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ASSEMBLY OF BUNDLE BYTES: TEAR AND SHARE


FLASH DRIVE PACK

A Project Feasibility Study presented to the


College of Engineering
In partial fulfilment of the requirements for the degree
Bachelor of Science in Industrial Engineering

Hipolito, Phia Yvonne M.


Malilay, Charmaine M.
Malveda, Leiyet Lyka M.
Niem, Angelo M.

October 2015

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Chapter 1
PROJECT SUMMARY
In this chapter, the proponents present the highlights, descriptive definition,
long-range objectives, major assumptions in market, technical, financial, socioeconomic, and organizational and management of studying the business feasibility of
Engineers Manufacturing Corporation.
Introduction
USB or Universal Serial Bus is a protocol for connecting peripherals to a
computer. It features a standardized port designed to accommodate many different
types of hardware devices.
The first USB technology began development in 1994, co-invented by Ajay
Bhatt of Intel and the USB-IF (USB Implementers Forum, Inc). The organization is
comprised of industry leaders like Intel, Microsoft, Compaq, LSI, Apple and HewlettPackard. It supports and adopts comprehensive specifications for all aspects of USB
technology.
USB 2.0 offers plug and play capabilities for various multimedia and storage
devices. This newer version offered additional user features that did not exist in its
previous version. USB 2.0 added support for power sources with USB connectors, a
new descriptor for multiple interfaces, as well as the capability for two devices to
interact without the need for a different USB host (also referred to as USB On-TheGo).

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Flash drives are very easy to use. Nearly every new computer sold in recent
years has several USB ports and the flash drive simply plugs into one of these ports.
No cables, power supplies, batteries, or computer shutdown is required. The device
automatically becomes visible as a new drive and is ready to use in just a few
seconds.
USB memory stick tech hasn't really advanced ever, even while it's flourished
like crazy to fill a technological need moving files swiftly and easily between
computers, faster and with more convenience than burnable CDs. That's partly why
it's got so cheap so fast. But this also means that a bunch of other technologies have
been advancing.
The proponents came up with the topic of engineered design USB flash drive
inspired by BOLT Group, mainly because as college students, we often use
computers to complete assignments, projects or thesis. USB Flash Drives offer a
reliable solution to store and share documents, photos, videos and music.
Name and Logo of Enterprise
Engineers Manufacturing Company or E-Corp is a start-up company that will
develop economical marketing solutions and focuses on developing efficient and
engineered design card size USB flash drive.
Trade mark logo of the company is shown in the figure below. Green, the
colour of life, renewal nature and energy, is associated with meanings of growth and
environment. Green is also traditionally associated with money and ambition.

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Whereas brown is down-to-earth colour signifying stability, structure and support.
Brown relates to quality in everything. In the figure below, the colour of the stem
signifies recycled paper structure of the flash drive, which supports the memory chip.
A flash drive plant signifies that our company is an eco-friendly provider of products,
as well as for the continuous growth of the firm.

Figure 1. Company Logo


Vision
To become a dedicated and well-known distributor of eco-friendly designed
USB flash drive.
Mission
E-Corporation will from the beginning invest in top quality, highly refined
eco-friendly USB flash drive as well as implement innovative operation policies.
Location
Establishing a new company involves choosing a location, proponents decided
to establish the main office in Brgy. Real, Calamba City Laguna. It is a secure
location mainly because it is being developed into an industrial area and has nearby
universities. The spot will provide easy access for customers, nearness to
competitors to facilitate and ensure proper design and placement of the firm along

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with safety factors to protect pedestrians from vehicles. Safety of the customers is
also ensured by the company.

Project Plan Horizon


USB sticks are useful for two things: Storing files temporarily, and sharing with
another computer user. To drop a file on your USB stick you use your computer's file
manager, then you pop it in the new computer and access it. This tech is supremely
innovative, and no doubt is a hugely potent tool for marketing and for some specific
use cases.
Projects short range objectives (1-3 years)
The company targets to be a well-known provider of unique 4-pack USB in the
entire Calamba, Laguna area. The company also aims to produce quality and unique
concepts of products. Continuing to help the environment and provide eco-friendly
products.
Projects long-term objectives (4-10 years)
As our company grows, we target to expand the firm, franchise in different
locations to generate increase in sales volume and stronger purchasing power. At
that point, we will be able to secure necessary funds and contracts to achieve
projected sales goals, successfully enter targeted markets, become a profitable
company and establish a solid reputation as an industry leader. The company will

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also continue to research and pursue shares of existing markets such as packing,
electronics
Feasibility Criteria
Research

and

Planning.

From

June

2014,

the

proponents

started

conceptualizing the possible business to be studied and they come up with the
project of manufacturing flash drive or Bundle Bytes. The target market is electronic
stores within Calamba Laguna. They chose to have 4-pack USB flash drive since the
proponents are usually using flash drive in their schooling.
Conducting the Feasibility Study. From the second week of August the
proponents started to conduct the feasibility study. They gathered data through
survey from the target market. Data includes the historical demand and supply of
flash drive.
Building up Capital. From the first week of October the proponents start
building up capital. They will get the required investments from the owner.
Selection of Project Site. The first week of November is use to select the most
strategic project site to build the business.
Securing Government Requirement. The last week of November 2015, the
proponents secure the required documents from the government.
Building Requirement. The first week of year 2016, the proponents will start
gathering all the required documents, permits and requirements to establish the
business.

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Acquisition of Office, Furniture, Fixtures and Machine Supplies. The last week
of January 2016, the proponents will start acquiring the needed equipment, tools,
furniture and fixtures for the business.
Recruitment and Hiring of Employees. On the second week of March, the
proponents will start hiring qualified employees for every position needed in the
company.
Pre-Operating Advertisement. On the third week of April, the proponents will
start advertising the business.
Start of Normal Operation. On June 2016, the proponents will officially start the
business operation and will eventually distribute the products to the target market.

Project Time Table and Status (Gantt chart)


E Manufacturing Company is expected to begin the business as soon as it is
equipped with people, supplies and equipment, approximately 12 months after this
proposal is envisioned. The proposal is feasible since there is continuous demand for
flash drive, not only on its target area, but also in other nearby areas. Table 1 shows
the project schedule of E Manufacturing Company from the time of research and
planning to the start of normal operations.

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Figure 2. Project Time Table and Status

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Chapter 2
MARKET STUDY

Market planning is the process that the operational and managerial staff of a
company goes through to create and implement effective marketing strategies.
Strategic marketing planning takes several aspects of company marketing and
promotion into consideration. The aspects that contribute to strategic marketing
planning include (1) identifying promotional opportunities and evaluating the
marketing opportunities (2) researching, analyzing and identifying the target markets
(3) developing a strategic position for the company to pursue and how to implement
the strategy (4) preparation and implementation of the marketing plan; and measuring
and evaluating the results of the marketing efforts of the company. Strategic
marketing planning involves combining customer experiences with the overall
direction the company wants and needs to take in order to succeed.
E-Corp is aware of the critical importance of marketing. The company will
oblige properly designed and executed marketing plan to ensure market
dissemination and business success. Company will also place as a future-minded
and a leader in the integration of innovative eco-friendly technology. Marketing plan
will include an initial publicity campaign that introduces our company and the product.
Further, launch a comprehensive advertising campaign in related web sites to catch
the attention of the targeted customers. The other main component of the marketing

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plan will be attending trade shows which will require booth construction with
marketing materials such as brochures, and promotional items such as different
concept of our eco-friendly USB with our logo.

Product Description
The proposed product, is a pack of 4 tear-away USB chips made with molded
paper pulp enclosure, thats renewable, biodegradable, lightweight and affordable.
The casing around the memory chip is a synthetic polymer that makes the drive
shock and waterproof and has heat resistance.
Compared to the existing designs of USB flash drives, Bundle bytes has a
unique design. Bundle Bytes is a small four-pack of USB drives thats built for easy
sharing.
Dimensions:
Length = 3.5
inches
Width = 2.2
inches
Height = 0.15
inches
Weight: 0.04 lbs

Figure 3. Product and Dimension

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Name of Product
Bundle Bytes will be the name of the product. Bundle which means tied or
wrapped up together, since the product is composed of four-packed flash drive that is
credit card size. Bytes which is considered as a unit of memory size, each of the 4
ultra-thin USB has a chip-on-board (COB) flash memory stick in 2GB, 4GB, and 8GB
capacities. It is named as Bundle Bytes since the corporation would offer packs of
four drives encased in 100% recycled paper pulp. Its renewable, bio-degradable,
lightweight and affordable.

Properties
Bundle Bytes is a low cost, tear-away flash drive that fits in your wallet. Made from
recycled paper pulp. The molded paper pulp enclosure is made from 100% postconsumer recycled paper. It's renewable, biodegradable, lightweight, cheap, and
durable enough to ensure that each tab should last for many uses. Unlike other USB
Drives, Bundle Bytes flash drives are extremely tough and durable their memory
chip is shockproof, waterproof, and does not require a cap for protection. So, whether
youre sharing music and movies with family or friends, or large files to clients or
customers, Bundle Bytes are sure to make a statement as well as keep your
important data safe in a reliable USB flash drive. Each tab is loaded with a chip-onboard (COB) flash memory stick. And it's much smaller and thinner than typical
thumb drives.

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Uses of product
Bundle bytes is a credit-card sized device with four attached USB drives is ideal
for creative students, professionals, engineers, artists, and designers who need to
share large files with clients and colleagues. When you need to share a lot of large
files fast, this 4 pack USB flash drive is on the go. It helps you to organize your files
and simply recognize easily since its a four attached USB flash drives. It is also an
answer for unexpected files that are too large to share over email, a sly way to hand
over a portfolio for a dream job, or a great business card substitute at the next
convention. Its easy. Simply tear and share!
Users of Product
The target consumers of the corporation are students, employees and for large
teams that needs to share and save some files data. Ideal for creative professionals,
students and designers who need to share large files with clients and colleagues.

Geographical Areas of Distribution


Starting a business involves planning, making key financial decisions and
completing a series of legal activities. Choosing a customer-friendly location is an
essential in establishing a business. The E corporation is a beginner in this field of
electronics manufacturing so the company will be renting a small building located in
Brgy. Real, Calamba City, Laguna. Through renting a building, the companys product

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will be exposed to the customers. At the same time, the supply of raw materials and
the delivery of the product from the company would be easier and faster because of
its close proximity to the South Luzon Expressway (SLEX). The target market of the
company are some universities and companies around Laguna.
The product will be distributed to electronic stores in Calamba.
Plant Location
E Manufacturing Corporation is located at

Light Industry & Science Park II

Barangay Real, Calamba, Laguna. The proponents strategized the location along with
its area of distribution such as SM Calamba, WalterMart Calamba, WalterMart Makiling,
New Star and iMall. The proponents choose Real Calamba area since it is in the center
of the business which makes an easy access to all the preferred market. For the
proponents it is the most strategic place to start the business since easy access to all
the facilities is available: police department, the municipal hall and malls. The place
also advocates peace and order. The water and electrical system are also available
and easy to install as well as communication line which is important for establishing a
good relationship between the company and customer.

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Figure_. Plant Location

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Electronic Stores in SM Calamba

Figure 4. CD-R King

Figure 5. PC Express

Figure 6. Electro World

Figure 7. Octagon

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Figure 8. Asianic

Figure 9. Wellcom

Figure 9. EdgeCom

Figure

Gigahertz Computer

Figure
11. GSN
Figure 12. ComWorks

Figure 13. Lianas, Calamba Laguna

10.

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Figure 14. Walter Real Calamba

Figure 15. Walter Makiling Calamba

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Figure 15. IMall Canlubang Calamba


Statistical Computation for Sample Size of Respondents
The survey exceeded a week compared to that of its planned time duration. Proximity
of the users of the area and the willingness of the users to have the survey conducted
in the area of Calamba, Laguna were some of the major factors that affected data
gathering. The survey was conducted in different group of people; student, workers
and common people, number of respondents was generated using formula for the
computation of sample size.
n=

n=

where:

= 399.5 or 400 students

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n = number of samples
N = total population
e = error tolerance
Historical Demand
The historical demand of USB flash drive is presented in number of units per
Gigabytes (Gb), having growth rate percentage that happens every year.
Computation of demand can be seen in the appendices.
Table1. Historical Demand and Growth Rate of USB flash drive
Year
2010
2011
2012
2013
2014

8 Gb
371,378
384,748
398,791
411,193
425,392

Historical Demand
16 Gb
32 Gb
473,109
356,700
490,140
369,510
508,031
382,997
523,830
394,908
541,920
408,546

Growth rate
Total units
1,201,156
1,244,397
1,289,818
1,329,931
1,375,858

--3.60%
3.65%
3.11%
3.45%

Table 1 shows the demand number of units of USB flash drive by people and
the growth rate between year 2011 to 2014 with percentage rate of 3.60, 3.65, 3.11
and 3.45 respectively.

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Figure 16 Historical Demand of USB flash drive


Figure 16 shows the graphical representation of the performance of the
demand of USB flash drive from year 2010 to 2014. There is a regular increase in
demand from year 2010 to 2012, decrease by 2013 then back to increase by 2014.
Increase is due to ongoing growth of population in Calamba, Laguna.

Table 2. Summary of projection method for the demand


Projection method
Arithmetic Straight Line
Arithmetic Geometric Curve
Statistical Straight Line
Statistical Parabolic Curve

Standard Deviation (Projected demand)


1,181.14
615,306.49
1,119.58
377,749.72

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Table 2 shows the projection method for the demand and its computed
standard deviation. Since the Arithmetic Straight Line method yields the lowest value
for the demand, it will be the projection method to be used.

Figure 17. Standard Deviation of Historical Demand


Figure 17 shows the graphical representation of standard deviation of four
projection method for the demand. It also shows that Arithmetic Straight Line has
the least standard deviation for the demand. This means that ASL will be the suited
method to be used.

Table 3. Summary of projection in demand


Year
2016

Historical Demand (unit)


8 Gb
16 Gb
32 Gb
438,896
559,122
421,514

Demand
1,419,533

Growth
rate
-

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2017
2018
2019
2020
2021
2022
2023
2024
2025
Averag
e

452,400
465,904
479,408
492,912
506,415
519,919
533,423
546,927
560,430
499,663.4
5

576,325
593,528
610,731
627,934
645,136
662,339
679,542
696,745
713,948
636,534.9
2

434,483
447,452
460,421
473,390
486,359
499,328
512,297
525,266
538,235
479,874.7
4

1,463,209
1,506,884
1,550,560
1,594,235
1,637,911
1,681,586
1,725,262
1,768,938
1,812,613

3.08%
2.98%
2.90%
2.82%
2.74%
2.67%
2.60%
2.53%
2.47%

1,616,073

2.75%

Table 3 shows the projected demand for the next 10 years using the Arithmetic
Straight Line method. Average annual increase in projected demand for 8Gb is
499,663.45; 16Gb is 636,534.92 and 32Gb with 479,874.74 with the total increase of
1,616,073. Annual growth rate percentage of demand is 2.75%.

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Figure 18. Projected Demand
Figure 18 shows the graphical representation of projected demand. The
Arithmetic Straight Line Method shows a regular increase in the trend of demand in
the outflow of USB flash drive.
Table 4. Historical Supply and Growth Rate of USB flash drive
Year
2010
2011
2012
2013
2014

Historical Supply (Gb)


8 Gb
16 Gb
32 Gb
40,037.98
35,777.27
19,062.18
40,475.11
36,167.89
19,270.30
41,058.14
36,688.87
19,547.88
41,990.32
37,521.85
19,991.70
43,671.68
39,024.29
20,792.20

Total
Units
94,877.43
95,913.30
97,294.89
99,503.87
103,488.17

% Change
1.09%
1.44%
2.70%
4.00%

Table 4 shows the historical supply of USB flash drive in number of units by
different manufacturers of flash drive and their growth rate in 2011 to 2014, which
have the percentage change of 1.09, 1.44, 2.70, and 4.00 respectively.

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Figure 19 Historical Supply of USB flash drive
Figure 19 shows the graphical representation of the performance of supply of USB
flash drive from year 2010 to 2014. There is a high increase of supply between the
years of 2013 to 2014.
Table 5. Summary of projection method for the Supply
Projection method
Arithmetic Straight Line
Arithmetic Geometric Curve
Statistical Straight Line
Statistical Parabolic Curve

Standard Deviation (Projected Supply)


186.58
45,336.39
174.22
27,766.75

Table 5 shows the projection method and its computed standard deviation.
Since the Statistical Straight Line yields the lowest value for the supply, it will be the
projection method to be used.

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Figure 20 Standard Deviation of Historical Supply
Figure 20 shows the graphical representation of standard deviation of four
projection method for the supply. It also shows that Statistical Straight Line has the
least standard deviation for the demand. This means that SSL will be the suited
method to be used.

Table 6. Projected Supply


Year
2016
2017
2018
2019
2020
2021
2022
2023
2024
2025
Average

Projected Supply (GB)


8 Gb
16 Gb
32 Gb
44,580.11
39,836.04
21,224.70
45,488.54
40,647.79
21,657.20
46,396.97
41,459.54
22,089.70
47,305.40
42,271.29
22,522.20
48,213.83
43,083.04
22,954.70
49,122.26
43,894.79
23,387.20
50,030.69
44,706.54
23,819.70
50,939.12
45,518.29
24,252.20
51,847.55
46,330.04
24,684.70
52,755.98
47,141.79
25,117.20
49,008.71
44,010.75
22,954.70

Total
Supply
105,640.85
107,793.53
109,946.21
112,098.89
114,251.57
116,404.25
118,556.93
120,709.61
122,862.29
125,014.97
115,327.91

Growth
rate
2.04%
2.00%
1.96%
1.92%
1.88%
1.85%
1.82%
1.78%
1.75%
1.89%

Table 6 shows the projected supply for the next 10 years using the Statistical
Straight Line method. Average annual increase in projected demand for 8Gb is
49,008.71; 16Gb is 44,010.75; and 32Gb with 22,954.70 with the total increase of
115,327.91. Annual growth rate percentage of demand is 1.89%.

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Figure 21 Projected Supply


Figure 21 shows the graphical representation of projected supply. The Statistical
Straight Line Method shows a regular increase in the trend of supply in the outflow of
USB flash drive.

Table 7. Summary of Projection Method for Demand of USB Flash Drive


Standard Deviation
Projection Method
Arithmetic Straight Line

Projected Demand
(Number of Units)
1,181.14

Projected Supply
(Number of Units)
32,010.14

Arithmetic Geometric Curve

615,318.51

46,295.61

Statistical Straight Line

15,418.09

1,108.54

Statistical Parabolic Curve

973,621.43

73,317.43

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Table 7 shows the projection method and its computed standard deviation.
Since the Arithmetic Straight Line and Statistical Straight Line Method yields the lowest
standard deviation for demand and for the supply respectively, it will be the projection
of method to be used.
Table 7. Historical Demand Supply Gap analysis
Year
2010
2011
2012
2013
2014

Historical
Demand
1,201,156
1,244,397
1,289,818
1,329,931
1,375,858

Historical
Supply
94,877.44
95,913.30
97,294.89
99,503.87
103,488.17

DemandSupply Gap
1,106,278.56
1,148,483.70
1,192,523.11
1,230,427.13
1,272,369.83

Table 7 shows the difference between the historical demand and supply from
2010 to 2014. The result of the gap is due to the increasing trend for USB flash drive
consumption. Correspondingly, the supply is increasing, but there is still an enormous
gap as seen in the table.

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Figure 22 Historical Demand-Supply Gap


Figure 22 shows the graphical representation of the calculated gap each of the
capacity (Gb) and its total gap. In the figure, USB flash drive demand has a large gap
and it exceeded the supply which means that it needs plenty of supply in order to fill
the gap.
Table 8 Projected demand supply gap analysis
Year
2016
2017
2018
2019
2020
2021
2022
2023
2024
2025

Demand
1,419,532.97
1,463,208.55
1,506,884.13
1,550,559.88
1,594,235.63
1,636,911.38
1,680,586.96
1,724,262.54
1,688,154.61
1,731,830.19

Supply
105,640.85
107,793.53
109,946.21
112,098.89
114,251.57
116,404.25
118,556.93
120,709.61
122,862.29
125,014.97

Demand-Supply Gap
1,313,892.12
1,355,415.02
1,396,937.92
1,438,460.99
1,479,984.06
1,520,507.13
1,562,030.03
1,603,552.93
1,565,292.32
1,606,815.22

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Table 8 shows the difference between the projected demand and supply in the
next 10 years from 2016 to 2025. It means that the gap increases, so the supply of the
flash drive should also increase in order to maintain the unsatisfied demand for the
flash drive.
Figure
23 Projected
DemandSupply Gap
Figure
23 shows the
graphical

representation of the calculated gap. In the figure, the flash drive has a large gap and it
exceeded the supply which means that it needs plenty of supply in order to fill the gap.

Market Share

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After determining the projected demand-supply gap, the market share of USB
flash drive can be analyzed. Market share can be used as a tool to determine the
percentage of share of the business to its market.
Year

Historical

Historical

2010
2011
2012
2013
2014
Average

Demand
1,201,156
1,244,397
1,289,818
1,329,931
1,375,858
1,288,232

Supply
94,877
95,913
97,295
99,504
103,488
98,215

For the Competitors:


=

x100

x100

= 7.62%
The market share of ECORP Manufacturing was obtained using the formula.

E-CORP Market Share (2016) =

x 100

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x100

=14.33%
For the Unsatisfied= 100% - (Competitor Share + E-Corp Share)
=100% - (7.62% + 14.33%)
= 78.05%

Figure 24. E Manufacturing Company Initial market share in Year 2016

Projected Market Share


Year

Possible Attainable
Output (unit)

Projected DemandSupply Gap (unit)

Projected Market
Share

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PHILIPPINES - LAGUNA
COLLEGE OF ENGINEERING AND COMPUTER STUDIES
2016
2017
2018
2019
2020
2021
2022
2023
2024
2025

188,286
194,644
197,059
199,475
202,718
204,305
206,720
209,135
212,418
213,966

Price Study
At its most basic, a price is the amount of money that a buyer gives to a seller
in exchange for a good or a service.
Pricing is considered to be the most critical factor which most often time affect
the marketability of the service offered by the business. Pricing will be based on cost
plus reasonable mark up. The terms of payments will be on cash basis only. There
are a number of factors to take into account when reaching a pricing decision:
Customers. Upon setting up the perfect price for the product, there are other factors
to be considered that might affect the value of product such as raw materials cost,
labor of the workers, factory overhead and selling, and administrative expenses.
Selecting a price that would determine the quality is very important to establish the
company in the market.

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COLLEGE OF ENGINEERING AND COMPUTER STUDIES
The price will be determined by dividing the total production cost to the total number
of units produced and adding the desired percentage for income and the tax. E
Manufacturing Corporation desires % income.

Direct material
Direct Labor
Factory Overhead
Packaging Material
Total Production Cost
Divide by units of production
Unit Cost Based on production cost method of pricing
Add: Mark-up
Unit Selling Price Exclusive of Vat
Add: Vat (12%)
Unit Selling Price Inclusive of Vat
Table 9. Price Comparison of USB Flash Drive
Brand
Name
Sandisk

Kingston

Size
(Capacity)
GB
8
16
32
8
16
32

Price
(Php)
320
500
700
470
620
850

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COLLEGE OF ENGINEERING AND COMPUTER STUDIES
8
16
32
8
16
32

Hp
Transcend

350
680
920
350
550
800

Table 10. SWOT Analysis


SWOT ANALYSIS
Internal Factors
1. Product

Strengths

Weaknesses

- Consumers will pay

- Customers may tend to

attention

new

refuse the product due to

brand and create the

fewer consumers know

business opportunity

the brand name

to

the

-Heavy reliance on one


product

(several

successful models were


2. Place

Can

buyers

easily

attract

introduced)
-Availability in different

since

it

wholesale

distributors

and

distribution

accessible.

is

other

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PHILIPPINES - LAGUNA
COLLEGE OF ENGINEERING AND COMPUTER STUDIES
-

Universities

companies
3. Promotion

and

are

channel.

bound

near the said location.


-Different approaches in

-Distributors was hard to

promoting

approach to carry out the

the

product

are implemented.

new brand products on

-Strong sales and service

their shelf

network

-Since the firm is small


and newly created, there
are insufficient funds for
a proper advertising and

4. Price

-Pricing

for

the

new

brand could be flexible

campaign
-Fluctuation of price due
to the different variables.

and could set up a little


bit

lower

than

the

competitors due to lower


operation and marketing
costs
5. Personnel

-Good

management-

-Challenges in building a

employee relationship.

talented staff

-Low labor cost

-Retaining

key

staff

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6. Manufacturing
Capabilities

-Exceptional quality and

members
-Availability

customer service

materials

-Environment
7. Power of Customer

friendly

of

raw

-Low budget available for

processing
-Good relationship with

development
-Small initial

customers

base

customer

-High quality and low


8. Power of Supplier

Threats

price of services
-Good management and

-Lack of control with new

supplier relationship

relationships

-Growing

cost

of

employee

benefits,

which

contributes to increased product price increase


-Lack of start-up funds for the company sufficient
capital is necessary to pay for the owners living
Opportunities

expenses until the business turns a profit


-Acceptance of the internet as a marketing and
customer service medium
-Similar products on the market are not reliable or are
more expensive

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Marketing Strategies
Product development strategy
Developing new products or modifying existing products so they appear new,
and offering those products to current or new markets is the definition of product
development strategy. There is nothing simple about the process. It requires keen
attention to competitors and customer needs now and in the future, the ability to
finance prototypes and manufacturing processes, and a creative marketing and
communications plan. There are several subsets of product development strategy.

Distribution Strategy
E-Corp will build a sales team focused on securing new business in the short and
long term. The sales team will be motivated by instructions and performance based
bonuses, employ an outside sales staff as well as an inside sales staff, which will be
cross-trained to handle general customer needs and complaints. The outside sales
staff will focus primarily on relationship building, closing deals, and securing
recommendations.

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Figure 25. Distribution Channels of the Company


Promotion Strategy
Getting someone to promote something through word of mouth is the very basics of
advertising. The proponents have identified the target market and a good idea of the
best way to reach them. Most businesses use a mix of advertising, sales promotion,
personal selling and public relation to promote their product and services. Facebook
and Twitter offer a free channel to promote business offerings, flyer and poster
marketing is also an effective tool to advertise a business.

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Flyer Marketing

Figure 26. Flyer of E-Corp


Using a flyer can be a very effective sales-support tool if its used properly,
especially in a starter firm. Flyers provide a great platform to reach the customers, it
will be effective in promotion to support sales efforts. The purpose of the flyer is to get
prospective customer to take a specific, desired action.

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Social media Advertising

Figure 27. E-Corp Webpage


Social media advertising has come a long way in a relatively short period of
time. Online advertising is a natural choice for modern businesses, but after the
decline of the banner ad, businesses began searching for alternatives. Paid search is
a great online advertising medium for driving visitors to your website based on user
intent (i.e. their search query).

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Chapter 3
TECHNICAL STUDY
Technical analysis is the study of market action, primarily through the use of
charts, for the purpose of forecasting future price trends. In its purest form, technical
analysis considers only the actual price behavior of the market or instrument, based
on the premise that price reflects all relevant factors before an investor becomes
aware of them through other channels. Technical analysis is widely used among
traders and financial professionals, and some studies say its use is more widespread
than is fundamental analysis in the foreign exchange market.
Product/Service Offered
Bundle Bytes is a 4-packed USB flash drive made from recycled paper pulp,
inexpensive, credit card-sized, easy way to share large files. The molded paper pulp
enclosure is made from 100% post-consumer recycled paper, and contains 4 ultrathin USB chips, each secured inside recycled plastic tray. Bundle Bytes is renewable,
bio-degradable, lightweight and affordable. These eco-friendly flash drives are loaded
with refined technology; each of the 4 tabs has a chip-on-board (COB) flash memory
stick in 2Gb, 4Gb and 8Gb capacities (x4). It will be available in any market in the
area of Calamba, Laguna.
We want to give customers a new kind of USB flash drive that will help them to
save too much expenses on buying normal USBs. Unlike other USB Drives, Bundle
Bytes are extremely rugged and durable, their memory chip is dustproof, waterproof

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and shockproof that doesnt require a cap for protection. Bundle Bytes is also
designed to promote recycling and increase the recycling rate in the country. Its easy,
simply tear and share.

Manufacturing/Operating Process
Operation Chart

Figure 28. Operation Chart of E Manufacturing Company


Process flow chart
Flow
Time
Symbols
Distance
Remarks
Process
(min)

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Receive raw
materials
Inspect raw
materials
Transfer to
production
area
Cutting
of
paper pulp
Mixing
(water
&
paste)
Soaking

Grinding
Flatten
paper
Molding
Solidify
Cutting
Pasting of
components
Finishing of
the body
Labelling/Se
aling
Final
inspection
Packaging
Storing or
Dispatching
Company:

E-Corporation

SUMMARY
Manufacturing
Process Manufacturing of Bundle Bytes
Type: Man, Material
Chart by:
Method Present Proposed

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Symbol

Description

Number

Operations

11

Transportation

Delay

Inspection

Storage

Time

Distance Travelled

Process Description
The process description shows the steps on how the products are being
produced. It describes how the inputs or the production raw materials are being
process and created into the final product
1.
Receiving of raw materials: The purchase clerk will receive all the deliveries of
the raw material from the respective suppliers.
2.
Inspection of raw materials: The quality control staff will strictly inspect all the
delivered raw materials and ensure its quality
3.
Transport to production: All the inspected raw materials will be transported to
the production area.
Paper pulp will go directly to the cutting section

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COLLEGE OF ENGINEERING AND COMPUTER STUDIES
Water and paste to the mixing section
Memory chip to the pasting
4.
Cutting: The transported paper pulp will be cut into small pieces using a cutting
machine
5.
Mixing: Water and paste will be mix to create a bond for paper pulp
6.
Soaking: The cut paper will be transported into the solidify station to soften the
texture of the paper
7.
Grinding: After soaking it will be transported in grinding section to finally mix all
the raw materials
8.
Flatten paper: The grinded mixture will be flattened into flat surface
9.
Molding: Flattened paper mixture will be molded into 4-pack card size flash
drive (front & back)
10.
Solidify: Let it drained to finally make a solid case
11.
Cutting: Excess of the molded paper mixture will be cut to finish the case of
the memory chip
12.
Pasting: Memory chip will be paste inside the case
13.
Finishing of the body: Paste the other case to finish the 4-pack flash drive
14.
Labelling/Sealing: The filling machine includes the packaging of the bottle and
the hot air blow for the sealing process.
15.
Final inspection: The final product will be thoroughly inspected. The visual of
the product and the overall appearance will be carefully scanned.
16.
Packaging: The inspected final products will be carefully packed in their
respective boxes.
17.
Storing or Dispatching: The boxed product will be stored to the storage area or
dispatched to the market for the distribution and on the demand of the market.

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Raw Materials
Raw Materials

Description
A lignocellulose fibrous material prepared by
chemically or mechanically separating cellulose
fibers from wood, fiber crops or waste paper. The
wood fiber sources required for pulping are "45%
sawmill residue, 21% logs and chips, and 34%
recycled paper"

Craft Paper

USB Flash Drive

A small, portable flash memory card that plugs


into a computers USB port and functions as a
portable hard drive. USB flash drives are touted
as being easy-to-use as they are small enough to
be carried in a pocket and can plug into any
computer with a USB drive. USB flash drives
have less storage capacity than an external hard
drive, but they are smaller and more durable
because they do not contain any internal moving
parts. Encased with synthetic polymer that
makes it water and shock proof.

A colorless, transparent, odorless, tasteless liquid


that forms the seas, lakes, rivers, and rain
Water

Substance applied to the surfaces of materials


that binds them together and resists separation.
Paste

Supplier

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liquid matte sealant
It comes in a little jar with flip top lid. Sealant makes
the paper water resistant. This sealant is white, but
it quickly soaks in and dries to clear a matte finish.

Office Supplies
Office Supply
Ball pen
Permanent Marker

Description
A long piece of plastic or metal with a ball in
a socket and an ink inside of it. It is used for
writing.
It is used to create permanent writing on an
object

A non-permanent marker uses an erasable


ink, made in non-porous writing surface, for
temporary writing with overhead projectors
and whiteboard.
A pencil is a writing implement or art medium
Pencil
usually made of a narrow, solid pigment core
inside a protective casing.
Durable, strong and opaque paper used for
Bond Paper
writing, typing, printing and photocopying. It
is well suited for office stationery.
Receipt
Formal, written acknowledgement that
something of value.
This document is prepared to show how
Time Card
many hours an employee worked during a
work week.
Computer (Desktop A device used for storing files and data of
& Laptop)
every transaction in a day to day work. A
centralized location of storing files and data.
Whiteboard Marker

Supplier

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Written instrument that serves to confirm or
witness for some fact such as a transaction.
Voucher (cash,
Commonly, a voucher is a document that
petty cash & check) shows goods have bought or services have
been rendered, authorizes payment, and
indicates the ledger account(s) in which
these transaction have to be recorded.
Envelop (long &
short)
Log Book

Used for compilation of document


Systematic hourly or daily record of activities,
events, and occurrences.

Folder

Number of Shift per Day

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COLLEGE OF ENGINEERING AND COMPUTER STUDIES
E Manufacturing Corporation will only have one shift per day, from Monday to
Saturday. Sunday will be the rest day of the employees. The working hours will start at
8:00 am to 4:00 pm with a total of 8 working hours. Lunch break will be from 12:00 pm
to 1:00 pm morning break at 10:00 am to 10:15 am and afternoon break at 2:00pm to
2:15 pm.
Summary of Operating Hours
Hours

Minutes

480

Receiving of Raw Materials

0.17

10

Lunch Break

1.00

60

Break (Morning and Afternoon)

0.50

30

Allowances

0.17

10

6.16

370

Working Hours
Less:

Total Operating Hours

Number of Operating days per year


The total number of operating days in a year will be 298 days from 365 to 366
days a year less the Sundays, regular holidays, and possible interruption. However,
the management may call overtime on non-working days or extend working hours on
regular days.

Summary of Operating Days


Total Number of Days

365

Less
Sundays and Holidays

62

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COLLEGE OF ENGINEERING AND COMPUTER STUDIES
Allowances

Regular Maintenance

Ideal Days

298 days

Sundays: Rest day for all employees.


Legal Holidays: Regular non-working days declared by the government as
follows:
January 1, 2015 New Years Day
April 9, 2015 Araw ng Kagitingan
April 17, 2015 Maundy Thursday
April 18, 2015 Good Friday
May 1, 2015 Labor Day
June 12, 2015 Independence Day
August 25, 2015 National Heroes Day
November 30, 2015 Bonifacio Day
December 25, 2015 Christmas Day
December 30, 2015 Rizal Day
Possible Interruptions: This is composed of power shortage, material shortage and
calamity such as typhoon. Since the proponents will use generator, it is assumed that there
will be no power shortage.
Allowances: This can be unexpected holidays declared by the government such as Edil
fitr and the likes.
Production Capacity
Production capacity is the volume of products that can be generated by a production
plant or enterprise in a given period by using current resources. E manufacturing Corporation
capacity is based on the fullest utilization of the production equipment and the availability of
raw materials based on the material balance.

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Machines

Description

Most suitable Table Top Hand Arm Operated Small


Paper Cutting Machine made for Xerox shops,
photocopiers, laser printers jobbers, small desk top
printers, small calendars, diaries writing paper
pads suppliers .the machine needs no electric
power, no more space, easy to handle &hand
operated, risk free & low priced.

Paper Cutter
Water / steam circulation jacket for mixing bowl,
to heat or cool the mix during operation in
OINTMENT MIXER only. (Water jacket
recommended only in 60 to 350 liters model.
Steam heating recommended in 600 litres to
onward all models. Jacket also made out of mild
steel in Standard Model & SS304 in GMP
Model.)

Ointment Planetary

Supplier

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Mixer

These Sheet Rolling Machine are manufactured


by high-grade materials with latest technological
methods. These Sheet Rolling Machines
accomplish the entire process of rolling the
papers/any form of sheets in a smooth and
efficient way.
Rolling Machine

High speed fourdrinier paper machine, that dries


and zip remaining liquid in the substance.

Dryer Machine

High precision engraving machine for glass,


plastics and papers.

Engrave machine

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