Economic Implications of Disasters on Cooperative Sector in CALABARZON, Philippines

Authors

Ceptryl S. Mina, , Institute of Cooperatives and Bio-Enterprise Development (ICOPED), College of Economics and Management (CEM) University of the Philippines Los Baños (UPLB)Follow
Liezel S. Cruz, Institute of Cooperatives and Bio-Enterprise Development (ICOPED), College of Economics and Management (CEM), University of the Philippines Los Baños (UPLB)Follow

Publication Date

7-1-2021

Abstract

Cooperatives serve as an important tool for improving the living conditions of members and their community. However, like any other business enterprise, cooperatives are also exposed to disasters that may affect their
operations. This study analyzed the economic effects of disasters on cooperatives in CALABARZON, Philippines. Results of the Pearson’s chi-square test showed that cooperatives are exposed to various types of natural, biological, and humaninduced disasters. It was found out that disasters lead to increased operational costs and reduced net surplus. Using emergency-use-only cell phones and generators, changing production patterns, limiting high risk-customers, buying insurance, and establishing online and offline data backup systems were all found to mitigate the effects of disasters significantly. This study underscores that having business continuity plan (BCP) helps ensure continuous business operations following disaster events. This study recommends developing strategies that would equip cooperatives with necessary technical knowledge and skills in crafting and implementing BCP.

Recommended Citation

Mina, Ceptryl S. and Cruz, Liezel S. (2021) "Economic Implications of Disasters on Cooperative Sector in CALABARZON, Philippines," Journal of Economics, Management and Agricultural Development: Vol. 7: No. 1, Article 4.
Available at: https://www.ukdr.uplb.edu.ph/jemad/vol7/iss1/4