The contribution of the Filipino expatriate community to the profitability and economic sustainability of selected real estate companies

• Main Authors: Go, Bruce Harlston L., Kaw, Jeffrey H., Sabariaga, Lorraine Nicole F., Uy, Anika Michelle T.
• Format: text
• Language: English
• Published: Animo Repository 2013
• Subjects: Real estate business > Philippines; Real property > Philippines.; Business Administration, Management, and Operations
• Online Access: https://animorepository.dlsu.edu.ph/etd_bachelors/11019
• Institution: De La Salle University

In the developing cities of the Philippines, people will always see construction sites and buildings being developed here and there. It brings up the question, what are the growth drivers of the real estate industry here in the Philippines? Aside from the booming economy of the country recently, the noted main drivers are the growth of the business process outsourcing (BPO) industry, OFW remittances and tourism. This research focuses on the Filipino expatriate community who lives and works overseas and their possible contribution to the real estate industry. The demand of these expatriates are addressed by the real estate developers through international marketing, which is achieved by establishing international offices or sending sales representatives abroad. This thesis explores the impact or significance of the Filipino expatriates to the profitability and economic sustainability of the selected real estate developers here in the Philippines. The scope of the thesis involves the three real estate developers who participated based on the result of convenient sampling. All of them conduct international marketing and they are: Century Properties Group, Eton Properties Philippines Inc. , and Robinsons Land Corporation. The group pursued a qualitative type of study instead of quantitative as a result of insufficiency of resources. From there, strategic interview questions were constructed to gather the data needed to validate their impact on the real estate iv developers profitability and economic sustainability. Interviews were not only conducted with the real estate developers, but also different agencies that are related with overseas Filipinos abroad and the real estate industry. These agencies include the Commission on Filipinos Overseas (CFO) and Overseas Workers Welfare Administration (OWWA) to gather insight regarding the expatriate's point of view. Also, key members of well-reknowned real estate consultants, Jones Lang La Salle and CB Richard Ellis (CBRE), were interviewed to have a perspective on the status of the real estate industry here in the Philippines. Financial ratios were also calculated as a measure of the real estate developers' profitability and sustainability. Their financial ratios were compared with one another, to see if there is any evident trend. Finally, all gathered data were fitted in a multi-case analysis table for better comparison and analysis. From all the data gathered, the researchers found out that the Filipino expatriate community is indeed, a significant contributor in the profitability and economic sustainability of the real estate developers included in the sample. Although there are varying significances in the contribution of Filipino expats to their sales, they unanimously considered it devastating if all or a big portion of their sales from the expatriates are removed. Several actions were recommended not only to real estate developers, but to the different stakeholders as well. v Hopefully, future researchers will also feel the need to do researches in line with the paper, as there are not many published studies that have linked the Filipino Expatriates and their exact contribution to the Philippine real estate industry.