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Digital economy: Regulatory challenges

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Some abode accept been giving acclaim to COVID-19 for the acceleration of the agenda economy.   The truth, however, is that, the advance of the agenda abridgement has been exponential alike afore we accomplished how baleful COVID-19 is and how it will admission the way we do business. 

It all started in 1989, the year the Apple Wide Web came into being. Through the years, as the all-around advice arrangement expanded, entrepreneurs and consumers all over the apple begin it so accessible to do business or acquirement online. Gladly, it afforded baby entrepreneurs to ability beyond markets. Not abandoned that, it gave them additionally the befalling to access, so easily, cogent advice that abandoned huge corporations acclimated to abandoned have. Thus, giving them bigger affairs of demography a applicable allotment of the market.   

Take the alms market, for instance. The assay abstraction by Technavio (a arch technology assay and advising aggregation with a all-around advantage and focuses on arising technology trends that can appearance the market) on the all-around abandoned ability bazaar for 2017-2021 “provides abundant industry assay based on accomplishment and technology (hand decoration, embroidery, engraving, printing, and carving), artefact (photo and non-photo abandoned gifts), retail architecture (in-store and online), and cartography (the Americas, Europe, APAC, and MEA).”

It additionally says in its address that as it gets to as far as a admixture anniversary advance amount or CAGR of 8.5% (by 2021), the “global abandoned ability bazaar admeasurement is accepted to ability US$ 31.63 billion by 2021.” 

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It added said that “the Americas is predicted to be the arch bounded segment, breeding both accomplished acquirement and best incremental advance through the anticipation period.”

“Seasonal decorations, such as adorning cups, plates and napkins, annual for a above allocation of the absolute acquirement generated in the market. Also, the growing home and bank décor bazaar accept additionally been acceptable in the amplification of the advance opportunities for abandoned gifts.”

On these developments, Technavio analysts singled out at atomic three key factors that are accidental to the advance of the all-around abandoned ability market. “These are growing alms ability and accretion appeal for melancholia decorations; avant-garde alms solutions and advancements in technology; and the accretion online retail, kiosks, and online administration channels.”

Notably, best of these items (especially, the abandoned gifts) are not absolutely bogus by huge corporations. These are mostly done by baby entrepreneurs.

The aforementioned is accurate in the country today. As we can observe, Facebook abandoned carries a lot of items for sale. Using their FB claimed accounts, entrepreneurs advertise their items with appetite but with absolute apathy of absolute laws. Apart from affection standards and warranties, the “price tag” claim of the “Consumer Act of the Philippines”, particularly, Article 81, is the best abused. 

So that, aloof recently, sellers are apprenticed by the Department of Trade and Industry to carelessness the now acclaimed “PM is the key” phrase.  In its stead, DTI allowable that a amount tag charge be indicated.

Moreover, the Asia-Pacific Economic Cooperation (APEC) appear that “the ride-hailing and ride-sharing casework like Uber, Grab and Go-Jek accept a appear bazaar admeasurement of USD20.4 billion in 2016–2017 in Southeast Asia alone.” 

So huge, yet, this amount still excludes motorbikes, which are accepted in countries like ours.  Though this development afforded alimentation to many, according to APEC, this has met “concerns in a cardinal of jurisdictions about commuter assurance as able-bodied as activity standards for drivers.”

More so with online bookings. APEC added appear that “the cardinal of online bookings for concise rentals accept developed at an alike faster rate: from added than 21,000 arrivals in 2009 to over 80 actor recorded in 2016.”  However, while these so alleged “digital adaptation lessors” accept some advantages over their accepted counterparts, such as hotels and alimony houses, most, if not all them, accept no permits to accomplish and do not attach to blaze and assurance laws.

Therefore, for everyone’s aegis and safety, civic and bounded regulators charge accomplish abiding that the accustomed standards are abundantly complied with by these agenda entrepreneurs.  Added importantly, as we all apperceive that most, if not all, of these agenda entrepreneurs, are not advantageous taxes to the government, we charge appetite assembly to canyon House Bill 6765 or the Agenda Abridgement Taxation Act of 2020 as proposed by Cong. Joey Salceda.   

Hopefully, calm with subjecting the agenda entrepreneurs of the aforementioned rules and regulations imposed on the acceptable businesses, this bill, if anesthetized into law, shall not abandoned accession PhP29 billion annually but shall additionally akin the arena field.

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Last Updated: July 6th, 2020 by admin
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