MY”….” Spelled out, “I” and “M” and “Y” look different. When pronounced, “they are still distinct, one being pronounced with a pure vowel sound, while the other is a combination of two consonants,” the Decision continued. What then is the BLA’s ratio decidendi for allowing my|phone to carry on with its trademark registration? Because “my|phone” is marketed as a local Pinoy phone, the court found it improbable for one who is

purchasing a my|phone to be reminded of iPhone. According to the BLA, “Mobile phones are such kind of consumer goods where brand patronage or consciousness is concededly prevalent…. the fame and popularity of iPhones makes it improbable for one to confuse the my|phone cellphones as an iPhone.” The BLA further categorized the ordinary cellphone purchaser as an ordinary intelligent buyer. In the Philippines where the my|phone and iPhone markets are clearly delineated, this decision is predictable. my|phones sell for as low as 2,000 to as high as 10,000 pesos, whereas iPhones are way much more expensive than that. If we talk interface and customer experience, they are also both worlds apart. I’ve owned a my|phone and iPhones, and there’s no way that a my|phone is like an iPhone. The author is an intellectual property lawyer.


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Changing Ourselves By: Wilson Ng

Over the last 30 years, I have probably gone over hundreds of books and articles about motivation and positive thinking. A lot of them dispense good advice, but many are really just ‘feel good’ articles. You are more unique, or talented that you think yourself, so feel self confident, and don’t be afraid of failure. However, while this kind of advice works for some, it did not do good for others. When you encourage people to not just walk, but jump and fly, its great, because some people really found that they can fly. Its not so great, because some people really can’t. I know lots of people who have good jobs, but who quit and start to put their life savings into a business, only to fail, and face financial hardships. What I am going to write now is not a feel good, but a feel bad article. When things don’t go well, people don’t want to feel that its their fault. Nobody wants to hear that they really are the problem. But when things are not going as well as it should, or sometimes even much worse than you ever imagined, and things are falling apart, including the sky coming down, there are 2 attitudes that you can take: First is that there

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is nothing wrong with you, and everything is caused by bad circumstances, or other people who are not willing to support you. Or the second is to assume that you have this problem because you have a weakness or made a mistake, and the key to solving the problem is really to start with yourself changing your attitude or your direction. Trying to assess whether you did the right thing, or even being honest whether you were at fault is very painful. It is almost like trying to rub salt on a wound that you already have. But it can be necessary. The more intelligent a person is, sometimes the more he is in denial. But sometimes just plainly being honest with yourself, and understanding your limitations could well be the antidote you are looking fro to heal yourself. Wilson ng Real knowledge is to know the extent of one's ignorance - Confucius - Ng Khai - Translating Technology to business Strength. on its 22nd year! - WILSON_AT_LINKEDIN


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Franchise a Food Business now

2015

and succeed immediately By: Jenny Shiel Bongolan

When you search them in Google, you could find many good reviews about this Chinese restaurant. Well if you want to figure it out, and prove the good reviews you should definitely see them and indulge yourself with their appetizing and scrumptious Western and authentic Chinese dishes.

continue their tradition of quality family dining, at a reasonable cost, in a comfortable atmosphere, with exceptional service.” Then this serves you another proven fact why there are a lot of good reviews on their food and services on the net. So why don’t you see them now?

Their best selling Yang Chow rice, Dim Sum Platter, Hot Prawn Salad and Tender Beef Broccoli can really brighten your day. Their delightful dishes is also very affordable and really worth it for the whole family. Yang Chow Restaurant for the years has been “maintaining a profitable operation that will

After trying their food and you’ve been motivated to have your own Chinese restaurant, worry no more because Yang Chow Restaurant is now open for franchising. You can email them at jamesmagtalas@yahoo.com or contact FranchisingPH Magazine for more details.

"Moose Grill" is really a unique and intriguing place to eat. When I first heard of it, it fascinated me to look into this grill restaurant. And I will assure you that my findings will also fascinate you to dine with them. Moose Grill started in the year 2004 and getting stronger. They serve asian and western cuisines that is really loved by their customers. It is also a great place to drink since they serve the best pulutans in town. According to them, they value your money as they value

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their food. Don't be intimidated too since quality and quantity jibes their prices. To preserve the freshness of their food, they cook your food upon order. So if you hate to wait, don't worry it will be all worth it. There best sellers are Pork Sisig, Ulotong Pusit (fresh squid heads coated and deep fried till crisp), Grilled Tuna Belly, Kalderetang Baka, Sizzling Tofu, Nilasing na Hipon, Calamares, Baked Tahong and many more. Moose Grill always provides the best service they can ever give, they always believe in their saying "If we can't do it well, we won't do it." So why don't you try and dine with them? Great news, Moose Grill is open for franchising. If you love doing business in the food industry well Moose Grill will be a great choice. They have been serving the Filipino tongues for almost 11 years and you will not doubt their edge and service. If you want to be more fascinated and interested to join the franchising team of Moose Grill you can always contact FranchisingPH Magazine or email moosegrill@yahoo.com.

THE HOME OF THE BEST LECHON IN THE PHILIPPINES Anyone who have not yet tasted Lydia's best-selling lechon would be really missing a lot. We all know that Lydia's Lechon Restaurant really serves the best lechon in town, and not only the original lechon you know but with their irresistible tasty flavors. They have the best ever boneless lechon with paella and wait there's more, they also cater Filipino favorites like the Seafood Paella, Pork BBQ, Fresh Lumpia and Pancit Canton.

company, Lydia's Lechon Restaurant is accepting franchisees to help fellow Filipinos venture into their own food business. They want to help others to start their business through franchising as well as to cater more Filipinos to love their best quality food.

Please feel free to contact FranchisingPH Magazine for more information or visit www.lydias-lechon.com. Let me end this with their saying, "We will continue to be committed to be the purveyor of one of one of the icons of a Freshness and quality, according to them festive culture, satisfying your plate and is always their tradition. They believe that your heart with quality food and customer preserving their festive approach in food service with a smile." will always be the best for their customers. Lydia's Lechon Restaurant as we all know started with their cebu-style taste lechon which is created by the persons behind Mrs. Lydia and Mr. Benigno de Roca. They opened their first restaurant in Parañaque City in the year 1986 and the history all began there, they have become the favorite of many Filipinos. To date they already have 21 branches and counting. If you want to be part of their growing


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your name. They know that a certain cuisine from different corners of the Philippines could be more tasteful and memorable if you would pair it with the right sauce to satisfy their customers. And they were very right, because their customers keep coming back as soon as they started last 2012.

The restaurant started with their passion. "The passion to be a blessing and the passion to pursue creative ideas that will greatly promote and bring in the competitiveness of Filipino best cuisine."

Do you want some more? SawsawJuan Restaurant is now open for franchising. They promote business opportunities to everyone who wanted to start their own food business venture. This is a great choice since it is a fresh concept for the food business. So what are you waiting for? Visit their website at www.sawsawjuan.com or contact FranchisingPH Magazine to start now.

SawsawJuan Restaurant has a very exclusive and unique idea of bringing up their restaurant. SawsawJuan came from the word "Sawsawan" (dipping sauces) and "Juan" (term for the Filipinos). According to them, SawsawJuan will cater the Filipino cravings into the different mixtures of sauce with their favorite Filipino foods.

Many of us would flock into coffee shops and just enjoy the rainy season right? Who would not enjoy an aromatic blend of coffee paired with the sweetest slice of cake? Everyone would be just happy to have a great place to stay and just enjoy the cold weather. Sweetmates is a cafe and restaurant based in the Summer Capital of the Philippines, Baguio City. We all know that Baguio City has the best atmosphere and it is the right place for coffee shops. Sweetmates is one of the leading shops in town. Students, lovers and professionals would drop by and savor their original coffee blends and heavenly cakes to choose from. If you will visit Baguio City

don't forget to visit them at the third level of SM Baguio. We assure you that you will not regret it because aside for their delectable cakes and coffees they will treat you well so that your visit would be very memorable. Don't forget to share with your friends too. Sweetmates is making life sweeter that is why a lot of their customers fell in love with their pastries and drink. And as they make life sweeter they are also looking for franchisees who would want to have their own cafe-restaurant and Sweetmates would be a wise and perfect choice to pick. If you want to have a sweeter life in business, just contact FranchisingPH Magazine or email sweetmatescakes@yahoo.com for more details.

They are the only restaurant to have the SawsawJuan Bar, it is a long table where in you could have your own mixes of your sawsawan or sauce. They serve quality food and paired it with their mouthwatering sauces that would make you forget

Filipinos love frozen shakes, slushes or juices. It is really the best cure for the summer heat especially that it has many different flavors to choose from. Even though summer is ending, you could still enjoy the freshest slush mixes that Slurp It! offers to its Filipino customers. Slurp It! is a slush beverage company that serves a wide array of distinctive delectable flavors. It is very unique that you can create your own mix on their self-service station. That's how they love their customers because they wanted their customers to take in charge and be in control on what taste they wanted so that their money would be worth it. They know that customers are always right

which makes their customers keep coming back because Slurp It! really prioritize their customers’ needs and wants. It is their mission to delight their customers by offering great-tasting frozen slush beverages in unique and colorful flavors. If you want this kind of business, Slurp It! Welcomes franchisees to be with their team and enjoy the freshness of having a beverage business. If you are sure with your business decisions just connect FranchisingPH. Magazine and it will be their pleasure to help you.

The Buffet has the best selections with their Japanese, Chinese, Korean, Western and Filipino dishes. I assure you that there is nothing more to look for. You will not be wasting your time and money if you will taste different dishes freshly prepared from all facets of the world right? It’s going to be If you want to reward yourself this weekend really worth it if you want to just reward because of an achievement done or you yourself abundantly. are celebrating your birthday or anniversary with someone you love, buffet restau- Other than satisfying your cravings with rants are good to go. There are a lot of international cuisines, if you are looking for them sitting on the Metro but if you really a buffet business, they are open for want something new and a lot of cuisines franchising. So if you want to invest in a to choose from, The Buffet International fine-dining buffet restaurant, The Buffet Cuisine would be great choice. International Cuisine is the answer in your problems. They are known to “serve each guest promptly, courteously and a one-of-a-kind dining experience with excellent food value and professional service.” Joining their team will be a win-win situation. Your investment will be really worth it. So what are you waiting for? Visit their website at www.thebuffet.com.ph or contact FranchisingPH Magazine now.

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surroundings also reflect what you’re eating.

Craving for some Chinese authentic food? The Original Sa Lido Restaurant will always welcome you with a smile in their heart. But not only that, the famous Chinese restaurant also serves Filipino and Western dishes that is loved by a lot of their customers. Their top seller is the mouthwatering Asado which can be enjoyed by family and friends in a picturesque interior (80s to 90s style) of the restaurant. They say that you can enjoy some authentic dishes if your

Tasting the best Asado in town with the best sauce ever, it will really make a difference. The Asado I am telling you is not the ordinary siopao-asado that you can buy anywhere, but it is a tender pinkish meat, being sliced with a good layer of fat and golden brown skin with a sweet pineapple tasting sauce. For sure, if you’ll taste its best seller you won’t resist it anymore, other Filipino favorites are Steamed Fish Fillet in Special Sauce, Mapo Tofu, Sweet and Sour Pork, Lumpiang Shanghai, Chami, Miki Bihon and their original Yang-chow fried rice and Sa Lido fried rice. As it became a Filipino favorite restaurant they are now into franchising. So if you love Chinese food and want to have your own business, The Original Sa Lido Restaurant could be a great choice. If you want to know more about their franchise information, contact FranchisingPH Magazine now and schedule an appointment.

music from well-known bands and just have fun during the night with their beer pong challenge. They have other branches in the Fort Bonifacio Global City, Cebu and soon to open in Ortigas City. And if you are looking for a unique bar and restaurant business, Cable Car is now open for franchising, just visit their website at www.cablecar.ph or keep in touch with FranchisingPH Magazine.

When you heard “Cable Car,” you might immediately think of a fun ride or something that really may give you amusement right? But let me share you something new, here in the Philippines, we have a different kind of Cable Car it is a bar and restaurant located in San Lorenzo Village, Makati City. Yes, you heard it right, a bar and resto but without wheels or something that is hanging up high. And I bet partygoers will definitely fall in love with their “San Francisco pub ambiance, beer pong and its crave –worthy bar food.” Since 1992, their customers keep coming not only because of their dynamic and full of life vibes but because of their original and very famous Cable Car fried rice and Sisig rice. Who could ask for more? They are a restaurant where in your family could dine in and enjoy their delectable dishes and at the same time a bar where you can invite your friends, have the right chill, enjoy their upbeat and serene

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UNDERSTANDING

EMPLOYEE LEAVES IN THE PHILIPPINES

By: Atty. Nikki de Vega As the old saying goes, all work and no play makes Jack a dull boy. Hence, part of improving an employee’s efficiency is to allow him to take a leave from work without sacrificing his income. The Philippine Labor Code and other special laws mandate certain leaves that an employer should extend to an employee. These leaves form part of the employee’s statutory benefits. As such, it is important for an employer to extend these leaves to his employees. Otherwise, he might be liable for violation of laws. Contrary to popular belief, the

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PART 1

usual vacation leaves and sick leaves customarily given to employees are NOT in fact mandatory. The only mandatory leaves that an employer is required to give are the following: Service Incentive Leave (SIL), Maternity Leave, Paternity Leave, Parental Leave for Solo Parents, Leave for Victims of Violence Against Women & their Children and Special Leave for Women. Service Incentive Leave (SIL)

The service incentive leave does not apply to those employees enjoying vacation leave of at least five days with pay. Moreover, unused service incentive leave shall be converted to cash. Maternity Leave A female employee who has paid at least three (3) monthly contributions in the twelve month period immediately preceding the semester of her birth to the SSS, shall be paid a daily maternity benefit equivalent to one hundred percent (100%) of her average salary credit for sixty (60) days or seventy-eight (78) days in case of caesarean delivery subject to the following conditions:

a. That the employee shall have An employee who has rendered at notified her employer of her pregleast one year of service shall be nancy and the probable date of entitled to a yearly service incen- her childbirth, which notice shall tive leave of five days (5) with pay. be transmitted to the SSS; b. The full payment shall be

advanced by the employer within thirty (30) days from the filing of the maternity leave application; c. That payment of daily maternity benefits shall be a bar to the recovery of sickness benefits for the same period for which daily maternity benefits have been received; d. That the maternity benefits shall be paid only for the first four (4) deliveries or miscarriages; e. That the SSS shall immediately reimburse the employer of one hundred percent (100%) of the amount of maternity benefits advanced to the employee by the employer upon receipt of satisfactory proof of such payment and legality thereof; and It should be noted that maternity leave is available for all female employees regardless of marital status (whether married or unmarried). Furthermore, the maternity leave benefits are not included in computing the employee’s 13th month pay.


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PROFESSIONAL AND AFFORDABLE

at easy payment terms

S tructuring the Franchise O perations Manual F ranchise Marketing Materials F ranchise Contracts and Side Agreements F DI in accordance to DTI Bureau Order

F ranchise Website F ranchisors Manual

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M aster Franchising Worldwide

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L ongterm Service Assistant

1. Use of the FIFA Logo 2. Trademark Application Assistance 3. Franchise Webportal : franchise.ph 4. FIFA Membership Directory Listing 5. FranchisingPH Magazine Feature 6. Participation discounts in Seminars and Trade Shows 7. Mystery Shopping 8. Franchise Auditing of Existing Franchise Programs 9. Online Social Networking 10. Franchise Arbitration For more information, visit us at:

FREE! INITIAL CONSULTATION VISIT OR CALL US G/F Minnesota Mansion, 267 Ermin Garcia St., 1109 Cubao, Quezon City (02) 912.2946 / 912.2973 / 911.1966 Email: info@rkfranchise.com

T h e F I FA C E N T E R 104 Minnesota Mansion 2 6 7 E r m i n G a r c i a S t . , Cu b a o 1 1 0 9 Q u e z o n C i t y, M e t r o M a n i l a , P h i l i p p i n e s Te l e f a x . : ( 2 ) 4 3 9 . 1 5 7 9 * 4 3 7 . 8 3 5 8 M o b i l e : 0 9 2 2 . 5 3 7 6 9 7 9 Email: info@franchiseassociation.biz

http://www.fifa.ph Corporate partners: THE VOICE OF FRANCHISING WHERE GREAT OPPORTUNITIES ARE FOUND

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(Continuation from page 4) Like a sports coach, a business coach works on bringing out the best that's already inside you. In business coaching, you will be asked to focus on the “bigger picture” of what it is you want to create for your business (and your lifestyle), and talk about what will keep you motivated to move forward on your dreams, goals and tasks. A consultant will tell you what to do regardless of whether it suits you and it’s up to you to put the plan in motion. Very often, clients do not implement the plan because they have no motivation or they do not like the plan. A Business Coach will help you figure out what you do best, make a plan, push you to do more, and will stay with you as you implement the plan. It’s no accident that professional athletes have coaches – they know the value of partnership. Business coaching is not a quick fix. Rather, it’s a partnership between coach and client lasting from several months to several years. Building a business takes time and energy. True success comes from doing the work necessary to achieve results. You must be ready to do the work that will maximize your potential. There is a good analogy that illustrates the difference between a small business coach and a consultant: • A business coach will help you understand how and why you ride a bicycle, help you to determine what's holding you back from riding properly, and jog along next to you as YOU ride. • A business consultant will explain why one bike is superior to another, teach you how to ride the bike, and if necessary, ride the bike for you. Which one is best for you is based on your needs and values, as well your time constraints and deadlines. To quote PC week, “Using coaching instead of sending executives and managers to seminars two or three times a year can be more beneficial to ongoing career development, not to mention less expensive…” (sorianoasia@gmail.com) ********** (Prof. Soriano is an ASEAN Family Business Advisor and Chair of the Marketing Cluster of the ATENEO Graduate School of Business. He is a National Agora Awardee and book author of Kite Runner, a book on Family Business Governance and Succession.

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MANAGING YOUR FINANCES

Top 7 Biggest Money Mistakes

By: Mr. Dioscoro O. Odsinada, CPA

Many people make money mistakes that cause them to stay where they are, rather than rise to the top. You may think you are financially savvy, but you may be surprised. Are you making money mistakes? Here are best practices adopted from Newszoom.com. Read and find out.

those credit cards. Buying new over used. Sure, buying something new might make you feel better, but it often doesn’t make any sense. Cars, for example, depreciate immediately after they leave the showroom. So, there’s no need to shell out tons of money for the sticker price, when you can buy one that’s only been used for a year, and save yourself a significant chunk of change.

Losing out on interest. You need a liquid cash cushion for emergencies, so, you definitely need the money in your savings account, just in case. However, if you’re paying 15-20% Being a “Gadget Addict”. Wasting time in line, and interest on your credit card while then paying top peso for the earning 1.25% in savings, you’re losing money. So after you’ve latest gadget, is a major money saved enough money for a rainy waster. Being first is an expensive day, make sure to start paying off hobby. Just a few months waiting

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can assure you of getting the order it online. same product at a lower price, and Not investing on retireone that’s probably been debugged. ment plans. If your employer is matching Insisting on buying into money there’s no reason not to brands. There’s no need to stock money away for your retirepay for brand name medi- ment benefit plan. Not only are cines when you can get the same you missing out on savings for thing for a few pesos less. Generic retirement, you’re missing out on medicines have the same exact tax deductions. Imagine that; taxingredients as brand name ones, free income! at a fraction of the cost. Paying on bottled water. Buying books. Why pay Water bottles are conveniretail prices for books when ent; but the cost of them you can get it at the library adds up. Buy an insulated water for free? It may seem retro but the bottle and fill it up yourself. It’s not library is still around! And your only better for the environment, it local library has tons of books, and will also save you the money. if they don’t have it, they can often Mr. D. O. Odsinada is Head of Roy Odsinada Consulting Inc. rendering tax and management advisory to business and industry. He is also Managing Partner of Odsinada Dioscoro & Co., a public accounting firm, and has had forty-six years exposure in the professional services sector. He publishes The Business & Tax LEDGER, providing general guide to developments in business and taxation and regulatory rules. He obtained his B.S. Commerce (Accounting) degree from the Far Eastern University (FEU) in Manila in April 1967 and passed the CPA Board Exam. given that same year. He hails from Guinobatan, Albay, in the Bicol Peninsula. He can be reached at Tel. (632) 411-1489 or Mobile 0920-909-0093.


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Irresistible Inasal

families. The brand enjoyed tremendous success on its Middle East stores with more stores opening in Saudi Arabia, Oman, Bahrain and Myanmar by end of this year. The brand is also exploring other countries with a sizable Filipino OFW population such as HongKong, Singapore, Australia and USA in their future expansion.

There are a lot of restaurants now serving the Filipino’s favoriteChicken Inasal. But if you want to have the ultimate and authentic tasting Chicken Inasal you should be running to Bacolod Chk-N-Bbq House. They are serving the most delectable Western Visayan Chicken Inasal. Not only that, they also cater other authentic dishes like Pancit Molo and La Paz Batchoy and other grilled chicken parts.

If you want to be part of their growing business, Bacolod Chk-N-Bbq House is now opening its doors for franchisees. Just visit their website atwww.bacolodchickenbbq.com or contact FranchisingPH Magazine.

FOR FRANCHISE!

Did you know that the Chicken Inasal is most popular in Bacolod City? Bacolod Chk-N-Bbq House uses the best ingredients for its “marinade and basting sauce that create a unique flavor.” That is why their customers keep coming back. Customers cannot resist the smoky, juicy, authentic and rich in flavor Chicken Inasal paired with their heavenly Pancit Molo or La Paz Batchoy. Their original recipes have been passed on into generation for over the years. With their passion in the food industry, “the brand stands true to its promise to serve its customers the best tasting and truly authentic chicken inasal wherein they could utter “MANAMIT GID” (Delicious) after every bite,” Bacolod Chk-N-Bbq House. Aside from the Philippines, Bacolod Chk n BBQ House has expanded into the Middle East with stores operating now in Dubai, Qatar and Kuwait serving our famous chicken inasal to our Filipino OFW and their

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Putting it all together By: Bunny Pages One of my missions in writing a column is to share with others what I’ve learned in the hope that they would benefit from my experience. Another is to enhance what I’ve learned through the experiences, comments and suggestions of other people that can be emailed to bunny@pages.ph.

mental improvements but constant. Let’s examine what these individuals (called “Outliers,” according to bestselling author Malcolm Gladwell) possess abundance:

1) They have the ability to solve problems. This is the most important quality of a winning individual. Without My belief is that successful people are it, one won’t go very far in life; much less in business. That’s the bad news. what they are because they do things that failures don’t do. Everyone has the The good news is it’s a skill and habit that can be learned through books and potential to prosper beyond their practice. This is the route that I took. I wildest dreams. But the reality is very believe that problem solving isn’t just few individuals exceed or even reach ability; it’s a whole mindset. When their potential to become hugely faced with a situation, the first step I successful. take is to ask myself this question: Is I’m convinced that people who succeed this problem or a condition? The answer here is critical because It in life do three things exceptionally determines what step I take next. You well,. First, they’re able to solve their problems. Second, they capitalize their see, a problem has a solution but a condition has none. If it’s a problem, I opportunities. And last, they practice drop everything and do whatever it Kaizen, which is Japanese term for: takes to solve it, no matter what. I don’t continues improvement” small, incre-

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give up until it’s solved. If it’s a condition, I tell my mind to accept, live and enjoy it as best as I possibly can. In actual practice, problem-solving is a process that has five steps. The first is to understand and identify the problem. The second is to find the problems root cause or causes. Third is to explore every possible solution or option to solve it (the more the better) and, fourth is to choose the best option. The last step is to execute and make adjustments when needed until it’s solved.

need to be “closed” immediately. These “open loops” bother the sub-conscious mind. They cause stress and anxiety. The sooner they are “closed,’ the better for everyone. Most often what’s needed to close an open loop is to decide what action an open loop is to decide what action to take and then just do it. If you’d like to learn more about these techniques, check David Allen’s Book “Ready for anything”.

3) They keep scaling up by practicing Kaizen. Whenever I bungle things up (which is quite often), I always tell myself that it’s because “the Lord is not 2) They take advantage of the finished with me yet. In this way I’m opportunities that come their way. This can only happen if you have done reminded to be hummable while I continue to better myself as a person a good job in No. 1. It’s hard to takes on more when you’re heavily-burdened and as an entrepreneur. The more I with too many current problems. Clear think about it the more I’m convinced them out first and then you’re good. Of that the major cause of business failure is the entrepreneur himself. When the course, I’m assuming that you have owner becomes Big headed and thinks adequate financial and human he knows everything, that’s the start of resources at your command. For me, his downfall. Not only are business the best preparation to take on a opportunities going to missed-out but business opportunity is a clear mind. This is easier said than done but I think red flag signals go unheeded, as well. I may have found the secret on how it’s The only way to prevent this is from done. I see problems or anything that’s happening is to practice “continuous improvement” or Kaizen. hanging (such as unfulfilled promises of commitments) as “open loops” that


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3 Proven Growth Strategies By: Paul S. Pereyra

The dream of every entrepreneur is for his small business to grow big. Although not all of the strategies outlined here may be appropriate for your business some may work for you. Let’s learn from a couple of companies and the strategies they utilized that have catapulted their firms to stardom. 1. Thrive through Innovation: Ciao Bella a New York gelato making shop shifted from foodservice (serving mostly restaurants) to retailing to customers. They introduced unique, new & exciting flavours in colourful containers… these coupled with an endorsement from Oprah made the brand soar to new heights. Step aside Apple & Samsung… Fuhu introduced a tablet, called Nabi which is targeted & made for kids, it is loaded with 17,000 lessons for preschoolers to sixth graders. Fuhu’s focus on discovery, rich and engaging experiences have paid off its revenues have grown by over 159,000%. General Assembly changed the landscape of higher education by opening a center that teaches what businesses in the 21st Century need like digital marketing, mobile development etc. they now have over 10,000 alumni with 99% being able to secure employment in less than a year. John Fluevog Boots & Shoes of Vancouver Canada became tremendously popular due to their unconventional or unique designs. Bateman puts it quite succinctly: “If you keep on doing what you’ve always done, you’ll keep getting what you’ve always got.”

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2. Segment the Market: Method is a home cleaning brand from San Francisco that tapped the premium market & capitalized on being “Green”. Combined with very sleek packaging & national distribution they became so successful. Nat Sherman positioned itself as premium tobacco thereby appealing to a very select and sophisticated market: from a small cigar shop it now sells to 31 countries worldwide. Pepsi carved it’s own share of the huge cola market by appealing to a younger generation. Omada Health focused on people at risk of developing diabetes by improving the lives of people through coaching. Omada’s program, Prevent offers weekly fitness and nutrition lessons as well as connects the individual to a personal health coach. Clif Bar a homemade energy bar positioned itself as an organic snack for the active generation zeroing in on hikers and cyclists to reach sales of over $173M. 3. Go for Acquisitions: although it may require more investment. Acquiring established companies can help improve revenues and make the trip to being big faster. The business has to be a good match though with the current company’s core competencies, culture & organizational structure among other things. Jollibee’s acquisition of Chow King, Greenwich & Mang Inasal surely expanded their business in the Chinese food, Pizza & Roast/Native categories and improved their revenues. Android was acquired by Google in 2005, now it has dominated the market with more than 78% share. Whatever growth strategy you employ it is essential that you plan it very well and implement it properly; it has to have the commitment of the people in the organization, must add value to the brand and should be backed up with enough resources to make it successful. For Talks, Brand or WOW Workshops you may reach Paul Pereyra at 09176469857 or email him at pere.branding@gmail.com


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