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How big business can help SMEs grow

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IN theory, both big and small businesses should grow together. The “big brother-small brother” concept — long promoted in development literature — argues that large firms help micro, small and medium enterprises (MSMEs) through forward and backward linkages, sharing technology, market access and stability.

In practice, many Philippine SMEs experience something closer to the opposite: late payments, consignment arrangements that shift risk entirely downstream and just-in-time (JIT) production systems that make small suppliers carry inventory without compensation.