PAMANTASAN NG LUNGSOD NG VALENZUELA

Poblacion II, Malinta, Valenzuela City

Strategies Affecting Kuya Kyle’s Food Business to become Well-known

Group 1

ABM 11-1

Members:

Bania, Leelord

Constantino, Mathew

Montellano, Carlo

Pacheco, Rendel

Samarista, Kelvin

Magsipoc, Roxanne

Piñol, Mariah Joy

 PAMANTASAN NG LUNGSOD NG VALENZUELA
Poblacion II, Malinta, Valenzuela City

CHAPTER I

Introduction

Background of the Study

"Philippines has one of the most dynamic economies in the East Asia and

the Pacific Region. With increasing urbanization, a growing middle-income class,

and a large and young population, the Philippines' economic dynamism is rooted

in strong consumer demand supported by improving real incomes and robust

remittances. Business activities are buoyant with notable performance in the

services sector, including the Business Process Outsourcing, real estate, and

finance and insurance industries." (World Bank, Fitch Solutions, 2018)

According to Ralph Starr Butler, “marketing as more than selling channels,

advertising, or the operation of wholesale and retail firms”. Marketing is a

business operation of coordination, planning, the "binding forces" of the various

"factors in trade" that may be considered by the distributor who wishes to

develop his business strategy with care. Arch W. Shaw stated that the concept of

marketing was more scholastic. He discovered his interest in the application of

scientific management principles to distribution problems. He identified three

basic operations in business: production, distribution, and facilitating functions or

administration. He conceived marketing as "mater in motion" a theory credited to

Biohn-Bawert.
 PAMANTASAN NG LUNGSOD NG VALENZUELA
Poblacion II, Malinta, Valenzuela City

Marketing strategy is a process that can allow an organization to

concentrate its resources on the optimal opportunities with the goals of

increasing sales and achieving a sustainable competitive advantage (Baker &

Michael, 2008). Marketing strategy includes all basic and long-term activities in

the field of marketing that deal with the analysis of the strategic initial situation of

a company and the formulation, evaluation and selection of market-oriented

strategies and therefore contributes to the goals of the company and its

marketing objectives (Homburg et al., 2009).

Marketing mix is originating from the single P (price) of microeconomic

theory (Chong, 2003); McCarthy (1964) offered the “marketing mix”, often

referred to as the “4Ps”, as a means of translating marketing planning into

practice (Bennett, 1997). Marketing mix is not a scientific theory, but merely a

conceptual framework that identifies the principal decision making managers

make in configuring their offerings to suit consumers’ needs. The tools can be

used to develop both long-term strategies and short-term tactical programmes

(Palmer, 2004). The proportions in the marketing mix can be altered in the same

way and differ from the product to product (Hodder Education, N.D). The

marketing mix management paradigm has dominated marketing thought,

research and practice (Grönroos, 1994), and “as a creator of differentiation” (Van

Waterschoot, N.D.) since it was introduced in 1940s. Kent (1986) refers to the
 PAMANTASAN NG LUNGSOD NG VALENZUELA
Poblacion II, Malinta, Valenzuela City

4Ps of the marketing mix as “the holy quadruple…of the marketing faith…written

in tablets of stone”.

Marketing mix has been extremely influential in informing the development

of both marketing theory and practice (Möller, 2006). The main reasons the

marketing mix is a powerful 47 concept are It makes marketing seem easy to

handle, allows the separation of marketing from other activities of the firm and

the delegation of marketing tasks to specialists; and The components of the

marketing mix can change a firm’s competitive position (Grönroos, 1994).

Marketing mix is the set of marketing tools that the firm uses to pursue its

marketing objectives in the target market. As shown in Figure 2.1, McCarthy

classified these tools into four broad groups that he called the four Ps of

marketing: product, price, place, and promotion (McCarthy, 1999). A marketing-

mix decision is made to influence the trade channels as well as the final

consumers. Typically, the firm can change its price, sales-force size, and

advertising expenditures in the short run.

Kuya Kyle's siomai business is a business that offers siomai meals and

beverages such as milk tea. Kuya Kyle's is a smale scale business and it really

matter because it is easy to approach especially for those students like the

researchers.
 PAMANTASAN NG LUNGSOD NG VALENZUELA
Poblacion II, Malinta, Valenzuela City

Theoretical/ Conceptual Framework

This study uses the theory of Marketing Mix by E. John McCarthy.

Marketing Mix is consist of 4P’s – product, price, place and promotion – all of

which influence buyers decision and responses. According to Kotler and

Armstrong, Marketing Mix is the set of controllable tactical marketing tools –

product, price, place and promotion that the firm blends to produce the response

it wants in the market.

The food
business
Price improve its
Product Through marketing
Promotion interviews strategies
Place Expansion
of the
business

Statement of the Problem

The researchers seek to have in-depth understanding about strategies

affecting Kuya Kyle’s business for it to become well-known based on customers’

and owner’s insight. Specifically, this study sought to answer the following

questions:
 PAMANTASAN NG LUNGSOD NG VALENZUELA
Poblacion II, Malinta, Valenzuela City

1. Which of the strategies give the most impact to the business?

2. Is this strategy really effective on Kuya Kyle’s food business?

3. Does the business’ system stays constant as they become bigger?

Significance of the Study

This study will contribute to the following:

To the researchers. This research will serve as a basis that will help

them to prove another study that is related to this topic.

To the business owners. This research will benefit them to improve or innovate

their marketing strategies.

To ABM students. This research will give them ideas on how marketing

works insides the business.

Scope and Delimitation

This study will be conducted at Kuya Kyle’s food business located at

Malinta, Valenzuela City. This study is limited only to the strategies of the said

business. The respondents of this study will be the owner and staffs of Kuya

Kyle’s Food Business.

 PAMANTASAN NG LUNGSOD NG VALENZUELA
Poblacion II, Malinta, Valenzuela City

Definition of Terms

 Marketing Mix – is the set of controllable tactical marketing tools – product,

price, place and promotion that the firm blends to produce the response it

wants in the market (Kotler and Armstrong, 2010).

 Place – includes company activities that make the product available to target

consumers (Kotler and Armstrong, 2010).

 Price – is the amount the consumer must exchange to receive the offering.

(Solomon et. al, 2009)

 Product – the goods-and-services combination the company offers to the

target market (Kotler and Armstrong, 2010).

 Promotion – includes all of the activities marketers undertake to inform

consumers about their products and to encourage potential customers to buy

these products (Solomon et. al, 2009).

 Small-scale business – also called small-scale enterprise that employs a

small number of workers and does not have a high volume of sales. Such

enterprise are genrally privately owned and operated sole proprietorships,

corporations or partnerships. The legal definition of a small-scale enterprise

varies by industry and country (Flora Richards-Gustafson).