Business Enterprise Simulation

BUSINESS PLAN

I. EXECUTIVE SUMMARY

This chapter contains the summary of the business plan of Bitso de Leche including the
vision, mission, values, objectives, goals, descriptions about the company and management
and the product, potential competitors’ analysis, financial considerations and financial
requirements.

 Our Vision

To be the enterprise sells healthy dessert to keep people maintain good health and to
produce and distribute products without harming the environment.

 Our Missions

To fulfill the demand of citizens’ in terms of healthy bitso with refreshing ginger soda. As
people have taste of its sweetness combines with acidity will replenish themselves and good
source of energy.

 Our Core Values

Respect

We value the uniqueness and variations of experiences, perspectives of everyone and

humbly treated our teammates, customers, investors and every person with respect and
integrity.

Accountability
 We hold ourselves accountable for the quality of our product and services of our labor and
for the determination we commit to our teammates, customers, investors and every person.

Innovation

We will continue to provide our products elevated from the usual product people have and
also improve our labor and workers’ skill. To go beyond the simple creation and exhibit the
creativity of Filipino.

 Our Goals
 To supply healthy dessert on affordable price
 To earn profit
 To become the leading supplier of bitso

 Our Objectives

To achieve the vision and mission enhancing the enterprise product, sales and human
resources. Thus, the following must obtain;

 To execute the great combination of Bitso de Letche and Ginger Ale.

 To maintain and improve the labor and workers` skills
 To build more stores of Bitso de Letche across the Nueva Ecija.
 To make target market delighted by the business’ products

Our Company and Management

Bitcho de Letche will be established in May 2021 by the Group 4 of 12-ABM consisting of
10 members divided into three teams; Operation Team, Marketing Team and Finance Team, along
with their designated duty where they excel and show their skills and abilities.

Operating Team

1. Aeveen Joy Chico

 2. Cristine Cruz
3. Jenry Esguerra

Marketing Team

1. Sunshine Angeles
2. Luisa D. Doctor
3. Cyngel Fronda
4. Beverly S. Miranda
5. Trisha Mae Pacheco
6. Vialyn Padora

Finance Staff

1. Kamila Isiya Verdida

 Our Product

The Bitso de Leche and Ginger Ale suffices the concept of healthy snacks to supply the
sweet cravings of citizens. Giving the consumers opportunity to eat the foods they like and want
to eat. In order control of sugar intake, it goes along with sourness of the beverage which sells on
low price.

 Our Market Strategy

Our target market resides in Osmeña, Quezon, Nueva Ecija regardless of their gender,
occupation and social economic status. To promote the products we will use physical interaction,
print media and social media to expand the popularity that increase the sales, revenue and profit.
Any malfunction or issue exists will be handle through research and observation.

 Our Competitive Analysis

While there are other merienda shops and bread merchandise products sell on sari-sari store
available around the town such as grilled chicken internal organs, halo-halo dessert, deep fried
foods and other cold beverages that are popular to the citizens because of the low-pricing strategy.
However, some customers aren’t delighted on the products and prefer discounts on bulk purchases.

 Financial Considerations

The enterprise is expecting to earn on Bitso de Letche by 33% of product margin and
Ginger Ale by 29% which may leads to increase profitability of the enterprise.

 Start-up Financing Requirements

The enterprise must have Php 725.00 to start the operation and financial transactions of the
business.
II. PRODUCTS AND SERVICES

This chapter shows the enterprise and products’ description key features.

 Business Name
Our enterprise was named Bitso De Leche. It was named after the product of the business.

 Business Logo

 Description of the Logo

Parts/Colors of the Logo Description

Bitso It represents the product of the business.
De Leche It represents the flavor of the product.
The Best It represents of being the first bitso seller on
the town.
Circle It represents originality and wholeness of the
product.
Brown It represents innovation.
 Green It represents that the product is eco-friendly
and healthy.
“Ready to take away.” It represents as tagline of the business defines
as refreshment of the products.

 Product Description
a. Name of the Product
Our main product name is “Bitso de Letche”, it was named like the product of the business,
and another product named Ginger ale which implies from its name that serves as beverage of
the business and combination of bitso de leche. The bitso de leche have its own uniqueness
from the bitso we know and the combination of it with ginger ale aren’t commonly known.

b. Properties of the Product

a. Bitso De Leche is another innovative product of bitso-bitso. It is the new development of
bitso-bitso. It differs from other bitso-bitso because of its leche fan filling. The size of the
product can be classify as mini bitso.
b. Ginger Ale is homemade recipe beverage. The recipe came from one of the family relatives.
The volume of the beverage differs on 8 oz. cup and 12 oz. cup.

Uses of the Product

a. Bitso De Leche serves as pastry and can be replacement of rice with its ingredients
flour that great source of carbohydrates.
b. Ginger Ale is considered as healthy due to the minerals of ginger used on this
product. Thus, it resulted to have healthy benefits such as prevention of diabetes.

 Product Pricing
We priced the products based on the cost of the ingredients and the cost of packaging
determine by using mark-up strategy. The bitso de leche priced 3 pesos while the ginger ale
was 18 pesos.
UC= Unit Cost MU= Mark-up
VC/U= Variable cost per unit MUP= Mark-up price
FC= Fixed Cost DMU= Desired mark-up
US= Unit Sales

a. Bitso De Leche

VC/U= 1 US= 70

FC= 70 DMU= 20%

UC= VC/U + FC MUP= UC

US (1- DMU)

UC= 6 + 70 MUP= 6.875

80 (1- 0.20)
UC= 6.875 MUP= Php 8.50 or Php 9.00

b. Ginger Ale
VC/U= 10 US=17
FC= 70 DMU= 20%

UC= VC/U + FC MUP= UC

US (1- DMU

UC= 15 + 70 MUP= 17
35 (1- 0.20)
UC= 17 MUP= Php 21.25 or Php 21.00
III. MARKETING

This chapter indicates the market strategy of the enterprise.

 Target Market

The enterprise focuses on selling on citizens of Osmeña, Quezon, Nueva Ecija. The bread,
Bitso De Leche, is available for the age of 3 yrs. old to 40 yrs old while the Ginger Ale is ginger
beverage which can be purchase of anyone. Hence, these products can buy of any regardless of
occupation and social-economic status.

 Sales and promotion strategies

In promoting our product, we will use various methods, such as offering it in person, giving
fliers, posting on our social media accounts so that even those from far away can be informed of
the product. We sell, just really accompany the marketing strategy especially the quality of the
product, we don't choose the age for our buyers whether they are old or young because we will
make sure that everyone who tastes it will like it and will buy it repeatedly.

 Assessment of competitors through barriers to entry and competitor’s analysis

Most of the sellers here have the right price and most people can afford it. Our price is very
popular with consumers. Our competitors pricing is negotiable but some people can't afford it
because their price is still high. But for us, our price is well worth it.
IV. OPERATIONS

This chapter shows what are the materials use to create the products and how to make it and
its delivery services, the costs of its materials and margins and the assessment of potential obstacles
and risks along with contingency plans.

 Production and delivery of product or service

To create the product;

Bitso De Leche

Ingredients:

½ cup Warm water (105-115 Fahrenheit) ½ cup Melted butter

2 ¼ tsps. Active dry yeast ½ tsp. Salt

¼ cup White sugar 4 ½ cups Glutinous flour

2 Medium eggs (Lightly beaten) 250 ml Cooking Oil

¾ cup Warm Coconut milk ½ cup De Leche

Procedures:

1. Make the De Leche.

Ingredients:

4 cups Evaporated milk 1 tsp. Vanilla

1 ¼ cups White sugar 1 (14-ounce) can Condensed milk

1/4 tsp. Baking soda

Procedure:

a. Stir together 4 cups milk, 1 1/4 cups sugar, and 1/4 teaspoon baking soda in a 3- to 4-
quart heavy saucepan.
b. Bring to a boil, then reduce heat and simmer uncovered, stirring occasionally, until
caramelized and thickened, about 1 1/2 to 1 3/4 hours. (After about an hour, stir more
often as milk caramelizes, to avoid burning.)
c. Stir in 1 teaspoon vanilla.
d. Transfer to a bowl to cool. Makes about 1 1/2 cups.

2. On a small bowl pour the warm water and Active Dry yeast.
3. On another bowl mix the dry ingredients; glutinous flour, white sugar and salt.
4. On the third bowl mix the liquid ingredients; beaten medium eggs, melted butter, coconut milk,
evaporated milk and De letche.
5. On a large sized bowl combine the dry and liquid ingredients then add the active dry yeast
mixed on warm water.
6. Mold it into small hotdog sized.
7. Pre-heat the frying pan and pour the 250 ml cooking oil.
8. Deep fry the balls for 5 minutes or until it turns into light brown.
9. Cool it when cooked.
10. Serve to the customers with the glaze of De Letche.

Note: Add water to the mixture if it’s dry or if necessary.

Ginger Ale

Ingredients:

1 1/2 cups chopped peeled ginger (7 ounces)

2 cups water

3/4 cup sugar

About 1 quart chilled seltzer or club soda

About 3 tablespoons fresh lime juice

Procedure:

1. Boil in low heat the ginger covered for 45 mins.

2. Removed the cover to cool it or mins.
3. Sift the boiled ginger and leave the essence on a bowl.
4. Mix the liquid with white sugar and salt until it dissolves.
5. Pour into a container and chill it.

When serving:

Mix the syrup, seltzer and lime juice. (1/4 cup syrup, 1 ½ tsps. lime juice and ¾ cup seltzer, taste
and adjust depending on the customer’s prefer)

For delivery services the customers will be given option if pick-up, which the customers will
meet the delivery man or woman, and walk-in, which the product will be deliver on the address
given. The delivery person will follow the health protocol to prevent getting infected of any virus
and cover the product with plastic.

 Product costs and margins

Name Measurement/Quantity Product Cost

Capital Php 728.00
Expense:
Utility Php 100.00
8 oz. plastic cup 25 pcs. Php 40.00
Ingredients:
Glutinous flour 1kl. Php 35.00
Coconut milk 1 pack Php 30.00
 Active Dry Yeast Php 15.00
Medium eggs 2 Php 10.00
Melted butter Php 10.00
Salt Php 5.00
Cooking oil 250 ml. Php 50.00
Evaporated milk 2 cans Php 54.00
Baking soda 1 box Php 35.00
Vanilla Php 5.00
Condensed milk 1 can Php 57.00
Chopped peeled Ginger ¼ kl. Php 30.00
White sugar ½ kl. Php 54.00
Chilled skertz 1 Php 155.00
Fresh Lime 2 Php 40.00
TOTAL: Php 725.00

 Product Margin

(Price- Cost) = Margin

Price

a. Bitso De Leche
(9-6) = .33 or 33%
9

b. Ginger Ale
(21-15) = .29 or 29%
21

 Potential obstacles and risks and corresponding alternate courses of action

 Shortage of inventory

Reason: Mismanagement of inventory can result to shortage of inventory.

Solution: Purchase inventory that can supply the demands of customers and will not cause the
delay of production.

 Too much inventory

Reason: Purchasing too much of inventory and not storing it correctly can lead to it becoming
spoiled.

Solution: Order or purchase enough inventory to avoid high order and carrying costs.

 Spoilage of products

Reason: Too much production and not selling them will result to spoilage and will be costly.

Solution: Estimating the right amount and number of production that will cater the demands of
customers

 Competition

Solution: Competition is inevitable in any business, but this will be solved by producing products
that are unique. It is also important to promote a product because it will make a big difference as
it will be familiarized to the market.

 Easy to imitate product

Solution: Make unique products and make them extraordinary that nobody can imitate.
V. MANAGEMENT

This chapter shows the organizational structure of the enterprise to have organize and finish
task rapidly.

Operation Team

They are the one who is responsible for cooking and preparing the products.

Name: Cristine Cruz

Job Position: Head Chef

Job Description: She is the one who is responsible for supervising other culinary workers and
oversee the running of a kitchen. She is the one who runs the kitchen and guaranteed that the
customer will have a good quality product.

Name: Jenry Esguerra

Job Position: Chef assistant

Job Description: A cook assistant provides support to head chefs. This role works under the direct
supervision of the main chef or a sous chef. Cook assistants perform a variety of cooking duties,
including preparing food, testing new recipes, cleaning the kitchen, plating dishes, and maintaining
supplies. Individuals in this role should have excellent communication skills and a focus on
prompt, efficient, and courteous service. Cook assistants thrive in high-pressure environments and
enjoy being busy.

Name: Aeveen Joy Chico

Job Position: Chef

Job Description: A chef oversees a kitchen by managing other members of the food preparation
team, deciding what dishes to serve and adjusting orders to meet guests’ requests. May assist in
prep work, such as chopping vegetables, but more often will be involved in cooking the main
product.

Marketing Team

They are the one who interacts and negotiate to the prospects, customers, investors and/or
the community, while creating an outstanding image that symbolizes our business in positive vibes.

Name: Shine Angeles

Job Position: Promotion Specialist/ Head of Marketing

Job Description: In marketing, promotion refers to any type of marketing communication used to
inform target audiences of the relative merits of a product, service, brand or issue, most of the time
persuasive in nature.

To supervise the marketing department, evaluating the other staffs works before passing to
the superior, leading the team by exploiting herself as role model.

Name: Cyngel Fronda

Job Position: Marketing Specialist

Job Description: A marketing specialist is a business professional with the right training and
accreditation. They usually have an academic background in sales, marketing, advertising or
general business. Marketing specialists develop marketing programs and deliver materials to reach
customers through various communication methods.
Name: Trisha Mae Pacheco

Job Position: Social media manager

Job Description: Engage in promoting or creating an intended public image for individuals,
groups, or organizations. May write or select material for release to various communications
media.

Posting through social medias websites, all information and benefits about Bitso De Leche on
every social media account she have to inform everyone how incredible the product we made! We
also made a healthy Ginger Ale that removes your stress and makes you refresh.

Name: Vialyn Padora

Job Position: Product Specialist/ Sales Specialist

Job Description: The Product specialist is responsible for the product planning and execution
throughout the Product Lifecycle, including: gathering and prioritizing product and customer
requirements, defining the product vision, and working closely with engineering, sales, marketing
and support to ensure revenue and customer satisfaction .

Product specialist/sales specialist expands relationships with existing customers by directing and
supporting collaborative sales efforts to grow one or more assigned product lines. They close on
qualified opportunities referred by the business development sales representative, account
manager, or other sales personnel, while actively collaborating with these team members.

Name: Beverly S. Miranda

Job Position: Advertising Specialist

Job Description: She works with sales staff and others to generate ideas for an advertising
campaign along with the marketing department. She works with the finance department to prepare
a budget and cost estimates for the campaign.
Name: Luisa D. Doctor

Job Position: Advertising Specialist

Job Description: She works with sales staff and others to generate ideas for an advertising
campaign. She works with the finance department to prepare a budget and cost estimates for the
campaign. She mainly creates ideas and posters for the promotions.

Finance Staff

She is the responsible for management of the business’ asset, cashflow and ensuring there
are cash enough to operate daily.

Name: Kamila Isiya M. Verdida

Job Position: Accountant/ Leader

Job Description: She prepares accounts and returns. Administering payrolls and controlling
income and expenses. She audits and analyzes financial information, complies and presents
financial reports, budgets, business plans, commentaries and financial statements.

As the Leader, she evaluates and organize each department, increase their morale and guide
them the instructions to efficiently finish their tasks every hour. The reports and information
submitted from the members are carefully read and understand too avoid errors and
misunderstanding. She also checks the health status of her members to ensure they’re physically
healthy and mentally-well.
VI. SUMMARY FINANCIALS

Bitso De Leche
Projected Statement of Cash Flow
For the day ended May 7- June 5, 2021
May 8-22 May 28-June 5
Cash Inflows
Cash, Beg Php. 3,640.00 Php. 4,350
Partners Contribution Php. 728.00
Sales 1,400.00 5,085.00 7,275.00
Total Cash Inflows 2,128.00 8, 725.00 11,625.00

Less: Cash Outflows

Purchased of raw materials 585.00 2,340.00 2,925.00
Packaging 40.00 160.00 200.00
Direct Labor 50.00 250.00 300.00
Salary & Wages 650.00 2,000.00 2,650.00
Transportation Expense 60.00 300.00 240.00
TOTAL Opening Expenses 1,385.00 5,050.00 6,315.00
Cash Balance, End Php 743.00 Php 3,675.00 Php 5,310.00
 Bitso De Leche
Projected Income Statement
For the day ended May 7- June 5, 2021
May 7 May 8-22 May 28-June 5
Sales Php 1,400.00 Php 5,085.00 Php 7,275.00
Less: Cost Of Goods Sold 585.00 2,340.00 2,925.00
Gross Income 815.00 2,745.00 4,350.00

Less: Operating Expense

Salary & Wages Expenses 650.00 2,000.00 2,800.00
Transportation Expense 60.00 300.00 240.00
Total Operational Expenses 760.00 2,300.00 3, 040.00
Net Income Php 55.00 Php 445.00 Php 1,310.00

 Amount of funding needed.

In order to establish the business of Bitso De Letche the group 4 of 12-ABM must
garnered at least Php 725.00. The amount will be equally contributed by the members to
avoid conflicts. Thus, the capital collected are Php 728.00.

Initial Capital Requirements

Partners Ratio Invested Amount
Sunshine Angeles 12.5% Php 91.00
Aeveen Joy Chico 12.5% Php 91.00
Cristine Cruz 12.5% Php 91.00
Jenry Esguerra 12.5% Php 91.00
Cyngel Fronda 12.5% Php 91.00
Trisha Mae Pacheco 12.5% Php 91.00
Vialyn Padora 12.5% Php 91.00
Kamila Isiya Verdida 12.5% Php 91.00
TOTAL 100% Php 728.00

Prepared by:

Group 4

12-ABM

Active Members:

Sunshine Angeles

Aeveen Joy Y. Chico

Cristine Cruz

Luisa D. Doctor

Jenry Esguerra

Cyngel V. Fronda

Beverly S. Miranda

Trisha Mae Pacheco

Kamila Isiya M. Verdida

Presented to:

Mrs. Michelle J. Tinio

Business Enterprise Simulation Teacher