LYCEUM OF THE PHILIPPINES UNIVERSITY CAVITE

CHAPTER IV

MARKETING ASPECT

The marketing part of the feasibility aspect will examine the major nature of the

firm, as well as the industry profile and analysis. Demand and supply will be examined

as well to determine the target market's proportion of the whole market. In addition, the

marketing plan, marketing mix, and product positioning will be discussed.

4.1 Business Description

Philia Corporation is a company that offers rare vegetables that are both fresh

and sustainable. It also serves as a fun recreational pastime for anyone visiting the

company's greenhouse and warehouse. The organization is committed in providing

high-quality vegetables to the market to encourage a healthy diet. At the same time, the

company places a premium on product freshness for individual customers as well as

restaurants. As a result, the company assures that the products to be transported are

supplied as if they have never been removed from the environment in which they grew.

In addition, the organization responds to consumer requests and problems in a cost-

effective manner.

4.2 Industry Profile and Analysis

The agricultural industry's effort to meet the rising demand for grains and fresh

vegetables drives the pursuit of high yield farming techniques such as precision farming

and urban farming. Thus, hydroponics is considered as a possible solution to the

growing worry over food security in the next years. According to UN data on global

population, hydroponic plants produce 20%–25% more than plants cultivated in

conventional agriculture systems, with a productivity of 2–5 times greater.

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 LYCEUM OF THE PHILIPPINES UNIVERSITY CAVITE

Additionally, because of regulated environmental conditions, these systems

enable the influence of climatic variations to be balanced without harming yearly crop

yield. Controlled environment condition procedures have an immediate impact on the

crop harvest cycle. Since climate change has a negligible influence on such systems,

crops can be grown all year, hence increasing production.

4.3 Study of Demand and Supply

4.3.1 Survey Participants Profile

Age: Response Option Number of Respondents Percentage of

Respondents
19 and younger 6 6%
20-34 51 51%
35-49 33 33%
50-64 10 10%
Table 4.1: Participant’s Age

Table above shows the distribution of the respondents according to their age. 6

or 6% of the respondents are 19 and younger, and 51% with 51 respondents are 20-34

years old. 33% with 33 respondents aged 34-49 years old, while 50-64 years old got

10% with ten respondents.

Gender: Response Number of Respondents Percentage of

Option Respondents
Male 42 42%
Female 58 58%
Table 4.2: Participant’s Gender
Table above shows that 42% or 42 respondents are male and a total of 58% with

58 respondents are female.

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 Family LYCEUM
Size: Response
OF THENumber of Respondents
PHILIPPINES Percentage of
UNIVERSITY CAVITE
Option Respondents
1 1 1%
2 4 4%
3-5 68 68%
6-10 27 27%
Table 4.3: Participant’s Family Size

The table above shows that 3-5 family sizes got the highest respondents of 68 or

68% while the 27% or 27 respondents are 6-10 of family sizes. The family size of 2 got

4% or 4 respondents while the family size of 1 got 1% or 1 respondent.

Monthly Family Income: Number of Percentage of

Response Option Respondents Respondents
Under Php 22,000 14 14%
Php 23,000-Php 46,000 34 34%
Php 47,000-Php 81,000 37 37%
Php 82,000-Php 139,000 12 12%
Over Php 140,000 3 3%
Table 4.4: Participant’s Monthly Family Income

Table above shows that 14% or 14 respondents have a monthly family income of

under Php22,000. A family monthly income of Php 23,000 - Php 46,000 obtained a

34% or a number of 34 respondents. A more significant number of respondents from a

family income of Php 47,000-Php 81,000 received a 37% and the highest response

among the participants. A monthly family income of Php 82,000-Php 139,000 obtained

12% or 12 responses while 3% or 3 of the participants has a monthly family income of

over Php 140,000. Consequently, most of the participants are from-middle-class family

that has a monthly family income of Php 47,000-Php 81,000.

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 LYCEUM OF THE PHILIPPINES UNIVERSITY CAVITE 4.3.2
How often do you eat vegetables in a week?
Survey

22% Results

Figure 4.1:
75%
Vegetable

5-6 days a week 2-4 days a week One per week Never

Consumption Per Week

The
Have you ever heard of hydroponic planting?
figure

above
28%

shows that
72%
most of the

respondents
Yes No
eat

vegetables at least two to four days a week. Followed by respondents who eats

vegetables five to six days per week.

Figure 4.2: Participants’ Knowledge of Hydroponic System

The figure above illustrates that majority or 72% of the respondents heard what

hydroponic planting is. Meanwhile, 28% of the respondents have not yet heard of what

hydroponic planting is.

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 LYCEUM OF THE PHILIPPINES UNIVERSITY CAVITE
Would you consider buying hydroponically grown produce?

26%

2%
72%

Yes No Maybe

Figure 4.3: Willingness to Purchase Hydroponically Grown Plants

The pie
Where do you currently buy most of your vegetables from?
chart above

14% reveals that

8%
52% 72% of the
25%
respondents

affirmatively
Dry Market Supermarket Direct from a farmer
Neighborhood Store consider

buying hydroponically grown vegetables and 28% of the respondents answered

answered no.

Figure 4.4: Vegetable Stores

The pie chart above illustrates that 52 respondents buy vegetables at Dry

Market. Meanwhile, 25 respondents buy vegetables at Supermarket. 14 respondents, on

the other hand, buy vegetables at Neighborhood Store and 9 respondents directly buys

on farmers.

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 LYCEUM OF THE PHILIPPINES UNIVERSITY CAVITE
Which of the following options influence you when buying vegetables?
70
60
Figure
50
40 4.5:
30 55 63
20 38 33
10 23
12
Factors
0 2
ice ity nc
e ni
c n
in
g
ov
e
Affecting
Pr al ie ga ow ag ab
Qu en Or Gr ck
v ly a he
Co
n
c al l yP oft
Lo nd Al
l
ie
-fr
co
/E
al
im
in
M

Consumers Buying Decision on Vegetables

The
What harder-to-find fresh vegetables would interest you if they were
available?
graph above
50
45
40
47 shows that
41
35
36
30
31 31
34 most of the
25
25 26
20
15 respondents
10
5 are highly
0
Lettuce Spinach Kale Basil
influenced
Per Kilo Wholesale
by quality in

buying vegetables. Second in ranking that influence the respondents the most is price.

Third in ranking is the influence of how organic the vegetables are. Fourth in ranking is

all the above. Fifth is convenience. Sixth in ranking is locally grown. And seventh is if

the packaging is in minimal/eco-friendly packaging.

Figure 4.6: Willingness to Pay Offered Products

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 The bar graphOF
LYCEUM above
THEillustrates that majority,
PHILIPPINES or 47 respondents
UNIVERSITY CAVITE are willing to

purchase a Php 230 per kilo of lettuce. Second, 41 respondents are willing to buy a Php

195 per 500 grams of spinach. Third in ranking is Php 356 worth of basil per 500 grams

having 36 respondents who are willing to buy. Fourth vegetable is 500 grams of kale

worth Php 395 having 34 respondents who are willing to buy. Fifth in ranking are

wholesale of lettuce and spinach worth Php 1,050 and Php 1,850 respectively, with 31

respondents who are willing to buy. Sixth, having 26 respondents who are willing to

buy a wholesale of basil worth Php3,550. Lastly, 25 respondents are willing to buy a

wholesale of kale worth 3,850.

4.3.3 Target Population

As per the Philippines' 2020 Census of Population, Barangay 76 in Pasay City

has a population of 19,604 residents. This was based on a census taken in 2020, which

revealed how large the market is in terms of the city's scale. Rare vegetables like lettuce,

kale, basil, and spinach have experienced a surge in popularity in the business world, as

well as in the lives of many Filipinos. According to PSA data from 2017, lettuce has a

total yearly output capacity of 4,033. Meanwhile, basil, kale, and spinach are not yet

included in the PSA Crop Statistics, indicating that demand for these crops is high yet

supply is inadequate. This unique vegetable corporation started by Philia Corporation

for a reason, and it would pioneer by 19,604 target population.

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4.3.4 Projected
LYCEUM Demand
OF THE PHILIPPINES UNIVERSITY CAVITE

The table above represents the list of the possible companies who can purchase

the products of Philia provides per month. Considering that there are no existing data to

determine the projected demand for agricultural products in Pasay City, the company

collected all the names of companies, such as restaurants, markets, and hotels, that are

capable in buying the products. The table for the projected demand of agricultural

products produced from hydroponic system will be presented based on the information

regarding the growth rate of food industry in Pasay City.

Name of the Location Nature of Expected no. of

Company Business vegetables to
supply
1. Ocean Seafood Brgy. 76 Food Service 7kg of Lettuce and
Restaurant 5kg of Basil
2. Four Seasons Brgy. 76 Food Service 10kg of Lettuce
Buffet and Hotpot and 5kg of Basil
3. Kang Ho Dong Brgy. 76 Food Service 15kg of Lettuce

4. Vikings Buffet Brgy. 76 Food Service 10kg of Lettuce,

Spinach, Kale and
5kg of Basil
5. Royal Indian Curry Brgy. 76 Food Service 5kg of Basil
House
6. GEN Korean BBQ Brgy. 76 Food Service 10kg of Lettuce
House
7. Buffet 101 Brgy. 76 Food Service 10kg of Lettuce,
Spinach, Kale and
5kg of Basil
8. Kamayan Sa Hapag Food Service 5kg of Spinach
Brgy. 76
Kainan
9. XO 46 Heritage
Brgy. 76 Food Service 5kg of Spinach
Bistro

Kamayan Sa Hapag Food Service 5kg of Spinach

10. Brgy. 76
Kainan

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 XO 46 Heritage
LYCEUM OF THE PHILIPPINES
11. Brgy. 76 UNIVERSITY
Food Service CAVITE
5kg of Spinach
Bistro
12. Sumo Niko Brgy. 76 Food Service 10kg of Lettuce

13. Bulgogi Brothers Brgy. 76 Food Service 10kg of Lettuce

5kg of Lettuce,
Tong Yang Plus
14. Brgy. 76 Food Service Spinach, Kale and
Buffet
3kg of Basil
5kg of Lettuce
15. Burger King Brgy. 76 Food Service
and 3kg of Basil
8 Cut Burger 5kg of Lettuce
16. Brgy. 76 Food Service
Blends and 3kg of Basil
7kg of Lettuce,
17. Wendy’s Brgy. 76 Food Service Kale and 3kg of
Basil
5kg of Lettuce
18. Bonchon Brgy. 76 Food Service
and Kale
19. Subway Brgy. 76 Food Service 5kg of Lettuce

20. Romantic Baboy Brgy. 76 Food Service 7kg of Lettuce

21. Samgyupsalamat Brgy. 2 Food Service 7kg of Lettuce

7kg of Lettuce,
22. Panda Express Brgy. 76 Food Service Spinach and 4kg
of Basil
10kg of Lettuce,
23. Golden Bay Brgy. 76 Food Service Spinach, Kale and
5kg of Basil
10kg of Lettuce,
Tramway Bayview
24. Brgy. 2 Food Service Spinach, Kale and
Buffet
Basil
7kg of Lettuce
25. Royal Kitchen Brgy. 1 Food Service
and Spinach

10kg of Lettuce,
26. SM Hypermarket Brgy. 1 Retail Spinach, Kale and
Basil
10kg of Lettuce,
27. Walter Mart Brgy.76 Retail Spinach, Kale and
Basil

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 10kg of Lettuce,
LYCEUM OF THE PHILIPPINES UNIVERSITY CAVITE
28. Restaurant Depot Brgy. 75 Retail Spinach, Kale and
Basil
7kg of Lettuce,
Jin Mart Korean
29. Brgy. 1 Retail Spinach, Kale and
Grocery
Basil
3kg of Lettuce,
Golden Phoenix
30. Brgy. 76 Service Spinach, Kale and
Hotel Manila
Basil
3kg of Lettuce,
31. The Concierge Brgy. 76 Service Spinach, Kale and
Basil
3kg of Lettuce,
32. Conrad Manila Brgy. 76 Service Spinach, Kale and
Basil
3kg of Lettuce,
Shell Residences
33. Brgy. 76 Service Spinach, Kale and
Tower C
Basil
3kg of Lettuce,
34. Millie’s Brgy. 76 Food Service
Kale and Basil
3kg of Lettuce,
SM Savemore
35. Brgy. 79 Service Spinach, Kale and
Supermarket
Basil
10kg of Lettuce,
36. Yakimix Brgy. 76 Food Service Spinach, Kale and
5kg of Basil
Robinsons 10kg of Lettuce,
37. Supermarket Brgy. 76 Retail Spinach, Kale and
Federal Bay 5kg of Basil
10kg of Lettuce,
Merry Mart
38. Brgy. 76 Retail Spinach, Kale and
Grocery
5kg of Basil

10kg of Lettuce,
39. Only Mart Brgy. 76 Retail Spinach, Kale and
5kg of Basil
10kg of Lettuce,
40. Y Home Mart Brgy. 76 Retail Spinach, Kale and
5kg of Basil
41. Bheth Store Brgy. 76 Retail 10kg of Lettuce,

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 Spinach, Kale and
LYCEUM OF THE PHILIPPINES UNIVERSITY CAVITE
5kg of Basil
10kg of Lettuce,
42. Daebak Store Brgy. 76 Retail Spinach, Kale and
5kg of Basil
CFMC Marine 5kg of Spinach
43. Brgy. 76 Food Service
Products and 3kg of Basil
10kg of Lettuce,
44. SM Savemore Brgy. 76 Retail Spinach, Kale and
5kg of Basil
10kg of Lettuce,
SM Supermarket
45. Brgy. 76 Retail Spinach, Kale and
MAAX Building
5kg of Basil
3kg of Lettuce,
Victoria Court
46. Brgy. 76 Service Spinach, Kale and
Cuneta
Basil
3kg of Lettuce,
Midas Hotel and
47. Brgy. 76 Service Spinach, Kale and
Casino
Basil
TOTAL VEGETABLES: 305kg of Lettuce
222kg of Spinach
201kg of Kale
164kg of Basil

Year No. of Market Total Projected

Clients Acceptability Demand
2022 45 75% 305kg 360,281 kg
2023 50 75% 305kg 400,312 kg
2024 55 75% 305kg 440,343 kg
2025 62 75% 305kg 496,387 kg
2026 69 75% 305kg 552,431 kg

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 Table
LYCEUM OF THE4.5: Projected Demand
PHILIPPINES for LettuceCAVITE
UNIVERSITY

Year No. of Market Total Projected

Clients Acceptability Demand
2022 45 75% 222kg 262,237 kg
2023 50 75% 222kg 291,375 kg
2024 55 75% 222kg 320,512 kg
2025 62 75% 222kg 361,305 kg
2026 69 75% 222kg 402,097 kg
Table 4.6: Projected Demand for Spinach

Year No. of Market Total Projected

Clients Acceptability Demand
2022 45 75% 201kg 237,431 kg
2023 50 75% 201kg 263,812 kg
2024 55 75% 201kg 290,193 kg
2025 62 75% 201kg 327,127 kg
2026 69 75% 201kg 364,061 kg
Table 4.7: Projected Demand for Kale

Year No. of Market Total Projected

Clients Acceptability Demand
2022 45 75% 164kg 193,725 kg
2023 50 75% 164kg 215,250 kg
2024 55 75% 164kg 236,775 kg
2025 62 75% 164kg 266,910 kg
2026 69 75% 164kg 297,045 kg
Table 4.8: Projected Demand for Basil

4.3.6 Projected Supply

The hydroponic sector is likely to expand in the coming year as more people

become aware of the dangers of plants fed with chemical fertilizers and

pesticides. because of the increasing demand for the Philia company in Pasay. The

products grown by the Philia company will satisfy customers and consumers, and the

company will be able to meet expected demand on a continual basis. The Philia

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company'sLYCEUM
supply is weighted
OF THE and dependent on
PHILIPPINES the harvestingCAVITE
UNIVERSITY period of the crops, as

well as the service that will be required. The more such crops are given by the clients or

enterprises that may generate the most profit.

The company is projected to provide 13,198.4kg of lettuce, 569.12kg of

spinach, 417.384kg of kale, and 474.3kg of basil for every 1 month and 30 days. The

company is also expected to provide 105,597.2kg of lettuce, 4,552.96kg of spinach,

3,794.4kg of basil, and 3,339.072kg of kale with the same period and an annual growth

of 25 percent.

Year Projected Supply Projected Growth

2022 105,587.2kg 25%
2023 131,984kg 25%
2024 164,980kg 25%
2025 206,225kg 25%
2026 257,781.25kg 25%
Table 4.9: Projected Supply for Lettuce

Year Projected Supply Projected Growth

2022 4,552.96kg 25%
2023 5,691.2kg 25%
2024 7,114kg 25%
2025 8,892.5kg 25%
2026 11,115.625kg 25%

Table 4.10: Projected Supply for Spinach

Year Projected Supply Projected Growth

2022 3,794.4kg 25%
2023 4,743kg 25%
2024 5,928.75kg 25%
2025 7,410.9375kg 25%
2026 9,263.671875kg 25%
Table 4.11: Projected Supply for Kale

Year Projected Supply Projected Growth

2022 3,339.072kg 25%
2023 4,173.84kg 25%
2024 5,217.3kg 25%

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2025 LYCEUM OF THE6,521.625kg
PHILIPPINES UNIVERSITY 25%CAVITE
2026 8,152.03125kg 25%
Table 4.12: Projected Supply for Basil

4.3.7 Competitor Analysis

Figure 4.7: Competitor Analysis

4.4 Marketing Plan

4.4.1 Market Analysis

A market analysis enables businesses to gain a better understanding of

their target market and market conditions, which will influence their capacity to

produce a successful service or product. Additionally, it will help companies to

differentiate themselves from the competitors and standout out in a competitive

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 market.
LYCEUM Having
OFa THE
target PHILIPPINES
market in mind UNIVERSITY
enables businesses to allocate their best
CAVITE

resources to meet their customers' needs.

4.4.1.1 Market Demographics

Philia Corporation aims to promote a fresh quality and organic produce

to the target market which are composed of wet markets and supermarkets,

wherein the customers commonly buy and find their essentials. Included also are

the restaurants that need organic vegetables as well as those who requires the

most convenient and efficient way.

Demographic

Pasay City is known as the “third smallest political subdivision in the National

Capital Region”, representing 3.27% of its total population. Based on the 2020 Census

of the Population, Pasay City reached 440,656 people. Announcing a higher growth rate

of 1.19%, or an increase of 24,134 people, compared from the previous population of

416,522 in 2015. In 2015 Census, Pasay’s highest age group population were around 20

to 24 years old, with 48,729 individuals.

This age group are compromised to the city’s cost-effective active population, as well as

to the actual and possible members of manpower. Despite having the title of smallest

political subdivision in NCR, Pasay City is also known as the home to the biggest

cosmopolitan hotspots, big enterprises, and most attractive landmarks. Its vast land

complements with its impressive economic growth, business potential, and growing

urbanization. Pasay City claims to be the “facilitator of trade among its neighboring

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local government
LYCEUM units”
OF because the Civil Aeronautics
THE PHILIPPINES Administration
UNIVERSITY CAVITE (CAA) complex

are located here, which includes Ninoy Aquino International Airport and Villamor Air

Base.

Aside from the known airports, Pasay City are also known for restaurants, coffee

shops, and entertainment centers, located along the famous Roxas Boulevard and facing

Manila Bay, which considers as one of the best natural harbors in Southeast Asia. The

longstanding spiritual mecca in the National Shrine of Our Mother of Perpetual Help,

famously known as Baclaran Church are also located in Pasay City. Aside from

Baclaran Church, many recreational and cultural destinations are located here such as

SM establishments like the Mall of Asia, Mall of Asia Arena, SMX Convention Center,

and the SM headquarters, as well as the Resorts World Manila.

It is also the location of different popular attractions and notable event places

like the Cultural Center of the Philippines, Philippine International Convention Center,

Tanghalang Francisco Balagtas (formerly known as Folk Arts Theater), Manila Film

Center, Coconut Palace, World Trade Center, Cuneta Astrodome, Aliw Theater, and

Nayong Pilipino.

National government offices take also place inside Pasay City such as the

Department of Foreign Affairs, the Senate of the Philippines, and the main office of the

Philippine National Bank. Pasay City shares borders with City of Manila, Makati,

Taguig and Parañaque: circumscribed in the north by the City of Manila; northeast by

the City of Makati and city of Taguig; in the west of the city of Parañaque; and in the

west of Manila Bay. The city has a total land area of 1,831.98 hectares. Aside from the

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public transport
LYCEUM service
OFlike
THE buses, jeepneys, UV/GT
PHILIPPINES express, CAVITE
UNIVERSITY tricycles, and pedicabs,

Pasay City also holds the three (3) important metropolitan commuter systems within its

boundaries such as the Light Trail Transit (LRT) Line 1, Mass Rapid Transit (MRT),

and Philippine National Railways (PNR). The length of Pasay City’s national road are

63.71 kilometers. Department of Public Works and Highways (DPWH) conducted a

Visual Road Condition Survey in 2011, wherein it was known that about 46.62

kilometers or 73% of the city’s national roads has asphalted surface and 7.75 kilometers

or 12% has concreted surface.

It was also known that in terms of the condition, in 57.57 kilometers of national

roads with assessment, 48% was in good, 15% was in fair, and 27% were either poor or

bad. In contrast, the city has recorded 59.60 kilometers of city roads. The bulk of the

city roads are within San Jose and San Rafael District which has 29% and 24% of the

city roads, respectively. City roads are deemed narrow and not enough to accommodate

traffic because of the average width around 5.3 meters. It was also concluded that since

almost 39% of the roads have widths not greater than four meters, most of the city road

network cannot accommodate heavy traffic.

4.4.1.2 Market Trend

Plants produced in a hydroponically controlled environment can be

grown and harvested all year round because of the controlled conditions

supplied by the greenhouse unit. As a growing number of vegetables are

produced in hydroponics systems, it is projected that the market demand would

increase at a quicker rate. Vegetables like spinach and arugula, as well as Kale

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 and lettuce, are
LYCEUM OFgetting more prominentUNIVERSITY
THE PHILIPPINES among hydroponic farmers. Given the
CAVITE

high raw consumption of lettuce, it is no surprise that green and red leaf lettuce

are the most preferred hydroponically grown vegetables among indoor growers.

Moreover, consumer knowledge about the dangers imposed regarding

pesticides and artificial ripening agents used on crops is expected to have

increased demand for hydroponically grown plants as the approach eliminates

the need for such substances, resulting in far healthier food overall. Following a

commitment to contribute to the emergence of freshly produced greens in

metropolitan areas, Philia provides its products to clients in urban areas and the

nearby cities, shortening the distance between the farm and the plate.

4.4.1.3 Target Market

Philia Corporation's target market is restaurants, particularly those that

serve cooked viand. To be specific, non-fast food chain restaurants, except for

fast-food franchises that provide salad and burgers. In addition, the company's

products may be sold in the vegetable section of mall supermarkets. Grocery

stores and convenience stores are another target market.

Philia Corporation also offers the products and greenhouse to both vegan and

non-vegan consumers who wish to handpick their own type of vegetable to

encourage a fresh and healthy eating lifestyle.

4.5 Positioning

Philia company provides fresh and organic vegetables grown locally, closer to

the doorsteps of customers and to the market. With the use of advanced farming

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technology to prevent
LYCEUM OF the
THEusage of pesticides,
PHILIPPINES fertilizers, CAVITE
UNIVERSITY and all other external

influences, the company will be able to constantly meet and exceed consumer demand

year after year. As a result, Philia goes one step further to bring and introduce the

modern green to the city.

4.6 Marketing Mix

4.6.1 Product

Philia will be offering 4 different types of vegetable to its target market. The

following are the main products of the company: (1) Basil, (2) Kale, (3) Spinach and (4)

Lettuce. Hydroponically grown basil has shiny and succulent green colored leaves. It is

a popular culinary herb used in wide array of dishes and food preparation such as pasta,

soup and salsas and drinks. Hydroponically grown kale is a highly flavored green

vegetable with curly shaped leaves and a fibrous stem. It also used in a variety of dishes

and food preparation such as salad, soup, stuffing and topping.

Hydroponically grown spinach has a spoon-shaped, succulent, dark green

colored leaves. It has a subtle but powerful vegetable flavor that is often complemented

by iron or metallic ingredients. Hydroponically grown romaine lettuce has a dense head

or loose rosette with larger leaves formed underneath and smaller leaves as it moves up

the stem. It is a famous vegetable used in a broad range of dishes. These plants have

several health benefits and can be eaten as raw or cooked. However, these vegetables

are best consumed in a fresh state condition. With the method of growing plants

hydroponically, the customers will be able to get fresh, locally produced, and organic

vegetables.

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 Philia guarantees
LYCEUM that PHILIPPINES
OF THE a proper food UNIVERSITY
packaging planCAVITE
is implemented. If a

consumer purchases a vast volume of crops along with their root intact and free nutrient

solution, the company will use tuna boxes for product packing. In this manner, the

plants maintain their freshness that could last up to 7 days and is protected from

infection while in transit. Whereas the “green bouquet” type of packaging of banana

leaves with bamboo strings will be used for less than 1kg of vegetable only, which are

picked up by the client or delivered within the same day of harvesting period. The

company, thus, will take measures to ensure that the product is presented in the client's

best interest.

Product: Unit Price (Php)

Vegetable
Lettuce 1 Kg / 5kg 230 / 1,050
Spinach 500g / 5kg 195 / 1,850
Kale 500g / 5kg 395 / 3,850
Basil 500g / 5kg 365 / 3,550
4.6.2 Price

Table 4.13: Vegetable Pricing

Philia sells their product at a value-based price. It determines pricing

based on customers' perceived value, regardless of cost. Value-based pricing

profitably prices goods and services at their market value. It also offers a price

range rather than a particular sum; this range is subjective and shifts over time.

The standard payment terms of Philia company are 30 days. Early

payments as such within 15 days are highly encouraged to avail 2% discount

COLLEGE OF BUSINESS ADMINISTRATION

onLYCEUM
the total bill.
OFHowever, if the customer
THE PHILIPPINES fails to pay within
UNIVERSITY the specified time
CAVITE

(30 days), a 2% surcharge of the total bill will be imposed. The company only

accepts payment options such as cash, debit cards, mobile and online bank

payments.

4.6.3 Promotion

The Philia Company provides a high-quality product to the market using

hydroponic farming, which means that the crops are grown in water. The

company focuses on how to produce a high-quality product. Philia Company

will promote the brand on social media sites with most of the revenue coming

from product quality checks at each location where the product is sold. The

company chose every social media outlet to market the hydroponic product,

including Facebook, YouTube, Twitter, and Instagram. Likewise, the

corporation will select certain influencers with a strong following to promote the

product, and the influencer will be given a sample of the product to test and

compare to the standard product.

The goal of online social media advertising is to keep people informed

and aware of the hydroponic farming crops and company's existence. The

awareness and background of each product the company brand will be built

through online social media advertising. Because the product will be distributed

in various locations, it will provide a chance to reach out to potential consumers

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 from various markets.
LYCEUM OF THEItPHILIPPINES
will also raise awareness
UNIVERSITYthat hydroponic
CAVITE goods are of

excellent quality.

4.6.4 Placement

The Philia Company is located at 1st District of Pasay City, Barangay 76, Zone

10 along the intersection of Pea Rd 1 and Coral Way Drive in Pasay City, Metro

Manila. Consumers may come directly to the greenhouse to purchase and pick their own

vegetables. Customers must make a reservation two weeks before the harvesting time in

order to enter the greenhouse and handpick the product. They can check the company's

official website to make a reservation for a cost of Php249. Customers can also order

vegetables from the company for delivery. The vegetables will also be accessible at

supermarkets and grocery stores' vegetable sections.

Years Total Household Population in

Pasay City
2022 443,819
2023 448,352
2024 452,931
2025 457,558
2026 462,225
Source: City of Pasay Comprehensive Development Plan

The city has a land area of 13.97 square kilometers or 5.39 square miles. Its population as
determined by the 2020 Census was 440,656. This represented 3.27% of the total
population of the National Capital Region. Based on these figures, the population
density is computed at 31,543 inhabitants per square kilometer or 81,754 inhabitants per
square mile.

Local economy growth – 2.5%

https://cmci.dti.gov.ph/lgu-profile.php?lgu=Pasay

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