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Chapter 1

INTRODUCTION

Background of the study


Dancing is an art. It consists of steps and gestures that are usually
accompanied by music. Some considers it as a form of expression that
can tell a story and can stir up emotions. Every movement means
something and expresses something. It can also be used as a form of
exercise that can help our body be fit and healthy while enjoying and
feeling good. Whatever purpose we use it for now-dancing has been
around for ages. It has been an important part of rituals, ceremonies
and entertainments and even before the birth of the earliest human
civilization.
Like any other forms of art, dancing requires practice in order to
achieve mastery. This is usually done inside a dance studio. A dance
studio is a room wherein dancers rehearse. It normally has a Marley
or any other vinyl floor which is the preferred floor covering for ballet,
modern/jazz and tap dances. Another common feature of a dance
studio includes a barrel which can be wall mounted or standalone. A
good sound system is also very important in a dance studio as music is
an essential part of dance. Other common features are wall mirrors
which are used by the dancers to see their movements. Big wall clocks

are also necessary to keep track of time ( www.opusbellingham.com


2016, August 29).
The researchers felt the need for a dance studio since they are
dancers themselves. They want to provide the proper and safe place
for dancers to practice their craft. They also want to share their
knowledge and love for dancing.

Statement of the problem


1.
2.
3.
4.
5.
6.

Who would be the target market of the proposed business?


What are the projected demand and supply?
What are the services to be offered by the proposed business?
Who are the competitors in the market?
Where would the proposed business be located?
What is the cost of providing the service and how much will be

the service fee?


7. What would be the form of business organization and its
organizational structure?
8. How many workers are needed by this project?
9. What kind of experiences and trainings are needed for job
qualification?
10.
How much should be the initial cost of investment?
11.
What are the sources of capital?
12.
What financial ratio should be used to determine the
feasibility of the project?
13.
Who will benefit in this kind of business?

Significance of the study


Customers. This rental service will provide a suitable venue to
rehearse their craft and hone their talents and skills in dancing.

Additionally, the clients will have an easy access and wont have a
hard time finding a place to rehearse.
Future researchers. This study will serve as a guide to future
researchers in producing high quality project by providing
sufficient and relevant data.
Government. This study will be beneficial to the government
through the taxes to be paid to the Bureau of Internal Revenues
(BIR).
The researchers. The proposed project will give knowledge to the
researchers, to be well-equipped and ready on how to put up a
business.
City College of Calamba. The proposed study can help furnish
references of future researchers by seeking through its library.

Objectives of the study


1. To identify the target market of the project
2. To find out the projected demand and supply of the proposed
3.
4.
5.
6.

project
To identify the services that the business can offer
To know the competitiveness of the proposed project
To determine the location of this project
To determine the cost of providing the service and the service

fee
7. To ascertain the form of business organization and its
organizational structure

8. To determine the number of workers needed by this project


9. To define the experiences and trainings needed for the job
10.
To know how much is the initial cost of investment
11.
To determine the sources of the initial investment
12.
To find out the financial ratio to determine the feasibility
of the project
13.
To know the beneficiaries of this kind of business

Scope and Limitations


The study is limited only to the premises of Calamba City. Aside
from rental service, the researchers will teach dance lessons
specifically folk dance and jazz/modern dance. The researchers are
eager to teach since they have a background in dancing. Moreover,
dance instructors will be hired to train aspiring dancers at any age.
The studio is located in Calamba town proper to be accessible to the
public.

Research methodology
Research design. This description of the research design will be
used as to what variables would affect the study. The following topics
were discussed: research locale; population of the study; sources of
data; research instrument; data gathering procedure; and analytical
tools.
Research locale. The study will be conducted within the premises of
Calamba City specifically Barangay Poblacion. It will cover the
general market as its perspective targets.

Population and sampling method. The population of the study was


the dancers of different genres who are residing in Barangay
Poblacion. To help the researchers identify the sample size, Slovins
formula will be used.
Slovins formula:

n=

N
2
(1+ N e )

Where:
n

=
N

number of samples
=

total population
error tolerance

Sources of data. Primary data were collected through survey and


questionnaires given to the population of the study. Interviews were
also conducted. Secondary data were gathered from internet, library,
and other pertinent documents.
Research instrument. The researchers will conduct a survey that
will serve as a tool in determining those people who are in need of a
place to rehearse wherein they can develop their skills in dancing.
Also the studio was designed with a positive and creative atmosphere
so that our clients can master their craft.

Appendix A contains the survey questionnaire that was given to the


population of the study.
Data Gathering Procedure. The researchers self-administer a
survey which will help us to know the feasibility of this project.
Moreover, we conducted interviews to personally ask the market and
recognize their opinions. Aside from this, the researchers run down
from different pertinent documents that will add information to our
project.
Analytical Tools
The following tools were used by the proponents to help them in
decision making:
1. Payback Period length of time required for a projects
cumulative net cash inflows to equal its net investment. It
measures the time required for a project to break even.
(Cabrera, 2013.Financial Management)
If the expected annual net cash inflows are equal, the equation
is:
Net investment
Payback Period=
Annual Net Cash Inflows
If the expected annual net cash inflows are unequal, the
unequal, the equation is:
No. of years prior
Unrecovered cost at start
of year
Payback Period =
to full recovery +

Cash flow during full


recovered
2. Net Present Value (NPV) is the excess of the present values
of a projects cash inflow over the amount of the initial
investment. The NPV model implicitly assumes that the projects
net operating cash inflows are invested at a rate equal to the
firms cost of capital. . (Cabrera, 2013.Financial Management)
Present value of cash inflows computed
based on the minimum desired discount rate.
P
xx
Less: Present value of investment
xx
Net Present value
xx
3. Return on Investment measures the amount of return on an
investment relative to the investments cost
gain from investment-cost of investment
ROI=
cost of investment
4. Accounting Rate of Return is the rate of return promised by
an investment project when the time value of money is not
considered. (Cabrera, 2015. Management Consultancy)
incremental revenues less incremental costs and expenses
ARR=
initial investment
or
annual cash flow from operation-incremental annual depreciation
ARR=
initial investment
5. Profitability Index (PI) is the ratio of the total present value
of future cash inflows divided by its net investment. . (Cabrera,
2013.Financial Management)

Present value of Cash Inflows


PI =

Present Value of Net Investments


6. Break-even Analysis determines the break-even point (BEP) the point at which sales revenue equal production costs and
expenses. . (Cabrera, 2015. Management Consultancy)
fixed cost
BEP ( Units ) =
unit selling price-unit variable costs
7. Operating Leverage extent to which a companys net income
reacts to a given change in sales. (Cabrera, 2015. Management
Consultancy)
Operating leverage=

Contribution Margin
Net Income

Definition of Terms
Choreographer is a person who teaches aspiring dancers
Craft an activity that requires a special skill
Dance Studio is a place where dancers rehearse
Dancing is the act of moving your body to the rhythm and beat
of the music
Demand are the number of people who are willing to avail the
service
Folk dance is native type of dance that depicts the different
cultures and traditions of Filipinos
Jazz is a modern type of dance that shows different movements
and requires emotions in dancing
Researchers are the students conducting the proposed study
Supply the service that the proposed project can offer

Dalubhasaan ng Lungsod ng Calamba


City College of Calamba

Establishment of Dance Studio in Brgy. Poblacion

Marcelo, Isabel F.
Ochinang, Alexander Jr. Q.
Rigonan, Joseph Salvador G.
Umandap, Trixia Mae O.

November 2016