BUSINESS PLAN

Submitted by:
RAMOS, JOANA TRISH R.
TUDDAO, JEREMIE G.
SAYGO, CHERRY MAE E.
VILLANUEVA, MARK JIREH
VALDEZ, JULES ARNEL
TUMULAK, CLARENCE D.
TUMULAK, LAWRENCE D.
RAMOS, SOPHIA FRANCINE
QUIAOIT, LAIKA
SABANDO, LYKAMAE

12 STEM-C
EXECUTIVE SUMMARY
Our Company research about the problem in this pandemic which is needs of gadgets
that helps those people from, Online class, home based job, to overcome the stress that cause of
pandemic people uses social media/interactive application and gaming these said problems needs
a high specs of smartphone models and the problem is high specs cell phones cost too much.
Tonix T1 helps these problems with high capacity and high specs but affordable in price.

Our target customers are engaged in online class and home-based jobs as well as the
people who want it. Tonix T1 can adapt also from future updates

It has high growth potential in terms of positioning in the market where people are too
dependent on their smartphones and people who know about our product will have a thought to
buy it or save their money to upgrade their smartphones. With the high demand of high quality
but affordable smartphones, Tonix T1 brand has the growth potential to enter the international
market. The market potential is huge for our product, evidenced by what appears to be the
unstoppable growth of the telecom industry. Currently, the telecom industry is among the
strongest growth industries and is responsible for huge gains in the capital markets.

Investing in our company will have a wide range of productions and fast capital return,
and Tonix T1 will be known even we have another market share, or they offer smartphones, but
our product is different to them even pandemic is gone in terms of our smartphones, smart
hardware, processors, chipset or the CPU, battery, camera, and special features and specs that
customer needs and wants in an affordable price. It can compete with the quality level of iPhone
and Huawei.

MANAGEMENT AND ORGANIZATION

Tonix T1
2
Brgy. Poblacion, Mariveles, Bataan

Tonix T1 company will be leading provider and shop of unique gadgets such as mobile phone
for online class and online job for an affordable price that will accommodate needs.

Tonix T1 company is socially responsible enterprise providing mobile phones for the affordable
price and helps people on there needs especially for online class and online job.

Key personel:

Joana Trisha Ramos

Work Force and Support Personel:

Vice owner:

Jeremy Tuddao

Sellers:

Laika Quiaoit

Lyka Mae Sabando

Cherry mae Saygo

Auditor:

Jules Arnel Valdez

Assistants and Staffs:

3
 Sophia Francince

Lawrence Tumulak

Mark Jireh Villanueva

Clarence Tumulak

Owner Assistants Shop

Duties Responsibilities:

1. Owner: The owner will be responsible for management of the business on the matters
of finance operations marketing and other aspects of the business which could be
deemed necessary for nurturing and maintaining the health of the business.
2. Vice owner: the vice owner will aid the owner in making feasible decisions of the owner
and also he will be the accountant of the company
3. Auditor: Auditor compute and audits the financial statement
4. Assistants and Staffs: They will be responsible for taking supply and stocks for the shop
and also guard of shop.
5. Sellers: They will be in the counter of shop and cashier

Ownership: Sole Proprietorship

Capitalization: 4, 800, 000

Employees’ Salaries:

4
Vice owner: 25,000 monthly

Sellers: 1,500 weekly

Auditor: 10,000 monthly

Staff and Assistants: 1,000 weekly

External Management support: Parents of Owner

PRODUCT PLAN
A. Purpose of the Product
Tonix T1 company will offer mobile phones for the residents of Bataan, an affordable
but high end mobile phone. This will help people struggling on online class and online job. Due
to its performance, mobile phone sold by Tonix T1 can handle multiple apps especially for
online working. Students will solve there struggles on money for buying a phone.

B. Product Unique Features

Tonix T1 phones have five variant of colors such as black, pink, blue, white, gold, and
red. Battery has 5000 mah capacity and combine with a type c fast charging, and has a base
variant storage of 4gbram-64gbrom on base variant and a higher of 256gb rom on higher
variant, also has cpu chipset powered by snapdragon 662 octa-core good for online class and
online job. It also good for games and has a good quality of camera that has 50mp rear camera
on base variant and higher megapixel on the higher variant. This key specification is great for
everyone’s and for those to be needed it in the office or school works.

5
 C. Material and Equipment Requirements and Source of Supply
The product material and equipment to be used in our product “Tonix” will be
manufactured from various sourced in China and shipped to Philippines by Mr. Dizon. We
wanted to manufactured it as an high end but still in a affordable price and gives the feel of
strong and classy.

D. Distribution Logistic
Tonix T1will have a store that will be located on Brgy. Poblacion, Mariveles, Bataan. This
is where all transactions including sale exchange and return will take place. No transaction
outside the store shall be authorized.

E. Regulatory and Other Compliance Issues

Tonix T1 company will be registered as a single proprietorship type of business to the
Department of Trade and Industry (DTI). A barangay clearance will also be secured before
applying for mayor’s permit to operate as gadget shop. The Bureau of International Revenue
(BIR) registration will be also be done after getting all the necessary registration documents and
permits from DTI, barangay, and mayor’s office.

6
MARKET PLAN
A. Market Analysis which includes demand and supply of competitors.

Historical
Total Supply: Previous 5 years Smartphone sold
Data
Demand by the competitors per year
(5years)
A. B. C.
Year 1 20, 180, 460 4,250 3,000 2,100
Year 2 27,262,241 5,120 4,130 3,201
Year 3 35,950,990 5,002 4,002 3,002
Year 4 40,888,620 5,201 5,020 4,111
Year 5 45,989,870 6,211 5,211 5,121

Supply: Previous 5 years

Smartphone sold by the Total Supply
competitors per year
D. E.
2,021 1,220 12,591
1,210 1,110 14,771
2,011 2,001 16,018
4,021 2,111 20,464
5,201 4,121 25,865

7
B. Marketing and Sales Projection
Marketing Strategy
A competitive and encouraging campaign will aim to increase the visibility
for Tonix Smartphone. This will focus on the customer’s desire to choose design
and specification. Tonix Smartphone will use different channels to communicate
this message.

a. Social Media – We want to spread our quality product Tonix Smartphone via
online and posting through facebook, instagram, twitter, and youtube and so
on. We will post different variants of specification of our product. By this way
of strategy our product will be recognizable to different country.
b. Ads – By the help of this our producg will more faster to spread all over
media platform. We want also to advertise our product to show how good,
elegant, high end, and at the very affordable and worthy to buy.
c. Walk-in to our shop – Since it’s limited to go outside we still want to open
our shop to customers who can go outside. We do this to test the customer
how’s the feeling of the product and to see it physically and how it good at
our product. And by the help of staff and assistant they will assist those
customer and do sales talk.

C. Sales Strategy
Customers are always after their convenience. Tonix Smartphone
strategy will assure that ordering and buying is very easy, exciting, and a great
experience that they will encounter. In order to do this, the enterprise will create
a website and social media platforms like facebook page where customers can
use to order and buy our product if they can’t go to our official store. Electronic
payment like bank-to-bank transfer and others like homecredit to promote
cashless transaction.

With these sales strategies, the company develops the customer’s

excitement to order and convenience to pay at their own pace.

8
D. Product Characteristics or Feature
Tonix smartphone has several competitive features that will be used to its
advantage to achieve market penetration.

 Variety of designs – Customers will be offered 5 different designs each of

3 variants of our product to choose from. Designs are divided into 5
different variant base on what specification. Colors include light colors
such as pink, gold, and red and others while dark colors consist of black
and navy blue.
 Variety of storage – Customers will also be offered 3 different variant of
storage. The storage are divided into 3 which is 4gb ram – 64gb rom for
mini version, 6gb ram – 128gb rom for pro version, and last is 8gb ram –
256gb rom for pro plus version. We come up to this idea to give our
customer a perspective version and specs they want that is perfectly
suitable for what they need.
 Affordability – Because of the crisis today, many of us have limited
income so we build this product that is very need to this situation now,
we want to give an excellent experience but still in a very affordable price
to our customer’s.

E. Pricing Policy
Tonix smartphone will adopt the differing price based on the version of its
specification. As such, below is the pricing scheme that will be adopted:

Specification of Phone (Tonix) Price (Peso)

Mini Version (5. 7inch, 4gb-64gb) Php 6,990

Pro Version (6.3inch, 6gb-128gb) Php 8,990

Pro Plus (6.7inch, 8gb-256gb) Php 10,990

9
 F. Sales Projections

Year 1
Version Retail Price Qty. / Mo.
Qty. Sales in Peso
Mini 6,990 300 3,600 25,164,000
Pro 8,990 100 1,200 10,788,000
Pro Plus 10,990 50 600 6,594,000
Total 450 5,400 42,546,000

Year 2 Year 3
Qty. Sales in Peso Qty. Sales in Peso
3,960 27,680,400 4,356 30,448,440
1,320 11,866,800 1,452 13,053,480
660 7,253,400 726 7,978,740
5,940 46,800,600 6,534 51,480,660

Year 4 Year 5
Qty. Sales in Peso Qty. Sales in Peso
4,792 33,496,080 5,271 36,844,290
1,597 14,357,030 1,757 15,795,430
799 8,781,010 879 9,660,210
7,188 56,634,120 7,907 62,299,930

G. Market Analysis Summary

As you can see smartphones has increased its demand since the last 5 years. To
increase market penetration tonix smartphone will offer variety of design, durability,
and excellent high quality of specification. We will also continue to our consistency of
posting, advertising, and more. Our business page, website, and store are always open
and active, so anytime you want to do a transaction we will reply. Our price differential
based on version and specification with the price ranging from 6,990 – 10,990.

10
FINANCIAL PLAN
Tonix Company requires a financial capital of P 4,800,000. Since Joana Trisha is the only
owner of Tonix Company, she provides the whole capital for the said product. Mr. Aldueza will
invest Php 2,150,000 in Tonix Company, to cover start-up costs. He will also invest an additional
Php 2,650,000 when operation takes off. It is assumed that the owner’s private resources will
be sufficient to finance any monthly cash-flow shortage. However, it would be advisable to
establish a bank relationship as soon as possible.

Physical resources materials that will used in the product will came from outside the country
and make sure that it copes to the expectations of the consumers and the production unit to
ensure the objective of the company. Some raw materials that will be used will came from
different key partners for suppliers in the Philippines.

In human resources, Tonix Company is made up of the owner who stands as the CEO of the
company and a Marketing manager; Toni Gabriel Aldueza and five other members who will be
hired locally and will be added: a Programmer, general manager, finance manager, production
manager and human resource manager.

This figure shows the financial highlights of Tonix Company every year in 5 years. As you can
see, the figure above in year 1 the sales are not yet profitable enough to create net profit and
the expenses are high. But it is normal when you are starting a business. However, we
forecasted that in the year 2, the net profit is rapidly increasing as it goes beyond

Legal Expense P 250,000

Insurance Expense 50,000
Rent Expense 100,000
Equipment Cost 100,000

11
 Other Expense 50,000

TOTAL START-UP EXPENSES P 550,000

Start-up Assets:

Cash required P 100,000

Start-up Inventroy 1,500,000

TOTAL ASSETS 1,600,000

This brings for our total required to P 2,150,000 which is invested by Mr. Aldueza before the
start of the business operation and will eventually invest P 2,650,000 as an additional capital
when the business operation takes place. For the total of P 4,800,000 in year one.

12