Professional Documents
Culture Documents
A Concept Paper
Presented to the
Undergraduate Faculty of Department of
Business Administration
University of San Carlos
Cebu City, Philippines
In Partial Fulfillment
Of the requirement for the Course
Introduction to Social Entrepreneurship (SOEN 1)
April 2022
EXECUTIVE SUMMARY
Poverty is rampant in the world right now and the City of Cebu is of no exception.
The researchers made this study with the goal of providing a solution to the poverty
experienced by the indigent and the Badjaos in Barangay Mambaling, Cebu City. This is to
ensure that the local community won’t experience other related social problems such as
hunger, lack of education, and unemployment. Most of the people in the community are
working as low-skilled employees such as being fishermen, laborers, market sales workers,
and others. After accomplishing information through data collection and analysis, this study
has the aim of creating a social enterprise which is the “SeaGrab: Fresh Fish of the South” -
an online application that is a grocery for fresh fish products. This social enterprise is leaning
towards helping the community to alleviate poverty in line with the Sustainable Development
Goal 1 No Poverty and answering other related social problems in line with Sustainable
Development Goal 2 Zero Hunger, and Sustainable Development Goal 8 Decent Work and
Economic Growth. As a social enterprise, SeaGrab’s way of addressing the interrelated
problems are through forming partnerships with the local fishermen to increase their income
and employing the indigent population including the Badjao, out-of-school youth, women,
and persons with disabilities. The partnership is formed to source fresh fish from the
fishermen. The fresh fish products will then be sold in the online application of SeaGrab. In
addition, a portion of the profit of the enterprise will be allocated to the enrolled Badjao and
indigent students to serve as scholarship funds. SeaGrab has a vision of becoming a way for
the marginalized of Mambaling to thrive and to pave the way for sustainable and organic
fishing in becoming the main choice of restaurants and the public.
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TABLE OF CONTENTS
I Introduction
Rationale 4
Significance of the Study 5
Community Profile 6
BIBLIOGRAPHY 23
APPENDICES
Map of the Barangay 25
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INTRODUCTION
Poverty is one of the global problems in the world. According to the World Bank
estimates, despite having 1. 2 billion people who have come out of the extreme poverty line
since 1990, 97 million people in 2020 were pushed to extreme poverty because of the
COVID-19 pandemic. Based on the article published by Concern Worldwide U.S., in 2021,
out of the 7 billion people in the world, 10% of it which is equivalent to 700 million people
are living in extreme poverty conditions.
The alarming number of people in poverty needs to be addressed. The government has
made efforts to address this problem. It has created programs that give financial assistance or
housing assistance but such efforts were still not enough. In doing this study, the researchers
would be able to have changes or progress in the area and even the country. This has the
purpose of helping in the alleviation of the poor conditions of the target community. This
study will assess the right social enterprise that will be created for the community. It will look
at and understand the needs of the community and the available resources present in the area.
Doing so, it will not only provide income to the locals, but it will also help the community
thrive together. Another goal of this study is for the government to be more aware of this
social issue and find ways to properly address this. In addition, the study aims to provide
necessary information and recommendations to the barangay officials of the community. This
information and recommendations would be acquired and based on the factual data gathered.
Furthermore, this study strives to address the sustainable development goal: SDG 1:
No Poverty - in which poverty is the main problem in the community. It will also address
other sustainable development goals for other interrelated problems which are: SDG 2: Zero
Hunger, SDG 8: Decent Work and Economic Growth.
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Significance of the Study
The data that will be acquired through this study will be of great benefit to the
different people and institutions involved. These include the following:
The society. The will inform the society about this social problem - poverty. The researchers
would want to encourage the people in the society to be aware and to take action to help
address this issue. As this problem increases, this study will uplift privileged individuals to
use their voices for the voiceless.
The residents. This study is of great help for the marginalized community members of
Mambaling since it targets their problem. This is to help them have a source of livelihood to
feed their families. They will also be informed about the relevance of their natural resources -
the seafood. They will be taught about the ways to properly fish in the area without forgetting
preservation and conservation.
The government. This study will inform the government about their ineptitude and lack of
governance to ease the lives of their citizens. This research will give them factual data about
poverty that persists, that was not solved, and were not taken action through the years. This
will also provide the government with ideas or ways how to address the problem.
The environment. The study will not just provide income opportunities, but also pave the
way for sustainable practices in fishing. The environment especially the sea will greatly
benefit without the utilization of harmful chemicals or dynamites.
The future researchers. This study is conducted to provide information to future researchers
regarding the social issue in the community. This will serve as a source of knowledge of
statistics and recommendations for the social issue. This will also provide details about the
actions taken to address the issue and how long has it persisted in the community.
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Community Profile
The Badjao community which is the lone indigenous community recognized by the
National Commission of Indigenous People is living in Barangay Mambaling. Mambaling is
situated at approximately 10.2922, 123.8763, on the island of Cebu. Elevation at these
coordinates is estimated at 8.3 meters or 27.2 feet above mean sea level.
Mambaling is one of the barangays under Central Visayas located in the City of Cebu.
According to the 2020 Census of Population and Housing done by the Philippine Statistics
Authority, Barangay Mambaling has a population of 30,459, representing 3.16% of the total
population of Cebu City. The Badjao community’s population in 2016 is approximately 2,000
in number and 90% of this population is living below the poverty line.
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Figure 2. Population Comparison of the Community
B. Historical Population
Mambaling's population increased by 7,992 over the course of 30 years. The census
had 22,467 in 1990 and 30,459 in 2020, it also denoted that there was a decrease of 2,105
people from the previous census in 2015 which was 32,564.
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Figure 4 and 5. Population of the Community
In Mambaling, the Badjao community was formed around the time of 1960’s. Before,
these people lived in the waters but at that period there was a height of piracy. It forced them
to live on land and settle near the shore of Alaska, Mambaling. Throughout the years, the
Badjaos made wooden houses that arises from the waters which is beneficial because of tying
their boats. Up until this day, the Badjaos still continue to live in Alaska, Mambaling.
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C. Development Plan
In 2016, the Office of the Presidential Adviser on the Peace Process (OPAPP) made
visit in the areas where the Badjaos are living to assess the needs of the community. These
visitation was led by Undersecretary Ronald Flores, Chief of Staff Jeliza Farrah Dureza-Uy,
and Director of Finance and Admin Services Atty. Yeshter Donn Baccay. The initial
assessment of OPAPP delegates determined development interventions that can be
implemented through the Payapa at Masaganang Program (PAMANA). The possible
programs that could have been implemented are livelihood programs for Badjao women,
additional kindergarten school, and sports facilities for the youth.
The Department of Social Welfare and Development (DSWD) has identified Cebu
having the most identified poor population in the region of Central Visayas. In the goals of
alleviating poverty, the DSWD have implemented various anti-poverty programs to different
communities. The DSWD started the Sustainable Livelihood Program (SLP) for its
beneficiaries who are unemployed to help improve their socio-economic status. SLP is a
capability-building program that gives qualified participants a one-time grant of Php 10,000
rather than a loan. Despite the fact that the grant is not a loan, the program teaches and
requires the members to return the money as savings after two years. In addition, the
participant can withdraw and use their savings if needed for additional capital. Moreover, the
program offers skills training to help the capacity of the beneficiaries in business and
employment. These beneficiaries are also recipients of DSWD’s Conditional Cash Transfer -
a poverty reduction initiative by the government. The Pantawid Pamilyang Pilipino Program
(4Ps) is conditional cash transfer program that provides cash grants to the beneficiary
households on the condition that they invest in their child/children’s education and health,
and avail the mothers of maternal health services. The program has been implemented up to
this day, although it had some issues such as the financial assistance is “not enough and
consistent” and some of the beneficiaries rely too much on the financial grant.
In 2018, the Department of Social Welfare and Development (DSWD) has released a
fund worth Php 2.3 million to 230 members of the 11 associations in Barangay Mambaling
for their livelihood ventures under the Sustainable Livelihood Program (SLP). Most of the
members who have received cash grants chose to engage in selling general merchandise
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within the barangay like rice, basic commodities, snacks, and others. Although the SLP is a
great program in helping individuals in the barangay, there are restrictions as to who will be
catered. As stated by the government sector partnership officer Jimmy Crusio, the program,
unfortunately, cannot accommodate individuals who are extremely poor since they would not
qualify for entrepreneurship. Households under the category of the poorest of the poor are
given cash grants under DSWD’s Pantawid program.
In 2020, the Department of Trade and Industry Cebu Provincial Office turned over
Negosyo Kits worth Php 10,000 to each 79 qualified microentrepreneurs in Barangay
Mambaling and Buhisan under its Pangkabuhayan sa pagBangon at Ginhawa (PBG)
Program - a livelihood seeding and entrepreneurship program that aims to accommodate
families and individuals who are affected by the pandemic and calamities to restore or restart
their business. The qualified micro entrepreneurs from Barangay Mambaling were victims of
fire incidents whose livelihood were destroyed. Through these program, these
microentrepreneurs have availed merchandise items to restore or improved their business.
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CHAPTER 2
Poverty is one of the main problems here in the Philippines and millions of Filipinos
are pushed into poverty. This social issue is one that is focused on by the Sustainable
Development Goal 1 - Eradicate Poverty, of the United Nations. There are a lot of reasons
why poverty is increasing annually. According to Adb.org, these are the main causes of
poverty: high levels of population growth, low to moderate economic growth for the past 40
years, low growth elasticity of poverty reduction, weakness in employment generation, and
the quality of jobs generated, and high inflation during crisis periods. Since social issues are
interrelated, this means poverty connects to other social issues mentioned above, other
Sustainable Development Goals can be related. Some of these SDGs are SDG 2 Zero Hunger
and SDG 8 Decent Work and Economic Growth.
In the Philippines Statistics Authority report on the first semester of 2021, 23.7
percent or 3.9 million of the Filipino population had insufficient income to meet their basic
and non-food needs. The pandemic has contributed to this percentage because it pushed 26.1
million people in the Filipino population to poverty.
This study’s main area is Barangay Mambaling of Cebu City. According to the
Philippine Statistics Authority, the barangay was included on the most populous barangays in
the city landing on top five in 2010. The estimated population during that time was 32,162.
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According to the data of the Department of Social Welfare and Development in 2014,
Barangay Mambaling has the highest number of poor households in Cebu City. Among these
poor households are the Badjaos and indigent which will be the main target of this study.
Most of the people in these groups are working as laborers, fishermen, service workers,
market sales workers, and unskilled workers. In the Badjao community, 90% of their
population is living below the poverty line while 97% are illiterate.
Through the years, poverty has persisted in the country. Government efforts were
made but unfortunately, they didn’t solve the issue. Throughout the Philippines, there was
corruption which then affected the allotted budget for the indigent. Without the budget,
manpower can’t be met. With the addition of the Covid-19 pandemic, poverty has increased
rapidly. There are many Filipinos who are unemployed because of the companies that
retrenched their employees. This became stressful for many Filipino households because they
have lost their income. This also led to some of the students stopping their studies because of
the inaccessibility to online class platforms. It also led to hunger, malnutrition, protests, and
crime. This study aims to understand the root cause(s) of poverty in the chosen community
and recommend ideas that would be beneficial to decrease this issue.
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External Environment (PESTEL)
External factors can affect a venture in which they may be good or bad. The following tables
are the PESTEL factors that can contribute negatively or positively to the venture.
Economic
The economic factors determine the flow of income to the communities. The
following can potentially affect business ventures:
a. Unemployment - If the people are unemployed, they won’t have the capability to buy
the products of the online grocery. The best way to provide job opportunities is
through employing local men and women especially the indigent and indegenous.
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b. Low Economic Growth - If the economy is low, this entails low income to the
populations thus hindering their ability to buy needs and wants. To mitigate this,
exports must be increased and imports must be decreased.
Social
The social factors determine the smoothness of interaction between the people of the
community. The following can affect business ventures:
a. Inequality - This can affect the venture in a way that those who are richer can buy the
products, but those who are not, can’t afford them. This leads to the decrease of
potential income. Job opportunities and education must be accessible to all.
b. Marginalization - This is a factor that comes together with discrimination and
stereoptyping. With these two, it would be hard for the people to find jobs, thus
leading to low or no income. The same with inequality, job opportunities and
education must be accessible to all.
c. Cultural Barriers - There are some indigenous people living in the chosen community
and their culture and tradition might hinder modern progress. The best way to
mitigate this is to respect and preserve their culture and traditions and at the same
time educating them with the benefits of modernity.
Technological
The technological factors determine the adaptability to moderness of the community
and the venture. The following can affect business ventures:
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a. Lack of Technological Awareness - This may affect the venture specially when it
comes to employees who are not tech savvy. The way to deal with this is to provide
free seminars and training.
b. Technological advancement - With technology, the online grocery can be more
efficient and productive. To make sure that employees don’t lose their jobs against
machines, utilizing them will be limited.
Environmental
The environmental factors determine the day to day living of people in the community
and play a vital role to the overall health of the society. The following affect business venture:
a. Overpopulation - This factor affects the venture since rapid growth to the population
affects a country’s economic development which will then lead to poverty. Family
planning seminars must be conducted to the community.
b. High energy consumption - This may affect the venture since the business ought to use
electricity on a daily basis, and without this, one’s business will surely not proper.
Sustainable electricity and recycling water shall be used. There also needs to have
sustainable practices policies.
c. Improper waste disposal - This factor affects the venture since this leads to water, soil,
and air pollution which will greatly affect one’s health. To mitigate this, recycling and
proper segregation must be implemented.
Legal
The legal factors determine the legality of the venture . The following can affect
business ventures:
a. Employment Laws - The labor standards of DOLE must be followed when it comes to
their workers. Contractualization is not an option for the venture. To ensure that no
negative effects will occur, all employment related policies of DOLE are to be
followed.
b. Drug Consumption - The chosen community is somehow near popular drug spots in
the city. The venture will make sure that employees are all drug free.
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Root Cause Analysis Diagram
The problem is poverty and these are the six causes of poverty: unemployment, lack of
education, overpopulation, low income, corruption, and lack of good healthcare.
1. Unemployment
There is unemployment because of the lack of job opportunities. There is a lack of job
opportunities because of the performances, skills, closing down of businesses, and the
other reason such as discrimination against the indigenous. This led to high barrier of
entry to the corporate world especially for those who are in the marginalized
population in the area. Another reason is the strong reliance to the financial assistance
of the government. An example of this is the DSWD started the Sustainable
Livelihood Program (SLP) for its beneficiaries who are unemployed to help improve
their socio-economic status. Another example is the Pantawid Pamilyang Pilipino
Program (4Ps) is conditional cash transfer program that provides cash grants to the
beneficiary households on the condition that they invest in their child/children’s
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education and health, and avail the mothers of maternal health services. The program
has been implemented up to this day, although it had some issues such as the financial
assistance is “not enough and consistent” and some of the beneficiaries rely too much
on the financial grant. They think that it’s okay to not work because there is help from
the government which leads to unemployment.
2. Lack of Education
There is a lack of education since some of the parents in the area are unable to read
and write. There is also the Badjao tribe who is living in Alaska, Mambaling. This
tribe is one of those who are being discriminated against and stigmatized. According
to the study done by teachers at Cebu Technological University, one reason for these
tribes not continuing their education is because of the discrimination that they
received. Not having an education degree means a high barrier for job opportunities.
These people would also rather settle to do fishing than being discriminated against.
3. Overpopulation
According to the 2020 Census of Population and Housing done by the Philippine
Statistics Authority, Barangay Mambaling has a population of 30,459, representing
3.16% of the total population of Cebu City. Mambaling's population increased by
7,992 over the course of 30 years. The census had 22,467 in 1990 and 30,459 in 2020.
The reason for the overpopulation is poor family planning. The overpopulation most
are from low-income families. They don’t have any background on how important
family planning is.
4. Low Income
Most of the people living in the area are working as laborers, fishermen, service
workers, market sales workers, and unskilled workers. Some of these jobs are
receiving only the minimum wage or even less than the minimum wage per day thus
leading to low income. According to 2016 data from the OPAPP, 90% of the Badjao
community were living below the poverty line.
5. Corruption
There is also corruption in the area. According to a Phil Star article, a barangay
captain was asking for rental fees for the gymnasium from the people despite it not
being part of the policy.
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Environmental Landscape
The Sustainable Livelihood Program (SLP) was implemented in 2011 with the
objective to improve the program participant’s socio-economic status. The program
has either supports micro-enterprises in becoming economically viable or assists the
beneficiaries to access appropriate employment opportunities.
The Pantawid Pamilyang Pilipino Program began as a pilot program and was
officially launched in 2008. It is a social protection program that provides grants to
extremely poor families to improve their health, nutrition, and education specifically
to children aged 0-14 years old.
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Assessment of Effectiveness of The Implemented Intervention
The Department of Social Welfare and Development is very much effective in making
policies which empowers the poor. They also conducted intervention measures to help
decrease the poverty in the area, these programs are the “Sustainable Livelihood Program”
and the “Pantawid Pamilyang Pilipino Program”. The programs that were implemented to the
barangay were not effective in solving the social issue with a rating of 7 out of 10. The
majority of the citizens in the said community still suffer from poverty due to the location
they live in, the urban poor. In addition, the majority is unemployed, searching for ways to
feed their families. In an interview with The Freeman, a family claims that the cash grants
they received from 4P’s have not changed anything in the quality of their life since it is “not
enough and consistent.”
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Chapter 3
Social Entrepreneurship Opportunity
Innovative Solution
In Barangay Mambaling, it is evident that different social problems exist. Our chosen
social problem which is poverty has persisted in the area and it is caused by other social
problems - meaning they are interconnected. This is caused by unemployment, lack of
education, low income, and so much more. The group sees this as an opportunity to create a
social enterprise that requires a great amount of manpower. The main beneficiaries of this
social enterprise are the indigent people and Badjaos who are experiencing poverty in
Barangay Mambaling.
The social enterprise fit for the people in the area which is near the sea is a fresh fish
grocery through an app called SeaGrab. It is a unique online grocery that is sustainable and
inclusive. The researchers will form partnerships with the Badjao fishermen in the area and
will provide them with free seminars and training on how to do fishing naturally, without the
use of harmful chemicals or products. The fish that they have acquired will be turned into
fresh fish products. The target market for these products are restaurants, malls, and the public
people. The Badjao, single women, out-of-school youth, and persons with disabilities can
work as manpower for the packaging of fresh fish products.
Sourcing fresh fish from the community of Mambaling, will help to alleviate poverty.
The locals are given the opportunity to have work and earn income for their families.
NATURE OF PRODUCTS OR
MARKETING OBJECTIVE
BUSINESS SERVICES
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Impact Indicators (Metrics)
The outcome that the researchers want to achieve with SeaGrab is to decrease the
number of people living in poverty in Barangay Mambaling. With that, the following are the
indicators that will measure the success and effectiveness of launching SeaGrab in the
community.
Longevity of SeaGrab
The researchers recognize the social issue in the Barangay which is poverty and one
of the social problems they are facing is unemployment. The longevity of Seagrab can help in
addressing the social issue. The longer this social enterprise operates the more people it will
help in terms of providing job opportunities.
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SOCIAL ENTERPRISE CONCEPT
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APPENDIX A
MAP OF THE LOCALITY
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