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INTRODUCTION

The Tourism industry of Southern Oriental Mindoro is

continuously increasing as years pass by. Tourists are visiting

the municipalities of Roxas, Mansalay, and Bulalacao to witness

the beautiful white-sand and gray-sand beaches and the breath-

taking mountain views, and experience the fun and exciting

activities that the places have. Aside from the things that

nature has to offers, Southern Oriental Mindoro is also proud for

its culture, and its indigenous people – the Mangyans. Mangyans

are known for their creativity and innovativeness. Baskets and

Pen holders made of Buli, and hand-weave cloths are some of the

products of their creative and innovative minds. Also, Mangyan

Villages have been one of the must-see places in the southern-

part of Oriental Mindoro. Because Mangyan villages are located in

the mountains, access becomes a challenge to anyone who wanted to

visit the place.

Souvenirs like baskets and pen holders that the IP’s made

are proof that you’ve been to the province of Mindoro. It also

represents the rich culture of the Mangyans. Being able to take

one item that is hand-made as a souvenir will surely remind you

of the memories and experiences that you had in the province. But

not every tourist is able to get such souvenirs. Some tourists

aren’t able to access the village due to the terrain, and due to

limited time of their visit.

Souvenir shop is highly demanded, especially for promoting

the province’s culture and tourism. Souvenir shops that showcase

the hand works of the Mangyans, and the delicacies that the

ROMANBUL is known for will sure help the province boost its

tourism industry, and help to increase the tourist arrival.

1.1 PURPOSE

The primary aim of the study is to establish a souvenir shop

to be named Horray-Zone Souvenir Shop, an income generating

project that will help to promote the tourism industry and the

culture of the Municipalities of Roxas, Mansalay, and Bulalacao.

The study will analyze the viability of the souvenir shop along

the following business aspects: Marketing, Production, and

Financial.

The study also aims to:

1. To present the proposed souvenir shop and its planned

area of operation;

2. To determine the effective marketing strategies for the

souvenir shop.

3. To evaluate the financial performance of the souvenir

shop and to assess its financial viability.

 1.2 SOCIAL DESIRABILITY

The study aims to establish a souvenir shop in Roxas,

Oriental Mindoro that will showcase the hand-made products of the

Hanunuo Mangyan of Roxas, Mansalay and Bulalacao.

Introduction of the culture in Tourist

The culture-based hand-made products of the southern-part of

Oriental Mindoro will be showcased in the souvenir shop. Thus,

our culture will be introduced to the tourists that will visit

the shop. They will leave the province with souvenirs at hand

that will show their loved ones the culture they experience.

Increase in Tourism Industry

The souvenir shop will attract tourists. It is a good way to

introduce not only our culture, but also the places that they

could go to experience the fun and exciting activities, and

witness breathe-taking scenarios of our own natural wonders. With

this, we can increase the tourist arrival of the municipalities,

and generate more income.

1.3 METHODOLOGY

A souvenir Shop is a store primarily selling souvenirs,

memorabilia, and other items relating to a particular topic or

theme. Whenever you are on a trip, souvenirs are a must to show

your friends, family, and colleagues that you thought about them

during your trip.

Area, and Neighborhood Analysis

Roxas is the center of trade and commerce of the Southern

Mindoro. But there are only few souvenir shop in the area and not

all of them are promoting the Mangyan culture, and the hand-works

of the southern Mindoro. With the increasing number of tourists

that visit Roxas, Mansalay, and Bulalacao, souvenir shop is a

must to travel experience and most tourists return home with

souvenirs to preserve and commemorate such experience.

To attract tourists and persuade them to stay a little

longer, it is essential to have a better understanding of

tourists shopping behavior and pleasing shopping environment. The

study will explore the marketing strategies to give the customers

the best services they deserve to persuade them to stay longer

and explore more.

There are less competitors in the market. Thus, becoming a

success will surely be profitable for every party involved in

this project.

Proposed Development Recommendation and Cost

 The theme of the souvenir shop is based on the culture of

the Mindorenos. The items to be sold are handicrafts of Hanunuo

Mangyan made from Buli, Bamboo, and Beeds. The souvenir shop will

be placed near the public market to be accessible to every

potential customers.

TIMETABLE AND STATUS

Table 1.0 will show the timetable of the study.

Activities/Tasks Start date Finish Date Duration

Conduct Feasibility Aug. 06,2019 Dec. 06, 2019 4 months

Study
Putting Equity Sept. 10, 2019 Nov. 10,2019 30 days

Registration Nov. 11, 2019 Dec. 11, 2019 30 days

Plant Rental and Jan. 05, 2020 Feb. 05, 2020 30 days

Renovation
Canvassing and Feb. 06, 2020 Mar. 06, 2020 30 days

Acquiring Equipment

and Supplies
Canvassing and Mar. 07, 2020 Apr. 07, 2020 30 days

Purchasing of Raw

Materials
Promotional Campaign May 08, 2020 Jun. 08, 2020 30 days

Start of Normal July 10, 2020 Onwards

Operation
Marketing Aspect

Marketing is a very important aspect in business since it

contributes greatly to the success of the organization.

Production and distribution depend largely on marketing. It is

the process of introducing and promoting the product or service

into the market and encourages sales from the buying public.

Since the goal of marketing is to make the product or service

widely known and recognized to the market, marketers must be

creative in their marketing activities.

Marketing aspect is one of the most useful chapters in the

feasibility study. Without marketing, sales may crash and

companies may have to close. The success of the business depends

on how the product is introduced to the potential market. The

fact that if the proposed product will be accepted by the target

market is then a determining factor that this project can be

implementable.

TARGET MARKET

This is a market segment at which a marketing campaign is

focused. This is a group of customers that the business has

decided to aim its marketing efforts and ultimately deliver its

product.
 The target market of the proposed production of the souvenir

shop are the tourist and local residence located in town of

Roxas. The proponents decided to choose this target market

because these tourist and local residence have the accessibility

and convenience to the location of the business.

Marketing Strategy

The success of the business would have a greater chance

by developing a market strategy. In developing a market strategy,

the business should know on how to sell the Mangyan products to

its target customer and how to rise above the crowd of

competitors demanding for attention. To determine whether the

proposed product will earn a reasonable profit, the business must

go through an extensive planning that involves development and

implementation of success strategies in order to meet the goals

and objectives of the business. The strategies that will be used

are the following:

The retailing strategy of the Horray-Zone Souvenir Shop on

creating a corporate identity that clearly defines our market

niche in terms that benefit our customer.

Print Ads – Keeping the Horray-Zone Shop in all theme merchandise

will be necessary. We plan on running a banners inside the Shop.

Grand Opening – post billboards and streamers along the streets

to announce the opening of the shop a weeks before the date of

the opening.

Word of Mouth – by giving first-time customer great service and a

wide selection of products, the word is sure to be spread. Also,

the many contacts that we already have in the area will prove to

be most beneficial in spreading the word.

Pricing Strategy

We will encourage impulsive buying, so it is important that

we maintain a flexible pricing strategy.

Our pricing strategy will be based on the cost of the

materials guidelines. Price says a lot about a product. The

product that are unique and not available elsewhere will be

marked up to meet the demand curve. We are not afraid of premium

pricing a premium product.

We will allow a 10% discount to every purchase products in

wholesale. Seasonal discounts will also be offered during

special events, such as Christmas season, summer season and end-

of-the year sale.

Promotion Strategy

We use promotion to generate and up-selling the products.

This method help us to communicate of information to our clients

improving positive image of the company. Our company will use

‘Push’ promotional strategy, according to marketing theory. Our

form of advertisement will be put out in social networking

websites such as Facebook, Twitter, and Instagram to promote our

products. Social networks connect with a world of potential

customers that can view our products easily. Product giveaways

and allowing potential customers to sample our products. To

enhance our brand building strategy, we will establish

cooperation from different hotels, resort and restaurants so that

our products will be more known to customers.

Distribution strategy

Our customer will buy our products at our location. However,

we anticipate a significant amount of mail order sales in order

to meet or exceed our sales forecast. We will receive orders by

mail, phone and internet, process them immediately, and ship the

goods via a courier service.

Marketing Program

Advertising and promotion

Since the business has just entered the industry Hooray-Zone

Souvenir Shop will focus on awareness and penetrating the market.

The proponents of the study decided to promote the product

through activities which costs less. They planned to have

tarpaulins that will be placed near its production factory and to

places which will be easily be seen by the public. A distribution

300 flyers containing the benefits of the product will also be

done.
Technical Aspect

This study discusses about the process of production and the

activities of the business. It states also the machineries and

equipment used in production and other aspect regarding bringing

the raw material onto finished products ready for trade. Plant

layout, size and structures are all presented for the purpose of

identifying the business operation. Also product specifications

the product processes using the flow chart. The list of

machinery, tools and equipment are enumerated with their

corresponding cost, raw materials and plant fund sources are also

sited.

Plant Location

The plant location shall be located at Morente Ave.,

Bagumbayan, Roxas Oriental Mindoro in front of Jollibee. Below is

the location of the proposed business.

HOORAY

ZONE
 Figure 2.0
Plant Layout

The plant layout is tactically designed to support the

smooth process of the proposed business (Hooray-Zone Souvenir

Shop). The display area is a place where all finished products

that are ready to sell are being displayed.

Perspective View Floor Plan

Figure 3.0 Figure 3.1

Management Aspect

The Management aspect is one of the important aspect in

establishing the business. To achieve this, manager must be able

to plan all activities to become productive and competitive in

the industry through human resource, financial capability, and

new technologies. This includes a study of officers and key

personnel, basic consideration in forming the organization, form

of ownership, organizational chart and project schedule. The main

objective of this plan is to determine the option effectiveness

of the organization set-up.

The objectives are as follows:

1. To know the project originators, investors and managers

of the business and to determine how much is the

capital contribution.

2. To discuss the activities to do and the time allotted

to each.

3. To identify the type of ownership to be formed.

4. To enumerate the different positions, qualification and

its duties and responsibilities.

5. To adopt an organizational structure for the business.

6. To establish a detailed compensation scheme for the

employees of the business.

Project Originators, Investors and Managers

This refers to the persons who are responsible for making

the business run in a way that is appropriate to the plans to be

established and carried out effectively. The proponents are the

promoters and managers of the business venture and agreed to make

a general partnership, where each partner is subject to unlimited

liability for the debts of the business. The partners agreed to

contribute capital in the form of cash. Moreover, the capital

contribution amounting to ₱100,000 will be gleaned from the

fellow partners of the partnership.

The following persons are the originators of the business

and each respective capital contributions are shown below:

Table 2

Total Capital Contribution

Names Capital Contribution

Ana Mariella Q. Mejico Php. 50,000.00

Roxan Q. Mejico Php. 50,000.00

Rachelle Q. Mejico Php. 50,000.00

John Warren Q. Mejico Php. 50,000.00

Total Php. 200,000.00

Project Schedule

Pre-Operating Schedule Time Allotted

1. Conduct Feasibility Study Aug. 06,– Dec. 06, 2019

During this period, the proponents will conduct a study

about the proposed product and will be able to investigate

whether the business is viable or not. In order to examine the

product’s viability, the proponents will gather data with the use

of various instruments and techniques such as questionnaires,

interviews and information from legit websites, books, journals

and other sources of essential data with regards to the study.

2. Putting up Equity Sept. 10, – Nov. 10,

2019

Capitalization is crucial in establishing a business as the

business will not be materialized without it. Finances of the

proposed business must be planned wisely during the period. The

proponents will contribute equally and ample time is given in

order to complete the amount needed for the operation of the

business. The proponents agreed to contribute ₱50,000.00 until

November 10, 2019.

3. Registration Nov. 11 – Dec. 11, 2019

All the legal procedures and requirements for the start of

the business must be accomplished during this period. Securing

business permits from Municipal or City Government, Security and

Exchange Commission (SEC), Bureau of Internal Revenue (BIR),

Department of Trade and Industry (DTI), Department of Labor and

Employment (DOLE), Social Security System (SSS) and Philippine

Health Insurance Corporation (PhilHealth) must be completed.

4. Plant Rental and Renovation Jan. 05 – Feb. 05 ,

2020
 During this period, the proponents are going to locate the

proposed business inside the town of Roxas, Oriental Mindoro. The

existing space in the town is widely available for storing,

distributing and processing inventory and supplies mainly related

for the production of output. The proponents assumed to spend in

leasing the facility for a total cost of ₱10,000.00 per month.

Refurbishing the leased space will come up with putting up of

tarpaulins and posters.

5. Canvassing and Acquiring of Equipment Feb – Mar. 2020

For this duration, the proponents will start to canvass and

acquire equipment that is needed for the manufacturing and

distributing of the product.

6. Canvassing and Purchasing of Raw Materials Mar.-Apr. 2020

The proponents will examine properly the amounts of raw

materials in order to acquire the ingredients at a lower cost.

Searching for suppliers is also taken into consideration in order

to avoid negative fluctuations of the prices of raw materials

needed.

7. Promotional Campaign May 08 – June 08, 2020

Since the setting up of the business is nearly approaching,

this is the best time to endorse the product. Having enough time
to notify people about the product by giving leaflets or

brochures, posting through social media platforms and informing

the public verbally will make the business known.

The goal of the proponents is to make the product well-known

in order for people to recognize and buy the product.

8. Start of Normal Operation June 10, 2020

Onwards

After accomplishing all the necessary requirements, the

business will start to operate. Continuous promoting of product

is still needed and meeting the demands of the customers is to be

obtained for the customers’ satisfaction.

Form of Business Ownership

Partnership is the proponents’ form of business ownership

because each proponents will contribute in the business capital.

Partnership means that the business is owned by two or more

persons who contribute money or capital, talent or industry with

the intention of dividing the profits among themselves.

The proponents decided to utilize a partnership form of

business organization because it is a good choice of legal

structure for a new business. Being a partnership, the business

owners necessarily share the profits, the liabilities and the

decision making. Some of the significant characteristics of a

partnership type of business in the Philippines are first is it

has limited life which it may be dissolved or its operations

terminated either by the acts of partners or by the operation of

law and the second significant characteristic of partnership is

that it is based on contracts because it is created by virtue of

a contract entered into by the partners. While at times it is

necessary that the contract be in writing and that its terms are

specifically expressed.

The following are the advantages of partnership form of business

ownership:

 Flexible Capital Sources

 Ease of Formation
  Shared Responsibility

 Better Decision Making

The following are the disadvantages of partnership form of

business ownership:

 Disagreements

 Unlimited Liability

 Taxation

 Profit Sharing

Internal Organization

This is a discussion that will be used for the proposed

business and it includes Manpower requirements/ Job Analysis,

Organizational Chart and Compensation Scheme.

Manpower Requirements/ Job Analysis

The Job Analysis deals with bringing together and evaluating

the information about the content and requirements of individual

regarding the specific job in terms of activities involved and

attributes needed to perform the activities. The manpower is

composed of the partners only from the partnership. Each should

possess the qualification in order to undertake an effective and

efficient arrangement of resources in the organization.

The job analysis is performed by enumerating all positions

needed for the business to operate:

Job Title: General Manager

Job Description:

 Oversees key projects, processes and performance reports,

data and analysis.

 Formulates and administers firm’s policies, directing and

coordinating all divisional unit activities.

 Reviews the outcome of operations, value of costs and

forecast of acquired data.

 Oversees manufacturing flow of materials and labor

productivity.

Job Specification:

 Male or Female.

 Must be 25 years old and above.

 Possesses bachelor’s degree or master’s degree in business

administration.

 Must have at least two years of work experience in similar

or related field.

 Must be able to speak effectively in English language.

 Must have sufficient computer skills and be able to use

company-issued software programs.

 Knowledgeable of office administration procedures and

resource management disciplines.

  Must be able to perform each essential duty and

responsibility in a safe and satisfactory manner.

Job Title: Production Worker

Job Description:

 Cleans and maintains work areas.

 Measures and quantifies the set of raw materials needed for

production.

 Stores goods and feeds raw materials in the warehouse.

 Packs finished goods to be provided for customers

 Carries out basic quality and testing checks.

 Executes work assignments and procedures.

Job Specification:

 Male or Female.

 Must be at least 18 years old.

 Considers work skills.

 Must be able to work briskly and efficiently.

 Must be able to concentrate on doing repetitive tasks.

Job Title: Sales Assistant

Job Description:

 Maintains relationships with clients by providing support,

information, and guidance.

 Sells products by establishing contact and develops

relationships with prospects and recommending solutions.

 Prepares reports and proposals by collecting, analyzing, and

summarizing information.

 Participates in team effort by accomplishing related

results.

 Benchmarks a pleasing personality and state-of-the-art

practices.

 Listens to customer requirements and presents relevant

information appropriately.

 Identifies business opportunities by identifying prospects

and evaluating their position in the industry.

Job Specification:

 Male or Female.

 Must be at least 18 years old.

 Possesses bachelor’s degree in business administration and

any other degree subject is acceptable particularly relevant

to technical or medical sales.

  Must have relevant experience gained in any commercial area

involving contact with customers or the general public.

 Knowledgeable in the aspects of information technology,

market trends and commercial environment.

Organizational Chart

The organizational chart is a graphical formation that

displays the important details in the organizational structure

including the major functions and their respective relationships.

General
Manager

Sales
Assistant

Production
Worker

Organizational Chart
Compensation Scheme

This includes the position of the employees,

basic monthly salary, basic annual salary, total annual salary,

the necessary monthly deductions such as SSS, Phil health, Pag-

IBIG contributions and their respective annual contributions,

13th month pay and computed withholding taxes.