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CHAPTER 1

PROJECT SUMMARY

1.

NAME OF THE ENTERPRISE

The proponents have chosen JAMGOM Enterprise as the


name of the business proposal. The word JAMGOM came from
the first letter of the surnames of each partner namely Javier,
Catherine C., Andres, Nikko V., Marquez, Marlo A., Gavino,
Darwin Kristian B., Oate, Renz G. and Marquez, Antonette C.
This name was chosen because the proponents believed that
they invested their skills, knowledge, effort and time. They also
considered themselves as the owner of this enterprise.
The JAMGOM Enterprise offered a drink made from
tamarind named as tamarind fresh drink with advantages for
the health of everyone. The proponents are aiming to satisfy the
market as well as to obtain what they expect from this product.

2.

LOCATION

Location is one of the most important considerations when


putting up a business. The proponents of JAMGOM Enterprise
chose Purok 2 Mateo St., Malamig, Bustos, Bulacan to put up
their factory, with the size of 600 sqm, while the wholesale and
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retail store will be located at Poblacion, Baliwag, Bulacan with the


size of 40 sqm. Baliwag, Bulacan is classified as a first class
Municipality because it is a major commerce, transportation,
entertainment and educational center of the Northern Bulacan.
The Company will pursue not only to be a seller but also to
become a supplier to any establishment. The proponents assure
that it can easily be found by the consumer.

Figure 1 Vicinity Map of our store

It is about 5.2 km from our manufactory at Malamig, Bustos,


Bulacan to our wholesale store at Cagayan Valley Road, Poblacion,
Baliwag, Bulacan.

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Figure 1.2 Vicinity Map of our store to our Manufactory

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3.

DESCRIPTIVE DEFINITION OF THE PROJECT

Related national program


This business proposal is aligned with the healthy
drink products. The National and Local Government are
promoting eating healthy food and organic drinks that are
good for the body. Because of the unique sweet and sour
taste of the tamarind, it is rich in Vitamins A and C and it
contains folic acid which is a good source of minerals. Also,
the enterprise also helps the government by paying the
right taxes coming from earnings of the company.

Affinity to regional and sectoral studies


This study will help the various sectors promote the
use of tamarind because of its benefits related to reducing
obesity in the country. Aside from the benefits of tamarind,
the

proponents

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must

take

into

consideration

the

requirements needed in operating this business. The


marketing survey that gives different feedbacks from other
people will also help the company to improve further.

Project potential and proponent


The concept of the proposed product is to have an
influence in the community. The idea has a very strong
impact. It gives a new and refreshing healthy drink made
from tamarind. The consumers who will buy this product
will surely be satisfied because they will get their needs
and wants without sacrificing their health. The proponents
are determined to improve these marketing strategies that
could be useful for the future of the company.

4.

PROJECT LONG RANGE OBJECTIVE

The proponents are expecting to expand their factory in


order to make the employees feel more comfortable and to
increase their productivity. Also, they intend to have a lot of wellknown branches from different locations. They are not only
promoting good health and longevity, but they also encourage
investment in human capital, by contributing to the labor force's
productivity, employment and eventually, economic growth in
the long run.

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5.

FEASIBILITY CRITERIA

The

proposed

business

venture

is

feasible

because

tamarind fresh drink is new in the market that has healthy


benefits. Also, the wholesale and retail store is near the market
and schools so it can be easily seen by the consumers. Instead of
buying soft drinks, the consumers may prefer to buy tamarind
fresh drink as it has many health advantages compared to others
that can possibly cause bone fracture, diabetes or obesity
especially among adolescents, young and adults if they intake it
every day. It becomes profitable by attracting more customers
and maintains them as regular consumers of the product.

6.

HIGHLIGHTS OF THE PROJECT

History
The scientific name for the tamarind is Tamarindus
indica. In the Philippines, it is an important crop because
its fruits and other parts have varied food and medicinal
uses in the way it is used in other countries. JAMGOM
Enterprise decided to use the tamarind as the raw material
to produce a new kind of beverage.

Project timetable status


The preparation of this study reached up to eight (8)
months. Table 1 shows the feasibility study starts in June

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up to July. In the month of August, we planned for the


implementation of the business. The legal documents and
other important requirements for establishing the business
were accomplished in the month of September and
October two months preparation is needed in procedure to
get the permit in SEC because of the legality and proper
way in getting the permit. Renovation in the chosen
location finished in the month of October to November.
Then for the month of December, we trained how to use
the operating equipment in producing tamarind fresh drink
in a proper and safety way and at the same time promoting
the product to the market. Lastly, operating period begins
at the month of January 2016.

Table 1
June July Aug Sept Oct Nov Dec

Activities

Jan

Feasibility Study
Planning
Legal Documents
Renovation of the
Factory
Training/Marketing
Target Operation

Nature of the industry


The major concern of the business is to help people
become conscious of their health. To realize this concern,

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the proponents made a Tamarind Fresh Drink. Various


studies have shown that high amounts of crude protein and
essential amino acids, carbohydrates, minerals, potassium,
phosphorus, calcium and magnesium are present in the
tamarind. It is also a source of Vitamins B and C. Fruits
were evaluated for effects on lipid profile, blood pressure
and weight. The study of a methanol extract of tamarindus
indica fruit pulp provided results showing the good effect of
the tamarind on cellular lipid metabolism, particularly that
of cholesterol. In some cases, people eat tamarind to cure
constipation, stomach disorder, and liver and gall bladder
problems.

Mode of financing
The sources of capital are from the contributions of
each partner in this enterprise who are Ms. Javier, Mr.
Andres, Ms. Marquez and Mr. Oate, the capitalist partners
with P750, 000.00 each while Mr. Gavino, the managing
partner and Mr. Marquez, the general manager with P1,
000,000.00 each.

Investment costs
The total allocated budget for this business is P5,
000,000.00.

7.

MAJOR

ASSUMPTIONS

AND

SUMMARY

CONCLUSION ON THE FOLLOWING:


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OF

FINDINGS

AND

Market feasibility
The target market of the proposed product is men
and women that are open to all young, adult and old ages
which include students, professionals, and employees, selfemployed and unemployed that is conscious in their
health.
In order to satisfy the needs and wants of the
customer, the proponent discusses the different strategies
suitable and effective to the proposed product in terms of
product, price, place and promotion.

Product the product can satisfy the potential buyers by giving


them assurance that all ingredients are healthy and full of
essential nutrients. The packaging must present the cleanliness
and freshness of the product. An attractive packaging can give
the product a good impression to the buyers.

Price pricing is one factor that can affect the product because
of the increasing and decreasing of the cost of raw materials and
the selling competition outside the business. Production cost per
unit will be the basis of the price. Add the mark up percentage of
the production cost, multiply the sum to 12% vat and add them
up to get the proposed price which is P15.00.

Place the proponents chose Cagayan Valley Road, Poblacion,


Baliwag, Bulacan as the best location for the wholesale and retail
store because it is near to the supermarkets, churches and of
course in different groceries that can be supplied by the
business.

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Promotion in promoting the new product the proponents will


use some strategy to introduce the product by the target market
by using signboards, posters, fliers or leaflets and social medias
like facebook, twitter and instagram.

Technical feasibility
Nowadays,

some

establishments

near

Bulacan

produce different kinds of beverages in the market.


JAMGOM Enterprise had decided to produce a natural drink
that will satisfy the demands of many. The ingredients to
be use in making the product are tamarind, honey, and
water while the manufacturing flow process are preparing,
boiling, filtering, mixing and filling. Then, quality control
and labeling will be the next. Finally, the finished product
will be delivered to the wholesale and retail store.
3

Financial feasibility
The proponents decided to invest a capital as a
source of funds for the proposed business. The sources of
capital are as follows:

Javier, Catherine C.

Capitalist Partner

750, 000.00
Andres, Nikko V.

Capitalist Partner

750,

000.00
Marquez, Marlo A.
000,000.00
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General Partner

1,

Gavino, Darwin Kristian B.

Managing Partner

1,

000,000.00
Oate, Renz G.

Capitalist Partner

750,

Capitalist Partner

750,

000.00
Marquez, Antonette C.
000.00
Total Capital Contribution:

P 5,

000,000.00

The expected return of investment after a year of its


operation is almost 65% of our capital investment. The
financial condition of the business after five years would be
good because the proposed business is highly profitable
and the net income increases yearly.

Socio-economic feasibility
The study can provide an employment to the people
especially within the vicinity area and will also help the
community

people

improve

their

livelihood.

The

responsibilities of the firm to follow rules and regulations


and supports the objective of the government in raising
funds by means of contributing taxes, leases and other
necessary fees will build a stable economy.

Management feasibility

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We chose Partnership because we think that it is


suitable for our proposed business to grow and become
successful.
There are nine personnel in the organization. First is
the general manager who will be performing the overall
operation. Second is the supervisor who will take charge of
the day to day operation, production and marketing. Third
one is the accountant who will manage the financial
statements and analysis, fourth is the cashier who will do
the

cash

personnel

register
will

be

operations,
operating

the
and

fifth

upto

eighth

maintaining

the

machineries, producing the product directly and also take


orders in the store. Lastly, a delivery man that will be
responsible for the safety distribution of finished product.

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CHAPTER 2
MARKETING STUDY

This chapter will help to be able to predict how things will be


going. Marketing is the process of understanding, stimulating, and
satisfying the customer needs, wants and expectations through the
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goods and services of the selected target market. A market analysis


involves studying a companys customers and competitors along with
the overall industry and environment. Typically, marketing objectives
will cover the following:
1

Determine the target market;

Know the direct competitors;

Identify the demand and supply situation;

Discuss the marketing strategies suitable and effective to the


proposed product to assert its success in terms of product, price,
place and promotion to attract customers.

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Figure 2. Logo
JAMGOM Enterprise decided to create this logo that would simply
describe our product. The blending of colors which are brown and
green comes from the natural color of the fruit with some shade of
yellow and orange to make it brighter and become catchy to the eye of
the consumer. But most importantly the Clip Art of tamarind because it
is the main ingredients of our product, it also seems that under the
tamarind fruit there is a liquid or juice. This all means that our own
tamarind fruit turns to fresh drink.

PRODUCT DESCRIPTION
The proposed product of JAMGOM Enterprise is the
tamarind

fresh

drink

that

contains

pure

tamarind

fruit

(tamarindus indica) which plays an important role in dietary


issues. Tamarind fruit contains fiber, magnesium, potassium,
vitamin A, vitamin C, and B-vitamin complex. Its unique taste of
sweet and sour can be use for many purposes especially in
cooking and flavoring. People also eat tamarind for constipation,
has liver and gall bladder problems and stomach disorder
because it helps to regulate the metabolism. It has no added
preservatives and artificial sweetness or coloring. Its uniqueness
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has

better

advantage

to

become

popular

in

all

the

marketplaces.

SWOT Analysis
Strengths
1

A new, fresh, and healthy drinks

The researchers have great confidence

Weakness
1

Being new in the market

Has no experience yet

Limited Capital

Opportunities
1

Rapid growth population of the target market, this may increase


the demand of our potential target market.

Increasing its demand of our healthy drinks due to healthy


awareness program about obesity because it is the common
problem of people and they mostly like delicious drink with
healthy benefits.

Threats
1

The majority of the soft drinks have well-known brand identities.

Increase in number of new competitors.

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THE NATURE AND GROWTH OF TOTAL DEMAND FOR THE PRODUCT


The wholesale and retail store is located at Cagayan Valley
Road, Poblacion, Baliwag, Bulacan while our factory located at
Bustos, Bulacan. The total population of Baliwag, Bulacan are
153,183 (2014) while the total population of Bustos, Bulacan are
66,315 (2014) based on their particular Municipality. Keeping the
shop clean with good ambiance, aroma and nice marketing
strategy will also help to attract more customers to patronize the
Tamarind fresh drink.
THE SUPPLY SITUATION AND THE NATURE OF COMPETITION
The production is depending on the change of its demand
that may also affect the supply. Rapid growth of population is the
basis of the demand so; higher volume of supply will be needed
in production to meet the demand of the consumers. The
location is chosen not only for making the product marketable
but also for the accessibility of available raw materials and
equipment. Natural environment may affect the delivery of
supply because of the unpredictable weather condition. It may
cause delay and wastage of raw materials of the product itself.
THE DIFFERENT FACTORS AFFECTING THE MARKET OF THE PRODUCT
The proponents considered some factors that will affect the
market of the Tamarind fresh drink. These are the entry of new
competitors and also the old ones who are already stable and
known by the consumers in different places that are also aligned
with our chosen product, the condition of business location and
the proposed product is not well-known in the market yet.
THE APPROPRIATE MARKETING PROGRAM FOR THE PRODUCT
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In promoting the product, the proponents will be using


some strategies to make the product recognizable in the target
market. By using some sign boards, posters, fliers and brochures,
the customers will become familiar with the proposed product
and, if the customers become satisfied with the product, it will be
known

through

word-of-mouth.

Also,

using

social

media

promotion will help us to spread information about the new


product in the market.

MARKETING STRATEGY
For marketing strategy, we decided to promote through
tarpaulin as well as leaflets to the prospective customers to let
them know the business with a total advertisement cost of P30,
000, and also by using internet for the promotion through the
social media sites. This way, tamarind fresh drink will catch the
attention of the residents in our target markets.

Figure 3 Tarpaulin

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Figure 3.1 Flier/Leaflet

Figure 3.2 Brochure (Left: Front, Right: Back)

Figure 3.3 Calling Card

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https://www.facebook.com/tamarind.fresh.drink
Figure 3.4 Social Media Site

Figure 3.5 Twitter

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Figure 3.6 Instagram

ENVIRONMENTAL ANALYSIS
There are factors that must be taken into consideration to
analyze the target market, the viability and the profitability of the
product. These are the following factors that should be considered:
1

Demographic Environment
The

statistical

study

of

population

shows

the

relationship to the selected areas and to the production. It is


essential to know the total population of those areas since this
is the foremost target in the study. The demand for the
proposed product will be determined on the number of
persons who lived there. The larger the population, the better,
considering that it will reflect to an increase of potential
customer and its demand of the product. Baliwag and Bustos,
Bulacan are chosen by the proponents as the target market
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because of accessibility of the people and large number of


population that will help the proponents to accept their
product in the society.
2

Economic Environment
The performance of economy serves as the basis of
the nations stability. In the existence of a business in the
society, we must determine the capacity of people in the
environment and their lifestyle. The price of the product
must be considered by the consumers ability and the cost
of raw materials that will be used.

Natural Environment
The major raw material needed in the production is
tamarind fruit wherein, there will be a supplier from
Barangay Mapalad, Arayat, Pampanga that lies on Mariang
Sinukuan also known as Mt. Arayat. Our supplier has
owned three (3) hectares of agricultural farm there. The
delivery time in our manufactory will be every Sunday at
4:00 am to 9:00 am. And our second supplier in case of
shortage of supply is located at Barangay Tumana Sta.
Maria, Bulacan. Our Supplier of plastic bottles is located
along DRT Highway, Barangay Pagala, Baliwag, Bulacan.
And our supplier of Honey is located at Saras Honey Bee
Products, Daang Baka, Maysantol Bulacan, Bulacan.

Political Environment
The

political

environment

includes

legislations,

government controls, politics and growth of public interest


groups.

One

important

factor

to

consider

in

this

environment before considering the impact is the political


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system in the business area. The proponents should have


the knowledge in the changes and development of the
government rules and policies in putting up a business. In
establishing a business, the proponents must comply with
all the needed legal requirements provide by the local
municipality such as mayors permit and business permit
and other local government agencies like the Securities
and Exchange Commission (SEC) and the Bureau of
Internal Revenue (BIR). In the application of business
permit, the proponent must secured Barangay clearance,
duly filled up forms and notarized from Business Permit and
Licensing Office, Electrical Health and Sanitary permit from
Health and Sanitary office, Fire Safety Inspection will be
released after verifying official receipts, signing of BP
Director from Bureau of Permits. After securing all of these
permits, the issuance of business license is followed. The
political environment affects business organizations and
has risk factor that causes business after loss. Political
environment may change some actions and policies of the
local governments. As the result of these, it may cause
impact on business strategy and operation. Corruption
remains a barrier to economic development.
1

Demand Condition
The target markets

are the major concern in

marketing aspects. The consumers are the main reason of


establishing business and continuous growth or just decline
it; they are men and women that are open in any ages
which include: kids, students, professionals, employees,
self-employed individuals, and unemployed individuals
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belonging to any position or level of family in the economy.


The major interest of the business is the target markets
demand which is their capacity to purchase a product. The
proponents had chosen the Municipality of Baliwag and
Bustos, Bulacan because of their good demographic
environment, and due to their large population, they
become centers of business activities.

PRICE STRATEGY
One factor that may be considered in pricing the product is the
increasing and decreasing of the cost of raw materials. Another factor
is the selling competition outside the business. Production cost per unit
will be the basis of the price. Add the mark-up percentage to the
production cost, multiply the sum to 12% VAT and add them up to get
the proposed price which is P15.00.

Production Cost per unit

P 8.06

Mark up (60%)
4.84
P 12.90
VAT (12%)

1.55
14.45

Others

0.55

Price per unit


15.00

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PLACE STRATEGY
The location of the proposed business was carefully studied by
the proponents, considering several factors; one of these is the
demand of the respondents. The proponents make sure that the
product is convenient in terms of selling and delivering to the target
market who are the wholesalers, supermarkets and groceries such as
Super 8, Savemore, AA, 7eleven, Mini Stop, Nesabel and also the
different sari-sari stores and school canteen that may become the
potential buyers of tamarind fresh drink.
Ultimate
Consumers

Wholesale/Retai
ler

Producer

Projected Historical Demand of JAMGOM Enterprise

YEAR

54% OF THE
CUSOMER WILLING
TOTAL
TO TRY DRINKS
POPULATION
MADE FROM
TAMARIND

18% OF THE
CUSTOMERS NOT
WILLING TO TRY DRINKS
MADE FROM TAMARIND

AVERAGE OF
CUSTOMERS WHO
DRINK TAMARIND
FRESH DRINK PER
DAY

36,524.34
2010 202,913

109,573.02

2011 207,297

111,940.38

37,313.46

2012 212,412

114,702.48

38,234.16

2013 215,855

116,561.70

38,853.90

2014 219,498

118,528.92

39,509.64

TOTAL
HISTORICAL
DEMAND

132,015.
68
134,867.
92
138,195.
75
140,435.
78
142,805.
92

Table 2
* To know who are the persons willing to try new drinks and who are
not, the proponents conducted interviews and surveys in Baliwag and
Bustos, Bulacan with a result of 54% and 18%.
* To get the total historical demand, the persons willing to try new
drinks divided by 83%.

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Computation for year 2016


Formula:
A = Yn - Yc
n1

= 142,805.92 132,015.68
5-1
= 10,790.24
4
= 2,697.56

Average Increase

= 142,805.92 + 2,697.56
= 145,503.48
Methods Used: Statistical Line Method

PROJECTED DEMAND
Table 3 presents the total projected demand of the Tamarind
Fresh Drink for the next five years (2016-2020). There is an average
increase of 2,697.56 in the demand that implies the number of
population who will possibly patronize the tamarind fresh drink.
Total Projected Demand for the
next five (5) years
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YEA
R

AVERAGE
INCREASE

PREVIOUS
DEMAND

TOTAL
PROJECTED
DEMAND

2016
2017
2018
2019
2020

2,697.56
2,697.56
2,697.56
2,697.56
2,697.56

145,503.48
148,201.04
150,898.60
153,596.16
156,293.72

148,201.04
150,898.60
153,596.16
156,293.72
158,991.28

Table 3

SUPPLY ANALYSIS
The analysis of the supply shows the present supply condition
before the fulfillment of the proposed project. The project must have
detailed information as to the market shares in a given geographical
location, demographic data and other related supply factors. It must
show the past and present projected supply which is based on the
analysis of the supply.
Total Estimated Supply of different drinks in every store
for the last five years

YEAR MILK TEA FREPPE


2010
2011
2012
2013
2014

6,123

4,205
4,348

BUKO
SHAKE

SODA (COCACOLA, RC,


PEPSI)

TOTAL
HISTORICAL
SUPPLY

6,588
6,618
6,729
7,048
7,247

87,643
89,259
91,314
93,617
95,879

94,231
95,877
98,043
104,870
113,597

Table 4
* The collected data are based on the observations and
interviews made by the researchers.

PROJECTED SUPPLY

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Add the average increase and previous supply to get the


projected supply. The average increase is derived through the
statistical straight line method. The projections are from year 20162020.
Formula:
A = Yn - Yc
N1
= 113,597 94,231
5-1
= 19,366
4
= 4,841.5

Average Increase

Computation for year 2016


= supply (2014) + average increase
= 113,597 + 4,841.5
=

118,438.5

Methods Used: Statistical Line Method


Total Projected Supply of JAMGOM Enterprise
for the next five (5) years

YEA
R
201
6
201
7
201
8
201
9
202
0

AVERAGE
PREVIOUS SUPPLY
INCREASE

TOTAL PROJECTED
SUPPLY

4,841.50

118,438.50

123,280.00

4,841.50

123,280.00

128,121.00

4,841.50

128,121.50

132,963.00

4,841.50

132,963.00

137,804.50

4,841.50

137,804.50

142,646.00

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Table 5
Table 5 shows how to get the projected supply. Add the average
increase of 4,841.5 to the previous supply for every year.

HISTORICAL DEMAND AND SUPPLY GAP ANALYSIS


The historical demand and gap analysis will determine the
unsatisfied demand of the proposed business in the past five years
(2010-2014). The historical supply is subtracted from the historical
demand to get the gap. The said gap will be divided in the historical
demand and multiplied by 100 to come up with the percentage of the
unsatisfied demand.

YEAR
2010
2011
2012
2013
2014

TOTAL
HISTORICAL
DEMAND

132,015.
68
134,867.
92
138,195.
75
140,435.
78
142,805.
92

TOTAL
HISTORICAL
SUPPLY

GAP

PERCENTAGE OF
UNSATISFIED
DEMAND

94,231

37,784.68

28.62%

95,877

38,990.92

28.91%

98,043

40,152.75

29.05%

104,870 35,565.78

25.33%

113,597 29,089.20

20.37%

Table 6

Projected Demand and Supply Gap Analysis of JAMGOM


Enterprise for the next five (5) years

YEA
R

TOTAL
PROJECTED
DEMAND

TOTAL
PROJECTED
SUPPLY

GAP

201 148,201.04 123,280.00 24,921.04


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PERCENTAGE OF
UNSATISFIED
DEMAND

16.82%

6
201
7
201
8
201
9
202
0

150,898.60 128,121.50 22,777.10

15.09%

153,596.16 132,963.00 20,633.16

13.43%

153,293.72 137,804.50 18,489.22

11.83%

158,991.28 142,646.00 16,345.28

10.28%

Table 6.1
Table 6.1 shows a decrease and increase of the unsatisfied demand

MARKET SHARE
The proponents know that their proposed product which is
tamarind fresh drink is not new in the market but the difference of this
from others is that the marketing strategy and the quality being served
by the business is the way to get numerous customers which is the
primary objective of the enterprise. Six (6) percent share of the market
would like to be aimed by the proponent of the projected demand for
year 2016 up to 2020. The proponents chose 6% market share due to
the reason that the business is just a start-up in the manufacturing
industry and decided to maintain this 6% of the market share because
this is the capacity of the business for now.

Projected Market Share for the next


five (5) years

YEA
R
201
6
201
7
201
8
Tamarind Fresh Drink

GAP FROM
PERCENTAGE
PROJECTED
PROJECTED SUPPLY OF PROJECTED
MARKET SHARE
AND DEMAND
MARKET SHARE

24,921.04

6%

1,495.26

22,777.10

6%

1,366.62

20,633.16

6%

1,237.99

Page 30

201
9
202
0

18,489.22

6%

1,109.35

16,345.28

6%

980.72

Table 7
Table 7 shows the projected market share for the next five years of
operation. The unsatisfied demand is increasing and decreasing each
year depending upon the marketing strategy of the business.

CONDUCTING

SURVEY

PRESENTATION,

ANALYSIS

AND

INTERPRETATION OF DATA

Gender of the
Respondents
CHOICE FREQUENC
S
Y
PERCENTAGE
Male
128
42.67%
Female
172
57.33%
TOTAL
300
100%
Table 8
Table 8 shows that the respondents are mostly female comprising
57.33% of the total respondents.

Age Bracket of the


Respondents
CHOICES
15 25
26 35

FREQUENC PERCENTAG
Y
E
136
45.33%
78
26.00%

36 45
46 and
above

TOTAL

Tamarind Fresh Drink

46

15.33%

40

13.33%

300
Table 8.1

100%

Page 31

Table 8.1 shows that the majority from the total respondents are ages
15-25 with a percentage of 45.33%.

Monthly Income/Allowance of the


Respondents
FREQUENC
CHOICES
Y
PERCENTAGE
3,000 and below
3,001 - 5,000
5,001 - 10,000
10,001 and above
TOTAL

178
69
40
13
300

59.33%
23.00%
13.33%
4.33%
100%

Table 8.2
Table 8.2 shows that most of the respondents have the monthly
income/allowance of P 3,000 and below with the percentage of
59.33%.

Target Respondents
CHOICES
FREQUENCY PERCENTAGE
Employee
92
30.66%
Self-Employed
62
20.66%
Students
Others

TOTAL

103
43

300
Table 8.3

34.33%
14.33%

100%

Table 8.3 shows that the majority of the total respondents are students
comprising 34.33%

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Page 32

Respondent's Preference with regard to the


store/brand of drinks most frequently drink

FREQUENC PERCENTAG
Y
E
68
22.66%
29
10.00%
124
41.33%

CHOICES
Milk Tea
Freppe
Buko Shake
Soda (Coca-Cola, RC,
Pepsi)

TOTAL

79

26.33%

300
Table 8.4

100%

Table 8.4 shows that the most preferred brand of drink is Buko Shake,
comprising 41.33% of the total respondents.

Respondent's Preference with regards to the


satisfaction on any kind of drinks

CHOICES
Yes
No
TOTAL

FREQUENCY
246
54
300
Table 8.5

PERCENTAGE
82%
18%
100%

Table 8.5 shows that the 82% of the respondents are satisfied with the
drinks that they are drinking while 18% are not.

Respondent's Preference with regards to the


characteristics when choosing any kind of
drinks

CHOICES
Brand Name
Price
Taste
Volume
TOTAL

Tamarind Fresh Drink

FREQUENCY
30
53
198
19
300
Table 8.6

Page 33

PERCENTAGE
10.00%
17.66%
66.00%
6.33%
100%

Table 8.6 shows that, the majority of the respondents are looking for
taste when choosing what to drink with a percentage of 66%.

Respondent's Preference with regards to


the package

CHOICES
In can
Plastic bottle

FREQUENCY
21
212

PERCENTAGE
7.00%
70.66%

Bottle

67

22.33%

300
Table 8.7

100%

TOTAL

Table 8.7 shows that the respondents preferred Plastic bottle,


comprising 70.66%.

Respondent's Preference with regards to the


willingness to try another variant of drinks
made from tamarind

CHOICES
Yes
No
TOTAL

FREQUENCY
226
74
300
Table 8.8

PERCENTAGE
83.33%
16.67%
100%

Table 8.8 shows that the 83.33% of the respondents are willing to try
another variant of drink made from tamarind while 16.67% are not.

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Page 34

Respondent's Preference with regards to the


amount of proposed product they are willing to
buy

CHOICES
P10 - P20
P21 - P30
P31 - P40
P41 - P50
TOTAL

FREQUENCY
276
12

PERCENTAGE
92%
4%

9
3

3%
1%

300
Table 8.9

100%

Table 8.9 shows that the 92% of the respondents are willing to buy the
proposed product at P10 - P20.

Respondent's Preference with regards to the


place where they usually buy drinks

FREQUENC PERCENTAG
Y
E
203
67.66%

CHOICES
Sari-Sari Store
Convenience
Store
Supermarket

TOTAL

77

25.66%

20

6.67%

300
Table 8.10

100%

Table 8.10 shows that the majority of the respondents are buying
drinks at Sari-Sari Store with a percentage of 67.66%.

Respondent's Preference with regards to the


people/things affecting buying decision

CHOICES
Family
Friends
Classmates/Coworkers

Advertisements
TOTAL
Tamarind Fresh Drink

Page 35

FREQUENC PERCENTAG
Y
E
36
12.00%
89
29.66%
93

31.00%

82
300

27.33%
100%

Table 8.11
Table 8.11 shows that most of the respondents have their buying
decision affected by their classmates/co-workers, comprising 31%.

Respondent's Preference with regards to the


recommended strategy to make the proposed
product successful

FREQUENC
PERCENTAGE
Y
Free taste
242
80.66%
Brochure/Leaflets
31
10.33%
CHOICES

Print Ad
Social networking Site

TOTAL

10
17

300
Table 8.12

3.33%
5.67%

100%

Table 8.12 shows that most of the respondents prefer a free taste
strategy comprising 81%.

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Page 36

CHAPTER 3
TECHNICAL FEASIBILITY

In this chapter, the technical feasibility discusses plans with


regards to the manufacturing of the proposed product. The operation
needs to be capable in producing a quality product at desired and
reasonable estimated costs of its standard quality level. It also
determines and identifies the raw materials to be used in the entire
manufacturing process, the facilities that are suitable for the operation
and even in the plant location, the structural design for the production
plant and proper waste disposal to be adopted for the business.

OBJECTIVES OF THE TECHNICAL FEASIBILITY


The technical feasibility aims to:
1

locate the ideal site in establishing the business.

know the required machineries and equipments needed in


operation.

determine the required manufacturing process.

know the total capacity of the plant.

determine the proper waste disposal methods in the business.

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Page 37

TECHNICAL DESCRIPTION OF THE PRODUCT


The proposed product is a new output to be introduced in the
market which is called tamarind fresh drink, a healthy drink made
from tamarind fruit. This product is naturally made out of the pulp of
the ripe sweet tamarind which contains a lot of nutritional health
benefits to our body. It is manufactured by JAMGOM Enterprise which is
located at Malamig, Bustos, Bulacan. The products' packaging is
envisioned on plastic bottle labeled tamarind fresh drink together
with its nutrition facts and the company name.

RAW MATERIALS
As the primary raw materials, the proponents used sweet
tamarind to minimize the use of other sweetener in order to make use
of its natural taste. Honey is used to lessen the unnecessary sour taste
of tamarind. For the packaging, proponents used a plastic bottle which
is based on the conducted survey. It will be mass purchased at the
start of the business operation and the label to be used will be supplied
by a printing enterprise based on the customized logo and design
made by the proponents.

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Table 9

Table 9.1

Tamarind Fresh Drink

Page 39

Table 9.2
MANUFACTURING PROCESS
This is the collection of methods used to define how products are
to be manufactured. Tamarind fresh drink is the product to be
produced and to be distributed. The processes of the proposed product
are listed below to explain how it was done.
1

Basin- a large bowl that is used for mixing and cooking, or


serving food.

Large Saucepan- a deep round cooking pan with a handle

Industrial E-40 stove- is an enclosed space in which fuel is


burned to provide heating, either to heat the space in which the
stove is situated, or to heat the stove itself and items placed on
it.

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Page 40

Mixing Spatula-a kitchen tool that has a long handle and short
and that is used especially for mixing, spreading, etc.

Straining Machine- simplifies the racking and cleaning up


process by containing small ingredients that can clog.

Labeling Machine-are machines that dispense, apply or printand-apply labels to various items, products, containers, or
packages.

Step 1. Preparation
Preparation of the materials and
machineries needed in the production is
the

first

step

of

the

process.

The

materials and machineries needed are


the following: unshelled sweet tamarind,
honey, basin, large saucepan, industrial
C-40

stove,

mineral

water,

mixing

spatula, bottles, straining machine and


labeling machine.

Step 2. Boiling
Put

the

unshelled

sweet

tamarind into large saucepan and


add mineral water. Put the large
saucepan

into

industrial

C-40

stove. Open the stove and boil it


Tamarind Fresh Drink

Page 41

for atleast 20 minutes to dissolve


the tamarind. While boiling, add
some

honey

to

lessen

the

unnecessary taste of the tamarind.


Use the mixing spatula to blend
together the honey, tamarind and
water.

Step 3. Filtering and Filling


Start the straining machine
and pour the boiled tamarind juice
into it. It is necessary to filter or
separate well the sediment of the
pulp for the better texture and
taste of the proposed product. After
separating

the

sediment

to

its

juice, fill it to its designated bottles.

Step 4. Quality Control Check

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Page 42

It is important to check the quality


of the proposed product as well as the
physical appearance of the product that
will be distributed to the market. After
doing this process, this is where the
product is now ready for labeling. If the
product does not pass the quality control
process, it goes to waste.

Step 5. Labeling
After checking the quality of the
proposed

product,

the

next

step

is

labeling. Start up the labeling machine.


For the finishing process, the machine
will attach the packaging labels to each
bottle tomake it easily recognized by the
buyers.

Step 6. Finished Product


All processed tamarind fresh drink will be stored at
warehouse and will be delivered to the designated channel of

a
p
re
P
n
tio

F
i
e
t
l
r
g
n
/
Q
y
t
i
l
a
u
r
n
o
C
L
a
e
b
i
l
g
n
i
F
e
h
s
n
o
r
P
d
t
c
u
ilB
o
g
n

distribution.

Tamarind Fresh Drink

Page 43

Figure 4. Manufacturing flow process chart

MANUFACTURING PRODUCTION AND PLANT LOCATION


In choosing the plant location for any business is very vital. The
factors that the proponents may take into consideration are the
accessibility of raw materials and transportation, proximity to the
target market and consumers, availability of skilled workers and good
working environment.
The exact target location of the manufacturing business is
located at Gavinos Residence in Malamig, Bustos, Bulacan with the
size of 600sqm. While the wholesale and retail store is located at
Poblacion, Baliwag, Bulacan with 40sqm. The total distance of
manufactory

to

convenience

store

is

5km.

The

reason

why

manufactory is located in Bustos, Bulacan is because we need to


consider

the

rules

of

Municipality

regarding

the

permit

in

Manufacturing Business.

BUILDING AND FACILITIES


The building for the proposed business has a total of 400 sqm.
There is an allotted time for renovating the factory. Renovating fee is
equal to P120,000. The monthly rent will cost P6,000 and P72,000
annually. The improvements to be done are for the better and more
pleasing business outlook. The store has a total area of 40 sqm that
comprises 1.5 meters for the comfort room, while the production
sections namely: stock room, preparation room, boiling room, straining
room, and warehouse that includes machineries and equipments and
exhaust fan occupying a total of 3x4 meters each and packaging room
Tamarind Fresh Drink

Page 44

with 3x5 meters. Managers office has a total area of 3x5 meters which
contains equipment, supplies and furniture and fixtures and comprises
1.5x1.5 meters for the comfort room. The workers' room has 4x5
meters that comprises 1.5x1.5 meters for the comfort room. It also
includes fire exit in case of emergency. Please refer to figure to foresee
the perspective, front and rear view of the proposed factory design.

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Page 45

Tamarind Fresh Drink

Page 46

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Page 47

OFFICE AND PLANT LAYOUT


Plant layout is the physical arrangement of equipment and
facilities. Optimizing the layout of a plant can improve the productivity,
safety and quality of the product. Unnecessary efforts of materials
handling can be avoided when the plant layout is optimized. The basic
objective is to ensure a smooth flow of work, material, people and
information. The plant layout of the proposed business is designed by
the proponents aiming to give comfort to the workers and for the
quality and orderly process of the product. The floor area is divided
into production section, stock room, workers room and managers
room. The production section includes preparation, boiling, straining,
packaging and warehouse where all the machineries and equipments
needed for production is there. The production room is well-built for
fast production and it has window and exhaust fan to minimize the
heat and make workers more comfortable. It provides stock room for
the storage of supplies. The proposed business has a room for the
workers with comfort room. Furthermore, the layout provides a room as
the

office

for

the

general

manager,

operation

supervisor

and

accountant that contain one comfort room. In case of emergency, there


are three (3) fire extinguishers placed in the factory and in the fire exit.

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Page 48

Tamarind Fresh Drink

Page 49

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