Chapter 3

External Audit

Macro Environment

3.1 Political Forces

The situations of a country is a political forces that in fact affect the

economic setting especially the performance and business operation. These

actions can be seen on regional, national, and international level. Political

and government environment must be prioritized by business owners and

managers to know how these changes and measurement might affect their

company.

3.1.1The Impact of Duterte’s Administration

President Rodrigo Duterte’s administration is filled with reconstruction

in power dynamics, international scrutiny, terrorism and other security

threats. The proposed dismantling of the power dynamics in the Philippines

is a revolutionary bid by the president. The country will be shifting to

federalism from democratic. As of now, the president shifted more than 26

political dynamics. According to Philstar Global, the country should expect a

huge international affiliation and involvement if the war on drugs concern is

ignored. The campaign war on drugs thus far resulted in the deaths of more

than 3,000 people in just three months, mostly in the poor areas. Extra-

judicial killings and human rights violation sums up the aggressive anti-drug
campaign of the president. The Philippine currency has reached its lowest

since President Rodrigo Duterte took office and the Philippine peso is the

worst performing currency in Asia, 50 pesos for a dollar. Today, the

president is known for his blatant disdain of social justice and concern for

human rights which resulted to a disaster.

Relevance: (Threat)

 The shift in power dynamics and uncertainty around the path being

taken by the current administration as well as the blatant disregard of

human right by many Filipinos will affect the foreign and local in terms

of their investments in the country. The failure in diplomacy and

international relations also affect the future investors of the country

because of the bad reputation the country has.

3.1.2 The Effect of Corruption and Bureaucracy

The World Economic Forum also cited that corruption in the

government and bureaucracy is still a big problem in doing business in the

Philippines. The Financial Markets noticed that the country is

underperforming other regional markets for the last two years.

Table n. Rank of Incompetent Countries

 Country Ranking
Philippines 56
South Korea 26
China 27
India 40
Malaysia 23
Thailand 32
Indonesia 36

Corruption and bureaucracy have made the Philippines grossly

incompetent in the world market according to the 2018 World Economic

Forum (WEF) ranking which ranks the Philippines 56 th out of 137 ranked

countries. The Philippine market has underperformed emerging markets.

According to Forbes which sited corruption, President Rodrigo Duterte is

leading a wrong revolution which causes to divide the country in to the weak

and powerful in his policies. Usually revolutions have noble causes, to help

the people and to separate them from the wrongs. Duterte said in July that

corruption is embedded deeply in our government. The president also said

he is having a hard time removing it.

Relevance: (Threat)

 Corruption and failed government bureaucracy in the country is also

bad for business and it is not good for the development of law rule,

which is a vital part of attracting good foreign investment. It is also

relevant to the paper in way that a misuse of an office for personal

gain leads to operational inefficiency. This factors will create a less

 favorable business climate inside and outside the country which is a

serious drag on the nation’s wealth.

3.1.3 Implementing New Agricultural Program

The department of tourism recently launched the “It’s More Fun in The

Philippine Farms” last October 23, 2017 in line to attract not just local tourist

but also foreign ones. This program aims to put a spotlight on the farm life of

the country which also include the best crops of the country and the

rejuvenating experience in the farm. The Department of Tourism believes

that this program is a route to promote the rich Agricultural beauty of the

Philippines.

Relevance: (Opportunity)

 The agritourism and Bring A Friend Home program will help to attract

visitors and tourist to farm areas for production, educational and

recreational purposes that can help showcase the beauty of the

country’s agricultural lands as well as the life in a farm. The Bring A

Friend Home can also help to enhance the number of tourist in the

country not just for a short span of time, but also for a long time.

3.1.4 The implementation of Bring Home A Friend (BHAF) Program

 The Department of Tourism also launched a program that specifically

calls on Filipinos to encourage their foreign friends to visit the country. The

program was created to fully support the continuous rise in visitor arrivals of

the country, and also to inform them that the Philippines is different now.

Relevance: (Opportunity)

 The agritourism and Bring A Friend Home program will help to attract

visitors and tourist to farm areas for production, educational and

recreational purposes that can help showcase the beauty of the

country’s agricultural lands as well as the life in a farm. The Bring A

Friend Home can also help to enhance the number of tourist in the

country not just for a short span of time, but also for a long time.

https://www.forbes.com/sites/panosmourdoukoutas/2018/08/02/duterte-is-

leading-the-wrong-revolution/#678861f43dfc

https://www.philstar.com/headlines/2018/07/24/1836482/sona-2018-things-

administration-wants-done-and-dutertes-reasons-why

https://www.rappler.com/life-and-style/travel/ph-travel/186153-dot-more-fun-

philippine-farms-program

http://cnnphilippines.com/lifestyle/2017/12/28/exploring-the-philippines-

tourism-industry-booming.html

3.2 Economic Forces

 The direction and nature of the economy in which the business

operates are called the Economic Forces. This environment consists of

economic growth levels, unemployment trend, price fluctuation / inflation and

changes in the rates that affect the functionality of the industry. These

include factors that determine the competitiveness of the environment in

which the firm or the industry operates. Thus, this might contribute to the

success or failure of the company, distinguishing the different economic

forces that have a tremendous impact on the firm or industry.

3.2.1 The increase in Economic Growth

In the year 2017, the gross domestic product (GDP) of the country

grew by 6.7%, somewhat below 2016 which was 6.9% in terms of growth.

With this kind of result, Philippine still placed among the fastest-growing

economies in Asia, followed after China’s 6.9% and Vietnam's 6.8%. The

Philippine economy grew by 6.6% in the last quarter of 2017, somewhat

below the 6.7% median forecast in Bloomberg's poll.

Relevance: (Opportunity)

 The Gross Domestic Product (GDP) need to be taken account in

identifying the value of business investment and portfolio in the

current and expected future. This is also relevant in determining the

shift of production possibility curve of the country to be able to cater

 the needs and demand of the public. As a result of the fast growth of

our country’s Gross Domestic Product, all local business can now use

the opportunity to grow. Businesses are expected to expand and take

more risk when the economic climate and conditions are right.

What drives the Philippine Economy

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By Industrial Origin By Expenditure Shares

 Fig.2 The Philippine Economy

Meanwhile, the agricultural industry grew the fastest in the 4th

quarter at 7.3%, followed by services at 6.8% surrounded by the major

sector. However, the figures were down from the 7.9% and 7.2% in the

year 2016. 2.4% growth in agriculture rebounded by the 4th quarter, from

-1.3% in the same period in 2016.

Relevance: (Threat)

 As a result of the annual increase in the prices of commodities,

energy, a food and other goods and services in the market, it can be

concluded that the whole economy is affected. It can greatly affect the

cost of living, doing business. Borrowing money, mortgages and other

corporate bond. Inflation is usually caused either by supply and

demand, it can affect the consumer in a way that they pay more for

the same goods and services. The inflation hit hardest those

consumers with low salary and have not received any increase in

salary over time which results to people have to constantly get a raise

to keep up with the increasing prices of goods.

3.2.2 Unemployment Rate Rises

The September quarter of 2018, the Philippines’ unemployment rate

went down by 5.4 percent from 5.6 percent about a year ago. The number
of unemployed dropped by 50 thousand to 2.32 million, and the number of

employed increased by 488 thousand to 40.66 million. The rate of labor

force declined to 60.1 pent from 60.6 percent. The workers in the service

sector made up 57.5 percent of the total, to be followed by those in the

sector of agriculture with 23.1 percent and 19.4 for the industry. The

unemployment rate in the Philippines averaged approximately 8.41

percent from 1994 to 2018, being the highest of all time, with the

percentage of 13.90 in the first quarter of 2000 and a record low of 4.70

percent in the last quarter of 2016.

Fig.3 Philippine Unemployment Rate

Relevance: (Threat)

 Unemployment rate is a key to measure the current state of the

economy. If the unemployment rate in the country continue to

increase, it may result to a loss of production and consumer spending

 and also affect the country gravely. This also indicate a shortage in

manpower

3.2.3 Rapid Price Fluctuation

The prices of goods soared to another 9-year high, resulting to 6.4

% increase last august. According to Rappler, the latest figure from the

Philippine Statistics Authority (PSA) last September 5, 2018 was higher

than July’s 5.7%. This inflation is also the fastest since March 2009’s

6.6% hit during the Arroyo administration.

An increase annually were observed in the section of food and non-

alcoholic beverages with a percentage of 8.5%, tobacco and alcoholic

with a percentage of 21.6%, furnishing and household equipment with a

percentage of 3.5%, restaurants and miscellaneous goods and services

with a percentage of 4% and lastly, recreation and culture with a

percentage of 2.4%.
 Fig.4 Philippine Inflation Rate

Relevance: (Threat)

 It can greatly affect the cost of living, doing business. Borrowing

money, mortgages and other corporate bond. Inflation is usually

caused either by supply and demand, it can affect the consumer in a

way that they pay more for the same goods and services.

https://tradingeconomics.com/philippines/unemployment-rate
https://www.rappler.com/business/194294-gross-domestic-product-philippines-q4-2017-economic-growth

https://www.rappler.com/business/211176-inflation-rate-philippines-august-2018

3.3 Social Forces

The product or service of a company must be wanted in order for an

organization to survive, thus consumer behavior is a separate environment

that need to be analyzed carefully. Social forces include traditions, society’s

expectations of business, social trends and consumer psychology. Social

factors can affect a person’s attitudes, opinions and interests, therefore, it

can impact sales of product and revenues earned by an organization.

3.3.1 Continues Change in the Growth of Filipino Middle Class

Roughly around 25% or 4.66 million of Filipinos with gross income in

range of Php 64,317.00 to Php 787,572.00 took up the Philippine total

population in 2013. The Filipino middle class is expected to grow in the

coming years due to high GDP growth rate of the country, remittance from
 the OFW’s and strong BPO growth forecast, this also include the increase

in net disposable of the said group.

The net disposable income of the year 2017 amounted to Php 17.6 trillion

at current prices, and an increase of 9.2% from 2016. Government Final

Consumption Expenditure resulted to amount Php 11.6 trillion and 1.8

trillion.

Relevance: (Opportunity)

 The growth of the middle class population and its disposable

income will result to a decrease in the country’s poverty

which will further increase the manpower and purchasing

power of the current population.

3.3.2 Staycations entice majority of Filipino people

A recent study by online travel agency Expedia revealed that 64 per

cent of Filipino residents went on staycations during the past year,

averaging 2.4 “trips” annually. And seven in 10 are already itching to go on

one within the next 12 months. The 2018 Filipino Staycation Study, which

was conducted through online interviews by Nielsen, was held in

February. Some 516 Filipinos and permanent residents aged 21 and

above were asked about their staycation habits. “Not only does this

underscore the growing appeal of Filipinos being tourists in their own

 backyard, staycations have also become quick and easy alternatives for

Filipinos to take a short break without the need for detailed planning or

extensive travelling,” said Simon Fiquet, Managing Director, Global Series

Markets, Brand Expedia, during a conference.

Relevance: (Opportunity)

This is an opportunity for the industry to enhance their service and

infrastructure to entice greater number of customers to cater their

demands. This is also a great idea for customers to have a change of

environment from time to time in their own backyard.

3.3.3 Philippines Being the Top Users of Social Media

Filipinos lead the world in 2014 in the amount time spent using

social media and internet. Social Media is widely used in the Philippines,

one of the main reason for this is that around 12 million Filipinos are

working overseas, and the only thing that primarily connect them to their

friends and families is the use of social media. In the year 2017,

Facebook.com became the most visited and used social media in the

Philippines, making the country the social capital of the world. The

reasons why Filipinos use social media is to connect with friends and
 families, to meet new people, to share their new life experiences and for

company purposes.

Relevance: (Opportunity)

 The usage of social media in the country will greatly benefit

businesses due to the fact that many of the country’s

population is now using social media as their platform or

venue for marketing campaigns.

3.3.4 The implementation of toll and oil Hike Burdens Commuters

An increase in oil and tollways nationwide was approved by the Land

Transportation Franchising and Regulatory Board. The commuters has the

burden of paying overpriced and overtaxed oil and tollways, which is not

really intended for them, this is brought by the administration of President

Duterte on itself through anti-people measures such as TRAIN and Oil

Deregulation Law.

Relevance: (Threat)
  The transportation hike can greatly affect the families with

low income to transfer to one place to another which are the

primary mode of transportation in the country.

http://worldpopulationreview.com/countries/philippines-population/

https://psa.gov.ph/content/consumer-price-index-philippines-2006100-

2017-annual-report
https://www.channelnewsasia.com/news/lifestyle/filipinos-staycation-expedia-survey-10766414

3.4 Technological Forces

Technological factors are one of many external factors that can

affect businesses, and are an integral part of the PESTE Analysis. They

can be defined as factors which relate to the presence and development

of technology, on either a local or global scale. Technological advances

can provide numerous advantage. The development of technologies can

positively improve and help the productivity of an organization, whether in

terms of labor force, strategy and costs.

3.4.1 Most Travelers Consider Free Wi-Fi as one of the Most Important

Factors in Hotel and Resort Facilities

These days, people who travel with gadgets, for example,

telephones, tablets and PCs never again observe Wi-Fi as a perk, yet as

a must have requirement have when they check in at a hotel. Hotel guests

hope to have the capacity to use the internet flawlessly and without an

excessive number of struggles. Hotels have now invested to Wi-Fi

 technology to attract and ease clients that usually travel. According to a

study, most of the travelers want WiFi access in their rooms with a

percentage of 90% and while it was also mentioned that they would not

return if WiFi is not provided inside the hotel. Poor quality of internet

service could really damage and result into a loss of business.

Relevance: (Opportunity)

 Most of the tourist and travelers today want WiFi access in their

rooms. The availability of complimentary internet speed internet

can either damage or strengthen the customer relationship. The

customer will stay loyal to a hotel if their expectations are met,

since this is a proven case already. WiFi is full of benefits both for

customers and businesses, for instances like housekeeping can be

notified where and when to clean rooms using WiFi the minute they

become available, in return, housekeeping staff can inform the

front desk if the rooms are clean and neat already for new guest to

check in. The guest can also contact the concierge directly using

WiFi to address their needs, this can create a good and stronger

relationship with the customer.

3.4.2 Implementation of New Tracking Device: GeoTrek

 GeoTrek is a GPS locator gadget that is currently being enforced by

Adventure Associates in their recreational activity sport. It is basically a

geocaching device to locate the client. The organizer or facilitator can

coordinate with the client from a distance after sending them off to reach

each target. They will locate the clients based on the point values and

distance. The GPS is essentially made for teambuilding activity. Each

teams will encounter hurdles as a team and overcoming this together can

help boost morale and camaraderie of the participants.

Relevance: (Opportunity)

 New technologies, come new possibilities. Tech-based activities

are usually flexible for team interaction, since the point of

teambuilding is for them to improve cohesion with one another,

using technology really adds more challenges that can really break

the ice between employees that don’t usually interact with one

another that might lead into a memorable event and form new

bridges between the employees to enhance productivity in the

workplace.

3.4.3 Associating The Use of Supersonic LED Strobe Bracelets in

Teambuilding Activities
 Supersonic LED Strobe Bracelets in teambuilding activities are used

to activate the challenges for their clients. The bracelets emit a bright

colored flash to determine the cue for their clients, this can be controlled

by the organizer of the company. The company can coordinate with the

host of the event and teambuilding activity to create a set of challenges in

which the bracelet will be activated.

LED Strobe Bracelet

Relevance: (Opportunity)

 New technologies, come new possibilities. Tech-based activities

are usually flexible for team interaction, since the point of

teambuilding is for them to improve cohesion with one another,

using technology really adds more challenges that can really break

the ice between employees that don’t usually interact with one

another that might lead into a memorable event and form new
 bridges between the employees to enhance productivity in the

workplace.

3.4.4 Crop Monitoring Drone helps farmers to be efficient

High resolution drones are being used to monitor the crops. Instead

of manually analyzing the soil and field, drones can be used to start off the

crop cycle by providing information and useful data for planting patterns.

Relevance: (Opportunity)

 With the use of technology, farmers and investors in agricultural

sector can now yield crops faster than the usual. Drones are

revolutionizing the agriculture game, it can easily boost the

productivity of the farmers with accurate results and reduce or cut

the cost of production and increase overall efficiency. More

businessman will invest in the agricultural sector because of this

progress, hence increasing the production volumes coming from

this sector.

https://www.bizbash.com/adventure-associates-geotrek-activity-based-recreational-sport-geocaching-using-

gps/gallery/168959

3.5 Environmental Forces

 These factors refer to the natural scenarios or events that occur

within the scope of environment of the industry and how affect it directly

affects the production and distribution of the companies.

3.5.1 Climate Change can affect the appeal of various resorts

The extent to which the setting will be affected by climate change.

Thus, it is expected to negatively impact the whole industry in the future.

Climatic events such as rising temperatures and atmospheric carbon

dioxide concentrations will lessen the efficiency of the clients or

customers.

Relevance: (Opportunity and Threat)

 The company can go green, to battle the climate change. The

current hotel industry is starting to go green by sustaining green

usage of water and energy, managing food waste and garbage.

People are demanding the green movement, which encourage

hotels and resorts to minimize their negative impact on climate.

With the intense demand by the people, this can be an opportunity

to the company to go green and add another target in their market.

3.5.2 Deforestation leads to high demand of environmental haven

The careless behaviors of human beings resulted to gradual loss of

biodiversity on the planet. The country also suffers major human-

 caused environmental degradation aggravated by a high annual

population growth rate, and also loss of agricultural lands, deforestation,

soil erosion, air and water pollution, improper disposal of solid and toxic

wastes. This leads to a demand of environmental haven.

Relevance: (Opportunity)

 Camp Benjamin has the opportunity to provide a good

environmental features to its customer, with the loss in

biodiversity and a change in climate, Camp Benjamin is the

perfect location for tourist. The camp is just 90-minutes away

from Metro Manila, making tagaytay the favorite getaway

spot for both local and foreign tourist, as well as a retirement

haven.

3.5.3 The Effect of Hazardous Materials to the Environment

The use of hazardous materials are strongly present in the hotel

and resort industry. This materials can have a negative impact on the

environment if not used properly. Hazardous waste comes in many

shapes and forms as possible. It is often dangerous to the climate, land,

water and most importantly, the animals and humans. The effect of

hazardous materials are usually long term, this includes the animal

mutations, cancer and other deadly diseases that can easily infect
 humans, water ways pollution, and destruction of many natural land and

sea resources.

Relevance: (Threat)

 Hotels and resorts are tasked to be responsible at all times

in terms of correct disposal of hazardous waste, not

following the right process and procedures can result not

only damages to the perception of the consumers towards

the company, but also to the environment and significant

fines.

https://www.bartleby.com/essay/Environmental-Issue-in-the-

Philippines-P35ET3E3RYZA

3.6 Industry Analysis

3.6.1

Competitive Rivalry (MODERATE TO HIGH)

Numerous independent players in the industry are present, this

means that a larger number of players means great competition.

Nowadays, most of the hotels and resorts have greatly diversified to some

extent such us shops, casinos and other complex packages. The threat

for new entrants in the Resort industry is moderate to high, given that

there are a moderate restrictions and level of entering this industry.

Customers usually seek and look for the affordable and best prices to a

competitive market. Resorts and hotels are also resorting to catering the

client’s mental being and physical being such as team building and

recreational activities that are eco-friendly and with social responsibility.

3.6.2 Bargaining Power of Suppliers (MODERATE)

The suppliers of this industry is consisted of property owners,

developers, real estate companies, training services providers, marketing

companies, and industry consultants. The Bargaining Power of Supplier is

the ability of the suppliers to have a control to the prices, services, and

other costs that concerns the transaction between the businesses and the

suppliers. The supplier power is assessed as moderate overall. Since

supplier services and equipment are very essential to the hotel and resort

industry, it is all about the quality and availability a supplier can provide to

be able to negotiate a favorable contract.

3.6.3 Bargaining Power of Customers (HIGH)

The Bargaining power of buyers is ability of the buyer to demand for

a better service and quality, as well as lowering the price. Price is a

significant factor in the customer’s bargaining power. Clients can shift

from one brand to another especially when their purchasing capacity is

limited. The smaller and more powerful the customer base a company

has, the higher the bargaining power of the customers and higher their

ability to seek increasing discounts and offers.

3.6.4 Threat of New Entrants (MODERATE)

 The threat for new entrants in the Resort industry is moderate given

that there are a moderate restrictions and level of entering into this

industry. The hotels and resorts industry is full of travel and tourism

trends, it is almost possible to enter the industry from a small start-up

business. However, the industry is expensive in terms of the upfront

investments in building, staff, and furnishing, hence it is capital intensive.

The financial and legal complexities of purchasing, leasing and

management of a certain property also need to be taken into

consideration which varies depending on the location.

3.6.5 Threat of Substitute Products or Services (LOW)

There is no major substitute products for the hotels and resort’s

product and service. If the marketing strategy is focusing on attracting tour

group, then the company will subject to powerful buyers provided that no

oversupply for the company’s target market. The industry is not vulnerable

to any intense rivalry due to the fragmented nature of the competition.

Clients may switch only due to the following factors: Beneficial

alternatives, low cost switching and cheap alternatives.

Substitute refers as a product or service offered by other industry that has

the similar benefits to the consumers as the product or service produced

by the firms within the industry. The availability of substitute products can

make the industry more aggressive and might affect the profit potential of

the firms to decrease.

3.7 Markets

The total revenue of the hotel and resort industry is growing

annually by millions. In the fiscal year 2015 the total revenue garnered in

Php 82B, to be followed by Php 85B for 2016 which is Php 3B higher than

the previous year. The latest total revenue for the industry increased by

Php 5B which is Php 20B according to the computation of statista.com

The major market is mostly tourist, travelers, corporate teams such

as problem-solving team, quality team, virtual team and work group which

are really important in every organization. The secondary target market

are those people who want to transform into their better self and seek a

change in lifestyle.

https://www.statista.com/outlook/267/123/hotelsresorts/philippines

3.8 Customers

Hotel and Resorts consumer or as what they call clients usually look for

the good quality rather than the price. It was proven by Zeithamal et al

(2003) that satisfaction could increase the loyalty of a customer. However,

it was stated that the behavior of customer is particularly complicated in

the hotel and resort industry

 Camp CO1 The Farm CO2 Anya CO3 Acuaverde
Benjamin at San
Benito

CRITICAL

SUCCESS WEIGHT RATING SCORE SCORE RATING SCORE RATING SCORE

RATING
FACTORS /5
Service 0.15 4 0.6 4 0.6 4 0.6 4 0.6

Rendered
Price 0.15 2 0.3 4 0.6 4 0.6 4 0.6
Place / 0.15 4 0.6 4 0.6 4 0.6 4 0.6

Location
Advertising 0.15 1 0.1 4 0.6 4 0.2 3 0.3
Hospitality 0.15 4 0.6 3 0.45 4 0.6 3 0.45

Quality
Service 0.10 3 0.3 4 0.4 3 0.3 3 0.3

Competitiven

ess
Promotion 0.15 2 0.3 3 0.45 2 0.3 2 0.3

and

Marketing
TOTAL 1 2.8 3.7 3.2 3.15
3.4 Competitors

Legend:

4 – Major Strength

3 – Minor Strength

2 – Major Weakness

1 – Minor Weakness

Analysis of Competitive Profile Mix

 The company with the highest competitive profile Acuaverde with

the numerical data of 3.15 in critical success factors as seen on the table

above. The strategist used 4 as the major strength to weight the average

score to identify the difference of Camp Benjamin from its competitors.

The areas where we have to improve our competitive profile is specifically

in market share, promotion and marketing of the company. Though the

company, Camp Benjamin excels in hospitality and quality of the service.

The strategist believe that the service and quality provided by the

company will help the company to stay in the market while focusing on

improving the categories where competitors are the strongest.

Competitor Background

Table n. Competitor Background

The farm at San Anya Acuaverde

Benito
Background The farm at San The Anya Hotel and Acuaverde is a facility that
Benito is a facility Resort is a facility provides outdoor experience
where they provide where they provide such as teambuilding, rock
health and wellness lifestyle assistant climbing, and trekking.
program as well as and spiritual
sustaining a program as well.
person’s physical
and mental being.
Geographical location Located at Lipa Located at Located at Nasugbu,
City, Batangas Tagaytay City Batangas
Markets served Professionals, Professionals, Professionals, travelers and
 travelers and travelers and tourists who wants to
tourists who wants tourists who wants transform.
to transform. to transform.

3.5 Distributors and Dealers

The use of different distributors help the company to achieve its goals

and target sales. Using different channels enables the company to reach

numerous segment in the competitive market. Below is a list of service

distributor for Camp Benjamin that makes the service available to the potential

clients of the company.

3.6 Facilitators and Marketing Firms

Organizations usually outsource to maximize the external resources

available as well as to provide better which is traditionally handled by

internal resources such as staff and management. Outsourcing is also

considered as partnership with other companies that excel in a certain

task which can increase the value of the company.

GoalKeepers Philippines

The company outsource some of its facilitators to maximize the use

of external resources and have an access to world-class or better

capabilities. GoalKeeper Philippines is a professional team building

 facilitator based in Luzon, their services includes Character Based Sporta

Development Programs, Parenting Seminars, Talks, Leadership Training,

and Awareness programs such as HIV, Drug Substance Abuse, Sexual

Purity Seminar.

Agoda Philippines

Agoda.com, is an online travel company specializing in discounted

hotel bookings in Asia, is in partnership with Camp Benjamin, the local

hotel and Resort strategically located in Tagaytay City. The partnership

allows distribution of Camp Benjamin via Agoda's websites. In the Asian

marketplace, Agoda.com is considered a specialist which also focuses

initially on the Asia Pacific region, in popular destinations specifically like

Bangkok, Hong Kong and Singapore. Agoda will provide Camp Benjamin

with access to their Yield Control System (YCS) allowing them to

dynamically manage yield rather than focusing on negotiating long-term

pricing or allotments.  Agoda’s local market expertise will enable it to

provide Camp Benjamin with advice on frequently changing market

situations and trends which can translate into opportunities to increase

revenue and growth.

3.7 Publics

Table n. Publics

Which public represent Those who are in the corporate

 particular opportunities setting, schools and teams of any

kind.
Which public represent Not applicable

particular problems / threats

Effective steps taken to deal with Not applicable

each public

The public that represent particular opportunities are those who are

in the corporate setting, schools and teams of any kind. This is an

opportunity for the company because they can inform the clients that the

company can be trusted and have full confidence in. However, there are

no particular problems or threats from the publics since Camp Benjamin

excels in transforming the battle-weary person which is a positive thing for

a person.

3.8 Issues Priority Mix

Table n. Issues Priority Mix

Probable Impact on Corporation

Proba
bility
 High Medium Low

 Most travelers consider  The effect of corruption and  Unemployment rate

WiFi as one of the most bureaucracy (THREAT) rises. (THREAT)
important factors in
High

hotel and resort  Philippines being the top users of

facilities. social media. (OPPORTUNITY)
(OPPORTUNITY)
of Occurrence

 The Effect of  Deforestation leads to high

 The implementation of  Crop monitoring drone helps
Bring Home A Friend by farmers to be efficient.
Medium

Department of Tourism. (OPPORTUNITY)

(OPPORTUNITY)
 The implementation of
oil price and tollways
hikes burdens the
Low
 Rapid increase of population.
(THREAT)
 Associating the Use of
 Climate Change can affect the  Rapid Price
appeal of various resorts Fluctuation.
(OPPORTUNITY AND THREAT) (THREAT)

3.9 External Factor Analysis Summary

External Strategic Factors Weight Rating Weighted Comments

Score
Opportunities

 O1: Staycations entice majority of Filipino .11 3 0.33 Filipinos being tourists in their own

people backyard
.10 1 0.1 Social media can be used as

 O2: Philippines being the top users of social Promotional tool

media.
  O3: Deforestation leads to high demand of .05 3 0.15 The environmental setting of Camp

environmental haven. Benjamin is perfect to fill in the loss

of environmental haven
 O4: The implementation of Bring Home A .11 3 0.33 Increase in sales

Friend by Department of Tourism

 O5: Implementation of New Tracking .15 3 0.45 Tech-based activities are flexible for
Device: GeoTrek
team interaction,
 O6: Associating the Use of Supersonic .12 3 0.36 Tech-based activities are flexible for
LED Strobe Bracelets in Teambuilding
Activities team interaction,

Threats

 T1: The Effect of Hazardous Material. .05 3 0.15 Can affect the environmental setting

of Camp Benjamin
 T2: The effect of corruption and bureaucracy. .09 3 0.27 Decrease in investors

 T3: The implementation of toll hikes burdens .06 3 0.18 Hinders the power of clients to

the commuters. transfer from one place to another

 T4: The implementation of tollways hikes .11 3 0.33 Inability to indulge in vacation place.

burdens the commuters.

 T5: Unemployment rate rises .10 3 0.3 Shortage in manpower

Total Scores 1.00 2.95

Legend: 5– Major Strength 4 –Minor Strength 3 – Major Weakness 2 – Minor

Weakness 1 – Poor

External Factor Analysis Summary

As shown above, the external factors are presented and

categorized accordingly by Opportunities and Threats. The following are

the indicators whether the company is responding well or positioned poor:

a. 3.00 indicate neither well or poorly positioned, just average

b. <3.00 mean poorly positioned company

c. >3.00 mean the that the business is doing well

d. 5.00 company is responding to the respective environment in an

outstanding way.

The total average of the analysis garnered a total of 2.95 from the

weighted score of the Opportunities and Threats. This indicate that the

company is poorly positioned and not doing well in the present external

opportunities and threats. The company should take the opportunity using

their strengths to enhance their value as well as to increase their

profitability. The threats can be eliminated using the strengths of the

company which will be discussed in chapter 4.