CASE DISCUSSION ANALYSIS

I. Introduction: About the Company & Products/Services

A. Company

3 M's Pancit is famous for their pansit where they put crispy deep-fried pork on top of the
pansit or in short lechon kawali. The Store has been running for almost three decades in
Sta. Rosa Laguna. A hard-working homemaker and a great cook, Mrs. Luz Bautista put up a
simple variety store in 1988, which she named "3M's store" She sought help from her
sister-in-law, Baby Bautista, in creating their business name. A year later, Luz, who loves to
cook different Filipino dishes, built a panciteria and called it "3M's Pancit". "3M's" was
derived from the first letter of Bautista Sr. (late husband), and Mr. Miguel Bautista
(youngest son).

3M's Pancit doesn't have dine-in, unlike those competitors of 3M's Pancit which are
Competitor's A and Competitor's B. 3M's Pancit is located at 917- Rizal Blvd in Brgy. Pooc,
City of Santa 3Rosa Laguna. 3 M's Pancit chose Brgy. Pooc as their primary place because 3
M's Pancit is situated in front of the main road of Rizal Blvd. It also has a big signboard that
shows the logo and name of the brand. 3M’s Pancit is a unique pancitan store in Sta. Rosa
Laguna.

3M's Pancit is a proprietorship business. It is an unincorporated business with just one

owner, also known as a sole trader or a proprietorship, because only one owner is
responsible for paying personal income tax on business profits. Since it is a sole
proprietorship, the business owner applied for a permit to operate the store of 3M's Pancit

B. Products & Services

The Filipinos' affection for Pancit originates from the fact that it was brought to the country
by Chinese traders. "pan" means to prepare or boil noodles, and "sit" means a meal. Pancit
is a noodle concoction that contains meat and vegetables that have been chopped and
sliced. It first appeared in what is now known as Binondo and Tondo, the first Chinese-
settled areas in the Philippines.

With the introduction of the pancit culinary method to the Filipinos came the Chinese
traditions associated with noodles. The Chinese associated noodle consumption with
longevity, establishing the association between the pancit and the desire for a long life. Due
to the popularity of pancit as a noodle dish and its ability to sustain families and guests,
each region of the country has its version of the dish.

3M's Pancit serves a tasty and flavorful pancit. 3M's Pancit offers a different kind of sizes
for their product. The first one is called "balot," a single meal order that costs only fifty
pesos. The second size is the small bilao, suitable for seven people and costs only four-
hundred pesos. The third size is the medium bilao, ideal for nine persons, and costs only
five-hundred pesos. The fourth size is the large bilao, suitable for two persons, and its price
is only six-hundred pesos. The fifth size is the extra-large bilao, ideal for seventeen
persons, and its price is only seven-hundred fifty pesos. The last size is called maximum
bilao; it can cater to significant events because the size of this maximum bilao is suitable for
twenty persons and costs only eight-hundred pesos.

II. Strategic Profiling and Planning

A. Mission/Vision Evaluation
1. MISSION
“3M’s Pancit is dedicated to creating food that cater to the local tastes of every Filipino. And to make and
serve customers with the best-tasting Pancit at an affordable price.”
a. Qualitative Analysis of Mission

 Customer – Every Filipino.

 Products or Services – Pancit
 Markets – None
 Technology – None
 Survival, Growth, and Profitability – The best-tasting Pancit at an affordable
price
 Philosophy – None
 Self- Concept – Dedicated in creating food that caters to the local tastes of every
Filipino.
 Public Image – None

b. Quantitative Analysis of Mission

 4/9 Characteristics

c. Recommended Mission Statement

 In 3M’s, our mission is to provide delicious, high-quality Pancit made with the
freshest ingredients available at a reasonable price without compromising the
quality. We strive to offer a diverse range of options to satisfy every customer's
unique tastes and preferences. And also encourages the staff to feel engaged with
their craft and responsibilities. Our commitment to consistently exceptional
customer service and sustainable business practices will always be the top priority.

2. VISION
“To bring joy to our customers through tasty, high-quality Pancit and an exceptional restaurant experience,
while also working for the greater good of our staff, community, and environment.”

a. Qualitative Analysis of Vision

 Clear and Concise- To bring joy to our customers through tasty, high-quality
Pancit
 Inspirational- while also working for the greater good of our staff, community,
and environment.
 Future-Oriented- None
 Realistic and achievable- None
 Unique- an exceptional restaurant experience
 Timeless- None

b. Quantitative Analysis of Vision

 3/6- Characteristics of a good Vision Statement

c. Recommended Vision Statement

 Our vision is to be the go-to destination for Pancit lovers everywhere in Sta. Rosa,
offering a diverse range of authentic, high-quality Pancit made with the freshest
and good-tasting ingredients, served in a welcoming and vibrant atmosphere that
leaves a lasting impression on our customers.

B. Goals of the Company

 a. Long-term Objectives

Increase competitiveness

This can entail performing market research to comprehend rivals more fully. When
developing goods and services that are better than the competitors, it could be
helpful to understand how the business compares to competitors. Market share
and income may rise as a result.

Expanding of location and branching out

Expanding the business's location to dine in and increasing the number of physical
places where clients may purchase your goods and services is how the business
expansion is executed. Opening new venues while your present sites are still in
business sets it apart from relocation. Because some of your current customers
may leave over time, acquiring new clients is crucial to future-proofing your
company. Some consumers will relocate, while others will shop with alternative
businesses. The only way to keep your present customers or consumers is to bring
in new ones consistently.

b. Short Term Objectives

Increase profits

An overall objective for companies is to preserve or increase profitability. Keeping

a steady profit is challenging, particularly for smaller or more recent firms. This
goal contributes to maintaining the company's financial stability. It is beneficial for
an existing successful company to have an objective of increasing earnings, which
entails coming up with fresh ideas for boosting sales.

Business growth

The leadership team may establish other particular goals that assist organizational
development. These can entail increasing the number of customers, the size of the
workspace, or the workforce. Growth might lead to higher revenue.

Increase market share

Increasing the market share of a company's goods or services is a usual objective.

This entails identifying fresh target markets or clients and utilizing current clients
to locate new prospective consumers. As a leadership team member, you could
also think about strategies for boosting brand recognition and persuading
customers to select your firm over its competitors.

C. Problem Analysis
 a. Problem Tree Analysis

b. Problem Statement
How did 3M’s strategy increase their sales despite experiencing slowly losing of customers and changing
customer preferences without affecting staff and dramatically raising ROI?

III. Situation Analysis

A. External Environment Analysis (Opportunities & Threats)

1. PORTER’S FIVE FORCES

a. THREATS OF NEW ENTRANTS

The possibility that new and current competitors of 3M's have entered the market and
competed with 3M's pancit is referred to as new entrants. This force is impacted by
entry barriers such as high startup costs, economies of scale, governmental regulations,
and brand awareness. The threat posed by new entrants decreases as entry barriers
rise.

b. CUSTOMER BARGAINING POWER

The cost and quality of 3M's products and services are subject to customer feedback.
The number of clients, the significance of their purchases to the seller, and the expense
of moving to a different provider are all factors that affect this force. The seller's
profitability decreases as the customer's bargaining power increases.

c. THREATS OF SUBSTITUTES
 3M's customers will switch to alternative products or services that satisfy their needs.
Factors influencing this force include the availability of substitutes, their quality and
price, and the cost of switching to them. The higher the availability of substitutes and
the lower the switching costs, the higher the threat of substitutes.

d. THREATS OF COMPETITION
The degree to which 3M competes with other businesses already operating in this
industry. Various factors, including the number of competitors, the degree of product
differentiation, and the degree of competition, influence this force. The profitability of
companies in the industry decreases as competition rises.

e. SUPPLIER BARGAINING POWER

3M's suppliers can influence the price and quality of goods and services. Factors
influencing this force include the number of suppliers, the importance of their inputs to
the buyer's product or service, and the cost of switching to a different supplier. The
customer's profitability decreases as the suppliers' negotiating power increases.

2. EFE MATRIX

Opportunities Weight Rating Weighted Score

1.) Growing Demand for Filipino 10% 3 0.3

2.) Online Ordering and Delivery 20% 2 0.4

Platforms

3.) Catering and Events 15% 4 0.6

4.) Collaboration with Local Suppliers 5% 3 1.5

5.) Expansion to New Locations 5% 4 2

Threats

1.) Arrival of new Competitors 10% 4 0.4

2.) Changing Consumer Preferences 5% 3 1.5

3.) Inflation 15% 3 0.45

4.) Health and Dietary Trends 5% 2 1

5.) Online Reviews and Reputation 10% 3 0.3

Poor (1), below average (2), above average (3), superior (4)

TOTAL WEIGHTED SCORE 100% 8.45

B. Internal Environment Analysis (Strengths & Weaknesses)

 Marketing Mix (7Ps) – Strengths & Weakness

STRENGTH

1. Product Differentiation: 3M's Pancit distinguishes itself in the market by providing a distinct and flavorful
pancit. They have capitalized on the popularity of pancit among Filipinos and offer a variety of sizes and portions to
meet the needs of their customers. This product differentiation allows them to appeal to a diverse range of
customers.

2. Competitive Pricing: 3M's Pancit products are reasonably priced, making them more accessible to a wider range
of customers. Customers can choose from a variety of sizes and price points, depending on their budget and needs.
This competitive pricing strategy gives them a competitive advantage and helps them attract price-sensitive
customers.

3. Convenience: While 3M's Pancit does not offer dine-in options, their emphasis on take-out and delivery services
caters to customers who prefer to eat their pancit at home or on the go. They meet the needs of busy customers
looking for convenient food options by providing quick service and ensuring their location is easily accessible.

4. Branding and Signage: The prominent signboard and logo displayed at their Rizal Blvd location aid in creating
brand awareness and attracting passing customers' attention. The brand's visibility and its distinct name, derived
from family members, add a personal touch and help differentiate 3M's Pancit from competitors.

5. Longevity and Reputation: After nearly three decades in business, 3M's Pancit has earned a solid reputation in
the local market. The founder's experience as a homemaker and cook lends credibility to the product's quality. Their
company's longevity demonstrates their ability to consistently meet customer expectations, which fosters customer
loyalty and positive word-of-mouth referrals.

6. Local Focus: By deciding on Brgy. 3M's Pancit strategically positions themselves in front of the main road as
their primary location, increasing visibility and accessibility. This focus on the local community enables them to
establish a strong presence in their immediate community and target customers in the surrounding areas.

7. Sole Proprietorship: Because 3M's Pancit is a sole proprietorship, business operations and decision-making are
simplified. Direct involvement of the owner in the business ensures a personal touch in customer interactions and
allows for quick adaptations and adjustments to meet customer preferences and market demandsIn the highly
competitive food industry, these strengths in 3M's Pancit's marketing mix contribute to their competitive advantage
and help them attract and retain customers.

IV. Competitive Environmental Analysis

A. TOP 3 COMPETITORS

 Pancit Tagapo
 Chami Pancit
 Homie’s Pancit

B. COMPETITIVE PROFILE MATRIX (CPM)

3M’s Pancit Tagapo Chami Pancit Homie’s Pancit

Key Success Weight Score Weighted Scor Weighted Score Weighted Scor Weighted
Factors Score e Score Score e Score
 1. Service 15% 2 0.3 3 0.5 4 0.6 3 0.5

2.Accessibility/ 20% 3 0.6 2 0.4 3 0.6 4 0.8

Location

3.Quality of 30% 4 1.2 3 0.9 2 0.6 2 0.6

Food

4. Physical 15% 3 0.5 3 0.5 2 0.3 2 0.3

evidence

5.Brand 20% 4 0.8 2 0.4 2 0.6 3 0.6

reputation

TOTAL 100 3.4 2.7 2.7 2.8

%

***Note: The weight indicates the importance of the factor, 0.0 as low importance and 1.0 as high importance. On the other
hand, the ratings indicate how well the companies are doing in the area: 4 means major strength; 3 means minor strength;
2 means minor weakness, and 1 means major weakness.

C. SYNTHESIS / ANALYSIS

V. Strategy Formulation (Strategic Alternatives, Evaluation of Strategic Alternatives and (SWOT

Analysis & Strategic Choice)

A. SWOT Analysis
EXTERNAL ENVIRONMENT ANALYSIS

OPPORTUNITIES THREATS

O1: Growing Demand for Filipino T1: Intense Competition

O2: Online Ordering and T2: Changing Consumer

Delivery Platforms Preferences

O3: Catering and Events T3: Economic Factors

O4: Collaboration with Local T4: Health and Dietary Trends

Suppliers
T5: Online Reviews and
O5: Expansion to New Locations Reputation
 INTERNAL STRENGTHS SO STRATEGIES ST STRATEGIES
ENVIRONMEN SO1. Enhance Product ST1. Regular Menu Innovation
T ANALYSIS S1. Highly rated Differentiation
online ST2. Focus on Exceptional
SO2.Expand Online Presence Customer Service
S2. Localize
taste SO3.Collaborate with Local ST3. Collaborate with Local
Tourism Board Suppliers
S3. Pricing
power SO4. Explore Food Festivals and ST4. Online Reputation
Events Management
S4. Brand
Loyalty SO5. Develop Partnerships with ST5. Engage in Community
Local Businesses Initiatives
S5.Close to
customer

WEAKNESSES WO STRATEGIES WT STRATEGIES

WO1. Add new variety of menu WT1. Learn how to keep up with
W1. Limited items the competition
menu items
WO2. Include E-money payments WT2. Conduct a customer
W2. Lack of satisfaction survey.
mode of WO3. Hire Delivery men
payment WT3. Reduce the portion size of
WO4. Strengthen the Digital the food per serving.
W3. Delivery
problem marketing platform
WT4. Make sure that the contents
W4. Poor online WO5. Be responsive in taking of the food is healthy.
presence orders online.
WT5. Respond to negative
W5. Not offering reviews of the customer and
online order improve it.

B. Strategic Alternative Solutions to the Problem

Strategic Alternative 1: Developing online ordering system
Strategic Alternative 2: Expanding of location
Strategic Alternative 3: Customer focus

C. Evaluation of Strategic Alternatives

Strategic Alternative 1: Developing online ordering system

PROS CONS
 Simple, quick, and comfortable. Anyone with a
smartphone may use social media to purchase
food from 3M's online.
As 3M's aims to keep things straightforward and
unchanged, they have maintained their previous
method of placing pancit orders over the past
thirty years. Once they develop an online
ordering system, it will also be a huge adjustment
for them.

More accessible and safer online. Customers

may place online orders for food and make
payments without physically visiting the
business.

Less potential for mistakes. Ensures correct

pricing, which lowers the chance of error in
billing.

More clients. By offering a seamless

customer experience, 3M can increase its
customer base and earnings.

Strategic Alternative 2: Expanding of location

PROS CONS

Attracting new customers in new markets or Shortage of cash

with new products and services.

Increase your resources and stock Loss of control - as your business grows, you may
need to delegate management duties or divide the
workloads between different locations

Generate more sales and profits Increased capital requirements

Influence market price Increased staff turnover

Strategic Alternative 3: Customer focus

PROS CONS
 Helps the 3M build a group of customers who Operate based only on what customers want and
come back again and again. Customers are need, which can hurt a company's creativity.
more likely to buy from the restaurant that
they think take their needs into account when
making products and services.

Building Relationships

Decision Matrix
CRITERIA (KEY SUCCESSS FACTORS) Weight SA1 SA2 SA3
1.Sales/ROI 50% 5x50%= 2x50%= 4x50%=
2.5 1 2
2.Feedback 30% 5x30%= 4x30%= 5x30%=
1.5 1.2 1.5
3. Physical Evidence 20% 2x20%= 4x20%= 2x20%=
0.4 0.8 0.4
Total 100% 4.4 3 3.9
Note: Take the alternative with the highest number of points, 5 being the highest.