Chapter 3

MARKETING ASPECT

The marketing is considered as the lifeblood of virtually all feasibility studies for

the extent of the data and information gathering because the succeeding aspects depend

largely on it. This serves as the basis of the financial section through the projected

demand. This chapter presents the demand and supply situations and seeks the probable

market for the product. It aims to determine the demand for the product; the price of the

product; the supply situation, the competition problem, and the marketing strategies of

the business.

The essence of marketing is that it is a transaction. It is an exchange that is

intended to satisfy human needs and wants. Marketing occurs every time in a social unit,

either a person, o organization, strives to exchange something of value another. Broadly

defines; marketing consists all the activities designed to generate and facilitate any

exchange with the intent to satisfy human needs and wants. Marketing is human activity

directed towards satisfying needs and wants through the exchange process.

Marketing can also be defined as to a total system of business activities that

include planning, selling, distributing, and promoting products, services and ideas to

consumers to achieve organizational objectives. The whole exchange process starts with

the firm determining needs and wants of its prospective customers.

Objective of the Study

The main objective of the study is to determine the sustainability of supplies

and to determine the productivity of the establishment in terms of production and the

demand and price of the product as well. –Combine the two for Objective of the study

Site Analysis

The legendary story goes that even when Dinalupihan was still a barrio of

Hermosa, its people manifested a fighting instinct which served them well in the

development of their community and in their defense against alien invaders and local

criminals. The place got so famous for its fighting spirit that it came to be known as "di-

nalupigan" or not conquered. The name "Di-nalupigan" stuck, but as luck would have it,

the letter "g" was inadvertently changed to "h" during the registration of its name.

Thus, the town with a fighting heart is now known as Dinalupihan.

But whether it is "Di-nalupigan" or Dinalupihan, history is witness to how the

residents fought like tigers during the Spanish revolution of 1896 and during the Japanese

invasion.

Records show that Dinalupihan was risen into parish in 1856 and place under the

patronage of San Juan Bautista

The town of Dinalupihan gradually rose to heights. It now hosts provincial

government offices of the Department of Agrarian Reform (DAR), NIA, Pag-ibig Fund

and the Government Service Insurance (GSIS) that serves Bataan and Zambales public

employees. They also have sports facilities like an Olympic size swimming pool, track

and field, and a covered basketball court that have been venues for sporting events like

the Palarong Pambansa and the CLRAA Meet. A civic center where nationally acclaimed

production outfits have showed great stage plays is also in this town as well as the

Dinalupihan oval.

There are a lot of reasons why the proponents choose San Ramon Dinalupihan,

Bataan as their site. First, it is visible to the people. It is also near to the schools and

offices that the students, businesspersons can easily visit the place. It can also give a big

exposure to the residence and near places.

Geographical Location

Dinalupihan is a first class municipality in the province of Bataan, Philippines. It

is the only land-locked municipality of the province. According to the 2010 census, it has

a population of 103,242 people. It has a total land area of 9,252.73 hectares representing

6.69% of the total land area of Bataan.

The town of Dinalupihan is located in the northern tip of Bataan Peninsula, 24

kilometers from Balanga, which is the capital town. It is bounded on the north y Florida

Blanca, Pampanga; on the East by Lubao, Pampanga; on the south by Hermosa, Bataan;

on the west by Olongapo City. It is 120 kilometers from manila and 42 kilometers away

from the regional center which is San Fernando, Pampanga.

Geographical Information of San Ramon, Dinalupihan Bataan

Title :

San Ramon, Dinalupihan, Bataan, Central Luzon (Region III)

City :

San Ramon

Region 3 :

Dinalupihan

Region 2 :

Bataan

Region 1 :

Central Luzon (Region III)

Country :

Philippines (PH)

Postcode (ZIP) :

2110

Language :

English (EN)

Region Code (ISO2) :

PH-BAN

Time Zone (TZ) :

Asia/Manila

Coordinated Universal Time (UTC) :

UTC+8

Daylight Saving Time (DST) :

No (N)

Topography

The terrain of the municipality is gently sloping to undulating particularly the

northern portion where in cultivated lands are located. Between the norhtern and southern

fringes are areas moderately sloping to rolling land with some scatered steep heels.

Zoning

Zoning is the division of community into zones or district (e.g. commercial,

residential, industrial, and institutional, etc.). according to present and potential uses of

land to maximize regulate and direct their use and development in accordance with the

Comprehensive Land Use Plan of the community. It takes the form of a locally enacted

ordinance. A complete and expert zoning analysis and zoning due diligence is required to

be supported bu municipl documentation. Rural planners must rely on knowledge of

geographing space when deciding how best to manage growth. As the cities of the world

grow and more rural land is developed, ensuring smart growth and practical

environmental management are necessary goals.

Zoning laws dictate how a commercial site or property can be used or constructed.

It allows governments to control the development of communities and ensure they are

functional and safe places. It protects property values and ensures communities work in

an orderly fashion.

The sole focus and priority of this research, is to provide reliable site zoning

analysis and compliance review in a timely manner. Hence, as a commercial area of the

Municipality of Dinalupihan, zoned the area where the lot was situated.

Climatic Condition

Dinalupihan enjoys generally pleasant climate which belongs to the first class

climate in the philippines. Average temperature is 80% or 76%. The coldest months are

December, January, and February. While the hottest months are April, and May.

Humidity changes from 75-80%. There are two distinct seasons, the dry and the wet

season. The dry is from March and June, while rainy season is from July to October. The

intervining months of November to February are neither too dry or too wet. The rainy

seaons begin with as much as 10-20 inches of rain day. The approximate annual rainfall

is 98.9 inches. The most number of typhoons which occur will start during the month of

August.

Soil types

The soil cover of Dinalupihan, Bataan is generally classified into (5) major

physiographic groupings. A full description of the relevant features of the preceding soil

type is as follows;

1. La Paz silt loam - the 23 to 28 centimeter soil is light gray, gray to brownish, gray silt

loam with a crumb structure. The subsoil, which revolves a depth of 60 to 70cm, is

brownish, gray to grayish brown very fine sand slightly more compact than the surface

soil. The substratum is brownish gray to gray fine to medium sand, porous and structure

less.

2. La Paz Fine Sand – this type covers 2.3% of the area of the province. The topography

is nearly level to level and is only a few but above sea level. Because of the looseness and

coarse texture and internal drainage are both good despite the more or less topography of

the area. Due to its light texture this soil is easily worked, but its water holding capacity

is low. This soil is low in both ammonia Cal and initiate nitrogen, relatively high in

phosphorus and moderate in potassium.

3. Culis loam – developed under an undulating to gently rolling topography and at an

elevation ranging from about 15 to 60 meters. The soil is susceptible to erosion. This soil

is poorly suited to most crops because of its sticky and impervious clay subsoil. The

feeding zone of the roots is shallow due to the thin surface soil, which averages only to

15cm in depth and the heavy subsoil restricts the penetration of the roots.

4. Antipolo Soil Undifferentiated – this type occupies the rough and mountainous area of

higher elevation that the Antipolo Clay. It is generally thinner and lighter textured.

Included in this type are areas of storage, rock and rough characteristics.

5. Antipolo Clay – on the higher elevation especially on the steep slopes the soil is

shallower than in the gentler slopes, and lower elevations. In a few places of this type

volcanic rock boulders are sometimes present in the lower subsoil and substratum.

Because of its characteristic friability dispute its clayey nature, roots water and air

penetrate the soil readily.

Traffic Counts

Traffic counts measures the voulume of traffic, and the types of the types of

vehicle passing on the way. This information can be gathered either by an automated

tubeor manually.

The information gathered during traffic counts is used to determine the need for

future capital improvement projects, traffic calming measures, signalization and

intersection improvement or changes in traffic pattern.

The proponents perform traffic counts on the day on the day they have suggested

to. The traffic counts was conducted beteween 9:00am-9:00pm which is the opening and

closing hours of the business.

TimeNo. of Vehicle

Private Public

9:00 am – 10:00 am 394 463

10:00 am – 11:00 am 401 480

11:00 am – 12:00 pm 454 498

12:00 pm – 01:00 pm 446 487

01:00 pm – 02:00 pm 420 440

02:00 pm – 03:00 pm 470 480

03:00 pm – 04:00 pm 502 510

04:00 pm – 05:00 pm 512 489

05:00 pm – 06:00 pm 510 450

06:00 pm – 07:00 pm 500 439

07:00 pm – 08:00 pm 479 410

08:00 pm – 09:00 pm 401 389

The Traffic count includes the number of public and private vehicle passing

through the Food Express location. The number of vehicles is counted by hour. Public

vehicle includes Public Utility Vehicles, tricycles and the like. Private vehicles includes

car, vans, and others.

General Market Description

Customers make the market. These are the persons who buy goods and services

and patronized them on on regular basis. They are the end users of a new product.

Consumers buy what the company normally sell. When consumers purchaise a product,

their decisions are essentially on their own. Customers are the very main reason why

companies pursue new product development and differentiate their existing products and

services. They are the focus of the of their business plans and programs, and programs

and thrust of their strategies. Without them, companies have no reason to exist. The

business doesn’t depend on their own. They are dependent to the customers.

The 2012 actual census on population conducted by the National Statistics Office,

shows that the municipality of Dinalupihan, Bataan has a total population of 103, 242.

For each barangay population, Barangay Roosevelt has the biggest population which has

9,840 followed by the Barangay New San Jose which has 6,137, followed by the

Barangay Luacan which has 6,034, fourth is Barangay Pagalanggang and fifth is the

Barangay San Ramon where our proposed establishment is located is composed of 3,784.

Students, Employees, Teachers, workers and among others who wants to

patronize our products and services are the business’ target market. Since the business is

placed on a very accessible area near the university, hospital, and municipal hall, and

business area; the proponents are confident that they will hit their target market.

Current Market Demand Analysis

The Food Express’s target market is consist of employees, workers,

students, and among others who are willing to experience the service and product offered

in the establishment.

The site is very in the vicinity of the universities, schools, public and private

businesses and organizations and houses consequently, there is no need for broad

advertisements. The proponents believe that the only thing they need to do business is to

provide better products and service and everything follows.

The number of the market is increasing and the need for faster and higher quality

products and services are becoming more evident than ever before and the proponents

has used this opportunity to take part in the global arena through the target market as their

starting point.

Sources of Revenue

The partners agreed and derived to contribute according to their shares; where

each partners go halves to provide purchasing of tools and equipment to cope with the

pre-opening expense such s taxes and licenses.

Dula, Alyssa Marie will ask a loan at the Metro Bank from her father’s account.

Puno, Febbelyn will ask a business loan on PAGIBIG fund.

Lee, Rikel will ask a bankloan at the China Bank.

Lumanlan, as well; will ask a bank loan at BDO.

Probable Competitors

Competitors are one of some reasons why people refuses to stand up new

estblishments for they were taking the risk of threat that they will not be patronized by

the customers due to the high competition in the area.

In the study conducted by the proponents, they have found out that there are loads

of food establishment existing in in the area, but they are accertain that the business they

take up will flourish because it will hit its target market. And because the business is

located in a very feasible area, the proponents are convinced that it will be accesible for

everybody. Plus the fact that the business offers good quality products, and well

maintained services at a low cost.

The competitors among the vicinity of Dinalupihan is stated below:

Mang inasal. A specialty restaurant offering grilled chiken and other filipino food.

Jolibee. A fastfood restaurant that serves to be the children’s choice because of their

menu and well known products such as fried chicken and spaghetti.

Chowking. A chinese restaurant beside Mang Inasal.

Teejay’s Tapsi. A tapsihan beside BPMC

Buleilei. An eatery offering special goto and lomi from Batangas

Kring kring’s. A long time eatery offering different dishes and providing catering

programs.

Lutuan sa Kawali. An eatery infront of Seven Eleven.

Aling Nene’s lechon. An eatery offering lechon as their specialty but offers eat-all-you-

can.

Prince Tapsa Avenue. An eatery which caters tapsilog and other viands.

Calendar of Activities for Marketing Strategies

Marketing Strategies

Everyone seeks for improvement. For in this world; Changes are the most

everlasting thing. But what matters to everyone is to change for better and not for worst.

All and sundry hunts for a progress and development. Each business has their own goal.

But the question that lies within the mind of every proponent is that; how will you get

there? How will you ever try to be better?

Effort is one of the major ingredients to success. Effort and hard work. Seems

stressful and a painful process, but, when it is done correctly, they can be accomplished

through easy to understand actions that will eventually evoke holistic change through an

entire company that can send sales and profits moving upward.

Activities

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Agreement of contract to the suppliers

Buying of equipments for the Operation.

Preparation for Grand Opening

Displaying Tarpaulin to the public.

Opening of Social Networking site (Facebook,

Twitter & Instagram)

Distribution of fliers and leaflets.

Grand Opening/ Ribbon Cutting

Operation

Every business deserves and demands thoughtfully constructed plan for growing

sales and profit- a restaurant marketing strategic roadmap that efficiently help you reach

the fullest potential of your company. Marketing strategies helps the establishment to

reach the fullest potential of the company. It helps by giving a strategy in the areas of

branding, positioning, culture public relations, training, design, local, openings, concept

and development, and an over reaching restaurant growth strategy.

Today, effective restaurant marketing strategy develops competitor-proof

relationships with customers, suppliers, employees and other key stake holders through

strategies that rarely; if ever call for mass media. For a myriad reason, mass media

vehicles such as vehicles, televisions, radio and newspaper outdoor advertising and the

like have lost their appeal and effectiveness to build these important relationships.

There are far better ways to develop sustainable relationships and build profits

these days: marketing strategies find and implement them. Restaurant needs customers to

survive. And chances are businesses will be thinking about some ways to get their

restaurant noticed. The following are the Food Express’ way to get started:

Well designed menu boards. An attractive menu board, with appealing meal

possibilities and easy-to-read descriptions of them, will attract the customer’s attention

quickly. Making a board too confusing will lose the customer rapidly. Bu keeping

everything easy and quick to understand, you’ll help customers to make fast decisions,

and hopefully encourage them to come back again.

Work with a charity. Charitable work gives you a chance to help a cause that’s

important to you, and get your business noticed as you become more involved with

members of your community. You might offer a restaurant space for meetings or

fundraising activities, encourage your employees to participate in community walk-a-

thons, and help answer phones at pledge drives, or organize clothing drives. It’s

important to choose wisely; if no one notices that members of your company are out

helping with a particular cause, it won’t help draw business back to your restaurant. Make

sure your employees are enthusiastic about the cause, too, so they will be excited about

helping out any way they can.

Make Days Special. This depends on the atmosphere you already have-or hope to

create in your restaurant, the company could complement a variety of ideas to make

certain days of the week special at your establishment. Perhaps a family discount day is

in order, or you’d prefer to offer a certain dishes at a better rate on a certain day.

Capitalize on sporting events that may be happening on town or a television and invite

the public to come enjoy some refreshment at your restaurant. Sometimes, drawing a

larger crowd takes a little ingenuity and willingness to be creative. The company may

need to work with the media to get the momentum going.

Custom Banners. Custom banners tell the business’ potential customers what you

want them to know about the restaurant that’s special. You might want to let people know

when Happy Hour is, when you have a special event coming up, where you’re going if

you’re planning to move to a new location, whether you are holding a grand opening, or

much more. Banners can add a look of professionalism to an outdoor event, or simply

draw attention to your business when customers might have passed you by countless

times before.

Hire the Right Wait Staff. Wait staff must not only be capable of being good

servers, but it is essential that they have solid sales skill as well. Find servers who are

good listeners, friendly, and able to relate well to customers. The employees will also

need to be trained in aspect of selling the dishes you offer. Ensure you know the items on

the menu, including how they are prepared, and what ingredients they contain. Allow

your new staff members to taste the items you offer.

Customer Loyalty. By implementing the right strategies at your business, you

should be able to draw customers back to your restaurant again and again. The important

thing is paying more attention to what appears to be working and what isn’t it. Keep your

prices as reasonable as possible. Customers are focused on value and having a simple,

positive experience. The job isn’t always easy, but in the long run, it will be worthwhile.

Product

In marketing, a product is anything that can be offered toa market that might

satisfy a want or need. In retailing, products are called merchandise. In manufacturing,

products are purchaised as raw materials and sold as finished goods. Comodities are

usually raw materials, such as metals and agricultural products, but a comodity an also be

anything wildely available in the open market. In project management, products are the

formal definition of the project delierables that make up or contribute to delivering the

objects of the product. In insurance, the policies are considered products offered for sale

by the insurance company that created a contract.

The Food Express offers products that satifies the customers’ wants and needs, it

also caters, the services needed on a foodcourt type of stall. All the poducts being

produced is highly assured with good quality and processed in hygeinic way. The

products will also meet the expectations of the customers towards the taste and originslity

of the dishes being produced. Every ingridients is well asured that it is 100% fresh and

palatable.

Promotional / Advertisement of the establishment

Product and service promotion is the most common form of marketing.

Promotional activities can include:

Advertising – you can advertise your product, service or band in signage and website,.

Learn more about how to make your advertising successful.

Personal selling or telemarketing- eefective personal selling relies on good interpersonal

and communication skill, excellent product and services knowledge and ability to sell

product benefit to prospective customers.

Publicity- created by sending media releases to print, from word-of-mouth. Learn more

about public relations.

Short-term sales promotion- market your product or service using coupons, competions

and contest.

Direct marketing- involves sending letters, emails, pamphlets and brochure to individual

target clients, often followed by personal selling or telemarketing. Learn more about

direct marketing.

You can use any combination of these methods to target your customers. The

right marketing mix will help you satisfy your customer’s needs, increase sales, improve

your results and increase your ability to reach multiple customers within your target

market.

Pricing

Pricing is the process of determining what a company will receive in exchange for

its product. Pricing factors are manufacturing cost, market place, competition, market

condition and quality of product. Pricing is also a key variable in microeconomic price

allocation theory. Pricing is a fundamental aspect of financial modeling and is one of the

four ps of the marketing mix. The other three aspets are product, promotion and th place.

Price is the only revenuegenerating element among the four ps, the rest being cost

centers.

Market Survey

The market survey in an organized approach, which includes all the research

activities involves in the marketing problem, the market survey involves in the gathering,

recording and analyzing the utility and marketablity of the product. To know the

customer’s needs and wants, nature of demand, nature of competition, other aspect of

movement of products from the stage of production, to the point where the market

consumed. The market’s provides an effective sale forecast and promotes the soundness

of marketing decision.

With the growth of large numbers of industries marketing, and sale has really

become the big head ache from the concerned, the immense competition at every step of

marketing the problem of sale has out stripped from thr problem of production.

Consumers are the key to success of any product I the modern and developed world, and

thus, it requires consumer oriented concept of marketing survey. In marketing, any

decision the consumer needs should serve and the focal points. Thus it is both reaviling

and important for any business to know the consumer and understand his or her buying

behavior’s.

The study is composed of 30% of the total population of San Ramon, Dinalupihan

Bataan which composes of 736 respondents consisting of employees, workers, students,

and among others.

Table1

Frequency and Distribution Table of the category the respondents are engaged with

Occupation Frequency Percentage

Student 457 62

Worker 197 27

Civilia 82 11

Total 736 100

*Table1 shows that the most potential customer is composed of students, which is

unruffled of 62% among the respondents.

Table 2

Frequency and Percentage Distribution Table as to Sex

Sex Frequency Percentage

Male 329 45

Female 407 55

Total 736 100

*Table2 shows that majority of the respondents are female which covers 55%

Table 3

Frequency and Percentage Distribution Table as to Age

Ages Frequency Percentage

15-25 460 63

26-36 177 24

37-47 51 7

48 above 48 6

Total 736 100

*Table4 shows that the age interval that is gathered through the market survey illustrates

that the most potential age among the market are those people who belongs to 15-25yrs

old.

Table 4

Frequency and Percentage Distribution of times a respondent visits a particular fast

food chain/ food court each month.

Perception Frequency Percentage

Once a month 49 10

Twice a month 152 30

Thrice a month 89 18

Four times 55 11

More than Four 161 31

Total 506 100

*Table5 shows that the most number of the respondents, which is 31%, visits a food stall

or a food court more than four times.

Table 5

Frequency and Distribution of what kind of occasions or reasons the respondents

celebrate at a fast food chain/ food court

Occasions Frequency Percentage

Lunch out 202 31

Hang out with friends 253 39

Birthday 46 7

For Entertainment 111 16

Others 45 7

Total 657 100

*Table5 shows that the most number of the respondents, which is composed of 39%, visits

a food court because they want to hang out with their friends.

Table 6

Frequency and Distribution of the things that attract the respondents most when

they eat at the fast food chain or food court

Perception Frequency Percentage

Brand Name 56 5

Theme 41 4

Quality 220 21

Location 121 11

Hours of operation 51 5

Visibility 54 5

Ambience 151 14

Affordability 183 17

Service 181 18

Total 1058 100

*Table6 shows that the most attractive thing for the customers to enjoy eating in a food

court is the quality which is composed od 21% of the answers of the respondents

Table 7

Frequency and Distribution of how much money the respondents are willing to

spend at a fast food chain or food court

Amount Frequency Percentage

50php 118 23

100php 187 37

200php 168 33

others 32 7

Total 505 100

*Table7 shows that 37% and most of the customers is willing to spend 100php eating on

a foodcourt

Table 8

Frequency and Distribution Table on how interested the respondent in eating in

proposed food court

Perception Frequency Percentage

Yes 643 87

No 93 13

Total 736 100

*Table8 shows that 87% of the respondents are intesreted to eat in the proposed business

Table 9

Frequency and Percentage Distribution Table of customer’s willing to avail if

promos are available

Perception Frequency Percentage

Free drinks 85 17

Eat all you can 156 31

Unlimited rice 218 44

others 41 8

Total 500 100

*Table9 shows that most of the respondents, which is composed of 44% is attracted to the

unlimited rice promo

Table 10

Frequency and Percentage Distribution Table of what ambiance the customer wants to

enjoy

Perception Frequency Percentage

Wi-Fi zone 221 36

Air-conditioned 220 36

With music 169 28

others 2 .32

Total 612 100

*Table10 shows that the most number of respondents which is composed of 36% wants

enjoy a wifi zone and airconditioned foodcourt

The Business Logo

The title “Food Express” was derive from the kind of service offered on the

establishments. The proponents decided to entitle it Food Express because for the

proponents, “Food Express” means a rapid and fast food service. The proponents decided

to put green because green signifies growth and harmony; and in psychology, green is a

positive color. The letters are colored red because psychologically, red signifies

competitiveness and fierceness that is undoubtedly, part of the firms’ approach.

Example of Order Slip

Example of Sales Inventory

Receipt no:

Date:

The Food Express’s order Slip

Name: Table No.

Item Quantity Price

Total

Served By: ___________________

Date:

The Food Express’s Sales Inventory

Item Unit/Quantity Price

Example of Stock Inventory

Date:

The Food Express’s Sales Inventory

Item Unit/Quantity Price

Date:

The Food Express’s Stock Inventory

Item Unit/Quantity Price

Uniforms

Date:

The Food Express’s Stock Inventory

Item Unit/Quantity Price

The Chef’s Uniform

The Manager’s Uniform

The Waiter and Cashier’s Uniform

Menu