ENTREPRENEURSHIP

Don Ted T. Cartagena

Renz Vincent Arevalo

Jeymark Torrecampo

Marjorie Pallarcuna

Arielle Bautista

Hazel Abonalla

Sheila Banayat

HSU, G12 – 42
 “The Edition”

KETBAG

University of Makati
West Rembo, Makati City
8888- 0007-987
Theedition@yahoo.com

 Is a business company of a jacket which privately held

 Founded on August 2016

 Comes from the idea projection of the owners in Limited Edition

“Our function is to provide satisfaction to the potential buyers. To introduce the new

innovated product that could benefit us.

Business Plan
 Table of Contents

I. Executive Summary

II. Introduction Background

a. Company Mission and Vision, Objective, Goals

b. Market and Production Budget

III. Situational Analysis

a. Internal

b. Customer

c. Industry

d. Competitor

e. Distribution and Supplies

IV. SWOT Analysis

V. Marketing Strategy

VI. Marketing Mix Elements

VII. Financial Indicators Budget

VIII. Attachment
 I. Executive Summary

Our product which we called Ketbag is a jacket and at the same time can be used for

other purposes such as being a bag. The company, “The Edition” will be positioned as a

franchise through our creative idea to the company's image and detail presentation. Ketbag will

provide a combination of excellent quality at value pricing. This will be the answer to an

increasing demand at this season to be consumed as for the style and outfit and even in the

school because it has a many pocket for keeping your stuff.

In today's highly competitive environment, it is becoming increasingly difficult to

differentiate to our competitor. In the Philippines are now becoming more dependants to the

technology and forgot the old ways of having and using traditional items.

As company's main priority is to establish shops, preferably in one of prominent

shopping malls in the country and later, our effort will be a further development of more retail

outlets in the surrounding area.

This study feasibility is prepared to obtain and provide information for the initial launch

of this concept. Giving funds from shareholders will allow Ketbag to successfully open and even

to expand. The initial capital investment will allow business to provide its customers with a

value-driven, entertaining experience through the creativity of its founders.

Our implementation plan will be carried out in two parts: prepare for manufacturing, and

marketing and selling the product. In preparation for manufacturing we plan to hire cheap labor

and train them to customize the ideal product of the company, and purchase wholesale materials

to cut down on costs. As we arise and grow, in marketing and selling the product we plan to hire

knowledgeable salespeople.
II. Background
Many business owners especially the entrepreneurs want to be more creativity especially

in the context of generating business ideas. From the target market customer ideas and

suggestion we come up to make something new and innovation in the natural jacket. Since most

of the people have a lot of things to keep or to bring; our product will provide such services on

that scenario.

The company start with identifying good product ideas and using reliable source to

decide which ideas to pursue. Jacket can be used mostly when the cold season from this we

decided product to become more usable whether hot or cold.

We came up with multiple ideas but as result of this process, at last all owners agreed in

the idea of making jacket into bag.

The idea we have to make a product (jacket) to become a more usable bag came from the

feedback, product observations and ideas from the team which will make our business successful

in the business environment.

Team Organization

The company, “the Edition” is currently the creative idea of seven founders. As the

company small in nature, it only requires a simple organizational structure. Implementation of

this organization form calls for all seven individuals to make all major managements decisions in

addition to monitoring all other business activities. As we expand into multiple locations, each

location will have a primary site manager and each founder.

Owner’s Background

The company was founded on August 2016, as a small enterprise, by Don Ted Cartagena,

Renz Vincent Arevalo, Jeymark Torrecampo, Marjorie Pallarcuna, Arielle Bautista, Hazel
Abonalla, Shiela Banayat and officially became The Edition, Inc. The company takes its name

from The Limited Edition, where there is a limit.

Mission

Our main goal is to be one of the most successful product outlets in Philippines, starting

with one outlet located inside a major shopping mall as a “market tester.” Our main focus will be

serving high quality product at a great value.

Vision

To keep our potential customers continue giving satisfaction with the product and the

benefits it given.

Objective

 To establish a presence as a successful local outlets and gain a market share in the

Philippine industry.

 To make our product a trending product especially for the youth.

 To expand our business through years

Goal

Ketbag is committed to creating positive social change in the market. We help us get

active, so they can have better and more successful lives. We bring inspiration to the

communities where we live. We engage our passionate and active employees to amplify our

impact. We work to provide satisfaction to the needs and wants of our potential customers.
Market

A much broader appeal exists for weekend slots because those are the days when most of

our core target enjoys the malls going activities. Having an outlet on Malls we will take this

advantage to promote our product.

 Cost and Production Budget

Product Unit Price Quantity Total

Jacket 250/piece 5 pieces 1250

Zipper 18/piece 10 yards 180

Magic Tape 10/yard 15yards 150

Buttons 5/piece 40 pieces 200

Labour 50/piece 10pcs. 500

TOTAL P2280

The table shows the starting production of the company including the business acquired capital

for expenses.

III. Situational Analysis

Internal

The Edition Inc. is entering for their first operation. The company has been well received, and

marketing is now critical to its continued success and future profitability. The store offers a

great satisfaction to their customers. The KetBag is to offer individuals, youngsters and

families. The EDition uses market strategy based on what is been planned.
Costumer

A much broader appeal exists for weekend slots because those are the days when most of

our core target market enjoys the mall going activities.

 Age - Youth currently enrolled in college and high school.

 Family unit.

 Couples – we will offer a discount for buying two items

 Gender – offered and target both sexes

 Income - We will appeal to the medium income individuals and to all in the lower

medium income bracket.

Industry

Our Position in the Industry

Philippines is an area with a people who loves to have things which is unique and different to
others. Most of the Filipinos are fashionable.

People in this area can afford to spend money on them and are willing to do so.

Our market research has shown Filipinos prefer to have their money spend on needs rather than
their wants.

We produce the product for retail that includes advantage and disadvantages we have

over the competition.

Competitor

While there are currently big businesses in the country offering the same product, we have the

advantage of low selling price over the others but has a disadvantages of being known in the

industry.
However, the competition in the country is not quite difficult but a pleasing and good sales talk
could increase sale.

Distribution and Supplies

In this company, customers choose their suppliers based on available product, price, and service

- though most often. While offering the product at the right price, we provide the level of service

that the customer demands. This results with the customer purchasing most of their supplies

through a cash and carry style wholesale store - leaving the customer with no service or support.

By positioning ourselves in the market with in-demand, quality product at competitive prices,

with a consistent high level of customer service - we are confident that we will see customers

and their business continue to increase.

Problems

Ketbag facing major challenges to its business

1. The person who don’t like to use jacket.

2. Lot of beautiful things in the market.

3. The jacket can be used mostly cold season

Solution

As one of the manufacturer of jacket apparel, The Edition, inspire to adopt a winner

mindset which is covered in the “inspiration” component of the mission statement. Also

company’s mission statement emphasizes innovation. This components is applied through the

companies’ strategy to continuous improvement of product though new technologies so that

potential buyers will never stop trying our products.

IV. SWOT Analysis

Strengths

 Ketbag is a product that comes from a product. It was innovated y idea of the

founders. We use the concept of, where innovation to come up a new product.

 Ketbag uses a “make to cloth” customer order which provides a fast service to

customers from available stock.

 Selling products directly to the customers or COD

 Keeping costs below that of competitors

Weakness

 The income of the business is still heavily dependent upon its share of the market.

 The retail sector is very price sensitive.

 Shop is limited to the customer outside the main

Opportunities

 In youth culture ketbag is a fashion brand.

 Desire of customers for one-stop shopping

 Internet as a marketing tool for promoting the product

Threats

 Ketbag is exposed to the nature of trade it buys and sells so costs margins are not stable

over a long period of time.

 The market for ketbag for selling is very competitive.

 Competitors are developing alternative brands to take away ketbag market share.

 Stronger brand name of competitors

V. Marketing Strategy

Ketbag intends to introduce to the product to teenagers and youngsters. We have chosen

this group for several important reasons. It is our goal and believes that the age group from 15 to

25 is the primary age where brand building efforts could take place. They are on limited or fixed

incomes and seek a value/price relationship that will not stretch their budgets.

Second, we want to keep the price point at the product as fair as possible to keep us in

competition with other fast clothing industry. At 800 SRP depends on the product, we are only

slightly above the segment, but we offer much more excitement than the rest of the competition.

Back-up Plan

Our initial employees will include cashier, two sale clerk. Each employee will work for

48 hours per week.

In the long run, as we expand our product category and retail outlets, we will hire more

people.

Short Term

Season’s changing trends, colours availability of changes in the product.

Long Term

Open for Customer’s feedback and suggestions for future’s Product Innovation.

Plan B:

Higher Inventories, Lower Production.

VI. Marketing Mix Elements

Product

Ketbag is a jacket and at the same time can be used as a backpack that will be positioned

as a franchise through our creative idea to the company's image and detail presentation. Ketbag

will provide a combination of excellent quality at value pricing, with great services it can be

offer. This will be the answer to an increasing demand to be consumed while window shopping

and walking around inside a shopping mall and even in the school because it has a many pocket

for keeping student's stuff.

Our product is called “Ketbag” because we mix the name of jacket and bag. Then for you all to

understand why ketbag is our product. The company knew that the use of this is two classes

when it is raining you need a jacket then when you going some places you need a bagpack to

travel very comportable and all things that you need we must be put in a bag.

Price

We want to keep the price point at the product as fair as possible to keep us in

competition with other fast clothing industry. At 800 Php as suggested retail price(SRP) depends

on the product, we are only slightly above the segment, but we offer much more excitement than

the rest of the competition.

In order to catch up the attention of potential buyer we will have a discount of every

couple they will buy and addition of free customize bag tag.
Promotion

We will create our own web pages to get their suggestions or feedbacks about to our

product from the netizens for improvement. One of the methods employed is advertising. Other

promotional methods include sales promotions and point of sale display.

Place

Our main priority is to establish one shop in a mall, preferably in one of prominent

shopping malls in the country where there are lots of potential buyers. Later, our effort will be a

further development of more retail outlets in the surrounding area.

PROCEDURE:

The sewer put a zipper in below the pocket of the jacket.

The sewer puts a zipper in both side of pocket.

Put a button in the long sleeves of the jacket to make it closer and to make it bag.

Put a magic tape in the sleeveless o the jacket to make it closer and it can be backpack

holder.
This is the result of our product which is ketbag. The hoody jacket transform into a

bag.
VII. Financial Indications Budget

 Financial Statement

SRP = P800
AVE. Selling Per week = 5 Items
Selling Per Month= 20 Items
The Edition Philippines

Statement of Income

Income or Revenue per piece

Sales P800

_______________________________________________

Total Income P800

Less: Operating Expenses

Transportation Expenses 84

Materials Expenses :

Zipper 62

Magic Tape 20

Button 10

Labour 150

_________________________________________________

Total Expense P326

Net Income P474

 The Edition Philippines

Statement of Income

For the month of August

(Sold 20 items)

Sales or Revenue P16, 000

TOTAL P16, 000

Less: Operating Expenses

Transportation Expenses 84

Materials Expenses :

Zipper 1240

Magic Tape 400

Button 200

Labour 3000

_________________________________________________

Total Expense P4840

Net Income P11160

 The Edition Philippines

Statement of Income

For the month of September

(Offer 20% Discount)

(Sold 30 items)

Sales or Revenue P19, 200

TOTAL P19, 200

Less: Operating Expenses

Transportation Expenses 84

Materials Expenses :

Zipper 1860

Magic Tape 600

Button 300

Labour 4500

_________________________________________________

Total Expense P7344

Net Income P11856

 The Edition Philippines

Statement of Income

For the month of October

(Sales lower down to 15 items)

(Got 10% on expenses having a good deal with the supplier)

Sales or Revenue P12, 000

TOTAL P12, 000

Less: Operating Expenses

Transportation Expenses 84

Materials Expenses :

Zipper 930 x 10% = 837

Magic Tape 300x 10% = 270

Button 150 x 10% = 135

Labour 3000

_________________________________________________

Total Expense P3576

Net Income P8424

 The Edition Philippines
Statement of Income

MONTH EXPENSES Quantity INCOME

August 250/piece 5 pieces 1250

September 18/piece 10 yards 180

October 10/yard 15yards 150

TOTAL P2280
 Scrap Photo Album Business
BALANCE SHEET

ASSETS
CURRENT ASSETS
Cash P604
Accounts Receivable P1950
Supplies P4128
TOTAL P6682
NON-CURRENT ASSETS
Equipment P134
TOTAL P134

TOTALASSETS P6816

LIABILITIES AND OWNERS EQUITY

LIABILITES NONE
OWNERS EQUITY
Photo Album Business, Capital P6816
TOTAL P6816

TOTAL LIABILITIES AND OWNERS EQUITY P6816

VIII. Attachment