| One of the manifestations of the economic growth in the Philippines today is the proliferation of malls that have rapidly expanded to previously small towns. This study assessed the impact of the establishment of malls, specifically, the SM Center Lemery, to the small and medium enterprises (SMEs) within its two-kilometer radius and to utilize the results as basis for a proposed strategy. The researchers used descriptive research for this study involving 150 owners and managers of SMEs in Lemery, Batangas. The data were analyzed using weighted mean, percentage method, two sample t-test, and regression analysis. The study revealed that overall, the SMEs experienced a decrease from one to 19 percent in their sales and profitability. There was also a felt increase of 60 to 79 percent in competition and an increase of 40 percent to 59 percent in business innovation. From among the involved SME types, groceries experienced the most significant decrease of 80 percent to 99 percent while bakeries experienced a decrease of 40 percent to 59 percent in terms of both sales and profitability. The merchandising businesses experienced bigger decrease in sales and profitability compared to the service and the hybrid type of businesses. Interestingly, the solutions mostly implemented by the affected businesses are improvement of products and services and giving more importance to customer satisfaction. |
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