CHAPTER I

THE INDUSTRY, THE COMPANY AND ITS PRODUCTS

1.1 The Industry

Tilapia is the second most important cultured species in the country accounting

for 281,111 MT total production in 2021. Philippines’ total production was 263,871 MT

in 2020, which makes up 20% of the Philippines’ aquaculture production, with Central

Luzon as the leading region with tilapia production of 136,218 MT. The most common

species is the Nile tilapia (Oreochromis niloticus), or gray tilapia, which has several

improved breeds available from government and private hatcheries. It can tolerate

brackish water with salinities of up to 25 parts per thousand. Tilapia is an important

commodity for food security because it is widely accepted and is suitable for mass

production through grow-out culture in backyard and commercial scale.

Tilapia fry produced in breeding units are kept in the nursery unit until fingerling

size before moving them into grow-out units to ensure proper growth of the fish and good

survival rate. Fish need adequate space, food, and a healthy environment so it is

important to consider water depth, food supply, and water quality.

In the Philippines, tilapia is produced mainly for local consumption. The produce

can be sold fresh, chilled, or live. When grown to large size and fileted, tilapia can also

be marketed as a premium white fish as its mild tasting lean flesh is flaky for its

somewhat firm texture. Some places in the country, smoking of tilapia is done but mainly

for the immediate locality.

1.2 The Company and the Concept

 According to the city government of Kidapawan, the city government provides a

great and widely support in aquaculture in fact last year 2021 the city government had an

intervention to provide these local Tilapia farmers with an easy way to produce processed

food for their tilapia fingerlings and other pellets for livestock as well as fertilizers to

boost production. This served as a response to Covid19 that they are doing these as

measures to assist local farmers and to help maintain food security in the city of

Kidapawan.

K-Siete Tilapia Farm is a business venture that supply and retail the company’s

products of Tilapia fish which are available directly in the farm located in Kidapawan

City. On the other hand, our Tilapia farm provides a wide variety of products which are

fresh Tilapia fishes straight from the farm, other Tilapia goods like Dried Tilapia. Our

clients can purchase our products directly on the farm. We also provide a social media

platform page like Facebook, we provide the address, contact number and other details

for faster transactions.

Furthermore, customers can also place their orders via email to cater multiple

demands for the huge potential market. Moreover, we also offer deliveries that have extra

charges within Kidapawan City and other neighboring municipalities for customer’s

convenience and for urgent orders right through their doorsteps. The uniqueness of our

business is that we offer our fresh products because we have our owned Tilapia farm that

is open every day to cater numerous clients. Wholesalers and retailers are also welcome

for our Tilapia products.

 The proposed business will be owned and managed by Cherly-An C. Deculongan,

Ameejoie G. Batucal and Ernesto T. Intong Jr. K-Siete Tilapia Farm is a one stop

supplier that offers fresh Tilapia fishes and dried tilapia. It has a physical Farm; it caters

customers who have bulk orders.

LOGO

Figure 1.1 K-Siete Tilapia Farm Logo

The logo symbolizes customer’s recognition and identification of the business and

it gives the idea for the market to instantly connect with the product in just one sight.

Kidapawan City, where the company is based, is where the name K-Siete comes from. he

K-Siete Tilapia Farm’s tagline is “We Do Fish Farming by Heart”.

1.3 Business Location

K-Siete Tilapia Farm is located at Barangay Kalaisan Kidapawan City. It is 2 hectares of

land which is owned by the partnership.

Figure 1.2 The Location Map of K-Siete Tilapia Farm

1.4 Vision/Mission/Goal/Objectives

VISION

To provide one stop shop of freshly harvested Tilapia fishes and other processed

Tilapia products in North Cotabato and other provinces in the Philippines.

MISSION

Based on good, reliable and mutual relationships, we provide our customers with

fresh caught Tilapia fishes, sustainably caught or farmed and processed, packaged, stored

and distributed with the utmost care and under perfectly hygienic conditions,

straightforward and sustainable fish products that offers for a reasonable price.

GOALS
  To sustain a wide provision of the market in North Cotabato and other provinces

of fresh and quality and freshly harvested Tilapia products for a reasonable price.

 To Increase the total income of 10% over the next two years.

 To expand the Tilapia business in other provinces over the next three years.

OBJECTIVES

 To drive more sales of Fresh Tilapia and Tilapia products.

 To improve the equipment and materials for effective production.

 To maximize growth rate and minimize production cost.

 To develop stronger relationships with the resellers and wholesalers

1.5 The Product and The Concept

The products offered by the K-Siete Tilapia Farm are fresh products such as the

fresh Tilapia and Dried Tilapia. Basically, K-Siete Tilapia Farm is open and will be

offering these variety of Tilapia products to the local market in Kidapawan City and for

the neighboring municipalities as well. Our farm will sell for bulk orders only or

wholesale customers.
 FRESH TILAPIA

Figure 1.3 The Products of K-Siete Tilapia Farm

1.6 Entry and Growth Strategy

This market study examines the impact of the market demand when it comes to

how K-Siete Tilapia Farm firstly, be able to widely pursue for sustainability of the

business growth that also includes the working plan for the production of the other

processed products aside from the freshly harvested Tilapia fishes to increase revenues.

Secondly, it also needs to focus on how to reach new customers and how to keep them as

well. Additionally, it also needs to target on long-term growth of the company and how to

provide larger impact by assessing local market size and growth rates in all possible and

various scenarios that may emerge along the way. And lastly, by also predicting how the

market react towards inflation and from previous widely pandemic spread affecting the

local economy in Kidapawan City and the entire province of North Cotabato.

These are the growth strategies that the business will take and plan for overcoming

current and future challenges:

 Market development strategy – This involve a wider research of the business to

identify a different market segments in different municipalities and provinces,

 and then identify the potential customers and attract them by providing what K-

Siete products have in order to increase the sales.

 Product Development Strategy- This involve the development of the Fresh

Tilapia, by providing enough food for the fish and other resources that makes

them healthy and fresh.