SM, the antitrust authority is to promote competition

SM Prime Holdings Inc. (SMPHI) has partnered with the Philippine Competition Commission (PCC) to launch an awareness campaign across 86 SM Supermalls in the country aimed at educating the public on fair competition.

PCC and SM Prime signed a Memorandum of Cooperation (MOC) on September 17, “marking the shopping mall operator’s commitment to protecting consumer welfare and ensuring a level playing field for all.”

PCC Chairman Michael Aguinaldo told a news conference in Quezon City that SM has asked the competition body to support competition and its benefits through a nationwide awareness campaign.

“This campaign will involve providing PCC with advertising space in all SM cinemas in 86 SM malls nationwide, so we are talking about 30-second commercials that will be shown three times a day in SM cinemas,” Aguinaldo said.

In addition, the PCC chairman said the shopping centre operator had agreed to allocate space on its electronic billboards and in information spaces for competition promotion activities, as well as space at its information point for PCC promotion materials.

Aguinaldo said SM has committed to complying with competition law by organizing seminars on competition law and policy not only for its employees but also for senior tenants in older shopping malls for the next two years.

“They will also appoint a competition compliance officer who will work with PCC to develop a compliance program for SM and will be the contact person for any competition-related issues that may be reported to PCC,” Aguinaldo said.

He added that this would give SM an opportunity to “rectify” the situation in case of any anti-competitive practices before the matter actually becomes clear.

Aguinaldo said the campaign, which was initiated by SM, is an integral part of promoting fair competition as it is a “new concept” in the Philippines.

“The Philippine Competition Act was only enacted in 2015. The Philippine Competition Commission was only organized in 2016. And the general public, one might say, is not familiar with the concept of competition as defined in the Philippine Competition Act,” he said.

“There is a continuing need to educate the public about what competition means under the PCA and how competition is intended to benefit both consumers and businesses.”

Christian Mathay, deputy vice president of operations at SM Supermalls, said that a fair market creates development opportunities for micro, small and medium-sized enterprises.

“Moreover, it gives consumers the opportunity to exercise their right to choose, choosing products and services that suit their budget, taste and lifestyle,” Mathay said during the briefing.

“We are proud to join forces with PCC in promoting their fair market practices; this collaboration will enable consumers to make informed choices and contribute to the creation of a strong and competitive market.”

The campaign will be presented on the following digital SM platforms: cinema advertisements, LED posters and cinema catalogues, digital shopping mall catalogues, LFD screens and LED screens in shopping malls.