IMPACT OF COVID-19 ON THE SALONS OF MARIKINA CITY

A Thesis
Presented to the
Faculty of Our Lady of Perpetual Succor College

In Partial Fulfillment of the Requirements for Business Research

ROHANI BASAÑES
ARBY ANDRIA GAPASANGRA
JENELYN HERNAL
REVERIE ANN LIM
FRANZ RAHMIEL MURIEL
JERICHO ANDREI PANTIG
ALEXIS PRADO

May 2022
 APPROVAL SHEET
This thesis entitled “IMPACT OF COVID-19 ON THE SALONS OF
MARIKINA CITY”, prepared and submitted by Rohani Basañes, Arby Andria
Gapasangra, Jenelyn Hernal, Reverie Ann Lim, Franz Muriel, Jericho Andrei
Pantig and Alexis Prado in partial fulfillment of the requirements for the
degree of Bachelor of Science in Business Administration Major in
Marketing Management has been examined and recommended for
acceptance and approval.

May 27, 2022

GERALD LESTER CAOILI, PTRP, MSPT
Thesis Adviser

PANEL OF EXAMINERS

ALETH G. REYES, DBA

Chairman

MARGARETTE V. SOLIS, LPT REYLON D. TUNGOL, MBA

Panelist Panelist

ACCEPTED in partial fulfillment of the requirements for the degree in

BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION MAJOR IN
MARKETING MANAGEMENT

DR. ALETH G. REYES

College Dean

ii
 STATISTICIAN’S CERTIFICATION

This is to certify that this research study entitled, “IMPACT OF COVID-19

ON THE SALONS OF MARIKINA CITY”, prepared and submitted by

Rohani Basanes, Arby Andria Gapasangra, Jenelyn Hernal, Reverie Ann

Lim, Franz Rahmiel Muriel, Jericho Andrei Pantig and Alexis Prado in

partial fulfillment of the requirements for the degree of Bachelor of Science

in Business Administration Major in Marketing Management has been

statistically reviewed by the undersigned.

GERALD LESTER A. CAOILI, PTRP, MSPT

Research Adviser

iv
 ACKNOWLEDGEMENT

The study's success and completion would not have been possible without the

support, guidance, and unconditional support of the following individuals:

Mr. Gerald Lester Caoili, research adviser, for his insightful comments, advice,

encouragement, and unwavering support, which sparked the researchers' interest in

carrying out the study;

Ms. Maria Cecilia Ong, who validated the researchers' survey questionnaires

and provided valuable feedback and suggestions;

Dean Dr. Aleth G. Reyes, who has encouraged and supported the researchers;

All of the researchers' family and friends, for their unending moral and financial

support, guidance, encouragement, love, and prayers; and

Most importantly, the researchers wish to express their deepest gratitude to

Almighty God for giving them wisdom and knowledge, as well as the strength, bravery,

confidence, enthusiasm, and drive to pursue their study, as well as guidance, blessings,

and unconditional love.

THE RESEARCHERS

iv
 ABSTRACT

BASAÑES, ROHANI, GAPASANGRA, ARBY ANDRIA, HERNAL, JENELYN,

LIM, REVERIE ANN, MURIEL, FRANZ, PANTIG JERICHO ANDREI and

PRADO, ALEXIS. Impact of COVID-19 on the Salons of Marikina. In partial

fulfillment of the Requirements for the Degree of Bachelor of Science in Business

Administration Major in Marketing Management. Our Lady of Perpetual Succor

College, Marikina City. May 2022. Adviser: Ms. Gerald Lester Caoili

The main objective of this study is to seek the impact of COVID-19 on the

salons of Marikina, identify health and safety measures were taken during the

pandemic and the perceived factors that cause salons in Marikina to undergo

changes to suggest strategies and recommendations to the researchers’ chosen

salons in Marikina City.

The researchers used a 5-point Likert Scale with (5) as Strongly Agree, (4)

as Agree, (3) as Fair, (2) as Disagree, and (1) as Strongly Disagree. Each

category of the questionnaire is in accordance with the factors extracted from the

theories and related literature, determining the strength of those factors making

an impact on the salons.

The researchers made recommendations based on the results and

limitations of the study.

v
 TABLE OF CONTENTS

TITLE PAGE i
APPROVAL SHEET ii
STATISTICIAN’S CERTIFICATION iii
ACKNOWLEDGMENT iv
ABSTRACT v
TABLE OF CONTENTS vi
LIST OF TABLES vii
LIST OF FIGURES viii
Chapter I THE PROBLEM AND ITS BACKGROUND
Introduction 1
Theoretical Framework 2
Conceptual Framework 4
Statement of the Problem 7
Hypothesis of the Study 9
Significance of the Study 9
Scope and Limitations of the Study 10
Operational Definition of Terms 11
Chapter II REVIEW OF RELATED LITERATURE
Review of Related Literature 12
Synthesis of Related Literature 26
CHAPTER III METHODOLOGY
Research Design 27
Locale of the Study 28
Population and Sampling 28
Research Instrument 29
Data Gathering Procedure 29
Method of Statistical Analysis 30
Ethical Considerations 32

vi
APPENDICES

A Letter Request for Respondents 34

B Survey Questionnaire 35
C Request Letter for Validation 40
D Informed Consent Form 41
E Declaration of No Conflict of Interest 44
F Gantt Chart of Activities 45
BIBLIOGRAPHY 46
CURRICULUM VITAE 51

vi
LIST OF TABLES

vii
 LIST OF FIGURES

1 Maslow’s Hierarchy of Needs 3

2 The 7Ps Marketing Mix 4
3 Conceptual Framework 5

viii
 CHAPTER I

THE PROBLEM AND IT’S BACKGROUND

Introduction

“When was the last time you went to a salon?” This question is often

asked nowadays. Social media is filled with different attempts of people, of all

ages, cutting their hair. Some are watching YouTube tutorials, some are ordering

equipment, and in an attempt to give themselves decent haircuts during the

pandemic. Without the proper skill set of a trained professional hairstylist, usually

found in local hair salons, those who tried to end up with a bad hairdo, ranging

from mildly unsightly bangs to a drastic shaved head. The Covid-19 pandemic

has created new challenges in our life, especially in the ways many people work

and connect with others. The routine consumers have been repeating for years

was suddenly put on hold, without warning and alternatives, causing the market

to panic and become unstable. It is noticeable how the pandemic has affected

the crowning glory of most salon customers, but the salon’s status in the midst of

the Covid-19 pandemic remains a question. With regulars at the salon staying at

home and avoiding human contact at all times, salons are often left paying bills

such as rent and electricity even though they don’t receive customers, meaning

they have no income. Left with no financial ability, salons are resorting to different

options to cope. Everywhere consumers go, it appears that many

establishments, big or small, have been discontinuing their operations in the

pandemic setting but countless establishments have adjusted to the new terms

1
and taken the opportunity to cater to the new market that has emerged to

develop new strategies in order to stay in the competition.

The aim of this study is the following: answer the problems identified in the

statement of the problem, make recommendations and contribute to the following

individuals such as Customers, Salon Owners, Future Researchers, Marketers,

Future Employees and Our Lady of Perpetual Succor College Community.

Theoretical Framework

The researchers will adapt the following theories to support this study.

Innovation Theory of Profit

The Innovation Theory of Profit states that profit is the reward to enterprise

and innovation. The entrepreneur initiates innovation in the business and when

he succeeds, he earns profit as his reward. As salons change their ways of

operating, they are awarded profit from consumers who have recognized their

innovations in the salon to keep consumers safe during the COVID-19 pandemic.

2
Maslow’s Hierarchy of Needs

Figure 1. Maslow’s Hierarchy of Needs

Maslow's hierarchy of needs is a motivational theory in psychology

comprising a five-tier model of human needs, often depicted as hierarchical

levels within a pyramid. From the bottom of the hierarchy upwards, the needs are

physiological, safety, love, esteem and self-actualization. One of Maslow’s

hierarchy of needs is defined as safety, it refers to safety from certain elements

and any threat to the safety of one’s health, therefore Covid-19 is valid. Maslow’s

hierarchy of needs may explain the significance and reason of the consumers

that badly wanted to get a haircut, especially from their favorite salons and it will

also show different behavior that will explain it than before the pandemic.

3
Figure 2 The 7Ps Marketing Mix

The 7Ps of The Marketing Mix are Product, Place, Price, Promotion, Physical

Evidence, People, and Process. Salons possess the 7Ps of the Marketing Mix

which are product, place, people, process and physical evidence. Salons require

physical contact for the service to be received. An individual visits a salon, a

place, to acquire the product or service from people who are hairstylists. The

process of going to the salon and receiving the service is heavily affected during

the pandemic.

Conceptual Framework

The conceptual model presented below shows the use of variables and

processes in this study.

4
 Input Process Output

● Respondents in ● Quantitative ● Identify the effect of

terms of: Research Covid-19 on the
- Length of operations of
service in ● Survey salons at Marikina
salon Questionnaires City.
- Length of
salons’ ● Statistical Tools ● Give awareness of
operations the risk they’re
taking every time
● Safety going to salons and
● Health give
● Place recommendations
● Product on how to stay
● People safe.
● Process
● Physical Evidence
● Innovation
● Profit

Figure 3 Conceptual Framework

Figure 3 describes the conceptual framework of the study wherein input consists

of the following: Length of service in the salon, Length of salon’s operations, Safety,

Health, Place, Product, People, Physical Evidence, Innovation and Profit. On the other

side, the process being used is quantitative, survey questionnaires and statistical tools.

The output of this study will be (1) Identify the effect of Covid-19 on the operations of the

salons in Marikina City and (2) Give awareness of the risk they’re taking every time

going to salons and give recommendations on how to stay safe.

5
Operational Framework

Figure 4 Operational Framework

Figure 4 describes the operational framework of the study variables

extracted from the theories that are used in the study: 7Ps of the Marketing Mix,

Innovation Theory of Profit and Maslow’s Hierarchy of Needs. The variables are

product, place, people, process, physical evidence, innovation, profit, safety and

health. This leads to discovering the effect of Covid-19 on the salons of Marikina

City.

6
Statement of the Problem

This study attempts to identify the impact of Covid-19 on the Salons of

Marikina City. The study sought to answer the following questions:

1. What is the demographic profile of the respondents in terms of the

following:

1.1 Length of service in salon

1.2 Length of salon’s operations (in days)

2. What are the perceived factors that cause salons in Marikina to undergo

changes during the pandemic in terms of the following:

2.1 Safety

2.1.1 IATF Guidelines

2.1.2 Sanitation

2.2 Place

2.2.1 Physical Evidence

2.3 Finance

2.3.1 Profit

2.3.2 Expenses

2.3.3 Financial Stability

2.4 People

2.4.1 Employment

2.5 Process

2.5.1 Hair service process

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3. What safety measures do the salons implement during the pandemic in

terms of the following:

3.1 Safety

3.1.1 IATF Guidelines

3.1.2 Sanitation

3.2 Place

3.2.1 Physical Evidence

3.3 Finance

3.3.1 Profit

3.3.2 Expenses

3.3.3 Financial Stability

3.4 People

3.4.1 Employment

3.5 Process

3.5.1 Haircut service process

4. Does COVID- 19 have a significant impact on the salons of Marikina City?

5. What can be recommended to increase salons’ profit during the Covid-19

pandemic based on the results in terms of:

5.1 Safety

5.1.1 IATF Guidelines

5.1.2 Sanitation

5.2 Place

8
 5.2.1 Physical Evidence

5.3 Finance

5.3.1 Profit

5.3.2 Expenses

5.3.3 Financial Stability

5.4 People

5.4.1 Employment

5.5 Process

5.5.1 Haircut service process

Hypothesis of the Study

HO: COVID- 19 has no significant impact on the salons of Marikina City.

Significance of the Study

This study will attempt to identify the effect of Covid-19 on the salons of

Marikina City. These are the following that will benefit from the study:

Customers. This would be beneficial to the customer as they will be

aware of the changes salons have implemented to maintain their safety during

the pandemic, thus they are more willing to acquire the services salons in

Marikina offer. They will also gain insight and understand the salon and salon

owners’ struggle in continuing salon operations during the pandemic.

Salon Owners. They may become aware of the effect of COVID-19 on

their salon and learn new ways to cope in order to maintain operations while

observing health measures.

Future Researchers, this study can be used as a guide and reference for

9
other researchers who wish to conduct similar studies in the future.

Marketers. The concept of this study is to raise awareness of the new

risks and changes salons are prone to due to the Covid-19 pandemic.

Future Employees. This study will increase the awareness of how the

pandemic has changed the salon industry as businesses shift to the new normal.

Our Lady of Perpetual Succor College Community. This study will

benefit Our Lady of Perpetual Succor College in gaining more resources and

curricular revisions for the additional topics in the business field.

Scope and Limitations of the Study

This study will concentrate on the effect of Covid-19 on the salons of

Marikina City, given the limited time and resources that are mentioned within this

study.

This study will extract information from beauty salons and salon owners,

their safety precautions, and their customers’ agenda in every salon. The

researchers will explore salons in order to answer questions regarding how

customers can be safe and how factors such as the availability of stylists are

connected with the changes salons have changed during the pandemic. A

descriptive type of research will be used in the study. The data gathering will be

held at different selected salons found in Marikina City or using Google Forms,

whichever is more convenient for the respondents.

10
Operational Definition of Terms

COVID- 19 is an infectious disease,that causes citizens to avoid going outdoors

and making contact with other people.

Salons - establishments where both males and females acquire a wide variety of

hair services such as haircuts, hair styling and hair coloring in exchange for cash.

Quantitative research - type of research using quantifiable data.

Length of service - The total time employed with a company regardless of

position.

Product refers to the tangible object that is available to the market.

Place pertains to any place, whether physical or online, where there is an

exchange of goods occurring.

Promotion empowers the products and services to be effectively sold.

Physical Evidence proves that a certain product or service is valid and exists.

People are all the manpower involved in selling a product or service.

Processes describe all the operations in delivering the product or service

IATF guidelines - developed with the purpose of establishing readiness and

ensuring an efficient government response in order to evaluate, monitor, contain,

control, and prevent the spread of any potential pandemic in the Philippines.

PPE- Personal protective equipment, commonly referred to as "PPE", is

equipment worn to minimize exposure to hazards that cause serious workplace

injuries and illnesses. PPE will be classified into categories: eye and face

protection, hand protection, body protection, respiratory protection, and hearing

protection.

11
 CHAPTER II

REVIEW OF RELATED LITERATURES AND STUDIES

This chapter provided the researchers with various ideas, concepts and

knowledge on this study.

Socio-Demographic Profile

Length of service

According to Zhang et al. (2020) Length of service serves as the

measurement of work experience and social capital in enterprises. With the

accumulation of employees’ working age, they will accumulate more work

experience and social capital in the enterprise, so that they are more capable of

creating benefits for the enterprise and thus getting more promotion space.

Length of operation

The length of business operation represents the stability of a

business. Mohamad Alayuddin (2008) explains length of business

operations based on a start-up business graph derived by Syamsul Anuar

(quoted by Mohamad Alayuddin, 2008) in the first three years of business

operation, the main challenge is to achieve financial stability. At this stage

entrepreneurs try to implement their ideas and introduce their products. As

such, in this stage of business operation, it is critical for business owners to

manage their finances efficiently.

Product

According to Philip Kotler (2016), “A product is anything that can be

12
offered to a market for attention, acquisition, use or consumption. It includes

physical objects, services, personalities, place, organizations and ideas.”

Place

According to Philip Kotler, Place is the various the company undertakes to

make the product accessible and available to target costumer.

People

Because of the direct contact between customers and frontline employees

in marketing services this is considered an important element in the sale of

service products (Fedorko, 2018). The people dimension of service marketing

indicates that service personnel selection and training is a sine qua non in

service organizations such as airline companies' overall marketing effort.

Furthermore, it is equally critical that these service workers are sufficiently

encouraged and compensated to provide experiences satisfactory to successful

customers (Berry & Lampo, 2004).

Process

According to Adam Smith (1776), a business process is a collection

of linked tasks that find their end in the delivery of a service or product to a

client.

Physical evidence

Physical evidence includes aspects such as the service provider’s

building/facilities and staff appearance; other Aspects like personal hygiene

and uniformity. Additionally, advertising materials and branding campaigns are all

items of physical proof that act as measurable or a consumer service sectors

13
(Othman et al., 2019). Such tangible proof metrics are what prospective

consumers use to correctly or inaccurately determine such as quality of

service.

Physical evidence has been described as the atmosphere in which the

service is provided when the organization and the consumer communicate

and any observable components that promote service efficiency (Ali & Raza,

2017). Physical environment involves the presence and landscaping and physical

structure, cars, interior furnishings, equipment, uniforms, signage, written

materials and other noticeable materials Physical evidence is, therefore, an

aspect of a marketing mix of services that enables customers to assess a

product (Brown & Swarts, 1989).

Innovation

Innovation is the creation and implementation of new processes, products,

services and methods of delivery which result in significant. improvements in

outcomes, efficiency, effectiveness or quality (Peter, 2017)

Profit

Profit is an absolute number determined by the amount of income or

revenue above and beyond the costs or expenses a company incurs

(Horton,, 2021)

Safety

According to Ruth Mayhew (2018), it means having a

workplace that's reasonably free from danger to all employees and

14
actively preventing the workplace from becoming unsafe.

Health

According to WHO Health is A state of complete physical,

mental and social. well-being and not merely the absence of. disease

or infirmity. (2011)

Foreign Studies

Economic Effects of Pandemic

The global pandemic has been causing increased unexpected and sudden

unemployment. Many have lost in months what they had to gain in several years.

EU candidate countries are experiencing a strong depreciation due to

unemployment in 2020. Lowered employment rates of over 3 percentage points

in Albania and Serbia; the total unemployment rate is expected to increase 2- 3

percentage points in all candidate countries. Egypt’s unemployment increased by

0.8 percentage points, while Morocco increased up to 1.4 percentage points,

losing achieved points Morocco gained in the last months of 2019. Tunisia’s

unemployment rates increased up to 15.1% during the lockdown. Sectors such

as tourism, restaurants and catering, transportation, ar manufacturing, retail, fuel

production and distribution, and culture were heavily affected. The COVID-19

outbreak has brought great distraught to oil and gas exporting countries and

countries that rely on international trade (Bosona and Kosovo, 2020). Each

country’s economic status has been greatly affected by the global pandemic.

15
 The COVID-19 pandemic crisis will have a major impact on the

global economy, with some reports suggesting that China might suffer the most

from an economic point at least. (Erken, 2020).

Small businesses are characterized by exceptional flexibility, a propensity

for entrepreneurial ventures, smaller production volumes, simple

organizational structure, and informal internal communication

(Lazarevic-Moravcevic, 2019, p.106). However, they are generally more

vulnerable in times of economic crisis. The early evidence indicates that

the impact of the COVID-19 pandemic on SMEs is worse than the 2008

financial crisis. Given that SMEs are the engines of economies around the

world, their collapse could significantly impact the growth of national

economies.

Early evidence of a survey of 761 business owners mostly SMEs

conducted by the University of International Business and Economics in

February reported the impact of the COVID-19 outbreak, lockdowns and

travel ban on the confidence of both domestic and international companies,

expected loss of revenues and challenges related to cash flow (He Wen

Long & Wu Jian Feng, 2020).

The survey was conducted in the United Kingdom to identify the

groups of workers who are most exposed to aggregate risk of salary

reduction, and the results show that young workers employed in small

enterprises are most at risk of 8-9% salary reduction (Bell et al., 2020).

As reported by ADB Briefs (2020), impact on employment and wage

16
income: A critical impact of the COVID-19 outbreak is on labor. PRC, estimated 5

million people lost their jobs in January and February 2020. The urban

unemployment rate hit a record 6.2% in February 2020, up from 5.3% in January

2020 and 5.2% in December 2019. It is a fascinating fact that the labor impact

does not root from health effects and risk of the virus but from the restrictions the

government has implemented in order to fatten the infection curve. Mobility, travel

and border restrictions were mainly the reason for the job losses.

According to Dubey et al. (2020), COVID-19 pandemic has resulted in a

health crisis and slowdown of many industries all over the world leading to global

economic loss. Social distancing as a part of health protocol has caused

problems, especially for workplaces that require customer-provider interactions

or activities that involve a large group of people. Workplaces that include

machinery and equipment may not function smoothly or may remain unavailable

due to shutdown in the lockdown period. Social distancing is being implemented

in the workforce. Insecurity dreads the workforce as they may be at risk in losing

their jobs. With decreased workforce the workload becomes. It is the manager’s

job to keep the balance between production, safety and profit in the workplace

and keep employees stress-free and motivated despite the pandemic. The

workforce is reduced in various industries meaning their productivity is reduced.

Safety and Health Precautions

According to the World Health Organization (2020), the most effective way

to prevent and slow down transmission is to be knowledgeable about the

COVID-19 virus, the disease it causes and how it is spread. Individuals should

17
protect themselves and the people around them by washing hands or disinfecting

using an alcohol-based rub frequently and avoiding touching one’s face.

COVID-19 virus spreads by droplets of saliva or nasal discharge from an infected

person when they cough or sneeze, so it is important to follow respiratory

etiquette (for example, by sneezing or coughing into a flexed elbow).

“Our top concerns are the health and wellness of the individuals in the

industry, their clients and customers as well as the potential economic impact on

the salons and licensed beauty professionals. Aside from maintaining health as

the most integral priority, we want to help ensure that the salon world is minimally

impacted economically (Moratto, 2020).

Symptomatic people are beckoned by public health authorities to wear

masks in order to reduce transmission risk. Although at the time of this study

there was an absence of a recommendation from organizations for the

community to use facemasks for COVID-19 mitigation (that is, everyone

asymptomatic should use a face mask outside of their home), the World Health

Organization strongly recommends symptomatic individuals to wear them for it is

an effective way to prevent transmission risk of COVID-19. However, the

magnitude of the effects has no direct evidence, especially at a population level.

(Lyu &Wehby, 2020). Many governments have already introduced policy

measures to mitigate the economic impact of the COVID-19 outbreak. The

overview of the SME policy responses is provided by OECD (2020) based

on an analysis of 31 SME surveys conducted worldwide on the impact of

COVID-19 on SMEs.

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 SARS-CoV-2, the virus that causes coronavirus disease 2019

(COVID-19), is thought to be transmitted mainly by person-to-person contact.

Implementation of nationwide public health orders to limit person-to-person

interaction and of guidance on personal protective practices can slow

transmission. Such strategies can include stay-at-home orders, business

closures, prohibitions against mass gatherings, use of cloth face coverings, and

maintenance of a physical distance between persons. To assess and understand

public attitudes, behaviors, and beliefs related to this guidance and COVID-19,

representative panel surveys were conducted among adults aged ≥18 years in

New York City (NYC) and Los Angeles, and broadly across the United States

during May 5–12, 2020 (Czeisler, M. É. et al, 2020)

The COVID-19 outbreak has spread into a global pandemic and countries

have implemented health safety measures such as containment policies, travel

bans, and community lockdowns to flatten the infection curve. Google data

analytics have estimated the direct impact of these health safety precautions

over time and geography across different categories of public places such as

retail and recreation, groceries and pharmacies, parks, transit stations,

workplaces, and residential areas (ADB Briefs, 2020).

Local Studies

New normal in Salons

Many individuals are thrilled to have a proper haircut soon, but salons

have been going through drastic changes and are not the same as before. Salon

owner Jing Monis said that the pandemic has brought changes in the hairstyling

19
industry. “As we reopen, a lot of things will change that our clients should expect.

We will be strict to follow the orders for the safety of everyone.” The Department

of Trade and Industry will allow haircut establishments to operate on June 7 at 30

percent capacity in areas under general community quarantine. With the new

normal, gone is the scene of crowded barbershops and salons with customers

chit-chatting with one another. Monis, who has several branches of his salon in

Metro Manila, said that customers will have to book their appointment in his

salon. As his salons reopen next week, Monis said that his employees will have

to undergo first rapid testing and the establishments will conduct general

cleaning. (Vince Ferraras CNN Philippines, 2020).

The new normal brought by the pandemic has redefined the plane of

doing business in the country and this novelty is an invitation to also rethink and

recalibrate the age-old CST themes that particularly concern the vocation and

mission of a (Filipino) business leader. It is hoped that this can provide new

insights and perspectives that can enrich existing ideations and ideologies on

what it means to be an ethical Filipino business leader. Moreover, this paper

acknowledges the culture-specific nuances as it explicitly discriminates the

business leader within the context of his/her race, ethnicity, and culture—as a

Filipino business leader. In this regard, it is important to articulate the ethos of the

Filipino business leader not only within the CST terms but also within his/her

ethnocultural cosmology. Thus, this paper attempts to articulate the dynamics of

doing business in the Philippines within the sociocultural ideations of suki and

kapwa (Pabalan & Macaraan, 2021)

20
 According to the Philippine Institute for Development Studies (Abrigo et al

2020), the Philippines may suffer economic losses between P276.3 billion and

P2.5 trillion due to the COVID-19 pandemic. The most affected business sectors

will be manufacturing, with losses between P82.1 billion and P855.2 billion,

wholesale and retail trade, with losses between P93.2 billion and P724.8 billion,

and transport/storage/communication, with losses between P11.7 billion and

P124.3 billion. Abrigo et al (2020) also estimated that, if the ECQ continued to

May 2020, it would potentially cost the Philippine economy at least P150 billion

given the decline in household consumption.

Beauty salons, barber shops allowed on June 7 but only haircuts are

allowed -DTI. You will soon be able to get your long-overdue haircut as salons

and barbershops reopen this Sunday, but hair dyes and other treatments may

have to wait a bit longer. The task force leading the country’s coronavirus

pandemic response has approved the reopening of salons and barbershops at

30-percent capacity in areas under general community quarantine beginning

June 7, Trade Secretary Ramon Lopez confirmed Saturday. Meanwhile, in areas

under modified GCQ, the lowest form of quarantine, salons and barbershops

could let half of their workforce report to work from June 7. After three weeks

they could start operating at full capacity, Roque added. Metro Manila and the

cities of Cebu and Mandaue will transition to GCQ from June 1 to June 15 after

two months of enhanced community quarantine, a more stringent form of

restriction. The rest of Central Visayas and the regions of Cagayan Valley,

Central Luzon and Calabarzon, the province of Pangasinan and cities of

21
Zamboanga and Davao will also be under GCQ, while the rest of the country will

be under modified GCQ, the lowest form of quarantine. What we want is for

barbershops and salons to practice our health protocols, practice their workers

as well as customers so that everybody will get accustomed to the new protocols.

Eventually, when we are able to expand the allowable services, they will all know

what to do. Contactless appointments and payments are encouraged.

Employees must also be free of COVID-19 symptoms and have no exposure to

patients with the viral disease being allowed to come to work. They are prohibited

from wearing jewelry, observe proper waste disposal, and wear personal

protective equipment. (Catherine A. Modesto,CNN Philippines,2020)

Barbershops and beauty salons are expected to reopen as the

Inter-Agency Task Force for the Management of Emerging Infectious Diseases

(IATF-MEID) has granted permission for gradual resumption of their operations in

areas under general community quarantine (GCQ). Resolution No. 41 has been

granted for barbershops and beauty parlors. If an area is in Category III, it is

under GCQ, and establishments within that area are permitted to operate30

percent capacity starting on June 7 (Inquirer.net, 2020).

The Philippines has been under quarantine since mid-March 2020. The

government has been responsible to release guidelines to barbershops and

salons so they could operate again. Barbershops and salons in GCQ areas are

allowed to operate at 30 percent quality by June 7 and gradually increase by two

weeks. Meanwhile, modified GCQ or MGCQ salons can operate 50 percent and

increase at 100 percent by three weeks. Roque stressed that continuation of

22
operations are only limited for haircut services. Manicures, pedicures, massages

and personal services such as eyebrow fixing and waxing are still prohibited

under GCQ (One News, 2020).

Establishments value their employees just like other establishments,

prioritizing the safety of staff and clients is first priority in these times. The owner

Lourd shares a strong but touching line, "Creations will not operate till there is a

vaccine, so I would rather lose money than lose life!" As serious as this may

sound, we truly know where he is coming from, being an entrepreneur that

handles many employees. To ensure that safety is present for all involved,

Lourd's staff undergo constant temperature checks, get flu shots, take vitamins

every day, are encouraged to exercise in the morning, eat healthily, wear and

change PPEs per client, per transaction, complete with face masks, face shields,

and alcohol. I notice In their kit, there aren't just the usual hair tools for this time

they've completed their lineup of tools by including UV lights, air purifiers, and UV

sterilizers, something that they've been using since 2010. And because they

want to take it a step further, and according to this article, the PPEs they wear

are all DOH-certified, as well as CE-certified ABS face shields, gloves, and

disposable face masks. When a client comes in for a cut, each one is given

disinfected goggles, gloves, one-time use capes and face shields for

shampooing. (Metro Style, 2020)

Most MSMEs immediately lacked the funds necessary to maintain their

business after the lockdown. The magnitude of the working capital shortage was

more serious in smaller firms. There were 43.8% of micro, 23.2% of small, and

23
3.9% of medium-sized enterprises with no cash or savings at the time of the

survey (Figure 7). In addition, 61.4% of medium-sized, 53.1% of small, and

37.8% of microenterprises reported that they would run out of funds within a

month. Only 14.8% of micro, 19.0% of small, and 28.7% of medium-sized

enterprises had enough cash and savings to keep their business going for 1

month. All the sectors faced a serious lack of funds to operate (Shinozaki and

Rao, 2021).

Unemployment

The ECQ and other lockdown measures included travel bans and

temporary closures of schools and businesses. To ease the impact on

businesses, the government increased spending to support tourism. To support

employment, the government provided one-off financial assistance to the most

affected workers (P5,000), a temporary employment program for informal

workers, P1.2 billion to support displaced workers, and unemployment insurance

(Shinozaki and Rao, 2021).

Internationally, thousands of Overseas Filipino Workers (OFWs) have also

been sent back home as they were retrenched in their host countries’

workplaces, either temporarily or permanently. This has incurred the country a

huge loss in inbound remittances. If not mitigated and properly addressed, this

scale of job unemployment will have serious socioeconomic implications that

may reinforce further social inequality across socioeconomic classes, with the

most vulnerable sectors in society most affected. The spread of the virus has

impacted industries. It is evident that COVID-19 has been affecting several small

24
businesses and even large companies in the Philippines (De Vera, 2020).

Today’s situation has pitted people in a war against the COVID-19 virus

which has already killed more than a million human lives in the world and

counting.1 While roughly 71% of people have recovered and survived the

dreaded illness, its impact on the global economy and livelihood of people is

unimaginable. The COVID-19 pandemic has challenged the habitus of the

so-called homo economicus. Today’s business leaders and employers face

overwhelming challenges as they attempt to navigate through the tide of the

pandemic’s impact on their corporate structure, finances, and most importantly

on their most important resource: workers. Most CEOs have prioritized the

creation of a support structure for their employees, their customers, and even

their suppliers while looking to address disruptions in supply chains, reductions in

revenues, and the emergence of growth pathways and evolving market

demands. Doing business particularly related to workers’ performance needs to

be assessed differently (Buchanan et al. 2005).

In a news article by Inquirer last 18 August 2020, Yee et al. (2020) showed

contrasting data on the extent of job loss during the COVID pandemic in the

Philippines. The survey conducted by the Social Weather Station (SWS) last July

2020 showed approximately 27.3 million Filipinos without a job during the

pandemic but the Department of Labor and Employment (DOLE) claimed that

only approximately 100,000 workers were laid off due to the pandemic with,

one-third of whom losing their jobs in June alone (Pabalan & Macaraan, 2021)

25
Synthesis of Reviewed Literature

The new disease known as Coronavirus or COVID-19 carries health risks

all over the world, but this disease is none like the diseases that have already

existed, meaning the world is adjusting to the ways it is spread and treated. The

cure does not include special treatment, but it is deadly nevertheless, especially

to older people with underlying health problems. The Coronavirus not only

threatens our health aspect, but also the economic aspect. Establishments are

having a hard time coping with the sudden need of terminating employees,

leading to globally large-scale unemployment. New health protocols are required

to be implemented, adding up to expenses for purchasing facemasks, alcohol

and other disinfecting equipment. Salons are under pressure of paying bills

without receiving profit, and financially suffering, during this pandemic.

26
 CHAPTER III

RESEARCH METHODOLOGY

This chapter deals with the research methods and design, participants,

locale of the study, research instrument, data gathering procedures and the

statistical treatment that apply in working the data.

Research Design

The researchers will use a quantitative and descriptive design for this

study. Methods of quantitative research are those that involve describing findings

with numbers. (Kowalczyk, 2016). Quantitative data consists of numbers that are

collected through structured, validated, and statistically analyzed data-collection

instruments (Leung, 2015).

A Descriptive type of research is a kind of study that describes the nature

of a situation as it exists at the time of the study and explores the cause of a

particular phenomenon. It is concerned with determining the present condition or

characteristics of a research subject. It describes words, analyzes and interprets

what it is (Alisay, 2014).

Descriptive studies play an important role in educational research. Gall

(n.d) explained that the descriptive approach is the most widely used research in

behavioral science. It produces findings, which are both in the preliminary and

final stages of an experimental study.

This study will explore and describe the relationship between Covid-19

and its impact on business salons around Marikina City.

27
Locale of the Study

This research will be conducted at various salons in Marikina City.

Population and Sampling

This study will use purposive sampling, this type of sampling involves the

researcher using their judgment to select a sample that is most useful to the

purposes of the research. After discovering the population of salons in Marikina

City In order to gather relevant information about the impact of COVID- 19 on

salons of Marikina City, the salons must be operating during the pandemic and

have witnessed or implemented changes within the past 2 years.

The researchers aim to gather data from 50-60 salons around the

Marikina area. The margin of error for this study is 5%.

The inclusion criteria of the participants to ensure the efficiency of this

study are:

● Salons located in Marikina City.

● Salons that accept male and female clients that demand hair

services.

● Have a position as the owner or authorized salon employee.

● Employment with at least 6 months within the pandemic period

(March 2020- present)

The exclusion criteria of the participants to ensure the efficiency of this

study are:

● Nail technicians and any employee in the salon who does not

handle hair services.

28
 ● Employment less than 6 months within the pandemic period (March

2020- present).

Research Instrument

The researchers will use survey questionnaires in a checklist format

to gather data from the respondents. A questionnaire according to Merriam

Webster Dictionary (n.d) is a written set of questions that are given to

people in order to collect facts and opinions about something.

Respondents will be instructed to answer according to their degree of

agreement with each statement included in the instrument.

The questionnaire has different sections. First, the demographic profile

of the respondents and their essential data. The second part is categorized

into safety (health), place (physical evidence) people (employment), finance

(profit, expense and financial stability) and process (hair service process).

The questionnaire is structured in a modified Likert fashion, on a

five-point scale, ranging and labeled from 5 as “Strongly Agree”, 4 as “Agree”,

3 as “Fair”, 2 as “Disagree” and 1 as “Strongly Disagree”.

Beyond the Likert scale is a separate checklist for their safety

recommendations to other salons as well as their own.

Data Gathering Procedure

The first step in the data gathering procedure is to go to the Municipal hall

of Marikina City and get the list of salon businesses present in Marikina City and

get the sample with a margin of error of 5%. Then make a survey questionnaire

in accordance with the study’s statement of the problem and have a professional

29
validate it. Then make a request letter and submit it to the email address of the

chosen salon establishments or physically hand it to them. The letter is

addressed to the salon owner of the establishment or the person with the highest

position present in the establishment at that time. The researchers will then ask

for 10 minutes from the salon owner or person with the highest position available

to answer the questionnaire. The responses will be recorded via Google forms to

ensure minimal physical contact. After the data gathering, the researcher will

collect the survey questionnaires, record responses and tally results to apply the

statistical treatment to be used in the study.

Method of Statistical Analysis

Likert Scale will be utilized by the researchers because it is useful for

evaluating the results of the survey questionnaire related to the problem of the

study. The researchers will use the score from each respondent to determine

which of the factors and how intense those factors contributed to the Covid-19

pandemic affecting salons in Marikina City.

The data will be collected through survey questionnaires. To give an

absolute construction of data that will be gathered, the researchers used

fundamental statistical formulas for data analysis. The formulas that will aid this

study are the following given below:

Weighted Mean. Since the respondents of groups are assigned points, the

weighted mean will be used as a measure of central tendency.

30
 𝑛
∑=1 𝑤𝑖𝑋𝑖
𝑖
W= 𝑛
∑=1 𝑤𝑖
𝑖

Where:

W= weighted average

n= number of terms to be averaged

w𝑖= corresponding weight

X𝑖= the value of any particular observations or measurement.

The scale used in interpreting the mean is shown below:

Scale Range Verbal Interpretation

5 4.21 - 5.00 Strongly Agree

4 3.41 - 4.20 Agree

3 2.61 - 3.40 Fair

2 1.81 - 2.60 Disagree

1 1.00 - 1.80 Strongly Disagree

Frequency and Percentage. This will be used to determine the size of the

population that agrees with each of the choices given in the survey

questionnaire.

𝑓
P= 𝑛
x 100%

Where:

P= percentage

f = frequency of selected choice

31
 n= total number of respondents

Ethical Considerations

The researchers will observe the following research ethics approaches

during the research process:

1. Legality. Identify and obey relevant laws and institutional and

governmental policies. Such as policies concerning the social

distancing during the pandemic.

2. Social Responsibility. Strive to promote social good and prevent

or mitigate social harms through research, public education, and

advocacy.

3. Confidentiality. Protect confidential communications, such as

papers or grants submitted for publication, personnel records, trade

or military secrets, and patient records.

4. Honesty. Honestly report data, results, methods and procedures,

and publication status. Do not fabricate, falsify, or misrepresent

data.

5. Carefulness. Avoid careless errors and negligence; carefully and

critically examine your own work and the work of your peers. Keep

good records of research activities.

6. Respect for Intellectual Property. Honor patents, copyrights, and

other forms of intellectual property. Do not use unpublished data,

methods, or results without permission. Give credit where credit is

due. Never plagiarize.

32
APPENDICES

33
 APPENDIX A
LETTER REQUEST FOR RESPONDENTS

To the Salon owners and Authorized personnel of salons,

Dear Sir/Madam,

Greetings!

In partial fulfillment of the requirements of Marketing Management students in

Business Research, we are conducting a research entitled, “The Impact of COVID-19
on the Salons in Marikina City”.

We are in the process of gathering data through surveys that will be used in our study.
Regarding this issue, we would like to ask your permission and help distribute and
answer our survey questionnaires to this salon to help us obtain the information we
need concerning our topic.

We would greatly appreciate your consent at our request.

Thank you for your time and positive action.

Respectfully yours,

Rohani Basañes

Arby Andria Gapasangra

Jenelyn Hernal

Reverie Ann Lim Noted by:

Franz Muriel

Jericho Andrei Pantig ____________________________

Alexis Prado GERALD LESTER CAOILI, PTRP, MSPT

Researchers

34
 APPENDIX B
SURVEY QUESTIONNAIRE

Name
(optional):_________________________________

Length of service in salon : _____________

Length of salon’s operations (in days):_____________

Directions: Kindly check the box of your

corresponding answer to each question.

Question Strongly Agree Fair Disagree Strongly

Agree Disagree
5 4 3 2 1

I. SAFETY

HEALTH

1. The operations (example: opening hours, work

ethic, etc.) of the salon you work in change during the
pandemic.

2. Due to the Covid-19 pandemic the salon reduced

the workforce of the salon to avoid spreading the
virus.

3. Employees observe health and sanitary policies

during the pandemic.

4. The salon changed or modified the mode of

payment to reduce contact with consumers.

5. You take serious precautions (ex. sanitizing with

alcohol, wearing face masks, etc.) in the salon before
and after you entertain a customer.

6, The Salon followed IATF guidelines.

7. The salon was sanitized more often than before the

pandemic.

II. PLACE

PHYSICAL EVIDENCE

1. The salon’s facilities were modified during the

Covid-19 pandemic.

35
2. The salon’s capacity was reduced during the
Covid-19 pandemic.

3. Alcohol stations and sanitation devices were added

to the salon.

4. Posters regarding Covid-19 safety rules were

posted inside the salon.

5. The seats were placed more apart than it was

before the covid-19 pandemic.

6. The customers’ and employees’ temperature was

taken by any temperature-taking device such as
regular thermometers, infrared thermometer stands or
infrared temperature guns.

7. Social distancing devices such as barriers were

installed in the salon during the Covid-19 pandemic.

8. Any form of Personal Protective Equipment or PPEs

(eye and face protection such as face shield, hand
protection such as gloves, body protection such as
PPE suits and respiratory protection such as face
masks) are utilized by employees in the salon for the
safety of both employees and customers.

III. FINANCE

PROFIT

1. There were fewer customers acquiring hair services

during the pandemic than before the pandemic
occurred.

2. Consumers were exhibiting different habits such as

asking if the salon was sanitized regularly.

3. Consumers start acquiring salon services more

frequently when they recognize sanitary precautions.

4. The Salon had stable financial stability during the

COVID-19 Pandemic.

5. The Salon’s Financial Stability was affected by the

COVID-19 pandemic.

6. The salon experienced a change in the number of

customers acquiring salon services during the
pandemic.

7. The Salon’s profit was affected by the COVID-19

36
Pandemic.

8. The Salon’s profit decreased during the COVID-19.

EXPENSES

1. The Salon’s expenses were affected by the

COVID-19 Pandemic.

2. The Salon’s expenses increased during the

COVID-19 Pandemic.

3. The salon underwent expense-cutting changes in

order to sustain their salon during the pandemic.

4. The workforce of the salon was reduced to continue

operations of the salon.

5. You observed changes in the salon‘s financial

standing when the pandemic occurred.

6. You conserve resources such as electricity, water,

and grooming materials to lessen expenses during the
pandemic.

7. You increased the charge for your service because

of sanitation expenses.

FINANCIAL STABILITY

1. The salon is financially stable during the pandemic.

2. The salon, at times, was forced to close or reduce

its operating hours or days due to a lack of financial
stability.

IV. PEOPLE

EMPLOYMENT

1. The number of salon employees was reduced

during the Covid-19 pandemic.

2. There was a reshuffling of employees’ work

schedules during the Covid-19 pandemic.

3. The salon struggled to pay employees their wages

during the pandemic.

37
4. The salon struggled to pay employees their wages
so they were removed from the workforce.

V. PROCESS

HAIR SERVICES PROCESS

1. The salon’s business operations in hair services

were affected by the Covid-19 pandemic.

2. The salon only accepted appointment-only

transactions during the pandemic.

3. Customers were encouraged to sanitize themselves

before entering the salon.

4. Customers’ temperatures are taken upon entering

the salon.

5. The salon makes customers fill up contact tracing

forms or use contact tracing applications upon
entering the salon.

6. Any form of Personal Protective Equipment or PPEs

(eye and face protection such as face shield, hand
protection such as gloves, body protection such as
PPE suits and respiratory protection such as face
masks) are worn by employees throughout the hair
service.

7. Any form of Personal Protective Equipment or PPEs

(eye and face protection such as face shield, hand
protection such as gloves, body protection such as
PPE suits and respiratory protection such as face
masks) are worn by customers throughout the hair
service.

38
VI. Recommendation/Suggestion of the Respondents.

Instruction: Please check ( ∕ ) the recommendations/suggestions that will further improve other
salons during the pandemic.

Safety Recommend Do not Recommend

1. Place automatic thermal scanners at the

entrance of the salon.

2. Place sanitizer at every corner of the salon

for immediate use.

3. Avoid small talk and keep the conversation

minimal.

4. Wear Personal Protective Equipment or

PPEs (eye and face protection, hand
protection, body protection, respiratory
protection) while handling customers.

5. Place posters reminding customers and

employees to observe health precautions at
all times.

6. Make contact tracing measures such as

contract tracing forms or contact tracing
applications.

Thank you very much!

- The Researchers

39
 APPENDIX C
REQUEST LETTER FOR VALIDATION

(Date)

Ms. Maria Cecilia Ong

MBA Professor
Our Lady of Perpetual Succor College Marikina City

Dear Prof. Ong:

Greetings!

We are the Marketing Management students of Our Lady of Perpetual Succor

College. We are conducting a study entitled “The Impact of COVID-19 on the
Salons of Marikina”.

In light of this, we need assistance with regard to the validation of the

questionnaire we formulated necessary for the study. You are the most qualified
and capable evaluator in this situation, and we humbly ask for your permission,

Thank you very much.

Sincerely,

Rohani Basañes
Arby Andria Gapasangra
Jenelyn Hernal
Reverie Ann Lim
Franz Muriel
Jericho Andrei Pantig
Alexis Prado

Noted by:

Gerald Lester Coaili

Research Adviser

40
 APPENDIX D

INFORMED CONSENT FORM

Impact of Covid-19 on the Salons of Marikina City

INVESTIGATORS

Rohani Basañes

Arby Andria Gapasangra

Jenelyn Hernal

Reverie Ann Lim

Franz Muriel

Jericho Andrei Pantig

Alexis Prado

Department: Our Lady of Perpetual Succor College Marikina

Contact no:

09613126587

09650842693

09399365356

PURPOSE OF THE STUDY

You are invited to take part in a research study. But before you accept, we would
like to help you understand the research and what participation you will be
involved in. Please read through this informed consent and feel free to let us
know if you need some clarifications.

The purpose of this study is to identify the positive and negative effects of
Covid-19 pandemic on service businesses to ensure the safety of customers and

41
workers and to guide future researchers who will investigate in relation to this
study.

STUDY PROCEDURES

Should you wish to participate in this study, we will ask you for your personal
information and your educational background. Then, you will answer a series of
psychological questions in order to evaluate which category you belong to. Then
you will be asked another series of analytic questions about your opinion on
certain matters.

We will be asking about 50-60 individuals to take part in this study. This study will
take more or less than 10 minutes per individual consisting of the quick
answering of the survey questionnaire.

CONFIDENTIALITY

For the purposes of this research study, your comments will not be anonymous.
Every effort will be made by the researcher to preserve your confidentiality
including the following:

● Assigning code names/numbers for participants that will be used on all

research notes and documents
● Keeping notes, interview transcriptions, and any other identifying
participant information will be kept in the personal possession of the
researcher

Participant data will be kept confidential except in cases where the researcher is
legally obligated to report specific incidents.

CONTACT INFORMATION

If you have questions at any time about this study, or you experience adverse
effects as the result of participating in this study, you may contact the researchers
whose contact information are provided on the first page. If you have questions
regarding your rights as a research participant, or if problems arise which you do
not feel you can discuss with the researchers.

42
VOLUNTARY PARTICIPATION

Your participation in this study is voluntary. It is up to you to decide whether or

not to take part in this study. If you decide to take part in this study, you will be
asked to sign a consent form. After you sign the consent form, you are still free to
withdraw at any time and without giving a reason. Withdrawing from this study
will not affect the relationship you have, if any, with the researcher. If you
withdraw from the study before data collection is completed, your data will be
returned to you or erased.

CONSENT

I have read and I understand the provided information and have had the
opportunity to ask questions. I understand that my participation is voluntary and
that I am free to withdraw at any time, without giving a reason and without cost. I
understand that I will be given a copy of this consent form. I voluntarily agree to
take part in this study.

Participant's signature ______________________________ Date __________

Investigator's signature _____________________________ Date __________

43
 APPENDIX E
DECLARATION OF NO CONFLICT OF INTEREST

CONFLICT OF INTEREST

No member of our group shall be interested in, or in any manner

connected with any contract or bid. Neither shall any member accept or receive

from any person, firm, or businesses to whom any contract may be awarded,

directly or indirectly by rebate, gift or otherwise any money or other thing of value

whatever, nor shall any of our groupmates receive any promise, obligation, or

contract for future reward or compensation from conducting this research about

their business during this pandemic.

________________________ _________________

Group Leader Signature Date

44
 APPENDIX F
GANTT CHART OF ACTIVITIES

45
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