MAP A University: Dog's World

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MAPύA UNIVERSITY

ENRIQUE T. YUCHENGCO SCHOOL OF


BUSINESS AND MANAGEMENT

Dog’s World

A Feasibility Study
Presented to the Faculty of
E.T.Y School of Business and Management

In Partial Fulfillment
Of the Course Requirement for the Degree
Bachelor of Science in Business Administration

Prepared by:
King David C. Chua

Prof. Marthinson Villanueva


Thesis Adviser

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ABSTRACT
Dog World is a company that aims to offer convenience to pet owners by providing love
and care for their beloved dogs. The company also intends to use organic shampoo to nourish
and soothe the dog’s hair and fur. The primary target market of the company is busy pet
owners who do not have the luxury of time and energy to do all these things including pet
owners who go abroad leaving their pet behind for care.

Chapter One: INTRODUCTION

A. Name of Enterprise

The name of the enterprise shall be Dog World. It is derived in view of the focus
of the company, which is to provide the utmost quality service to dog lovers
through professional care for their pets.

B. Trademark
i) Brand Name
 My Dog’s World
ii) Logo

iii) Tagline
 A Dog’s haven

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C. Location
The location of the store will be situated at Mandaluyong City in Metro Manila.
The store unit is 80sqm and comprises of the grooming and hotel services with a
monthly lease of 30,000 which includes a 2-storey building. The chosen location
is ideal because there are many condominium buildings and residential
subdivisions nearby.

D. Description of the business


i) Business Concept
 Dog World aims to provide convenience to dog lovers by taking care of their
dogs. With everyone’s busy work schedules, one can hardly find time for
himself; thus having a partner in giving professional care to one’s pets is
surely a big help in keeping both the dog and his owner happy & healthy.

ii) Target Market


 The target market of Dog World is busy individuals who don’t have the time
and energy to bring their pets for grooming and individuals who often travel
and don’t have any idea where to leave their pets behind for proper
pampering and care.
Table 1.0 Target Market of the company

Target Market / Potential Customers


GEOGRAPHIC
Density Urban
Region NCR
City Mandaluyong
DEMOGRAPHIC
Age 25 to 60 years old
Gender Male & Female
Social Class Class A to Class B
Monthly PHP 50,000 to PHP 200,000 above
Income
Professionals
Occupation Corporate Workers
Business Owners / Self-Employed

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iii) Positioning
 Dog World envisions itself as a future leader in providing highest quality
grooming-on-the-go & hotel services for dogs. By hiring experienced
professionals and using quality materials such organic shampoo.

iv) Rationale of the study

E. Business Model, Value & Supply Chain

i) Business Model
 Dog World business model is composed of various key elements for the
business to function as planned. It summarizes the whole business process
and operations that will be executed. The business model is presented
below.

Table 1.1 Business Model of the company


KEY PARTNERS KEY ACTIVITIES KEY RESOURCES
- Pet Shops/Clinics - Advertisements - Employees
- Bloggers - Operation - Equipment and
- Vloggers - Service Facilities
- Condominium - Financial
Management
- Suppliers

VALUE PROPOSITION CUSTOMER RELATIONSHIP CUSTOMER SEGMENT


- Natural/Organic Dog - Trust - Professionals
Shampoo - Convenience - Corporate
- Quality Grooming - Loyalty Workers
Services (both in- - Value for money - Self – Employed
house & home - Business Owners
service)
- Premium Dog Hotel
Services(

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DISTRIBUTION CHANNELS
COST STRUCTURE REVENUE STREAMS
- Branches &
- Operation - Quality Products
Franchise
- Advertising - Quality Service
( After 1-2 years)
- Vehicle
- Employees

Key Partners
The key partners of Dog World shall be the pet shops & pet clinics since these are
individual establishments without grooming services; residential subdivision &
condominium management that will help the company easily reach the target market. It will
also include the suppliers for various dog products like dog food, dog shampoo, anti-flea
and other related products. Because the company believes that a good product will speak
for itself.

Key Activities
The key activities of Dog World are composed of actions that should be taken by the
company which are crucial in attaining its success. Since Dog World is a startup,
social media advertisements are extremely important for the target market’s awareness of
the products and services that our company offers. The promotional tools that we will be
using will mostly rely on online advertising such as Facebook, Twitter, Instagram and
blogs/vlogs
Reviews

Meanwhile, the operations will include dog hotel services and grooming on-the-go.
Our grooming-on-the-go service is one of the key activities because this is where the
customers will experience extreme convenience in pet care. Additionally, an option to use
the “all natural and organic” shampoo to wash their beloved pets is aimed at healthier hair
and fur without toxic chemicals.

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Key Resources
The company believes that the key resources do not only pertain to tangible assets like
the facilities and equipment but also our employees who are considered the most
important resource of the company, for they are the ones who provide quality service to
our customers.

Value Proposition
The value proposition of Dog World is determined by its quality service and
convenience. It is an all-around servicing company for dogs where our customers who are
pet owners do not have to bring their dogs to grooming centers since our pet groomers can
do home-service grooming. When pet owners want to go out of town, they can check-in
their dogs and we will take care of them.

Customer Relationship
Building customer relationship is significant in every business, gaining your customer’s
trust will determine the profitability and success of the company. The customers must be
satisfied with the quality of service we provide for customer retention.

Customer Segment
Dog World will focus on one specific area for target market. Dog World will target
Professionals, corporate workers, self-employed and business owners who consider their
pets as members of the family.

Distribution Channel
Distribution channels will be through branches & franchising.

Cost Structure
The costs of the company will be coming from space rental, equipment, utilities,
employee salary and advertising.

Revenue Streams
The service quality, convenience and relationship that the company want to share to the
target market shall be the strength of the company to achieve its targeted sales and
revenue.

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Value Chain Model
The value chain chart below is a company model that breaks down the flow of
production activities into five primary categories, which are: a) inbound logistics, b)
operations, c) outbound logistics, d) marketing and sales, e) services; and categorizing its
support activities which are the following: Human Resource Management, Technological
Advancement, Procurement. The goal of the value chain is to increase profits by creating
value at each of the five product touch points, so the value exceeds the cost associated with
the product.

Inbound Logistics Operations Outbound & Marketing & Services


- Acquisition of - Hotel Service Logistics Sales
Products - Grooming - Branches - Differentiation - Customer
- Inventory Service - Franchise - Advertising Inquiries
Management through social - Customer
media Feedback

F. Vision
To be one of the top grooming & hotel servicing company for dogs in the Philippines
that provides the utmost quality service.

G. Mission
Dog World shall create an environment that would satisfy the needs of the dogs by:
●Taking good care of them like family
●Grooming them to become the best version of themselves
●Exercising them to maintain good health

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Chapter Two: Environmental Analysis

A. Socio-Cultural Factors
We humans undeniably love to have dogs in our house, because it makes us feel warm
and happy. There are a lot of dog breeds to choose from small to big ones. Each needs
different kind of care like grooming and food diet. Being happy and loved is one of the
reasons why owners buy their dogs without further thinking if they can really take care
of their dog with their busy schedules at work, with some often having to travel out of
town leaving their pets behind.

As a Dog care center this will be our biggest challenge, that is, how to help these dog
owners who have busy work schedules to take care of their beloved pet. Dog World
aims to help them by providing dog hotel services, in-house pet grooming, and pet
supplies delivery

B. Technological Factors
In today’s generation, almost everyone knows how to use and communicate through
social media. We will be using this platform to communicate and advertise our services
to bring it closer to consumers. An example is the website base bookings of check-in,
grooming services and dog supplies delivery.

C. Economic Factors
According to research, Global market for Pet Care market is starting to boost, and is
expected to reach $202.6 Billion by 2025, it has an Annual Expected Growth Rate of
4.9% from 2016 to 2025. It is because of the advancement in technology that is making
facilities accessible to the owners like boarding, grooming and training facilities.

In Asia, Pet care industry is expected to grow at 8% annually, from 2017 to 2022. Pet
owners are now increasingly treating their pets like family members. From basement
and garage to sharing bed with their owners. Also, pet care industry is benefiting from
rapid urbanization and commercial pet breeding.

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D. Political-Legal Factors
To begin the operation of Dog World, compliance with the following government
requirement is necessary:
 Certification of Department of Trade and Industry
 Local Clearances like barangay clearance and the likes.
 Local Government permits which includes: Business permit and taxes
 TIN number under the Bureau of Internal Revenue

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Chapter Three: Industrial Analysis

A. Industry Overview

*Current Market Situation


There has been a steady increase of pet ownership (DOG) in the Philippines and
there are now a lot of Dog-Hotels to choose from. They are as follows:

DOG HOTELS IN METRO MANILA


Company City
The Dog Spa & Hotel Libis Quezon City
The Dog Spa Greenhills San Juan City
The Dog Spa Fishermall Quezon City
The Dog Spa & Hotel Palma Makati Makati City
The Dog Spa & Hotel Marikina City Marikina City
VIP Pet Hotel & Wellness Center Mandaluyong City
VIP Alabang Alabang
VIP The Fort The Fort
VIP QC Quezon City
PlayBow, Inc Makati City
BetterDog Canine Behavior Center Makati City
Pup Culture Manila City
The Dog Park Pasig City
Snow Angels Pet Hub Pasay City

These are the top dog hotels in Metro Manila who are competing head-on with
each other. We can say that this market is already occupied by a lot of renowned
companies like VIP and The Dog Spa. It will be hard to penetrate such market, but
finding a distinct competitive advantage will serve as a window to enter the industry.

B. Competitive Review

Dog World is not the first pet hotel in the industry, but being a first mover
doesn’t guarantee success and fame in the industry. People tend to find something new
and unique in every business, and that is what Dog World will offer.

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1. The Dog Spa
The Dog Spa is one of the most trusted pet hotel and grooming services in Metro
Manila. As of now they have branches in Quezon City, San Juan, Makati, Pasig,
Cainta, Paranaque and Marikina. A Total of 16 branches

Services Offered Products Offered


Grooming Anti-Tick & Flea
Day Care Dog food
Boarding Dog Shampoo

2. Vets in Practice
Vets in Practice are a known pet hospital in the Philippines, and they focus
mainly on pet treatment. Their vision is to be a center of excellence in veterinary
medicine and to achieve the highest standards of quality in veterinary care.

Services Offered Products Offered


In-House Diagnostics Dog Food
Advanced Equipment for Diagnostics Dog Treats
Stem Cell Therapy Dog Shampoo
Platelet Rich Plasma Therapy Dog Collar & Chain
In-Vitro Allergy Testing Anti-Tick & Flea
Grooming Supplements/Vitamins

3. BetterDog Canine Behavior Center


BetterDog is a 3-in-1 facility, which offers grooming, schooling and hotel services.
They are also the first dog training facility in the Philippines that lets the owner train
with their dogs.
Services Offered Products Offered
Dog Training N/A
Hotel N/A
Grooming N/A

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SWOT Analysis:
1. Strength
●Grooming-on-the-go service
Dog World aims to provide the highest convenience to pet owners by providing
home-service grooming. Pet owners can focus more on their family, friends, work or
business as well as spending quality time with their pets.

●Organic Shampoo
Our groomers will use organic shampoo when cleaning our customer’s dog.
Using an all-natural shampoo will be safer and more effective in maintaining our
dog’s hair and fur.

●Organic Dog Food


Dog World only wants the best for their customers. Our pets are part of our
family; we do want them to eat good food.

2. Weaknesses
●New company, products, and services.
Being a new company brings doubt to consumers and is seen as a weakness of
the firm. Good marketing and quality service are required for the company to
achieve successful operation and market penetration.

3. Opportunity
●Location
The target location is an opportunity because there’s a lot of traffic in the area
and there’s only one store catering them all.
●People who are busy with work
With the worsening traffic in the country, people become more fatigue with
work and have less time to spend with family & friends. Dog World aims to help
These hardworking individuals by providing
●Condominium Lifestyle
People who live in a condominium are having a hard time grooming their pets
Because it is a little bit messy and finding a nearby grooming center would be time
consuming as well

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4. Threats
●Established companies like VIP & The Dog Spa
Established companies have more funds to spend, and they can easily copy the
services that Dog World offers like grooming-on-the-go.

C. Porter’s Five Forces

Michael Porter’s Five Forces of Competition in this industry indicates that the
forces are in the high level which means that there is a low barrier to entry and this
market is easily occupied by companies. Dog World shall have a good marketing team to
attract first time customers and have a unique and quality service to establish a long-
term customer relationship and be an established and successful business in the future.

Threats of
New
Entrants

Barganing Rivalry Bargaining


Powers of among Power of
Buyer Firms Suppliers

Threats of
Substitute

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A. Rivalry Among Firms – High

The rivalry among existing firms is high because there are a lot of established
businesses present in the industry. Although the market is huge, the current industry
itself is already filled with products and services.

B. Threats of New Entrants – High

A business who would want to enter the industry will certainly be able to
penetrate the market easily as long as they would have a new & unique product/service
to offer the market.

C. Threats of Substitute

As shown in the industry overview, there are a lot of companies present in the
market today which have gained most of the trust and loyalty of the target market of
Dog World. It is evident that even without Dog World; companies that are similar to this
are already rampant.

D. Bargaining Power of Supplier – Moderate

The bargaining power of supplier is moderate since there are a lot of companies
that produces the supplies that we need such as dog food, shampoo, anti-tick & flea and
many more. Dog World can easily find another supplier if the price is too high.

E. Bargaining Power of Buyer – Moderate

As I’ve said, there are a lot of businesses in the industry that is why Dog World
can’t demand too much from the buyer since they have a lot of substitute companies to
choose from.

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Chapter Four: Market Study

A. Research Design and Methodology


i) Target Market
In the table below, the location, age, gender and income class are illustrated.
Geographic
Regional Mandaluyong, NCR
Demographic
Age 25-60 years old
Gender Male or Female
Income Class Class A to Class B

Demographics
The target market for these services is individuals ranging from 25-
60years of age. My Dog’s World targets these individuals because the
researchers found out that those in the said age are fond of having dog
companionship.

ii) Market Description


My Dog’s World target markets are people in ages from 25-60 years old
in Mandaluyong City. The consumer description consists of individuals who are
dog lovers who are busy with their work schedules and individuals who often
travel.

iii) Data Gathering Techniques


Surveys – This is the most common method used to be able to gather
information about the target market’s preference. The data gathering was
conducted through online and onsite survey form.

Inquiries – Through this process, data from competitors and


manufacturers are gathered.

B. Survey Results
C. Demand
D. Supply
E. Demand and Supply Gap Analysis
F. Competitors
G. Price Study
H. Marketing Plan

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Chapter Five: Technical Study

A. Product Concept
These are the following product that will be sold in store, as a complementary to our
services.

Product Supplier Quantity Price


Organic Shampoo
Organic Dog Food
Dog Leash
Dog Clothes
Dog Bowl
Dog Brush
Potty Trainer
Dog carrier
Dog Vitamins

B. Standard per serving

C. Business Process
i) System Flowchart

1)Acquisition of raw materials


2)

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ii) Service Flowchart
D. Purchasing Schedule
i) Gantt Chart
E. Equipment and Facilities
Since Dog World mainly focuses on service-oriented business, it needs
equipment and in-store facilities to provide the highest quality service.

Service Vehicle
Item Quantity Price Total Useful Life
Kymco Like 5 79,900 399,500 7

i) Grooming Equipment
Item Quantity Price Total Useful Life
Greyhound Comb
Slicker Brush
Scissors Nail Clippers
Clipper Blades
Electric Clipper
Pin Brush
Scissors
Thinning Shears

ii) Hotel Area and Facilities


iii) Tables
iv) Office furniture and fixtures
v) Office supplies
vi) Office layout
F. Operation
i) Rent
ii) Utilities
G. Waste Disposal

Dog World will strictly comply with government policies, requirements, and
procedure on how to properly dispose waste materials. The company will also
practice the Three R’s which are reduce, reuse, and recycle. This aims to cut the
expense and at the same time helps to protect the environment.

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H. Quality Control
Dog World has set a standard for the services it offers. The quality control of the
services are being monitored by the store supervisor and the customer via feedback
forms.
I. Operating Hours
J. Customer Service Policy

Chapter Six: Management Study

A. Organizational Plan
The ownership implemented by Dog’s World is in the form of partnership
involving three (3) people. There will be three (3) partners who will be contributing
equal capital to the business and will be at the top management.

i) Form of Ownership

● A functional organization structure is a common structure in which it will


be used by the corporation. A structure in which different individuals are
assigned to complete task in accordance with the company. This structure
helps the employee and the employer have smooth communication
throughout the operation. This will minimize mistakes and increase
productivity among workers.

ii) Organizational Structure and Design

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● An organizational structure is an overview of the organization’s Chain of
commands. It also shows the departments/people involved and how they are
connected to one another.

B. Organizational Structure and Design

Partners

General Manager

Marketing Staff Groomers Receptionist

i) Officers and Personnel


Partners
Consisting of individuals who share the common goal of establishing a
profitable organization and making sure that the company is on the right
track in becoming one of the top dog-servicing company in the Philippines.
General Manager
To ensure that everything in store will be in order, the general manager is
responsible in making sure that the employees are doing their job properly.
He is also responsible for the ordering and managing of supplies and
inventories.
Marketing Staff
The role of marketing staff is to post photos and videos of dogs while
being groomed and pampered in our dog hotel. It will be posted in our social

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media accounts like Facebook, Instagram, Twitter and Tumblr. The staff will
also answer the customer’s inquiries and arrange the customers’ bookings.
Receptionist
Records/Handles/Assists the customer’s service order.
Groomers
They are the ones who groom the dog and making sure the dogs are in
good hands.

ii) Salaries
No of Employees Position Monthly Salary Annual Salary
1 General Manager 18,000 216,000
5 Groomer 16,800 1,008,000
1 Marketing Staff 12,000 144,000
1 Receptionist 12,000 144,000
Total Annual Salary: 1,512,000

C. Company Policies

Employee Code of Conduct

● Employees must come and leave on time

● Prior to absence, the employee must submit a letter or an email to the


manager a week before the planned absence.

● Employees must respect customer and colleagues at all time.

● Employees are entitled for an hour of lunch break, and three (2) 10-min
short breaks

● Employees must not exploit the company and its interest for their own
personal benefit

The employees are not allowed to do the following:

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● Stealing a colleague’s belongings or company property

● Falsifying company records

● Vices (drinking, smoking and gambling) are not allowed inside the store.

● Cursing, fighting or harming people in the workplace

● Unauthorized disclosure of company’s confidential records

● Promoting/Using/Selling of illegal drugs.

Dress Code Policy

● Employee must wear appropriate clothing (T-shirt, jeans and shoes)


for work

● All clothes must be clean and presentable

Safety Policy
The management is responsible for the implementation and maintenance of
the following:

● A safe working environment

● All inventories are stocked and stored properly

● Grooming equipment must be kept properly in their stations

● No Using of phones during work hours

Each worker has an obligation to:

● Comply with safe work practices, with the intent of avoiding injury to

themselves and others.

● Wear proper attire where necessary (groomers)

● Comply with the SOP for grooming

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● Report all incidents may it be a minor or major incident

Legal Requirements

●To be able to start the business operation smoothly without any legal
liability, Dog’s World will comply with all the necessary legal documents and
requirements. Since the company is a corporation, it will be registered under
the Securities and Exchange Commission (SEC) with the company’s name and
the name of its Incorporators. Dog’s World must comply with the rules and
regulations of the government with regards with the business operation.

Fees
Permits & Licenses Amount
Barangay Clearance Fee
Local Clearance Fee
SEC Registration
BIR Registration
Local Tax
Business Tax
Business Permit Fee
Sanitary Inspection Fee
Garbage Fee
Medical Fee
Environmental Fee
Building Inspection Fee
Fire Inspection Fee

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Fire Code
Electrical Inspection Fee
Plumbing Inspection Fee
Business Sticker Fee
Permit Fee
Signboard Fee

D. Strategy Evaluation and Control

i) Strategic Management
My Dog’s World has decided to implement the differentiation strategy.
This will also be the company’s corporate strategy to establish the firm in the
industry and to achieve its long term goals. Also, the company will continue
its study to its business model for continuous improvement.

The General Manager will observe the daily operations, studying the
customer’s behavior and do the demand planning.

ii) Operations
Hiring a reliable work force and choosing a reputable supplier for our pet
supplies is significant and should highly be considered. As it is the back bone
of the business.

iii) Human Resources


Developing a good team is essential in achieving the company’s primary
goal, which is to penetrate into the market and be able to establish its own
name. To make it possible that the company will be able to choose the most

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appropriate people, the general manager sets specific standards that include
having enough knowledge and experience with pet handling. There will be an
interview and if applicants are qualified through this interview, there will be
a run through about the business.

a) Recruitment
● All Applicants must have referrals and they will be given an
interview.

b) Orientation
● Once the applicant is hired, Applicants shall be oriented with the
company’s rule and regulations.

c) Training
● Newly hired employees are trained, and will be supervised by the
general manager to be able to familiarize themselves with the
business operation

iv) Performance Evaluation


Employee Evaluation shall be done every Saturday of the week to assess
employee’s job performance. And a monthly meeting shall be held by the
general manager to talk about the company’s future output.

v) Termination
As much as possible, the company doesn’t want any terminations as it
will affect the business operation (hiring and training of new employees). So
to make it better, the company will just give out punishments depending on
the seriousness of the offence committed.

vi) Technology
Dog’s World will use the latest technology in handling the business as it
makes any job easier. All purchases and re-stocking will be monitored
through computer software so it doesn’t have to be manual anymore and all

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motorcycles are equipped with GPS so the company can track down the
groomer’s location.

vii) Finance and Administration

viii) Sales and Marketing


Dog’s World will reach their target market by utilizing the highly used
social media accounts such as Facebook, Instagram, Twitter and Tumblr. The
company will be able to inform everyone about its services by posting photos
and videos thru these social media streams. Both customers and potential
customers can ask their inquiries and leave their suggestions thru our social
media accounts and they’ll get a response right away. Also, we will tap the
help of famous Bloggers & Vloggers to feature our company on their posts
and videos as people will be enticed to try our services if endorsed by people
they look up to.

E. Other Strategies

i) Contingency Plan
The partners together with the general manager will review the financial
statements of the company and see what is causing the decrease in sales and
re-evaluate the existing system & make necessary adjustments, whether it is
lacking in customers, poor promotions, poor service, wrong pricing and other
factors. But nevertheless, the company will make sure to fix any
contingencies that might arise and bounce back stronger than before.

ii) Exit Plan


If Dog’s World continues to struggle despite the adjustments made, the
company must undergo liquidation and closure. In this process, the company
shall liquidate all its assets and pay off all liabilities. And if after the payment
of liabilities and there’s still some cash left, it will be equally divided by the
partners.

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