Technological University of the Philippines

Ayala Blvd. Ermita Manila

Feasibility Study
In Partial Fulfillment
of the requirements for the Degree
Master of Arts in Teaching
by:
Catherine B. Cottrell
MAT-THE
nd
2 Sem 2014-2015

to:
Dr. Gremilda Igloso
Professor

Chapter I
Introduction
Bread

is surelya Spanish heritage. Wheat does not grow in the

Philippines. The Spaniards brought in wheat flour as well asthe
techniques of bread-making.Wheat was also important to theSpanish
settlers who arrived in the Philippine during 16 thcentury not just
because they preferred bread to rice as a staple but most importantly
due to their religious zeal. The Christian host (hostia) can only be made
from the purest, finest wheat flour. Wheat flour was necessary if the
Spaniards truly intended to convert and not just conquer.
According to Felice Prudente-Sta. Maria, there were two kinds of pan de
sal that once reigned in the Filipino bread basket. The traditional and
more respected of the pair was known as thepan de suelo. During the
Spanish times, dough was baked on oven floors (suelo) thereby making
crusts very crisp and hard which to according to Nick Joaquin
colegialasgot their gums toughened on theirsegundo almuerzoin the
morning and, with hot chocolate, theirmeriendasin the afternoon.
When the Americans came and governed the Philippines, they
introduced the use of metal pans in baking bread which they
considered more hygienic than cooking on mopped-up brick.

Background of the Study

The bread making process originated in ancient times. The

basis of the operation is to mix flour with other ingredients,
for example, water, fat, salt and some source of aeration
followed by baking. As long ago as 2,000 BC the Egyptians
knew how to make fermented bread. The practice was to use
a little old dough, or leaven, to "start" the new dough. These
two dough were mixed together and allowed to ferment (rise)
for some hours before baking. They made an astonishing 50
varieties of bread, paid wages with bread, and painted bread
making scenes in their tombs.

A variety of methods have since been developed in making

leaven. The Baker's Patent required the fermentation of hops
and scalded malt for at least two to three days.

In the early 1900's it was discovered that traditional long

fermentation times could be reduced from 18 to 3-4 hours by
the use of very small amounts of certain chemicals, called
oxidants, in bread or flour. Oxidants, when added to dough,
not only speed up the process but also produce a superior
loaf.

Statement of the Problem

This feasibility study is intended to evaluate the feasibility of Bread with

mixed flavors.

Specifically, aims to evaluate and analyze the following areas:

The Technical aspects of the study

Product description
Product Process
Equipment / Materials
Plant location
Plant lay-out

The Marketing Aspect of the Study

General Business Condition
Competitive Condition
Target Market
Demand
Product
Pricing Strategy
Promotion
Packaging

The Financing Aspect of the Study

Capitalization
Source of Funds
Total Sales
Total Expenses
Return of Investment
Ratio of Analysis

The Management Aspect of the study

Form of Ownership
Structure
Job Analysis
Company Policies

The Socio-Economic Aspect of the study

Contribution to the government
Contribution to the society

Conceptual Framework

The technical study of the project comprises product description,

product process, equipment and material, plants location and plant
layout. In this area, it discusses the varieties of bread product
produce.

The Marketing study covers the general business condition,

competitive condition, target market, demand and supply, products,
pricing strategy, promotion and packaging.

The financial shows capitalization, source of funds, total sales, total

expenses, return on investment and ration analysis.

The management study shows the form of ownership, the structure

of the business, job analysis and company analysis.

The socio economic shows the contribution of the study to the

government and society. This area proves that the business not only
for profit purposes, but also for the improvement of the welfare of
the people.

Framework of the Study

Technical

Product
Descriptio
n
Product
Process
Equipmen
t/
Materials
Plant
location
Plant
Lay-out

Marketing

Financing

Business
condition

Source of
Funds

Competitive
condition

Form of
ownersh
ip

Total Sales

Structur
e

Demand

Total
Expenses

Products

Income
Statement

Pricing
Strategy

Balance
Sheet

Pricing
Strategy

Cash Flow

Pricing
Strategy

Return on
Investment
Ratio
Analysis

Management

Job
Analysis
Compan
y
Analysis

SocioEconomic
Contributio
n to the
governmen
t
Contributio
n to the
Society

Scope and Limitation of the Study

This study of the Bread Landia is restricted to Sta.

Maria, Bulacan and will be based on management,
marketing, technical, socio-economic and financial
aspect of business.

The product will be disseminated through direct

selling and orders are also accepted from the
customer within Sta. Maria Bulacan from those who
are willing to purchase our products.

Significance of the Study

The study gives the consumer a product which is

affordable , delicious , nutritious and quality bread made of
vegetables / fruits.

This section provide a brief description on the various

significance of the study given.
Customer The customer will benefit the quality and nutritious
bread with affordable price compare to the expensive brand.
Researcher - Acquire knowledge , skills and profession to
achieve the prospective objectives to have an profitable business.
Society The significant of the society is to have a quality bread
with a reasonable price that suited to their budget as well as to
the nutritional needs.

Definition of Terms

For a better comprehension on this feasibility study, the

following definition of terms are provided:
Balance Sheet one of the financial statements that show
the total assets, total liabilities and equity of a business.
Capitalization- the monetary contribution of each partner
in a starting up a business.
Demand refers to the quantity of the goods does a
buyer is willing to buy at a given price.
Form of Ownership- refers of a type business form of
organization.
Income Statement type of financial statement that
shows the annual sales of the business with its expenses
incurred for the whole year.
Management the overall organization structure of a
certain business.
Marketing Strategy a series of marketing activities that
an organization acquire customers.

II. Methodology

This chapter describes and discusses the entire

information necessary on this study. It shows the
procedure data such as the description of products,
design, locality.

The outlook of the industry and the size of the

industry, target market, market segmentation and
presentation, in marketing and sales activities,
detailed of the products and service description to
apply to the business and the competition market.

Research Design

The descriptive design and applied using surveying

the community. The survey conducted by through
giving the sample bread to the selected participant
then rating the quality, taste, appearance, aroma and
price of the items.

The survey was aided using an interview guide

questionnaires.

Research Locale
The

survey area floated

around the municipality of
Sta. Maria Bulacan

Respondents

Due to the large number of potential customers, the

servicer got at least 100 respondents from the identified
locale. Respondents were identify immediately after
they have shown interest buying breads.

Respondents

Total

Parents / Teachers

50

Barangay Officials

15

Students

35

Total

100

Sources and methods of collecting data

The

data was gathered through the

primary resources.
Schools, Barangay Hall, Neighbourhood
and other municipality was giving an
structure questionnaires about the bread.

Chapter III Technical

Study

Bread is the product of baking a mixture of flour, water,

salt, yeast and other ingredients. The basic process
involves mixing of ingredients until the flour is converted
into a stiff paste or dough, followed by baking the dough
into a loaf.

General Business condition

The General Terms and Conditions of Business shall apply to

all current and future business relationships.

In the context of the Terms and Conditions of Business,

Contractors are natural or legal entities or legal private
companies with whom a business relationship exists
through the execution of commercial or independent
professional activities.

On placing their first order after receiving these Terms and

Conditions of Business, the Customer thereby recognizes
these Terms and Conditions as the binding rules governing
the business relationship and shall refrain from applying
their own conditions of sale.

Any deviating, opposing or supplementary General Terms

and Conditions of Business shall not, even if they become
known, constitute part of this agreement unless their
validity is expressly agreed in writing.

Guarantee

We confirm that the goods that we deliver shall comply with

the relevant legal requirements with regard to their
composition, quality, packaging, declaration and goods
specification. In the event of faulty goods, we shall initially
redeem the guarantee by choosing to offer either to rectify
the fault or provide a replacement.

If this supplementary performance fails, the Customer may

choose to lower the payment amount (reduction) or to
revoke the contract (withdrawal). However, in the event of a
minor breach of contract, particularly in the event of minor
faults, the Customer shall not have the right to withdraw.

The Customer shall check that scope of the goods is correct

immediately on receiving them. Any objections shall be
made in writing immediately after they have been
determined but within a maximum period of 2 days. The
guarantee shall not apply if this period is not adhered to.
The goods must be stored and handled correctly until they
have been examined. Returns without prior discussion or
without our consent cannot be accepted. Any complaints
regarding quantity must be made immediately via the

If, after a failed attempt to provide supplementary

performance due to a defect of title or of quality, the
Customer withdraws from the contract, they shall not have
the right to claim for any damages incurred as a result of this
defect. If, after a failed attempt to provide supplementary
performance, the Customer chooses to claim for damages,
the goods shall remain with the Customer. Damages shall be
limited to the difference between the purchase price and the
value of the faulty goods.

Where we are not the manufacturer of the goods supplied,

guarantee claims may only be made against us in line with
the scope of the manufacturers liability to us.

In general, the manufacturers product description shall be

deemed the agreement regarding the properties of the
goods. Public statements, prices or advertisements by the
manufacturer shall not constitute the contractually agreed
properties of the goods.

The Customer shall not be given any guarantees in legal

terms. This does not affect manufacturer guarantee

Production Process
Carrot Cake Quick Bread

Ingredients
For the Bread
C whole wheat flour
C white whole wheat or
all-purpose flour
1 tsp baking powder
tsp baking soda
tsp salt
1 tsp cinnamon
tsp nutmeg
tsp allspice
C brown sugar
1 egg
tsp vanilla extract
C unsweetened
applesauce
C butter, melted and
cooled
C milk
1 C shredded carrots

For

the Frosting
4 oz cream cheese, softened
2 tbsp butter, softened
1 C confectioners sugar
chopped pecans, optional
Instructions
Preheat oven to 350. Spray an 84 inch loaf pan with non-stick cooking spray.
In a small bowl, whisk together flours, baking powder, baking soda, salt,
cinnamon, nutmeg, allspice, and brown sugar.
In a large bowl, whisk together egg, vanilla extract, unsweetened applesauce,
butter, and milk. Add dry ingredients to wet ingredients and stir until just
combined. Stir in shredded carrots.
Pour batter into prepared loaf pan. Bake for 35-45 minutes or until toothpick
inserted in the center comes out clean. Check bread at 30 minutes and if top
is getting brown, cover with aluminum foil for the remainder of the baking
time.
Remove to a wire rack to cool.
While bread is cooling, prepare frosting. Beat together cream cheese and
butter until creamy. Beat in confectioners sugar until smooth.
Spread frosting over cooled bread. Sprinkle with chopped pecans.

Workflow of the process

I. Create a vegetable/
Fruit Bread Concept

V. Bake the dough

mixture

II. Gather the

ingredients needed

VI. Wait until its done

III. Combine the

dough mixture to the
bread

VII. Prepare for the

finishing touches

IV. Add the

vegetables/ fruit bits
in the dough

VIII. Once its done ,

add the garnishing

IX. Display with

presentable
packaging

Product description
The

vegetables / fruit bread is made by

baking carrot / apple / pineapple bits in the
dough of flour and water added with
flavors.
The nutrients from the vegetables/fruits
will be added to the breads.

Carrot pineapple
bread
P 50.00

per loaf

This bread is packed

with lots of flavors,
pineapple, banana,
Carrots, raisins and
nuts.
Its super moist and
good for you too!

Spinach Cheddar Muffins

P 50.00 / loaf

"These moist, savory

muffins are a great
way to work a healthy
element into your
family's brunch. The
spinach flavor
mellows as the
muffins cool."

Pumpkin-banana bread
P50 loaf

Combination
of pumpkinbanana to
enhance the
mouthwatering
flavor of
bread

Materials and Equipment

Adough mixeris an
appliance used for
household or industrial
purposes. It is used for
kneading large quantities
ofdough.

Commercial Baking Oven

A commercial oven is a
kitchen appliance used
for heating and baking
foods in a professional
setting. Establishments
such as restaurants,
bakeries, and
cafeterias often use
commercial ovens. This
is because professional
ovens typically have
the capacity and power
to handle large
amounts of different
kinds of food in a
timely manner.

Dough Roller
Arollingpin is a
cylindrical food
preparation utensil
used to shape and
flattendough. Two
styles ofrollingpins
are found;rollerand
rods.Rollertypes
consists of a thick
cylindricalrollerwith
small handles at each
end; rod
typerollingpins are
usually thin tapered
batons.

Bread Rack
Abaker's rackis a
type of furniture with
shelves, typically made
of wrought iron or
some other metal.
Traditionally the wire
shelves served to help
cool a baker'sgoods
such as hot pies. The
heat-conducting metal
shelving allows for
heat to be quickly
transferred from the
bowl to the shelf.

Plant location
The

store located at caypombo Market Street across to

main road. Below is the proposed business location

Plant Lay-out
The plant lay-out technically designed to support the
smooth process of the proposed vegetable/fruit bread
flavor. The are display the complete bread making
process to ensure the quality and preserve the
nutrients of the ingredients.

IV. Marketing Strategy

This chapter helps to know the marketing aspect of

the business. The marketing aspects will cover the
following: General Business condition, Tabulation of
result, Target Market, Products, Promotion, Marketing
Strategy, Pricing strategy and Packaging.

Description and outlook of the

Industry

Fruits and vegetables help keep teens healthy, prevent disease,

and are low in fat and calories. People of all ages should eat
seven to nine servings of fruits and vegetables every day.
Ideally, adolescents should eat seven servings daily. Fruits and
vegetables can be fresh, frozen, canned, or dried.

TRENDS

The stronger performance of the Philippine economy helped to

fuel the consumption of baked goods in 2013. It is expected
that retail current value sales will jump by 6%, as Filipinos are
starting to consume bread, pastries and cakes more frequently.
This is especially noted amongst busy middle-income urban
consumers, who prefer to have sandwiches instead of rice and
other dishes in order to save time on food preparation. On the
other hand, pastries and cakes benefited from the aggressive
expansion of chained bakery fast food brands such as Red
Ribbon and Goldilocks in key cities nationwide. By the end of
2013, sales of baked goods are expected to reach Ps34.8 billion.

Size of the Industry

Cay Pombo(PSGC: 031423007) is one of the twenty-four

barangayscomprising the municipality ofSanta Maria,
Bulacan, in thePhilippines. It is bordered by Barangay
Caysio on the south-west, and the south,Pulong Buhangin
on the east,Mag-asawang Sapaon the north and
BarangayinPandion the west.

As of 2007 census, Cay Pombo has a population of 15,698

people with a density of 3,771.20 person per km2. The
projected population of the barangay by 2010 is 21,226
with a growth rate of 10.65%.

Marketing and Sales Activities

The study recommend to implement the 6 months time sales

activities proposal.

The following should be follow:

1st Week Displaying of Advertisements
Window Banner type advertisement
Distribution of discount coupon through leaflets.
Soft-Opening / Buy 3 free 1 for every loaf bread.
4th Week Buy 3 loaf bread any flavor get 50% discount on
4th loaf bread
Closing time around 4 pm 7 pm weekdays
3rd Month Buy 5 loaf of Nutri- Bread Free Nutri- Pineapple
Juice.
4th Month - Buy 50 pcs. Nutri-Pandesal
avail nutri-peanut butter spread
5th Month Buy 2 pcs Nutri- Spread , avail Free 5 pcs Nutribuns
6th Month - Buy 3 loafs and 10 pcs Nutri pandesal can avail
Free
Barako coffee.

Packaging
Packaging plays in Nutri Bread are an important role as a
medium in the marketing mix, in promotional campaigns, as
pricing criterion , in defining new character of a new
products, as a setter of trends and as an instrument to
create a brand identity and shelf impact in all products

A eco-friendly packaging and promotes greener

nation.

V. Financial Study

Financial Assumptions

1. Selling the price of the nutri bread are the following :

Nutri Bread Varities

Price List

Carrot pineapple bread

50.00

Spinach Cheddar
Muffins

50.00

Pumpkin-banana bread

50.00

2. Sales demand increase by 10% per year

3. Raw materials increase by 5 % per year
4. Depreciation expenses is computed in a straight line
basis with an estimated useful life of 3 years.
5. 50% of the net income will be distributed after 3
years

Initial capital
requirements

The partners are agreed to contribute an equal

sharing of capital amount of P35,000 pesos each.
Partners

Ratio

Invested
Amount

Catherine
Cottrell

50%

P70,000

Michael Cottrell

25%

P35,000

Chriselle
Bandiola

25%

P35,000

Total

100%

P140,000

Cost and Expense Schedule

Schedule 1: Purchased of Raw Materials
Item

Quantity- per Production

Unit Price

Amount

Monthly

Yearly

Flour

4 sacks

57 sacks

P 840.00

P47, 880.00

White Flour

sack

6 sacks

350.00

2,100.00

Yeast

1 kilo

18 kilos

350.00

6,300

Salt

360 grams

4320 grams

1.00

4,320.00

Butter

360 grams

4320 grams

5.00

21,600.00

Oil

150 grams

1800 grams

2.14

3,852.00

Egg

450 trays

5400 tray

67.50

364,500.00

Powdered Milk

90 grams

1080 grams

10.00

10,800.00

Carrots/Pinea
pple

15 kilos

150 kilos

50.00

7,500.00

Peanut Butter

60 jars

720 jars

40.00

28,800.00

Cacao powder

600 packs

7200 packs

6.25

45,000.00

Condense
Milk

4 cans

48 cans

32.00

1,536.00

Monggo

15 kilos

150 kilos

21.00

3,780.00

1,774.89

2547,968

Total

Schedule 2: Rent Expenses

Monthly

Annual Cost

P3,500

P42,000

Schedule 3: Salaries and Wages

Position`

Wages

Cost per Annual

Manager

P 5,000

P60,000

Cashier

P2,000

P24,000

Baker

P3,500

P42,000

Helper

P 1,500

P18,000

Total

P12,000

P144,000

Schedule 4 : Office Supplies

Item

Quantity

Price

Annual Cos

P80.00

P160.00

Official
Receipt

30

20.00

600.00

Ball pen

12

5.50

66.00

Bond paper

50.00

100.00

Puncher

65.00

65.00

Stapler

32.00

64.00

10

7.00

70.00

30.00

30.00

Record book

Staple wire
Fastener
Total

P1,155.00

Schedule 5: Packaging
Item

Quantity

Price

Monthly

Annual
Cost

Paper bag

35

P60.00

P2,100.00

P25,200.00

Box

30

5.00

150.00

1,800.00

Total
Schedule 6: Transportation Cost
Item
Delivery Expense

P27,000.00

Cost per Month

Annual Cost

P4,800.00

P57,600.00

Total

P57,600.00

Schedule 7: Promotional Expenses

Cost
Free taste
Flyers
Total

No. of Months

Annual Cost

P1,500.00

Introduction of
the products

P1,500.00

250.00

12

3,000.00
P4,500.00

Schedule 8: Office and Furniture Fixtures

Item

Quantity

Price

Amount

Estimate
d
Duration

Deprecation
Expense

Table

P1,500.00

P1,500.0
0

P500.00

Office
chair

300.00

600.00

200.00

Ceiling
fan

750.00

750.00

250.00

Cabinets

1,000.00

1000.00

333.33

Schedule
9 : Equipment
Total
Item

Quantity

Computer

P3,850.
00 Price

P15,000.00

P1,283.33

Amount
P15,000.00

VI Management Study
Forms

of Ownership

The type of business ownership will be

a partnership: in which partners pool
money , skills and other resources and
share profit and loss in accordance with
the terms of the partnership agreement.
In the absence of the agreement, a
partnership is assumed to exit where the
participants in an enterprise agree to
share the associated risks and rewards
proportionately.

Chapter VII: Socio Economic

Study
The

chapter includes the socio-economic

benefits if the proposed project.
The proposed project aims to help our
localities and farmers of the country and
to give healthy lifestyle to the people.
Nowadays it is important that small
entrepreneurs should realize the worth
innovating and starting a business that
would largely contribute to the socioeconomic development of the country.

Contribution to the income and

Employment

The main goal of a certain business is to have high

income especially in the part of the owner. The business
should generate pleasantly relationship between the
manager and employees to attain the main goal of the
business which is to have an income.

At workers and employees in the business need income to

support on their own needs and also for their services
rendered in the business.

Building up business is a great opportunity for an

employed people to have jobs. It will also ne their
opportunity of having another source of income.

Tax contribution
This

business is expected to give

a great contribution to the
government in the form of taxes.
The tax payment from the
business would help the localities
as well as the economy in its
future project especially for
people that will benefit.

Chapter VIII
Conclusion and Recommendation
Recommendation
After bearing in the mind the significant factors
in the study that we conducted such factors
like the marketing, financial, technical and
management and socio-economic study. It is
therefore recommended that NUTRI-BREAD
Bakery will be pursued and the business
established at Caypombo Sta Maria Bulacan
across to the main road.

Conclusion
Based on the research and study that
conducted, I therefore conclude that business is
feasible and viable in the market.

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