The brief life story of Mr. John Gokongwei is discussed in Part 1 of this article. As previously noted, Marites Khanser analyzed the entrepreneurial style of Mr. Gokongwei, as well as entrepreneurship in general, in the book "John L. Gokongwei, Jr.: The Path of Entrepreneurship" (Loyola Schools, Ateneo de Manila University, 2007). Here, we discuss the observations of Dr. Khanser in the book, as well as lessons distilled from Gokongwei's speeches.

 

Take risks, calculated risks. According to Dr. Khanser, entrepreneurs like Gokongwei “are risk-takers; they thrive in the high-risk market environments. But the risks they take are well educated; they are not merely gambling.” Indeed, in the words of Gokongwei: "Entrepreneurship is not for the weak of heart. There is no easy path to success. You will need to work harder than your employees, to keep your mind sharp, and to face your inner fears. In the end, entrepreneurship is not only finding opportunities to create value in the business sense, but also finding the opportunities to be your best self."

Patience is a virtue. There is “no easy path to success,” as Gokongwei stated in the quote above. “Success doesn't happen overnight. It's the small successes achieved day by day that build a company. So, don't be impatient or focused on immediate financial rewards."

Save. I thought that I had it all figured when I discussed the topic on “paying yourself first.” But then Gokongwei raised the bar to incredulous heights when he said: “If I have ten pesos, I spend only one peso and save the nine pesos. That was how I ploughed back my profits. I spend very little and save a lot.”

Don’t be afraid to take on the big boys. This is eerily similar to the motto of the Pinoy Entrepreneurs site, which is: “In a global economy dominated by entrenched giants, the Pinoy Entrepreneurs can still make it big.” I realized only now that Mr. Gokongwei is a living testament to this motto, by taking on domestic and global giants. In his words: "Remember the story of David and Goliath? Every industry has its Goliath. But every David knows that all giants have their weaknesses. Every weakness is an opportunity."

 

Think big[ger], think international. "But to be a truly great nation, we must also excel as entrepreneurs before the world. We must create Filipino brands for the global market place." Gokongwei has consistently emphasized in his speeches the need to aspire for the global market, and to see trade liberalization not as an enemy, but as a challenge. "Through the years, the market place has expanded: between cities, between countries, between continents. I want to urge you all here to think bigger. Why serve 86 million when you can sell to four billion Asians? And that's just to start you off. Because there is still the world beyond Asia. When you go back to your offices, think of ways to sell and market your products and services to the world. Create world-class brands."

 

Borrowing ideas, creativity and innovation. Gokongwei never denied that he borrowed the successful strategies of others, like the C2 green tea (beverage in China, supplied by Taiwan) and Cebu Pacific (Southwest Airline business model). The entrepreneur, however, must go beyond simply copying other business models. Dr. Khanser noted that "creativity is an important source of competitive strength for the Gokongwei Group. Its concern for growth and its openness to change are indicators of its creativity as a corporation. But for an entrepreneur, creativity is not enough. It must also lead to innovation." 

 

Mistakes and disappointments are inevitable. This is one of the Nine Rules for Business Success of John L. Gokongwei noted by Dr. Khanser. The entrepreneur must have a healthy attitude towards failure and adversity. “The important thing to know is that life will always deal us a few bad cards. But we have to play those cards the best we can. And WE can play to win!"

These matters constitute merely a small fraction of the discussions of Dr. Khanser in the book, which is worthwhile to read. Dr. Khanser also discussed the various theories of entrepreneurship, inluding the debate on whether an entrepreneur is made or born, to serve as the framework on the analysis of Gokongwei. While these theories may no longer interest the struggling entrepreneur, the discussions on the lessons of Gokongwei's life, particularly in relation to business, would definitely help and encourage the Pinoy Entrepreneurs.