Module 2: The Philippine Startup Ecosystem

Question 1

is a young company that innovates technologies or applies existing technologies in innovative ways to provide a new product or service.

Answer 1

Startup

Question 2

Creation and application of new or improved technologies.

Answer 2

Innovating technologies

Question 3

It encompasses a range of institutions, policies, people, and businesses that can support the development of tech startups.

Answer 3

Ecosystem/ Startup Ecosystem

Question 4

Key Components of the Ecosystem

Answer 4

(1) Government Policies and Programs
(2) Financing Investment
(3) Incubators and Accelerators
(4) Human Capital
(5) Digital Infrastructure

Question 5

2000s

Answer 5

Philipine Startup Ecosystem began to develop

Question 6

2010s

Answer 6

New policies and programs to aid startups

Question 7

2012

Answer 7

Corprate incubatorsKickstart and Ideaspace began funding startups

Question 8

2015

Answer 8

Government launched the Philippine Roadmap for Digital Startups

Question 9

2018

Answer 9

Three key department ssigned a memorandum to provide startups assistance (1) DOST, (2) DICT, and (3) DTI

Question 10

2019

Answer 10

First Philippine Starups Week

Question 11

2020

Answer 11

Startups help sustain economic activity during pandemic

Question 11

2021

Answer 11

DTI launched the National AI Strategy Roadmap and a total of 858 million dollars was invested in Philippine Startups

Question 12

Key Developments between 2014-2021

Answer 12

(1) Philippine rose from 100th to 51st in the Global innovation Index
(2) Philippines ranks 4th out of 34 lower-middle income economies included in the Global Innovation Index
(3) Philippines is among the world’s top 30 countries in knowledge and technology input.

Question 13

Key Sectors of Philippine Startup

Answer 13

(1) Agriculture (Agritech)
(2) Education (Edtech)
(3) Environment (Cleantech)
(4) Healthcare (Healthtech)

Question 14

leverage technology to improve farming practices, increase crop yields and, enhance agricultural productivity.

Answer 14

Agricluture (Agritech)

Question 15

utilize technology to enhance learning experiences, provide access to educational resources, and improve educational outcomes.

Answer 15

Education (Edtech)

Question 16

develop and deploy clean and sustainable technologies to address environmental challenges and promote eco-friendly solutions.

Answer 16

Environment (Cleantech)

Question 17

innovate in healthcare delivery, diagnostics, patient care, and wellness using technology to improve access, efficiency, and outcomes.

Answer 17

Healthcare (Healthtech)

Question 18

• Enacted in April 2019
• an act adopting innovation as vital component of the country’s development policies to drive inclusive development, promote the growth and national competitiveness of Micro, Small and Medium Enterprises (MSMEs), appropriating funds herefore, and for other purposes

Answer 18

Philippine Innovation Act (RA 11293)

Question 18

Importance of Philippine Innovation Act (RA 11293)

Answer 18

(1) Boosts National Development
(2) Support MSME growth
(3) Enhances National Competitiveness
(4) Additional Positive Impact

Question 19

• signed in to law last April 26, 2019
• an act providing benefits and programs to strengthen, promote and develop the Philippine startup Ecosystem.

Answer 19

Innovative Startup Act (RA 11337)

Question 20

any person or registered entity in the Philippines which aims to develop an innovative product, process, or business model

Answer 20

Startup

Question 21

include startup accelerators, incubators, co-working spaces, investors, funders, event or meet-up organizers catered to startups, and other support organizations.

Answer 21

Startup enabler

Question 22

Main initiatives of Innovative Startup Act

Answer 22

(1) Simplified registration process
(2) Tax breaks
(3) Funding Assitance
(4) Regulatory Exemption
(5) Membership and Training Programs

Question 23

was cited as one of the challenges of startup governance.

Answer 23

Interagency coordination

Question 24

Most of the programs under _____ and ______ are focused on assisting early stage startups ....

Answer 24

DOST and DICT

Question 25

provides funding for Philippine inventions and innovative works, up to ₱12.5 million per project, under a sharing scheme with DOST.

Answer 25

Landbank's I-tech Lending program

Question 26

aids local governments in transitioning to modern technologies in various sectors.

Answer 26

Landbanks's SMART in City Development Lending Program

Question 27

is a major funder of small enterprises, approving over 20,000 loans for pandemic-affected businesses in 2021

Answer 27

SBCorp or Small Business Corporation

Question 28

Challenges for Tech Startups

Answer 28

(1) Documentation and Collateral requirements (2) Complex application processes (3) Lengthy approval periods (4) Tech startups perceive loans as risky

Question 29

Venture Capital Characteristics

Answer 29

(1) Presence of Venturap Capital firms (2) Investment focus (3) Challenges for Entrepreneurs (4) Foreign investment (5) Investment structure (6) Funding distribution

Question 30

Financing Investment: Issues, Challenges, and Risks

Answer 30

62% Lack of Access to Capital 54% Regulatory environment/requirements 27% Development of new products and services

Question 31

helps a startup develop its ideas into a viable business by providing advice and training, resources, and access to markets and investors

Answer 31

Incubators

Question 32

aim to fast-track the growth of startups that already have a proven product-market fit. Provide consultation, mentoring and networking, and assistance in accessing funding, markets, and investors.

Answer 32

Accelerators

Question 33

Benefits of Joining an Incubator or Acclerator

Answer 33

(1) Access to customers/partners (2) Technical know-how/mentoring (3) Access to funding (4) Mental health/community support (5) Subsidies services (legal, administration, accounting)

Question 34

How many are incubators and accelerators in the Philippines?

Answer 34

35

Question 35

The prominent incubator in the Philippines

Answer 35

QBO Innovation Hub

Question 36

Specific Government Departments

Answer 36

(1) DOST (2) DICT (3) DTI

Question 37

DTI Program for early stage startups that have a minimum viable product for commercialization.

Answer 37

Incubation Development and Entrepreneurial Assistance (IDEA)

Question 38

DICT program that provides funding to startups involved in agriculture, aquatic, and natural resources. Qualified startups are entitled to receive as much as as P5 million to implement their proposal within 1 year.

Answer 38

Startup Grant Fund

Question 39

DOST program that provides funding for early stage ICT based startups. Qualified startups receive a grant of between P500,000 and P1 million.

Answer 39

Startup Grant Fund

Question 40

is the foundation of any connected business. It enables success, powers transformation and connects people around the world.

Answer 40

Digital infrastucture

Question 41

Examples of Digital Infrastructure

Answer 41

1. Mobile telecommunications 2. Data centers 3. Communications satellite 4. Network 5. Platforms 6. Applications

Question 42

is the fundamental shift in the culture, mindset, and processes of an organization in technology use. The ultimate goal is to improve productivity and performance to remain competitive in a rapidly changing and increasingly digital market.

Answer 42

Digital transformation

Question 43

encompasses more than just technical skills. It involves the knowledge, skills, and perspectives necessary for individuals to navigate an increasingly digital world.

Answer 43

Digital literacy

Question 44

is the largest committed private investors network in the Philippines that was formed to support the country's startup ecosystem by connecting investors with promising early stage companies.

Answer 44

Manila Angels Investors Network