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University of Perpetual Help System DALTA - Molino

COLLEGE OF BUSINESS ADMINISTRATION

A Feasibility Study

of

In Partial Fulfilment of the Requirements for the Degree of

Bachelor of Science in Business Administration

Major in Business Management

By:

Aivanne Gem U. Mangabang

Rizalyn O. Esporlas

Maria Carmela D. Persia

Chris Joyce B. Merencillo

October 2016
University of Perpetual Help System DALTA - Molino
COLLEGE OF BUSINESS ADMINISTRATION

ii

APPROVAL SHEET

This feasdibility entitled “Rice Coffee with Fruit Creamer” have been prepared and
submitted by Aivanne Gem Mangabang, Rizalyn Esporlas, Maria Carmela D. Persia,
and Chris Joyce Merencillo in partial fulfilment of the requirements for the Degree of
Bachelor of Science in Business Administration Major in Business Management has been
examined and is recommended for oral presentation.

Prof. Mayeth T. Salandanan


Adviser

Approved by the PANEL OF EXAMINERS on oral presentation on XXXXXXXXX with


the grade of__________.

Member Member

Chair

Accepted in partial fulfilment for the Degree of Bachelor of Science in Business


Administration, major in Business Management

Prof. Roxanna A. Castro


Dean, College of Business Administration
University of Perpetual Help System DALTA - Molino
COLLEGE OF BUSINESS ADMINISTRATION

iii

ACKNOWLEDGEMENT

We would like to express our deepest gratitude to Prof. Mayeth T. Salandanan, for

her full support, expert advice, and for her thoughtful questions and comments that were

valued gently until this work came to existence.

AGM/RE/MCDP/CJM
University of Perpetual Help System DALTA - Molino
COLLEGE OF BUSINESS ADMINISTRATION

iv

EXECUTIVE SUMMARY
University of Perpetual Help System DALTA - Molino
COLLEGE OF BUSINESS ADMINISTRATION

vi

TABLE OF CONTENTS

DESCRIPTION
Title Page
Approval Sheet
Acknowledgement
Executive Summary
Table of Contents

CHAPTER 1: INTRODUCTION
Background of the Study
Project Proponents
Proposed Named of the Business
Type of Business Organization
Location of Head Office and Production Faculty
Statement of the Problem
Objectives of the Study
Significance of the Study
Research Methodology
Sample Survey Questionnaire
Survey Results
Review of Related Literature
University of Perpetual Help System DALTA - Molino
COLLEGE OF BUSINESS ADMINISTRATION

CHAPTER 2: MARKET ASPECT


Introduction
Market Description
Target Market
Market Segmentation
Demand Analysis
Supply Analysis
Demand - Supply Analysis
Current Marketing Condition
List of Competitors
Proposed Marketing Programs
Positioning Strategy
Unique Selling Proposition
Sales Strategy
Channels of Distribution
Future Plans and Strategic Opportunities
Marketing Forms

CHAPTER 3. MANAGEMENT ASPECT


Introduction
Company Goals and Objectives
Short Term Goal and Objectives
Mission Statement
Vision Statement
University of Perpetual Help System DALTA - Molino
COLLEGE OF BUSINESS ADMINISTRATION

Form of Business Organization


Manpower Requirements
Job Title, Description and Specification
Organizational Chart
Compensation and Benefits
Monthly Basic Salary of the Philippines
Schedule of Salary Payment, Cut Off Periods
and Manner of Payment
Management Forms

CHAPTER 4: TECHNICAL ASPECT


Introduction
University of Perpetual Help System DALTA - Molino
COLLEGE OF BUSINESS ADMINISTRATION
University of Perpetual Help System DALTA - Molino
COLLEGE OF BUSINESS ADMINISTRATION

July 21, 2016

Apolonio Advincula Jr.


Molino III Bacoor Cavite
Barangay Captain

Dear Sir:

Greetings!

We, the students of University of Perpetual Help System DALTA- Molino Campus
would like to request from your good office to please allow us to gather some data in
relation to our subject, Feasibility Study entitled Rice Coffee with Fruit Creamer, as a
requirement for the course Bachelor of Science in Business Administration Major in
Business Management for the first semester of the school year 2016-2017.

In this regard, may we request your kind assistance to allow the following students to
administer the survey and interview, in order to support our intended project study.

All data gathered will be treated confidentially. And your favorable response and support
will be highly appreciated.

Respectfully yours,

Esporlas, Rizalyn O. Mangabang, Aivanne U. Merencillo, Chris B. Persia, Carmela D.


Researcher Researcher Researcher Researcher

Noted by:

Prof. Mayeth Salandanan


Professor, Feasibilty Study

Approved by:

Prof. Roxanna A. Castro


OIC College of Business Administration
University of Perpetual Help System DALTA - Molino
COLLEGE OF BUSINESS ADMINISTRATION

Dear Respondents,

Greetings!

We, Rizalyn O. Esporlas, Aivanne Gem U. Mangabang, Chris Joyce B.


Merencillo, and Maria Carmela D. Persia from the College of Business Administration
would like to conduct a study about “Rice Coffee with Fruit Creamer. The attached
questionnaire is designed to gather information and data.

PROFILE
Name (optional):
Sex :
Age :

Direction: Put a check on the box provided. Be sure you won’t leave any questions
unanswered.

Student Employed Unemployed

1. What time(s) of day do you usually drink coffee? (mark all that apply)
Morning

Noon

Evening

2. How much do you spend on average when going out for coffee?

50 or less
50 - ₱100
100 - ₱200
200 or more
University of Perpetual Help System DALTA - Molino
COLLEGE OF BUSINESS ADMINISTRATION

3. For what reasons would you drink coffee? (You could choose more than one) *

Release Stress
Refreshing
Social Occasions
Drinking Habit
Other (Please specify) ______________

4. What is the most important aspect(s) of your coffee experience?

Price
Service
Location
Taste

5. What do you prefer to drink?

Regular

Decaf

6. Approximately how many years have you been a coffee drinker?

Less than a year

1 year

2 years

More than 2 years

7. Have you ever had Coffee that is made from rice?

Yes
No
University of Perpetual Help System DALTA - Molino
COLLEGE OF BUSINESS ADMINISTRATION

9. Do you use coffee creamers?

Yes

No

11. Based on your experience as a coffee drinker, please rate coffee according to the

following: 5 being the highest, 1 being the lowest. (Kindly check the number)

1 2 3 4 5

Brand

Taste

Price

Service

Thank you very much and God bless

- Researchers
University of Perpetual Help System DALTA - Molino
COLLEGE OF BUSINESS ADMINISTRATION

July 22, 2016

Apolonio I. Advincula Jr.


Barangay Captain
Molino III, Bacoor, Cavite

Dear Sir:

Greetings!

We, the students of University of Perpetual Help System DALTA- Molino Campus
would like to request from your good office to please allow us to gather some data in
relation to our subject, Feasibility Study entitled Rice Coffee with Fruit Creamer, as a
requirement for the course Bachelor of Science in Business Administration Major in
Business Management for the first semester of the school year 2016-2017.

In this regard, may we request your kind assistance to allow the following students to
administer the survey and interview, in order to support our intended project study.

All data gathered will be treated confidentially. And your favorable response and support
will be highly appreciated.

Thank you!

Respectfully yours,

Esporlas, Rizalyn O. Mangabang, Aivanne Gem U.


Researcher Researcher

Merencillo, Chris Joyce B. Persia, Maria Carmela D.


Researcher Researcher

Noted by: Approved by:

Prof. Mayeth Salandanan Prof. Roxanna A. Castro


Professor, Feasibility Study Dean, College of Business Administration
University of Perpetual Help System DALTA - Molino
COLLEGE OF BUSINESS ADMINISTRATION

CHAPTER 1: INTRODUCTION
University of Perpetual Help System DALTA - Molino
COLLEGE OF BUSINESS ADMINISTRATION

BACKGROUND OF THE STUDY

Coffee had been in the Philippines since 1740, when a Spanish Franciscan friar

planted the first coffee tree in Lipa, Batangas. But it was During the 1950s, when the

Philippine government, with the help of the Americans, brought in more variety of

coffee. It was also then that instant coffee was being produced commercially thus,

increasing the demand for beans. Because of favorable market conditions, many farmers

went back to growing coffee in the 1960s. Since then, coffee had always been a part of

every Filipino store. It had become a necessity for some Filipinos to consume coffee at

least once a day. However, there is one innovation that is slowly dying but still has a big

opportunity to gain back its lost market. This is a native recipe from Ilocos Norte.

Long before we had it in instant packs, there was a time when our ancestors made

coffee from roasted rice. The origin of rice coffee is said to go way back in the early

years of World War1. Filipinos back then had to survive on low budget and lack of

resources, pushing them to come up with a cheaper alternative to coffee beans. The idea

to sell rice coffee began as a means of extra income for the farmers and their families.
University of Perpetual Help System DALTA - Molino
COLLEGE OF BUSINESS ADMINISTRATION

PROJECT PROPONENTS

The corporation was conceptualized through brainstorming and exchange

knowledge of five (5) business management students who will be in-charge of the day-to-

day responsibilities of managing the business.

Table 1

CORPORATION CAPITAL CONTRIBUTION

The corporation has an authorized stocks amounting to Php 15,000,000.00

divided into1, 000,000 common stocks, Php 10.00 par, of which 30% is subscribed and is

fully paid.

Ownership

Names Nationality Total Contribution (%)


University of Perpetual Help System DALTA - Molino
COLLEGE OF BUSINESS ADMINISTRATION

Total Contribution

, of
University of Perpetual Help System DALTA - Molino
COLLEGE OF BUSINESS ADMINISTRATION

PROPOSED NAME OF THE BUSINESS

The name of the business will be called RICE COFFE WITH FRUIT CREAMER

TYPE OF BUSINESS ORGANIZATION

The business proponents had agreed to form a corporation.


University of Perpetual Help System DALTA - Molino
COLLEGE OF BUSINESS ADMINISTRATION

LOCATION OF HEAD OFFICE AND PRODUCTION FACULTY

STATEMENT OF THE PROBLEM

The general problem of the study is to know if RICE COFFEE WITH FRUIT

CREAMER will be feasible or not. The proponents will also attempt to answer the

specific questions in each aspect of the feasibility study.

Market Aspect:

1. Who would be the target market?

2. What would be the marketability of the products in our chosen location?

3. What sampling method to be used?

4. How would the proponents’ determine the price of the product at a level that is

acceptable to buyers and will yield a profit?


University of Perpetual Help System DALTA - Molino
COLLEGE OF BUSINESS ADMINISTRATION

5. How much would it cost?

Management Aspect;

1. What are the requirements needed for starting-up a business?

2. What are the characteristics and functions of our management?

3. How many employees would be needed to operate our business?

4. What are the duties and responsibilities of the employees needed for the operation of

the business?

5. What organizational policies and regulations should be implemented?

Technical Aspect;

1. What would be the location of the business?

2. What are the equipment’s/materials to be used?

3. How much would be the cost of the equipment and materials to be used?

4. What is the product description?

5. What would be the product process and procedures to be involved?


University of Perpetual Help System DALTA - Molino
COLLEGE OF BUSINESS ADMINISTRATION

Financial Aspect;

1. What would be the capital requirements needed for our business?

2. What would be the major assumptions to be used?

3.

4. How much money would be needed to start the business?

5.

Socio-economic and Other Aspects:

1. What would be the contributions of this study to our country?

2.

3. How will the study benefits the society and the government as well?

4.
University of Perpetual Help System DALTA - Molino
COLLEGE OF BUSINESS ADMINISTRATION

OBJECTIVES OF THE STUDY

This study aims to determine the feasibility of RICE COFFE WITH FRUIT CREAMER.

Specifically, the proponents are focused on the attainment of the objectives of each

aspects of the study.

Market Aspect:

1. To determine the firm’s target market.

2. To determine the marketability of the products in our chosen location

3. To establish the sampling method to be used

4. To price the product at a level that is acceptable to buyers and will yield a profit

5. To design appropriate price strategy for our products

Management Aspect;

1. To determine the requirements needed for starting-up a business


University of Perpetual Help System DALTA - Molino
COLLEGE OF BUSINESS ADMINISTRATION

2. To determine the characteristics and functions of our management.

3. To determine the number of employees that we needed to operate our business.

4. To know the duties and responsibilities of the employees needed for the operation of

the business

5. To determine to the organizational policies and regulations to be implemented

Technical Aspect;

1. To determine the location of the business.

2. To know the equipment’s/materials to be used.

3. To know the cost of the equipment and materials to be used

4. What is the product description?

5. To know the product process and procedures to be involved.

Financial Aspect;

1. To determine the capital requirements of our business.

2. To know the major assumptions to be used.

3.

4.
University of Perpetual Help System DALTA - Molino
COLLEGE OF BUSINESS ADMINISTRATION

5.

Socio-economic and Other Aspects:

1. To be able to know if our business can give contributions to our country.

2.

3. To be able to prove that the proposed business will provide benefits to people as well

as to the government.

4.

5.
University of Perpetual Help System DALTA - Molino
COLLEGE OF BUSINESS ADMINISTRATION

SIGNIFICANCE OF THE STUDY

Economy

Proponents

Future Researcher
This study will serve as guide for the future researchers who may be interested in the

studies related to food innovation.


University of Perpetual Help System DALTA - Molino
COLLEGE OF BUSINESS ADMINISTRATION

RESEARCH METHODOLOGY

Research Design

Research Locale

This study was located at


University of Perpetual Help System DALTA - Molino
COLLEGE OF BUSINESS ADMINISTRATION

SAMPLE SURVEY QUESTIONNAIRE

1. What time(s) of day do you usually drink coffee? (mark all that apply)
Morning

Noon

Evening

2. How much do you spend on average when going out for coffee?

50 or less
50 - ₱100
100 - ₱200
200 or more

3. For what reasons would you drink coffee? (You could choose more than one) *

Release Stress
Refreshing
Social Occasions
Drinking Habit
Other (Please specify) ______________

4. What is the most important aspect(s) of your coffee experience?

Price
Service
Location
Taste

5. What do you prefer to drink?


University of Perpetual Help System DALTA - Molino
COLLEGE OF BUSINESS ADMINISTRATION

Regular

Decaf

6. Approximately how many years have you been a coffee drinker?

Less than a year

1 year

2 years

More than 2 years

7. Have you ever had Coffee that is made from rice?

Yes

No

8.. Do you use coffee creamers?

Yes

No
University of Perpetual Help System DALTA - Molino
COLLEGE OF BUSINESS ADMINISTRATION

9. Based on your experience as a coffee drinker, please rate coffee according to the

following: 5 being the highest, 1 being the lowest. (Kindly check the number)

1 2 3 4 5

Brand

Taste

Price

Service
University of Perpetual Help System DALTA - Molino
COLLEGE OF BUSINESS ADMINISTRATION

SURVEY RESULTS
1. What time(s) of day do you usually drink coffee?

Choices No. of Respondents Percentage


Morning
Noon
Evening
Total

Question No. 1

Morning
Noon
Evening
University of Perpetual Help System DALTA - Molino
COLLEGE OF BUSINESS ADMINISTRATION

2. How much do you spend on average when going out for coffee?

Choices No. of Respondents Percentage


₱50 or less
₱50- ₱100
₱100- ₱200
₱200 or more
3.
Total

Question No. 2

₱50 or less
₱50- ₱100
₱100- ₱200
₱200 or more
University of Perpetual Help System DALTA - Molino
COLLEGE OF BUSINESS ADMINISTRATION

3. For what reasons would you drink coffee?

Choices No. of Respondents Percentage

Release Stress

Refreshing

Social Occasions

Drinking Habit

Others

Total

Question No.3

Release Stress
Refreshing
Social Occasions
Drinking Habit
Others
University of Perpetual Help System DALTA - Molino
COLLEGE OF BUSINESS ADMINISTRATION

4. What is the most important aspect(s) of your coffee experience?

Choices No. of Respondents Percentage


Price
Service
Location
Taste
Total

Question No. 4

Price
Service
Location
Taste
University of Perpetual Help System DALTA - Molino
COLLEGE OF BUSINESS ADMINISTRATION

5. What do you prefer to drink?

Choices No. of Respondents Percentage


Regular
Decaf
Total

Question No. 5

Regular
Decaf
University of Perpetual Help System DALTA - Molino
COLLEGE OF BUSINESS ADMINISTRATION

6. Approximately how many years have you been a coffee drinker?

Choices No. of Respondents Percentage

Less than a year

1 year

2 years

More than 2 years

Total

Question No. 6

Less than a year


1 year
2 years
More than 2 years
University of Perpetual Help System DALTA - Molino
COLLEGE OF BUSINESS ADMINISTRATION

7. Have you ever had Coffee that is made from rice?

Choices No. of Respondents Percentage


Yes
No
Total

Question No. 7

1st Qtr
2nd Qtr
University of Perpetual Help System DALTA - Molino
COLLEGE OF BUSINESS ADMINISTRATION

8.. Do you use coffee creamers?

Choices No. of Respondents Percentage


Yes
No
Total

Question No. 8

Yes
No
University of Perpetual Help System DALTA - Molino
COLLEGE OF BUSINESS ADMINISTRATION

REVIEW OF RELATED LITERATURE


University of Perpetual Help System DALTA - Molino
COLLEGE OF BUSINESS ADMINISTRATION

CHAPTER 2

MARKET ASPECT
University of Perpetual Help System DALTA - Molino
COLLEGE OF BUSINESS ADMINISTRATION

INTRODUCTION

MARKET DESCRIPTION
University of Perpetual Help System DALTA - Molino
COLLEGE OF BUSINESS ADMINISTRATION

TARGET MARKET

MARKET SEGMENTATION
University of Perpetual Help System DALTA - Molino
COLLEGE OF BUSINESS ADMINISTRATION

DEMAND ANALYSIS

\
University of Perpetual Help System DALTA - Molino
COLLEGE OF BUSINESS ADMINISTRATION

SUPPLY ANALYSIS
University of Perpetual Help System DALTA - Molino
COLLEGE OF BUSINESS ADMINISTRATION

DEMAND-SUPPLY ANALYSIS
University of Perpetual Help System DALTA - Molino
COLLEGE OF BUSINESS ADMINISTRATION

CURRENT MARKETING CONDITION


University of Perpetual Help System DALTA - Molino
COLLEGE OF BUSINESS ADMINISTRATION

LIST OF COMPETITORS
University of Perpetual Help System DALTA - Molino
COLLEGE OF BUSINESS ADMINISTRATION

PROPOSED MARKETING PROGRAMS

Product

Place
University of Perpetual Help System DALTA - Molino
COLLEGE OF BUSINESS ADMINISTRATION

Promotion

Price

POSITIONING STRATEGY
University of Perpetual Help System DALTA - Molino
COLLEGE OF BUSINESS ADMINISTRATION

UNIQUE SELLING PROPOSITION

SALES STRATEGY
University of Perpetual Help System DALTA - Molino
COLLEGE OF BUSINESS ADMINISTRATION

FUTURE PLANS AND STRATEGIC OPPORTUNITIES


University of Perpetual Help System DALTA - Molino
COLLEGE OF BUSINESS ADMINISTRATION

MARKETING FORM
University of Perpetual Help System DALTA - Molino
COLLEGE OF BUSINESS ADMINISTRATION