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  Business
Peso hits 53.86 level vs. dollar; volume up
Local players hit ‘overcharging’ by Korean bizmen
Cebu metalworkers urged to sell goods to Thailand
Espinoza: Government appointees under scrutiny
When a warehouse is not permanent establishment


Tuesday, March 15, 2005
Local players hit ‘overcharging’ by Korean bizmen

Local tourism players want the government to control the “shrewd” business practices, especially the overcharging of products and services, of Korean nationals doing business in the country, including Cebu.

Cebu Association of Tour Operators vice president Cecille Sa-a said Korean businessmen in the country price their products and services, such as tour packages, Korean food and Korean grocery items, as much as three times their “usual value” in the Philippines.

“With this business practice, Korean tourists might think that the Philippines is a very expensive destination. This will defeat our efforts in selling the Philippines to Korea,” she said during the presentation of the Philippine Convention and Visitors Corp.’s (PCVC) 2005 marketing plan for Korea at Waterfront Cebu City Hotel and Casino
last week.

PCVC Regional Manager for Asia Pacific Travel Trade Sales and Promotion Maricon Basco-Ebron said tourism stakeholders in Cebu could ask the help of the Cebu local government to regulate, if not stop, the overcharging practices of Korean businessmen doing business in the province.

Department of Tourism (DOT) 7 Regional Director Dawnie Roa encouraged the private sector to formalize all its complaints so the DOT can forward the complaints to the concerned government agencies.

The practice of charging tourists on a “pakyaw” (fixed rate) basis by some taxi drivers was also brought up at the meeting.

Jenny Franco of Travel-vision encouraged foreign tour operators to tie up with local tour operators to avoid problems.

Ebron, who heads PCVC’s Team Korea, said the DOT aims to increase to 500,000 the Korean arrivals in the country this year from 379,000 last year. PCVC is the marketing arm of the DOT.

Korea is among the Philippines’ primary markets, along with Japan, China and the balikbayans (returning overseas Filipinos).

DOT Secretary Joseph Durano said in a separate interview that 90 percent of the DOT’s budget will go to promotions in these markets.

Ebron said Korea ranks third in tourism arrivals to the Philippines with a growth rate of 24.6 percent in 2004. (JBN)

(March 15, 2005 issue)
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