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More Lessons in Country Marketing
By Michael Alan Hamlin
September 22, 2003

After reading reports that the U.S. Government is giving Thailand a US$10 million reward for capturing Jemaah Islamiya (JI) terrorist Riduan Isamuddin, also known as Hambali, a Bangkok-based friend called to ask me a question. "Does this mean," he asked, "that the Philippines will have to give back some of the $250 million in U.S. aid promised by U.S. President George W. Bush to Philippine President Gloria Macapagal-Arroyo because it lost JI bomber Fathur Rohman Al-Ghozi?

After all, if countries get rewarded for allowing terrorists to run free, there's not much incentive to spending the time and effort necessary to track them down, right? So gain a terrorist and get $10 million; lose one and lose the same amount, seems a pretty reasonable proposition. One thing is certain, though: if the Philippines were half as good at parlaying U.S. largesse into goodwill as the Thai government is, public perception of the government's relationship with the U.S. would be much healthier.

"'The U.S. government has already given us $10 million for help in the arrest of Hambali, and we will allocate this fairly to the agencies concerned,'" Thai Prime Minister Thaksin Shinawatra told reporters according to an Associated Press report. "He said the money would be split among the National Security Council, the Military Security Center, the Special Branch Police and local police who helped in the arrest.

Thailand has turned the capture and reward into a public relations coup. The $10 million, which comes with no strings attached, has been played up heavily in the Bangkok media since the announcement last week. Much of that attention has been focused on reports that a substantial portion of the reward will be used to enhance the benefits of a policemen's benevolent fund. Beneficiaries will be children and spouses of policemen killed in the line of duty. Now, that's friendship. It's also good marketing on the part of both the U.S. Government and the Thaksin administration.

That warm-all-over feeling is notably absent in public perception, at least as reported by media, in the Philippines. While the Philippines has had difficulty holding onto the terrorists it does capture, Ms. Arroyo has been, internationally at least, a vocal supporter of the U.S.-sponsored War on Terrorism. Her administration has been rewarded in other ways besides aid, including assistance in fighting the Abu Sayyaf and a rare state dinner at the White House when Ms. Arroyo called on Bush earlier this year.

Despite the love fest between the two administrations, the U.S.-Philippine relationship remains a tortured one in many respects. Much of the reason for this has to do with furthering the interests of liberal-minded civil society groups, composed of non-government organizations, academics, and leftist militants. Long suppressed under disgraced former president Ferdinand Marcos, these groups found their voice when freedom of speech was restored in the aftermath of the 1986 People Power Revolution. Much of their frustrated ire is naturally directed at the U.S. because of the perception, mostly true I'm afraid, that successive U.S. administrations propped Mr. Marcos up for years in order to keep a "friendly" government in power.

Neither government since 1986 has done a very good job at communicating the notion that those days are long gone. Instead, civil society has consistently argued that the U.S. and successive Philippine administrations have sought to reinstate that old relationship so that these administrations could remain in power and the U.S. could enjoy unfettered access to the former U.S. bases in Subic and Clark. And somehow, that message has resonated.

There are many reasons for that resonance. What is important, though, is that it has been 17 years since Marcos fled the country, and over a decade since U.S. forces pulled out of the Philippines. And during that time, neither the Philippines nor the United States has credibly set and communicated a new agenda to drive their relationship forward. I don't see a lot of malice in that failure in the way the civil society groups do. Instead, I see essentially a failure to communicate credibly, regularly, and meaningfully.

Now that the Philippines has entered an election year, and one fraught with uncertainty, there's little chance that either the Arroyo or Bush administrations can convince anyone that their mutual support is anything but a relationship of convenience. Bush's visit on the eve of Ms. Arroyo's "formal" decision, as reported in media, to run for re-election has already reinforced that suspicion.

And while the visit may in fact boost Ms. Arroyo's ratings overall, that probably doesn't mean that the U.S. is going to have an easier time of things here. That will require a communication effort that credibly demonstrates friendship, not just opportunity.

(Michael Alan Hamlin is the managing director of consultancy TeamAsia and the author of three books on Asian economies and companies. His latest book is Marketing Asian Places, of which he is a co-author (Wiley, 2001), and he is currently at work on High Visibility: The Making and Marketing of Asian Professionals into Celebrities. Write him at mahamlin@teamasia.com.).

Copyright © 2003 Michael Alan Hamlin. All Rights Reserved.

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