QuattuorSuperstites - Emily's Native Delicacies

A COMPREHENSIVE BUSINESS PLAN
Presented to
Mr. John Marlou B. Salido
Adviser
Aklan Valley High School
In Partial Fulfillment of the Requirements
In Business Enterprise Simulation
By
Miguel, Nina Jan Lere
Agupitan, Nicole Anne
Inostro, Kate Anthonette
Sergantes, Dunhill
March 2019
ACKNOWLEDGEMENT
The completion of this paper would not be possible without the kindness and
participation of personalities who tirelessly gave their all-out support and help until this
paper is completely structured. We would like to extend our sincerest gratitude to the
following personalities:
To Mrs. Emily Consignado and family for the all-out support and wholeheartedly
accepting our offer of making Emily’s Native Delicacies as the subject of our business plan;
To Engr. Peter D. Magbanua and Arch. Ralph T. Ruiz for helping the group in
structuring the desired floor plan necessary for the operations portion of the paper;
To the respondents of the study, who shared their time in answering and sharing
their insights that are needed in our market study;
To Mr. John Marlou B. Salido, our class adviser and Business Enterprise Simulation
teacher, for giving us the motivation, guidance, and unwavering support towards the
accomplishment of our paper;
To our family and friends, for their motivation, understanding, and extreme
support may it be financially, emotionally and spiritually, which encouraged us to
complete this paper;
To the members of this group, for exerting valuable effort and time to successfully
accomplish this business plan;
i
Most of all, to our God Almighty, for giving us the opportunity to experience this
task that made us enlightened of a real business world. It brought us new knowledge that
we will surely use in our everyday lives as future business owners. We thank Him for the
given guidance and protection in our everyday existence.
We, the QUATTUOR SUPERSTITES, thank you all!
ii
TABLE OF CONTENTS
I. THE COMPANY ........................................................................................................................... 1
A. DESCRIPTION ......................................................................................................................... 1
A.1. HISTORY OF THE BUSINESS ............................................................................................ 1
A.2. VISION AND MISSION STATEMENT ................................................................................ 1
A. 3. OBJECTIVES.................................................................................................................... 2
B. PRODUCT & INDUSTRY .......................................................................................................... 3
B.1. PRODUCT DESCRIPTION ............................................................................................. 3
B.2. INDUSTRY DESCRIPTION ................................................................................................ 4
C. SOCIAL IMPACT ..................................................................................................................... 6
II. MARKET STUDY ......................................................................................................................... 7
A. SWOT ANALYSIS .................................................................................................................... 7
A.1. SWOT Analysis for Emily’s Native Delicacies ................................................................. 7
A.2. SWOT Implication Table of Emily’s Natve Delicacies .................................................... 8
A.3. TOWS Matrix for Emily’s Native Delicacies ................................................................. 11
B. COMPETITION ..................................................................................................................... 13
B.1. DIRECT COMPETITORS.................................................................................................. 13
B.2. INDIRECT COMPETITORS .............................................................................................. 14
B.3. COMPETITIVE ADVANTAGE .......................................................................................... 15
C. TARGET MARKET ................................................................................................................. 15
C.1. MARKET ANALYSIS ....................................................................................................... 15
C.2. RESULTS OF QUANTITATIVE SURVEY ........................................................................... 17
D. MARKETING STRATEGY ....................................................................................................... 24
D.1. OVER-ALL STRATEGY .................................................................................................... 24
D.1.1 PRODUCT STRATEGY .................................................................................................. 24
D.1.2 PRICING STRATEGY .................................................................................................... 27
D.1.3 PLACE STRATEGY ........................................................................................................ 28
D.1.4 PROMOTIONS STRATEGY ........................................................................................... 29
D.2. PROPOSED BUDGET AND ALLOCATION ........................................................................... 34
E. SALES PLAN .......................................................................................................................... 35
E.1. TARGET SALES ............................................................................................................... 35
iii
E.2. SALES FORECAST ........................................................................................................... 36
E.3. REVENUE TRENDS ......................................................................................................... 37
F. COMPETITIVE PLAN ............................................................................................................. 37
F.1. SHORT TERM COMPETITIVE PLAN ................................................................................ 38
F.2. LONG-TERM COMPETITIVE PLAN ................................................................................. 38
G. RESEARCH AND DEVELOPMENT ......................................................................................... 39
III. TECHNICAL STUDY .................................................................................................................. 41
A. PRODUCT DESCRIPTION ...................................................................................................... 41
B. PRODUCTION PROCESS ....................................................................................................... 42
B.1. MATERIALS AND EQUIPMENT ...................................................................................... 42
B.2. PROCESS ....................................................................................................................... 45
B.3. PROCESS FLOWCHART .................................................................................................. 49
C. PROJECTED PLANT CAPACITY AND GROWTH ..................................................................... 51
C.1. RAW MATERIALS .......................................................................................................... 51
C.2. LABOR AND SKILLS REQUIREMENTS ............................................................................ 53
C.3. PLANT DESIGN .............................................................................................................. 55
C.4. WASTE DISPOSAL ......................................................................................................... 56
D. PROPOSED OPERATIONS .................................................................................................... 56
D.1. INVENTORY MANAGEMENT ........................................................................................ 56
D.2. SUPPLY CHAIN MANAGEMENT .................................................................................... 58
D.3. QUALITY MANAGEMENT ............................................................................................. 59
E. PROPOSED LOCATION AND JUSTIFICATION ........................................................................ 63
IV. ORGANIZATION ...................................................................................................................... 66
A. STRUCTURE ......................................................................................................................... 66
B. KEY PERSONNEL.................................................................................................................. 67
B.1. JOB DESCRIPTION ......................................................................................................... 68
B.2. JOB QUALIFICATION ..................................................................................................... 69
B.3. COMPENSATION AND BENEFITS .................................................................................. 70
C. EXTERNAL SERVICE PROVIDER ............................................................................................ 71
D. OTHER LABOR MARKET ISSUES........................................................................................... 72
D.1. LEGAL OBLIGATIONS TO WORKERS ............................................................................. 72
E. PERSONNEL GROWTH ......................................................................................................... 73
IV. FINANCIALS ............................................................................................................................ 74
iv
A. ASSUMPTIONS .................................................................................................................... 74
B. START-UP COST ................................................................................................................... 76
C. PRODUCT COSTING ............................................................................................................. 78
D. PROJECTED INCOME STATEMENT ....................................................................................... 82
E. CASH FLOW PROJECTION .................................................................................................... 89
F. BALANCE SHEET ................................................................................................................... 90
G. FINANCIAL RATIO ANALYSIS ............................................................................................... 91
G.1. LIQUIDITY RATIO ANALYSIS ......................................................................................... 91
G.2. EFFICIENCY RATIO ANALYSIS ....................................................................................... 92
G.3. DEBT RATIO ANALYSIS ................................................................................................. 92
G.4. PROFITABILITY RATIO ANALYSIS .................................................................................. 92
H. BREAKEVEN POINT .............................................................................................................. 93
I. CRITICAL RISKS...................................................................................................................... 94
I.1. IN THE MARKET ............................................................................................................. 94
I.2. INFLATION ..................................................................................................................... 94
I.3. CLIMATE CHANGE .......................................................................................................... 95
I.4. FINANCING .................................................................................................................... 96
v
LIST OF TABLES
Table 1: SWOT ANALYSIS FOR EMILY'S NATIVE DELICACIES ............................................... 7

Table 2: SWOT IMPLICATION TABLE FOR EMILY'S NATIVE DELICACIES .............................. 8
Table 3: TOWS MATRIX FOR EMILY'S NATIVE DELICACIES ................................................ 11
Table 4: Summary of Direct Competitors of Emily's Native Delicacies ............................. 13
Table 5: Summary of Indirect Competitors of Emily's Native Delicacies .......................... 14
Table 6: Proposed Budget for Trade Fair .......................................................................... 34
Table 7: Proposed Budget for Radio Advertisements ....................................................... 34
Table 8: Proposed Budget for Online Advertising ............................................................. 34
Table 9: Summary of Promotions Budget ......................................................................... 35
Table 10: Annual Projected Gross Production and Sales for Emily's Native Delicacies .... 36
Table 11: Summary Table of Materials and Equipment of Emily's Native Delicacies ....... 44
Table 12: Procedures in Cooking Sapin-sapin ................................................................... 48
Table 13: Process Flowchart of Emily's Native Delicacies' Sapin-sapin Production .......... 50
Table 14: Summary Table of Raw Materials Used in the Sapin-sapin Production of Emily's
Native Delicacies ............................................................................................................... 52
Table 15: Job Qualifications and Skills Requirements for Emily's Native Delicacies ......... 69
Table 16: Compensation and Benefits for the Workers of Emily's Native Delicacies ....... 70
Table 17: Projected Start-up Cost for Emily's Native Delicacies ....................................... 77
Table 18: Total Cost of 9" Sapin-sapin with Leche Flan .................................................... 78
Table 19: Total Cost of 9" Sapin-sapin with Ube Halaya .................................................. 79
Table 20: Total Cost of 9" Sapin-sapin with Cheese .......................................................... 79
Table 21: Total Cost and Seeling Price for 9" Sapin-sapin in 2019 ................................... 79
Table 22: Total Cost and Selling Price for 9" Sapin-sapin in 2020 .................................... 80
Table 26: Total Sales Revenue for 9" Sapin-sapin in 2019 ................................................ 82
Table 32: Total Cost of Goods Sold of 9" Sapin-sapin in any Flavor for the year 2019..... 84
Table 33: Total Cost of Goods Sold of 9" Sapin-sapin in any Flavor for the Year 2020.... 84
Table 34: Total Cost of Goods Sold of 9" Sapin-sapin in any Flavor for the Year 2021 .... 85
vi
Table 38: Annual Projected Income Statement of Emily's Native Delicacies .................... 87
Table 39: Depreciation Expense of Emily's Native Delicacies ........................................... 88
Table 40: Statement of Cash Flow of Emily's Native Delicacies ........................................ 89
Table 41: Projected Balance Sheet of Emily's Native Delicacies ....................................... 90
Table 42: Financial Ratios of Emily's Native Delicacies ..................................................... 91
Table 43: Breakeven Point of Emily's Native Delicacies .................................................... 93
LIST OF FIGURES
Figure 1: Revenue Trends of Emily's Native Delicacies ..................................................... 37

Figure 2: Plant Design on Two-Dimensional ..................................................................... 55
Figure 3: Supply Chain Management of Emily's Native Delicacies ................................... 58
Figure 4: Proposed Organizational Structure of Emily's Native Delicacies ....................... 67
vii
EXECUTIVE SUMMARY
Philippines is known for its diversity of food preferences. It is given that in the
Philippines, serving foods and native delicacies are part of their culture. In line with this,
Emily’s Native Delicacies took this as an opportunity to enter a competitive market and
survive in the long-run. The enterprise offers Filipino Native Delicacies that are made for
celebrations and any other occasions. Currently, the most promising native delicacy of
the enterprise is the Sapin-sapin which is renowned for its indulging taste and flavors. This
product is mainly manufactured by Mrs. Emily Consignado and her family. Sapin-sapin is
made up of glutinous rice, sugar, and fillings. They are 9”-sized delicacy with different
flavors and fillings – ube, cheese and leche flan.
Emily’s Native Delicacies has targeted all people, Filipinos and Filipinos at heart,
whose age ranges from thirteen (13) years old up to an adult age who currently live in all
parts of the Philippines and belonging to the socioeconomic classes D and C and really
fond of eating delicacies. The identified target market is based from the market survey
conducted. The survey showed a high percentage of respondents coming from the
students with about 78% having the minimum age of 13 years old. Setting a target market
is just one way of identifying what particular group of buyers will respond to the
marketing efforts of the firm. However, the firm will not limit the products to the above-
stated target market in order to cater all people and market segments who just want to
buy the products.
viii
In the research conducted by D&B Hoover on 2015, it was stated that food
manufacturing industry has its competitive advantage. Food consumption, which
depends on population growth, is now in demand. These food products will vary from one
another depending on the efficiency of their operations, such as the proper distribution
and projected cost of products. In addition, food producers strive for continuous
improvement and the move towards automating more processes. In line with this, Emily’s
Native Delicacies will pave the way to survive in the long-run despite of the situations and
challenges that its industry experiences by implementing and executing several identified
strategies.
In order to reach the market, distribution channels are needed in order for the
transactions occur in the market. These distribution channels are stalls in pasalubong
centers, public markets, sari-sari stores, malls such as Royal Supermart, CityMall and
more. However, the firm can still reach the customers directly and vice versa.
Emily’s Native Delicacies will have start-up cost of ₱ 496,224.00 which include the cost for
the acquisition of land where the plant-site will be located, plant-building cost, a vehicle
for delivery purposes, cots of machineries and equipment and registration cost in order
for the business to legally start operating. The first year of operation of the firm will earn
a revenue of ₱ 130,200.00. For the second year, ₱ 255,192.00 will be earned. The
following year would rise up to ₱ 370,028.40, on the third years is expected to increase
by ₱ 536,541.18 and will continually increase with an amount of ₱ 777,984.71. This
increase is because of the estimated increase of sales by 40% on the first and second year
and 45% in the succeeding years. These increases were set to be high in order for the firm
ix
to exert a lot of efforts in reaching this target in order to cover up all the probable
expenses that will be incurred.
Emily’s Native Delicacies does not operate just for profit but also to be a social
enterprise that will solve the problems and needs of the consumers in food consumption.
The first year operation of the business might be tough but the firm will always find a way
to do something about it by exploring the food preferences of the market that will help
them be on the top of the ladder.
x
I. THE COMPANY
This chapter entails a brief information of Emily’s Native Delicacy and its history.
Other than that, Vision and Mission statement, organizational objectives, product and
industry description, and social impact of the aforementioned business are also covered
here.
A. DESCRIPTION
Emily’s Native Delicacy is a local food manufacturing business located in Tagas,
Tangalan, Aklan with DTI #03777720. It has been registered in the Department of Trade
and Industry on October 23, 2015 and is currently mounting to create a great spot in the
food manufacturing industry in Aklan. It aims to promote Filipino native delicacies here in
the province by its exceptional tastes that really match the customers’ standards.
A.1. HISTORY OF THE BUSINESS
In the year 2000, Mrs. Emily Consignado, the owner of the business, was once a
vendor of banana cue in public places such as schools, town halls, and even public
markets. She loves to explore and create a delicacy that has a unique taste. With only
1
P300.00 as a capital, the business establishment started to grow up until now. It is through
the determination and perseverance of her family to survive from poverty and experience
the good quality of life.
In the midst of her business journey, she suffered from a lot of struggles but she
never gave up. She always seeks or opportunities by considering and learning the tastes
of her potential market in order to create and deliver different satisfying native delicacies.
Travelling in different places and countries is her own way of seeking for such
opportunities. Mrs. Consignado always wants to let her customers indulge the good taste
of her native delicacies without limiting its ingredients. However, if she knows that her
delicacies are not suitable for her customers that have health issues, she does not let
them buy it, and just offer them other alternative or choice of native delicacies.
A.2. VISION AND MISSION STATEMENT
The vision and mission statements of an enterprise are its lifeline to sustainability.
These statements establish the enterprise’ purpose of being today and aspirations of
tomorrow. Thus, the proponents of this paper formulated clear vision and mission
statements for Emily’s Native Delicacies.
Vision
Emily’s Native Delicacy envisions to be the one of the preferred Filipino native
delicacies provider that does not just offer delightful products but also promote Filipino
culture.
1
Mission
Emily’s Native Delicacy aspires to globally offer extensive choices of delightful
Filipino native delicacies (2) to all Filipinos and Filipinos at heart (3), with the skills
contributed by its employees (9) in order to strengthen the growth and profitability of the
firm in the long run (5). The firm also anticipates honesty in setting prices for the products
with boundless ingredients (6,7) to maintain its good public image(8) and a good
relationship with its customers (1). With the use of modern technology (4), the firm will
boost their production, distribution and promotion to provide the best that they can only
deliver for its customers.
A. 3. OBJECTIVES
Here are the following objectives of Emily’s Native Delicacies in the span of 5
years.
OBJECTIVE 1: To increase the demand of people in Emily’s Native Delicacies by creating
wide variety of native delicacies
OBJECTIVE 2: To maximize the market for Emily’s Native Delicacies through the use of
social media, word of mouth and other marketing strategies
OBJECTIVE 3: To introduce an affordable but more innovative and delightful native
delicacies
OBJECTIVE 4: To maximize the sales of the business by 40% in the second year and 45%
in the following years
2
B. PRODUCT & INDUSTRY
B.1. PRODUCT DESCRIPTION
Cassava Pudding Polvoron Peanut Butter
Pichi-pichi Halayang Ube
Sapin-sapin
Espasol Biko
Emily’s Native Delicacy offers delightful Filipino native delicacies for the masses,
such as peanut butter, polvoron, cassava pudding, pichi pichi, espasol, halayang ube, biko,
tikoy, sapin sapin and many others. These are results of discovery and innovations of the
firm’s proponent. Aside from that, these products have affordable prices and are not
being limited on its ingredients for it to last for almost 3 days after consumption. For
example, the halayang ube, it is made up of pure purple yam and not food coloring but
only costs P100.00. One example of her innovative products is the Filipino-styled Tikoy.
3
Tikoy is a famous native delicacy of China, however, the owner still managed to create
the Filipino version of it.
For the firm’s most special delicacy which is being highlighted in this paper, the
Sapin sapin, is a thick-layered glutinous rice that has different toppings and fillings such
as cheese, ube and leche flan. This delicacy of any flavour and toppings only costs P210.00
and is good for 6-8 people. These native delicacies that are laborious to make and are
suited for different celebrations are often made two days after order. However, the firm
also offer delicacies that are available and ready for every day purchases.
B.2. INDUSTRY DESCRIPTION
Emily’s Native Delicacy falls under food manufacturing industry. According to
North American Industry Classification System, businesses under food manufacturing
industry process raw materials such as livestock and agricultural products and transform
it into products that are ready for consumption. The food products manufactured in these
establishments are often sold to wholesalers or retailers for distribution to consumers.
Along with D&B Hoovers’ statement, food manufacturing industry has its
competitive advantage. Food consumption, which depends on population growth, is now
in demand. It is already a challenge for such business establishments or companies on
how to maintain their profitability. They will vary from one another depending on the
efficiency of their operations, such as the proper distribution and projected cost of
products. In addition, food producers strive for continuous improvement and the move
towards automating more processes.
4
According to Philippine Statistics Authority, food and beverages sector is one of
the largest contributors within the manufacturing industry and has a part of 10% on the
Philippines GDP and 51.2% of the nominal gross value added of the Philippine
manufacturing industry in 2017.
The food manufacturing industry has been identified by the Philippine
government as a priority sector for attracting foreign investment under special economic
zones, with an average annual growth rate of 8-10%.
As of 2015, the Philippines’ Food and Drug Administration (FDA) accorded around
12,000 food processing establishments nationwide, most of which are owned by single
proprietors.
In the year 2016, the Philippines remains the second fastest in ASEAN in terms of
food manufacturing growth. The Japan External Trade Organization (JETRO) stated that
the Philippines has become a preferred country for Japanese manufacturers given its low
production cost, which is considered as one of the lowest in Asia.
According to Heneghan (2016), food manufacturing industry is facing challenges
now. The rise of the natural and organic products, anti-sugar movement, convenience of
products, dynamic preferences of customers and environment are the major challenges
that are being faced by food manufacturers now that probably affect their sales.
5
C. SOCIAL IMPACT
Unemployment is often associated with having no income which will then lead to
poverty. This also serves as a measure of the economic health of a certain country. Aside
from that, individuals who are unemployed and living in poverty tend to commit crimes.
According to the study in the Journal of Quantitative Criminology in 2016, individuals who
are unemployed for socially undesirable reasons and do not have the drive to seek out
job opportunities are more likely to engage in burglary or robbery. This will then result to
chaos within a country.
In line with this, Emily’s Native Delicacies had paved ways to create employment
for those who need it since its proponent believes that it is one way of giving back what
it is continually receiving to the community.
CREATE EMPLOYMENT
Emily’s Native Delicacies provides employment to unemployed women,
specifically housewives, and out-of-school youth who are living in the province of Aklan.
For the women, they are tasked to sell the firm’s products and gain commission from it.
These housewives were able to have a stable job and income that can sustain their
everyday household expenses. Yet, for the out-of-school youth, are employed as the
washer of the materials that are being used in the production of the firm.
6
II. MARKET STUDY
A. SWOT ANALYSIS
A SWOT analysis determines the strengths and weaknesses within a company, and
outside opportunities and threats. This tool will help Emily’s Native Delicacies be aware
of the positive and negative factors that may have a big impact on the performance of
their business and conduct an effective action towards it.
A.1. SWOT Analysis for Emily’s Native Delicacies
Table 1: SWOT ANALYSIS FOR EMILY'S NATIVE DELICACIES
Strengths Weaknesses Opportunities Threats
 Quality and  Home-based  Increasing  Big

affordable business population of Competitors
products  Incomplete the Philippines  Dynamic food
 Good and poor  Having good preferences
rapport with quality of connections of people
the facilities and networks  Health-
customers  Lack of Human  Opening of conscious
 Made to Resources Boracay Island consumers
order foods  Poor
 Promotes Packaging
Filipino
Culture
 Export
quality
products
7
A.2. SWOT Implication Table of Emily’s Native Delicacies
Table 2: SWOT IMPLICATION TABLE FOR EMILY'S NATIVE DELICACIES
STRENGTHS IMPLICATION
Quality and affordable products Most of the consumers buy products or pay
for services depending on the price that
matches the value it gives. Through this,
Emily’s Native Delicacies can attract more
customers because of its quality and
affordable products that it offers.
Good Rapport with the customers Customers will frequently buy products to
those firms that they have built a good
relationship with. Thus, the good rapport that
Emily’s Native Delicacies has with their
customers will help them maintain and keep
their loyalty and even refer the firm to other
people which will also result to increase in
sales.
Made to order foods There are customers who really like buying
foods that are freshly cooked. With this,
Emily’s Native Delicacies can attract
customers because they offer products that
are not just readily available in a day but also
can be made-to-order which will surely boost
the sales of the firm.
Promotes Filipino Culture The firm promotes Filipino culture in a way of
offering the Filipino Native Delicacies. These
Filipinos or Filipinos at heart who like to eat
these kind of delicacies will be patronizing it
might result to customer loyalty and
expansion of market.
Export Quality Products The firm has the capability of exporting quality
products not just locally but also
internationally. With this, the firm will be able
to gain more sales because of the market
expansion that it created.
WEAKNESSES
Home-based business Most of the customers prefer to buy in a pop
up stores and get their ordered products with
convenience. With this, the firm cannot
anticipate more customers of buying on them
8
because the business is home-based and has
no strategic location.
Incomplete and poor quality of equipment The firm has no enough machines and
equipment that can be used in their
production. As a result, the production of the
products are slow and hassle which lead to
less production number of goods and less
sales.
Lack of Human Resources Emily’s Native Delicacies are having less
workers which results to slow production of
products and slow flow of income.
Poor Packaging Most of the customers consider packaging a
one factor that affect their buying process. As
a small business, the firm do not have a good
packaging that might attract more customers
and gain more sales.
OPPORTUNITIES
Increasing Population of the Philippines Population affects the demand of the
consumers. So, if there is an increasing
population in the Philippines, Emily’s Native
Delicacies can have a wide target market and
increase its sales.
Good Networks Good networks can be a bridge to gain more
customer. If the firm has a good network with
big businesses, they will be able to utilize
them in promoting its products in order to
reach more market and increase its sales.
Boracay Island Opening Boracay Island give opportunities for some
businesses due to the visitors it has during
summer or just typical day. With these,
visitors locally and internationally can have
the access to products being offered by the
firm which might result to increase in sales.
THREATS
Big Competitors Competition is inevitable. If there are big
competitors, customers can have a lot of
alternatives when choosing a good firm that
sell the same product as Emily’s Native
Delicacies. This will then result to lesser sales
because of the customers that chose so buy
products from other firms.
9
Dynamic Food Preferences of Consumers Most of the consumers have dynamic food
preferences. With this, if the firm will not be
able to easily adopt with these changes, they
may be outdated from the food trends which
will affect their sales negatively.
Health-conscious Consumers People nowadays are health-conscious.
Considering that the products of Emily’s
Native Delicacies are made up of sugar, it will
not be easy for the firm to offer these
products to consumer that are health-
conscious.
10
A.3. TOWS Matrix for Emily’s Native Delicacies
Emily’s Native Delicacies came up with strategies through maximizing its strengths
and opportunities and minimizing its weaknesses and threats as it operates.
Table 3: TOWS MATRIX FOR EMILY'S NATIVE DELICACIES
Opportunities Threats
 Increasing population of  Big Competitors
the Philippines  Dynamic food
 Increasing number of preferences of people
tech-savvy consumers  Health-conscious
 Good connections and consumers
networks
 Opening of Boracay
Island
Strengths S-O Strategies S-T Strategies
 Quality and  Build connection with  Produce a good quality

affordable famous business and affordable products
products establishments in with natural ingredients
 Good rapport with Boracay and deal with in order to protect the
the customers them to sell quality and health of the consumers.
 Made to order affordable products to (S1,T3)
foods their business.  Export the product that
 Promotes Filipino (S1,S2,O1,O2) completely symbolizes
Culture  Advertise on social media and promotes Filipino
 Export quality that Emily’s Native Culture that other
products Delicacies offers quality, competitors are not
affordable, and made to doing. (S3,T1)
order products that
promote Filipino Culture.
(S1,S3,S4,O2)
 Export quality products
through the connection
built with famous
business establishments
in Boracay Island. (S5, O3,
O4)
11
Weaknesses W-O Strategies W-T Strategies
 Home-based  Create a physical store  Purchase good quality

business with complete and equipment that will be
 Incomplete and quality equipment on a used in the production of
poor quality of good strategic location Sapin-sapin and be
facilities that will be recognized by technologically advanced
 Lack of Human all consumers and than other big
Resources tourists. (W1,W2,O1,O4) competitors. (W2,T1)
 Poor Packaging  Use a cake-like packaging  Develop a Sapin-sapin
for Sapin-sapin, which is that the consumers will
a cake container with not get loathe if it and is
base and transparent lid fit for health-conscious
that will help the product consumers through
be seen easily and attract adding organic
more customers. ingredients and with its
(W1,O1,O2) attractive packaging
 Hire more skilled workers through the help of
through online hiring hiring skilled employees
that will surely be that will surely eliminate
productive to offer good the competitors.
quality products to (W3,W4,T1,T2,T3)
customers.
(W3,O1,O2,O4)
12
B. COMPETITION
B.1. DIRECT COMPETITORS
The situation in which multiple businesses offer products and services that
are essentially the same results to direct competition. Direct competition contrasts with
indirect competition because direct competition involves two or more businesses that
offer the same products or services but might vary in some aspects such as its flavor,
toppings, and packaging. Many Aklanons sell native delicacies to the market because of
its good taste and its contribution to the craving delight of the consumers.
Table 4: Summary of Direct Competitors of Emily's Native Delicacies
Strengths Weaknesses
Djkohen Sweet Creation  Good packaging of  Expensive pricing of
products products
 Offers varieties of  Unrecognized brand
flavors name
Bong Bong’s  Popular brand  Expensive foods
 Have varieties of goods  Poor product attention
Mang Tinapay  Good strategic location  Poor quality of foods

 Affordable price  Staffs are not
approachable
Felicita’s Delicacies  Good quality foods  Poor strategic location
 Affordable price
13
B.2. INDIRECT COMPETITORS
Indirect competitors are businesses that offer slightly different products and
services, but target the same group of customers with the goal of satisfying customers
with the same needs. These competitors are also known as substitutes.
Table 5: Summary of Indirect Competitors of Emily's Native Delicacies
Strengths Weaknesses
Jeck’s Special  Offers lower price that depends  It has limited
Kakanin exactly on its size variations
 Strong online marketing strategy  Ordinary Packaging
Dimsum Princess  Sought-after by its consumers  Very expensive

 Good strategic location  Common strategy of
 Active chat performance packaging
 Easily distributed to buyers
Yenyen’s  Free from artificial flavourings  Note less brand

Kakanin and  Creativity of presenting the  Low marketing efforts
Karinderia delicacies
 It has 4 flavors
 Excellent packaging
14
B.3. COMPETITIVE ADVANTAGE
Emily’s Native Delicacies is indeed a typical enterprise in a way that it has so many
competitors that sell the same delicacies as them. However, they can still manage to stand
out among other competitors through their product with affordable price, different
variations, and through their gentle treatment and honesty towards their customers.
Emily’s Native Delicacies serves their products with pure natural ingredients and
in this way, it will assure that the health of their customers will not put into harm. Their
enterprise suffered from so many losses because of how their direct and indirect
competitors grow rapidly through time and this loss gave the Emily’s Native Delicacies a
positive mind set to develop their products even more, just like offering different
variations of flavor to provide consumers the food preferences that they aspire.
C. TARGET MARKET
C.1. MARKET ANALYSIS
Emily’s Native Delicacies aims to capture customer value and give delight
to costumers through their very affordable and good quality products, specifically, Sapin-
Sapin. The potential target market of the product will be the people who love native
delicacies. Thus, this target market will be classified depending on their profiles.
I. Demographic Profile
The potential target market will be all people, Filipinos and Filipinos at
heart, whose age ranges from thirteen (13) years old up to an adult age who currently live
in all parts of the Philippines and belonging to the socioeconomic classes D and C with an
15
annual average income of P5,200 – P50,250. This classification is according to National
Statistical Coordination Board (Philippines).
II. Psychographic Profile
Emily’s Native Delicacies aims to satisfy the market who are fond of
eating Filipino Native Delicacies.
Adolescent Eating Habits
According to Nestle Australia, adolescence is the period when a child’s body
changes into that of an adult. Among other things, an adolescent has increased nutrient
needs. It is also a period when teenagers may decide to start dieting and skipping meals.
Peer pressure can affect their eating behaviour and result in either over-eating or under-
eating.
Teens Spending Habits
Since many teenagers have part-time jobs or get an allowance from parents,
they have reached the stage of life where they decide how to spend money. Food items
account for nearly 25 percent of all teen spending, making it their biggest spending
category (Meleen, 2015).
Filipino Religious Beliefs
Our culture is a big product of our great and complex history and is influenced by
most of the people we have interacted with. Filipino culture is unique compared to other
Asian countries, and beliefs apply every day in the life of the Filipinos and reveal how rich
16
and blessed the culture the people have. According to Alvarez (2016), Filipinos serve
glutinous rice delicacies to make sure that your wealth stays intact and your family will
“stick” harmoniously together throughout the year.
C.2. RESULTS OF QUANTITATIVE SURVEY
I. On Consumer Awareness
Awareness on Filipino Native Delicacies Specific Native Delicacies that they are aware of.
All of the 30 respondents are aware of Filipino Native Delicacies, specifically, Sapin- sapin,
biko, pudding, espasol/baye-baye garnering 70%, 13% , 13%, and 4% respectively.
17
II. On Consumer Behaviour
Strongly Agree
Agree
Undecided
Disagree
Strongly Disagree
I buy Filipino Native Delicacies because I am a Filipino.
70% of the total respondents just agreed that they buy Filipino Native Delicacies because
they are Filipinos, while only 3% of them strongly disagreed. On the other hand, 7% of
them are both undecided and disagree and 13% strongly agreed with it.
Strongly Agree
Agree
Undecided
Disagree
Strongly Disagree
I buy Filipino Native Delicacies because I promote Filipino Culture.
20% of the respondents strongly agreed that they buy Filipino Native Delicacies because
they promote Filipino culture, 57% just agreed, 20% of them were undecided, and 3% of
the respondents strongly disagreed.
18
Strongly Agree
Agree
Undecided
Disagree
Strongly Disagree
I buy Filipino Native Delicacies because we used to serve it during special occasions.
Only 3% of the respondents strongly agreed that they buy Filipino Native Delicacies
because they used to serve it during holidays or special occasion while 60% respondents
just agreed. Meanwhile, 27% respondents are undecided and 7% really disagreed. Lastly,
3% of the respondents strongly disagreed that they buy and serve Filipino Native
Delicacies during holidays or special occasions.
Strongly Agree
Agree
Undecided
Disagree
Strongly Disagree
I buy Filipino Native Delicacies because of my religious belief.
13% of the total respondents strongly disagreed that they buy Filipino Native Delicacies
because of their beliefs while 38% of them really agreed about it.
19
Strongly Agree
Agree
Undecided
Disagree
Strongly Disagree
I buy Filipino Native Delicacies because of its creative packaging.
10% of the total respondents strongly agree that they buy Filipino Native Delicacies
because of its creative packaging while those who agree are 58% of the respondents.
Meanwhile, 23% are those respondents who are undecided and 7% respondents are
those who disagreed. Lastly, 3% of the respondents strongly disagreed about it.
Strongly Agree
Agree
Undecided
Disagree
Strongly Disagree
I buy Filipino Native Delicacies because it is affordable.
20% of the total respondents strongly agree that they buy Filipino Native Delicacies
because it is affordable while 63% of them just agree. 10% are those respondents who
are undecided and 7% of the total respondents disagreed.
20
Strongly Agree
Agree
Undecided
Disagree
Strongly Disagree
I buy Filipino Native Delicacies because of its colorful designs.
It shows that 17% of the respondents strongly agree that they buy Filipino Native
Delicacies because it has colourful designs while 50% of them just agreed. 23% of the total
respondents are undecided while 10% just disagreed.
Strongly Agree
Agree
Undecided
Disagree
Strongly Disagree
I buy Filipino Native Delicacies because of its quality taste.
17% of the total respondents strongly agree, 53% of them agree and 30% of them are
undecided that they buy Filipino Native Delicacies because of its quality taste.
21
III. Key Drivers
Taste
Freshness
Uniqueness of Flavor
Cost
Belief
Design
In identifying Sapin-sapin as the best Filipino Native Delicacy that is being served in all
special occasions, the respondents considered some factors. 43% of the total respondents
considered its taste, 3% has considered its freshness and another 3% for its cost.
However, 10% of the total respondents considered its uniqueness of the sapin sapin, 7%
on its design, and 34% of them considered their belief in serving Sapin-sapin.
IV. Buying Intention
Based on the survey that was conducted, 22 respondents are willing to spend P151
- P250 for a special flavoured and filled Sapin-Sapin, but only 8 are willing for P100 – P150.
22
V. Sources of General Information
Word of Mouth
Self
Others
The respondents were asked if how they do usually discover a store that
sells Filipino Native Delicacies. As a result, 37% of the total respondents discovered the
particular store of Filipino Native Delicacies by word of mouth, while 60% of them
discovered it through social media or online. Only 3% of the total respondents discovered
it by seeing its physical store unexpectedly.
23
VI. Influencers
Parents
Self
Others
43% of the total respondents answered that their parents are the ones who
influence them in purchasing Filipino Native Delicacies, while 14% of them purchase on
their own. Yet, 43% of them stated that they purchase because of their friends, co-
workers and etc.
D. MARKETING STRATEGY
D.1. OVER-ALL STRATEGY
Through the market research that was conducted, strategies were identified that
will help the Emily’s Native Delicacies stand out among other competitors.
D.1.1 PRODUCT STRATEGY
In order for the firm to be on the top of the ladder, the firm must make sure to
offer a product that is definitely unique in the market. In line with this, strategies must
be developed for the product.
24
1. Product Description
a. Product Features
Emily’s Native Delicacies’ very own Sapin-sapin comes with three different
toppings and fillings namely ube, cheese and leche flan.
b. Product Materials/Ingredients
The product composes of 80% natural ingredients. There is only minimal
amount of artificial ingredients that are being used. The product’s perishability will last
longer as long as it is not being limited by its ingredients and if it is not being chilled.
Emily’s Native Delicacies’ Sapin-sapin is made from glutinous rice flour, sugar, coconut
milk, condensed milk and the natural flavors and fillings such as ube, cheese and leche
flan.
c. Product Positioning
One ambition of product positioning is to develop Emily’s Native Delicacies’
marketing strategy and provide customers the food they crave on due to their changing
taste preferences. Its goal is to put in the minds of the customers that their product can
still offer innovative delicacies and stand out even though the product that they are
offering is identical in the perspective of the market.
Emily’s Native Delicacies does not just offer one flavour but also different
variations of Sapin-sapin to provide the taste that the customers desired to have. Hearing
the word Sapin-sapin as an example of native delicacies of the Philippines can be thought
25
of one of the simplest foods that Filipinos serve, and in this way Emily’s Native Delicacies
can manage that kind of situation just like engaging in different places and develop a good
food taste for the people who live there. For the packaging, it aims to innovate it to attract
and persuade the customers that their product is well-equipped and consummate.
 Online marketing strategy
Emily’s Native Delicacies is enhancing and considering the use of
technology because of the concerns that they have in order to provide and
know the insights of their buyers.
 Value-added pricing
The goal of Emily’s Native Delicacies is to create a customer-value pricing.
It uses market-penetration pricing as one way to attract the buyers that their
product is affordable. This strategy is somehow a tricky strategy but this is
the best way to start-up a small business and ear
d. Product Differentiation
Emily’s Native Delicacies always aim to be unique among its competitors.
Its differentiation distinguishes the difference of its products from others, to make
it more attractive to its particular target market. The product differentiation
factors are the following;
 It is cooked the day that is needed so it will be freshly served and
distributed to the buyers.
26
 Its unique packaging can attract other customers.
 It has different fillings and toppings. (ube, cheese and leche flan)
 It made up of 80% natural ingredients.
 Majority of the customers perceive that the product price is
proportional to the product value.
 Door-to-door delivery is accepted.
 “Design your own” Sapin-sapin
 Ingredients are not being limited by the firm.
e. Product Packaging
A creative packaging can definitely affect the willingness of the target
market to buy the product. In line with this, the firm will be using a packaging that
has a transparent lid and a base. This will attract the consumers to buy the product
because it is visible to the consumers.
D.1.2 PRICING STRATEGY
Pricing produces revenue for a certain company and symbolizes the market share
and profitability of a business. For Emily’s Native Delicacies, the pricing strategy that will
be used for Sapin-sapin is the Market Penetration Strategy. This strategy is setting a low
27
price for a new product with its different flavours. Despite of its low price, the demand of
the target market for Sapin-sapin will still increase because the customer perceived value
for this product will match its low price. The price that will be set for a 9-inch Sapin-sapin
in different flavors is P210.00. This is according to what the target market has suggested
on the market survey that was conducted.
D.1.3 PLACE STRATEGY
Emily’s Native Delicacies will be utilizing two distribution strategies namely, Direct
Selling and Selling through Retailers. These strategies will help the firm’s products to be
easily accessed by the target customers.
Direct Selling
If the product supply is limited or is only sold in seasons, direct selling can be a
good starting point (“Marketing Mix – Place (Distribution Strategy”, April 22, 2015). It is
advantageous for Emily’s Native Delicacies because selling their products directly can
capture value and can easily adapt to the changes in the market as they interact directly
with the customers. The firm’s distribution methods may include, but are not limited to,
door-to-door, and retail through physical store.
Selling Through a Retailer
In order for the firm to have a wider distribution for Sapin-sapin, they can sell it
through a third party, either a retailer or wholesaler, who will then resell the product to
their customers (“Marketing Mix – Place (Distribution Strategy”, April 22, 2015). This
distribution strategy can reduce the pressure of Emily’s Native Delicacies in a distribution
28
system and the storage space required for product stocks. Conditions such as the
resellers’ standard pricing and upholding the brand of the firm.
D.1.4 PROMOTIONS STRATEGY
In order to spread awareness about the products of Emily’s Native Delicacies, push
marketing and pull marketing will be used. These marketing strategies will definitely
contribute to the productivity of the firm.
1. Push Marketing Strategies
A push promotional strategy works to create customer demand for your product
or service through promotion (Magloff, 2018). Push strategies that will be utilizing by the
firm are the following;
29
Trade Fairs
People nowadays, especially tourists and balikbayans, like to attend and witness
trade fairs where firms expose their products or services to the entire market.
a. Objective
This strategy aims to increase the popularity and competitiveness of the
firm through its product.
b. Target Audience
The target audience of this strategy will be those balikbayans or the
tourists and the people who will visit the exhibit and love to buys products for pasalubong
and consumption.
30
c. Execution
Be updated and join fair trades during festivals or other important events
that massive number of people come. Giving free taste of the product to the customer
will help them attract more customers. Aside from that, flyers will also be distributed
during the exhibit.
Radio Advertisements
Some people today spend most of their time listening to radio for leisure. This
promotional strategy is traditional yet effective especially to those who are staying at
home the whole day. It is now high time for Emily’s Native Delicacies to spread awareness
about its product.
a. Objective
This strategy aims to spread awareness to other people about the firm’s
Sapin-sapin with different flavors
b. Target Audience
The target audience of this strategy will be the adults who are fond of
listening to the radio.
c. Execution
Let radio stations advertise the firm and its product by paying a fee for a
year or more in order to maximize the market.
31
2. Pull Marketing Strategies
A pull promotional strategy uses advertising to build up customer demand for a
product or service (Magloff, 2018). Push strategy that will be utilized by the firm is:
Online Advertisement
Emily’s Native Delicacy

@end’bestofall
Website in Philippines
Consumer nowadays are tech-savvy or are more socializing in social media. The
vast improvement of technology has been an important factor for the effectiveness of
business promotion.
a. Objective
This strategy aims to maximize the potential market through spreading the word
about Emily’s Native Delicacies’ product without allocating too much money for
promotion.
b. Target Audience
32
The target audience of this strategy will be the tech-savvy consumer who
are fond of eating native delicacies.
c. Execution
Emily’s Native Delicacies will create a Facebook page that will help them
introduce their product to the online market and pay a fee to boost its post in order to
reach many people. Aside from that, the firm must get involved in the Aklan Guide App
and pay a fee in order to be recognized by other tech-savvy consumers or even tourists
who plan to travel in Aklan and look for pasalubong products.
Special Flavored Sapin-Sapin

15h ago by Emily’s Native Delicacy
Indulge the taste of our Sapin-sapin in

different fillings and flavors!
Lutong Pinoy!
33
D.2. PROPOSED BUDGET AND ALLOCATION
The proposed budget of Emily’s Native Delicacies for its promotions is P32,580.00
and is good for a year. This might be costly but this will completely create a setback from
its competitors and for the firms’ popularity among other competitors. The figures below
show the budget allocated for each strategy.
Trade Fair (once a year)

Rent Fee P 1500.00
Designs(Native) 1,000.00
Free Taste Sapin-Sapin (bite size) 1,080.00
Flyers and posters(for any place) 500.00
Subtotal P 4,080.00
Table 6: Proposed Budget for Trade Fair
Radio Advertisements
Short Radio Ad (1 year) P 10,000.00
Subtotal P 10,000.00
Table 7: Proposed Budget for Radio Advertisements
Online Marketing
“Boost Post” Feature of Facebook (2 months) P 10,000.00
Registration Fee for the App P 1,500.00
Subtotal P 11,500.00
Table 8: Proposed Budget for Online Advertising
34
Budget for Promotions
Trade Fair P 4,080.00
Radio Advertisement 10,000.00
Online Marketing 11,500.00
Other Marketing Collaterals 7,000.00
Total P 32,580.00
Table 9: Summary of Promotions Budget
E. SALES PLAN
E.1. TARGET SALES
Majority all of the Filipinos are aware of Filipino Native Delicacies and consider
Sapin-sapin as one of them. Through that, Emily’s Native Delicacies has a big potential
market and will have no hard time to earn sales. Sapin-sapin of any toppings and fillings
with good packaging costs P210.00. In the year 2019, it is expected to hit the target sales
of 620 9” Sapin-Sapin in different flavors which will give sales revenue of P130,200. This
revenue sales will increase by 40% for the second year and 45% for the following years.
35
E.2. SALES FORECAST
The table below shows the projected sales growth of Emily’s Native Delicacies’
Sapin-sapin. It is evident that every year, the sales of the firm increases. 40% increase in
year 2019 and 45% in the following years.
Table 10: Annual Projected Gross Production and Sales for Emily's Native Delicacies
Emily’s Native Delicacies

Annual Projected Sales Growth
For the year ended December 31
2018 2019 2020 2021 2022 2023 2024
Gross
Production
(unit sales)
Sapin- 210 294 412 597 865 1255
sapin
(Ube)
Sapin- 200 280 392 568 824 1195
sapin
(Cheese)
Sapin- 210 294 412 597 865 1255
sapin
(Leche
Plan)
Total Sales 324 620 868 1215 1762 2555 3705
Volume
Selling ₱210.00 ₱210.00 ₱210.00 ₱210.00 ₱210.00 ₱210.00 ₱210.00
Price
(in peso)
Total Sales ₱ ₱ ₱ ₱ ₱ ₱ ₱
68,040.00 130,200.00 182,280.00 255,192.00 370,028.40 536,541.18 777,984.71
36
E.3. REVENUE TRENDS
The revenue of Emily’s Native Delicacies will be increasing every year. For 2019,
there is a 40% increase from the year 2018. For the following years, it has increased to
45%. It is evident below that Emily’s Native Delicacies’ revenue for Sapin-sapin is
increasing through time. The figure below shows the forecasted revenue of the firm.
P 800,000
P 600,000
P 300,000
Revenue Trends
P 100,000
1 2 3 4 5
Figure 1: Revenue Trends of Emily's Native Delicacies
F. COMPETITIVE PLAN
This section entails the competitive strategies of The Emily’s Native Delicacies in
order to develop and innovate the same old features of the product and business, and in
this way, it will help the firm to attract the target market and stand out among the big
competitors.
37
F.1. SHORT TERM COMPETITIVE PLAN
Nowadays, physical advertising of Emily’s Native Delicacies will never be
enough to persuade their customers that their product is worth of buying. Therefore,
Emily’s Native Delicacies will take advantage of the social media and have broad effort in
online marketing. As a starting point, Emily’s Native Delicacies will use its official Facebook
page as its central online shop. Online selling is a time saver strategy to communicate with
other people especially to the consumers. It is hassle-free for them to communicate with
the main Facebook page of the Emily’s Native Delicacies on what they desire to order and
what way of delivering it to them. This is the major advantage of Emily’s Native Delicacies
because their Facebook page is active and responds within an hour. Their enterprise is
also known in some part of Aklan just like in the Island of Boracay.
F.2. LONG-TERM COMPETITIVE PLAN
Emily’s Native Delicacies wants to be at the top of the ladder still for the next 5-
years. In order to achieve this, the firm will be implementing a long-term competitive plan
that will surely help on its sustainability. Marketing strategies such as word of mouth and
utilization of social media networks for promotions will still be applied.
Word of mouth
Word of mouth has been useful all throughout in promoting products. This
will be able to contribute in increasing brand awareness and product promotion. One
strategy is to assign people in a specific place in which people are more likely evident such
as markets, malls and stalls. Emily’s Native Delicacies can use this strength because of the
38
connection that they have with other market. The firm will allocate time for Research and
Development for their good strategic location for their store and stalls.
Social Media
Social media is the best medium for advertising the product to the masses
or the target market of firm. The firm can also give a good interaction and communication
to its consumer because of the social media and the tech-savvy customers.
Aside from these, the firm will still innovate and develop new artificial-free and
healthy flavors Sapin-sapin that will surely be available for customers, satisfy their needs
and increase their demands for it. The firm will always seek for the needs and problems
of the customers towards the product and solve it and create it as opportunities to survive
in the long-run.
G. RESEARCH AND DEVELOPMENT
Research and Development plays an important role in the success of execution of
the firm’s marketing strategies. Aside from that, it is high time for Emily’s Native
Delicacies to step up the game as they innovate their product that will be sought-after by
the target market.
Furthermore, the firm is completely open for more research for future
development and enhancement of their Sapin-sapin. The said R&D will enhance and
expand the firm’s current strengths and exploit its weaknesses into great opportunities
that will eliminate the threats that may arouse.
39
However, R&D may be costly for the firm to allocate their money and they will be
needing assistance from the government. The firm belongs to MSMEs and this will
probably help them in the product development and enhancement.
40
III. TECHNICAL STUDY
In order to satisfy the market through the product, it must be accessible to them.
In detail, the production process of Emily’s Native Delicacy’ Sapin-sapin will be discussed.
Moreover, the projected plant capacity and growth, proposed operations, proposed
location and the firm’s risk assessment analysis will also be covered here.
A. PRODUCT DESCRIPTION
Emily’s Native Delicacy offers delightful Filipino native delicacies for the masses,
such as peanut butter, polvoron, cassava pudding, pichi pichi, espasol, halayang ube, biko,
tikoy, sapin sapin and many others. For their Sapin-sapin with different fillings, it is not
limited in ingredients that is why if it is now chilled, it lasts after three days of
consumption.
Sapin-sapin is a thick-layered glutinous rice that comes with three different fillings
namely, cheese, ube halaya and leche flan. To obtain and indulge with this 9” delicacy, it
costs P210.00. This is already good for six (6) – eight (8) people and other special
occasions.
Indeed, the firm’s offerings are not just to satisfy the customer but also promote
the Filipino Culture and feel the Filipino vibe as they eat these native delicacies.
41
B. PRODUCTION PROCESS
In manufacturing business, it follows detailed procedure to maintain the
quality of the product. This section will discuss the materials and equipment needed and
the step by step process on how to make Emily’s Native Delicacies’ Sapin-sapin.
B.1. MATERIALS AND EQUIPMENT
Equipment Description
Name
A food steamer is a kitchen appliance
used to cook or prepare various foods
with steam heat by means of holding the
food in a closed vessel reducing steam
escape. The steamer is made to position
Heavy Duty foods above, not in, water that is boiling
Steamer or hot enough to produce steam to cook
foods with a moist hot air. Steaming
enables foods to keep their natural
flavor, color, shape, and nutritious value
better than when boiled or simmered in
water. It is also a method that often
enhances the texture of the food being
steamed.
A wet rice grinder is a machine that is

Wet Rice being used to grind rice with small
Grinder amount of water. This method is being
performed by the firm in order to
transform the rice into liquid.
42
A portable hand mixer is an electric
handheld mixing and blending tool that
Electric Mixer has two removable metal beaters and
variable speeds. It also has additional
accessories such as a whisk. A hand mixer
is a basic house ware essential for mixing,
blending, whipping and beating.
A cake pan is a metal container that you

Cake Pans bake a cake in. It is used by Emily’s Native
Delicacies to shape the Sapin-sapin in a
circle form.
Measuring Cups It is a kitchen tool used by Emily’s Native

and Spoons Delicacies in order to hold a particular
amount of ingredients used in the
production of Sapin-sapin. It is a
measuring tool that is usually used in
cooking.
Spatula is a kitchen tool that has a long

handle and short, soft blade that is used
Spatula especially for mixing, spreading, and even
lift and flip food items such as pancakes.
Emily’s Native Delicacies uses this for
partial mixture of ingredients.
Mixer Bowl It is a deep bowl that is particularly well

suited for mixing ingredients together in.
These come in many materials, such as
stainless steel, ceramic, glass, and plastic.
This is used by Emily’s Native Delicacies
to further mix the ingredients.
43
Food Strainer It is a kitchen device that is most used not
just to strain liquids away from other
ingredients but also to occasionally sift
fine ingredients away from larger
ingredients.
These are thin sheets of foil used to wrap

Aluminium Foil food. It is really helpful and safer than the
use of cling wrap, in order for the Sapin-
sapin to not stick with the pan.
Cake Dome It is a transparent container with base

Plastic and lid. It is a good strategy for Emily’s
Container Native Delicacies to use this container for
packaging in order to attract and be easily
seen by the customers.
Ribbon is a thin band of material, typically

cloth but also plastic or sometimes metal,
Ribbon used primarily as decorative binding and
tying. It is the best way to add a little
elegance, fun, and flair to your gift
wrapping or packaging for Emily’s Native
Delicacies’ Sapin-sapin.
Table 11: Summary Table of Materials and Equipment of Emily's Native Delicacies
44
B.2. PROCESS
Step
no. Image Procedure
Prepare the rice for grinding.
Rinse the 2.4 kilos of glutinous rice in the

water for 2 hours in 3 liters of water. This
method helps in having a clumps-free
mixture after grinding.
Prepare the 9” cake pan.
While waiting for the rice, prepare the cake

pan and cover it with aluminium foil.
Vegetable oil must be filled around the foil-
covered cake pan to avoid sticking of rice.
Grind the glutinous rice.
3 After waiting for almost 2 hours, turn on

the grinder and put the rice in it and add
little amount of water in order to have
watery substance of grind rice.
45
4 Mix the dry ingredient with the grind
watery glutinous rice.
Add 1.25 kilos of brown sugar and mix it

well to melt the sugar.
5 Strain the mixture to prevent clumps.
As the grinded watery glutinous rice is

being mixed, make sure that it is clumps
free through straining it to have a fine
mixture.
6 Add food coloring. (optional)
After mixing the dry ingredient, food

coloring will then be poured out and mixed
in order to come up with different colors.
7 Put the complete mixture to the cake pan.
After mixing everything, it is now time to

put 1 cup of mixture into the cake pan in
order to start the first layer. The
measurement of the mixture depends on
how many layers or how thick is the layer
of the desired Sapin-sapin.
46
8 Prepare the steamer.
With the current absence of heavy duty

steamer, the firm uses the traditional way
of steaming. It is through their personalized
steamer that cater 12 9” cake pans.
The traditional way is heating the cooking

pot until it boils. 3 liters of water must be
put to boil and put the steamer after.
Steam the mixture.
9 While waiting for strong boiling, the cake

pans with mixture can now be put on the
steamer. It will take 15 minutes for every
layer that is being produced before it gets
cooked.
Put your desired fillings.
In order to know if it is cooked, you must

stitch it with a toothpick and it must not
10 stick with it. If it is now cooked, the fillings
can already be added.
11 Add the second layer.
Put another 1 cup mixture and steam it

again for 15 minutes. You can add several
layers depending on how thick you want.
47
Put the toppings. (optional)
12 If you are done with the layers, you can

now put topping above your Sapin-sapin to
make it more attractive and indulging.
13 COOKED PRODUCT
EMILY’S NATIVE DELICACIES’ SAPIN-SAPIN
Table 12: Procedures in Cooking Sapin-sapin
48
B.3. PROCESS FLOWCHART
OPERATION
TRANSPORT
STORAGE
DELAY
INSPECT
STEP DESCRIPTION OF PROCESS TIME
Prepare the materials and 8 minutes

1 ingredients to be used.
Bring the glutinous rice to 5 minutes
2 the mixing area.
Rinse the glutinous rice in a 1-2 hours
3 3-liter water.
4 Transfer the rinsed glutinous 2 minutes

rice to the grinding station.
Grind the glutinous rice with 10 minutes
5 water.
6 Transfer the ground rice to 2 minutes

the mixing area.
Put the ground glutinous 3 minutes

7 rice in a mixer bowl.
Add the dry ingredients with 3 minutes

8 the grind glutinous rice and
mix it.
Head Cook checks the 5 minutes
9 mixing process.
Strain the mixture. 8 minutes

10
Put the mixture into the 5 minutes
11 cake pans. (1st layer- 1 cup
of mixture per pan)
Bring the pans containing 2 minutes
12 the mixture to the steaming
section.
Steam the mixture. 15 minutes
13
49
Adding of fillings. 5 minutes
14
Adding of another 1 cup of 8 minutes

15 mixture for the second layer.
Putting back cake pan to the 2 minutes

16 steaming station.
Steam the mixture. 15 minutes

17
Put the desired toppings. 1 minute

18
Head cook checks the 5 minutes

19 steamed Sapin-sapin
Cooling 10 minutes
20
Transfer the Sapin-sapin to 2 minutes

21 the packaging area
22 Packaging 10 – 20 minutes
Head Cook monitors the 5 minutes

23 packaging process
Labelling 8 minutes
24
Total Time (max) 271 minutes

Table 13: Process Flowchart of Emily's Native Delicacies' Sapin-sapin Production
50
C. PROJECTED PLANT CAPACITY AND GROWTH
This section of the paper entails the primary raw materials for Emily’s Native
Delicacies production of Sapin-sapin. Other than that, supply management, plant design
and the proper waste disposal will also be discussed here in order to create a good impact
on the firm’s operations and services.
C.1. RAW MATERIALS
The main goal of Emily’s Native Delicacy is to bring the Filipino Culture in each
native delicacies they offer with its indulging taste. Sapin-sapin is a layered glutinous rice
and is considered to be a dessert in Philippine cuisine. It is made from glutinous rice that
makes the product as a whole, sugar to add sweetness, small amount of water to become
sticky, and coloring with different sprinkles on top.
In making the product, the quality must match its cost. Yet, the target market must
perceive that what they offer has the best quality ingredients. The sources of supplies of
Emily’s Native Delicacies come from their trusted market supplier but for some instances,
they must have to take in consideration of the availability of their raw materials as their
suppliers run out of stocks. Thus, for an ease transaction of supplies, they set schedules
and agreement among their suppliers to make an order of raw materials a month before
its use.
51
Ingredients Description
It is a type of rice, which is cultivated
mostly in Asian countries. Glutinous rice
is also known as “sticky rice” because of
Glutinous Rice its consistency when cooked. It is often
used to produce different sticky native
delicacies or desserts for Filipinos
(www.panlasang pinoy.com.)
Brown sugar is used very similarly to

granulated white sugar but it provides a
touch of extra flavour. Common uses of
Brown Sugar this includes sweetening baked goods,
beverages, sauces, and marinades
(Moncel, 2017).
It is a liquid substance added with

Water glutinous rice in order to form a wet
grinded rice.
It is any of various liquid fats derived

Vegetable Oil from the fruits or seeds of plants, used
in food products to avoid the sticking of
particles
(https://www.yourdictionary.com/vege
table-oil).
Also called as color additive, is any dye,

Food Coloring pigment or substance that imparts color
when it is added to food or drink.
Fillings of Sapin-sapin include cheese,

Fillings leche flan and ube halaya.
Table 14: Summary Table of Raw Materials Used in the Sapin-sapin Production of Emily's Native
Delicacies
52
C.2. LABOR AND SKILLS REQUIREMENTS
Emily’s Native Delicacies aims to improve and provide stable source of income
for the out of school youth and unemployed community of Tangalan, Aklan who will
work with passion and full of commitment to Emily’s Native Delicacies. Stated below are
the labor requirements in the production process.
Utility Personnel
A utility worker must maintain a clean work area at all times. Utility
workers are also responsible for cleaning the worksite, in kitchen area, inside the
office and also the plant itself. A utility worker is also responsible in making sure
of the cleanliness of kitchen utensils, equipment and dishes. Emily’s Native
Delicacies also needs these utility personnel to repair or replace the broken
equipment.
Head Cook
A person who checks the freshness of food and ingredients of Sapin-sapin.
He or she also supervises and coordinates with the activities of cook and other
food preparation workers. The head cook also develops recipes and determines
how to present the Sapin-sapin of Emily’s Native Delicacies. Other than that, they
are also assigned in the uniform serving sizes of Sapin-sapin and follows and
monitors the sanitation practices and kitchen safety standards.
53
Cook
The cooks are responsible for preparing and cooking the firm’s product,
Sapin-sapin. Moreover, managing food stations, cleaning the kitchen, and
helping the head cook are also their responsibilities.
Delivery Personnel
A delivery personnel transports the products of Emily’s Native Delicacies
to the customers or to the resellers of the Sapin-sapin product. He or she also
delivers wholesale or retail orders in all parts of Aklan that are easy to reach out.
Packer
A packer’s duty is to make sure that the Emily’s Native Delicacies Sapin-sapin is
weighed and packed according to its 9” size. They are also responsible on putting the
finished products in the storage room.
Slicer
While the Sapin-sapin is still hot after its hour of cooking, the slicer’s responsibility
is to wait for the Sapin-sapin to be warm. The slicer will then cut the product into pieces
depending on the desired number of slices the customer wants to be. A slicer’s doing is
just an easy task and does not eat too much time that is why they can help the packers in
packing the Sapin-sapin.
54
C.3. PLANT DESIGN
Figure 2: Plant
Plant Design
Layout on Two-Dimensional
in Two Dimensional
The figure above shows the proposed plant layout for Emily’s Native Delicacies.
The processing place has an area of 10x8 m (80m) which includes an office and the
processing area. The office has a receiving area and even office room reports, meetings
and applying a job will be done here. Meanwhile, in processing area, all the processes
involved in producing Sapin-sapin including the production and packaging process,
storage and even the display of the cooked product. The rest rooms for visitors, customers
and locker rooms for employees is separated from this plant designs because it will be
situated beside the office with its own layout.
55
Furthermore, in the office area, customers can have a transaction and buy the
products available for sale. They will also be given a list of products that are currently
available and are can have a made-to order transactions.
C.4. WASTE DISPOSAL
Emily’s Native Delicacies should have a proper waste disposal in their plant to
prevent contamination of their product to infectious organisms. In this manner, presence
of garbage bins with labels for proper segregation of wastes will be used. The garbage
bins come in three different labels such as Biodegradable, Non-Biodegradable, and
Recyclable wastes. Biodegradable waste will be utilized for composting and use it as a
fertilizer for plants. For non-biodegradable wastes, these will be distributed or picked up
by the municipal grab collector in order to maintain cleanliness around the establishment.
Other than that, recyclable wastes will be used and converted by the firm in designing the
surroundings in the most creative way.
In addition, the firm will be partnering with registered Agriculturists and offer the
perished Sapin-sapin to them. These perished products will undergo experimentation in
order to convert it into fertilizers which they can use or sell to other people.
D. PROPOSED OPERATIONS
D.1. INVENTORY MANAGEMENT
Inventory Management involves managing products and raw materials to
completely utilize it. The excess of the product can really affect the firm’s overall financial
stability that is why inventory is considered as an important factor. The possibility of
56
surplus production of products must take into consideration in order to be proactive of
what to do if that will happen.
Periodic Inventory System – FIFO Method (First In, First Out)
This system will be applied to some products including the polvoron, peanut
butter and etc. of the Emily’s Native Delicacies. For products that are needed to be
consumed after order, especially Sapin-sapin, the inventory system will not ultimately
operate.
Considering that the Sapin-sapin lasts after 3 days of consumption if not being
chilled, it is not advisable to stock it. It must be made to order in order to prevent its
perishability.
57
D.2. SUPPLY CHAIN MANAGEMENT
Suppliers Manufacturer/Distributor Intermediaries Customer

s
C
U
Supplier
Reseller 1
S
Reseller 2
Supplier T
Reseller 3
Supplier
O
Reseller 4
M
Emergency
E
Supplier
Figure 3: Supply Chain Management of Emily's Native Delicacies R
S
As what the figure shows, Emily’s Native Delicacies will purchase the raw
materials, such as glutinous rice, sugar, toppings, vegetable oil, food coloring and etc., on
the trusted sources which are the suppliers. There will be some instances that there will
be shortages of needed raw materials in the stated above suppliers, so firm will find some
alternatives and get the supplies from emergency suppliers in order to sustain the needed
ingredients for the production. The firm will be delivering the products to its re-sellers
and let them distribute it to the customers. However, the firm can directly reach out the
customers by going to them and distribute the products. The customers can also reach
out the products without the re-sellers.
58
D.3. QUALITY MANAGEMENT
In the case of Emily’s Native Delicacies, the owner will be the manager who inspect
all the operations of the enterprise. Emily’s Native Delicacies will follow the quality
control framework namely acceptance sampling, process control and continuous
improvement.
Acceptance Sampling
Acceptance sampling is the process of monitoring before and after the production.
It is very important to ensure the quality and quantity of every product of Emily’s Native
Delicacies. This period involves the following:
1.) Check if the raw materials are sufficient for the production in a day.
2). Examining if the raw materials are scratch-free and do not reach the expiration date
3). Checking if the raw materials are fully organized for the production.
4). Inspect the temperature of the steamer if it is in proper level. After the Sapin-sapin
are produced, the plant personnel will inspect the weight and size of every Sapin-sapin.
The Sapin- sapin must be in packaging size of 9 inches. So, the plant personnel must make
sure if this is properly followed.
Process Control
Process control will take place when there is a needed adjustment for the
production. If the product needs some improvement in flavors during the production, it
must undergo in multiple samples to catch the desirable flavour, texture, and
59
presentation of it that can help the best production of Sapin-sapin. If the flavour is not
accepted in the market, the firm must find a way to improve it or solve it. However, if it
gives a good and big demand in the market, the firm will continue the production.
Moreover, if the market wants something new in the product, the firm is ready to hear
their suggestions and create it for them, but it will still undergo taste sampling whether
or not the entire target market will like it or not.
Continuous Improvement
Emily’s Native Delicacies will always discover a new way to improve its products
and competitiveness because there can be a lot of factors that can affect the firm’s
operations negatively. In order to minimize the incommodity, innovation is really needed.
Continuous improvement involves the use of (PDSA) Plan-Do-Study-Act, which is also
known as Shewart Cycle.
In planning, the person involved in this process should organize a plan regarding
the improvement of the Sapin-sapin. Furthermore, it also includes the possible threats in
the future that could affect the firm and then formulate some alternative solutions to
avoid this threat. It is also better to have more alternative solutions since there is a
chance that it might not be effective in maintaining the sustainability of the enterprise.
The second stage is the Do Phase in which you are actually doing those alternative
plans. It is putting your plans into actions in order to address some threats or
incommodity.
60
The third stage will be the Study Stage wherein there is an evaluation and further
tests to determine if those proposed solutions are very efficient, effective and feasible for
the firm.
The last phase will be the Act Stage in which the manager will make a decision on
what solution to be used to improve the enterprise and minimize threats.
d. Working Conditions
As part of the sales forecast, 40-45% increase in sales for the second year and
the succeeding years will be generated from Sapin-sapin. In order to achieve this, it is
important to provide a better and comfortable workplace for the employees of Emily’s
Native Delicacies. Employees are the main people in the business who help the enterprise
to achieve its goals and objectives. They are considered to be the people behind the
success of every institution. If they are not comfortable with their workplace, there is a
tendency that they will not be that productive in the operations of the firm.
Thermal Comfort and Temperature
The whole building is going to have 7 windows. There will be 2 windows in the
office, two in the kitchen, and three windows in the manufacturing area. The main reason
why the firm placed these windows in their respective areas is to have an access to natural
light, air and temperature from the environment.
61
Access to nature and view
Emily’s Native Delicacies believes that seeing a nice view of nature will give a good
mood and ambiance to their employees in their workplace. Moreover, as the market
perceive and know that Emily’s Native Delicacies provides a Filipino native products, they
must have an eco-friendly and Filipino atmosphere that can symbolize their business.
Color
The colour of an object has a big impact towards the mood of a person. If a person
can see dark colors like red and black, it may give the impression of being aggressive,
while having a light colour, it can relax the mood or calm the other people. In this case,
we proposed to have a mint green colour for our walls and processing area because we
believe that this color can relax the minds of the employees for better performance of
work.
Ergonomics
In many cases, some workers are complaining about their back ache or muscle
pain because of sitting and working for hours in an uncomfortable seats and tables. Thus,
we propose to have a special designed furniture for the workers. Tables and chairs will
have an estimated size for the works to ensure the comfort of the workers. Aside from
that, table has resting bars below in order to relax their feet while working.
62
Employee Engagement
Employees should have teamwork in order to properly accomplish the goals of the
enterprise. If they have a vacant time, they are free to help their co-workers to do their
designated task. If they have this teamwork or unity, they can finish the work in advance
from the estimated time.
E. PROPOSED LOCATION AND JUSTIFICATION
63
One of the firm’s prospects is to find a good strategic location for the business.
Since, the current location of the business is not that exposed to public, it is practical to
find excellent location to establish a business that will help the firm improve sales and
productivity. Considering the possible demand in the certain location is one strategy to
identify a good location for a business. Aside from that, most tourists always seek for
business establishments that offer native delicacies that can that they can bring back
home and indulge themselves with. In line with that, the proposed location of Emily’s
Native Delicacies is along the highway going to Caticlan. Specifically it is located along
National Highway, Tagas, Tangalan, Aklan. This is also a strategy to attract more foreign
customers to purchase the product and create a possibility for the tourist vehicles to stop
by the establishment.
F. BUSINESS RISK ASSESSMENT ANALYSIS
A business will always be a business and in anytime at any place, risks might always
be encountered that could affect the performance of a work and its regulation. Emily’s
Native Delicacies may encounter misperceived operations from its employees which
might affect the administration of the business. Every mistake may affect the production
of Sapin-sapin just like putting too much or fewer ingredients that could affect its texture,
taste, and days that it could be eaten. Phenomenon may also affect the administration of
the business just like on how it might affect the employees that would result to
inactiveness to their own works. Natural calamities may also be one example of risk to
the organization. These risks may be advised as operational risks because they may affect
64
the operations of the business. Emily’s Native Delicacies may also encounter strategic
risks due to lack of policies and plans that could develop the organization’s current state.
Emily’s Native Delicacies may have the ability to avoid such risks if they could be
aware of the situations that will come to their organizations. Emily’s Native Delicacies
should maintain their three-day training in order for the employees to have enough skills
and abilities to produce their product which is the Sapin-sapin with good and delicate
taste. As they train their employees, the Emily’s Native Delicacies should include the first
aid kit whenever there is an accident in manufacturing and the first thing to do whenever
there is an upcoming natural calamities. The strategic risks should also be focused on for
the organizations policies and plans.
65
IV. ORGANIZATION
To achieve and have an effective and productive flow of business, Emily’s Native
Delicacies needs an organization to function and operate the firm. An organization is a
structured social unit of people arranged to pursue its specific goals. It is also made for
the purpose of consolidating all diversified opinions of the members into one coherent
idea. Definitely, all organizations need to have a structure which establishes the very core
of the organizations. It directs the flow of authority inside the organization. It also
determines the link between the different departments under it. It serves as a guide for
employees to know their respective duties, their assigned supervisors, and what authority
they could exercise. Without it, there is no unified flow of activities and superiority inside
the business.
A. STRUCTURE
Emily’s Native Delicacies, is a sole proprietorship in which the owner is the only
one who is managing all the operations of the business. As a sole, it may use a trademark
or business name if it differs from their own legal name. The sole traders receives all the
profit and has unlimited responsibility for all losses and debt of the business.
66
Owner or
Manager
Plant
Administrative Personnel Bookkeeper
Manager
Utility Delivery
Personnel Head Cook Cook
Personnel
Packer 1 Packer 2 Slicer 1 Slicer 2
Figure 4: Proposed Organizational Structure of Emily's Native Delicacies

Proposed Organizational Structure for Emily’s Native Delicacies
The structure shown above, are the important group of individuals who have a
great responsibility in the daily operation of Emily’s Native Delicacies. This type of
organizational structure is characterized by direct lines of authority which flows from top
to bottom. The owner or manager of Emily’s Native Delicacies will be the head of plant
personnel, administrative officer, and bookkeeper and other workers in the bottom of
Emily’s Native Delicacy.
B. KEY PERSONNEL
In any business accomplishments, it needs variety of skills to be able to exist and
develop. This is why getting the right combination of people to complement and reinforce
the business is of great importance. Therefore, having an effective management team will
help in creating a more efficient and capable business. The general functions of Emily’s
Native Delicacies various personnel are discussed below.
67
B.1. JOB DESCRIPTION
Emily’s Native Delicacies, as an organization, will be able to take full
advantage of its resources and skills which results to profit maximization.
Bookkeeper
A bookkeeper job is to keep the record of financial affairs of a business.
Bookkeeper is usually employed by small to mid-size company to record its
transaction such as sales, purchases, payroll, collection on accounts receivable
and payment of bills.
Administrative Officer
He or she oversees the overall operations of Emily’s Native Delicacies. He
or she might develop strategic marketing and sales plans to boost profits and
efficiency of each plant sites under Emily’s Native Delicacies along with the
financial officer. He or she also coordinates with these plant sites from production
to packaging efforts in order to achieve its vision and mission.
Plant Personnel
This person coordinates with the workers and is responsible for ensuring
that the workers are doing their assigned tasks and that their production quota
has been achieved. He or she represents each plant site and reports its
performance to Emily’s Native Delicacies. Other than that, it is his or her
responsibility to ensure that the products are delivered to its customers.
68
B.2. JOB QUALIFICATION
Table 15: Job Qualifications and Skills Requirements for Emily's Native Delicacies
POSITION QUALIFICATION
Book Keeper - Filipino Citizen

- Male/Female
- Skilled in office management software like MS Office (MS
Excel and MS Word, specifically)
- Has an associate degree in accounting or business courses, as
well as a knowledge in bookkeeping and generally accepted
accounting principles
- With at least two to five years of relevant working experience
in bookkeeping
Slicer - Filipino Citizen (25-40 yrs old)
- Male/Female
Utility Personnel - Filipino Citizen
- Male/Female
Administrative Officer - Filipino Citizen
- Male/Female
- Skilled in office management software like MS Office (MS
Excel and MS Word, specifically)
- With a Bachelor’s Degree in Business Management or Sales or
any business management related courses
- Has an excellent Verbal Communication and Critical Thinking
skills
Delivery Personnel - Filipino Citizen
- Male/Female
- Has a driver’s license
- Has an at least two to five years of driving vehicles
Plant Personnel - Filipino Citizen
- Male/Female
- With Bachelor’s Degree in Business Administration or any
business related course
- Good verbal communication and critical thinking skills
Head Cook - Filipino Citizen
- Male/Female
- With great work experience of 3 to 6 years in cooking
Cook - Filipino Citizen
- Male/Female
- With great work experience of 2 to 3 years in cooking
Packer - Filipino Citizen
- Male/Female
69
B.3. COMPENSATION AND BENEFITS
Table 16: Compensation and Benefits for the Workers of Emily's Native Delicacies
POSITION DESCRIPTION QUALIFICATIONS SALARY AND

BENEFITS
Bookkeeper Bookkeeper job is to keep - Filipino Citizen 10,000/ Month with
the record of financial - Male/Female benefit which
affairs of a business. - Skilled in office includes
Bookkeeper is usually management - SSS
employed by small to mid- software like Contribution
size company to record its MS Office (MS - PAGIBIG
transaction such as sales, Excel and MS Contribution
purchases, payroll, Word, - PhilHealth
collection on accounts specifically) Contribution
receivable and payment of - Has an
bills associate
degree in
accounting or
business
courses, as well
as knowledge
in bookkeeping
and generally
accepted
accounting
principle
- With at least
two to five
years of
relevant
working
experience in
bookkeeping
Administrativ He or she oversees - Filipino Citizen 12,0000/Month with
e Officer the overall - Male/Female benefits which
operations of - Skilled in office includes
Emily’s Native management - SSS
Delicacies. He might software like Contribution
develop strategic MS Office (MS - PAGIBIG
marketing and sales Excel and MS Contribution
plans to boost Word, - PhilHealth
profits and specifically) Contribution
70
efficiency of each - With Bachelor’s
plant sites under Degree in
Emily’s Native Business
Delicacies along Management
with the financial or Sales or any
officer. He or she related course
also coordinates - Excellent
with these plant Verbal
sites from Communication
production to and Critical
packaging efforts in Thinking skills
order to achieve its
vision and mission.
Plant Coordinates with the - Filipino Citizen 10,0000/Month with

Personnel workers and is responsible - Male/Female benefits which
for ensuring that workers - With Bachelor’s includes
are doing their assigned Degree in - SSS
tasks and that their Business Contribution
production quota has been Administration - PAGIBIG
achieved. He or she or any related Contribution
represents each plant site course -PhilHealth
and reports its - Good verbal Contribution
performance to Emily’s communication
Native Delicacies. They and critical
ensure that the products thinking skills
are delivered to its
customers
-
C. EXTERNAL SERVICE PROVIDER
Emily’s Native Delicacies anticipates to partner with several businesses
that can promote and sell the products that are being offered by the firm. Through this,
the firm will be able grow and expand its market. The target partners of the firm will be
the pasalubong centers, hotels and restaurants, and terminals.
71
D. OTHER LABOR MARKET ISSUES
It is normal to say that all businesses are just about gaining profits and achieving
success in the long-run. Businesses often faces certain concerns in its operations,
finances, and administration because of so many laws and regulations of the authorities
that act as barriers in their way.
The Emily’s Native Delicacies is considered as a sole proprietorship. As one owner
who fully operates it and has continual control over business supervision, the owner is
not committed to file with the secretary of state or the registrar of companies to make
the business. Dissolving lawsuit is necessary for sole proprietorship because they are
personally liable to pay for all their business’s liabilities and claims. The Emily’s Native
Delicacies will not participate in conduct that causes a high risk of lawsuit and ensures the
protection of its assets from a lawsuit.
D.1. LEGAL OBLIGATIONS TO WORKERS
It is one of the organization’s responsibilities among its workers to assist all their
employees upon the organizations working agreement. These are the following;
(1) Equal work opportunities for all; it is provided in the Philippine consultation regardless
of gender, race, or creed;
(2) Wage and wage related benefits is the amount paid to an employee in enumeration
for the service rendered;
72
(3) Meal and net period;
(4) Security of tenure workers cannot be dismissed without just and authorized causes
and only after due process;
(5) Ensuring the safety of organization’s workers/personnel in working area;
(6) Placing the employees according to their specialization or intended skills.
E. PERSONNEL GROWTH
In a personnel’s nature, working in a company or organization that is always
focusing on jobs only is not enough for them to feel motivated, and in this way Emily’s
Native Delicacies will provide trainings that will ensure the development of their workers
and to improve the willingness of their workers to their own duties. Emily’s Native
Delicacies will make sure that they will celebrate holidays (Christmas party, Halloween
Party, and Easter Sunday) with the employees and will invite their own families to develop
the family value within the company. During summer, the workers will consider team-
building activities as part of their job to maintain their good relationship with their co-
workers. This team-building is not just a simple activity but also creates a strong bond
among the workers that will assure that their company is still progressing and going on.
For the employee’s productivity in the workplace, they will be having incentives if they
always come to the workplace earlier than the designed starting work time. Aside from
that, the firm will also have a monthly awarding and recognition for the employees.
Awards are such Employee of the Month, Perfect Attendance, and many more.
73
IV. FINANCIALS
Emily’s Native Delicacies has not yet completely settled its overall operations,
most especially, its financial records that are very crucial for its financial projection and
planning. In line with the financial information provided by the proponent, it is observed
that the firm has not yet formally kept a good recording of its financials. Not all the
revenues gained and expenses incurred since the day it started to operate are recorded.
However, in 2018, they already established an informal recording of their financials. The
proponents of this paper are really challenged on how they can integrate the accounting
of sales and expenses, projecting assets and liabilities and recording business cash flow
over the course of the operating years in the most realistic ways possible. The financials
presented here are based on the assumptions stated below and the financial information
given by the proponents for the year 2018. In this way, the firm may be able to determine
a clear picture of its probable sales growth and expenses as it starts to operate.
A. ASSUMPTIONS
a. Manufacturing days: Emily’s Native Delicacies will manufacture Sapin-sapin 3
times a week (4 weeks per month), wherein quantities being produced depends on the
additional made-to-order transactions, during Monday, Wednesday, and Friday with an
8 hours of working for the first and second years and for the succeeding years.
74
b. Manufacturing days: Its relativeness to the assumption a, the total
manufacturing days is 144 for the first and second year, while for the succeeding years is
192 days.
c. Product Costing: All the quantities, such as the ingredients and the materials,
needed in every flavor is calculated.
d. Fiscal Year: The fiscal year starts at the month of January 2020.
e. Sales forecast: Based from the total production, the estimated sales forecast for
the first and second years is 40% and 45% for the succeeding years.
f. Sales forecast: The sale of the first and second years is increased by 40% while
45% for the succeeding years due to the increasing demand and in order to cover all the
expenses that will be incurred by the business.
g. Ending Inventory: The estimated ending inventory is 2% for the first year and
the succeeding years.
h. Ending Inventory: As stated from the assumption g, the estimated ending
inventory remains the same for the first and succeeding years since the firm can track
well their number of production of Sapin-sapin.
i. Depreciation Expense: The estimated life span of the equipment depends on its
brand name & quality and on how the workers utilize the equipment.
j. Depreciation expense: The depreciation expense is estimated using straight line
method.
75
k. Direct labor and manufacturing overhead: Emily’s Native Delicacies pays its
direct laborers in fixed amount while the wages of the manufacturing overhead varies.
l. Transportation expense: The estimated total expense for transportation is P3,
000.00 every year. This transportation expense includes the gasoline that is used in
delivering bulk products to resellers and even the fare in buying supplies and ingredients
needed for the product.
m. Miscellaneous expense: The miscellaneous expense includes the LPG refill that
varies on the units used.
n. Land: According to the land owner, the estimated price of land is P45,000.
o. Accounts receivable: The estimated amount of accounts receivable is 10% of the
products sold.
p. Accounts Payable: The calculated amount of accounts payable is 15% of the
total amount borrowed from a bank and is only paid within 3 years.
q. Loan: Emily’s Native Delicacies will use the borrowed money from Cooperative
bank to finance its start-up capital.
B. START-UP COST
The start-up cost involves the cost of acquisition of land, site building, and total
cost of equipment for production. This part also includes the initial cost to register the
business to let it process legally. The land to be acquired is 80 square meters and the
76
costing for the building is P 300, 000. The land and building is allowed for the production
and selling transactions of Emily’s Native Delicacies.
Table 17: Projected Start-up Cost for Emily's Native Delicacies
Project(start-up) Costs No. Of Units Unit Cost Cost

Production Site
Land Acquisition ₱ 45,000.00
Site Building ₱ 300,000.00
Total Building Cost ₱ 345,000.00
Equipment
Heavy Duty Steamer 2 ₱ ₱ 51,374.00
25,687.00
Rice Grinder 1 ₱ ₱ 9,000.00
9,000.00
Electric Mixer 2 ₱ ₱ 900.00
450.00
Cake Pans 50 ₱ ₱ 4,750.00
95.00
Measuring Cups and 2 ₱ ₱ 100.00
Spoons 50.00
Spatula 5 ₱ ₱ 600.00
120.00
Mixer Bowl 10 ₱ ₱ 2,500.00
250.00
Food Strainer 5 ₱ ₱ 500.00
100.00
Total Equipment Cost ₱ 69,724.00
Registration Cost ₱ 1,500.00
Total Project Cost ₱ 416,224.00
77
C. PRODUCT COSTING
In this part of paper, it will determine the costing as well as the pricing of the
product. In manufacturing the product, direct labor and manufacturing overhead costs in
producing Sapin-sapin are included. The cost per unit of the ingredients which are the
glutinous rice and sugar are set reasonably when lean season or inflation arrives. The
glutinous rice costs P60.00 per kilogram from the suppliers but can be turned to P80.00 if
inflation arrives. In this way, the firms’ mark-up price can cover for the remaining cot in
order to avoid loss.
Table 18: Total Cost of 9" Sapin-sapin with Leche Flan
Ingredients No. of units per (kg) Cost per unit Cost x Unit
Raw Materials
Glutinous rice 2.50 80 200
Sugar 1.25 65 81.25
Food Coloring 0.0057 20 0.114
Vegetable oil 0.0057 20 0.114
Condense milk 0.125 48 6
Evaporated milk 0.125 34 4.25
Lemon 0.25 30 7.50
Egg 0.25 6 1.50
Total Cost 291.73
No. of 9" Sapin-sapin 8
per recipe
Cost per pack 36.47
78
Table 19: Total Cost of 9" Sapin-sapin with Ube Halaya
Raw Materials
Sugar 1.25 65 81.25
Ube 0.50 25 12.50
Total Cost 293.98
per recipe
Cost per pack 36.75
Table 20: Total Cost of 9" Sapin-sapin with Cheese
Raw Materials
Sugar 1.25 65 81.25
Cheese 0.165 65 10.73
Total Cost 292.20
per recipe
Cost per pack 36.53
Table 21: Total Cost and Seeling Price for 9" Sapin-sapin in 2019
Total Cost and Selling Price for 9" Sapin-sapin 2019

Product Packaging Ingredients Direct Direct Labor Direct Labor + Total Selling
Cost Cost Cost + Overhead Overhead Product Price
Cost Cost per Unit Cost
Sapin-Sapin with 45 36.75 81.75 ₱64,695.20 ₱48.61 ₱130.35 ₱210.00
Ube
Sapin-Sapin with 45 36.53 81.53 ₱49,472.80 ₱37.17 ₱118.70 ₱210.00
Cheese
Sapin-sapin with 45 36.47 81.47 ₱76,112.00 ₱57.18 ₱138.65 ₱210.00
Leche Flan
79
Table 22: Total Cost and Selling Price for 9" Sapin-sapin in 2020
Product Packaging Ingredients Direct Direct Direct Labor Total Selling
Cost Cost Cost Labor + + Overhead Product Price
Overhead Cost per Unit Cost
Cost
Sapin-Sapin with 45 36.75 81.75 ₱64,449.68 ₱74.25 ₱156.00 ₱210.00
Ube
Sapin-Sapin with 45 36.53 81.53 ₱61,380.65 ₱70.72 ₱152.24 ₱210.00
Cheese
Sapin-sapin with 45 36.47 81.47 ₱64,449.68 ₱74.25 ₱155.72 ₱210.00
Leche Flan
Product Packaging Ingredients Direct Direct Direct Labor + Total Selling
Cost Cost Cost Labor + Overhead Product Price
Cost
Sapin-Sapin with 45 36.75 81.75 ₱96,674.52 ₱79.55 ₱161.30 ₱210.00
Ube
Sapin-Sapin with 45 36.53 81.53 ₱92,070.97 ₱75.77 ₱157.29 ₱210.00
Cheese
Sapin-sapin with 45 36.47 81.47 ₱96,674.52 ₱79.55 ₱161.02 ₱210.00
Leche Flan

Cost
Sapin-Sapin with 45 36.75 81.75 ₱96,674.52 ₱54.87 ₱136.61 ₱210.00
Ube
Sapin-Sapin with 45 36.53 81.53 ₱92,070.97 ₱52.25 ₱133.78 ₱210.00
Cheese
Sapin-sapin with 45 36.47 81.47 ₱96,674.52 ₱54.87 ₱136.33 ₱210.00
Leche Flan
80
Cost
Sapin-Sapin with 45 36.75 81.75 ₱96,674.52 ₱37.84 ₱119.59 ₱210.00
Ube
Sapin-Sapin with 45 36.53 81.53 ₱92,070.97 ₱36.04 ₱117.56 ₱210.00
Cheese
Sapin-sapin with 45 36.47 81.47 ₱96,674.52 ₱37.84 ₱119.30 ₱210.00
Leche Flan
Cost
Sapin-Sapin with 45 36.75 81.75 ₱96,674.52 ₱26.10 ₱107.84 ₱210.00
Ube
Sapin-Sapin with 45 36.53 81.53 ₱92,070.97 ₱24.85 ₱106.38 ₱210.00
Cheese
Sapin-sapin with 45 36.47 81.47 ₱96,674.52 ₱26.10 ₱107.56 ₱210.00
Leche Flan
81
D. PROJECTED INCOME STATEMENT
Emily’s Native Delicacies’ financial statements are based on the Projected Annual
Sales Forecast. The forecast that was done is based from the previous records of the
firm and assumptions for Sapin-sapin.
The assumptions conclude there will be an increase of sales throughout the 6
years of operation. The first and second year will have an increase of 40% and 45%
increase for the succeeding years.
Table 26: Total Sales Revenue for 9" Sapin-sapin in 2019

Total Sales Revenue for 2019
Product Selling Price Sales Volume Sales Revenue

Sapin-sapin with Ube ₱ 210.00 210 ₱ 44,100.00
Sapin-sapin with Cheese ₱ 210.00 200 ₱ 42,000.00
Sapin-sapin with Leche Flan ₱ 210.00 210 ₱ 44,100.00
Total Revenue 2019 ₱ 130,200.00


Total Revenue 2020 ₱ 182,280.00

Sapin-sapin with Ube ₱ 210.00 426 ₱89,523.00
Sapin-sapin with Cheese ₱ 210.00 392 ₱82,320.00
Sapin-sapin with Leche Flan ₱ 210.00 412 ₱86,436.00
Total Revenue 2021 ₱258,279.00
82

Sapin-sapin with Ube ₱ 210.00 618 ₱129,808.35
Sapin-sapin with Cheese ₱ 210.00 568 ₱119,364.00
Sapin-sapin with Leche Flan ₱ 210.00 597 ₱125,332.20
Total Revenue 2022 ₱374,504.55


Total Revenue 2023 ₱ 543,031.60


Total Revenue 2023 ₱ 787,395.82
83
Total Cost of Goods Sold for 2019
Product Total Cost per Sales Volume COGS

plate
Total Cost of Goods ₱ 80,229.80
Sold 2019
Table 32: Total Cost of Goods Sold of 9" Sapin-sapin in any Flavor for the year 2019

plate
Total Cost of Goods ₱
Sold 2020 134,271.47
Table 33: Total Cost of Goods Sold of 9" Sapin-sapin in any Flavor for the Year 2020
84

plate
Sold 2021

plate
Sapin-sapin with Cheese ₱ 132.54 568 ₱
75,333.61
Sapin-sapin with Leche Flan ₱ 135.03 597 ₱
80,587.07
Total Cost of Goods ₱
Sold 2022 240,742.15

plate
Sold 2023
85

plate
Sapin-sapin with Ube ₱ 108.131300 ₱ 140,531.71
Sapin-sapin with Cheese ₱ 105.791195 ₱ 126,422.38
Sapin-sapin with Leche Flan ₱ 106.941255 ₱ 134,191.21
Sold 2024
The operating expenses include the salaries of all the personnel who work in the
firm. The depreciation expense of the fixed assets, advertising expense and the selling
expense or the expense incurred from delivering products to resellers. The salaries of the
personnel of the firm that were put in the income statements are just one-third of their
over-all salaries received because it is not just for the production Sapin-sapin but also for
other native delicacies.
The advertisement expenses were projected every year of the business operation.
Moreover, the depreciation expense was calculated using the straight line method. The
computation for this expense is located after the annual projected income statement
table.
Due to the high amount of operating projects, the first four years of Emily’s Native
Delicacies resulted to negative. This is because of the advertising interest that is being
paid to bank for the borrowed money. Furthermore, the firm will not just mainly focus on
the Sapin-sapin in marketing it and include other delicacies that can cover the negative
results.
86
The firm must be exerting a lot of marketing efforts in order to cover these
negative results and gain more profit.
Table 38: Annual Projected Income Statement of Emily's Native Delicacies

Emily's Native Delicacies
Annual Projected Income Statement
For the year For the year For the year For the year For the year For the year
ended 2019 ended 2020 ended 2021 ended 2022 ended 2023 ended 2024
Sales Revenue ₱130,200.00 ₱182,280.00 ₱258,279.00 ₱374,504.55 ₱543,031.60 ₱787,395.82
Less: Cost ₱80,229.80 ₱134,271.47 ₱195,589.96 ₱240,742.15 ₱306,212.83 ₱401,145.31
of Goods Sold
Gross Profit ₱49,970.20 ₱48,008.53 ₱62,689.04 ₱133,762.40 ₱236,818.77 ₱386,250.51
Operating
Expenses:
₱63,427 ₱63,426.67 ₱63,426.67 ₱63,426.67 ₱63,426.67 ₱63,426.67
Administrative
Expense
Selling ₱8,000.00 ₱8,000.00 ₱8,000.00 ₱8,000.00 ₱8,000.00 ₱8,000.00
Expense
₱32,580.00 ₱32,580.00 ₱32,580.00 ₱32,580.00 ₱32,580.00 ₱32,580.00
Advertisement
Expense
Utility ₱8,000.00 ₱8,000.00 ₱8,000.00 ₱8,000.00 ₱8,000.00 ₱8,000.00
Expense
₱27,135.81 ₱27,135.81 ₱27,135.81 ₱27,135.81 ₱27,135.81 ₱27,135.81
Depreciation
Expense
₱3,000.00 ₱3,000.00 ₱3,000.00 ₱3,000.00 ₱3,000.00 ₱3,000.00
Transportation
Expense
Total Operating ₱142,142.48 ₱142,142.48 ₱142,142.48 ₱142,142.48 ₱142,142.48 ₱142,142.48
Expenses
Earnings before -₱92,172.28 -₱94,133.94 -₱79,453.43 -₱8,380.07 ₱94,676.29 ₱244,108.03
Interest and
Taxes
Interest ₱30,000.00 ₱30,000.00 ₱30,000.00
Expense
Income after -₱122,172.28 -₱124,133.94 -₱109,453.43 -₱8,380.07 ₱94,676.29 ₱244,108.03
Interest
Expense
Tax Expense -₱14,660.67 -₱14,896.07 -₱13,134.41 -₱1,005.61 ₱11,361.16 ₱29,292.96
Miscellaneous ₱4,500.00 ₱4,500.00 ₱4,500.00 ₱4,500.00 ₱4,500.00 ₱4,500.00
Expense
Net Income -₱112,011.60 -₱113,737.87 -₱100,819.02 -₱11,874.46 ₱78,815.14 ₱210,315.07
87
Table 39: Depreciation Expense of Emily's Native Delicacies
Asset Cost Estimated Salvage Depreciation Expense

Useful Value
Life
Plant ₱ 300,000.00 20 ₱0.00 ₱ 15,000.00
2 Heavy Duty ₱ 51,374.00 7 ₱0.00 ₱ 7,339.14
Steamers
Rice Grinder ₱ 9,000.00 5 ₱0.00 ₱ 1,800.00
Electric Mixer ₱ 900.00 5 ₱0.00 ₱ 180.00
Cake Pans ₱ 4,750.00 3 ₱0.00 ₱ 1,583.33
Measuring Cups ₱ 100.00 3 ₱0.00 ₱ 33.33
and Spoons
Spatula ₱ 600.00 3 ₱0.00 ₱ 200.00
Mixer Bowl ₱ 2,500.00 3 ₱0.00 ₱ 833.33
Food Strainer ₱ 500.00 3 ₱0.00 ₱ 166.67
Total Depreciation ₱ 27,135.81
Expense
88
E. CASH FLOW PROJECTION
A statement of cash flow shows the flow of money that are being received and
disbursed by the firm from its operations. These values are derived from the income
statement.
Table 40: Statement of Cash Flow of Emily's Native Delicacies

Statement of Cash Flow
As of December 31
2019 2020 2021 2022 2023 2024

Cash Receipts ₱630,200.00 ₱182,280.00 ₱258,279.00 ₱374,504.55 ₱543,031.60 ₱787,395.82
Less: Cash ₱241,355.60 ₱209,299.20 ₱374,215.06 ₱410,031.10 ₱523,822.96 ₱689,357.58
Disbursement
Net Cash ₱388,844.40 -₱27,019.20 -₱115,936.06 -₱35,526.55 ₱19,208.64 ₱98,038.24
Flow
Add: ₱0.00 ₱388,844.40 ₱361,825.19 ₱245,889.13 ₱210,362.58 ₱229,571.22
Beginning
Cash
Ending Cash ₱388,844.40 ₱361,825.19 ₱245,889.13 ₱210,362.58 ₱229,571.22 ₱327,609.46
89
F. BALANCE SHEET
A balance sheet shows the transactions and money that occurred during the
business operations of Emily’s Native Delicacies.
Table 41: Projected Balance Sheet of Emily's Native Delicacies

Balance Sheet
Dec-31
2019 2020 2021 2022 2023 2024
Cash ₱ ₱ ₱ ₱ ₱ ₱
388,844.40 182,280.00 258,279.00 374,504.55 543,031.60 787,395.82
Inventory ₱ ₱ ₱ ₱ ₱ ₱
6,491.10 7,464.76 8,584.48 9,872.15 11,352.97 13,055.92
Total ₱ ₱ ₱ ₱ ₱ ₱
Current 395,335.50 189,744.77 266,863.48 384,376.70 554,384.57 800,451.74
Assets
Equipment ₱ ₱ ₱ ₱ ₱ ₱
69,724.00 69,724.00 69,724.00 69,724.00 69,724.00 69,724.00
Building ₱ ₱ ₱ ₱ ₱ ₱
345,000.00 345,000.00 345,000.00 345,000.00 345,000.00 345,000.00
Less: ₱ ₱ ₱ ₱ ₱ ₱
Accumulat 27,135.81 8,237.14 8,236.14 7,503.81 7,503.81 7,497.81
ed
Depreciati
on
Total Fixed ₱ ₱ ₱ ₱ ₱ ₱
Assets 387,588.19 336,762.86 336,763.86 337,496.19 337,496.19 337,502.19
TOTAL ₱ ₱ ₱ ₱ ₱ ₱
ASSETS 782,923.69 526,507.62 603,627.34 721,872.89 891,880.76 1,137,953.9
3
Accounts ₱ ₱ ₱ ₱ ₱ ₱
Payable 144,996.00 144,996.00 144,996.00 144,996.00 144,996.00 144,996.00
Total ₱ ₱ ₱ ₱ ₱ ₱
Liabilities 144,996.00 144,996.00 144,996.00 144,996.00 144,996.00 144,996.00
Owner's ₱ ₱ ₱ ₱ ₱ ₱
Capital 637,927.69 381,511.62 458,631.34 576,876.89 746,884.76 992,957.93
TOTAL ₱ ₱ ₱ ₱ ₱ ₱
LIABILITIES 782,923.69 526,507.62 603,627.34 721,872.89 891,880.76 1,137,953.9
AND 3
OWNER'S
EQUITY
90
G. FINANCIAL RATIO ANALYSIS
Financial Ratio analysis is one of the very effective tools that enable the firm to
comprehend its several financial concepts. This ratio analysis is used to have an
assessment regarding the firm’s operations and financial performance such as liquidity,
efficiency, profitability and solvency.
Table 42: Financial Ratios of Emily's Native Delicacies
Financial Ratio of Emily's Native Delicacies

RATIO 2019 2020 2021 2022 2023 2024
Liquidity Ratio
Current Ratio 2.73 1.31 4.16 2.65 3.82 5.52
Quick ratio 2.77 1.36 1.90 2.72 3.90 5.61
Efficiency Ratio
Average Sales per day 356.71 367.8 707.6 1026.0 1487.7 2157.2
7 1 4 6 5
Average Collection period N/A N/A N/A N/A N/A N/A
Inventory Turnover 12.36 17.99 22.78 31.02 26.97 30.73
Total Asset Turnover 0.06 0.25 0.23 0.35 0.43 0.48
Debt Ratio
Debt ratio 5.40 3.63 4.16 4.98 6.15 7.85
Profitability Ratio
Gross Profit Margin -0.72 -1.18 -1.94 -11.26 3.89 1.91
Operating Profit Margin -1.16 -1.60 -2.56 -31.54 6.89 3.74
Net Profit Margin -0.86 -0.62 -0.39 -0.03 0.15 0.27
Return on Total Asset -0.14 -0.22 -0.17 -0.02 0.09 0.18
Return on Quality -0.18 -0.30 -0.22 -0.02 0.11 0.21
G.1. LIQUIDITY RATIO ANALYSIS
Liquidity ratio analysis measure the ability of the firm to fulfil its obligations to
other personalities such as creditors. Based on the table for 2019, it is described as in
every 1 peso credit from creditors, 2.53 worth of asset of the firm are owed to them.
91
G.2. EFFICIENCY RATIO ANALYSIS
Efficiency ratio analysis measures the ability of the firm to effectively organize its
asset and liability in order to gain desired income. Aside from that, it shows the average
sales per day and its collection period and its inventory turnover. Emily’s Native Delicacies
is very outstanding when it comes to generating sales as well its collection period.
G.3. DEBT RATIO ANALYSIS
Debt Ratio analysis indicates the amount of asset to be sold to fulfil the obligation
of the firm to pay its debt to creditors. As seen in the table, there is no constant flow that
the operation was financed by the creditors and same goes to the succeeding years. Thus,
the firms must further improve its financial and marketing management to fulfil its debt
obligations.
G.4. PROFITABILITY RATIO ANALYSIS
Gross profit margin measures the proportioned amount of money left by the
subtracting revenues and cost of goods sold. This indicated the ability of the firm to get
money from rendering or selling the products.
Operating profit margin on the other hand focuses on the assessment of
percentage of remaining sales after deducting expenses and cost. In Emily’s Native
Delicacies state in the first four years, are negative but still improving. This means that
the firm is improving is improving itself towards productivity every year in order to cover
up losses.
92
Net profit margin assesses the percentage of every sales peso after deducting the
cost and interest being paid. Emily’s Native Delicacies in the year 2019, it is increasing
despite of the negative value. However, the firm recovers in the 5th year and improves its
operation that leads to the increase in the fifth year.
H. BREAKEVEN POINT
Breakeven analysis indicates the quantity of products to be sold in order to have
zero profit. In other words, the point where there is no revenue nor loss. In the case of
Emily’ Native Delicacies, it must sell 3,511 quantities 9” Sapin-sapin of any flavour in order
to cover all costs. Hence, they must not sell products the same amount as stated above
in order to maximize profit and avoid losses.
Fixed Cost Accounts Cost

Administrative Expense ₱71,427
Transportation ₱11,000
Depreciation ₱27,136
Annual Total Fixed Cost ₱109,562
Table 43: Breakeven Point of Emily's Native Delicacies
Sapin-sapin
Pack Selling Variable CM Proportioned Breakeven
Price Fixed Cost Point
9'' with Ube 210 130.3537 79.65 P 93562 1175
9'' with Cheese 210 118.695 91.30 P 93562 1025
9'' with Leche 210 138.6501 71.35 P 93562 1311
Flan
BREAKEVEN POINT 3,511
93
I. CRITICAL RISKS
I.1. IN THE MARKET
Increasing number of competitors
As a first timer in the food industry, Emily’s Native Delicacies should inevitably
understand the process of growth, change, and activities of its competitors and consider
different external factors that would cause risks and consequences of its products in
terms of the industry, company and market. The dreadful conflict in the market easily
causes an intense reaction to the up-front evaluation administered by certain enterprise
against its competitors. For the better way to differentiate itself to the other brands or
firms offering the same product, Emily’s Native Delicacies incorporated the Porter’s Five
Forces Model in knowing the possible levels of risks based on the four key factors.
Solution:
Emily’s Native Delicacies should develop their marketing strategies to attract and
persuade customers the value of the business’ product. Emily’s Native Delicacies should
maintain the taste and good quality of its product which is the Sapin-sapin. In order for
the business to maintain the loyalty and build a stronger relationship with their
customers, they should be able to maintain the taste that their customers craves.
I.2. INFLATION
Many other countries are developing and have developed in having a stable life in
terms of their economic growth while the Philippines is still in the stage where having a
stable economic growth is impossible. Recently, the products that are being sold in the
94
market is increasing and so as the price that are being put into the products. Inflation had
always been a common issue in the Philippines and is still continuing in the economy.
Inflation will definitely affect capital expenditures and increase in costing for the
manufacturing of products even with the smallest increase. The situation of Emily’s Native
Delicacies for example, the price level of the main ingredients are the possible risks and
that Emily’s Native Delicacies must do to survive.
Solution:
The inflation will bring negative effects to the economy over the long run term,
Emily’s Native Delicacies should be prepared to all the consequences that it will bring just
like placing itself on different inflation scenarios and provide solutions that would help
them in their adjustment of pricing strategies to overcome the price sensitiveness of the
customers. It is on the business whether to increase or decrease the prices of the products
because of inflation, as long as the taste and good quality is still there they will still buy
for it.
I.3. CLIMATE CHANGE
Climate change is a top issued problem in the world because it may not only affect
the lives of the people but also the lives of business entities. Climate change have adverse
effect on almost all figures of industry. It is also a problem that no human chain can handle
it easily.
Solution:
95
Climate change is an extraneous risk in the economy wherein no human can
control it. Businesses can lessen this problem through contributing on how to decrease
the toxic waste emissions, proper waste disposal and improving energy. Emily’s Native
Delicacies is going to be a climate-friendly enterprise. The main ingredient of Sapin-sapin
is rice and it will seek help for the assistance of local agencies with expertise on supplying
their own rice at their expense so that when a phenomenon just like El Nino occurs,
Emily’s Native Delicacies will have no worries in getting their own supply of rice.
I.4. FINANCING
The stability of financial is the most important aspect for an enterprise to reach
success in the business world thus, handling financial resources is tough duty because it
should be effective and efficient. Having a healthy financial system to provide the
operative allocation of resources and distribution of risk in the business.
Solution:
Emily’s Native Delicacies should consider the idea of loaning in a bank which can
help them with their products and they can also have their own financial partners. They
can pick a bank loan which is enough to help them cover-up their start-up cost and pick
which loan would be beneficial for their enterprise.
96
97

QuattuorSuperstites - Emily's Native Delicacies

Uploaded by

Copyright:

Available Formats

QuattuorSuperstites - Emily's Native Delicacies

Uploaded by

Document Information

Original Title

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

QuattuorSuperstites - Emily's Native Delicacies

Uploaded by

Copyright:

Available Formats

A COMPREHENSIVE BUSINESS PLAN

Mr. John Marlou B. Salido

Aklan Valley High School

In Partial Fulfillment of the Requirements

In Business Enterprise Simulation

Miguel, Nina Jan Lere

Agupitan, Nicole Anne

Inostro, Kate Anthonette

their insights that are needed in our market study;

accomplishment of our paper;

support may it be financially, emotionally and spiritually, which encouraged us to

complete this paper;

accomplish this business plan;

given guidance and protection in our everyday existence.

We, the QUATTUOR SUPERSTITES, thank you all!

Table 1: SWOT ANALYSIS FOR EMILY'S NATIVE DELICACIES ............................................... 7

Figure 1: Revenue Trends of Emily's Native Delicacies ..................................................... 37

flavors and fillings – ube, cheese and leche flan.

buy the products.

manufacturing industry has its competitive advantage. Food consumption, which

by ₱ 536,541.18 and will continually increase with an amount of ₱ 777,984.71. This

expenses that will be incurred.

them be on the top of the ladder.

Emily’s Native Delicacy is a local food manufacturing business located in Tagas,

A.1. HISTORY OF THE BUSINESS

the good quality of life.

A.2. VISION AND MISSION STATEMENT

statements for Emily’s Native Delicacies.

Emily’s Native Delicacy aspires to globally offer extensive choices of delightful

deliver for its customers.

OBJECTIVE 1: To increase the demand of people in Emily’s Native Delicacies by creating

wide variety of native delicacies

social media, word of mouth and other marketing strategies

OBJECTIVE 3: To introduce an affordable but more innovative and delightful native

in the following years

B.1. PRODUCT DESCRIPTION

Cassava Pudding Polvoron Peanut Butter

Pichi-pichi Halayang Ube

the Filipino version of it.

B.2. INDUSTRY DESCRIPTION

Emily’s Native Delicacy falls under food manufacturing industry. According to

North American Industry Classification System, businesses under food manufacturing

establishments are often sold to wholesalers or retailers for distribution to consumers.

competitive advantage. Food consumption, which depends on population growth, is now

in demand. It is already a challenge for such business establishments or companies on

towards automating more processes.

manufacturing industry in 2017.

The food manufacturing industry has been identified by the Philippine

zones, with an average annual growth rate of 8-10%.

production cost, which is considered as one of the lowest in Asia.

According to Heneghan (2016), food manufacturing industry is facing challenges

chaos within a country.

it is continually receiving to the community.

Emily’s Native Delicacies provides employment to unemployed women,

their business and conduct an effective action towards it.

A.1. SWOT Analysis for Emily’s Native Delicacies

Table 1: SWOT ANALYSIS FOR EMILY'S NATIVE DELICACIES

Strengths Weaknesses Opportunities Threats

 Quality and  Home-based  Increasing  Big