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CHAPTER I

THE PROBLEM AND ITS SETTING

This chapter provides a quick overview of how the feasibility study was selected.

It will comprise the study introduction and operational definition of the terms used in

study.

Introduction

In the dynamic landscape of modern business, navigating the challenges of

running a small business can be particularly intimidating, especially for entrepreneurs

engaged in selling a diverse range of products such as plastic wares, paper wares and

styrofoam wares or in another term disposable products. To thrive in this competitive

market, it is crucial to address various obstacles promptly and effectively. Merchandising

is a discipline that demands strong control, skillful, and unwavering dedication. However,

for individuals without prior experience in this field, it can present unusual challenges.

Merchandising encompasses the practices and processes involved in displaying and

selling products to customers, both in physical stores and online. Retailers rely on

merchandising techniques to influence customer intent and achieve their sales objectives.

It goes beyond mere acquisition of products from suppliers; it entails implementing

strategies that enable successful sales. Effective merchandising requires marketing skills

to negotiate with buyers and create an impression of high-quality, well-conditioned

products. The products being sold should be priced affordably while providing value to

entice customers for their personal use or business requirements. The ability to engage in

persuasive communication, often referred to as sales talk, is critical in this endeavor.

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Traditionally, merchandising involved considerable effort, such as creating

brochures to promote products. However, in today's digital age, the internet has become

the preferred medium for shopping. This shift has led to the emergence of online

merchandising platforms like Shopee, Lazada, Facebook and many others. These

platforms offer convenient ways for customers to browse and purchase products.

Additionally, some businesses have established their own websites or pages to ensure the

authenticity of their products and protect customers from fraudulent activities. Thus,

Visual Merchandising is the practice of organizing and displaying products in a retail

space. It is used to highlight products and their features, gain customers' attention, make

customers feel comfortable and promote sales. (Indeed Editorial Team, 2023).

In the context of selling plastic wares, paper wares and styrofoam wares or the

disposable products it is crucial to understand which products would resonate with

customers. Plastic wares, for instance, are among the most versatile materials ever

developed by humanity. This category encompasses various products such as cups, plates,

cutlery, lids, and straws. Each of these subcategories can be made from either paper or

plastic, although one material typically dominates in each category. Paper wares, for

instance, are more prevalent in cups and consumer-grade plates, while plastic wares are

often preferred for their durability in microwaveables, solid cups, and certain types of

cutlery.

The researchers created this product-based proposal to serve valued customers

with a good quality of disposable products either plastic wares, paper wares, and

styrofoam wares that can be used in their small business. Researchers offer a convenience

of having the ease availability of the products and reasonable prices in order for them not

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to spend much higher cost, saving their time and energy. Customers can trust that the

products that they can purchase are new and well packaged. They can feel secure

knowing that the products are insured and affordable. Fiesta Cheers General Merchandise

can help customers to look for the right and good disposable products for their small

businesses and to their budget.

The Proposed Project

Introducing Fiesta Cheers General Merchandise: One-Stop Shop that offers

Plastic Wares, Paper Wares, and Styrofoam Wares, the intent at Fiesta Cheers General

Merchandise is to offer a wide range of high-quality products that cater to the needs of

food small business owners in the local community. The establishment will specialize in

providing an extensive selection of plastic wares, paper wares, and styrofoam wares from

disposable plates and cups to eco-friendly alternatives, it also offers diverse options to

suit every occasion. The products are carefully sourced from reputable manufacturers,

ensuring that customers receive authentic and reliable items.

One of the primary goals is to provide good customer service believing in

transparency and guarantee that all products meet quality standards.

In addition to the commitment of quality, it also prioritizes affordability. To

understand the importance of competitive pricing, particularly for small enterprises

operating on limited budgets by offering the products at reasonable prices, it aims to

support the growth and success of local entrepreneurs.

Fiesta Cheers General Merchandise aims to address a significant gap in the

market while other general merchandise stores primarily focus on wholesale and bundle

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sales, it should recognize the need for retail options, especially for small-scale

businesses. By providing an accessible avenue for purchasing plastic wares and other

disposable products, it aims to enhance convenience and simplify the procurement

process.

Fiesta Cheers General Merchandise, strive to be a trusted partner for small

enterprises. With the commitment to quality, affordability, and good service, it aims to

become the one-stop shop for all your plastic wares, paper wares, and styrofoam wares

needed in small businesses that cater to the food micro business.

Logo

Figure 1 The Logo of the Business

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Description of Logo

● Arc in a half circle that looks fibonacci with dark maroon type of color which

symbolizes the universal harmony that represents the balance on every level of

practices working simultaneously to produce favorable outcomes.

● The banderitas above in a drawing or animated form that has four small circles in

every two consecutive spaces placed in the midst of the half circle with a different

scheme color that bear out the mini crown is a straightforward way to prove the

willingness to strive at its peak of success.

● The word 'Fiesta' in the logo uses a Sigmar One Font which is a casual, display

specific webfont. Its design is based upon various fonts found in mid-twentieth

century, all the letters capitalized and larger than usual in order to emphasize its

own message with primary colors that centralize the brand's visual identity.

● The word 'Cheers' in the logo uses Fancy Cursive Font also known as script fonts

that captures the feeling of elegance, creativity and fun with a combination of

sunkist color or the light orange which represents stability, friendliness and

goodness of the firm. It is placed under the word 'Fiesta' in order to entice and

identify people's attitudes towards certain products.

● The variation of the products which are placed in a part of the lower left and right

side with a different color backgrounds, the whole main products that placed in

the low middle represents the diversity in order to provide a tremendous boost to

brand image, it is formed into animation to get a captivating and cool about the

products.

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● The tagline 'one stop shop for daily necessities' placed inside the logo which

states the firm's overall purpose, is to ensure that the tagline is memorable. Using

the TT (TrueType) Norms Pro Normal font that is inspired by a modern life to

keep the visibility with a combination of color black which is symbolic of power

and sophistication.

● The banderitas or the small flags with different colors or the rainbow type

signifies a positive outlook of the given products or the variations itself which

means it focuses on quality,therefore the simplicity of the half circle which

reveals the banderitas form a wide smile in the lower part of the logo.

● The color white background evokes the ideas of purity, cleanliness and

wholesomeness which portrays the overall flow of the logo that connects the story

behind those design,fonts and colors that are used in the overall concept of the

logo.

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FACILITY

Figure 2 Floor Plan of the Facility

Figure 3 Reference for the Floor Plan of the Facility

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Mission

To establish general merchandise that can offer disposable products with reasonable

prices, convenience and accessible to the food microbusiness owners as our customers.

We will achieve this by committing to show the genuinity of the services and

transparency of the products that the business has to give.

Vision

We are aspiring to be the leading one stop shop area of selling disposable products for

food microbusinesses in Talavera, Nueva Ecija.

Objective

To have more customers in different areas which could also spread words about the

service and products the business is offering.

● Reasonable Prices

● Good customer relationship

● Stability of the Business

● Flexibility of the Product

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Review of Related Literature and Studies

This chapter would discuss the literature studies that were compiled to further

research regarding the study which is all about merchandising that would be supported by

the title of this study which is the Feasibility Study of Establishing Fiesta Cheers General

Merchandise in Talavera, Nueva Ecija as the following literature follows from foreign

literature to local literature and its studies as well.

Foreign Literature

Visual merchandising plays a crucial role in attracting customers to retail businesses,

creating both rational and emotional appeal and enhancing the overall shopping

experience. In a study conducted by Shankhwar (2018), it was found that visual

merchandising can significantly increase product convenience and help customers learn

about and develop favorable attitudes towards products. Retailers, as highlighted by

Rajesh (2019), should prioritize visual advertising methods to attract new customers and

encourage their continued patronage, ultimately influencing their purchasing decisions.

Saricam, Okur, Erdem, Akdag, and Kilikci (2018) emphasize that visual merchandising is

an effective strategy for enhancing the store's image, capturing customers' attention, and

driving sales.

These concentrated efforts in visual merchandising are often accompanied by

increased variable markups (Hall, 2018), which raises concerns about growing market

power and prices. While it is widely acknowledged that large firms are accounting for a

larger share of the market, the reasons behind this reallocation remain somewhat elusive.

In the case of consumer goods, many are imported by major retailers (Holmes and Singer,

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2018) at a significant cost advantage compared to smaller retailers who rely on

intermediaries (Ganapati, 2018).

In the article "Visual Merchandising in the Digital World" published in 2018,

researcher Saumya Sinha emphasizes the importance of integrating visual merchandising

strategies with social media to attract online shoppers. Some store window displays have

challenged conventional product presentation norms, recognizing that shopping is a

tactile experience. Customers can better understand and engage with products by visually

examining, touching, and even smelling them. To create captivating window displays that

resonate with the desires and aspirations of modern consumers, it is essential to showcase

more than just products with potential sales value.

Furthermore, Thomas et al. (2018) assert that effective visual merchandising, facilitated

by social images and associations, contributes to establishing a distinguished supermarket

brand.

As noted by Kant & Wiid (2020), visual merchandising has become increasingly

important in retail, especially as more customers shift to online shopping. Their study

focused on understanding the impact of visual merchandising elements in the South

African retail industry, aiming to improve visual merchandising proficiency and its

influence on store design, layout, and the planning of new stores.

To fully comprehend the potential impact of trade on retail concentration and,

ultimately, on consumers, it is crucial to focus on local concentration rather than national.

If retail concentration negatively affects consumers, it will primarily manifest through

local retail products. National concentration may or may not result in concentrated local

markets. Therefore, understanding the displacement of smaller businesses by national

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retailers requires an assessment of individual market dynamics. Although some

well-known international coffee shop chains, such as Starbucks, tend to attract customers

due to their perceived social status, it is important to acknowledge that smaller coffee

shops, like Caffeinated in the Philippines, continue to thrive by offering affordable

alternatives to customers.

According to Emerald Insights (2020), street vending refers to the production and

sale of legal goods and services in urban public spaces, without official regulation and

through non-permanent structures. While the exact global number of street vendors

remains unknown, street vending represents a significant informal sector.

Street vendors, also referred to as traders, hawkers, or peddlers, are predominantly

entrepreneurial individuals, though some may work as wage laborers. Vendors often

come from lower-income backgrounds, though this is not universally applicable. Street

vending provides a decent income for many, especially those without formal education.

Family, kinship, and social networks often play a role in the operation of vending

businesses (Schoenecker, 2023).

Street vending serves as a crucial employment opportunity, particularly for youth,

women, individuals with limited resources, and those with minimal skills in low-income

countries (Mramba & Mhando, 2020). Its popularity stems from its accessibility in terms

of cost, legal eligibility, and educational requirements. Despite their significant

contributions to local economies, street vendors face challenges that hinder productivity,

sustainability, and decent working conditions (International Journal of Research in

Business and Social Science, 2022).

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In developing nations worldwide, street vending is an integral part of the informal

economy, creating employment opportunities, livelihoods, income, and facilitating the

distribution of affordable goods.

Local Literature

The industry has evolved throughout the years, that is why a lot of stores,

particularly in merchandising, have created strategies on how to gain more customer

attention and customer loyalty from their target market. Suppliers need to consider and to

evaluate the product, price, promotion, place and people to have market differentiation.

Visual Merchandising has been one of the effective marketing strategies to show the ways

that a retail store could do in order to entice its potential customers. This involves in

which the business needs to be well planned and developed. There would always be a

tight competition between retail stores in the market.

Various factors affect potential consumers’ perception of those retail stores. The

two major areas are the exterior and interior of the store which have color combination,

lighting, store layout and design, furniture and fixtures. These elements contribute to the

role of visual merchandising which is very crucial for the study that would be conducted

which is all about merchandising as well in which makes in helping create the perfect

atmosphere to attract customers.

It also varies whether the business is also good on sales talking which could

imprint the consumers’ perception that makes them wanna buy even more products for

their future use or consumable in which the study is all about a merchandising store that

gives the necessary things that consumers’ need for a certain occasion like parties, family

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gathering and many more which would be focusing on plastic wares, styrofoam wares,

paper wares and wooden wares which is in demand especially for those who more often

than not use the products that the merchandise store has to offer would be tackled in this

study.

According to Philippine Retailers Association 2022, Visual Merchandising (VM)

is the great showman of retail, the ring-master tasked with capturing the audience and

inviting them in. If done right, tickets to the show will be bought and the audience will

settle in for the ride.And just like the greatest show on earth, the spectacle of what goes

on behind the scenes to produce these experiences is, at its best, a fine-tuned team of

individuals and tools. All working hard to produce quality consumer engagement.

Enticing, and delivering an array of touch-points that will keep consumers coming back.

According to Martha Business (2022), general merchandise in the Philippines refers

to a wide range of consumer goods that are available for purchase in the country. This

includes everything from food and beverages to clothes and electronics. There is a vast

array of general merchandise available in the Philippines, making it a great place to shop

for almost anything you need.

There are many small retail businesses in the Philippines. A few examples include

sari-sari stores, which are small neighborhood convenience stores; turo-turo, which are

small food stands; and bakalas, which are small neighborhood stores that sell basic

household goods. These businesses are important to the Filipino economy and way of

life, as they provide essential goods and services to communities across the country.

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According to the Reality of Street Vendors in the Philippines(2020) Street vendors

are entrepreneurs in small scale who market goods and services at a low price with

indefinite locations, semi-built structures, or nameless identity yet still have a physical

shop, usually seen along the pavement. They offer a variety of goods and services from

fresh ingredients to prepared foods, spare parts to toys and accessories, and even shoe

fixing to body massaging. Street vending has always been a source of income in many

parts of the world albeit the fact that it is considered as a fraction of the informal

economy.

According to Samplius, 2020 Street vendors are entrepreneurs in small scale who

market goods and services at a low price with indefinite locations, semi-built structures,

or nameless identity yet still have a physical shop, usually seen along the pavement. They

offer a variety of goods and services from fresh ingredients to prepared foods, spare parts

to toys and accessories, and even shoe fixing to body massaging. Street vending has

always been a source of income in many parts of the world albeit the fact that it is

considered as a fraction of the informal economy.

World Nomads stated by JB Macatulad 2021, For a truly authentic experience,

there’s no better place to have street food than by the side of a busy road. Vendors

offering different types of street food often congregate in urban areas with a lot of foot

traffic. In Manila, busy areas like Quiapo and Divisoria Market are hotbeds for street

food. The noise, smells, heat, and grit are all part and parcel of a true Filipino street food

experience. According to Manila Standard 2022, Street vendors, or popularly known in

the Philippines as sidewalk vendors, often play cat-and-mouse with authorities from local

governments and the Metropolitan Manila Development Authority.

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The rise of small businesses has been a notable trend in recent years, as

individuals have increasingly pursued entrepreneurial endeavors on a smaller scale.

These small businesses, also known as "nano businesses" or "solo enterprises," typically

operate with fewer than five employees and have limited capital investment. They often

cater to niche markets and provide specialized goods or services to their local

communities. Such businesses have gained attention for their ability to foster economic

growth, promote local employment, and contribute to the diversity of the business

landscape (Smith, 2019). With their flexibility and adaptability, small businesses have

been recognized as key drivers of innovation and resilience in the face of economic

challenges (Johnson, 2021). Moreover, they offer individuals the opportunity to pursue

their passions, gain self-employment, and contribute to the overall economic

development of their local areas (Brown, 2022). As the small business sector continues to

grow, it is crucial for policymakers and stakeholders to provide support and resources to

foster their success and maximize their positive impact on local economies (Davis, 2023).

Foreign Studies

This part of the study would be tackling about the studies that were conducted

when it comes to merchandising in foreign studies and concepts as the following

concepts would be tackled why merchandising or rather a business strategy is crucial

when it comes to earning income, in terms of visual merchandising which the following

studies would state.

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Visual merchandising is an effective presentation of products that impacts

customers' purchase. It is providing the right product to the right customer at the right

time. It is defined as “the presentation of a store/brand and its merchandise to the

customer through the teamwork of the store’s advertising, display, special events, fashion

coordination, and merchandising departments in order to sell the goods and services

offered by the store”.

Both Upadhyay et al. (2019) and Tumbe & Krishnakumar (2018) reach the same

conclusion, which is that reshaping changes the landscape of the commercial world. It is

therefore essential for the success of modern merchants to provide customers with

cutting-edge services such as home delivery and the production of an atmosphere

reminiscent of a bazaar. They believed that the proliferation of new approaches

contributed to the already dynamic and complex nature of the business sector as a whole.

Consumers do longer base their purchases on the fulfillment of their most fundamental

requirements as they once did. Product presentation is becoming increasingly crucial as a

direct result of the increased product diversity and increased customer sophistication. In

an effort to capture the attention of customers, companies have increased their investment

in the VM concept (Visual Merchandise). Customers care more about the characteristics

of a product than they do about the price of that goods. Both the constantly altering

attitudes of the clients and the deft presentation of the items for sale are necessary in

order to keep the seller interested in their business.

According to the studies of Angelito R. Calingo which was published in his study

in 2018 stated by Meyer, Harris, Kohns, and Stone III, the importance of a display theme

is that a store display is rendered effectively when there is proper coordination between

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the business' advertising, personal selling, publicity and public relations. The business'

merchandising personnel determine what merchandise type will sell better at any time.

Visual merchandising decision makers, therefore promote these items and project the

desired image of the business through a thematic display.

Visual merchandising not only improves customers' feeling towards a brand, but it

also increases brand recall, strengthens feelings towards brands and improves customers

relationships with those brands. In fact, retailers that maintain well-designed interiors and

exteriors cause customers to positively value your brand more intensely.

Accounting and Management 4 (2), 2021 Street vendors are an essential and legal

part of the urban retail trade and distribution system for the general public's daily

necessities. Street vendors engaged in retail trade are an important part of the economy

and a source of employment in the City of Ibadan.

Journal of Urban Affairs, 1-18, 2022 Street vendors contribute to the unique

identity and vibrancy of cities influencing the social, economic, and cultural landscape.

Often, street vendors conduct their informal businesses on the sidewalks, which are

meant to be used by pedestrians.

According to the study of Polymers (Basel) 2021 Disposable food serving utensils

and tableware are a very convenient solution, especially when the possibility of the use of

traditional dishes and cutlery is limited (e.g., takeaway meals). As a result, a whole range

of products is available on the market: plates, trays, spoons, forks, knives, cups, straws,

and more. Both the form of the product (adapted to the distribution and sales system) as

well as its ecological aspect (biodegradability and life cycle) should be of interest to

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producers and consumers, especially considering the clearly growing trend of

“eco-awareness”. This is particularly important in the case of single-use products.

Local Studies

This part of the study would be tackling the studies that were conducted when it

comes to merchandising in local studies and concepts would be followed and tackled why

merchandising or rather a business strategy is crucial when it comes to earning income in

terms of visual merchandising which the following studies would state.

So according to the studies that were conducted from local studies, the pace of

growth of the global retail industry has seen an upward trend as sales continue to increase

year after year. Several studies have shown when it comes to buying products worldwide

have already been conducted and have proven that 40-80% (Amos et al.,2018) of all

purchases depending on the product type, is attributed to impulse behavior.

However in the Philippines context, it is not really an explored topic but

according to this part of the study it would be tackling about the studies that were

conducted when it comes to merchandising in foreign studies and concepts as the

following concepts would be tackled what merchandising or rather a business strategy is

crucial when it comes to earning income and also when it comes to the terms of visual

merchandising which the following studies would be stated studies published by

Gutierrez, impulse purchases in the urban Philippines regarding products have

determined that purchase frequency, product category and age are important factors

relating to specific demographic attributes.

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Visual merchandising is designing and displaying the presentation of goods and

services in such a way that intrigues consumers to purchase (Husnain et al., 2018,

Mkwizu et al., 2018). It is somewhat similar to the store environment in which makes the

business blooms is the presentation and the persuasion towards the customers to buy the

products that might be essential to their needs.

Through this, store managers would implement effective and efficient visual

merchandising techniques (Martinez et al., 2017; Wijaya & Setyawan, 2020).

It is equally important to identify the specific store attributes that give customer

satisfaction and unplanned purchase decisions (Princes, 2019). These can provide retail

managers helpful information to set their offerings, deliver value to consumers, and

increase profits (Martinez-Ruiz et al., 2018). However this unplanned occurrence by the

consumer does not apply to every impulse purchase made. An unplanned purchase can

happen when the consumer forgets to include items on the prepared list which is a good

thing if the store has it.

In regards to this study, it is important to know on how to promote the products in

a way so that the needed items that the customer only needs would eventually buy if the

seller knows how to sell because selling a product is not that easy especially if the seller

doesn’t know the ins and outs when it comes to selling so what are the things to consider

when it comes visual merchandising.

First is dedication and why is dedication important? It’s important because of the

fact that if your heart's not into the business world that you would put sheer effort and

time to earn income merchandising is not for you that’s why planning is important.

Second would be patience, Patience is important because not every business would be

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successful immediately since everything has a step so that you could attract customers to

buy your products and show an impression on why they should avail your products.

Lastly would be transparency and authenticity it is very important because this is the key

in order to bring their sense of loyalty to avail the products because the given product and

service is real which is a customer relationship that is develop which is really helpful

especially in terms of merchandising because there would be a lot of customers would

buy the product as long as the product is really in good quality and the service is really

authentic and transparent.

According to the study conducted by the University of General De Jesus College

(2021-2022) A street vendor is broadly defined as a person who offers goods for sale to

the public without having a permanent built-up structure from which to sell. Street

vendors may be stationary in the sense that they occupy space on the pavements or other

public/private spaces or they may be mobile in the sense they move from place to place

by carrying their wares on push carts or in baskets on their head.

According to the study conducted by Mercedes D Santos, Richard D Badua,

Celine Giana C Callo, Fernando P Ferrer Jr, 2020 Streets all over the world are full of

vendors selling everything from fried foods, fruits and vegetables to cell phone covers to

fabrics and clothing. These sidewalk vendors bring everyday goods to consumers at

lower prices in places accessible to them at transport terminals, near offices and parks and

outside residential clusters.

Local small businesses play a vital role in fostering economic growth and

community development. These small-scale enterprises, typically employing fewer than

five employees, contribute to the local economy by providing employment opportunities,

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meeting local consumer needs.. Moreover, the personal touch and unique offerings of

small businesses often differentiate them from larger corporations, attracting customers

seeking personalized products and services. Supporting and promoting local small

businesses can strengthen the local economy, enhance community resilience, and foster a

vibrant entrepreneurial spirit within the community.

As stated by Nasviet.org (2019), a street vendor or street peddler is a person who

sells goods and offers services to the public using a push cart, a head-load or any

structure that is not built in. The street vendors are the ones who sell foods, goods and

merchandise on the street or sidewalk. Their store can be pushed, kept or folded during

closing time or can be moved from one location to another. Street vendors' main objective

is to earn money to sustain their daily needs by selling their products based on people's

demand.

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Conceptual Framework

Input Process Output

Figure 4 Conceptual Framework

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It illustrates the conceptual framework, the researcher uses the IPO model in which have

the Input, Process and Output Method. The input contains the demographic profile of the

respondents such as source to avail disposable products, budget allocated for disposable

products, frequency of restocking, order volume for disposable product in terms of packs

and sizes and aspect of business which are marketing aspect, technical aspect,

management aspect, financial aspect and socio-economic aspect that were used in the

entire study for formulating and guidelines in creating the study and also in constructing

the survey questionnaire. The process includes the distribution of the survey

questionnaire and interpretation of data or data analysis used in determining the possible

outcome of the study. The output is the result of the product of the input and the process

wherein the possible outcome is determined.

Statement of the Problem

Commonly the goal of this study is to determine the Feasibility of Establishing

Fiesta Cheers General Merchandise in Talavera, Nueva Ecija. It will examine specifically

the following aspects.

The study sole to answer the following questions:

1. What are the demographic profiles of the respondents in terms of:

1.1 Source to Avail Disposable Products;

1.2 Budget Allocated for Disposable Products;

1.3 Frequency of Restocking;

1.4 Order Volume of Disposable Products in terms of packs and sizes?

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2. How may the marketing aspect be addressed:
● Who will be the target market of the business?
● What are the strategies to be used in promoting and advertising the product?
● Who are the competitors?
● What kind of discounts are to be given for the customers?
● What are the picking strategies to be used?
● What is the future demand for the product that would be sold?
● What are the selling prices that the Fiesta Cheers Merchandise offer?

3. How may the technical aspect be addressed:


● Is there a ready and appropriate location for the proposed project?
● Are there available products that could be availed in time of restocking?
● What are the necessary permits and licenses to put up in this project?

4. How may the management aspect be addressed:


● What form of business organization will the proposed project adapt to?
● What kind of organizational structure will the proposed project adapt to?
● When is the start of business operations?
● How many employees are needed for the project?
● What kind of benefits, training, seminars are to be given for the employees?

5. How may the financial aspect be addressed:


● How much capital is needed to support the proposed project?
● How will the proposed project be financed?
● What are the bases of the projected financial statements?
● What will be the payback period and return on investment of the project?
● What are the peak and lean periods of the business?

6. How may the socio economic aspect be addressed:


● Will it generate employment?
● Will it earn additional investment in the community?

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Scope and Delimitation

The study of "Establishing Fiesta Cheers General Merchandise" business in

Talavera, Nueva Ecija will be based on marketing, technical, management, financial, and

socio-economic aspects of the business. Thus, it is definitely aimed to determine whether

this business is feasible or not.

A proportion of the food microbusinesses owners in Brgy. Maestrang Kikay and

Brgy. Pag-Asa in Talavera will be interviewed and surveyed by the researcher. The

information acquired and the responses made by the respondents will be used by the

researcher to create a study of the proposed firm.

Significance of the Study

The study that is being conducted would benefit from the following beneficiaries

that would serve as a future reference to get ideas when it comes to merchandising. The

following beneficiaries would benefit:

Phinma Araullo University


The university would benefit from this study because they would have an accessible
source placed in the library about the importance of visual merchandising.
Students
The students would benefit from this study because if they are interested to know
about visual merchandising as a reference.
Prospective Business Owners
They will benefit from this study because they would have a glimpse how the
business operates and the background of visual merchandising.
Micro businesses
This study would benefit the micro businesses to learn the techniques of VM and
improve its outlook like displaying products so that the business would grow even better.

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Prospective Investors
They will benefit from this study so that they would know the ups and downs of
visual merchandising whether to invest or not.
Researchers
This study gives brief ideas about visual merchandising and to learn due to academic
requirements but it also gives a head start on whether the business world is for us or not.
Future Researchers
The study will help them easily collect and gather data in regards to visual
merchandising.
Definition of Terms

This part of the study indicates the terms of the study that are used and it was to

define the terms for better understanding.

Licenses - an official document giving someone authorization to do something but

require fewer restrictions and fewer inspections.

Merchandising - the practice and process of displaying and selling products to

customers. Whether digital, retailers use merchandising to influence customer intent and

reach their sales goals.

Merchandising firm - a business that purchases finished products and resells them to

consumers.

Permit - an official document giving someone authorization to do something but require

regular inspections.

Prospective - expecting to be something particular in the future.

Sales Talk - argument often accompanied by demonstration used to persuade others to

buy a product or service or to accept an idea or proposal.

Visual Merchandising - is an effective presentation of products that impacts customers'

purchase.

26
CHAPTER II

Research Methodology

This chapter gives the information of the methodology that will be used in the

study. It contained the method of research, research locale, respondents of the study,

instrument for the data gathering, administration of instrument, interview, observation,

and statistical treatment of data.

Research Design

Quantitative research deals in numbers, logic, and an objective stance.

Quantitative research focuses on numeric and unchanging data and detailed, convergent

reasoning rather than divergent reasoning. The research design that the researchers used

is Descriptive Research, as it is the most suited method to collect the required data to

make meaningful results, analyses, and conclusions.

Descriptive research is a quantitative research method that attempts to gather and

collect quantifiable information for statistical analysis. Calderon (2006), defined

descriptive research as a purposive process of gathering, analyzing, classifying, and

tabulating data about prevailing conditions, practices, processes, trends and cause-effect

relationships and then making adequate and accurate interpretation about such data with

or without or sometimes minimal aid of statistical methods.

This method helped the researchers to determine “The Feasibility Study of

Establishing Fiesta Cheers General Merchandise in Talavera, Nueva Ecija” which is

essential to create this study along with brief details about visual merchandising to have

concise convergent reasoning by finding concrete and familiar solutions to the problem

27
like the use of plastic wares that makes handling of food more convenient and also

maintain sanitary purposes as well to minimize the urgency to be hospitalized.

Research Locale

The study would be focusing on the location of Barangay Maestrang Kikay and

Barangay Pag-Asa in Talavera, Nueva Ecija where the location is near in school of REH

Montessori College Inc., Talavera General Hospital, Talavera Central School and

Municipality of Talavera.

Figure 5 Map of Bry. Maestrang Kikay and Brgy. Pag-Asa Talavera, Nueva Ecija

28
Figure 5 shows the location of data and the distribution of the survey

questionnaire that will be conducted in Talavera, Nueva Ecija, specifically the Brgy.

Maestrang Kikay and Brgy. Pag-Asa.

Respondents of the Study

In this study, the respondents were the food microbusiness owners in Talavera,

Nueva Ecija that are located in Brgy. Maestrang Kikay and Brgy. Pag Asa. They are the

ones that manage the business so they know the ins and outs of their business. There were

five competitors of Fiesta Cheers General Merchandise namely, JJ Gen. Merchandise,

Grandson Gen. Merchandise, JohnMichael Gen. Merchandise, John and Claire Gen.

Merchandise and Toshiro Gen. Merchandise who sell disposable products in the said

location. The total population of the respondents consisted of 55 respondents.

The researchers decided to sort out all of the microbusinesses in the chosen area

and chose the food microbusinesses who are selling foods and beverages that need

disposable products for their business purposes.

Table 1

LIST OF FOOD MICRO BUSINESS IN BRGY. MAESTRANG KIKAY

AND BRGY. PAG-ASA, TALAVERA NUEVA ECIJA

FELISA TEA BRGY. MAESTRANG KIKAY


LEMON & BUKO BRGY. MAESTRANG KIKAY
TEA ALL LATTE BRGY. MAESTRANG KIKAY
JONAP BAKERY BRGY. MAESTRANG KIKAY
213- RETRO CAFFE BRGY. MAESTRANG KIKAY

29
TEASENSORED MILK STATION BRGY. MAESTRANG KIKAY
MANGO GOLANG BRGY. MAESTRANG KIKAY
JOYCE FOOD HAUS BRGY. MAESTRANG KIKAY
SWIRL MILK TEA BRGY. MAESTRANG KIKAY
SOFT TEA MILK TEA HOUSE BRGY. MAESTRANG KIKAY
APPLESMILE FOOD HOUSE BRGY. MAESTRANG KIKAY
JVB AND JENNY FRIED CHICKEN BRGY. MAESTRANG KIKAY
HOUSE
MATCAS MANGO SHAKE STATION BRGY. MAESTRANG KIKAY
HUMANITEA MILK TEA SHOP BRGY. MAESTRANG KIKAY
CYRON'S SHAWARMA BRGY. MAESTRANG KIKAY
MACCHIATO'S & CHOCOLATE BRGY. MAESTRANG KIKAY
OHAN'S MILK TEA HOUSE BRGY. MAESTRANG KIKAY
OVERCLOCK INTERNET CAFE BRGY. MAESTRANG KIKAY
CEEJHOYE SNACK HAUS BRGY. MAESTRANG KIKAY
LYKA'S EATERY BRGY. MAESTRANG KIKAY

YAKIK'S GRILL HOUSE BRGY. MAESTRANG KIKAY

HERBEE'S PIZZA HOUSE BRGY. MAESTRANG KIKAY

NORMIT'S EATERY BRGY. MAESTRANG KIKAY

DENJ ARABIC FOOD HOUSE BRGY. MAESTRANG KIKAY

CHESTEA MILK TEA HOUSE BRGY. MAESTRANG KIKAY

ONE94 DINER BRGY. MAESTRANG KIKAY

DONG'S GOTOHAN BRGY. MAESTRANG KIKAY


1 FELISA TEA BRGY. MAESTRANG KIKAY

30
MICS-ROLINDABELS SNACK HOUSE BRGY. PAG-ASA

AMANG SNACK STALL BRGY. PAG-ASA

CONNIE SNACK HAUS BRGY. PAG-ASA

MORIAH'S FOOD HOUSE BRGY. PAG-ASA

WINGHOUSE FOOD HUB BRGY. PAG-ASA

NMV GOODLUCK BAKERY BRGY. PAG-ASA

DELY'S FOOD HAUS BRGY. PAG-ASA

QUEEN ELIZABETH CANTEEN BRGY. PAG-ASA

BALETONG'S FOOD HOUSE BRGY. PAG-ASA


SHAWARMA STREET FOOD AND BRGY. PAG-ASA
BEVERAGE STALL

CY STOP SNACK STALL BRGY. PAG-ASA

BALMATER STALL BRGY. PAG-ASA

TERESITA'S STALL BRGY. PAG-ASA

JEPOY'S FOOD STALL BRGY. PAG-ASA

LUPHETSKIE 25 SIZZLING HOUSE BRGY. PAG-ASA

RNJ- FOODIE HUB BRGY. PAG-ASA

MARY JANE ROLLING FOOD STALL BRGY. PAG-ASA

MACKOY ROLLING FOOD STALL BRGY. PAG-ASA

JORGE ROLLING FOOD STALL BRGY. PAG-ASA

VINCENT ROLLING FOOD STALL BRGY. PAG-ASA

ZER'S FOOD HUB BRGY. PAG-ASA


L&A'S FOOD AND REFRESHMENT BRGY. PAG-ASA
HUB
LA BU FOOD AND LOVE BRGY. PAG-ASA
RESTAURANT

GAIL FOOD HOUSE BRGY. PAG-ASA

31
ALING TANE'S EATERY BRGY. PAG-ASA

EHLER'S CYBER CAFE BRGY. PAG-ASA

BRYAN'S FOOD HOUSE BRGY. PAG-ASA


Table 1 shows the list of food microbusiness in the area of Brgy. Maestrang Kikay

which got a total of 28 and 27 in Brgy. Pag-Asa Talavera Nueva Ecija having a total of 55

food microbusiness.

SAMPLE AND SAMPLING PROCEDURE

Convenience Sampling Method

The researchers used convenience sampling. It is a simple and easy way to get

information compared to other sampling methods. Most of the time, simple and easy

go well together. It is a type of sampling that doesn’t depend on chance and is often

used in research studies. This sampling technique involves choosing people who are

easy for the researcher to reach and get in touch with. Instead of picking people at

random from a certain population, convenience sampling involves picking the people

who are easiest for the researcher to get information from. The researchers used the

Interview Guide Questions. The researchers choose to interview the competitors because

knowing their background will help to create or improve our service to stand out more.

Research Instrument

The Researchers used two classes of data to perform this study, Primary Data and

Secondary data, and to conduct eligible and factual information that can be gathered

through the use of questionnaires.

32
Primary Data

The researchers interviewed the competitors intentionally to conduct survey

questionnaires for respondents. It is to be able to gather data information in Talavera,

Nueva Ecija that are located in Brgy. Maestrang Kikay and Brgy. Pag-Asa.

Secondary Data

The researchers gathered other information from the internet such as books, research

studies, and websites about related topics that guided the researchers in preparing the

study.

Data Gathering Procedure

The administration of instruments would be done based on

researcher-administered questionnaires because these are interviews that take place by

meeting the respondents in-person in which the researchers would gather the data to

access our findings. The researchers will use a self-made survey questionnaire to collect

the necessary data. The respondents will answer the questions regarding the establishing

Fiesta Cheers General Merchandise in Talavera, Nueva Ecija.

33
34
Survey and Questionnaire

The survey questionnaire would be presented to the respondents which would be

answered by them that were formulated by the researchers which were printed and done

technically with the use of digital technology in order to conduct a data analysis to test its

feasibility and whether the questionnaire is reliable and valid.

Data Analysis Technique

This part of the study emphasizes the techniques that have been used throughout

the study in which it is convenient and applicable in order for this feasibility study to be

made possible and to gather its data for further analysis.

Statistical Treatment

The researchers will use the following statistical tools in summarizing all data that

were collected:

1. Frequency Distribution

Frequency distribution is the simplest form of presenting research data and is

utilized by listing the different categories to establish.

2. Percentage Distribution

This percentage will be used in comparing the proportion of frequencies to the

total number of responses.

3. ROI- Return on Investment (ROI) is a popular profitability metric used to evaluate

how well an investment has performed. ROI is expressed as a percentage and is

calculated by dividing an investment's net profit (or loss) by its initial cost or outlay.

35
Tally Sheet of Survey Questionnaire

Part 1. Demographic Profile of the Respondents

1.1 Source to Avail Disposable Products

Table 2

Distribution of the Demographic Profile of the Respondents in terms of Source to

Avail Disposable Products

Source to Avail Frequency Percentage


Disposable Products

Petty Cash 1 2%

Business Income 46 84%

Savings 8 15%

Total 55 100%

The results show that over 55, 1 or 2%, of the respondents are answered of petty

cash is their source to avail disposable products, followed by 46 or 84% of the

respondents answered business income is their source to avail disposable products, 8 or

15% of the respondents answered savings is their source to avail disposable products.

This result implies that the majority of the respondents answered business income is their

source to avail disposable products.

36
1.2 Budget Allocated for Disposable Products

Table 3

Distribution of the Demographic Profile of the Respondents in terms of Budget

Allocated for Disposable Products

Budget Allocated for Frequency Percentage


Disposable Products

100 - 500 4 7%

501 - 1000 17 31%

1001 - 1500 13 24%

1501 - 2000 8 15%

2001 - 2500 6 11%

2501 - 3000 7 13%

Total 55 100%

The results show that over 55, 4 or 7%, of the respondents have 100-500 budget

allocated for disposable products, 17 or 31% of the respondents have 501-1000 have

budget allocated for disposable products, 13 or 24% of the respondents have 1001-1500

budget allocated for disposable products, 8 or 15% of the respondents have 1501-2000

budget allocated for disposable products, 6 or 11% of the respondents have 2001-2500

budget allocated for disposable products, 7 or 13% of the respondents have 2501-3000

budget allocated for disposable products. The result implies that most of the respondents’

budget allocated for disposable products is P501-P1000.

37
1.3 Frequency of Restocking

Table 4

Distribution of the Demographic Profile of the Respondents in terms of Frequency

of Restocking

Frequency of Restocking Frequency Percentage

Weekly 38 69%

Bi-weekly 11 20%

Monthly 6 11%

Total 55 100%

The results show that over 55, 38 or 69% of the respondents have a frequency of
restocking weekly, 11 or 20% of the respondents having a frequency of restocking in
bi-weekly, 6 or 11% of the respondents having a frequency of restocking monthly. The
result implies that the majority of the respondents' frequency of restocking is weekly.
1.4 Order Volume of Disposable Products

Table 5

Distribution of the Demographic Profile of the Respondents in terms of Order

Volume for Disposable Products in terms of Clear Cups

Order Volume for Frequency Percentage


Disposable Products

Per pack: in terms of Clear


Cups

5-10 pks. 23 42%

10-20 pks. 22 40%

20-30 pks. 10 18%

Total 55 100%

38
The results show that over 55, 23 or 42% of the respondents have the order

volume of 5-10 packs in terms of clear cups, 22 or 40% of the respondents have the

order volume of 10-20 packs in terms of clear cups, 10 or 18% of the respondents have

the order volume of 20-30 packs in terms of clear cups. The result implies that the

majority of the respondents' order volume in terms of clear cup is 5-10 packs.

Table 6

Distribution of the Demographic Profile of the Respondents in terms of Order

Volume for Disposable Products in terms of Yellow Cups

Order Volume for Frequency Percentage


Disposable Products

Per pack: in terms of


Yellow Cups

5-10 pks. 29 52.73%

10-20 pks. 23 41.82%

20-30 pks. 3 5%

Total 55 100%

The results show that over 55, 29 or 52.73% of the respondents have the order

volume of 5-10 packs in terms of yellow cups, 23 or 41.82% of the respondents have the

order volume of 10-20 packs in terms of yellow cups, 3 or 5% of the respondents have

the order volume of 20-30 packs in terms of paper cups. The result implies that the

majority of the respondents' order volume in terms of yellow cups is 5-10 packs.

39
Table 7

Distribution of the Demographic Profile of the Respondents in terms of Order

Volume for Disposable Products in terms of Salad cup with lids

Order Volume for Frequency Percentage


Disposable Products

Per pack: in terms of Salad


Cup with Lids

5-10 pks. 31 67.50%

10-20 pks. 18 25%

20-30 pks. 6 7.50%

Total 55 100%

The results show that over 55, 31 or 67.50% of the respondents have the order

volume of 5-10 packs in terms of salad cup with lid, 18 or 25% of the respondents have

the order volume of 10-20 packs in terms of salad cup with lid, 6 or 7.50% of the

respondents have the order volume of 20-30 packs in terms of salad cup with lid. The

result implies that the majority of the respondents' order volume in terms of salad cup

with lid is 5-10 packs.

40
Table 8

Distribution of the Demographic Profile of the Respondents in terms of Order

Volume for Disposable Products in terms of Paper Bowls

Order Volume for Frequency Percentage


Disposable Products

Per pack: in terms of Paper


Bowls

5-10 pks. 26 47.28%

10-20 pks. 25 45.45%

20-30 pks. 4 7.27%

Total 55 100%

The results show that over 55, 26 or 47.28% of the respondents have the order

volume of 5-10 packs in terms of paper bowls, 25 or 45.45% of the respondents have the

order volume of 10-20 packs in terms of paper bowls, 4 or 7.27% of the respondents have

the order volume of 20-30 packs in terms of paper bowls. The result implies that the

majority of the respondents' order volume in terms of paper bowls is 5-10 packs.

41
Table 9

Distribution of the Demographic Profile of the Respondents in terms of Order

Volume for Disposable Products in terms of Kikiam Tray

Order Volume for Frequency Percentage


Disposable Products

Per pack: in terms of


Kikiam Tray

5-10 pks. 36 65%

10-20 pks. 18 33%

20-30 pks. 1 2%

Total 55 100%

The results show that over 55, 36 or 65% of the respondents have the order

volume of 5-10 packs in terms of kikiam tray, 18 or 33% of the respondents have the

order volume of 10-20 packs in terms of kikiam tray, 1 or 2% of the respondents have the

order volume of 20-30 packs in terms of kikiam tray. The result implies that the majority

of the respondents' order volume in terms of kikiam tray is 5-10 packs.

42
Table 10

Distribution of the Demographic Profile of the Respondents in terms of Order

Volume for Disposable Products in terms of Paper Cups

Order Volume for Frequency Percentage


Disposable Products

Per pack: in terms of Paper


Cups

5-10 pks. 22 40%

10-20 pks. 29 53%

20-30 pks. 4 7%

Total 55 100%

The results show that over 55, 22 or 40% of the respondents have the order

volume of 5-10 packs in terms of paper cups, 29 or 53% of the respondents have the

order volume of 10-20 packs in terms of paper cups, 4 or 7% of the respondents have the

order volume of 20-30 packs in terms of paper cups. The result implies that the majority

of the respondents' order volume in terms of paper cups is 10-20 packs.

43
Table 11

Distribution of the Demographic Profile of the respondents in terms of Order

Volume for Disposable products in terms of Styro Cups

Order Volume for Frequency Percentage


Disposable Products

Per pack: in terms of Styro


Cups

5-10 pks. 30 54%

10-20 pks. 23 42%

20-30 pks. 2 4%

Total 55 100%

The results show that over 55, 30 or 54% of the respondents have the order

volume of 5-10 packs in terms of styro cups, 23 or 42% of the respondents have the order

volume of 10-20 packs in terms of styro cups, 2 or 4% of the respondents have the order

volume of 20-30 packs in terms of styro cups. The result implies that the majority of the

respondents' order volume in terms of styro cups is 5-10 packs.

44
Table 12

Distribution of the Demographic Profile of the respondents in terms of Order

Volume for Disposable products in terms of Spoon and Fork

Order Volume for Frequency Percentage


Disposable Products

Per pack: in terms of


Spoon and Fork

5-10 pks. 26 47%

10-20 pks. 21 38%

20-30 pks. 8 15%

Total 55 100%

The results show that over 55, 26 or 47% of the respondents have the order

volume of 5-10 packs in terms of spoon and fork, 21 or 38% of the respondents have the

order volume of 10-20 packs in terms of spoon and fork, 8 or 15% of the respondents

have the order volume of 20-30 packs in terms of spoon and fork. The result

implies that the majority of the respondents' order volume in terms of spoon and fork is

5-10 packs.

45
Table 13

Distribution of the Demographic Profile of the respondents in terms of Order

Volume for Disposable products in terms of Clear Cups

Order Volume for Frequency Percentage


Disposable Products

Per size: in terms of Clear


Cups

3 oz. 5 6%

5 oz. 5 6%

6 oz. 5 6%

7 oz. 3 4%

8 oz. 10 13%

10 oz. 10 13%

12 oz. 25 33%

16 oz. 15 19%

Total 78 100%

According to the table, the results have shown that 12 oz. clear cup is mostly used for

their business having a frequency of 25 packs and a percentage of 33% out of the total of

78 ranging all the sizes that are stated in the table in which for the sizes of 3 oz., 5 oz.,

and 6 oz. have a frequency of 5 packs and a percentage of 6%, 7 oz. have a frequency of

3 packs and a percentage of 4%, 8 oz. and 10 oz. have a frequency of 10 packs and a

percentage of 13% and lastly 16 oz. have a frequency of 15 packs and a percentage of

19%. The overall results show that the total frequency is 78 and a percentage of 100%.

46
Table 14

Distribution of the Demographic Profile of the respondents in terms of Order

Volume for Disposable products in terms of Yellow Cups

Order Volume for Frequency Percentage


Disposable Products

Per size: in terms of Yellow


Cups

1.5 oz. 10 25%

2.5 oz. 10 25%

3 oz. 10 25%

4 oz. 10 25%

Total 40 100%

The table has shown that the products stated in the table having the sizes of 1.5 oz.,

2.5 oz., 3 oz., and 4 oz. of yellow cups have a frequency of 10 packs and have a

percentage of 25% having a total of 40 packs and a percentage of 100%. Based on the

results, it is to show that the demand for yellow cups are equal in every size for them to

use for their business.

47
Table 15
Distribution of the Demographic Profile of the Respondents in terms of Order

Volume for Disposable Products in terms of Salad Cup with Lids

Order Volume for Frequency Percentage


Disposable Products

Per size: in terms of Salad


Cup with Lids

2.5 ml. 25 50%

30 ml. 25 50%

Total 50 100%

The table has shown that the products stated in the table having the sizes of 2.5

ml. and 30 ml. of salad cup with lids have a frequency of 25 packs and have a percentage

of 50% having a total of 50 packs and a percentage of 100%. Based on the results, it is to

show that the demand for salad cups with lids are equal in every size for them to use for

their business.

48
Table 16
Distribution of the Demographic Profile of the Respondents in terms of Order

Volume for Disposable Products in terms of Paper Bowls

Order Volume for Frequency Percentage


Disposable Products

Per size: in terms of Paper


Bowls

260 cc 20 28.57%

320 cc 20 28.57%

390 cc 20 28.57%

520 cc 5 7.15%

850 cc 5 7.15%

Total 70 100%

The table has shown that for the sizes of paper bowls of 260 cc, 320 cc, and 390

cc have a frequency of 20 packs and a percentage of 28.57% while the sizes of paper

bowls of 520 cc and 850 cc have a frequency of 5 and a percentage of 7.15% having a

total of 70 and a percentage of 100%. Based on the results it is to show that the demand

for 260 cc, 320 cc and 390 cc are usually the sizes that are mostly used in the business

unlike the 520 cc and 850 cc which are bigger sizes compared to the previous sizes that

are usually used to serve food to the customers.

49
Table 17
Distribution of the Demographic Profile of the Respondents in terms of Order

Volume for Disposable Products in terms of Kikiam Tray

Order Volume for Frequency Percentage


Disposable Products

Per size: in terms of


Kikiam Tray

Standard Size 30 100%

Total 30 100%

The table has shown that the product which is the kikiam tray that has a standard

size only so increasing the length of the paper tray would be classified as a different

product so basically the results have shown having a frequency of 30 packs and

percentage of 100% overall clearly saying that this product is in demand to be used for

business.

50
Table 18
Distribution of the Demographic Profile of the Respondents in terms of Order

Volume for Disposable Products in terms of Paper Cups

Order Volume for Frequency Percentage


Disposable Products

Per size: in terms of Paper


Cups

6.5 oz. 10 16.67%

8 oz. 20 33.33%

12 oz. 20 33.33%

16 oz. 10 16.67%

Total 60 100%

The table has shown that the most used sizes for paper cups are 8 oz.and 12 oz.

having a frequency of 20 packs and a percentage of 33.33% while for the sizes of paper

cups of 6.5 oz. and 16 oz. have a frequency of 10 packs and a percentage of 16.67%

having a total of 60 and a percentage of 100%.

51
Table 19
Distribution of the Demographic Profile of the Respondents in terms of Order

Volume for Disposable Products in terms of Styro Cups

Order Volume for Frequency Percentage


Disposable Products

Per size: in terms of Styro


Cups

Standard Size 50 100%

Total 50 100%

The table has shown that the product which is the styro cups has a standard size

only so basically the results have shown having a frequency of 50 packs and percentage

of 100% overall clearly saying that this product is in demand to be used for business.

Table 20
Distribution of the Demographic Profile of the Respondents in terms of Order

Volume for Disposable Products in terms of Spoon and Fork

Order Volume for Frequency Percentage


Disposable Products

Per size: in terms of Spoon


and Fork

Standard Size 40 100%

Total 40 100%
The table has shown that the product which is the spoon and fork has a standard

size only so basically the results have shown that having a frequency of 40 packs and

percentage of 100% overall clearly saying that this product is in demand to be used for

business.

52
Part 2. Survey Questionnaire

Table 21
1. Have you tried buying Frequency Percentage
disposable products ?

Yes 55 100%

No 0 0%

Total 55 100%
The results show that over 55, 55 or 100% of the respondents are buying

disposable products and 0 or 0% of the respondents are not. The result implies that the

majority of the respondents are buying disposable products.

Table 22

2. If yes, how often do you Frequency Percentage


buy disposable products
for business purposes?

Weekly 31 56%

Monthly 24 44%

Quarterly 0 0%

Semi-Annually 0 0%

Annually 0 0%

Total 55 100%

The results show that over 55, 31 or 56% of the respondents are buying

disposable products on a weekly basis and 24 or 44% of the respondents buy disposable

products on a monthly basis while the rest of the options like the quarterly, semi-annually,

and annually have a frequency of 0 and a percentage of zero percent. The result implies

that the majority of the respondents are buying disposable products on a weekly basis.

53
Table 23
3. What disposable products do you Frequency
buy for business purposes?

Paper cups 33

Clear cups 43

Yellow cups 5

Kikiam tray 5

Fork 30

Paper Bowls 16

Salad cup with lid 10

Styrofoam cups 20

Spoon 34

Total 196

According to the table, the results have shown that the majority of our

respondents buy clear cups to use for business purposes and the questionnaires are

formulated in a way that could be answered in a repetitive way.

54
Table 24

4. How much are you Frequency Percentage


willing to spend on
buying disposable
products like paper,
plastic, styrofoam wares ?

₱ 500 -₱ 1000 29 52.73%

₱ 1001-₱ 2000 8 14.55%

₱ 2001-₱ 3000 11 20%

₱ 3001-₱ 4000 5 9.09%

₱ 4001-₱ 5000 2 3.63%

Total 55 100%

The results show that over 55, 29 or 52.73% of the respondents are spending

about 500-1000 on disposable products, 8 or 14.55% of the respondents are spending

about 1001-2000 on disposable products, 11 or 20% of the respondents are spending

about 2001-3000 on disposable products, 5 or 9.09% of the respondents are spending

about 3001-4000 on disposable products and lastly 2 or 3.63% of the respondents are

spending about 4001-5000. The result implies that the majority of the respondents are

spending about 500-1000 pesos on disposable products.

55
Table 25

5. From which store do you Frequency Percentage


buy disposable products?
(Check all the stores that
you have gone to buy
disposable products.)

JJ General Merchandise 15 23%

John and Claire General 28 43%

Merchandise

Grandson General 11 17%

Merchandise

John Michael General 6 9%

Merchandise

Toshiro General 5 8%

Merchandise

Total 65 100%

According to the table, the majority of our respondents went to John and Claire General

Mdse. to buy disposable products having a frequency of 28 and a percentage of 43% out

of the total of 65 answers that are answered repeatedly.

56
Table 26

6. If ever we will Frequency Percentage


establish a general
merchandising business
in Talavera, Nueva Ecija
in terms of plastic, paper,
styrofoam wares will you
patronize it?

Yes 40 73%

No 15 27%

Total 55 100%

The results show that out of 55, 40 or 73% of the respondents said that they would

patronize the business if the researchers would establish a general merchandising store in

Talavera, Nueva Ecija and 15 or 27% of the respondents said that they will not patronize

the business. The result implies that the researchers have a large fraction that the product

will be viable to the target consumers who are buying disposable products for their

business if the general merchandising store is established at Talavera, Nueva Ecija.

57
Chapter III

Marketing Aspect

The marketing aspect refers to the evaluation of the market potential and the

viability of a product, service, or business idea. It involves analyzing various marketing

factors to determine whether there is sufficient market demand and if the proposed

venture can effectively compete in the marketplace.

3.1 Market Description

Fiesta Cheers General Merchandise is a business that offers plastic and paper

wares as well as styro wares. The target market of the business is around the locale which

is Brgy. Maestrang Kikay and Brgy. Pag-Asa in Talavera, most specifically the food

micro businesses who need the disposable wares in selling their own products like foods

and beverages. The proponents of the business chose this location because it is very

accessible and only few competitors are visible by the business.

58
Demographic Profile

Demographic information allows you to better understand certain background

characteristics of an audience and understand patterns among them.

Table 27 Description of the Target Market

Demographic Profile

Barangay Maestrang Kikay, Talavera, Nueva Ecija


Pag-Asa, Talavera, Nueva Ecija

Target Market Food Microbusinesses

Budget for the disposable wares supplies Php100-Php3,000

Geographic

Region III

Province Nueva Ecija

City/ Municipality Talavera

3.2 Demand and Supply Analysis

The evaluation of goods and services were the basis of factors affecting its supply

and demand. The supply-demand analysis determines if an imbalance exists between

supply and demand for good and service.

3.2.1 DEMAND

Demand pertains to the inclination of consumers to buy products and services at

specified price levels. It can indicate the collective desire for a particular product in the

market or the overall demand encompassing all goods within an economy.

59
Table 28

Historical Data of Food Microbusinesses in Brgy. Maestrang Kikay and Pag-Asa,

Talavera, Nueva Ecija

Year No. of Food Growth Rate Average Growth


Microbusinesses Rate

2019 55 -

2020 50 -9.09%
18%
2021 40 -20%

2022 45 12.5%

2023 84 87%
Source: Talavera Municipal Hall

FORMULA: GROWTH RATE = CURRENT YEAR - PREVIOUS YEAR /


PREVIOUS YEAR x 100

FORMULA: AVERAGE GROWTH RATE = TOTAL GROWTH RATE/ 4

In Brgy. Maestrang Kikay and Brgy. Pag-Asa at Talavera, Nueva Ecija, the

researchers acquired the data at Talavera Municipal Hall to calculate the growth rate of

2019 to 2023 and by computing the growth rate (present value-past value)/past value then

divided by 4 years. The researchers collected an annual average growth rate of 18% from

2019 to 2023.

60
3.2.2 Projected Demand

Table 29

Projected Number of Food Microbusinesses in Barangay Maestrang Kikay and

Pag-Asa, Talavera, Nueva Ecija.

Year No. of Food Microbusinesses

2024 99

2025 117

2026 138

2027 163

2028 192

Formula: Projected number of food microbusinesses for the

next years

= Total no. of microbusinesses x Average Growth Rate

61
EFFECTIVE DEMAND

Table 30

YEAR PROJECTED QUESTION QUESTION 6 POTENTIAL


NUMBER OF 1 DEMAND
FOOD
MICROBUSINESS

(100%) (73%)

2024 99 99 72 72

2025 117 117 85 85

2026 138 138 100 100

2027 163 163 119 119

2028 192 192 140 140

Formula:

Projected Number of Food Microbusiness x Question 1

(100%)

&

Projected Number of Food Microbusiness x Question 6

(73%)

Question No. 1 - Have you tried buying disposable products?

Out of 55 respondents, 55 or 100% of the respondents answered yes that they

have tried buying disposable products.

62
Question No. 6 - If ever we will establish a general merchandising business in Talavera,

Nueva Ecija in terms of plastic, paper, styrofoam wares will you patronize it?

Out of 55 respondents, 40 or 73% of the respondents answered yes that they

would patronize the business and 15 or 27% of the respondents that they wouldn't

patronize the business.

EFFECTIVE DEMAND FOR 2024

Table 31

2024 PERCENTAGE POTENTIAL FREQUENCY EFFECTIVE


DEMAND DEMAND

72 56% 40 WEEKLY 2,080

72 44% 32 MONTHLY 384

TOTAL 100% 72 2,464

Table 31 shows the potential demand of year 2024, in which it used the

percentage of the Question Number 2, so the total number of potential demand which is

72 multiplied by the 56% of the percentage and has a result of 40, and next the total

number of potential demand which is 72 multiplied by 44% of the percentage and has a

result of 32. Lastly, computing the effective demand into the frequency for weekly which

consisted of 52 weeks in a year to put it on a mathematical equation 40 x 52 would have a

total of 2,080 and for monthly which is 32 x 12 months in a year to put it on a

mathematical equation, to sum it would have a total of 384. The overall total order for the

effective demand for the year 2024 is 2,464.

63
EFFECTIVE DEMAND FOR 2025

Table 32

2025 PERCENTAGE POTENTIAL FREQUENCY EFFECTIVE


DEMAND DEMAND

85 56% 48 WEEKLY 2,496

85 44% 37 MONTHLY 444

TOTAL 100% 85 2,940

Table 32 shows the potential demand of year 2025, in which it used the

percentage of the Question Number 2, so the total number of potential demand which is

85 multiplied by the 56% of the percentage and has a result of 48, and next the total

number of potential demand which is 85 multiplied by 44% of the percentage and has a

result of 37. Lastly, computing the effective demand into the frequency for weekly which

consisted of 52 weeks in a year to put it on a mathematical equation 48 x 52 would have a

total of 2,496 and for monthly which is 37 x 12 months in a year to put it on a

mathematical equation, to sum it would have a total of 444. The overall total order for

the effective demand for the year 2025 is 2,940.

64
EFFECTIVE DEMAND FOR 2026

Table 33

2026 PERCENTAGE POTENTIAL FREQUENCY EFFECTIVE


DEMAND DEMAND

100 56% 56 WEEKLY 2,912

100 44% 44 MONTHLY 528

TOTAL 100% 100 3,440

Table 33 shows the potential demand of year 2026, in which it used the

percentage of the Question Number 2, so the total number of potential demand which is

100 multiplied by the 56% of the percentage and has a result of 56, and next the total

number of potential demand which is 100 multiplied by 44% of the percentage and has a

result of 44. Lastly, computing the effective demand into the frequency for weekly which

consisted of 52 weeks in a year to put it on a mathematical equation 56 x 52 would have a

total of 2,912 and for monthly which is 44 x 12 months in a year to put it on a

mathematical equation, to sum it would have a total of 528. The overall total order for the

effective demand for the year 2027 is 3,440.

65
EFFECTIVE DEMAND FOR 2027

Table 34

2027 PERCENTAGE POTENTIAL FREQUENCY EFFECTIVE


DEMAND DEMAND

119 56% 67 WEEKLY 3,484

119 44% 52 MONTHLY 624

TOTAL 100% 119 4,108

Table 34 shows the potential demand of year 2027, in which it used the

percentage of the Question Number 2, so the total number of potential demand which is

119 multiplied by the 56% of the percentage and has a result of 67, and next the total

number of potential demand which is 119 multiplied by 44% of the percentage and has a

result of 52. Lastly, computing the effective demand into the frequency for weekly which

consisted of 52 weeks in a year to put it on a mathematical equation 67 x 52 would have a

total of 3,484 and for monthly which is 52 x 12 months in a year to put it on a

mathematical equation, to sum it would have a total of 624. The overall total order for the

effective demand for the year 2027 is 4,108.

EFFECTIVE DEMAND FOR 2028

Table 35

2028 PERCENTAGE POTENTIAL FREQUENCY EFFECTIVE


DEMAND DEMAND

140 56% 78 WEEKLY 4,056

140 44% 62 MONTHLY 744

TOTAL 100% 140 4,800

66
Table 35 shows the potential demand of year 2028, in which it used the

percentage of the Question Number 2, so the total number of potential demand which is

140 multiplied by the 56% of the percentage and has a result of 78, and next the total

number of potential demand which is 140 multiplied by 44% of the percentage and has a

result of 62. Lastly, computing the effective demand into the frequency for weekly which

consisted of 52 weeks in a year to put it on a mathematical equation 78 x 52 would have a

total of 4,056 and for monthly which is 62 x 12 months in a year to put it on a

mathematical equation, to sum it would have a total of 744. The overall total order for the

effective demand for the year 2028 is 4,800.

Computing the effective demand for order from 2024-2028, the researchers used the

question no. 2 to determine the potential demand which were formulated in a percentage

way to compute the frequency of the respondents’ most frequent time to buy which were

on a weekly and monthly basis.

Formula:

Potential Demand of 56% of the selected year x Weekly (52 weeks in a year)

Potential Demand of 44% of the selected year x Monthly (12 months in a year)

67
3.2.3 Supply

Supply was a fundamental economic term that represents the entire commodity or

service that customers have access to. Every organization has a supply source that meets

the demands of its product. The table below contains a list of competitors.

3.2.4 Historical Supply

JJ GENERAL MERCHANDISE

JJ General Merchandise is owned and managed by Josephine Darmiento. It started


in June 2007 and has been running for 16 years. They are selling disposable wares in an
estimated 10 packs a day. The store chose to sell disposable wares not a long time ago so
they are new in selling the said products.

JOHN AND CLAIRE GENERAL MERCHANDISE


The business is owned by John Michael Hipolito and it started on August 8, 2021.
They have been running the business for 3 years already. They also accommodate the
customers through delivery from phone calls aside from selling in the physical store.

GRANDSON GENERAL MERCHANDISE

The business is owned by Dean Ezzer Dizon and it started on August 15, 2015. To

sum it up, the store has been running for 8 years. They only sell 5 packs of different

disposable ware products per day. They are promoting their business through Facebook

Page.

68
JOHN MICHAEL GENERAL MERCHANDISE

The business is owned by Clarita Hipolito. It has been running for 20 years

because it started in June 2003. The owner said that they are not very much engaged with

promoting their products aside from word of mouth since they already have regular

customers for they have been running for many years now.

TOSHIRO GENERAL MERCHANDISE

The business is selling glassware, groceries and disposable wares from wholesale

to retail. It is owned by Analyn Pelaez and has been running for 8 years already. They

started running the business January 6, 2015.

Table 36 List of Competitors of Fiesta Cheers General Merchandise

NAME OF THE COMPETITORS ADDRESS

JJ GENERAL MERCHANDISE Barangay Maestrang Kikay, Talavera


Nueva Ecija

JOHN AND CLAIRE GENERAL Barangay Maestrang Kikay, Talavera


MERCHANDISE Nueva Ecija

GRANDSON GENERAL Barangay Maestrang Kikay, Talavera


MERCHANDISE Nueva Ecija

JOHN MICHAEL GENERAL Barangay Maestrang Kikay, Talavera


MERCHANDISE Nueva Ecija

TOSHIRO GENERAL Barangay Maestrang Kikay, Talavera


MERCHANDISE Nueva Ecija
Source: Competitors

Table 36 shows the list of competitors and it is located at the public market of Brgy.

Maestrang Kikay, which has no competitors in Brgy. Pag-Asa Talavera, Nueva Ecija.

69
Table 37 Historical Supply of Competitors in terms of Order Per Packs a Day of

Disposable Products for the Year 2023

DISPOSABLE JJ GENERAL JOHN AND GRANDSON JOHN TOSHIRO


PRODUCTS MDSE CLAIRE GENERAL MICHAEL GENERAL
MDSE MDSE GENERAL MDSE
MDSE

Clear Cups 3 2 2 1 1

Yellow Cups 0 1 0 0 0

Salad Cup with Lids 2 1 1 0 0

Paper Bowls 2 2 0 1 1

Kikiam Tray 0 0 1 0 0

Paper Cups 2 0 0 1 0

Styro Cups 1 0 1 0 1

Spoon and Fork 0 1 0 1 0

TOTAL 10 7 5 4 3

Table 37 shows the answer of the competitors in the question no. 11 which states

that, “How many orders per pack will be sold per day in the following disposable

products?” So the answer is stated on the table the orders that they have sold in terms of

packs in the following disposable products which are the clear cups, yellow cups, salad

cup with lids, paper bowls, kikiam tray, paper cups, styrofoam cups, and spoon and fork.

70
Table 38 Projected Number of Orders per pack a day for the Year 2023 of JJ General

Mdse.

PROJECTED NUMBER OF ORDER FOR YEAR 2023

Projected number of Frequency Projected Annual Supply


Orders
( PER PACK A DAY)

WEEKLY ( 52 ) 520
10
MONTHLY (12) 120

Total 640

Table 38 shows the number of orders per pack a day for the year 2023 which is

10, computing the number of orders into the frequency for weekly which consisted of 52

weeks in a year to put it on a mathematical equation 10 x 52 would have a total of 520

and for monthly which consisted of 12 months in a year to put it on a mathematical

equation 10 x 12 would have a total of 120. Computing the Projected Annual Supply in

terms of Order it will sum up the 520 and 120 so, the overall total for the projected

annual supply for the year 2023 is 640.

71
Table 39 Projected Number of Order per pack a day for Year 2023 of John and Claire
General Mdse.
PROJECTED NUMBER OF ORDER FOR YEAR 2023

Projected number of Frequency Projected Annual Supply


Orders
( PER PACK A DAY)

WEEKLY ( 52 ) 364
7
MONTHLY (12) 84

Total 448

Table 39 shows the number of orders per pack a day for the year 2023 which is 7,

computing the number of orders into the frequency for weekly which consisted of 52

weeks in a year to put it on a mathematical equation 7 x 52 would have a total of 364 and

for monthly which consisted of 12 months in a year to put it on a mathematical equation

7 x 12 would have a total of 84. Computing the Projected Annual Supply in terms of

Order it will sum up the 364 and 84 so, the overall total for the projected annual supply

for the year 2023 is 448.

Table 40 Projected Number of Order per pack a day for Year 2023 of Grandson General
Mdse.
PROJECTED NUMBER OF ORDER FOR YEAR 2023

Projected number of Frequency Projected Annual Supply


Orders
( PER PACK A DAY)

WEEKLY ( 52 ) 260
5
MONTHLY (12) 60

Total 320

72
Table 40 shows the number of orders per pack a day for the year 2023 which is 5

computing the number of orders into the frequency for weekly which consisted of 52

weeks in a year to put it on a mathematical equation 5 x 52 would have a total of 260 and

for monthly which consisted of 12 months in a year to put it on a mathematical equation

5 x 12 would have a total of 60. Computing the Projected Annual Supply in terms of

Order it will sum up the 260 and 60 so, the overall total for the projected annual supply

for the year 2023 is 320.

Table 41 Projected Number of Order per pack a day for Year 2023 of John Michael
General Mdse.
PROJECTED NUMBER OF ORDER FOR YEAR 2023

Projected number of Frequency Projected Annual Supply


Orders
( PER PACK A DAY)

WEEKLY ( 52 ) 208
4
MONTHLY (12) 48

Total 256

Table 41 shows the number of orders per pack a day for the year 2023 which is 4,

computing the number of orders into the frequency for weekly which consisted of 52

weeks in a year to put it on a mathematical equation 4 x 52 would have a total of 208 and

for monthly which consisted of 12 months in a year to put it on a mathematical equation

4 x 12 would have a total of 48. Computing the Projected Annual Supply in terms of

73
Order it will sum up the 208 and 48 so, the overall total for the projected annual supply

for the year 2023 is 256.

Table 42 Projected Number of Order per packs a day for Year 2023 of Toshiro General
Mdse.
PROJECTED NUMBER OF ORDER FOR YEAR 2023

Projected number of Frequency Projected Annual Supply


Orders
( PER PACK A DAY)

WEEKLY ( 52 ) 156
3
MONTHLY (12) 36

Total 192

Table 42 shows the number of orders per pack a day for the year 2023 which is 3,

computing the number of orders into the frequency for weekly which consisted of 52

weeks in a year to put it on a mathematical equation 3 x 52 would have a total of 156 and

for monthly which consisted of 12 months in a year to put it on a mathematical equation

3 x 12 would have a total of 36. Computing the Projected Annual Supply in terms of

Order it will sum up the 156 and 36 so, the overall total for the projected annual supply

for the year 2023 is 192.

Conclusion in order to compute the projected annual supply for the year 2023 of the

competitors, the researchers used a projected number of order per packs a day using the

frequency which were on a weekly and monthly basis by multiplying the projected

number of orders per day.

74
3.2.5 PROJECTED SUPPLY

Table 43 Projected Annual Supply for the year 2023

LIST OF COMPETITORS PROJECTED ANNUAL SUPPLY

JJ GENERAL MDSE. 640

JOHN AND CLAIRE GENERAL 448


MDSE.

GRANDSON GENERAL MDSE. 320

JOHN MICHAEL GENERAL MDSE. 256

TOSHIRO GENERAL MDSE. 192

TOTAL 1,856
Table 43 the projected annual supply for the year 2023 of the competitors which have a

total of 1,856.

FORMULA:

PROJECTED ANNUAL SUPPLY = PROJECTED NUMBER OF ORDERS


PER DAY x WEEKLY ( 52 WEEKS IN 1 YEAR)

&
PROJECTED NUMBER OF ORDERS PER DAY x MONTHLY ( 12 MONTHS
IN 1 YEAR)

3.2.6 PROJECTED SUPPLY

Table 44 Projected Annual Supply

Year Annual Supply Average Growth Projected Annual


Rate Supply

2023 1,856 — —

2024 1,856 18% 2,190

2025 2,190 18% 2,584

2026 2,584 18% 3,049

75
2027 3,049 18% 3,598

2028 3,598 18% 4,246

Table 44 shows the projected annual supply for the next 5 years of the

competitors. The projected annual supply was computed by multiplying the previous

annual supply to the average growth rate (18%) and the order will be added to the

previous annual supply.

FORMULA:
PREVIOUS ANNUAL SUPPLY x AVERAGE GROWTH RATE + PREVIOUS
ANNUAL SUPPLY = PROJECTED ANNUAL SUPPLY

3.2.6 DEMAND AND SUPPLY ANALYSIS

Table 45 Demand and Supply

YEAR DEMAND SUPPLY GAP MARKET SHARE


VALUE

2024 2464 2190 274 8%

2025 2940 2584 356 7%

2026 3440 3049 391 8%

2027 4108 3598 510 7%

2028 4800 4246 554 7%

76
FORMULA:

GAP

PROJECTED DEMAND - PROJECTED SUPPLY

MARKET SHARE VALUE

SUPPLY ÷ GAP

PRICE CUSTOMER ARE WILLING


TO SPENT 1,695
ESTIMATED SALES PER DAY 10,000

NUMBER OF CUSTOMERS PER


DAY 6
ESTIMATED QUANTITY TO BE
SOLD PER DAY 418

PROJECTED SALES

Table 46 Projected Sales

FIESTA CHEERS GENERAL QUANT PRICE PROJECTED PROJECTED


MDSE. ITY SALES SALES
(MONTHLY) (ANNUALLY)

CLEAR CUPS 78
3 OZ 5 18.20 1,820.00 21,840.00

5 OZ 5 20.80 2,080.00 24,960.00

6 OZ 5 22.10 2,210.00 26,520.00

7 OZ 3 23.40 1,404.00 16,848.00

77
8 OZ 10 23.70 4,740.00 56,880.00

10 OZ 10 31.20 6,240.00 74,880.00

12 OZ 25 33.80 16,900.00 202,800

16 OZ 15 50.70 15,210.00 182,520.00

YELLOW CUPS 40 - -

1.5 OZ 10 18.20 3,640.00 43,680.00

2.5 OZ 10 20.80 4,160.00 49,920.00

3 OZ 10 16.90 3,380.00 40,560.00

4 OZ 10 23.40 4,680.00 56,160.00

SALAD CUP WITH LIDS 50 - -

2.5 OZ 25 127.40 63,700.00 764,400.00

30 ML 25 78.00 39,000.00 468,000.00

PAPER BOWLS 70 - -

260 CC 20 65.00 26,000.00 312,000.00

320 CC 20 72.80 29,120.00 349,440.00

390 CC 20 114.40 45,760.00 549,120.00

520 CC 5 105.30 10,530.00 126,360.00

850 CC 5 227.50 22,750.00 273,000.00

KIKIAM TRAY 30 20.80 12,480.00 149,760.00

PAPER CUPS 60 - -

6.5 OZ 10 65.00 13,000.00 156,000.00

8 OZ 20 78.00 31,200.00 374,400.00

12 OZ 20 104.00 41,600.00 499,200.00

16 OZ 10 123.50 24,700.00 296,400.00

STYRO CUPS 50 49.40 49,400.00 592,800.00

78
SPOON AND FORK 40 20.8 16,640.00 199,680.00

TOTAL 418 492,344.00

AVERAGE PRICE OF THE 59.81 5,908,128.00


PRODUCTS

3.4 COMPETITIVE ADVANTAGE

The locale where the business will be established is one of the major competitive

advantages of the business because it has few direct competitors around the area and is

very accessible by the customers. Aside from that the business will also be aiming to give

affordable prices to the customers. In addition, the business will be offering a diverse

selection of disposable cups, bowls, and plates that can attract customers who prefer

one-stop shopping for food business purposes. By providing a comprehensive range of

products, the business can become a convenient destination for customers' disposable

tableware needs, giving an edge over competitors with a more limited selection.

3.5 SWOT ANALYSIS

Table 47 SWOT ANALYSIS OF FIESTA CHEERS GENERAL MERCHANDISE

STRENGTH WEAKNESSES

● Wide Market Appeal ● Increased Competition


● Scalability ● Retail Market Complexity
● Convenience and Hygiene
● Wide Product Range
● Accessibility

OPPORTUNITIES THREATS

79
● Growing Food Industry ● Sustainability Concerns
● E-commerce expansion ● Regulations and Bans
● Price Sensitivity

Strengths

● Wide Market Appeal: Disposable wares have a broad target market, including

food service establishments, event planners, and more, providing opportunities for

a diverse customer base.

● Scalability: Manufacturing and distributing disposable wares can be easily scaled

up or down based on market demand, allowing for flexible business operations.

● Convenience and Hygiene: Disposable wares offer convenience and hygiene

benefits, especially in settings where washing and sanitizing reusable items may

be impractical or time-consuming.

● Wide Product Range: Offering a diverse selection of disposable cups, bowls, and

plates can attract customers who prefer one-stop shopping for food

microbusinesses.

● Accessibility: The locale of the business is very accessible giving the customers

the convenience when it comes to buying disposable wares.

Weaknesses

● Increased Competition: The wholesale market for disposable wares can be

highly competitive, with multiple suppliers vying for contracts. Distinguishing the

business through factors such as competitive pricing, quality, and customer

service is vital.

80
● Retail Market Complexity: Selling disposable wares in the retail market may

involve navigating complex distribution channels, negotiating shelf space, and

marketing efforts to reach end consumers.

Opportunities

● Growing Food Industry: The food industry is expanding, with new restaurants,

cafes, and catering businesses emerging. This presents opportunities to supply

disposable wares to meet their needs.

● E-commerce Expansion: Utilizing online platforms allows you to tap into a

wider customer base, both in wholesale and retail markets. It offers convenience,

visibility, and accessibility, facilitating growth and market reach.

Threats

● Sustainability Concerns: Disposable wares contribute to waste generation and

can have negative environmental impacts. Increasing consumer awareness and

preferences for sustainable alternatives may affect demand.

● Price Sensitivity: Customers often prioritize cost when purchasing disposable

wares, making pricing strategies critical. Competing on price alone may erode

profit margins, necessitating efficient operations and supplier relationships.

● Regulations and Bans: Increasing environmental concerns may lead to

regulations or bans on certain types of disposable wares, impacting product

availability and demand.

81
3.6 MARKETING PROGRAM

The marketing program of the business is the assessment of the viability and

potential effectiveness of various marketing strategies and initiatives for a particular

product, service, or business venture. It involves analyzing the target market,

understanding customer needs and preferences, evaluating competitive landscape, and

developing a comprehensive plan to promote the offering to the target audience.

3.6.1 PRODUCT

3.6.1.1 Product Category

The researchers will be offering products that are commonly needed in selling

foods and drinks specifically for food microbusiness. The business will be giving the

customers the products that are durable and are eco-friendly which will suit their needs

for food small business purposes in Talavera, Nueva Ecija specifically in Brgy.

Maestrang Kikay and Brgy. Pag-Asa.

Products offered:

● plastic wares

● paper wares

● styro wares

PRODUCTS OFFERED

82
Paper Cups

Styro Cups

Kikiam Tray

Paper Bowls

83
Yellow Cups

Clear Cups

Disposable Spoon and Fork

84
Salad Cup with lid

PRODUCT NAME

The researchers of the proposed business decided to name the proposed

products Fiesta Cheers General Merchandise that consisted of disposable wares since it

has variations such as plastic, paper and styrofoam wares to offer .

PACKAGING

Figure 6 Packaging of Fiesta Cheers General Merchandise

The packaging of Fiesta Cheers General Merchandise is a brown paper bag with stamped

logo in order for the business to create market value and proposition to the customers.

85
3.6.2 Pricing Strategy

For the pricing of the product, the researchers adopted mark up pricing. The

business came up with this suggested retail price by computing estimated variable and

fixed cost upon buying from the suppliers to be sold in the market. The aim of the

business upon using this pricing method is to give the valued customers a reasonable

price for the offerings. The business will be adding a 30% mark up to the cost of each

product to get the selling price.

Table 48 Clear Cups

Size (oz) Price

50 pcs 500 pcs 1000 pcs

Cost Selling Cost Selling Cost Selling


Price Price Price

3 14.00 18.20 130.00 169.00 230.00 299.00

5 16.00 20.80 150.00 195.00 290.00 377.00

6 17.00 22.10 160.00 208.00 300.00 390.00

7 18.00 23.40 170.00 221.00 315.00 409.50

8 19.00 24.70 180.00 234.00 325.00 422.50

10 24.00 31.20 230.00 299.00 440.00 572.00

12 26.00 33.80 250.00 325.00 460.00 598.00

16 39.00 50.70 380.00 494.00 720.00 936.00

86
Table 49 Yellow Cups

Size (oz) Price

50 pcs 500 pcs 1000 pcs

Cost Selling Cost Selling Cost Selling


Price Price Price

1.5 14.00 18.20 130.00 169.00 260.00 338.00

2.5 16.00 20.80 150.00 195.00 310.00 403.00

3 13.00 16.90 125.00 162.50 240.00 312.00

4 18.00 23.40 120.00 156.00 340.00 442.00

Table 50 Salad Cup with Lid

Size Price

50 pcs 100 pcs

Cost Selling Price Cost Selling Price

2.5 oz 98.00 127.40 185.00 240.50

30 ml 60.00 78.00 105.00 136.50

Table 51 Paper Bowl

Size (cc) Price

50pcs. 100pcs. 1000pcs.

Cost Selling Cost Selling Cost Selling


Price Price Price

260 50.00 65.00 175.00 227.50 1550.00 2015.00

320 56.00 72.80 200.00 260.00 1850.00 2405.00

390 88.00 114.40 295.00 383.50 2200.00 2860.00

87
520 81.00 105.30 280.00 364.00 2600.00 3380.00

850 175.00 227.50

Table 52 Paper Cups

Size (cc) Price

50's 100's 1000's

Cost Selling Cost Selling Cost Selling


Price Price Price

6.5 50 65 75 97.5 680 884

8 60 78 100 130 888 1154.4

12 80 104 145 188.5 1268 1648.4

16 95 123.5 180 234

Table 53 Kikiam Tray


50's

Size (cc) Cost Selling


Price

1 size only 16 20.8

Table 54 Styro Cups

Size (Oz) Price

25's 100's 1000's

Cost Selling Cost Selling Cost Selling


Price Price Price

8 oz 38 49.4 118 153.4 980 1274

88
Table 55 Disposable Spoon and Fork
Size (cc) Cost Selling Price

1 size only 16 20.8

Table 55 shows the proposed prices of Fiesta Cheers General Merchandise business in
terms of disposable products such as plastic, paper and styrofoam wares.

3.6.3 Place of Distribution

Figure 7 Place of Distribution

The researchers chose this location because there are many potential customers in this

location. Aside from that, the location is very accessible to customers which are food

microbusiness owners since the availability of transportation here is very easy. It is an

advantage for the business because there are few to none visible direct competitors within

the area who offer the same product as the business. The physical store of the business

will be located at Maestrang Kikay, Talavera, Nueva Ecija.

89
Channels of Distribution

Figure 8 Distribution Channel of Fiesta Cheers General Merchandise

Figure 8 shows the distribution channel of Fiesta Cheers General Merchandise.


The proposed business will buy the disposable wares from the manufacturer and will be
sold to the food microbusinesses or the end users.

3.6.4 PROMOTIONS

The researchers of the proposed business will employ various marketing strategies since

the business is new in the industry, it is important to create promotions by which potential

customers will be aware about the availability of the product, its price and where they can acquire

it. In the modern generation, the promotional tool that will be used by the business is generally

social media. Social media advertising is very cost-efficient and can reach a wide range of

audiences and potential buyers. Together with that, the business will also be using some

traditional marketing tools such as banners and fliers to be given to the people in the locale of the

business specifically in Brgy. Maestrang Kikay and Brgy. Pag-Asa.

90
1.Tarpaulin Banner- The researchers will create a tarpaulin banner and will be placed in front of

the store. This promotional tool will be used to inform potential consumers about the products the

general merchandise for disposable wares store is selling to entice plenty of customers to make a

purchase.

Figure 9 Tarpaulin Banner

2.Facebook Marketing- This will be used as a promotional tool. The researchers will
make a Facebook page for the general merchandise business, as it would be easily
accessible for consumers to learn more about the proposed business.It would give the
opportunity to connect with prospective consumers, which gives a higher chance of
converting them into customers.

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Figure 10 Facebook Page

3. Printed Fliers- The researchers will create printed fliers and distribute them around
the vicinity so that the target customers can be informed about the business as well as its
operating hours and location.

Figure 11 Printed Fliers

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3.6.5.1 PROMOTIONAL AND ADVERTISING EXPENSE

Table 56 Promotional and Advertising Expense

Quantity Cost Total Cost

Facebook Boost 24 Php500 Php12,000


for Posting

Printed Fliers 150 pcs Php 5 pesos (A4) Php750

Banner 6 pcs Php 450 Php2,700

Total 180 Php955 Php 15,450

Table 56 shows the promotional and advertising expenses of Fiesta Cheers General
Merchandise.

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CHAPTER IV

TECHNICAL ASPECT

This chapter will determine the technical feasibility of the proposed business. It
includes information about the product, the supply of raw materials to be utilized, where
to operate, a list of the furniture and fixtures , manpower requirements, and other
business-related requirements.

Product Description

The researchers plan to sell disposable wares such as plastic cups, paper cups, bowls and
other disposable wares. Disposable wares are items designed for one-time use, made from
materials such as paper, cardboard, plastic, or biodegradable compounds. They
encompass a wide range of products, including but not limited to plates, cups and bowls.
The primary objective of disposable wares is to provide users with a convenient,
hygienic, and hassle-free experience without the need for cleaning or maintenance. One
of the main advantages of disposable wares is their utility and convenience. The market
demand for disposable wares remains substantial, driven by the fast-paced lifestyles of
modern consumers and the event catering industry.

Ordering Process

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Figure 12 Ordering Process of Disposable Wares

The figure 12 above shows the ordering process of Fiesta Cheers General Merchandise in
terms of their supplies. The first step in the ordering process is to create a list of orders
for the suppliers made by the manager. After listing all the supplies needed, the manager
will order the supplies to the supplier. From there, the supplies will be delivered in the
store and the staff will check all the supplies if they have the accurate quantity and sizes.
Lastly, the products will be displayed in the store and are ready to be purchased to the end
consumer.

Payment Process

Figure 13 Payment Process of the Customer

Figure 13 Fiesta Cheers General Merchandise aims to provide our valued


customers with a seamless and hassle-free payment experience. To achieve this, we have
integrated multiple payment methods that cater to various preferences and needs.
Customers can choose to make payments through GCash, PayMaya, or by visiting our
physical store to pay in cash. By offering multiple payment options, including GCash,
PayMaya, and cash payments at our store, we prioritize our customers' convenience and
security. Whether they prefer digital transactions through mobile wallets or the familiarity
of paying in cash at the store, our flexible payment process ensures a positive and
satisfactory shopping experience for all.

95
Operating Schedule

This section presents a comprehensive timetable for the daily operations of "Fiesta
Cheers General Merchandise," covering the period from opening to closing. The store
will be open five days a week and will be staffed with two employees dedicated to
delivering excellent service to their valued customers.

Table 57 Schedule of Fiesta Cheers General Merchandise

TIME ACTIVITY

8:00 am -8:30 am Preparing for opening and arranging the


product displays

8:30 am -12:00 pm Store Hours

12:00 pm- 1:00 pm Lunch Break

1:00 pm- 7:00 pm Store Hours

7:00 pm- 7: 50 pm Checking the inventory and Cleaning the


store

7:50 pm- 8:00 pm Closing the store

BUSINESS LOCATION

LOCATION

Figure 14 Map of Locale

96
SHOP/ OFFICE SITE LAYOUT

PHYSICAL STORE LAYOUT

These were the images of the physical store of Fiesta Cheers General Merchandise and

has a 20 sqm. in terms of floor plan.

The store will be located at Maestrang Kikay, Talavera, Nueva Ecija.

Figure 15 Front View

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Figure 16 Front Perspective View

Figure 17 Inside the Shop View

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FURNITURE AND FIXTURE

Table 58 Furniture and Fixture

Description Function Supplier Quantity Unit Cost Price

Table Used for Dick’s 2 Php 2499 Php 4998


customer Enterprise
transactions in Talavera,
and keeping Nueva Ecija
the money

Office Chair For seating Dick’s 2 Php 1200 Php 2400


purposes of Enterprise
the cashier in Talavera,
Nueva Ecija

Metal Cash Used for Dick’s 1 Php 550 Php 550


Box keeping Enterprise
money in Talavera,
Nueva Ecija

Electric Fan Used for Dick’s 2 Php 900 Php 1800


circulating Enterprise
air in the in Talavera,
store Nueva Ecija

Glass Rack Used for Dick’s 3 Php 5500 Php 16,500


Shelf stacking and Enterprise
displaying in Talavera,
of products Nueva Ecija

Total 10 PHP 26,248


Source: Competitors

The table 58 shows the Furniture and Fixture that will be used for the proposed business.

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Table 59 Sanitary

Description Function Supplier Quantity Unit Cost Price

Trash Bin Used to Dick’s 2 Php 120 Php 240


conveniently Enterprise in
collect and Talavera,
store waste, Nueva Ecija
promoting a
cleaner
environment
and efficient
waste disposal.

Trash Bag Used to Dick’s 12 Php 15 Php 180


contain and Enterprise in
transport Talavera,
garbage, Nueva Ecija
making it
easier to
handle and
dispose of
without
creating
messes.

Dust Pan Used to sweep Dick’s 1 Php 60 Php 60


up dust, dirt, Enterprise in
and small Talavera,
debris from Nueva Ecija
floors,
ensuring a tidy
and dust-free
living space.

Broom Utilized to Dick’s 1 Php 100 Php 100


sweep and Enterprise in
gather larger Talavera,
debris and dirt, Nueva Ecija
aiding in
maintaining
cleanliness
and order in
various areas.

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Mop Used to clean Dick’s 1 Php 360 Php 360
and sanitize Enterprise in
floors, Talavera,
efficiently Nueva Ecija
removing
stains and
grime, leaving
surfaces
sparkling and
hygienic.

Total 17 PHP 940

The table 59 shows the Sanitary Supplies that will be used for the proposed business.

Table 60 Supplies

Description Function Supplier Quantity Unit Cost Price

Calculator Used to Dick’s 2 Php 150 Php 300


calculate the Enterprise
products in Talavera,
purchased Nueva Ecija
by the
customers.

Log Book Used for Dick’s 2 Php 80 Php 160


employee Enterprise
attendance in Talavera,
and Nueva Ecija
inventories

Ball Pen Used for Dick’s 12 Php 7 Php 84


writing in Enterprise
the log book in Talavera,
and receipt Nueva Ecija

Paper Bag Used as a Dick’s 100 Php 2 Php 200


storage of Enterprise
the products in Talavera,
purchased Nueva Ecija

101
by the
customers

Stamp Used for Dick’s 2 Php 100 Php 200


stamping in Enterprise
receipt and in Talavera,
paper bags Nueva Ecija

Receipt Used for Dick’s 5 rims Php 100 Php 500


listing the Enterprise
products in Talavera,
bought by Nueva Ecija
the
customers

Total PHP 1,444

The table 60 shows the Supplies that will be used for the proposed business.

UTILITY

Table 61 Utilities

Monthly Annually

Electricity 1,500 18,000

Water 250 3,000

Mobile Data 300 3,600

Total 2,050 24,600

Source: Competitors

Table 61 shows the monthly and annually utilities expense of the proposed business.

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Table 62 Transportation Cost

Transportation Cost Monthly Annually

Delivery Fee for 1,000 12,000


Supplies

Total 1,000 12,000

Table 62 shows the monthly and annually transportation expense of the proposed

business.

BUILDING EXPENSE

Table 63 Store Improvement

Materials Unit Unit Cost Supplier Items TOTAL


Needed needed PRICE

Set of Light set Php 1000 Shopee 1 Php 1000

Signage pc Php 6000 Payawal 1 Php 6000


Cabanatuan

Glass Rack pc Php 8000 Fab’s Fiber 1 Php 8000


Shelf and Glass

Labor Php 3000 AE GOLD Php 3000


Cabanatuan

Total PHP 18,000

Table 63 shows the Store Improvement that will be used for the proposed business

103
Table 64 Rent Expense

Monthly Annually

Rent Php 3,500 42,000

Total Php 3,500 42,000

Table 64 shows the Rent Expense of the proposed business

Waste Management

Our customers are always our priority. We want to give them one hundred percent satisfaction and

the maintenance of cleanliness in all areas of our store is included in the customer requirement.

The store will have two trash bins where the waste will be disposed of and collected by the

garbage collector. This kind of system will be continually observed in our day-to-day operation.

104
CHAPTER V

MANAGEMENT ASPECT

In this chapter, it will discuss the form of the business, organization, organizational
structure, manpower requirements, company policies, and legal requirements.

FORM OF BUSINESS ORGANIZATION

The business will be established under sole proprietorship with only one owner who is
responsible for paying personal income tax on the company's profits. Due to a lack of
governmental oversight, a sole proprietorship is the most straightforward type of business to start
or dissolve. As a result, consultants, sole proprietors, and other freelancers frequently operate
these kind of enterprises. The majority of small firms begin as sole proprietorships, grow, and
then convert to a limited liability entity or corporation.

ORGANIZATIONAL STRUCTURE

Figure 18 Organizational Structure of Fiesta Cheers General Merchandise

The figure 18 shows the organizational structure of the business that contains the

hierarchy from highest to lowest position to be designated to the employees of the

business. The researchers' proposed business are planning to open the Fiesta Cheers

105
General Merchandise on January 1, 2024 because this date is a good opportunity to set up

the business in the marketplace.

MANPOWER SCHEDULE

Table 65 Manpower Schedule

POSITION MONDAY TUESDAY WEDNESDAY THURSDAY FRIDAY SATURDAY SUNDAY

Owner 9:00 am - 9:00 am 9:00 am - 9:00 am - 9:00 am - Rest Day Rest


7:00 pm - 7:00 7:00 pm 7:00 pm 7:00 pm Day
pm

Staff 1 8:00 am - 8:00 am 8:00 am - 8:00 am - 8:00 am - Rest Day Rest


8:00 pm - 8:00 8:00 pm 8:00 pm 8:00 pm Day
pm

Staff 2 8:00 am - 8:00 am 8:00 am - 8:00 am - 8:00 am - Rest Day Rest


8:00 pm - 8:00 8:00 pm 8:00 pm 8:00 pm Day
pm

The table 65 shows the manpower schedule of the staff and owner of Fiesta

Cheers General Merchandise. As the business is still new to the market, the researchers

decided to hire only a few staff and are planning to expand the manpower once the

business grows. The staff will start their duty at 8:00 am and ends at 8:00 pm while the

owner's duty hour will start at 9:00 am to 7:00 pm but should arrive before 8:30 am to

supervise what the staff should do for the day. The weekends would be considered as a

rest day.

DUTIES AND RESPONSIBILITIES

The duties and responsibilities of the personnel in the organization were the

following:

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Owner:

● Oversee several elements in a business, including hiring staff, operating budgets, and

launching price promotions that could attract more customers

● Design strategy and set goals for growth

● Control budgets and optimize expenses


● Ensure employees work productively and develop professionally
● Oversee recruitment and training of new employees
● Evaluate and improve operations and financial performance
● Provide solutions to issues (e.g. profit decline, employee conflicts, loss of business to
competitors)

Staff:

Roles and Responsibilities

● Making sure that the store is clean and sanitized before opening and closing hours
● Tracking the inventories of the product
● Incharge with taking orders and selling to customers
● Responsible for remitting the exact amount of money to the manager every day.
● Responsible for packing the orders received through the Facebook page or phone calls
which the customers would pick up the orders physically at the store.

MANPOWER REQUIREMENTS

Table 66 Manpower Requirements of Fiesta Cheers General Merchandise

POSITION NUMBER OF PERSONNEL

Owner 1

Staff 2

Total 3

Table 66 shows the position of the personnel in the business and the required number of
each personnel.

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Office/Business Service Hours – 8:30 am - 8:00 pm

Staff 1 duty hours - 8:00 am – 8:00 pm

Staff 2 duty hours - 8:00 am – 8:00 pm

Owner duty hours - 9:00 am – 7:00 pm

The proposed business rest assured that every employee and manager will have a
rest hour and rest day including days off and break time.

QUALIFICATION STANDARD

A successful business is dependent on expertise and knowledge, commitment, as

well as the high quality of the company's products as well as services. The exact

requirements for the planned business's required personnel were as follows:

Staff:

● Male or Female

● At least 18-35 years old

● With or without experience

● Must be honest or trustworthy

● Can work with flexible tasks

● With pleasing personality

● Good interpersonal skills

Requirements for application

● Resume

● Copy of PSA

● Barangay Clearance

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Table 67 Costing for Legal Requirements

Zoning Fee 50

BIR 530

DTI 500

Register for Barangay Permit 40

Mayor’s Permit 500

TOTAL 1,620
Source: Municipality of Talavera, Nueva Ecija

COMPENSATION

Table 68 Salary

Position Daily Weekly Monthly Annually

Staff 1 350 1,750 7,000 84,000

Staff 2 350 1,750 7,000 84,000

Total 700 3,500 14,000 168,000


Source: DOLE

Table 68 shows the salary of the staff daily, weekly, monthly and yearly for the proposed
business.

Table 69 Gross Monthly Salary and Annual Compensation Package

Job Gross SSS PhilHealth PAG-IBIG NET NET


Title Monthly MONTHLY ANNUAL
Salary SALARY SALARY

ER EE EC ER EE ER EE

Staff 1 7,000 665.00 315.00 10.00 350.00 350.00 100.00 100.00 6,235.00 74,820.00

Staff 2 7.000 665.00 315.00 10.00 350.00 350.00 100.00 100.00 6,235.00 74,820.00

Total 14,000 1,330.00 630.00 20.00 700.00 700.00 200.00 200.00 12,470.00 149,640.00

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Table 69 shows the Gross Monthly Salary and Annual Compensation Package of the

proposed business to the staff of Fiesta Cheers General Merchandise.

Table 70 13th MONTH PAY

13th Month Pay

Staff 1 7,000

Staff 2 7,000

Total 14,000
Table 70 shows the 13th Month Pay of the two staff that will work on Fiesta Cheers

General Merchandise.

COMPANY POLICIES
Company policies and procedures establish “ Fiesta Cheers General Merchandise”
the rules of conduct within an organization, outlining the responsibilities of both
employees and employers. Company policies and procedures were in place to protect the
rights of workers as well as the business interests of employers.

Rules for the Employees

Dress Code, Attendance and Behavior

● No eating and drinking during working hour


● Late arrival at work will be deducted from the salaries
● Customer should be treated fairly
● Transparency and honesty inside the workplace
● We discourage employees from accepting gifts from clients or partners. We prohibit
briberies for the benefit of any external or internal party
● All employees must follow the dress code and personal appearance guidelines

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● All employees should respect their colleagues. We won’t allow any kind of
discriminatory behavior, harassment or victimization.
● All employees must protect our company’s legality. They should comply with all
environmental, safety and fair dealing laws.
● Respect all kinds of incorporeal property. This includes trademarks, copyright and other
property (information, reports etc.) Employees should use them only to complete their job
duties.
● All employees must protect our company’s legality. They should comply with all
environmental, safety and fair dealing laws. We expect employees to be ethical and
responsible when dealing with our company’s finances, products, partnerships and public
image
● We expect employees to avoid any personal, financial or other interest that might hinder
their capability or willingness to perform their job duties
● Employees should be friendly and collaborative. They should try not to disrupt the
workplace or present obstacles to their colleagues’ work
● We expect employees to not abuse their employment benefits, This can refer to time off,
insurance, facilities, subscriptions or other benefits our company offers.

Privacy

An employee privacy policy is a document that employers use to let their

employees know how their personal data will be collected, processed, stored, and shared.

This policy aims to provide transparency and clarity regarding the company's practices

related to employee data and privacy. It typically covers aspects such as the types of

information collected (e.g., contact details, financial data, medical records), the purposes

for which the information is collected (e.g., payroll processing, benefits administration),

and the methods employed to ensure the security of this information (e.g., encryption,

access controls).

The policy may also address the rights of employees concerning their personal

data, such as the right to access, correct, or request the deletion of their information. It

111
often outlines the circumstances under which employee data might be shared with third

parties, like government agencies or service providers. Additionally, the policy might

specify guidelines for employee monitoring, such as email communication and internet

usage, to strike a balance between maintaining a productive work environment and

respecting individual privacy.

Legal Requirements

Fiesta Cheers General Merchandise has met all of the legal prerequisites for

creating a business. Concerning legal issues, the project's proponents have spoken with a

representative from Talavera Municipal Hall's Business Permit and License. The

representatives provide a business permit and license application (See Appendices,

Business Permit and License Application) that must be completed together with other

procedures in order for the business to be legally established.

Certificate of Clearance/Compliance was accomplished through:

1. Registration of the name of employees in the Zoning Department at the City Planning

and Development Office for the employee to be registered on SSS for private employees.

Figure 19 Process of Legal Requirement

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PROCESS OF LEGAL REQUIREMENTS

● The owner needs to go first to the DTI office.

● The owner must prepare 3 names for the business.

● The DTI officer confirmed the business if approved to be named as ‘ Fiesta Cheers

Gen. Merchandise’.

● The owner filled out the form, and they paid a P500.00 fee.

● Lastly the owner must go to the Talevera Municipal Hall.

MAYOR’S PERMIT

● Fill out the application form.

● Pass the requirements.

● Assessment

● Approval to the chief

● Process

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CHAPTER VI

FINANCIAL ASPECT

The financial aspect determines the profitability level of the project. In this chapter, the

researchers make and discuss major assumptions, determine the amount of the capital

required to finance the project, identify the source of financing, and then prepare the

financial statement analysts.

A. ASSUMPTIONS

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B. SOURCE OF FINANCING

Since the form of the business will be a Sole Proprietorship, the source of financing was

solely provided by the prospective owner Theodore Naethaniel Yu Yap.

115
C. TOTAL PROJECTED COST

Table 71

116
D. PROJECTED STATEMENT OF COMPREHENSIVE INCOME

Table 72

117
E. PROJECTED BALANCE SHEET

Table 73

118
F. PROJECTED STATEMENT OF CASHFLOW

Table 74

119
G. PROJECTED STATEMENT OWNER'S EQUITY

Table 75

120
H. ADVERTISING & PROMOTIONAL EXPENSES

Table 76

121
I. SCHEDULE OF SALES

Table 77

122
123
J. SCHEDULE OF COST OF SALES

Table 78

124
125
K. SCHEDULE OF DEPRECIATION

Table 79

126
L. SCHEDULE OF EXPENSES

Table 80

127
M. SCHEDULE OF LIABILITIES

Table 81

128
N. PROFITABILITY RATIOS

Table 82

129
O. ACTIVITY RATIOS

Table 83

P. LIQUIDITY RATIOS

Table 84

130
Q. STABILITY/ LEVERAGE RATIOS

TABLE 85

131
R. RATIOS AND ANALYSIS

Table 86

132
CHAPTER VII

SOCIO-ECONOMIC DESIRABILITY ASPECT

The socioeconomic impact has a big impact on the external customer, internal customers,

community and government because it will benefit them.

External Customers

Selling disposable wares offers several benefits to customers. Firstly, they provide

convenience, eliminating the need for cleaning and maintenance, saving valuable time.

Secondly, disposable wares often promote hygiene, making them appealing in settings

where sanitation is paramount, such as medical environments or food service. Thirdly,

they can be more cost-effective for customers who may not want to invest in reusable

alternatives. Fourthly, disposable wares can be versatile, catering to microbusinesses

without the hassle of storage. Additionally, their lightweight and portable nature make

them suitable for on-the-go activities. Lastly, the availability of disposable wares reduces

the worry of damage or loss, ensuring a stress-free experience for customers.

Internal Customers

A key benefit of a business to its employees is the opportunity for stable

employment and financial security. By providing regular paychecks and benefits such as

health insurance and retirement plans, businesses offer a sense of stability and support for

their employees' well-being.

133
Community

Fiesta Cheers General Merchandise plays a crucial role in benefiting the

community in a way that it contributes to the local economy by creating jobs and

generating income, thereby reducing unemployment rates and enhancing financial

stability.

Government

Small businesses like Fiesta Cheers General Merchandise contribute to the

government in various ways. They generate tax revenue through income, sales, and

property taxes, helping fund public services and infrastructure projects. Small businesses

also play a role in economic growth by creating jobs and increasing consumer spending,

which in turn boosts economic activity and tax receipts.

134
CHAPTER VII

CONCLUSION AND RECOMMENDATION

This chapter covers the derived conclusion and some recommendations to the

management for the successful continuance of its operation.

CONCLUSION

Based on the results of the study the following conclusions are:

1. The data shows that the majority of the respondents are buying disposable wares

which means that the business is feasible in the area of the locale.

2. The disposable wares were characterized by the respondents based on what

particular type of disposable wares they are willing to buy, the budget allocated

for buying disposable wares as well as the frequency of their buying pattern.

3. The financial projections indicate that the business has the potential to achieve

profitability within a reasonable timeframe, with a well-defined pricing strategy

and cost control measures.

RECOMMENDATION

The researchers recognize the fact that the estimates used in the study may be

altered through time and some unforeseen event could make material changes in

the organization of a business that was why they were recommending that further

studies must be undertaken before formally commencing a business to satisfy the

increasing demand of the market, this will be the recommendation.

135
1. The researchers suggest that the business may add on product differentiation.

Consider offering a wide range of disposable wares, including various materials

(plastic, paper, biodegradable), sizes, and designs. Creative product offerings can

attract a diverse customer base.

2. The researchers recommend to provide a good quality of disposable wares.

Sourcing products from reliable suppliers and conducting regular quality checks

will help maintain consistency and build trust with customers.

3. The researchers recommend to the future business owners to invest in marketing

efforts to create brand awareness. Utilize digital marketing, social media, and

partnerships with local businesses to promote their disposable wares. Highlight

unique selling points, such as quality, eco-friendliness, and variety.

4. The researchers recommend actively seeking and responding to customer

feedback. Use direct communication to understand customer preferences and

improve their product offerings and services.

5. The researchers recommend that it is important to continuously monitor and

manage the business finances to maintain profitability. Keep a close eye on

expenses, cash flow, and revenue growth. Adjust their financial plan as needed to

adapt to market changes.

6. Businesses are often prone to risk of loss. The researchers recommend to the

future business owners to identify potential risks and develop mitigation

strategies. These could include supply chain disruptions, regulatory changes, or

136
unforeseen market shifts. Having contingency plans in place will help ensure

business continuity.

7. The researchers recommend that the future business owners must consider

expansion plans. As the business grows, explore opportunities for expansion, such

as opening additional retail locations or expanding their online presence to reach a

broader customer base.

APPENDIX I

SURVEY QUESTIONNAIRE

We, the 4th year Banking and Microfinance Student of Phinma Araullo

University, were conducting a face to face survey for our Feasibility Study entitled "A

Feasibility Study of Establishing Fiesta Cheers General Merchandise in Talavera, Nueva

Ecija". Please complete this survey form to let us know your perception. All your honest

responses will provide us feedback and be treated with full confidentiality and will only

be used for this say. Thank You!

Republic Act No. 10173 "to protect the fundamental human right to privacy of

communication while ensuring free flow of information to promote innovation and growth

(anal the State's) inherent obligation to ensure that personal information in information

and communications systems in government protected".

137
SURVEY QUESTIONNAIRE

“A FEASIBILITY STUDY ESTABLISHING FIESTA CHEERS GENERAL

MERCHANDISE IN TALAVERA, NUEVA ECIJA”

Note: The information you will give and we will receive will remain confidential and

for academic purposes only.

Direction: Please, put a checkmark on your answers based on the information

provided.

DEMOGRAPHIC PROFILE

Source to Avail Disposable Products:

___ Petty Cash

___ Business Income

___ Savings

Budget Allocated for Disposable Products:

___ ₱ 100 - 500 ___ ₱ 1, 501 - 2, 000

___ ₱ 501 - 1, 000 ___ ₱ 2, 001 - 2, 500

___ ₱ 1, 001 - 1, 500 ___ ₱ 2, 500 - 3, 000

Frequency of Restocking:

___Weekly

___Bi-weekly

___Monthly

138
Order Volume for Disposable Products in terms of packs and sizes:

Take Note: The products that are applicable in terms of sizes are stated in the

survey but not every product has a size. Please do check the products that you

usually avail in the store. You could have multiple answers of the sizes that you

avail. Thank You.

Per pack: in terms of Clear Cups

__5-10pks.

__10-20pks.

__20-30pks.

Per pack: in terms of Paper Cups


__5-10pks.
__10-20pks.
__20-30pks.

Per pack: in terms of Yellow Cups


__5-10pks.
__10-20pks.
__20-30pks.

Per pack: in terms of Kikiam Tray


__5-10pks.
__10-20pks.
__20-30pks.

139
Per pack: in terms of Paper Bowls
__5-10pks.
__10-20pks.
__20-30pks.
Per pack: in terms of Salad Cup with Lids
__5-10pks.
__10-20pks.
__20-30pks.

Per pack: in terms of Styrofoam Cups


__5-10pks.
__10-20pks.
__20-30pks.

Per pack: in terms of Spoon and Fork


__5-10pks.
__10-20pks.
__20-30pks.

Per size: in terms of Clear Cup

__3oz. __8oz.

__5oz. __10oz.

__6oz. __12oz.

__7oz. __16oz.

Per size: in terms of Yellow Cup

__1.5oz.

__2.5oz.

140
__3oz.

__4oz.

Per size: in terms of Salad Cup with Lids

__2.5ml.

__30ml.

Per size: in terms of Paper Bowls

__260cc

__320cc

__390cc

__520cc

__850cc

Per size: in terms of Paper Cups

__6.5oz.

__8oz.

__12oz.

__16oz.

Per size of the following products:

__ Kikiam Tray (Standard Size)

__Spoon and Fork (Standard Size)

__Styro Cups (Standard Size)

141
1. Have you tried buying disposable products ?

__Yes __No

2. If yes, how often do you buy disposable products for business purposes?

__Weekly __Semi-Annually

__Monthly __Annually

__Quarterly

3. What disposable products do you buy for business purposes?

__Paper cups __Paper Bowls

__Clear cups __Salad cup with lid

__Yellow cups __Styrofoam cups

__Kikiam tray __Spoon

__Fork

4. How much are you willing to spend on buying disposable products like paper, plastic,

styrofoam wares ?

__₱ 500 -₱ 1000 __₱ 3001-₱ 4000

__₱ 1001-₱ 2000 __₱ 4001-₱ 5000

__₱ 2001-₱ 3000

5. From which store do you buy disposable products? ( Check all the stores that you have

gone to buy disposable products.)

__JJ General Merchandise

142
__ John and Claire General Merchandise

__ Grandson General Merchandise

__ John Michael General Merchandise

__ Toshiro General Merchandise

6. If ever we will establish a Merchandising business like plastic,paper, and styrofoam

wares in Talavera,Nueva Ecija will you patronize it?

__Yes __No

143
Interview Questionnaire for Competitors:

1. What types of disposable products do you sell?

2. How do you ensure the quality of your disposable products?

3. What makes your disposable products unique?

4. What is the least bought in your disposable products?

5. Do you offer customized disposable products?

6. What is the price range for your disposable products?

7. What is your best selling disposable product?

8. Do you offer discounts for bulk purchases of disposable products?

9. How do you package your disposable products for delivery?

10. How often do you restock your disposable products?

11. How many orders per pack will be sold per day in the following disposable

products?

144
Tagalog Survey Questionnaire

Pag aaral ukol sa posibilidad ng negosyo,

Kami ang grupo ng mga estudyante ng pananaliksik na nagmula sa PHINMA

Araullo University Main Campus, 4th yr. College Major in Banking and Microfinance

ninanais naming makahingi ng kaunting oras para sa partisipasyon sa pagsagot ng aming

ginawang survey questionnaire para sa mga napili naming respondents ay ang mga micro

business owner ng Talavera, Nueva Ecija na kung saan ang napiling Brgy. lamang ay ang

Brgy. Maestrang Kikay at Brgy. Pag-Asa. Ang inyong mga kasagutan ay isa sa

mahalagang bahagi ng aming papel upang malaman kung ang aming sinasaliksik ay may

posibilidad na maisagawa.

145
SURVEY QUESTIONNAIRE

“A FEASIBILITY STUDY ESTABLISHING FIESTA CHEERS GENERAL

MERCHANDISE IN TALAVERA, NUEVA ECIJA”

Note: Ang impormasyong iyong ibibigay at aming matatanggap ay mananatiling

kumpidensyal at para lamang sa Academic Purposes .

Direksyon: Pakiusap, lagyan ng check mark ang iyong sagot base sa impormasyong

nakalahad.

Source to Avail Disposable Products:

___ Petty Cash

___ Business Income

___ Savings

Budget Allocated for Disposable Products:

___ ₱ 100 - 500 ___ ₱ 1, 501 - 2, 000

___ ₱ 501 - 1, 000 ___ ₱ 2, 001 - 2, 500

___ ₱ 1, 001 - 1, 500 ___ ₱ 2, 500 - 3, 000

Frequency of Restocking:

___Weekly

___Bi-weekly

___Monthly

Order Volume for Disposable Products:

Per pack: in terms of Clear Cups

146
__5-10pks.

__10-20pks.

__20-30pks.

Per pack: in terms of Paper Cups


__5-10pks.
__10-20pks.
__20-30pks.

Per pack: in terms of Yellow Cups


__5-10pks.
__10-20pks.
__20-30pks.

Per pack: in terms of Kikiam Tray


__5-10pks.
__10-20pks.
__20-30pks.

Per pack: in terms of Paper Bowls


__5-10pks.
__10-20pks.
__20-30pks.

Per pack: in terms of Salad Cup with Lids


__5-10pks.
__10-20pks.
__20-30pks.

147
Per pack: in terms of Styrofoam Cups
__5-10pks.
__10-20pks.
__20-30pks.

Per pack: in terms of Spoon and Fork


__5-10pks.
__10-20pks.
__20-30pks.

Per size: in terms of Clear Cup

__3oz. __8oz.

__5oz. __10oz.

__6oz. __12oz.

__7oz. __16oz.

Per size: in terms of Yellow Cup

__1.5oz.

__2.5oz.

__3oz.

__4oz.

Per size: in terms of Salad Cup with Lids

__2.5ml.

__30ml.

148
Per size: in terms of Paper Bowls

__260cc

__320cc

__390cc

__520cc

__850cc

Per size: in terms of Paper Cups

__6.5oz.

__8oz.

__12oz.

__16oz.

Per size of the following products:

__ Kikiam Tray (Standard Size)

__Spoon and Fork (Standard Size)

__Styro Cups (Standard Size)

149
1. Nasubukan mo na bang bumili ng disposable products?

__ Oo __ Hindi

2. Kung Oo, gaano ka kadalas bumili ng disposable products para sa pagnenegosyo?

__Weekly __Semi-Annually

__Monthly __Anually

__Quarterly

3. Anong disposable products ang iyong binibili para sa pagnenegosyo?

__Paper cups __Paper Bowls

__Clear cups __Salad cup with lid

__Yellow cups __Styrofoam cups

__Kikiam tray __Spoon

__Fork

4. Magkano ang handa mong gastusin sa pagbili ng mga disposable products gaya ng

plastic wares, paper wares, at styrofoam wares ?

__₱ 500 -₱ 1000 __₱ 3001-₱ 4000

150
__₱ 1001-₱ 2000 __₱ 4001-₱ 5000

__₱ 2001-₱ 3000

5. Saan ka bumibili ng disposable products para sa iyong negosyo?(Lagyan ng check ang

mga Store na iyong binibilhan ng disposable products)

__JJ General Merchandise

__ John and Claire General Merchandise

__ Grandson General Merchandise

__ John Michael General Merchandise

__ Toshiro General Merchandise

6. Kung sakali mang magtayo kami ng merchandising business gaya ng plastic,paper, and

styrofoam wares sa Talavera,Nueva Ecija may posibilidad bang tangkilikin nyo ito?

__Oo __Hindi

151
Tagalog Interview Questionnaire for Competitors:

1. Anong klaseng disposable products ang inyong binebenta?

2. Paano kayo nakakasiguradong may kalidad ang inyong disposable products?

3.Anong kakaiba sa inyong disposable products na tinitinda?

4. Ano ang pinaka matumal sa inyong disposable products?

5. Nag offer din ba kayo ng customized disposable products?

6. Paano nyo pinepresyohan ang inyong disposable products?

7. Ano ang pinaka mabentang disposable products?

8. Nag offer ba kayo ng discounts para sa mga maramihang pagbili ng disposable

products?

9. Nag offer ba kayo ng delivery service para sa mga customers nyo?

10. Gaano kayo kadalas mag restrock ng inyong disposable products?

11. Ilang pakete ang inyong nabebenta sa bawat araw na nagtitinda kayo ng ibat-

ibang disposable products?

152
Letter of Permission

Dear Ma’am /Sir,

Good day ma'am/sir we are the 4th Year College students from PHINMA Araullo

University Main Campus taking BSBA major in Banking and Microfinance requesting to

get the total number of population of microbusinesses that is registered in these two

barangays that we chose as our location which are Brgy. Maestrang Kikay and Brgy.

Pag-Asa from 2019-2023 in terms of Feasibility Study of Establishing Fiesta Cheers

General Merchandise in which our chosen respondents in our study would be

Microbusinesses Owners in Talavera, Nueva Ecija specifically in Brgy. Maestrang Kikay

and Brgy. Pag-Asa this is only for educational purposes in terms of final requirement or

output in our chosen courses. We are willing to wait for your responses and thank you for

your participation.

Best Regards,

Adona, Bernadette G. Limos, Shane


Capin, Angelyn N. Manuel, April Love L.
Caseria, Christine Joy O. Neri, Marjorie V.
Cauzo, Elaiza Marie M. Patiag, Maristella B.
Dela Cruz, Ashley Shaine D. Rullan, Pauline Kate S.
Dela Cruz, Ma. Lorraine G. Sebastian, Kristal A.
Esmino, Diane S. Yap, Theodore Naethaniel Y.
Fragata, Lj Joyce V.

153
Partnership Agreement

This partial fulfillment of the paper in terms of Feasibility Study of Establishing Fiesta

Cheers Gen. Merchandise in Talavera, Nueva Ecija would be signed by the following

owners of the microbusinesses to get their full support to our proposed business by

availing our products for their business needs. This partnership agreement would serve as

a proof that the following microbusiness owners would patronize the business for their

future needs in business.

All of your information provided would remain confidential for privacy reasons and

according to the laws of confidentiality.

Republic Act No. 10173 "to protect the fundamental human right to privacy of

communication while ensuring free flow of information to promote innovation and

growth inherent obligation to ensure that personal information in information and

communications systems in government protected".

Name of the business: ___________

Business Owner's/Manager Signature: __________

154
APPENDIX II. GANTT CHART

ACTIVITIES FEBRUARY MARCH APRIL MAY JUNE JULY AUGUST SEPTEMBER OCTOBER NOVEMBER DECEMBER JANUARY

1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4

PREPARATION
OF
FEASIBILITY
STUDY

PREPARATION
OF LEGAL
REQUIREMENTS

REGISTRATION

SECURING
LICENSE AND
PERMIT

REGISTER IN
BIR (BUREAU
OF INTERNAL
REVENUE) AND
DTI
(DEPARTMENT
OF TRADE AND
INDUSTRY)

PURCHASE OF
OFFICE
FURNITURE &
FIXTURES,
SUPPLIES AND
MATERIALS FOR
OFFICE
IMPROVEMENT

RENOVATION,
ARRANGEMENT
AND CLEANING
OF SHOP

155
FINALIZE THE
DESIGN OF
TSHIRT

ORDER INITIAL
INVENTORY

CHECKING THE
QUALITY OF T
SHIRT AND
PRINT

HIRING AND
TRAINING OF
EMPLOYEE

MEETING/ORIE
NTATION OF
EMPLOYEE

MARKETING
/PROMOTING
THE
BUSINESS

ARRANGING OF
STOCKS INTO
THE STORE

START OF
OPERATION

156
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161
DOCUMENTATION FOR PARTNERSHIP AGREEMENT

162
163
DOCUMENTATION

164

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