I.

Executive Summary
A. Milagrosa Publishing House Inc. (MPHI) with its main publication: Insurance Philippines
Magazine still holds true with its mission statement—dedicated to the growth of the
Philippine Insurance Industry as it continues to feature events here and abroad relevant
to insurance practice, along with the latest industry trend and issues that are useful for
the market.

Anent the company’s strategies, it still aims to promote its presence in the market
through the constant organization of the annual “General Insurance Summit”, where
local and international industry think tanks are invited to talk and share their
knowledge. The seminar fees charged by MPHI during this event are more than enough
to ensure that its business practice thrives. Furthermore, copies of Insurance Philippines
Magazine, are also distributed during this event.

B. Some specific recommendations given to the company are: there must be an increase of
on-line presence. The company does not lack of loyal subscribers, however, on-line
presence is necessary in this day and age in order to disseminate more information
about the company’s products and to keep their subscribers updated with their latest
events.
C. There are no other competitors that face MPHI when it comes to the publication of
insurance related news. In fact, MPHI has partnered with both local and international
publication mediums such as the Business Mirror, Philippine Star, Asia Insurance Review
and Middle East Insurance Review, wherein these media partners work alongside MPHI
especially when the company is holding its annual General Insurance Summit.

With regard to selling technique, the company still adheres to the time-honed principle
of “word-of-mouth” marketing where subscribers are gained whenever the magazine is
brought in insurance events. The primary focus of the magazine is insurance industry
practitioners.
II. Company Profile
A. MPHI was founded in October 1, 1964. It was an implement of the risk consulting firm,
Reynaldo De Dios and Co., Inc. (RAD), the main purpose of MPHI was to put out a
medium where Philippine insurance practitioners could gain information on the latest
industry trends.
B. Reynaldo De Dios, Editor and Publisher, Risk and Insurance Management Consultant
C. October 1, 1964. The first monthly edition of Insurance Philippines Magazine, took the
name of Asia Insurance Review. In January, 1985, the first ever broad sheet edition of
Insurance Philippines Magazine was published. It took the form of a glossy magazine
type starting January, 1995 and became a quarterly publication, catering to both lines of
the insurance industry: life insurance and non-life insurance. In July 2014, the magazine
integrated both lines and is publishing its quarterly issues now both for the life and non-
life side.
D. Dedicated to the Growth of the Philippine Insurance Industry
E. The product consists of printable media i.e. a magazine released quarterly to a pre-
determined number of subscribing individuals and companies.
F. Reynaldo A. De Dios – Publisher-Editor
Abner B. Besa – Associate Editor
Reginaldo De Dios – Assistant Editor
Ribomapil C. Yuvienco – Features Writer
Nora B. Alba – Finance and Accounts
Advertising and Circulation:
Mario B. Alba
Sheila B. Domingo
Danilo G. Deliva
Aida A. Malitan
Maiko B. Diaz de Rivera

G. The company’s organizational culture is a fairly liberal one. The small number of
employees ensure that each and everyone performs a multitude of tasks, especially
 when the time of the annual General Insurance Summit is held, which is every last week
of April. The entire organizational culture was not focused on bureaucracy, but on
getting things done.
H. Current President and CEO: Reynaldo De Dios
I. The company’s management and leadership style may be described as both democratic
and laissez-faire.

It shows signs of a democratic style where, the company president allows the employees to
take part in decision-making: therefore everything is agreed upon by the majority. The
communication is extensive in both directions (from employees to leaders and vice-versa).
This style is particularly useful when complex decisions need to be made that require a
range of specialist skills, the range of skills and versatility of talent being a must since the
company’s employees are few.

The leadership style is also laissez-faire in a sense since company management takes a back
seat, especially on the issues that are to be featured per quarter. The company president
listens in on the opinions of the different writers and contributors and give them reasonable
free rein as to what they are going to write on the issue.

J. The company balance sheet has constantly yielded net income during the past three
years (see attached financial statements).
The main sources of income for the company are the continuing subscription to the
magazine by different insurance companies, insurance practitioners and industry
associations. Another main source of income for the company is the annual General
Insurance Summit. The company president is still an active risk consultant, hence the
money he earns through such services are likewise added to the company’s income and
is also used to pay off the company’s overhead expenses.

K. MPHI is particularly involved in promoting microinsurance products. Wherein, for a

small and nominal sum, individuals from the low income sector of society, would be able
to cover themselves against natural catastrophe risks, provide protection for their
homes against fire and earthquakes and be able to recuperate and get back on their feet
should they suffer from illnesses or have the misfortune of encountering accidents
through basic personal life insurance.
L. MPHI is currently busy covering different events both here and abroad in anticipation of
the much-awaited ASEAN Free Trade Agreement (AFTA) by the end of 2015.
III. Industry Profile
A. The ASEAN Free Trade Agreement (AFTA) that will occur at 2015, upon which the
insurance industry as one of its financial pillars, is a means for borderless exchange of
goods and services across the region. According to the ASEAN Economic Community
(AEC) Blueprint, the whole region will be established as a single market and production
base, a highly competitive economic region, a region of equitable economic
development and a region fully integrated into the global economy.
The AEC plans to eliminate technical and regulatory barriers in order to ensure that
costs would be reduced in trade. This would prove to be highly beneficial to all of the
region’s 10 member-states. The current data show that the annual GDP combined of all the
member-states is UsD 2.1 trillion.
The region’s significant GDP is bound to rise in the future as demand for products within
the region would be sustained by its 600 million populations.
This integrated market will attract more investors, continually creating demand for
goods and services and will create more jobs across the region.
As the country’s leading printable media where facts on insurance are significantly covered,
MPHI is an industry partner that would record the AFTA’s rise to great heights.

B. Being the only publishing house that prints out an insurance magazine, there are
virtually no competitors to the company.
C. MPHI follows the regulations instituted by the Department of Trade and Industry (DTI).
Its printed product: Insurance Philippines Magazine is entered as a third class printed
matter at the Ermita Post Office under Permit No. 1521-03-NCR.
D. MPHI being in part a risk consultancy firm, is continually making waves in the
boardrooms of insurance companies as the company president, being a consultant for
the World Bank and Asia Development Bank provides insight to insurance companies
and practitioners through information gathered abroad.
E. As mentioned, as CSR of the company, the magazine brings forth important updates on
microinsurance so as to keep its subscribers abreast with relevant issues.

SWOT Analysis

Strength: being the only insurance magazine in the country, MPHI has cornered the
market so to speak, able to provide their products consistently to their subscribers.

Weakness: The company is still small-sized. There is a felt need to upgrade its office
assets and printing implements.
Opportunities: With the coming AFTA, MPHI might be able to promote its products
more abroad—particularly in the ASEAN region

Threats: Where there are other insurance magazines in the ASEAN region that makes its
presence felt here in the Philippines, MPHI might lose its foothold on the local industry
players

Financial Analysis: The company is still very much solvent and proves to be consistently
profitable. All of this financial success is made due to the organization of the annual
General Insurance Summit and the very significant sponsorships and seminar fees
gathered by the company.

Alternative Strategies: Apart from the annual General Insurance Summit, it is also very
possible and beneficial for MPHI to conduct additional seminars not just in Manila, but
also in the provinces of the country in partnership with the Insurance Commission (IC).
That way, an information drive on insurance can be driven home to the hearts of people
across the country, making them aware of the value of insurance. Furthermore, this can
also expand the magazine’s subscription pool.