Socio-Economic Impact of Covid-19 Pandemic

In Partial Fulfillment of the Requirements

in Economic Development C02

A Final Output Submitted to

Ms. Mary Mae Froilan Nawanao

Members
Chavez, Irish Mae
Gallego, Jeremeah
Juen, Danica
Nepomuceno, Jenica Chloe
Valencia, Trisha Renee

June 02, 2021

 I. INTRODUCTION
Background of the business

The Cogon Café, located after the Bantog Lake Ranch, Granada Alangilan Road, Bacolod
City was discovered and owned by Carmela Javelosa with her fiancé, Jude Basco. Because of the
love for coffee and being passionate to have their coffee shop, the Cogon Café was born. In their
college years, the two lovers would love to go to coffee shops in their free time and as their date
spot. They created their scorecard for all the coffee shops that they went to. Beautiful ambiance,
delicious food, and coffee, and affordable prices are one of their plans if ever they want to put up
their own business. After they graduated and have jobs, they decide to continue their dreams of
putting up a coffee shop that is located in the mountain with a breath taking view and relaxing
ambiance. Cogon Café is not your typical café. Prior to putting up the business on the said
destination, the location was once a field full of sugar cane and cogon that’s why they decide to
name their business Cogon Café. Another reason why this coffee shop is unique because most of
their menus and recipes are made by the owner and some recipes are inherited from one generation.
Nature of the business and Type of Industry
The business is owned and managed by one person and it is consists of seven employees.
The coffee shop started three months ago and this is considered a small business. Through this, the
nature of the business is a sole proprietorship. They are in a regular process that performs
repeatedly to generate profit. Also, they deal in goods and services which are related to
manufacturing and offering goods or menus for sale or catering services. The goods or service
creates form utility – conversion of products in a consumable form, time utility – making the goods
and services available when needed; and place utility – availability of goods or services wherever
required, for the consumers. Satisfaction of customer’s need is one of their important advantages
for it fulfils the customer demands and needs. Cogon Café serves coffee, snacks, and meals and
therefore they are included in the Food and Beverages Industry

Product/Services

Cogon Café has different kinds of meals and snacks to offer. Some of their best-sellers are
the Beef Tapa, Chicken and Clubhouse Sandwich, Pancit Molo, fresh orange juices, and coffee.
According to the owner, most of their menus are special because they have stories to tell behind
those recipes. Their Beef Tapa recipe is originally made by the owner. Chicken and Clubhouse
Sandwich is a recipe from her Lola which is passed down from another generation while the Pancit
Molo is the recipe of the family side of her fiancé. They are proud to serve these meals to their
customers and also they receive a lot of positive feedbacks about their menus. As of now, food
delivery is not available because the location is far from the city.

Organizational Structure/ Number of Employees

OWNER

MANAGER

HUMAN RESOURCES
DEPARTMENT FINANCIAL DEPARTMENT

KITCHEN STATION COFFEE STATION

SERVERS BARISTA

HELPERS

DISHWASHER

Carmela Javelosa is the owner of the Cogon Café along with her fiancé, Jude Basco. Miss
Javelosa is also the one who manages the business most of the time. Sir Basco is the head of the
financial department while Miss Javelosa in the human resources department. Under the kitchen
station, they employ two servers, two helpers in the kitchen, and one dishwasher. In the coffee
station, they hired two baristas. They have a total of seven employees, five are full-time staff.
 II. COMPANY OBJECTIVES/HISTORY

Mission
To provide customers the best quality food and drinks with an excellent service at a price
that is very affordable to everyone.

Vision
To experience highest-quality product with a very affordable price, most inviting café,
friendliest staff and best value.

Company Overview
Their café started operating in April 2021 so this June they will be operating for 3 months
already. Since their café offers the best quality product and at the same time affordable, they have
encounter different types of customers, the coffee lover who just love to enjoy their cup of coffee.
Social media inclined people those who love to post photo of their food and drinks in their social
media accounts and people who works hard who just wanted to have a cup of coffee to relieve
stress. The Café is located near a tourist spot named Campuestohan, so it is not a surprised at all
that they have lot of competitors serving the same variety of food and drinks. The owner
distinguished their business to others as to the quality and the price, since the Cogon Café offers a
very high-quality food and drinks with a very affordable price so they think it was their advantage
to their competitors.

Channel of Distribution
In the process of producing various products offered by Cogon Café, it does not involve any
middlemen who transfers or serves as a pathway to intermediaries. That is, the business exhibits
a zero-level of channel which means that distribution of product is directly sold from the Cogon
Café itself to the consumers. Which is also known as direct selling.

PRODUCER CONSUMER
Method of Distribution
Cogon Café is a physical store that is located in Granada Alangilan Road, Brgy. Alangilan,
Bacolod, 6100 Negros Occidental which provides food and beverages services to its customers.
Since that one of the goals of the business is to provide affordable product and high-quality
services, the Cogon Café focuses on ensuring that customers are well-attended which will satisfy
their expectations towards the business. Furthermore, Cogon Café has a good customer service,
which in this case could boost up their sales and has an edge over their competitors.

Inventory Management
When it comes to their inventory management, even before or after the pandemic happened,
the owners of the business have made sure to have connections with their trusted suppliers when
in terms of raw materials needed to their products, since uncertain events may happen, just like
COVID-19. Purchases would happen once a week to replenish the products needed in finishing
goods offered to the consumers. When tracking their inventory, the Cogon Café has been
practicing the use of FIFO method or costing or also called as First-In First-Out basis. This method
has been widely used by industry’s which belongs in food or fashion. Hence, from the word itself,
products that are acquired first are sold, used, or disposed first. This keeps older food from being
shoved to the back where it can be forgotten or overlooked.
FIFO helps Cogon Café cycle through their stock, keeping food fresher. This constant
rotation helps prevent mold and pathogen growth. Furthermore, the business also observes, RIM
or Restaurant Inventory Management. It is a procedure commonly used to monitor the supplies
and ingredients available for shifts in real-time. As previously said, this approach can assist the
owner in placing more cost-effective orders for food, supplies, and beverages.
Overall Marketing Strategy
The business has been operating for 3 to 4 months already and upon the establishment, Cogon
Café has been promoting itself through the word of mouth. The café owners are very
compassionate and have always placed the comfort and value of the customer’s first which may
have strengthened the reputation and brand of the café. However, due to the current situation, the
COVID-19 has limited the exposure of person’s coming in and out of the market in accordance
with the protocols during this pandemic. Consequently, Cogon Café has also started using the
social media platforms to further introduce their business.

SWOT Analysis

Strengths Weaknesses
• Location is near to a famous tourist • Location is not accessible for
destination deliveries
• Quality product and services • No logistics has been established
• Environmentally Friendly • New to market
• Quick and Motivated Staff • Limited staffs
• Customer-Focused • Many substitute competitive products
• Offers various and affordable products

Opportunities
• Implement Loyalty program
• Business Expansion
• Develop home delivery services
• Introduce new products
• Potential Investors and New
customers
Threats
• Increase in suppliers’ cost
• Price volatility in coffee
• Aggressive competitor
• Customer’s healthy lifestyle trend
 III. CONTENT

Challenges Encountered; Pre-establishment

Cogon Café is a business in which its opening started during the middle of a pandemic, its
establishment lies on the aim to provide best coffees, consequently food, and other beverages to
its customers, while the pandemic is ongoing. Although its entirety is well-thought to operate with
the existence of the crisis, (thus, its operations are framed in accordance with the new normal and
no major adjustments were made any longer), there is no denying that it still has its own set of
challenges encountered during and after the establishment of the business. Since Cogon café is
created for the purpose of providing quality yet affordable coffees with an excellent taste, all efforts
were made during the research and development period. This same period was the longest among
all the other stages of the business formulation.

Whenever a business is established, one of the major consideration is on how the business
would standout and create its own unique image, and brand apart from its competitors. This is the
reason why extensive exploration on various recipes, which would work for Cogon, has been one
of the most crucial parts during the business creation. Furthermore, the business owners, Carmela
Javelosa and her fiancée Jude Basco, are very hands-on with the business, and are very particular
on how the coffee, beverages and foods they offer would be served, so while Ms. Javelosa is
working full-time, she inserts the recipe-research and making in between work and rest. This pre-
establishment process challenges are even heightened by the fact that cafés in places such as in
Brgy. Alangilan, Bacolod City, for which the business is situated, is not new. The business has to
compete with the “already established” cafes and eatery it is surrounded with. To make the entire
process even harder, as the planning stage continues, there has been a lot of new competitors
springing from different places nearby. Ms. Javelosa admits the development of self-doubt and
anxiety as more businesses open and offer the same type of services they offer.
Post- Establishment
The “after-establishment” process was equally challenging as the pre-establishment, the
lack of manpower due to the crisis, has caused some major problems. It has only been the first 3
months since the establishment of the business, and as more customers recognize the existence of
Cogon, the manpower is already reaching its limit and could no longer accommodate the growing
numbers of people to serve. In simple terms, the identified biggest problem as of now of the café
is the outnumbered workers with ratio 1 staff is to 10 customers every three (3) hours. Ms. Javelosa
also mentioned about the problem on the kitchen space. With so many orders and staffs coming
back and forth during peak hours, the space provided for all the operations, and activities on the
kitchen has become a problem every day. Nevertheless, as of now, the owners are working on a
solution as to address all of these.

How it was Overcame

The internal battle within is indeed a hard battle to face and overcome, when asked about how
Ms. Javelosa have dealt with all the stress, anxiety, and self-doubt she have experienced while
making and running the business, she highlighted that prayer is the strongest rock she holds unto.
For her, it is the most important part when under any uncertainty or venture. In addition, she have
stated that it is important to “surround yourself with people that loves you and that you love in
return”, this will allow you to feel empowered and optimistic. Lastly, she had mentioned about the
impact of social media to one’s mindset. It is very important that one takes control of what he sees
and what allow himself to be exposed into. If it includes unfollowing people that does not
contribute to growth, then it is crucial to do that. It is important to allow oneself to be surrounded
only by positivity, following only those that are personally interesting, simulating, and people that
can actually be learnt from. To make things simpler on how she has addressed the problems
regarding both the pre and post establishment of the business, she has mainly focused on the
wirings of the mindset. Ms. Javelosa has given three advices as to how she successfully took over
of all the challenges, that is to: (1) Pray; (2) Be circled by love; lastly, to (3) Be a Social-Media
Manager. These has been the mindset behind the Cogon Café’s successful opening and progressive
day-to-day operations.
How the Pandemic Affect Cogon Café
As mentioned earlier, the whole concept of Cogon cafe, how it will be managed, and operate
to best serve its customer has been formulated during the pandemic, and it has opened while the
pandemic is ongoing. How it is managed every day therefore, is in accordance with government’s
safety protocols, thus, the crisis did not really affect the Cogon café that much. Since the business
was patterned for COVID19, there is the implementation of social distancing, the chairs are
arranged to conform to the required 1-meter distance, the staffs are trained to maintain caution,
alcohol were gratuitously offered, and the place was located in an open space. So in the most basic
sense, statutory protocols required by the authorities were all conformed, and Cogon Café was
never majorly affected by the crisis. In fact, it has opened more opportunity as more consumers
try new places that has not been explored on. There were occasional problems regarding the flow
of supplies as people they buy ingredient from, sometimes gets affected by covid. This minor and
occasional problem is managed though practice of right attitude, and by what the Filipinos would
like to call as “pakikisama”. Apart from this, there has been no huge problem regarding how things
work for the business.

Entrepreneurship on Pandemic
When asked regarding what’s Ms. Jevalosa’s favorite aspect of being an entrepreneur, she
happily answered that everything about it is her favorite. She stated that it is very satisfying
whenever she gets to see the people happy with the products they offer. She also added that she is
her own boss. She can freely do the things she wants, and be responsible to whatever decision she
would make. Although she mentioned some difficulties through the entire process of becoming
who she is at present, and how she has to sacrifice blood, sweat and tears, just to get to where she
is now, she highlighted that she is genuinely happy.

Changes in the way of Conducting Business

According to Ms. Carmela Javelosa, when asked if there were changes in the way they
conducted their business, she confidently answered there were no changes at all. As to the reason
why there were no changes, she reiterated that the business was patterned for the pandemic. Ms.
Carmela together with her fiancé Jude Basco, planned the whole process concerning with the social
distancing of people coming over. Emphasized as well on the interview that they follow all
statutory needs and protocols the government require of them for the café to operate. Both owners
ensured that logbooks are filled up upon arriving of the customers, temperatures were checked,
hands are sanitized upon entering including mask and face shield to be strictly worn inside the
premises. Most importantly, Ms. Carmela clearly ensured her staffs’ safety as well, she made sure
that the staff’s hygiene are strictly observed as to wearing of gloves, mask and face shield.

Advice and Lessons to the aspiring Entrepreneurs

Ms. Carmela’s advice to all entrepreneurs out there is, “take it easy and always be passionate
in whatever you do.” She further mentioned that before, she was not a strong believer of people
saying “love what you do and then you won’t work a single day in your life.” But the older she
gets the more she realizes that what people were saying were true as well as the meaning behind
it. Because she pursued her dream in having her own business together with her fiancé, now she
strongly believes that if you love your work and you’re passionate with what you do you won’t
work a day in your life. She further iterated that if you’re really passionate in what you do you
won’t feel worn out especially when you’re enjoying what you do and all you want is for you to
be successful in everything that you do. Also, she happily mentioned of having that feeling of
always looking forward of what’s ahead of tomorrow. Furthermore, one thing or lesson that she
could share to all the young and aspiring entrepreneurs is to have the attitude of “always being
resilient yet flexible and most of all in everything that we do, we owe it all to God through prayer.”
 IV. CONCLUSIONS AND RECOMMENDATIONS

Chavez:
Starting up a business-like Cogon Café is not an easy thing it was challenging and at the
same time beneficial idea to the owners. Base on the interview that we made I think the owner
have a really good vision as to what they wanted to become for their customers. Knowing that they
were able to establish their own cafe at this very moment which we face pandemic is very amazing.
Creating a business alone involves lot of time, effort and devotion towards building their Café and
it even take them 3 years to open having the feasibility study and business plan. The owner of
Cogon Café has the right business idea, plan and financing that will make their business to operate
for a long period of time and to become successful.
Gallego:
Cogon Café is one of the businesses that are affected by the pandemic but the owner didn’t
plan to cease the business. Even though there are a lot of competitors and problems that they are
facing but still they continue to manage Cogon Café. Miss Carmela Javelosa is very passionate
and determined for putting up this business and her story inspires us to dream big and believes that
all things are possible. As of now, they are still in the research and development stage because they
opened the café three months ago. The business is new in the industry; however, many customers
are inquiring about the café and giving positive feedbacks about their menus. Their advantage is
that they always listen to their customer and addresses their concerns; they value customer service
above the rest. Cogon Café offers quality food at affordable prices and the place is cozy and
relaxing, perfect for bonding with families and friends and this is one of the reasons why they are
unique among their ten competitors. My recommendation for the business would be hiring more
personnel because according to Miss Javelosa, they have problems with manpower. Another one
is they need to advertise more about the Cogon Café through different social media sites so that
many people will be aware of this café located in Alangilan.
Juen:
Cogon Café is a successful café despite opening in the middle of a pandemic, in fact, it has
been progressive in its course. This means that although the pandemic has affected all the
businesses in the entire world -almost with no exemption, Cogon café proves that it does not
necessarily mean that the sudden economic shock and downturn is a dead-end. Once looked at
closely, there could be so much opportunities awaiting to be grasped. The business owners of
Cogon Café are indeed very commendable at creating a business based on the problem, and not
letting the crisis destroy the idea of benefiting from the situation, while simultaneously making
other people feel valued and happy. That there will always be ways of serving people, better and
beyond mainstream.
The pandemic has been going on for quite a while now, there are so many safety protocols,
which restricts physical communication with other people, and to be safe, it is necessary to limit
interaction with others, yet conversing with Ms. Javelosa, made me realize that it is supposed to
be the actual opposite. This is the time when communication is the most vital thing we can hold
unto, that we could not continue moving forward through the economic crisis that has exhausted
individuals in all aspect (emotionally, physically, mentally, and financially), without keeping touch
with people we love, and others.
Almost all economies are still recovering as of the momnt, and while entrepreneurs
continue to adapt and innovate, and as everything normal changes to something ‘not allowed’, then
all we can really do is to patiently wait for the light at the end of spectrum to reach us and pray.
Entrepreneurship during pandemic is not an easy thing to do and it may even require so much than
what we are left with, all the resources are coming to its limits; the government funds, the natural
resources; plus the massive unemployment, closing businesses, and decreasing income, and
looking at it pessimistically doubles all these negativity. If businesses does not evolve, the world
economy will never survive and recover, and society will reach its point of breakage and chaos.
Fortunately, people gets smarter and more opportunistic at times of pressure and difficulty.
Cogon café is a product of the pandemic, and it remains unaffected by COVID19 because
it does not dread it, it has embraced that this is the reality now, and that all we can do is to survive,
strive and recover. Cogon café is a reminder that everything will eventually get better, as long as
we learn how to adapt and not repel. That there are things we can’t control, and things we can, we
let the uncontrollable go, and we do our best with the rest, of course, coupled by a powerful prayer.
Nepomuceno:
Pass by any busy specialty coffee shop and it will likely be full of customers enjoying coffee,
espresso, lattes, teas, and a variety of pastries and other goodies. Opening up a Café do indeed
generate profit. Coffee is a growing industry, and there will always be demand for good quality
coffee shops. Cogon Café as a new business in the market and will surely encounter many
challenges especially having many competitors in the area. However, the owner’s drive and
passion to serve their customer at their utmost capabilities and pursue the business will lead them
to greater success. Moreover, Cogon Café should take advantage of having logistics and deliveries
at this point in time, since everyone are staying at their respective houses due to the pandemic and
would love to have a taste of various products of Cogon Café that is handed down to generations.

Valencia:
Most people nowadays don’t start their day without drinking a cup of coffee. Coffee
nowadays has indeed became a “need” to those who wants a daily dose of positivity. And
consumers find it relaxing and satisfying especially if the taste of their coffee that they’re drinking
is one of a kind. Cogon Café’s operation has just started and for a business who just recently
opened I think they’re doing really well. In such a way that their mission, vision and purpose of
having such business is not solely based on gaining profits as a couple, but their purpose is to share
with everyone their passion of making a one of a kind coffee and having to drink a coffee that’ll
make a lasting impression to whoever would drink it. The café and its owners are very well
prepared upon starting it because having knowledge of what the pandemic could do and affect
their business, that didn’t stop them from going on with the business instead they found a way to
go with the situation in which they aligned and patterned their business for the pandemic. As to
my recommendation, their purpose and good quality service are already there I think what’s
lacking is on the marketing and advertising department. Since the location of the café is at a rural
area, most people don’t usually pass by there, unless recommended. And I strongly think that the
café deserves to be known and spread around the news that Cogon Café is not just any other café
but a café that’ll spread love and happiness to everyone and behind this café are determined and
passionate owners.
V. APPENDICES