Mmg Scan

4.1.4. Political

Government taxes – all forms of user fees and taxes has a great impact in the logistics industries, resulting in higher rates and price of carriers shipping and receiving of product. These fees are imposed based upon the value, weight, volume or dimension of commodities. MMG being a 3PL company, having large volume of facilities, is highly affected of these taxes. The taxes, specifically the user charge has been placed in four special trust accounts intended for road maintenance and related projects. Proper placement of these taxes could help on ease freight transit of MMG Corp.

Trade regulation laws, enacted by government to promote unrestrained competition amongst business, extend into many categories of law such as anti-trust law, which prohibits anti- competitive acts like price fixing, monopolistic conduct and deceptive practices. Consumer protection law, advertising law, trademark law and franchising law also falls under the umbrella of trade regulations.

MMG Corporation do not practice these anti-competitive acts like price fixing, monopolistic conduct, and deceptive practices. MMG ensures quality output and reliability to client to show how valuable MMG customers are which result to success in the company. MMG makes it a point that clients are highly satisfied of their service. Custom processing charges of MMG Corporation are regulated based on Customs Administrative Order Value (CAO value). Custom processing is charged depending on the company’s agreement with the client. MMG Corporation. Also follow regular rates provided by Confederation of Truckers Association of the Philippines, as their benchmark in setting their trucking fees.