Success comes to those who dream big, work very hard to achieve their goals, and are determined and optimistic amid challenges. Henry Sy, Sr., the founder of SM, the father of modern Philippine retail, and the Honorary Chairman of China Bank, had attained great success and had touched so many lives in his 94 years. He was fondly called “Tatang” for his role as patriarch to his family and extended family—employees, business partners, and friends. His inspiring rags to riches story, grit, business philosophy, and generosity have made him an example of what it means to be a businessman. And in his passing, he leaves a multi-billion empire that provides livelihood to tens of thousands of Filipinos, a foundation that supports the poor members of the community, and a legacy that inspires generations of entrepreneurs.
Tatang was born in 1924 in Xiamen, China as Sy Chi Sieng, which means “to attain ultimate success.” At the age of 12, he ventured the rough seas alone to join his father in the Philippines. He imagined life to be better because his father was able to regularly send money back to China. He was surprised to find him operating just a small ‘sari-sari’ store along Carriedo.
During the Japanese occupation in 1942, his father’s store was burned down and another was looted. Devastated, his father returned to China after the war, but Tatang chose to stay. In the smoldering ruins of Manila, he foresaw that shoes would be in big demand. He sold surplus G.I. boots which led him to open his first Shoemart. But in order to grow his business, he needed more capital.
This capital came in the form of a one million Peso loan from China Bank in 1949, his first credit line.
“The loan facilities given to me by the Bank gave me ‘pinsin’, a Fujianese word meaning ‘trustworthiness’ or ‘credibility’, in the Chinese community. It established me as trustworthy. It built up my credit. It proved that I was considered a very trusted customer by the Bank, and that helped my business. If China Bank considered me a good credit risk, then other people would also. That’s why I appreciate that loan so much,” said Tatang in China Bank’s 90th anniversary commemorative book, A Matter of Trust: The China Bank Story.
Tatang dreamed of making his little Shoemart into big business and set out to do everything he can to make it happen. His persistent attitude, amazing foresight, and optimism enabled him to see the good out of any bad situation. He opened the first SM department store in Quiapo just after the declaration of Martial Law. Then following Ninoy Aquino’s assassination, in one of the most turbulent periods in the country’s political and economic history, he opened the country’s first supermall, SM City in North EDSA, in 1985.
In 1989, at the height of the coup d’états against the Philippine government, SM Centerpoint (Sta. Mesa) was opened, followed by SM Megamall in 1991, the first mall in the country that featured the most advanced cinema of that time and an ice skating rink.
Even after the 1997 Asian crisis, Tatang went against conventional wisdom by fast-tracking mall expansion and building two to three new malls every year since then. In 2005, when the country was besieged with fiscal problems, political scandals and poor credit ratings, SM Investments Corp. was able to conduct a successful IPO. SM Mall of Asia was opened in May 2006.
Tatang is known not just for his business success but also for his philanthropic work. He generously gave back to society through the SM Foundation, established in 1983. Tatang started the SM College Scholarship Program in 1993, which has since supported almost 4,000 scholars and branched out to provide technical-vocational scholarships to deserving indigent high school graduates.
The SM Foundation also donated billions to build public schools for the poor, gave to established schools such as De La Salle University, the University of the Philippines, Miriam College, and Tatang’s alma mater, Far Eastern University. In 1991, the foundation established Asia Pacific College with IBM, and in 2008, acquired National University.
“He worked hard and sacrificed so much early in his life just to be able to receive formal education. He wants the same for every Filipino,” said China Bank Chairman Hans Sy, the fourth of Tatang’s six children.
The SM Foundation also provides healthcare, shelter, disaster response, farmers’ training, and environmental programs. In 2016, the foundation built 1,000 houses for Yolanda survivors.
Tatang had said that there is no such thing as overnight success or easy money. From a very young age, he held fast to a simple way of life where one works for what one gets. Starting with his flagship Shoemart store, Tatang founded the SM group, which has evolved into one of the country’s largest conglomerates spanning retail, banking, hotels, and property development. As of December 2018, SM has 72 shopping malls across the country and seven more in China. It also has over 2,300 SM retail outlets, six hotels, and 11 office buildings.
Tatang made his dreams a reality, and in the process, changed the country’s landscape with his property developments, provided jobs, turned malling into a national recreation, and redefined the limits of banking.
Farewell, Tatang. Thank you for your lessons and contributions to society. You will forever be in our hearts.
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