Balamban Festival and Economic Development of Micro Businesses

Abstract

Cultural festivals function as vital expressions of heritage and as strategic drivers of economic and social development. This study examines the Balamban Festival of Santiago City, Isabela, focusing on its economic contributions to micro and small enterprises (MSEs). Grounded in the Resource-Based View (RBV) theory and qualitative research methods, the study explores how micro business owners particularly those operating food and souvenir stalls capitalize on the festival to increase visibility, extend operating hours, engage customers, and build entrepreneurial capacity. Conducted in Centro East during the city’s night market, the study employed unstructured interviews and purposive sampling to gather data from registered microenterprises. Thematic analysis revealed that the festival offers not only short-term economic gains but also long-term growth opportunities by fostering collaboration, cultural preservation, and community engagement. Despite challenges such as overcrowding and waste management, the Balamban Festival continues to serve as a socio-economic catalyst. Findings highlight the need for enhanced local government support, student involvement in cultural events, and policies aimed at sustaining micro-business development. This research offers valuable insights for policymakers, tourism planners, and community stakeholders seeking to leverage cultural festivals for inclusive and sustainable local development.