Mass Productivity Will End Mass Poverty!

Why are 3rd World people so poor? One indicator is mass productivity, which is measured thru gross national production (GNP). Let’s take 3rd World Philippines as example. Comparative statistics indicate a sad fact: each leading US or Japanese company sells more than the production equivalent of all Philippine businesses combined!

Example: In early 2000s, General Motors, Toyota, Mitsubishi, Wal Mart and other corporate giants each sold over $100 billion worth of goods and services each year. Yearly Philippine GNP at the time was just around $85 billion.

Of course billion-dollar companies can afford to pay salaries at five to ten times the pay rates of 3rd World businesses. That’s one major reason why 3rd World masses are so poor as compared to 1st World peoples.

What’s the conclusion? The statistics indicate an imperative: Filipinos and their anti-poverty allies just have to start thinking big. Our anti-poverty cyber army has to build world-scale joint venture companies in the Philippines. Scores of Philippine companies within the same industry line have to merge in order to share resources for accessing world markets and leading-edge technologies.

The Philippine government must begin financing a ‘go big time’ corporate program. However, everything must be done in a democratic way. Our cyber army should propagandize to attain this end. The objective: avoid the large wealth disparities typical of both 1st World and 3rd World societies while raising Philippine GNP by ten to twenty times.

How do we build our democratic business sector in the Philippines? Here’s the vision:

1. The Philippines’ 30 million-strong employee and managerial masses form thousand-member ‘investment unions.’

2. Each union strives to set up a world class joint venture company with a 1st World corporation every two to three years.

3. The Philippine Congress passes a ‘Loans for Mass Entrepreneurship’ law. The LME law lends around P200 billion each year to the unions for capitalizing joint venture companies. P200 billion is just about half of the amount lost to corruption each year in the Philippines.

4. Joint ventures quadruple local capital thru foreign investment and machinery loans. In effect, the state’s P200 billion yearly in mass entrepreneurship loans create thousands of companies all worth P800 billion each year.

The logical results? Philippine GNP, salary and profit rates gradually rise to First World levels. Millions of high-paying jobs get created yearly for the teeming Philippine poor, on perpetual basis. High productivity brings down prices of goods and services, thereby raising mass purchasing power (a form of salary increase).

The Philippine employee masses as shareholders earn fortunes in joint venture dividends and rises in their stock shares’ market values. Foreign investors getting good return on investments get motivated to pour more capital into more union joint ventures.

How do we begin to build up our cyber army that will start it all? First step: popularize a slogan among all bloggers and all our contacts: There’s good profit in winning the anti-poverty war, and it starts in the Philippines!

Why Is Our Blog's URL 'Povertyslayers'?

This blog is our cyber War Room where e-Generals (people who post comments) make and discuss plans. Field warriors are organizers, managers, and employees of 3rd World joint venture companies that arise out of our plans.

What do we plan for? Let’s review our targets:

1) slay poverty monsters that create billions of exploited street kids, aged beggars, slum dwellers, rural destitute, and hunger-stalked families worldwide;

2) end world poverty one country at a time at a profit, so weapons for more anti-poverty battles get perpetually created, and warriors are always in high spirits;

3) tame world-scale recessions by converting five billion poor into employee-consumers;

4) rebuild denuded ecologies at good profit to all participants.

Our anti-poverty cyber army being composed purely of volunteers does not follow top-to-bottom line commands. Our army’s Commander-in-chief comes in the form of the action options we decide on in this blog. The long initial musings posted by the author (your Propaganda Officer in our Philippine theater of operations) compose just the framework of possible action options.

Comments sent in by Cyber Generals may refine the options and even reshape parts of the framework. The result can look like a camel, which is a ‘horse designed by a committee’ but is nevertheless the best means of survival in the harsh desert. This blog therefore becomes the mind of all Generals (commentators) and participants (all others who agree and take action) in our anti-poverty war. Hence our address ‘povertyslayers.’

Here's How 1st World Companies May Expand to the 3rd World

Here are the facts, potentials and imperatives:

1. The 3rd World is not exactly a bastion of new business ideas and technologies. Proof: there are hardly any 3rd World originated products and technologies in world markets. 3rd World Research and Development as culture and institution are minimal if not zero. The logical imperative: 1st World companies must partner with large 3rd World employee groups to set up new businesses in the 3rd World. The joint ventures should access over six million US invention patents on file, plus 145,000 US patents approved yearly. The new companies may start with whatever technologies will make money in world markets.

2. The 3rd World has millions of potential business partners. These come in the form of employee and managerial groups large and small. 3rd World managers and employees are business skills. They know local conditions, have connections and privileges for accessing land leases, marine waters leases, franchises for exploitation of natural resources, permits and licenses, local suppliers, local markets and even some international markets.

3. 1st World companies have to help in a world-girdling campaign for formation of 3rd World investment unions. An investment union is composed of several thousand managers and employees in ten or more companies. The union plans on building one joint venture company every 2-3 years. The large numbers are required because most 3rd World salaries range from just $200 to $700 monthly. It will take nine-month salary loans before the large groups can form at least half of capital for a million-dollar joint venture company.

4. Investments must be made in one 1st World country at a time. It’s best for 1st World companies to ‘gang up’ on one 3rd World entrepreneurial mass at a time. The chances for success are highest where there are the most number of brains and resources. The country with the most number of investment unions should become the first target. There is no substitute to business partners who are well-prepared.

5. First investment target must be the Philippines. The Philippines has a 30 million-strong employee and managerial mass, plus around ten million Filipino contract workers and migrants in the 1st World. These business skills can more easily be organized because they are all looking for additional income due to their low salaries. Filipino employees abroad also want to help relatives back home and the home country in general. The best way for them to do so is to invest in new joint venture companies forming back home. The Filipino diaspora remits around $15 billion yearly to relatives back home. Most of the money goes to mall purchases of imported goods and construction of houses. Persuading the diaspora to invest even 20% of remittances will help capitalize thousands of new companies in the Philippines. Persuading overseas Filipinos to invest at least ten percent of their monthly salaries will multiply the number of companies created. A most persuasive tack is joint venture schemes between Philippine investment unions and 1st World corporate 'names.'

6. 1st and 3rd World companies and peoples must lobby their governments to pressure the Philippine Congress into passing a Loans for Mass Entrepreneurship law. An LME law allocates 10% of tax take and bond proceeds towards nine-month salary loans to thousand employee investment unions setting up joint venture companies with foreign corporations. Foreign governments may offer to buy 20-year Philippine bonds provided an LME law is passed and most bond proceeds get retailed into salary loans for investment union entrepreneurship.

7. 1st and 3rd World companies and publics must campaign among Philippine employee masses to set up joint venture companies. A joint venture quadruples local capital thru foreign investment and machinery loans. Thus a Philippine consortium of investment unions may build say a $10 million ethanol distillery by investing just $2.5 million. The joint venture partner invests $2.5 million. 1st World manufacturers and their banks lend $5 million worth of machines and equipment. An ethanol distillery may profit at an incredible 80% of sales (according to Brazilian experience) so all participants earn good money out of the adventure. 1st World industrial companies may sell their production much more easily by partnering with 3rd World investment unions and throwing in their credit worthiness into the partnership.

8. A propaganda campaign conducted by our cyber army’s physical ‘regiment’ in Philippine malls may help speed up formation of Philippine investment unions. All major Philippine cities have several malls. A booth in each may be equipped with TV and CD player, pamphlets and leaflets that describe the new joint venture schemes. A 2’x6’ tarpaulin display chart of the concepts serves as attractor. Practically all Filipino employees frequent the nearest malls. Overseas Filipinos on vacation bring their families to the malls. Mall booth personnel may sell the joint venture schemes herein described to all booth viewers. Funds for the mall campaigns may come from warrior contributions and fees from advertisers in this blog.

9. 1st World companies and employee masses must campaign within their societies for Congresional passage of an Expand World Markets law. The EWM law allocates five percent or more of state taxes and bond proceeds towards loans to 3rd World governments that have passed a Loans for Mass Entrepreneurship law. The LME law lends ten percent of state taxes and bond proceeds to members of thousand-employee investment unions that plan on setting up joint venture companies with 1st World corporations. The EWM-LME partnership is intended to convert five billion 3rd World poor into new employees, therefore new consumer markets. The target: end the current world-scale recession thru creation of new markets for 1st World companies whose 1st World markets are already saturated. Since laws have perpetual effect unless repealed, the EWM-LME tandem shall channel and revolve trillions of dollars towards 3rd World joint venture entrepreneurship on perpetual basis. Perpetual creation of good-paying jobs will gradually strangle all poverty monsters worldwide.

Why investment unions as joint venture partners? If investments and corporate profits flow among employee masses, huge consumer markets get created. If thousands of 3rd World entrepreneurial groups form joint venture companies each year, 1st World companies will sell a lot of machines, equipment and factory inputs. Concurrently, 1st World financing companies earn interest income and 1st World joint venture partners earn good dividend income. Rising shares’ values also enrich all stockholders. The degree of prosperity depends uoon the interest and action of all concerned.

But most importantly, thousands of joint ventures formed yearly shall create millions of high-paying jobs for the poor. The new employees qualify for mass entrepreneurship loans. Creation of jobs, markets and mass wealth shift to overdrive. If from the outset the EWM-LME programs pour hundreds of billions of dollars in investment funds into Philippine investment union joint ventures, our cyber army’s first theater of operations shall declare quick victory within a matter of decades or less. Thereafter, our cyber army confronts other poverty monsters inflicting terrible miseries among the masses of another 3rd World society.

Only a World Army of Business Skills Will Win the Anti-poverty War!

Why are so few people interested in redeeming the poor? One reason: the poor are just too many. Out of six billion people worldwide, five billion are poor if First World standards (such as access to good College education) are used as bases. Among the 3rd World unfortunates are around a billion bottom poor who earn just a dollar or less a day. One can only imagine what terrible miseries such families have to endure on daily basis.

To redeem this huge mass, we cannot rely solely upon anti-poverty organizations that are too few in number and too limited in resources. History shows that we cannot also rely on governments, especially those of 3rd World countries. Out of a hundred or so Third World countries in early 1900s, only five made it to the First World, and it took them over 20 to 30 years to do it.

How do we fast track the redemption process? Again let’s make the Philippines our anti-poverty laboratory. On First World standards, 80% of Filipinos (68 million individuals) are poor, and 56 million of them are Elementary level. Fortunately the country also has 30 million employees and managers, some ten million of them being College level employees, professionals, and micro-entrepreneurs. Another ten million or so are employed in 1st World companies, and they remit some $15 billion yearly to relatives back home.

Wealth generally comes from business. Since employee masses are business skills, they are the most qualified to wage an anti-poverty war. Employees worldwide may number several billion, a good match for saving five billion poor, especially since most 3rd World employees are themselves poor. Additionally, employee masses as new corporate entrepreneurs will ‘force’ corporate profits to flow among the masses. Wealth will not bottle up all the more among the elite few as what traditionally happens. Finally, thousands of new companies set up by employee masses each year will create millions of jobs for bottom families earning $2 or less a day.

As vanguard, how may the Filipino salvation army of employees attain the dream? Here’s one vision: Thirty million Filipino employees motivated by high-profit business schemes form themselves into thousand member ‘investment unions.’ Mass voting potential pressures the state to lend P200 billion each year to the unions. The loans capitalize world-scale local-foreign joint venture companies. Joint ventures quadruple local capital thru foreign investment and machinery loans. In effect, the state’s P200 billion in ‘mass entrepreneurship’ loans create thousands of world-class companies all worth P800 billion each year!

Perpetual recycling of mass entrepreneurship loans raises the state’s yearly tax take. Risen tax collections repay old state debts. Enhanced state credit worthiness brings in new billion-dollar loans from world funding institutions. Most of the loans get channeled to our Philippine salvation army’s mass entrepreneurship program as described.

What high-profit business schemes can draw large employee groups and their foreign joint venture partners into the battles? Here are examples:

(1) Sweet sorghum plantations and ethanol distilleries. Ethanol distilleries make a profit at an incredible 80% of sales. A 40,000-liters/day distillery costs $10 million, which means just $2.5 million in entrepreneurship loans to investment union members. Foreign partners and banks or machinery lenders supply the rest. Sweet sorghum may be grown even by small employee groups' farms that raise a mix of corn, upland rice, leguminous trees and shrubs, range chicken, pigs, ducks, goats and some cattle. Plant harvests as home-grown livestock feed can yield six-figure incomes for the employee group.

(2) Thousand-hectare marine aquacultures. Live fishes, shrimps, prawns, and crabs are priced 3-6 times in weatlhy World Pacific Rim countries. Artificial reefs expand harvests while conserving marine animal populations at perpetual-breeding levels.

(3) Thousand-hectare managed forests with mini-hydropower chains and eco-resorts, Southeast Asia. The project earns from forest products, fruits, cattle feedlots that use leguminous forest trees as fodder, and sale of electricity to local grids.

(4) Tour boat fleets and motor home touring caravans, SEA. Joint ventures between Philippine investment unions, US yachting groups and motor home manufacturers may end up expanding all over the tropics over the long term.

(5) Asian snack food booth chains, Western cities. Innumerable types of tasty snacks and fruit juice mixes recycled for perpetuity ensures that Western palates never tire of snack food offers.

(6) Thousands of other world class joint ventures dreamt up by 30,000 ‘investment unions’ on perpetual basis.

The logical consequences? Millions of high-paying jobs get created each year, on perpetual basis. The teeming elementary-level poor find jobs and afford innovation-oriented education. Innovation-focused education is the ticket to job promotion, high incomes, entrepreneurial loans, royalty income out of inventions, stock dividends, and rises in the value of stock shares held by the employee. Gradually, the Filipino masses follow the example of US employee masses who now own over half of US companies thru stock shares and corporate bonds.

How may First World anti-poverty warriors participate in the fray? Their manufacturing and service corporations may set up joint ventures with Philippine investment unions. Their investment companies may buy Philippine joint venture stocks and bonds. Their governments may buy billion-dollar bonds sold by the Philippine government, to be lent out to Filipino employees setting up world-class joint ventures thru investment unions. Mutual help for mutual profit thereby becomes a world culture that raises all 68 million Filipino poor to the middle classes. Next target: the rest of the Third World, one country at a time.

(Please click dates 12/14/08-12/21/08 below for next related topics)