Philippine Christian University

GRADUATE SCHOOL OF BUSINESS AND MANAGEMENT

2nd Floor. Administrative Bldg., 1648 Taft Avenue corner Pedro Gil St., Malate, Manila
Telephone: (63-2) 8521-5045

Master in Business Administration

Strategic Management II

Strategic Management Paper

MONTE’S MEAT

Submitted By:

Charity Rose Ramos

 Philippine Christian University
GRADUATE SCHOOL OF BUSINESS AND MANAGEMENT
2nd Floor. Administrative Bldg., 1648 Taft Avenue corner Pedro Gil St., Malate, Manila
Telephone: (63-2) 8521-5045

I. Case Background

A. General Information

Monte’s Meat is a newly established small enterprise sells smoked meat

products in the province of Cavite and Pangasinan. The company started out

as online, order basis provider of smoked meat products. Monte’s Meat was

established in 2020 in General Trias, Cavite, and later on had a branch un

Bayambang, Pangasinan. The owner of the Company is Mr. Michael Monte.

He started this business during pandemic as he saw great potential in online

selling and delivery of goods, and that food is always essential to everyone,

regardless of season or trend.

The product is promising because only few establishments offer smoked meat

products in the market. Monte’s Meat can be considered as one of the pioneers

in selling home-made smoked meat products in the market. Monte’s Meat is

focused on order basis transaction and orders are delivered directly to

customer’s addresses.

The Company plans to expand by building a dine-in restaurant in addition to its

delivery services. The challenge for the owner and manager is attracting more
 Philippine Christian University
GRADUATE SCHOOL OF BUSINESS AND MANAGEMENT
2nd Floor. Administrative Bldg., 1648 Taft Avenue corner Pedro Gil St., Malate, Manila
Telephone: (63-2) 8521-5045

customers outside of their personal network and launching new products to

increase customers and sales to sustain the expansion. Monte’s Meat must be

able to devise a strategic management plan for its expansion.

Monte’s Meat is managed by the owner himself with assistance from his wife.

Initially, the owner will hire a small team comprising of chefs, waiters,

assistants, cleaners, and drivers for the startup. To ensure the best quality

service, all employees will be selected through vigorous testing and will be

trained for a month before starting their jobs

B. Vision and Mission

Vision:

To be the favorite go-to restaurant of every family where they get served with

fresh from the grill barbecue and smoked meat dishes.

Mission:

Our aim is to provide a unique wholesome dining experience through great

food, laid back ambiance, friendly and attentive customer service at an

affordable price.
 Philippine Christian University
GRADUATE SCHOOL OF BUSINESS AND MANAGEMENT
2nd Floor. Administrative Bldg., 1648 Taft Avenue corner Pedro Gil St., Malate, Manila
Telephone: (63-2) 8521-5045

Core Values:

As a newly established Company, the owner made ensures to build a good

company culture through the company’s core values. Monte’s Meat Core

Values are the following:

• Customer satisfaction is as important as employee’s well-being

• Success is the product of consistently pursuing excellence

• Be better everyday

C. Quality Policy

Monte’s Meat is committed to achieving customer satisfaction by the use of

standardized procedures, high quality materials and outstanding customer

service.

D. Product Line

Monte’s Meat has variety of smoked meat products which includes the

following:

• Smoked baby back ribs

• Smoked beef brisket

• Smoked beef ribs

 Philippine Christian University
GRADUATE SCHOOL OF BUSINESS AND MANAGEMENT
2nd Floor. Administrative Bldg., 1648 Taft Avenue corner Pedro Gil St., Malate, Manila
Telephone: (63-2) 8521-5045

• Smoked Salmon

• Smoked pork shoulder

• Smoked sausage

II. Environmental Analysis

A. General Environment

A.1 Opportunities

Monte’s Meat is one of the first companies to provide/sell home-made smoked

meat in the market. This gives the company the advantage to introduce a

new/unique product in the market and setting a standard thereof. This also

means lesser competition for them, or if there will be more competition in the

future, they have already set a history which will retain in the memory of the

consumers/buyers.

Aside from introducing a new product in the market, the planned expansion,

which is a dine-in restaurant, will also be a new service that is not available with

other competitors with the same products that they sell.

Since they are offering a new product, this will attract curiosity of more people

and prospective clients.

 Philippine Christian University
GRADUATE SCHOOL OF BUSINESS AND MANAGEMENT
2nd Floor. Administrative Bldg., 1648 Taft Avenue corner Pedro Gil St., Malate, Manila
Telephone: (63-2) 8521-5045

A.2 Threats

The country’s recent national elections may bring a lot of changes in tax

systems, mandatory requirements, etc. Among the first ones is the hike in

minimum wage and mandatory contributions. The hike in minimum wage will

increase the company’s operation expenses even before it earns profit from its

expansion.

As smoked meat products have started to gain popularity in the market, more

competitors are anticipated.

B. Operating Environment

Monte’s Meat has been able to deliver quality smoked meat products within the

areas of Cavite and some parts of Pangasinan. Products are on order-basis to

ensure quality of their products. While the company has few customers, these are

loyal customers who repeatedly buys from them.

With the company’s plan to expand, the operations expenses are expected to

increase significantly. The company would be needing permanent area to be used

as its restaurant, more people to tend to the restaurant, more utility bills to pay.

The management should plan strategically on how they can increase their

customers and sales to sustain the new operations expenses.

 Philippine Christian University
GRADUATE SCHOOL OF BUSINESS AND MANAGEMENT
2nd Floor. Administrative Bldg., 1648 Taft Avenue corner Pedro Gil St., Malate, Manila
Telephone: (63-2) 8521-5045

C. Internal Environment

C.1 Strengths

Monte’s Meat is one of the first companies to provide/sell home-made smoked

meat in the market. This gives the company the advantage to introduce a

new/unique product in the market and setting a standard thereof. This also means

lesser competition for them, or if there will be more competition in the future, they

have already set a history which will retain in the memory of the consumers/buyers.

While they are relatively new and still considered as a small company, it already

has a net income of PhP1.2 million in its first year (2021). It started delivering

products in just one town in Cavite and within a year, it is already serving at least

3 towns/cities in Cavite and 2 towns in Pangasinan.

The company implements TQM practices to consistently meet customer

expectations and maintains strong ethical values on their products and services.

Despite the hardships at the start, the management remained optimistic and

continue to improve until they are able to gain more customers.

 Philippine Christian University
GRADUATE SCHOOL OF BUSINESS AND MANAGEMENT
2nd Floor. Administrative Bldg., 1648 Taft Avenue corner Pedro Gil St., Malate, Manila
Telephone: (63-2) 8521-5045

C.2 Weaknesses

Since Monte’s Meat is focused on only one type of product, gaining more

customers and sales is a challenge. At ties, it will not always be the first choice as

other competitors offer variety of products.

The Company applied standard taste for Smoked meat products but failed to

incorporate local or native flavors. Smoked meat mainly originated from the west,

and some customers would still prefer food products with a hint of native flavors.
 Philippine Christian University
GRADUATE SCHOOL OF BUSINESS AND MANAGEMENT
2nd Floor. Administrative Bldg., 1648 Taft Avenue corner Pedro Gil St., Malate, Manila
Telephone: (63-2) 8521-5045

D. External Factor Evaluation Matrix

Opportunities Weight Rating Weighted Total

Score Opportunities

Expansion 10% 4 0.4 1.69

Health conscious 12% 3 0.36

New supplier 8% 3 0.24

Increased demands for 15% 3 0.45

products

Service quality improvement 8% 3 0.24

Threat Weight Rating Weighted Total Threats

Score

New competitors 10% 4 0.4 1.54

Imitation 15% 4 0.6

Predicted natural disaster 7% 2 0.14

Seasonal availability of 5% 2 0.1

products

Seasonal demands for 10% 3 0.3

products

TOTAL 100% 3.23 3.23

E. Internal Factor Evaluation Matrix

 Philippine Christian University
GRADUATE SCHOOL OF BUSINESS AND MANAGEMENT
2nd Floor. Administrative Bldg., 1648 Taft Avenue corner Pedro Gil St., Malate, Manila
Telephone: (63-2) 8521-5045

The strong point of Monte’s Meat is the uniqueness of the product that they sell.

As of this study, they have little to no competitor in selling different smoked meat

products.

KEY INTERBAL WEIGHT RATE WEIGHTED

FACTORS SCORE

Strength

Brand Image 15% 3 0.45

Market Penetration 10% 2 0.20

Product Quality 15% 4 0.60

Financial 15% 3 0.45

Performance

Market Position 10% 2 0.20

Weakness

Easily Imitated 10% 3 0.30

Limited Product Type 10% 4 0.40

Market Concentration 5% 2 0.10

Scattered Marketing 10% 3 0.30

Campaign

TOTAL 100% 3.00

 Philippine Christian University
GRADUATE SCHOOL OF BUSINESS AND MANAGEMENT
2nd Floor. Administrative Bldg., 1648 Taft Avenue corner Pedro Gil St., Malate, Manila
Telephone: (63-2) 8521-5045

F. Competitive Profile Matrix

MONTE'S MEAT FAST FOOD FINE DINING

CRITICAL FACTOR WEIGHT RATE WEIGHTED RATE WEIGHTED RATE WEIGHTED

SCORE SCORE SCORE

Strength

Brand Image 10% 3 0.30 3 0.30 4 0.40

Innovation 9% 2 0.18 3 0.27 3 0.27

Store Location 7% 3 0.21 4 0.28 3 0.21

Employee 9% 4 0.36 2 0.18 4 0.36

Dedication

Customer Service 9% 4 0.36 2 0.18 3 0.27

R&D 9% 2 0.18 3 0.27 4 0.36

Product Quality 15% 4 0.60 3 0.45 4 0.60

Service Quality 15% 4 0.60 3 0.45 4 0.60

Marketing and 8% 2 0.16 4 0.32 3 0.24

Advertising

Price 9% 4 0.36 3 0.36 3 0.27

Competitiveness

TOTAL 100% 3.31 3.06 3.58

 Philippine Christian University
GRADUATE SCHOOL OF BUSINESS AND MANAGEMENT
2nd Floor. Administrative Bldg., 1648 Taft Avenue corner Pedro Gil St., Malate, Manila
Telephone: (63-2) 8521-5045

G. Assumptions

Based on the figures gathered and shown in the previous tables, there is still a

need for lots of improvement from branding to production to services. Product

imitation has a significant impact on the financial results, lagged asset return, and

having a good marketing campaign will significantly influence market share for the

sins that people can prioritize imitation with nearly the same quality as the original

product with glass market value does the aim for the great return of us it slow.

However, due to uniqueness and other features of its products that are not

available to other competitor, there is high probability that Monte’s Meat can

successfully penetrate the market nationwide.

III. Problem Statement

The general business problem is that ineffective marketing strategies may

negatively affect small business restaurant sustainability. The specific business

problem is that some small business restaurant owners lack marketing strategies

to achieve sustainability beyond 5 years. This study will focus on strategic

management on how to resolve the aforementioned common business problems.

How well Monte’s Meat implements its policies and programs and achieves its

strategic intent in terms of its mission and vision is of principal concern.

 Philippine Christian University
GRADUATE SCHOOL OF BUSINESS AND MANAGEMENT
2nd Floor. Administrative Bldg., 1648 Taft Avenue corner Pedro Gil St., Malate, Manila
Telephone: (63-2) 8521-5045

IV. Alternative Course of Action

Summary of Strategies

New strategy recommendations are vital for a company, especially when they are

aiming for more success. These are the strategies that Monte’s Meat can use, and

this includes Market Penetration, Market Development, and Product Development.

Market Penetration will help when it comes to Monte’s Meat’s presence, and it will

also help in improving their influence. Market Penetration focuses on the brand’s

image like partnering with other brands, companies or even with people who have

a very great image. It will help in having better marketing or branding strategies

and it can also result in the company’s opportunities in the future. Market

Penetration will also improve the company’s sales and it will be more recognized

by more potential customers since they also need to improve their advertisement

skills. Market penetration also helps when it comes to improving the company’s

pricing.

Market Development is a strategy that is helpful when it comes to introducing a

company’s products to new locations. Market Development will help in developing

the business or market through expansions. Market Development is a strategy that

can help in gaining more competitive advantage and it makes the business to be
 Philippine Christian University
GRADUATE SCHOOL OF BUSINESS AND MANAGEMENT
2nd Floor. Administrative Bldg., 1648 Taft Avenue corner Pedro Gil St., Malate, Manila
Telephone: (63-2) 8521-5045

locally, and internationally known. The market development will help Monte’s Meat

to be known in the entirety of the country.

Product Development is a strategy that involves the development of the existing

products, and it may also be used to develop new products that Monte’s Meat can

release. This can give a new life to the company’s existing products, and this can

also help with their new marketing skills that their customers will be curious about.

Product development is a strategy that can provide satisfaction to the customers,

improve the company’s reputation, improve competitiveness, and improve their

quality and performance. Product Development is also one of the best strategies

when it comes to improving Monte’s Meat’s weakness which is having a limited

product mix.

V. Recommended Alternative and Action Plan

A. Action Plan

Action Plan 1- Market Penetration

This plan will involve better Marketing and Pricing Skills that Monte’s Meat

should implement. It is said that Monte’s Meat’s market concentration can be

seen as a flaw to the business so the best thing to do is to adjust their price

range. They also have a scattered marketing campaign which can lead to losing

existing and potential customers. Monte’s Meat can make their products more
 Philippine Christian University
GRADUATE SCHOOL OF BUSINESS AND MANAGEMENT
2nd Floor. Administrative Bldg., 1648 Taft Avenue corner Pedro Gil St., Malate, Manila
Telephone: (63-2) 8521-5045

known or recognized, and they can compete with other companies by lowering

the prices of their products and at the same time it still has a great quality. They

can also partner or collaborate with famous influencers so that their sales would

increase, their marketing and advertising skills will improve, and their business

will be more known so it can result in higher consumer security. Monte’s Meat

can also improve their location to be more known by the customers and in the

market field.

Action Plan 2- Market Development

Market Development will help in maximizing Monte’s Meat’s full potential in the

business industry. They already have a lot of locations that are operating but

they still have a lot of potentials when it comes to opening more branches in

different locations so that it will be more known, and it can also lead to their

control over their products and service. Monte’s Meat can search for more great

locations for their business since this will be a great advantage to be able to

compete with their major competitors which has a lot of branches in different

locations. Unlike their other competitors in the country, Monte’s Meat does not

have a lot of branches when it comes to other provincial areas so having more

expanding their business in more locations will be beneficial. When they

already have more locations, then they will also have more target markets who

are their new potential customers. Market Development can also help when it

comes to improving their weakness that is related with negative earnings since
 Philippine Christian University
GRADUATE SCHOOL OF BUSINESS AND MANAGEMENT
2nd Floor. Administrative Bldg., 1648 Taft Avenue corner Pedro Gil St., Malate, Manila
Telephone: (63-2) 8521-5045

when a business is already well known and successful, then there is a high

possibility that this will lead to an improvement with the company’s sales and

earnings.

Action Plan 3- Product Development

Product Development will be helpful since we can also see in this paper that

one of Monte’s Meat’s weaknesses is that they have a limited product mix. They

have a limited range of product line. The action that Monte’s Meat should

consider is to provide new packaging for their products and this also works for

other brands. They can provide limited edition products with great packaging

and when this becomes successful, they can keep this new product on their

portfolio or menu. Adding healthier options can also be a great improvement

for their business because this will be perfect for the customers who are into

the healthy lifestyle trends. Through product development, they can also

improve the demands, and quality of their products which can result in more

customers who will be loyal with their brand.