When Boredom Strikes Café

(Piso mo, Oras mo)

A Management Principles Research and Business Plan Project

Presented to the Faculty of the School of Computing (IT) or School of Multimedia and Arts (Psych)
Asia Pacific College, Makati City, Philippines
TELUS International University, Quezon City, Philippines

In partial fulfilment of requirements for the completion of

MANAGEMENT PRINCIPLES SUBJECT 3rd TRIMESTER 2018-2019

Christian S. Torrena
May 28, 2019
 APPROVAL SHEET

Student Full Name, has successfully presented this Management Principles Research and Business Plan
Project entitled “Lit Parking Spaces” in partial fulfilment of the requirements for the completion of
MANAGEMENT PRINCIPLES SUBJECT 3rd TRIMESTER 2018-2019 upon unanimous approval of the defense
committee with a grade of ______.

Chinerh Guerrero Borda

____________________________
Chairman

____________________________
Member

____________________________
Member

____________________________
Member
 Student Information

Name: Christian S. Torrena

Teacher: Chinerh Guererro Borda

Street Address: 191L Tandang Sora Avenue

Town and City: Barangay Culiat, Quezon City

Contact No.: 09179311225

Birth Date: October 13, 1985

Table of contents (1 page or more)
 Introduction (1 page or more)

When Boredom Strikes Café is a small business that will use Pisonet, an arcade style computer unit used
as an internet or gaming vending machine. Originally invented in Pangasinan (around 2011) as response
to Dagupan's booming internet café industry, it later spread in Pangasinan and later Metro Manila and
Metro Cebu. Target customers range from kids to teenagers.

Most favorable areas to operate are rural areas that has a Internet infrastructure but not yet
widespread internet access. The place I have in mind is my aunt’s home town at Placer Surigao del
Norte. If I manage to established this café near a school then even better as its operating near a place
where the target customers usually gather. Accepting students will be regulated with respect to school
hours.

If one is familiar with arcade/coin-op machine during mid-80s to early 90s it is a housing which
arcade/coin-op machine resides. In the Philippines, it is modified to house Super Famicom, SuperNes
and eventually PlayStation consoles making it ideal to be operated in leased spaces even in converted
house spaces instead to be strictly operated inside malls.

As mentioned above, Pisonet is using the same arcade style but instead of coin-op machine or console, it
uses coin timed computer unit monitor. Since it’s a computer unit its not limited to games. Customers
can browse, access their social media accounts, watch videos in Youtube, and stream their favorite
movies or shows at their whim. Internet rent at P1.00 peso is really appealing especially for kids and for
those who are in need of short-time use of the internet.

One peso is equivalent to five minutes (four minutes and above is the average length of a music video).
Pisonet can also modified to use five peso which is equivalent to twenty five minutes. Since Filipinos
love the so called “tingi-tingi”, the retail version of internet rent , the pisonet business has become
popular in the Philippines in a short period of time.
 Nature of the Industry

Internet Café industry in the Philippines can traced its roots in the video game arcades of the 1980s.
Because we are always lagging behind the other countries, Internet cafes can trace its roots to the LAN
based computer shops in the 1980’s that offered gaming as their primary service. Sadly, This business
model even with the introduction of a fast internet service has not been updated and up to now I would
say a majority of the internet cafes in the country is set up for gaming purposes.

Business Development

If I want a computer unit that can already run most of the online games such as dota2 and the usual
document works and internet surfing then it can cost around P20,000. Around P20k you’ll have
something like:

 120/250 Gb of Hard Drive (already good for the most of the softwares today)
 4GB DDR3 RAM
 1Gb of Video Card Memory
 ~18inch LED Monitor
 2 Speakers

One of the things to consider in any business is the return of the investment. If I’ll be running this
pisonet business for 10 hours, I will have:

10hours = 600 minutes

600 minutes / ( 4 minutes / 1 peso ) = PHP150 per unit
If you have around 5 units, you can earn:
PHP 150 * 5 = PHP 750 per day,
PHP 750 * 30 days = PHP 22,500 per month,
PHP 22,500 * 4 Months = PHP 90,000 pesos

If we will deduct an approximate expenses in 4 months = PHP 20,000 ( Internet and Electricity Bill ), My
net income in just a quarter of a year is around PHP 90,000 – 20,000 = PHP 70,000 with just only 5 units
of pisonet machine. If I have 10 units (which is the common setup ), then I’ll have around PHP 140,000 in
just one quarter.
 Case study
Methods
Results
(research + strategic factors of the business and competition)

Conclusion
(Summary and Key recommendation)
References (sources):

https://powerpinoys.com/pisonet-business-internet-cafe/

https://news.abs-cbn.com/video/lifestyle/02/20/13/piso-net-cheaper-way-go-online

https://www.internetcafe.ph/marketplace/4-lounge/142550-understanding-the-internet-cafe-industry-
in-the-ph