CHAPTER 2

THE MARKET STUDY

Market Description

We named our business as Heart Pharmacy that specializes in medical prescriptions and
supply. The business will be located at Blue Mountain Street, Tanauan City, Batangas,
along President Jose P. Laurel Highway. The expected target market is the relatives or
companions of patients that are confined to Daniel O. Mercado Medical Hospital and the
residences that live on Poblacion 2, 3 and some in Poblacion 1.

Residences

Our pharmacy’s target market is the nearby barangays residences. Most mid-aged people
always buy medicine and vitamins for their maintenance. And some teens buy medicine for
their own sake and sometimes for their projects at school. And because we are near a
hospital, a patient's companion will choose to buy from us than others because they don't
have to ride a transport because we’re just in the same street.

Workers

Our workers are fully trained and have a college degree, so that we can serve our
customers our best service we can give. Our pharmacy is open from 7am in the morning
until 10pm of the night. Our location is close to residences nearby for some employees.
 Survey Results

Answers Percentage

Male 63%

Female 37%

Based on the survey results most of them are female, so Heart's Pharmacy will expect more female
patients and customers would go to our pharmacy than male.

Answers Percentage

12-17 78.3%

18-22 15.2%

23-28 0%

28 o higit pa 6.5%

Based on the survey we conducted. Teens are the majority numbers of customers.
Answers Percentage

Oo 73.9%

Hindi 26.1%

Based on survey results there are 12 who answered no, and 34 people who answered yes.

Answer Percentage

Araw- Araw 0%

Linggo-linggo 10.9%

Buwan- buwan 15.2%

Hindi ganoon kadalas 63%

Hindi bumibili sa botika 10.9%

Most of respondents are not always buying from pharmacies, maybe because the average
of our respondents are teens and we are now in a pandemic and we all know that teens are
not allowed to go outside because of lockdown.

Answer Percentage

Generic 50%

Branded 50%

Survey results show that 50% of our customers are buying generic medicines and the other
50% is into branded medicines.
 Answer Percentage

May normal na kalusugan 71.7%

May katamtamang sakit 17.4%

May malubhang sakit 2.2%

Wala sa nabanggit 8.7%

Survey results show that 71% are healthy while the remaining others are experiencing some sickness .

Answer Percentage

Mura ang produkto 6.55%

 Malapit saiyong kinaroroonan 26.1%

Subok na at mapagkakatiwalaan 47.8%

May magandang kalidad ang produkto 13%

Iba pa 6.55%

Survey result show that 47.8% should be tested and reliable for them to buy in a particular
pharmacy, while 26.1% chose that it should be close where they are, 13% chose that the
products should have good quality while the remaining others chose that the products
should be cheap and affordable.

Answer Percentage

Cash on Delivery 8.7%

Face to Face 89.1%

Iba pa 2.2%

Survey results show that 89.1% prefers to buy medicine face to face while 8.7% prefers cod
or cash on delivery and the remaining percent chose others.
 Answers Percentage

Ubo 13%

Sipon 19.6%

Allergies 21.7%

Sakit ng katawan 28.3%

Iba pa 17.4

Majority of customers are experiencing body ache, allergies and the others is the minor
cough and colds.
 Answer Percentage

Php 100.00 26.1%

Php 500.00 34.8%

Php 1,000.00 19.6%

Php 1.000.00 -3,000.00 6.5%

Higit sa Php 3,000.00 6.5%

Wala sa nabanggit 6.5%

Most of our customers have a budget of 500.00php, while some of them only have
100.00php and others have different amounts of budget.
 Answer Percentage

Oo 76.1%

Hindi 23.9%

Majority of our respondents said that a pharmacy needs to be near a hospital.

10.

Most of our customers are expecting our service as fast, accurate and generous.
Supply and Demand Analysis

Based on the survey, 78.3% of our target market are in the ages 12-17, 15.2% are in ages
18-22 and the last 6.5% are in ages 28+. Heart Pharmacy would expect more minor
customers than adults if we will base on our respomdents.

Survey results show that 50% of our customers are buying generic medicines and the other
50% is into branded medicines. Heart Pharmacy would expect customers to buy both
generic and branded medicines and medical supplies.
Nature of Competitors

Our business Heart Pharmacy is giving people needs in terms of medical supplies and
prescription. It is located at Blue Mountain Street, Tanauan City, Batangas, along President
Jose P. Laurel Highway and in the vicinity there is another pharmacy that we consider as
our Major Competitor because they are one of the well known pharmacies in Philippines.
Below is the description of the pharmacy that we think is our competitor.

Mercury Drug was started by Mariano Que with a single drugstore on March 1, 1945. It is
now the leading drugstore nationwide. And one branch of Mercury Drug is along the
Highway of President Jose P. Laurel, Tanauan City, Batangas. Mercury Drug always
ensures their products are new and gives a good service to their customers.

After Mercury Drug, there is one more business that we consider as our indirect competitor.
Below is the description of the said competitor.

South East Star Enterprises is a medical supply and equipment supplier and retailer. They
are also popularly known as SESE. Their office is located at Apitong St., Mt. View Subdivision,
Tanauan City, Batangas. There are one of the suppliers of some clinics in Tanauan City. And they
have been running their business almost 6 years.

COMPETITIVENESS OF QUALITY

BUSINESS LOCATION SERVICES MARKET FACILITIES PRODUCT PRICE

STRATEGIES S
Mercury Mabini Ave. Open from Social Media Air- Centrum Php 10.00
Drug Tanauan 6:00 am to conditioned
City, 9:30 pm
Batangas
Signage Well- Conzace Php 12.50
ventilated
Value Cards Clean store Poten Cee Php 9.75
area
Wide store Indoplas Php
space Elite 599.00
Compact
Nebulizer
Clonazepa Php 12.64
m
Amoxicilin Php 7.78
South East Apitong St. Open from Social Media Big Projection
Star Mt. view 8:00 am to Warehouse Vein
Enterprises Subd. 5:00 pm Finder
Tanauan (VIVO500S)
City
Batangas
Wholesaler Orthopedic
Casting
Tapes
Distributor Sesemed
Nebulizer
Import Laryngosco
Medical pe
Supplies
Skin
Stapler/
Remover
Surgical
Clipper/
Surgical
Blade

PRICING
 HEART PHARMACY
PRODUCTS ORIGINAL PRICE MARK-UP PRICE TOTAL PRICE
Paracetamol Php 3.70 Php 1.30 Php 5.00
Alcohol Php 79.00 Php 6.00 Php 85.00
Tissue Php 15.00 Php 3.00 Php 18.00
Baby Wipes Php 86.00 Php 4.00 Php 90.00
Azyrithromycin Php 105.00 Php 5.00 Php 110.00
Dextrose Php 140.00 Php 10.00 Php 150.00
Aspirin Php 3.45 Php 1.55 Php 5.00
Amoxicilin Php 7.40 Php 2.60 Php 10.00
Bactidol Php 107.25 Php 2.75 Php 110.00
Ascorbic Acid Php 146.00 Php 4.00 Php 150.00
Lozenge Php 33.50 Php 1.50 Php 35.00
Colgate Php 89.75 Php 3.25 Php 93.00
Betadine Php 240.50 Php 9.50 Php 250.00
Solmux Php 40.00 Php 5.00 Php 45.00
Advil Php 170.00 Php 5.00 Php 175.00
Thermometer Php 158.00 Php 5.00 Php 163.00
Cool Fever Php 44.00 Php 4.00 Php 48.00
Nasal Spray Php 244.00 Php 5.00 Php 249.00
Eyedrops Php 185.00 Php 5.00 Php 190.00
Bandages Php 29.00 Php 6.00 Php 35.00
Syringes Php 10.00 Php 5.00 Php 15.00
Blood Bag Php 1,720.00 Php 10.00 Php 1,730.00
Ointments Php 75.00 Php 10.00 Php 85.00
Cough Syrup Php 283.00 Php 5.00 Php 288.00
Oral Rinse Php 143.00 Php 7.00 Php 150.00
Toothbrush Php 50.00 Php 5.00 Php 55.00
Dental Floss Php 74.00 Php 5.00 Php 79.00
Cephalexin Php 20.50 Php 8.00 Php 28.50
Atorvastatin Php 22.50 Php 5.00 Php27.50
Januvia Php 32.25 Php 7.75 Php 40.00
Naproxen Php 11.50 Php 3.50 Php 15.00
Diatabs Php 7.45 Php 5.55 Php 13.00

MARKETING PROGRAM

1. Advertising
Tarpaulins

Tarpaulins will be made so that the people will be aware that a new business will open
soon. A 5 by 8 tarpaulin size will be used as an advertisement and that will cost at least Php
1,200.00. It will be visible to the nearby area of the location of the business.

Brochures

Distributing brochures to nearby areas or places is also an easier way of making the
market recognize and know the offers of our business. About 100 brochures will be
distributed so it might cost Php 4,000.00. We will just make sure that proper social
distancing and health protocols can be followed while distribution.

1. Sales Promotion
Freebies

Freebies will be given to customers who will purchase on every special occasion like
Christmas and New Year’s. The freebies are pouch containing alcohol, soap, face mask and
face shield which are all very necessary right now, and an umbrella. It will not be a whole day
sales promotion because it will only be given to limited number of customers on that day.

PACKAGING
Packaging of the products should pass the standards of the consumers. Aside from the
products, packaging is also one of the things that the customers are looking forward to
when they visit a particular business. The packaging will represent the business so it has to
be good and presentable in the eyes of the consumers.

 The business will use an eco-friendly bag for big product purchases of the
 customers. It is also given if the customers bought many products. The business will
produce 80 pieces of these eco-friendly bags. It costs Php 50.00 each so the total
amount would be Php 4,000.00.

 Aside from eco bags, the business will also use small paper bags for small and low
quantity product purchases. The business will produce 100 paper bags with handle
and another 100 pieces of paper bag without handle and that will all cost Php
800.00.

Channel of Distribution
 Manufacturer/Producer
Heart's Pharmacy

Customer hands over the prescription

Pharmacist checks if they have stocks of the
medicine

Customer receives the prescribed medicine

The Manufacturer/Producer supplies the pharmacy with certified medicine in which they will provide the
prescribed medicine for the locals who are in need of medicine.

Area of Dispersion
 Sambat

Heart Sto.
Darasa
Pharmacy Tomas

Barangay
1

These are the surrounding barangays which are nearest to the business so that they can easily access the
location. The patients inside these area’s will be the target of the pharmacy.

Mode of Transportation
 - Location of the Tricycle

-Heart Pharmacy

- The Heart Pharmacy is located alongside of the President Jose P. Laurel highway and is
beside the Domino’s Pizza. People may come to the pharmacy by walking, cycling, private
vehicle or commute by using the tricycle. If they chose to take the tricycle they must pay the
minimum fare of 20 pesos and a maximum of 50 pesos if your barangay is far from the
pharmacy. If they don’t have a private vehicle and also don’t want to take the tricycle they can
 see jeepneys that are going to the same direction of the pharmacy’s area, but they must also
pay a minimum fare of 10 pesos or 25 pesos if you are not near the pharmacy.

Tricycle P20-P50

Jeepney P10-P25

Walking -

Private Vehicle -

Cycling -

Selling/Service Organization

Step 1: Asking the Patient

 - Asking the patient what medicine he/she needs and asking if they have a prescription
to buy that kind of medicine.
Step 2: Checking for Stocks
- Checking if we have the medicine the patient is looking for
Step 3: Showing the Product and asking how many of the product he/she will buy
- Showing the patient if the medicine you got is correct and ask how many he/she
needs.
Step 4: Proceed to the cashier
- Proceed to the cashier in order for you to process the money of the patient.
Step 5: Handing the Product to the Patient
- Hand the patient his/her medicine, receipt, and change in a small bag.