STI COLLEGE- GENERAL SANTOS CITY INC.

Jose Catolico Sr. Ave, General Santos City, 9500 South

Cotabato

In Partial Fulfillment Presented to the

Entrepreneurship in Tourism and Hospitality

03 Task Performance 1

Submitted by:

Bandala, Midgelle
Sardual, Leona Joy

BSTM 3-2CA

Submitted to:

Ms. Celeste Ortiz

03/10/2024
 Successful Entrepreneurship Story of: Henry Sy - Shoe Mart

➢ The business and its Profile

Henry Sy, a remarkable figure in the business world, was born in a humble town in China, and his
journey to success began when his family migrated to the Philippines when he was just 12 years old.
Despite his family's return to China, Henry chose to stay in the Philippines, a decision that marked the
commencement of his extraordinary career in business. At the age of 24, in 1948, he established a small
shoe mart in Manila, a modest start that would later evolve into a grand empire of commerce.

His business acumen led him to establish 49 supermalls in the Philippines and China, 62 department
stores, 56 supermarkets, and over 200 grocery stores. His business ventures were not limited to retail
alone; he also owned Banco de Oro, the second-largest bank in the Philippines, and held significant real
estate properties. His brand, SM Malls, which stands for Shoe Mart, eventually became a well-loved
institution in the Philippines, offering a variety of services such as theatres, ice skating rinks, and food
courts.

Henry Sy's journey from running a small shoe mart to becoming the owner of SM Investments, one of
the largest conglomerates in the Philippines, is nothing short of inspiring. He learned the basics of retail
from his father in their family's convenience store and, after saving enough money, he ventured out on
his own with a footwear shop. His relentless hard work and strategic planning paid off when he topped
the Forbes Philippines Rich List for eleven consecutive years, through 2018. At the time of his death on
January 19, 2019, at the age of 94 he was worth an estimated $19 billion. Henry Sy's life and career
serve as a testament to the power of perseverance, vision, and entrepreneurial spirit.

➢ The benefits, challenges, and errors encountered by the entrepreneur and the business
and how these were overcame

BENEFITS FOR HENRY SY:

Henry Sy, the man who founded Shoe Mart (SM), gains a great deal from his business empire.
• First off, with a broad selection of goods and services including apparel, shoes, electronics, and
groceries, SM has made a name for itself as a major force in the retail business.
• Sy and his business benefit greatly from this market presence in terms of revenue streams and
Profitability. Along with this, SM runs a variety of subsidiaries. One such company is SM Prime
Holdings, which owns and maintains a sizable portfolio of real estate, including shopping
centers and residential buildings.
• Sy becomes wealthier and more powerful in the world of business as a result of this expansion.
Furthermore, SM's achievements have improved Sy's reputation as an entrepreneurial
businessman, earning him respect and recognition on a national and worldwide scale.
 • Finally, Sy uses his business achievements to effectively impact society through charity
endeavors and corporate social responsibility programs, which further enhances his legacy
and sense of personal fulfillment.
Overall, Henry Sy benefits financially, socially, and personally from his business endeavors, solidifying his status
as one of the most influential figures in Philippine business history.
BENEFITS FOR EMPLOYEES:
• In order to ensure that workers receive proper payment for their labor, the company
frequently offers competitive wages and benefit packages.
• Shoe Mart provides opportunities for professional growth and career progression. The company
Invests in skill-building initiatives and training programs to support employee growth.
• Employee loyalty and morale are encouraged by the company's favorable work
environment, which is defined by openness, respect, and teamwork.
• puts its employees' health and safety first, following restricted safety procedures and providing
Sufficient funds to create a safe working environment.
• In addition to the apparent benefits, working with Shoe Mart gives its employees access to a
Respectable and well-known brand, which can boost their career prospects and professional
reputation.
BENEFITS FOR SCHOLAR:
• This will benefit those who need income to cover their everyday costs. Since the SM company, as
we all know, offers scholarships to underprivileged people, this would also benefit the kids. Those
seeking for work, especially kids who want to go to school but can't afford it.
BENEFITS FOR FAMILY:
• Since SM offers a happy mall experience that brightens everyone's day, they help the family. They
commit to enhancing the standard of living in their communities with their partners and
employees by endorsing socially responsible and environmentally responsible initiatives and
endeavors.
BENEFITS FOR CUSTOMERS:
• Extensive selection of shoes available, catering to diverse styles, preferences, and occasions.
• The store frequently offers competitive prices and promotions, ensuring affordability without
compromising on quality.
• Shoe Mart puts a high priority on customer satisfaction by offering outstanding customer
Service, knowledgeable staff members, and hassle-free return policies, making sure that every
customer has a positive shopping experience.
OVERCOMING CHALLENGES IN ENTREPRENEURSHIP:

Henry Sy, Sr. was a visionary entrepreneur who transformed the retail landscape in the Philippines. His
journey to success, however, was not without challenges. As a young immigrant from China, he faced
numerous obstacles in his pursuit of entrepreneurship. Despite these challenges, he persevered and
built a business empire that continues to thrive today.

One of the major challenges Henry Sy faced was the lack of resources. When he first arrived in the
Philippines, he had little more than the clothes on his back and a strong work ethic. He had to start from
scratch, working odd jobs to make ends meet. However, he was determined to succeed and eventually
saved enough money to start his own business. Another challenge Henry Sy faced was the language
barrier. As a Chinese immigrant, he struggled to communicate effectively in English, which was the
primary language of business in the Philippines. This made it difficult for him to negotiate deals and build
relationships with potential business partners. However, he was a quick learner and eventually
mastered the language, which helped him expand his business. Henry Sy also faced discrimination as a
Chinese immigrant. In the Philippines, Chinese immigrants were often viewed with suspicion and
treated unfairly. However, he did not let this discourage him. Instead, he used it as motivation to work
harder and prove himself. He made a conscious effort to integrate into Filipino society, learning the
language and customs, and eventually earned the respect of his peers.

Despite these challenges, Henry Sy remained resilient and focused on his goals. He was a true
entrepreneur, constantly seeking new opportunities and taking calculated risks. He was not afraid to fail
and was always willing to learn from his mistakes. This mindset, combined with his hard work and
determination, ultimately led to his success.

In conclusion, Henry Sy, Sr. faced numerous challenges as an entrepreneur, including the lack of
resources, language barrier, and discrimination. However, he overcame these obstacles through hard
work, perseverance, and a willingness to learn. His story serves as an inspiration to aspiring
entrepreneurs everywhere, proving that with determination and resilience, anything is possible.

ERRORS ENCOUNTERED BY THE ENTREPRENUR:

Throughout his journey as an entrepreneur, Henry Sy, the founder of SM (Shoemart), encountered
many errors. Despite of these errors, Henry Sy shown resilience, persistence, and smart thinking. He
used his experiences to learn and grow, his ability to overcome challenges and grab chances contributed
to his success as an entrepreneur.

These are some errors that he encountered:

• Like other entrepreneurs, Henry Sy had failures and disappointments in his early business
ventures. Despite the fact that his small shoe store in Manila burned down during World War II, he
continued and rebuilt his business.
• Henry Sy encountered financial difficulties in his early years. He had to work hard to save money and
make investments in his business ventures because he came from a humble background.
• For Henry Sy, getting funds was a challenge, especially during the early stages of his business.
Because of his lack of security and poor credit history, banks and other financial companies were
hesitant and unwilling to lend money to him.
• Any industry is expected to have competitors, and Henry Sy faced strong competition from both
domestic and international retailers. But by providing high-quality products, excellent customer service,
and retail experiences that are innovative, he differentiated his businesses from those of his
competitors.
• A financial crisis can have a major impact on businesses, especially in the retail industry. Henry
Sy had to endure financial crisis and adapt his strategies in order to survive in times of crisis.

ERRORS ENCOUNTERED IN THE BUSINESS:

Henry Sy, the renowned Filipino tycoon, experienced a challenging journey from poverty to immense
success. Born in China in 1924, he moved to the Philippines with his father to escape hardship. Facing a
difficult immigrant life, Sy worked tirelessly, running a small sari-sari store to make ends meet. Despite
setbacks such as the store burning down during World War II, he persevered.

Sy's path to success was marked by hard work, language barriers, and financial struggles. He built a shoe
business in Marikina and later overcame numerous setbacks, including rejections and business failures.
Despite these challenges, he pursued education, graduating with a commerce degree.

In 1958, Sy established the "Shoe Mart" store in Quiapo, Manila, laying the foundation for SM Prime
Holdings. His journey involved changing legal names, selling rejected shoes, and facing early-life
setbacks. Despite initial failures, he remained resilient, eventually creating three of the Philippines' most
valuable companies: SM Investments Corp., SM Prime Holdings Inc., and BDO Unibank. As of 2018, he
held the title of the country's richest man for 11 consecutive years, ranking 52nd on the Forbes World
Billionaires List.

HOW THE ENTREPRENEUR OVERCOME THOSE CHALLENGES:

Seeing the feats that this legendary businessman has made it's no surprise for us to actively learn his
work ethics and lessons. He left a legacy that continues to inspire so many people. It's astonishing how
he interacts with clients and vendors and manages to make things function according to business rules.
He is a creative individual who sees possibilities everywhere. The following are some of how he
overcame those challenges in his business career.

He set a long-term vision, He thinks big, start small, and move fast in anything he do. Sy has emphasized
to not be afraid to think large, starting out small, and moving quickly. If you don't, someone else will
 Simply surpass you. Another thing of how he overcome is to think outside the box and be ambitious. Go
for the large scale, be willing to be bold despite the difficult political and economic situations, Sy
officially entered the big leagues when he began creating those enormous one-stop shopping malls. Sy
would always encourage people to take risks with the reward for the greater future. He also added that
focusing on the customers is one of the key of overcoming challenges. Another way that Henry Sy
shared in overcoming challenges is to seek market leadership, even with his small companies, Sy aimed
to dominate the industry. As a result, SM Development Corp. became one of the biggest real estate
companies, and SM malls naturally became the biggest and most well-liked malls in the nation. Another
overcoming stories of Henry Sy is to go public is largely responsible for SM's success. First to go public
was SM Prime in 1994, then BDO in 2002, and SM Investments in 2005. He also stated that, “If you want
to move ahead, let's go public. Use other people's money. By going public, you can get as much as 30
times of your income. Use that money and go public, then you can move faster," Sy said. The move
obviously worked. Another one would be Set Good Governance, Any corporation that is publicly listed is
also held to a higher level of corporate governance, transparency, and accountability. Good governance
is good business, he said.

Lastly, stick to your words. He said "If you say you're going to build 10 malls a year, make sure you open
10 malls a year, because investors, especially the foreign investors, they're not here. They don't know
what's going on. They only believe what you say. But if you fool around, that's the end. Nobody will
believe you, nobody will invest."

REALIZATION:

Henry Sy's Shoe Mart business has yielded significant and diverse benefits that are well recognized. First
and foremost, it is clear that Shoe Mart—now called SM—has radically changed the retail environment in
the Philippines and elsewhere. Millions of customers benefit from SM's incredible convenience and easy
access to a variety of goods and services through to its wide network of malls and retail locations. In
addition to satisfying customers, SM's success has a positive economic impact by boosting local
economies, generating jobs, and promoting economic expansion nationwide. More importantly, Henry Sy's
bright ideas and creative leadership have not only created a corporate empire but also served as an
inspiration to many future business owners, highlighting the transformational potential of determination
and creativity
Henry Sy's success story serves as an example of the strength of resiliency, diligence, and creativity. Sy
faced many challenges and failures on his path to become one of the wealthiest businessmen in the
Philippines. Sy was born in 1924 into a poor household in China. But he overcame these obstacles and
established an empire that is still thriving today by pure determination and an unwavering pursuit of his
objectives. By that, I realize that hard work always pays off you just have to believe in yourself. Also,
another important factor in Sy's success was his willingness to take risks. He was not afraid to invest in
new ventures or enter into partnerships with other businesses. This allowed him to grow his business
rapidly and stay ahead of the competition.
What I have learned and realized about the success story of Henry Sy: Henry Sy's success story brings
motivation and inspiration for entrepreneurs. It teaches us to never give up in the face of failure. Henry
Sy's success did not happen right away; it was the outcome of years of hard work and dedication. His
story highlights the importance of having a long-term vision and staying to it, even when faced with
failures or challenges.
The inspiring life and success story of Henry Sy many of us dream to have a successful and a better life
therefore we are working hard to make that dream come true. Every day we learn a lesson that will
inspire us to keep Henry Sy worked hard in school while also assisting his father. They face several
challenges throughout their lives, but Henry never gives up. He attends college but drops out to
concentrate on his company. Henry makes business decisions, but many people disagree with his choices.
Those people had no influence on Henry since he trusted his decisions and was confident in his ability to
run a successful business. With the passage of time, he continued to develop and expand his company.
His company's profit climbed much higher.
Don’t be afraid to Start Small. Henry Sy's accomplishments demonstrate the value of humble beginnings.
He opened a modest shoe shop in Manila and laboriously expanded it over time. His decision-making as
his store expanded was greatly improved by his earlier experience with retail operations. Young business
owners should get their feet wet with a modest operation before expanding to larger premises.
Henry Sy's life and entrepreneurship journey offer valuable realizations and lessons for aspiring
entrepreneurs. From seizing opportunities and starting small to adapting to change and prioritizing
customer needs, Sy's journey exemplifies the importance of resilience, diversification, and long-
term vision. His success serves as a testament to the power of perseverance, innovation, and strategic
planning. Henry Sy's philanthropic efforts highlight the importance of giving back and making a positive
impact.

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