Republic of the Philippines

Department of Education
Region 1
Schools Division of Ilocos Norte
SOLSONA NATIONAL HIGH SCHOOL
Brgy. Manalpac, Solsona, Ilocos Norte

FACTORS AFFECTING SCRATCH BUSINESSES SALES

IN BARANGAY JUAN-LAURETA,
SOLSONA, ILOCOS NORTE

A Partial Fulfillment of Requirements

in Inquiries, Investigation and Immersion

ADRIAN MARK A. BINEG

DAREEN MAY J. CU

ERIKA JOY C. DAQUIOAG

JOLIANNE ANGELA B. VILORIA

Researchers

June 2023
 APPROVAL SHEET

This research study entitled. FACTORS AFFECTING SCRATCH

BUSINESSES SALES IN BARANGAY JUAN-LAURETA SOLSONA, ILOCOS

NORTE, prepared and submitted by Adrian Mark A. Bineg, Dareen May J. Cu, Erika

Joy C. Daquioag, and Jolianne Angela B. Viloria in partial fulfillment of the

requirements for the subject INQUIRIES, INVESTIGATION AND IMMERSION.

VENUS A. DALERE SANTOS D. GALANZA

English Teacher I Math Teacher III

Date Signed Date Signed

JENNY VIE M. CALABITIN

Research Teacher

Date Signed

Accepted in partial fulfillment of the requirements for the subject

INQUIRIES, INVESTIGATION AND IMMERSION.

GUILLERMA C. BARENG MIRAVI B. BALTAZAR RUFELIO M. AGUILAR

Head Teacher III Head Teacher III Head Teacher III

JHONY C. AZADA
School Principal IV
 ACKNOWLEDGEMENT

The remarkable people who have contributed significantly to the resounding

success of this study deserve the researcher's sincere gratitude and profound respect.

The researcher would most like to express their unending thanks to their

parents, whose undying love and unshakable support have served as the foundation

for their journey. Their nonstop efforts—both financially and emotionally—have

given this study the strong base it needs. The researcher will always be appreciative of

their generosity and unwavering faith in their goals.

They owe a special homage to Mr. Santos D. Galanza, Ms. Venus A. Dalere,

and their esteemed Research teacher, Mrs. Jenny Vie M. Calabitin. Their priceless

contributions, insightful observations, and constant commitment to excellence have

had a significant impact on the direction of this article. The researcher is sincerely

appreciative of their great advice, patience, and kind hearts, which have fostered their

development and enhanced their academic endeavors.

The researcher also wants to express their sincere gratitude to their friends,

whose steadfast support and unfailing encouragement have been a continual source of

inspiration and strength. They have been propelled onward on this difficult route by

their faith in the researcher's abilities, which has helped them during times of

uncertainty and wavering confidence. The researcher extends sincere gratitude to the

respondents for their selfless time and generosity in sharing their insightful opinions.

Finally, the researcher humble acknowledges the Almighty God's Divine

presence during this difficult trip. The researcher is aware of and grateful for the

divine direction and steadfast light that have enlightened their path and helped them

ii
arrive at this important milestone. They are incredibly appreciative of the blessings

bestowed upon them and continue to hold fast to their faith as they begin new

chapters in their life.

These people have weaved love, support, wisdom, and encouragement into the

fabric of their research, producing a magnificent work of perseverance and

accomplishment. Each and every one of them has earned the researcher's heartfelt

gratitude and respect because they helped to transform this study into something more

than merely academic work.

The Researchers

iii
 DEDICATION

The researchers would like to dedicate this study to the following:

To their parents who gave their whole-hearted support to fulfill this kind of

endeavor in recognition of all their efforts, sacrifices, time and time that they have

shared, all their guidance and advice that really inspired the researchers;

To Mrs. Jenny Vie M. Calabitin, who shared endless guidance and support;

To Ms. Venus A. Dalere and Mr. Santos D. Galanza, who generously helped

and encouraged them; and

Above all, to Almighty God, who gave them strength, courage and wisdom

throughout this study.

The Researchers

iv
 TABLE OF CONTENTS
PRELIMINARIES
Title Page ………….. i
Approval Sheet ………….. ii
Acknowledgement ………….. iii
Dedication ………….. iv
Table of Contents ………….. v
List of Tables ………….. vi
List of Figures …………. vii
Abstract ………….. viii

CHAPTER I: INTRODUCTION
Background of the Study ………….. 1-3
Research Objectives ….………. 3
Statement of the Problem ………….. 3-4
Hypotheses ………….. 4
Scope and Delimitation ………….. 4
Significance of the Study ………….. 4-5
Definition of Terms ………….. 5-6

CHAPTER II: REVIEW OF RELATED LITERATURE AND STUDIES

Related Literature ………….. 7-8
Related Studies ………….. 8-10
Conceptual Framework ………….. 10

CHAPTER III: RESEARCH METHODOLOGY

Research Design ………….. 11
Research Locale ………….. 11
Population and Sample ………….. 11-12
Research Instrument ………….. 12
Data Gathering Procedure ………….. 12-13
Data Analysis ………….. 13

CHAPTER IV: RESULTS AND DISCUSSIONS

Presentation, Analysis and Interpretation of Data ………….. 14-17

CHAPTER V: FINDINGS, CONCLUSIONS, AND RECOMMENDATIONS

Summary, Findings, Conclusions, and Recommendations …….... 18-20

CHAPTER VI: REFERENCES CITED

Bibliography ………….. 21-22
Appendix A ………….. 23-28
Appendix ………….. 29
Curriculum Vitae ………….. 30-33

v
 List of Tables

Table 1 Respondent’s Profile in Terms of No. Years of Operating

Table 2 Level of Agreement that Price affects Sales

Table 3 Level of Agreement that Quality Affects Sales

Table 4 Agreement that Value Affects Sales

Table 5 Test of Significant Difference Between Factors at 5%

Significance Level

vi
 List of Figures

Figure 1 The Conceptual Paradigm of the Factors Affecting Scratch Businesses

Sales in Juan –Laureta, Solsona, Ilocos Norte

vii
 ABSTRACT

BINEG, A.A., CU, D.J., DAQUIOAG, E.C., VILORIA, J.B..Solsona

National High School. June 2020. FACTORS AFFECTING SCRATCH

BUSINESSES SALES IN BARANGAY JUAN- LAURETA, SOLSONA,

ILOCOS NORTE.

This study was conducted to evaluate and determine the factors affecting

scratch businesses in barangay Juan- Laureta, Solsona, Ilocos Norte.

For the purpose of this study, 50 respondents were selected at random from

several list containing scratch businesses owner of barangay Juan-Laureta, Solsona,

Ilocos Norte. The researchers used a survey questionnaire in gathering the needed

date for the study. Test of difference was used to determine the value of a variable

based on the value of another variable to test the significant difference between price

and quality, significant difference between price and value, and a significant

difference between value and quality. Based on the findings presented in this research,

empirical support for the proposed model of sales of scratch businesses has been

found. The results strongly confirm that there is a significant difference between price

and quality, price and value, and a significant difference between value and quality.

The results implied that there is a significant impact on the sales of scratch businesses.

Based in the results, recommendations are proposed that scratch businesses sales

should maintain their low-priced meal to good in quality and value. Prices should be

visible in the front display and should be advertised. The establishment should

improve the quality of its services by improving its ambiance.

viii
 CHAPTER I

INTRODUCTION

This chapter presents the introduction of the research study and its problem.
It contains the Background of the Study, Objectives, Research Questions, Significance
of the Study, Scope and Delimitation, and Definition of Terms.

Background of the Study

Any economy's growth and development depend on scratch firms since they

create jobs and financial resources, promote competition, act as incubators for

innovation, open doors for new business prospects, and more (de Kok et al., 2011).

The global economic crisis, which triggered a number of unforeseen events, brought

to light both the vulnerability of large firms and their consequences as well as the

importance of start-up businesses for the rebuilding of the global economy after the

crisis. The massive scratch business footprint of any economy serves as a starting

point for analysis of many aspects of their operations. With the growing importance of

small businesses for the recovery and expansion of the global economy, the topic of

small business expansion has emerged as an important and relevant research area.

Furthermore, a high percentage of small businesses fail or go out of business.

increases interest in finding solutions to issues related to the growth of scratch

businesses.

The Republic of Macedonia's economy is still adjusting to the effects of the

transition process while being relatively young. Although many Southeast European

nations with similar socioeconomic backgrounds and contemporary conditions have

macroeconomic policies geared toward the sector of small and medium-sized

businesses, the outcomes are largely still lacking. It happens frequently for many

small enterprises to fall short of achieving growth and development. First and
foremost, this has been brought on by issues with the Macedonian economy, which

have been exacerbated by the difficult transitional period, but it has also been brought

on by a lack of knowledge, experience, and guidance regarding strategies for

achieving growth and development of scratch businesses.

Growth is regarded as a phenomenon that is influenced by a variety of factors,

both those in and out of the small business owner's or management's control. One of

the main problems with researching small business growth is that most studies simply

consider the pace of expansion, frequently omitting the existence of important

qualitative distinctions in how firms achieve growth (McKelvie and Wiklund, 2010).

Another problem with the growth issue is that demographic considerations, which are

factors that generally effect growth, are occasionally disregarded. These elements

include the company's size and age, organizational structure, ownership, the sector it

serves, and more (Wiklund et al, 2009). Most of the time, scratch business owners

have no control over these problems, especially those that concern growth and

development. That being the case, what are the relevant factors?

Includes particular measures made by owners of small businesses that might

prevent their growth. The need for a more thorough investigation of the strategic and

competitive characteristics of small and medium-sized family firms, as well as the

economic and financial circumstances that affect them, has been identified in this

context by relevant research (Scholes at al., 2010).

The goal of the study model is to investigate the effects of five potential

variables that were found and selected based on theory and the best models for this

life cycle of start-up business growth.

The application of the growth factor research model in the specific economic

and cultural context of developing economies and post-socialist countries going

2
through transition, as well as the identification and stressing of critical performance

elements that can promote the expansion of scratch businesses, are the theoretical and

practical ramifications of this research.

Research Objectives

The following are the objectives of the study:

1. To determine the profile of scratch businesses in Solsona, Ilocos Norte as to

name, address and number of years established.

2. To determine the factors affecting the sales among scratch businesses in

Solsona, Ilocos Norte.

3. To know if there is a significant difference among factors affecting scratch

businesses sales in Solsona, Ilocos Norte.

Statement of the Problem

The study aimed to seek factors affecting scratch business sales in Barangays

Juan-Laureta, Solsona, Ilocos Norte.

Specifically, it sought to answer the following questions:

1. What is the profile of scratch businesses in Barangays Juan and Laureta,

Solsona, Ilocos Norte as to:

1.1 name;

1.2 address; and

1.3 number of years established?

2. How do the following factors affect the sales among scratch businesses in

Barangays Juan and Laureta, Solsona, Ilocos Norte, in terms of:

2.1 price;

3
 2.2 quality; and

2.3 value?

3. Is there a significant difference between the factors affecting scratch business

sales in Barangays Juan and Laureta Solsona, Ilocos Norte?

Hypotheses

This study was guided for the successful identification of the factors affecting

scratch business sales by the following alternative hypothesis:

H01: There is no significant difference between price and quality.

H02: There is no significant difference between price and value.

H03: There is no significant difference between value and quality.

Scope and Delimitation

This study focused on the factors affecting the sales of scratch businesses in

Solsona, Ilocos Norte. The study was delimited only to those who started their own

business in Solsona, Ilocos Norte. The date was gathered using a survey questionnaire

which was content validated by experts and piloted to (50) fifty scratch business

owners.

Significance of the Study

The main purpose of this study was to determine the factors affecting the sales

of scratch businesses. This resulted the economy's growth and development,

producing jobs and money, fostering competition, serving as incubators for

innovation, and opening doors for new business opportunities.

4
Accountancy, Business and Management Students. This study helped the ABM

students have an insight on the impact of scratch business.

Business Owners. This study helped them to have creative freedom and personal

satisfaction.

Community. This study helped those unemployed to get a job opportunity.

Future Researcher. The result of this study served as a basis to those researchers

who want to conduct a further study. It also helped them to formulate ideas that can

be used in conducting the study.

Definition of Terms

For the purpose of clarification, the important terms used in this study have

been defined. The following terms are:

Budget. This is an estimate of income and expenditure for a set period of time.

Capital. This refers to a broad term for anything that gives its owner value or

advantage, like a factory and its equipment, intellectual property like patents, or a

company's or person's financial assets, the word is usually used to describe money

used to make things or invest.

Enterprise. Project or undertaking, typically one that is difficult or requires effort.

Entrepreneur. This is a person who organizes and operates a business or businesses,

taking on greater than normal financial risks in order to do so.

Innovate. Make changes in something established, especially by introducing new

methods, ideas, or products.

Job. A piece of work, especially a specific task done as part of the routine of one's

occupation or for an agreed price:

Price. The amount of money that you pay for something or that something costs.

5
Quality. A characteristics or feature that someone or something has: how good or bad

something is.

Scratch Business. The adage "start from scratch" means beginning a project with

various pieces and incorporating each piece into the project to make one cohesive

product. Starting a business from scratch is where most small business owners begin,

taking a passion and skills and combining each with real world applications.

Value. The amount of money that something is worth: the price or cost of something.

6
 CHAPTER II

REVIEW OF RELATED LITERATURE AND STUDIES

This chapter presents literature and studies which the researchers think are deemed
relevant with the present study. Such as literatures and studies cited will pave the way
in determining the extent of how far researchers will go through along the area under
investigation.

Related Literature

Growth is an important phenomenon in small enterprises. In fact, their

survival essentially depends on their power to participate in the market with other big

companies. Growth decreases the possibility of closing small businesses (Rauch &

Rijskik, 2013). Strengthening is important not merely for the enterprises and their

owners but for all stakeholders since these companies thrust forward the economy by

underscoring diversity of products and services.

Branding Strategies for Scratch Businesses explores the study of branding

strategies that scratch businesses can use to establish a strong brand identity (Lee &

Kim, 2019). Scratch businesses can differentiate themselves from the competition by

developing a unique brand personality and leveraging storytelling in their marketing

efforts. Scratch businesses can also build a loyal customer service and creating a sense

of community around their brand.

Scratch businesses can leverage social media platforms, influencer marketing,

and content marketing to reach their target audience (Chen & Li, 2020). Scratch

businesses can also use customer feedback to improve their products and service

continuously.

Scratch businesses can use to manage their financial effectively (Johnson &

Brown, 2019). Scratch businesses can benefit from creating a detailed businesses
plan, tracking their expenses, and monitoring their cash flow. They also suggest that

scratch businesses can invest in the right tools and resources to support their growth

and profitability.

Scratch businesses face in today’s market identifies the challenges and

opportunities (Garcia & Hernandez, 2021). Primary challenges for scratch businesses

include competition, scalability, and financial management. However, scratch

businesses can leverage e-commerce platforms and online marketing strategies to

reach a broader audience and overcome these challenges.

Scratch businesses offer unique and personalized products and services that

appeal to customers. To succeed in this type of business, entrepreneurs must be

creative, develop a strong brand identity, and market their products effectively. They

must also manage their finance carefully and find ways to overcome the challenges of

competition and scalability. By leveraging the opportunities presented by e-commerce

and online marketing, scratch businesses can build successful and sustainable

businesses.

Related Studies

These studies cover various aspects of scratch businesses, including their role

in entrepreneurship education, the emergence of artisan entrepreneurs, the social

construction of entrepreneurial identity, the entrepreneurial processes in creative

industries, and the impact of higher education on craft entrepreneurs

There have been several studies conducted on the marketing strategies of

small businesses, including scratch businesses. One study by Constant Contact found

that email marketing was the most effective marketing tactic for small businesses,

with 78% of respondents rating it as "important" or "extremely important" to their

8
business (Constant Contact, 2019). This highlights the importance of email marketing

as a marketing strategy for scratch businesses.

Another study by the Small Business Administration found that word-of-

mouth marketing was the most effective form of marketing for small businesses, with

82% of respondents rating it as "very effective" or "somewhat effective" (SBA, 2019).

This supports the effectiveness of referral marketing as a marketing strategy for

scratch businesses.

In addition, a study by the National Federation of Independent Business found

that social media marketing was becoming increasingly important for small

businesses, with 91% of respondents using social media to market their business

(NFIB, 2019). This underscores the importance of social media marketing as a

marketing strategy for scratch businesses.

These studies highlight the importance of email marketing, referral marketing,

and social media marketing as effective marketing strategies for small businesses,

including scratch businesses.

Scratch businesses, like any other business, need a solid marketing strategy to

succeed. One effective strategy is social media marketing. According to a survey

conducted by the Pew Research Center, 69% of adults in the United States use social

media. This presents a huge opportunity for scratch businesses to reach potential

customers through platforms such as Facebook, Twitter, and Instagram. By regularly

sharing pictures and videos of their products, offering promotions, and engaging with

their customers, scratch businesses can build a loyal following and increase their

brand awareness (Perrin, 2019).

Scratch businesses can also benefit from email marketing. According to a

study by the Direct Marketing Association, email marketing has an average return on

9
investment of 38:1. By creating an email list of their customers and sending them

regular newsletters or promotional offers, scratch businesses can stay top of mind and

increase their sales (DMA, 2019).

Another effective marketing strategy for scratch businesses is referral

marketing. According to a study by Nielsen, 92% of consumers trust

recommendations from friends and family more than any other form of advertising.

By encouraging their satisfied customers to refer their friends and family to their

business and offering them incentives for doing so, scratch businesses can increase

their customer base and build a positive reputation (Nielsen, 2015).

Overall, scratch businesses can benefit from a variety of marketing strategies,

including social media marketing, email marketing, and referral marketing. By

experimenting with different tactics and tracking their results, scratch businesses can

determine what works.

Conceptual Framework

INDEPENDENT VARIABLE DEPENDENT VARIABLE

Price Scratch
Businesses
Quality
Sales
Value

Figure 1. The Conceptual Paradigm of the Factors Affecting Scratch Business Sales
in Juan –Laureta, Solsona, Ilocos Norte

This figure shows the dependent and independent variables of Factors

Affecting Scratch Businesses Sales in Solsona, llocos Norte. The independent

variables include price, quality and value. The dependent variable is Scratch

businesses sales.

10
 CHAPTER III

METHODOLOGY

This chapter presents research design, locale of the study, population and
sampling procedure, research instrument, data gathering procedure, and data
analysis.

Research Design

The researchers used descriptive-comparative research design to determine the

factors affecting the sales of scratch business. This method was necessary for

sufficient evaluation of the effect of scratch business to business owners and how the

business owners cope up with it.

Research Locale

This study was conducted in Barangays Juan-Laureta, Solsona, Ilocos Norte.

These two (2) barangays were located at the center of Solsona. These specific

barangays were chosen with care because they act as the thriving commercial hub of

the area, hosting a substantial number of enterprises and possible respondents. By

concentrating the efforts in these key areas, the researchers want to capitalize on the

burgeoning economic activity and vibrant business environment that define the

barangays. This can be acquired from interacting with the wide range of

entrepreneurs, existing businesses, and emerging ventures located within these

thriving business centers.

Population and Sample

From the population of scratch business owners in Solsona, Ilocos Norte, the

researchers selected fifty (50) scratch business owners as the respondents of the study.
The researcher used non-probability sampling technique specifically purposive

sampling in choosing the sample of the study.

Research Instrument

A survey-questionnaire instrument was used to achieve the main objective of

the study which was adopted from the study of Eham et.al (2020) on Factors

Affecting Scratch Businesses Sales. The questionnaire was given to the scratch

business owners.

The survey questionnaire was composed of two (2) parts: the first part was the

profile of the respondents and the second part was comprised of questions which was

related to the respondent’s perception regarding the factors affecting the sales of

scratch businesses.

In this type of questionnaire, Likert scale was used to gather the perception of

the respondents to the given statements.

The researchers were ensured that the information provided by the respondents

in the survey questionnaires were confidential.

The questions were interested enough for the respondents to find it simple to

respond. The researcher ensured that the information provided to the respondents in

the survey questionnaires was trustworthy.

Data Gathering Procedure

To ensure precise and trustworthy results, the researchers used a methodical

process for data collecting.

As part of the data collection process, the researchers individually

administered the research instruments to the respondents, meet to discuss the

importance of the study, and correctly contribute the instrument.

12
 The researchers obtained permission from the respondents before handing out

the questionnaires to make sure they were willing to participate. The surveys were

given to the respondents with a generous time limit of twenty (20) minutes to ensure

careful responses and prevent hurried responses. The participants were given enough

time to properly ponder their responses as a result.

The researchers totaled and tabulated the data after retrieving the

questionnaires to the respondents. The gathered data provided the basis for further

analysis and interpretation, allowing the researchers to make valid inferences and

come to conclusions about the results.

Overall, this procedural method made it easier to collect data thoroughly,

which improved the study's validity and dependability. The results of the

questionnaires were totaled and tabulated after completion. Data collected were serve

as the foundation for analysis and interpretation.

Data Analysis

The questionnaires were distributed to the respondents that was statistically

analyzed with the data requirements of the study. The findings of this study were

reported by means of descriptive and inferential statistics, such as frequency count,

percentage, average mean, weighted mean and t-test difference. The descriptive

presentation included tables.

13
 CHAPTER IV

PRESENTATION, ANALYSIS AND INTERPRETATION OF DATA

This chapter presents the data in tables with analysis and interpretation. The
arrangement of the tables is reflected in a way that it answers the problems earlier
stated in Chapter 1.
Table 1. Respondent’s Profile in Terms of No. Years of Operation
Years Established f %
Less than 1 year 15 30%
1 to 5 years 16 32%
6 to 10 years 8 16%
11 years and more 11 22%
Total 50 100%

This study aims to seek factors affecting scratch businesses sales in barangay

Juan-Laureta, Solsona, Ilocos Norte during the year 2022-2023.

The table shows that most of the scratch businesses in barangay Juan- Laureta,

Solsona, Ilocos Norte as of this date of this study is in the range of 1 to 5 years

comprising 32% followed by Less than 1 years comprising 30% and the range 11

years and more consist of 22% and the range of 6 to 10 years contain 16%.

Table 2. Level of Agreement that Price affects Sales

Price Weighted Mean Verbal Description
Price is considered a crucial
3.46 Strongly Agree
in growth of sales
Price is considered a
standard measure when
3.42 Strongly Agree
customer approach your
business
Sales is affected by
3.10 Agree
unpredictability of price
Low priced meals contribute
a greater proportion of the 3.20 Agree
sales
 Prices are
displayed/announced in
2.62 Agree
advertisements (radio,
pamphlets, brochures, etc.)
Average Mean 3.16 Agree

The table suggest that according to respondents’ price greatly affects the sales

of scratch business in barangay Juan- Laureta, Solsona, Ilocos Norte. They strongly

agree on statements 1 and 2. They agree a little less to statement 3, 4, and 5. This

means that price is a factor which is considered by customers as a factor in the

determination of the growth in sales. It is considered as a standard measure among

customer choice. From these responses, the grand mean of 3.16 indicates that they

agree that price greatly affects sales in scratch businesses.

Table 3. Level of Agreement that Quality affects Sales

Quality Weighted Mean Verbal Description
The perceived service 3.54 Strongly Agree
quality is in line with
expectation of the customer
Customers return to our 3.68 Strongly Agree
establishment often because
of employees displaying
pleasant hospitality
The establishment has 3.12 Agree
innovative and pleasant
ambiance
Food on menu is always 2.98 Agree
requested by customers
Average Mean 3.33 Strongly Agree

The table indicates an average mean of 3.33 which means they strongly agree

that their product and service quality is an important factor in growth of sales. They

strongly agree on statements 1 and 2. They agree a little less to statement 3 and 4.

This means that quality is a factor which is considered by customers as a factor in the

15
determination of the growth in sales. Customers return in their establishment because

of their hospitable employee, innovative and pleasant ambiance and that their

products are always requested by their customers.

Table 4. Agreement that Value affects Sales

Value Weighted Mean Verbal Description
Taste of food offered
exceeds or leveled with 3.68 Strongly Agree
customer’s expectation
Services offered exceeds
or leveled with customer’s 3.66 Strongly Agree
expectation
Service offered in our
establishment offers a
unique atmosphere 3.18 Agree
associated with a beautiful
scenery
The establishment
incorporates latest trend
which contributes to 3.16 Agree
additional value of our
product and services
The value of our service is
a determinant of customer 3.50 Strongly Agree
preference
Average Mean 3.44 Strongly Agree

The table indicates an average mean of 3.44 which means that they strongly

agree that their products and service’s value affects customers loyalty and in turns

greatly affect their sales They strongly agree on statements 1, 2 and 5. They agree a

little less to statement 3 and 4. This means that value is strong determinant of

customer’s preference.

Table 5. Test of Significance Difference Between Factors at 5% Significance level

16
 Null Hypothesis Significance P-value Decision
Level
H01 There is no 0.05 -0.65263 Accept Null
significant difference Hypothesis
between price and
quality.

H02 There is no 0.05 -0.49886 Accept Null

significant difference Hypothesis
between price and
value.
H03 H03: There is no 0.05 -1.38911 Accept Null
significant difference Hypothesis
between value and
quality.

The table suggests that a significant difference exist between price and quality.

This translates that the price and quality differ from each other as to their relevance in

the growth of sales in scratch business. Similarly, price and value are also statistically

significant. They have significant difference as to their relevance in scratch business

sales. However, there is significant difference exist between quality and value.

17
 CHAPTER V

SUMMARY, FINDINGS, CONCLUSIONS AND RECOMMENDATIONS

This chapter presents the summary of findings, conclusions and

recommendations of the study “Factors Affecting Scratch Business Sales in barangay
Juan-Laureta Solsona, Ilocos Norte”. Together with the presentation of this major
investigation, further information is presented by the researchers through
recommendations related to the result of this study.

Summary

Descriptive-comparative method of research was used by the researchers with

the aid of a validated questionnaire as a tool in gathering the data needed for the

completion of this study. The study aims to seek factors affecting scratch business

sales particularly in the area of barangay Juan- Laureta, Solsona, Ilocos Norte during

these years of 2022 – 2023.

Specifically, it sought to answer the following question.

1. What is the profile of scratch business in barangay Juan- Laureta, Solsona,

Ilocos as to:

1.1 name;

1.2 address; and

1.3 number of years established?

2. How do the following factors affect the sales among scratch businesses in

barangay Juan- Laureta, Solsona, Ilocos Norte, in terms of:

2.1 price;

2.2 quality; and

2.3 value?

3. Is there a significant difference among the factors affecting scratch business

sales in barangay Juan- Laureta, Solsona, Ilocos Norte?

Findings

1. Most of the scratch businesses in barangay Juan- Laureta, Solsona, Ilocos

Norte are operating from 1-5 years.

2. They agree that price greatly affects scratch businesses sales.

3. They strongly agree that sales are affected by the scratch businesses

products and services quality.

4. Value of the products and services greatly contributes to scratch businesses

sales.

5. There is a significant difference between price and quality.

6. There is a significant difference exists between quality and value.

7. Price and value have a statistically significant difference.

Conclusions

Based on its findings, the researchers conclude that scratch businesses sales

are dependent on the factors affecting it. These includes price, quality and value. The

researchers also note of the strong agreement of the respondent when asked about the

presented factors - price, quality and value which affects greatly their sales

performance. As pointed out by Razak et al., (2018), product's high or low cost may

have impact on the decision of customers in choosing a certain establishment. The

studies of Peterson (2014), and Taylor (2017) which is adopted by the present study

states that the present generation appears to be price conscious. Razak (2016) further

argues that perceived product quality when in line with customers expectation

translates to their satisfaction. By implication, this will boost scratch businesses sales.

Value is being used as a customer preference in choosing business.

19
 The researchers confirmed the findings of Keaveny (2009) which states that

price is actually used as a signal in order to evaluate their experiences with goods or

services performance. They also confirmed that service quality is found to be an

important factor in both customer satisfaction and retention as suggested in the

strudies of Ladhain et. al. (2009).

Recommendations

Based on the findings and conclusions the researchers posit the following

recommendations:

1. Scratch businesses sales should maintain their low-priced meal to good in quality

and value.

2. Prices should be visible in the front display and should be advertised.

3. The establishment should improve the quality of its services by improving its

ambiance.

4. Scratch businesses sales should value innovate.

5. Service and products should offer a unique atmosphere associated with beautiful

scenery.

6. The establishment should incorporate latest trend which contribute to additional

value of their products and services.

7. Establishments should improve price strategy to obtain higher sales.

20
 Bibliography

Chen & Li, (2020), Marketing Strategies for Scratch Businesses

de Kok, J., Vroonhof P., Verhoeven W., Timmermans N., Kwaak T. Snijders
J. and Westhof F. (2011), Do SMEs Create More and Better Jobs?.report EIM
Business & Policy Research, Brussels.

Eham et.al, (2020), Factors Affecting Restaurant Sales

Garcia & Hernandez, (2021), Challenges and Opportunities

Johnson & Brown, (2019), Financial Management of Scratch Businesses

Lee and Kim, (2019), Branding Strategies for Scratch Businesses

McKelvie, A. and Wiklund, J. (2010), “Advancing firm growth research: A

focus on growth mode instead of growth rate”. Entrepreneurship Theory and
Practice, Vol.34, No.2, pp.261-288.

Razak 1. Et. Al., (2016), The Impact of Product Quality and Price on
Customer

Rauch, A., & Rijskik, S. A. (2013). The Effects of General and Specific
Human Capital on Long Term Growth and Failure of Newly Founded
Businesses. Entrepreneurship Theory and Practice, 3, 923-941.

Scholes, L., Wright, M., Westhead, P. and Bruining, H. (2010). “Strategic

changes in family firms post management buyout: Ownership and governance
issues”, International Small Business Journal, Vol.28, No.5, pp.505-521.

Wiklund, J., Patzelt, H. and Shepherd, D.A. (2009), “Building an integrative

model of small business growth”. Small Business Economics, Vol.32, Iss.4.
pp. 351-374.

Internet Websites:

Constant Contact. (2019). Small Business Marketing Statistics: The Ultimate

List. Retrieved from https://blogs.constantcontact.com/small-business-
marketing-statistics/

Content Marketing Institute. (2019). B2C Content Marketing 2019:

Benchmarks, Budgets, and Trends. Retrieved from
https://contentmarketinginstitute.com/wp-content/uploads/2018/09/2019_B2C
_Research_FINAL.pdf

21
Direct Marketing Association. (2018). Response Rate Report 2018. Retrieved
from https://thedma.org/marketing-insights/response-rate-report/

DMA. (2019). DMA Response Rate Report 2018. Direct Marketing

Association. Retrieved from https://thedma.org/marketing-insights/response-
rate-report/
National Federation of Independent Business. (2019). NFIB Small Business
Economic Trends. Retrieved from https://www.nfib.com/surveys/small-
business-economic-trends/
Nielsen. (2015). Global Trust in Advertising. Nielsen. Retrieved from
https://www.nielsen.com/us/en/insights/report/2015/global-trust-in-
advertising.html
National Federation of Independent Business. (2019). NFIB Small Business
Economic Trends. Retrieved from https://www.nfib.com/surveys/small-
business-economic-trends/

Perrin, A. (2019, April 10). Social Media Use in 2019. Pew Research Center.
Retrieved from https://www.pewresearch.org/internet/2019/04/10/social-
media-use-in-2019/

Small Business Administration. (2019). Marketing for Small Perrin, A. (2019,

April 10). Social Media Use in 2019. Pew Research Center. Retrieved from
https://www.pewresearch.org/internet/2019/04/10/social-media-use-in-2019/

22
APPENDIX A

23
 Republic of the Philippines
Department of Education
Region 1
Schools Division of Ilocos Norte
SOLSONA NATIONAL HIGH SCHOOL
Brgy. Manalpac, Solsona, Ilocos Norte

To the Respondents,
Greetings!
We are the Grade 12- Accountancy, Business, Management students.
Presently, we are conducting a study entitled “Factors Affecting Scratch Businesses
Sales in Barangay Juan-Laureta, Solsona, Ilocos Norte”.

In this regard, may we request you to be one of our respondents. We assure

you that we will maintain the highest level of confidentiality for all information’s that
we will collect from you.

Your receptive reaction to this request will be greatly appreciated and will be
valuable contribution to be study’s success.

We sincerely appreciate your cooperation.

Respectfully Yours,

ADRIAN MARK A. BINEG

DAREEN MAY J. CU

ERIKA JOY DAQUIOAG

JOLIANNE B. VILORIA

Researchers

24
 Republic of the Philippines
Department of Education
Region 1
Schools Division of Ilocos Norte
SOLSONA NATIONAL HIGH SCHOOL
Brgy. Manalpac, Solsona, Ilocos Norte

A Survey Questionnaire on the Factor’s Affecting Scratch Businesses Sales

in Barangay Juan-Laureta, Solsona, Ilocos Norte

PART I: Respondent’s Profile

Direction: Fill out the necessary information.
Name (optional): ____________________________________
Name of Business: __________________________________
Address: __________________________________________
Number of Years Established/Operating: _______________

PART II: Owners/Managers

Rate yourself on the following factors listed in the table below by putting a
check (√) mark on the boxes that corresponds to your answer.
Scale:
1- Strongly Disagree
2- Disagree
3- Agree
4- Strongly Agree
Factors Affecting the Sales 1 2 3 4
Price
Price is considered a crucial in growth of sales
Price is considered a standard measure when customer approach
your business
Sales is affected by unpredictability of price
Low priced meals contribute a greater proportion of the sales
Prices are displayed/announced in advertisements (radio,
pamphlets, brochures, etc.)
Quality
The perceived service quality is in line with expectation of the
customer
Customers return to our establishment often because of
employees displaying pleasant hospitality
The establishment has innovative and pleasant ambiance
Food on menu is always requested by customers

25
 Value
Taste of food offered exceeds or leveled with customer’s
expectation
Services offered exceeds or leveled with customer’s expectation
Service offered in our establishment offers a unique atmosphere
associated with a beautiful scenery
The establishment incorporates latest trend which contributes to
additional value of our product and services
The value of our service is a determinant of customer preference

_____________________________
Name & Signature of Respondent

Republic of the Philippines

26
 Department of Education
Region 1
School Division of Ilocos Norte
SOLSONA NATIONAL HIGH SCHOOL
Solsona

MS. VENUS A. DALERE

Teacher I
Solsona National High School

Madam:

Greetings!

In partial fulfillment of the requirements for our Inquiries, Investigation and

Immersion (III) subject, we are conducting a study titled "FACTORS AFFECTING
THE SALES OF SCRATCH (START YOUR OWN) BUSINESS IN SOLSONA,
ILOCOS NORTE". We would like to ask your assistance in the validation and and
improvement of our research paper's, grammar, sentence structure, verbal dynamics.
As our language teacher, we are confident that you can provide us essential
critiques, actions, necessary recommendations applicable to our research study. We
believe that your knowledge and expertise in the English language will greatly help us
in completing and producing an industry-standard, credible, well-written and a
grammatically flawless research paper.
Thank you.
Respectfully yours,

DAREEN MAY J. CU
ADRIAN MARK A. BINEG
JOLIANNE B. VILORIA
ERIKA JOY C. DAQUIOAG
Researchers

Conforme:

MS. VENUS A. DALERE

English Teacher I

Republic of the Philippines

27
 Department of Education
Region 1
School Division of Ilocos Norte
SOLSONA NATIONAL HIGH SCHOOL
Solsona

MR. SANTOS D. GALANZA

Teacher III
Solsona National High School

Sir:

Greetings!

We, the undersigned Grade 12-ABM students are currently undertaking a

study on the topic "FACTORS AFFECTING THE SALES OF SCRATCH
(START YOUR OWN) BUSINESS IN SOLSONA, ILOCOS NORTE". This is in
partial fulfillment of the requirements for our subject Inquiry, Investigation and
Immersion (III).
We are aware of your vast knowledge and expertise regarding the subject.
Hence, we are seeking your assistance in the statistical treatment and interpretation of
the data that we will gather.
Anticipating your approval.

Respectfully yours,
DAREEN MAY CU
ADRIAN MARK BINEG
JOLIANNE B. VILORIA
ERIKA JOY C. DAQUIOAG
Researchers

Conforme:
MR. SANTOS D. GALANZA
Mathematics Teacher III

28
APPENDIX B

29
 CURRICULUM VITAE

Name: Adrian Mark A. Bineg

Address: Brgy. Manalpac, Solsona Ilocos Norte
Contact: 09506394442

A. Personal Background
Sex: Male
Age: 18
Date of Birth: March 10, 2005
Religion: Iglesia Ni Cristo
Name of Father: Virgilio S. Bineg
Name of Mother: Myrna A. Bineg
Language dialect: Iloko/Tagalog/English
Nationality: Filipino

B. Educational Background

LEVEL SCHOOL YEAR GRADUATED

Secondary Solsona National High School 2022-2023
(SHS)
Secondary Solsona National High School 2020-2021
(JHS)
Elementary Maananteng Elementary School 2016-2017

I hereby certify that the information above is true and correct to my knowledge and
belief.

Signature

30
Name: Dareen May J. Cu
Address: Brgy. Juan Solsona, Ilocos Norte
Contact: 09395064313

A. Personal Background
Sex: female
Age: 18
Date of Birth: November 14, 2004
Religion: Roman Catholic
Name of Father: Mayroferey D. Cu
Name of Mother: Rolly Jane J. Cu
Language dialect: Iloko/Tagalog/English
Nationality: Filipino

B. Educational Background
LEVEL SCHOOL YEAR GRADUATED
Secondary Solsona National High School 2022-2023
(SHS)
Secondary Solsona National High School 2020-2021
(JHS)
Elementary Solsona Central Elementary School 2016-2017

I hereby certify that the information above is true and correct to my knowledge and
belief.

Signature

31
Name: Erika Joy C. Daquioag
Address: Brgy. Mandaloque, Dingras, Ilocos Norte
Contact: 09387057082

A. Personal Background
Sex: Female
Age: 18
Date of Birth: December 5, 2004
Religion: Roman Catholic
Name of Father: Erickson T. Daquioag
Name of Mother: Jennelyn D. Corrales
Language dialect: Iloko/Tagalog/English
Nationality: Filipino

B. Educational Background
LEVEL SCHOOL YEAR GRADUATED
Secondary Solsona National High School 2022-2023
(SHS)
Secondary Solsona National High School 2020-2021
(JHS)
Elementary Madaloque Elementary School 2016-2017

I hereby certify that the information above is true and correct to my knowledge and
belief.

Signature

32
Name: Jolianne Angela B. Viloria
Address: Brgy. Manalpac, Solsona, Ilocos Norte
Contact: 09950577701

B. Personal Background
Sex: Female
Age: 17
Date of Birth: June 24, 2005
Religion: Born Again
Name of Father: Jojo B. Viloria
Name of Mother: Harlene Joy B. Viloria
Language dialect: Iloko/Tagalog/English
Nationality: Filipino

B. Educational Background
LEVEL SCHOOL YEAR GRADUATED
Secondary Solsona National High School 2022-2023
(SHS)
Secondary Solsona National High School 2020-2021
(JHS)
Elementary Faith Bible Baptist Academy 2016-2017

I hereby certify that the information above is true and correct to my knowledge and
belief.

Signature

33