BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION MAJOR 1

IN MARKETING MANAGEMENT

Chapter 1
PROJECT BACKGROUND AND HISTORY

Clothing is one of the basic needs of every person and also a

collective term for items worn on the body. Clothes can insulate against
cold or hot conditions, and they can provide a hygienic barrier, keeping
infectious and toxic materials away from the body. For proper hygiene
purposes people tend to change clothes, and they create laundry.

The clothes were first washed by pounding them on rocks or rubbing

them with abrasive sands and washing the dirt away in local streams. In
colonial times, the most common way of washing clothes was to boil them in
a large pot or cauldron, then lay them on a flat board and beat them with a
paddle called a dolly. No ironing was done at that time. After thorough
wash the garments were laid out flat on the ground to allow the sun do the
bleaching and drying.

The Romans invented a crude soap, similar to lye that contained ash
and fat from sacrificed animals. Soap was rarely used by the poorest people
in medieval times but by the 18th century soap was fairly wide spread
sometimes kept for finer clothing and for tackling stains, not used for the
whole wash. Starch and bluing were also available for better quality linen
and clothing.

The earliest manual washing machines imitated the motion of the

human hand on the washboard, by using a lever to move one curved
surface over another and rubbing clothes between two ribbed surfaces.
Clothes washer technology developed as a way to reduce the manual
labor spent, providing an open basin or sealed container with paddles or
fingers to automatically agitate the clothing. The earliest machines were
hand-operated and constructed from wood, while later machines made of
 BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION MAJOR 2
IN MARKETING MANAGEMENT

metal permitted a fire to burn below the washtub, keeping the water warm
throughout the day's washing. Thomas Edison's pioneering work in electricity
accelerated America's industrial progress. Until the late 1800s, home washing
machines were hand-powered, while commercial machines were driven by
steam and belts. Many of the early automatic machines had coin-in-the-slot
facilities and were installed in the basement laundry rooms of apartment
houses.

A self-service laundry, coin laundry, or coin wash is a facility where

clothes are washed and dried without much personalized professional help.
Some laundries employ staff to provide service for the customers. Minimal
service centres may simply provide an attendant behind a counter to
provide change, sell washing powder, and watch unattended machines for
potential theft of clothing.

The Laundry Services will be responsible for providing adequate,

clean, dry Clothing and textile used in the daily needs of the customers and
provides good quality washing machines available to be used. Also establish
value laden relationships with its clients by providing them with convenient,
professional, eco-friendly, efficient, effective and hygienic oriented dry
cleaning and laundry management solutions. A Self Service Laundry shop
these days will help clean any kind of laundry you bring to them. Be it from
suits, and even curtains and bed linens, they will do the necessary washing,
pressing and even dry cleaning for you.

The proponents of this feasibility study would like to significantly

reduce the burden of the people that not have enough time to do the
laundry. It will be managed by a partnership composed of College Students.
The target market will be the residence of Calamba, Laguna Area.
 BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION MAJOR 3
IN MARKETING MANAGEMENT

Hence, some of the people that residence of Calamba, Laguna did

not have a washing machine at their home and rent apartments so they
had to go to the self-service laundry store which is equipped with coin/cash
operated washing and drying machines. It is simple, convenient and
charges at a reasonable price. That makes it so attractive for individuals and
students especially who have a tight budget to fulfil the basic needs.

We choose vendo laundry shop because we want to help people to

reduce the burden for doing the laundry. Most of laundry shop at Calamba,
Laguna is offering an ordinary laundry shop. Vendo laundry shop is not
familiar in that place this is the innovation between vending machine and
washing machine. The advantages of this business are they can wash their
clothes without much personalized professional help.
 BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION MAJOR 4
IN MARKETING MANAGEMENT

Chapter 2
MARKET ASPECT
Market Aspect is the process of perceiving, understanding,
stimulating, andsatisfying the customer needs, wants and expectations
through the goodsand services of specially selected target market which is
better than thecompetitors. The process of the business is to build strong
customer relationship inorder to gain loyalty from them.In order for your
business to sell its products and services as successfully as possible, you need
to look at what services you are offering in detail to ensure they will be
attractive and needed the price maybe it is not too cheap or too expensive.
Where you are best offering your services and finally, how you can create
interest and awareness for your Services. All these elements need to be
targeted at the right people at the right time.
Market Aspect is considered the most important area in Project
Feasibility Study. This is because it describes market situations where the
product can be identified through the demand analysis. You need to do a
survey to identify who is your target customers and your competitors. Who is
willing and afford to avail the product or service.

A. Product Description
Product description refers to the porpuse and price of the product or
services. The product or services is anything that you can offer in the market
to satisfy the needs and wants of the customers.
The Service will be named “MJ Laundry Hub”. This is a Self Service
Laundry that coins and bills operated. Washing and dryer machines that
operated by coins and bills is very convenient to the customers because
they don’t need to go to counter to change their money. They do their
laundry by themselves without much personalized professional help.
 BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION MAJOR 5
IN MARKETING MANAGEMENT

Self service laundry is you are the one who responsible to do your
laundry so you can check your clothes directly. You just need to do is to
check the available machines and put your exact money to the vendoits
automatically operated. Based from our survey some of people that
residence of Real Calamba City is very hassle to them to do their laundry. So
our target market is the Household of Real Calamba City. Some of the
Customers do their laundry every week. To get the loyalty of customers is to
satisfy them and provide good conditions of machine and clean
environment.

B. Demand Analysis
Demand analysis is to determining the needs and wants of the
customers. Also their capability and willingness to avail the services in their
affordable prices. Determining the needs and wants of the customer is very
important because it helps to improve the sales of the business to become
successful. Study of sales generated by a good or services to determine the
reasons for its success or failure, and how its sales performance can be
improved. This comes into changes by factor that affect thedemand, like
income of the target market, population of the area and price of the
products/service. It also shows the required quantities available to regulate
the marketprice. Demands refers to how much the price afford by the
customers and how many times they need to avail the services.
To establish the demand, the total household living in Real Calamba
City. The population is based onthe data obtained from NSO and Actual
Survey
 BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION MAJOR 6
IN MARKETING MANAGEMENT

Table 2.1.Total Household in Real Calamba City

YEAR Real TOTAL HOUSEHOLD POPULATION

2014 39,062 39,062

2015 34,282 34,282
2016 35,306 35,306
2017 36,359 36,359
2018 37,444 37,444
TOTAL 182,453 182,453
Source: NSO and Actual Survey
The Slovin’s Formula was used to determine the sample size of the
respondents to be used for the survey and the results calculated by using the
recent population (2018) as shown in table 2.1.
The Slovin’s formula is used to determine the respondents sample size
in the area of Real Calamba City, Laguna, with the given population size
and margin of error which is 0.1. Individual population which has been
computed is as follow:
Where: n = Sample size of the respondent
N = Total Population of the target market.
e = marginal error (0.1)
Computations:
n= N
1+Ne2

n= 37,444
1+ 37,444 x (0.1)2

n= 37,444
375
n= 100 Respondent
 BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION MAJOR 7
IN MARKETING MANAGEMENT

Table 2.2. Historical Demand

% OF AVERAG
MONTHLY INDIVID E
INCOME UAL ANNUAL
BRACKET HISTORI
YEA HOOUSEH RESUL WHO RESU AVAILM
CAL
R OLD T AVAILED LT ENT
DEMAND
Above Php A PER
15,000.00 LAUNDR INDIVID
Y SHOP UAL
27,34 20,5 1,066,39
2014 39,062 70% 75% 52
3 08 3
23,99 17,9
2015 34,282 70% 75% 52 935,899
7 98
24,71 18,5
2016 35,306 70% 75% 52 963,854
4 36
25,45 19,0
2017 36,359 70% 75% 52 992,601
1 88
26,21 19,6 1,022,22
2018 37,444 70% 75% 52
1 58 1
TOT 127,7 95,7 4,980,96
182,453
AL 17 88 7
Source: NSO and Actual Survey – Interview of 100 respondent
The total Household population was multiplied to the percentage of
individuals who answered that they are earning Php15,000 and above which
is 70 respondents equivalent to 70% of the population and is multiplied to the
population of target market 75%. The Result of target market was multiplied
to the frequency of annual availment. According to the survey
questionnaire, the average frequency of availment resulted to once a week
and the average annual availment is 52, considering that there are 52 weeks
in a years.

Methods in Projection
To compute the values of demands, use the four methods the
Arithmetic straight line, Arithmeticgeometric curve, Statistical straight line,
and the Statistical parabolic. Each methodwill determine the least standard
 BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION MAJOR 8
IN MARKETING MANAGEMENT

deviation to know what method to be used forprojection of the demand

and supply.

A. Arithmetic Straight Line

Where: Yc = initial value (1 st year)
Yn = final value (last year)
n = number of years

a = Yn - Yc
N - 1
a = 1,022,221 - 1,066,393
5 - 1
a = -11,042.85

Table 2.2.1. Historical Values: Arithmetic Straight line

Step 1 Step 2
YEAR Y a + Yi - 1 = Yc Y - Yc (Y - Yc)2
1,066,39
2014 - - 0.00 0.00
3
- -
1,066,39 1,055,35 14,268,577,236.
2015 935,899 11,042.8 + = 119,451.1
3 0 32
5 5
-
1,055,35 1,044,30 6,472,701,299.6
2016 963,854 11,042.8 + = -80,453.10
0 7 1
5
-
1,044,30 1,033,26 1,653,508,033.2
2017 992,601 11,042.8 + = -40,663.35
7 4 2
5
-
1,022,22 1,033,26 1,022,22
2018 11,042.8 + = 0.00 0.00
1 4 1
5
TOTA 4,980,96 22,394,786,569.
∑=
L 7 16
 BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION MAJOR 9
IN MARKETING MANAGEMENT

Computations:

22,394,786,569.16

σ
=

5
= 4,478,957,313.83
σ = 66,925.01

Table 2.2.2. Project Values: Arithmetic Straight Line

YEAR a + Yi - 1 = Yc
2019 -11,042.85 + 1,022,221 = 1,011,178
2020 -11,042.85 + 1,011,178 = 1,000,136
2021 -11,042.85 + 1,000,136 = 989,093
2022 -11,042.85 + 989,093 = 978,050
2023 -11,042.85 + 978,050 = 967,007

B. Arithmetic Geometric Curve

Where: Yi + 1 = value of the year ahead
r = average rate of increase
Yc= Yi+ 1
1+r
Table 2.2.3. Historical Demand Using Arithmetic Geometric Curve

Step 1 Step 2
%
INCREAS (1
YEA
Y E Yi + 1 ÷ + = Yc Y - Yc (Y - Yc)2
R
(DECREA r)
SE)
201 1,066,3 1,053,51 0.9 1,064,15
- ÷ = 2,239.52 5,015,462.31
4 93 1.55 9 3.08
-
201 935,89 1,042,97 0.9 1,053,51 13,832,805,1
-12.24 ÷ = 117,612.
5 9 6.43 9 1.55 70.50
95
-
201 963,85 1,032,54 0.9 1,042,97 6,260,390,73
2.99 ÷ = 79,122.6
6 4 6.67 9 6.43 2.63
3
 BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION MAJOR 10
IN MARKETING MANAGEMENT

-
201 992,60 1,022,22 0.9 1,032,54 1,595,680,25
2.98 ÷ = 39,945.9
7 1 1.20 9 6.67 2.93
7
201 1,022,2
2.98 0.00
8 21
TOT 4,980,9 21,693,891,6
-3.28 ∑=
AL 67 18.38

Computations:
2015
% = ( 935,899 - 1,066,393 )
[ ] 100
1,066,393

% = -12.24
2016
% = ( 963,854 - 935,899 )
[ ] 100
935,899
% = 2.99
2017
% = ( 992,601 - 963,854 )
[ ] 100
963,854
% = 2.98
2018
% = ( 1,022,221 - 992,601 )
[ ] 100
992,601
% = 2.98

[ ] 21,693,891,618.
(1 + r) = ∑ % increase 38
10
[ ] ÷ + 1 σ
0 =
N-1 5
[ ] 4,338,778,323.6
10
= [ -3.28 ] ÷ + 1 = 8
0
5-1 σ = 65,869.40
(1 + r) = 0.99
 BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION MAJOR 11
IN MARKETING MANAGEMENT

Table 2.2.4. Projected Values: Arithmetic Geometric Curve

YEAR Yi - 1 x (1 + r) = Yc
2019 1,022,221 x 0.99 = 1,011,999
2020 1,011,999 x 0.99 = 1,001,879
2021 1,001,879 x 0.99 = 991,860
2022 991,860 x 0.99 = 981,942
2023 981,942 x 0.99 = 972,122

Table 2.2.5. Historical Values: Statistical Straight Line

Step 1 Step 2
YE X Y-
Y X XY a + b ( x ) = Yc (Y - Yc)2
AR 2 Yc
1,06 - 63,8
201 1,066 1,005,6 1 1,002,5 4,079,514,
1 1 6,39 + 3,16 ( ) = 71.0
4 ,393 85.59 21.52 860
3 4.07 8
-
1,87 -
201 935,8 1,005,6 2 999,35 63,4 4,027,025,
2 4 1,79 + 3,16 ( ) =
5 99 85.59 7.45 58.8 643
7 4.07
5
-
2,89 -
201 963,8 1,005,6 3 996,19 32,3 1,045,848,
3 9 1,56 + 3,16 ( ) =
6 54 85.59 3.38 39.5 435
1 4.07
8
3,97 - -
201 992,6 1 1,005,6 4 993,02
4 0,40 + 3,16 ( ) = 428. 183,707
7 01 6 85.59 9.31
3 4.07 61
5,11 - 32,3
201 1,022 2 1,005,6 5 989,86 1,046,908,
5 1,10 + 3,16 ( ) = 55.9
8 ,221 5 85.59 5.24 148
6 4.07 6
14,9
TOT 4,980 1 5 10,199,480
11,2 ∑=
AL ,967 5 5 ,792
60

Computations:
4,9
∑ ∑ 14,911 1 80,
a = Y -b X b = ( 5 ) ( ,260 ) ( 5 ) ( 967 )
n n 5(55) - (15)2
b = n ∑ XY - ∑X ∑Y b = -158,203
n (X)2 - (∑X)2 50
b = -3,164.07
 BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION MAJOR 12
IN MARKETING MANAGEMENT

1
a = 4,980,967 3,164.07 ( 5 ) σ = 10,199,480,792.32
5 5 5
= 996,193.38 3,164.07 ( 3 ) = 2,039,896,158.46
= 996,193.38 9,492.21 σ = 45,165.21
1,005,685.5
a = 9

Table 2.2.6. Projected Values: Statistical Straight Line

YEAR a + b = Yc

2019 1,005,685.59 + -3,164.07 ( 6 ) = 986,701

2020 1,005,685.59 + -3,164.07 ( 7 ) = 983,537

2021 1,005,685.59 + -3,164.07 ( 8 ) = 980,373

2022 1,005,685.59 + -3,164.07 ( 9 ) = 977,209

2023 1,005,685.59 + -3,164.07 ( 10 ) = 974,045

C. Statistical Parabolic
Table 2.2.7. Historical Values: Statistical Parabolic
Y
Step 1 Step 2
E X X X2
Y X XY
A 2 4 Y X Y- (Y -
a + b x + c = Yc
R 2 Yc Yc)2
- -
2 1,0 4,2 95 22, 1,0 18,
2,1 3, 324,3
0 66, - 1 65, 0,3 - 93 - 48, 01
4 32, + 16 ( ) + ( ) ( 2 ) = 95,40
1 39 2 6 57 33. 2 0.0 2 381 0.9
78 4. 0.56
4 3 0 28 5 .62 8
5 07
- -
2 - 95 22, 976 1,642
93 93 3, 40,
0 - 93 0,3 - 93 - ,42 ,583,
5,8 1 1 5,8 + 16 ( ) + ( ) ( 2 ) = 52
1 1 5,8 33. 1 0.0 1 7.4 629.4
99 99 4. 8.8
5 99 28 5 0 4
07 0
-
2 95 22, 950 13,
96 3, 182,8
0 0,3 93 ,33 52
3,8 0 0 0 0 0 + 16 ( 0 ) + ( ) ( 0 2 ) = 04,46
1 33. 0.0 3.2 0.5
54 4. 1.07
6 28 5 8 2
07
 BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION MAJOR 13
IN MARKETING MANAGEMENT

-
2 95 22, 970 22,
99 99 99 3, 506,3
0 0,3 93 ,09 50
2,6 1 1 1 2,6 2,6 + 16 ( 1 ) + ( ) ( 1 2 ) = 14,80
1 33. 0.0 9.2 1.4
01 01 01 4. 2.07
7 28 5 6 4
07
- -
2 1,0 2,0 4,0 95 22, 1,0
3, 13, 182,3
0 22, 1 44, 88, 0,3 93 35,
2 4 + 16 ( 2 ) + ( ) ( 2 2 ) = 50 61,79
1 22 6 44 88 33. 0.0 725
4. 4.1 7.14
8 1 2 5 28 5 .34
07 4
T
4,9 - 10, 2,83
O
80, 1 3 31, 28 ∑ 8,46
T
96 0 4 64 2,9 = 0,09
A
7 1 55 0.28
L

Computations:
a = (∑ X4) (∑ Y) - (∑ X2) (∑ X2Y)
n (∑ X4) - (∑ X2)2
= ( 34 ) ( 4,980,967 ) - ( 10 ) ( 10,282,955 )
(5)(34) - (10)2
= 66,523,329.60
70
a = 950,333.28

b = ∑XY c = n (∑ X2Y) - (∑ X2) (∑Y)

∑ X2 n (∑ X4) - (∑ X2)2
1
= -31,641 = ( 5 ) ( 10,282,955 ) - ( 0 ) ( 4,980,967 )
10 (5)(34) - (10)2
-
3,164.0
b = 7 = 1,605,104

70
c = 22,930.05
 BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION MAJOR 14
IN MARKETING MANAGEMENT

2,838,460,090.28
σ =
5

= 567,692,018.06
σ = 23,826.29

Table 2.2.8. Projected Values: Statistical Parabolic for demand

YEA X
a + b x + c = Yc
R 2

-
201 950,333. 22,930. 1,147,211.
+ 3,164.0 ( 3 ) + ( ) ( 3 2 ) =
9 28 05 52
7
-
202 950,333. 22,930. 1,304,557.
+ 3,164.0 ( 4 ) + ( ) ( 4 2 ) =
0 28 05 80
7
-
202 950,333. 22,930. 1,507,764.
+ 3,164.0 ( 5 ) + ( ) ( 5 2 ) =
1 28 05 18
7
-
202 950,333. 22,930. 1,756,830.
+ 3,164.0 ( 6 ) + ( ) ( 6 2 ) =
2 28 05 66
7
-
202 950,333. 22,930. 2,051,757.
+ 3,164.0 ( 7 ) + ( ) ( 7 2 ) =
3 28 05 24
7

Table 2.2.9. Summary of Standard Deviation: Historical Demand

Arithmetic Straight Line 66,925.01

Arithmetic Geometric Curve 65,869.40

Statistical Straight Line 45,165.21

Statistical Parabolic 23,826.29

LOWEST STANDARD DEVIATION

(DEMAND): 23,826.29
 BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION MAJOR 15
IN MARKETING MANAGEMENT

Table 2.2.10. Projected Values Using Statistical Parabolic for Demand

YE
a + b x + c X2 = Yc
AR
-
201 950,333 3,164. 22,930 1,147,
9 .28 + 07 ( 3 ) + ( .05 ) ( 3 2 ) = 212
-
202 950,333 3,164. 22,930 1,304,
0 .28 + 07 ( 4 ) + ( .05 ) ( 4 2 ) = 558
-
202 950,333 3,164. 22,930 1,507,
1 .28 + 07 ( 5 ) + ( .05 ) ( 5 2 ) = 764
-
202 950,333 3,164. 22,930 1,756,
2 .28 + 07 ( 6 ) + ( .05 ) ( 6 2 ) = 831
-
202 950,333 3,164. 22,930 2,051,
3 .28 + 07 ( 7 ) + ( .05 ) ( 7 2 ) = 757

After computing the methods of projection, the proponents

determined that Statistical Parabolic has the least Standard Deviation which
is 23,826.29. So, the proponents used the method in projecting the demand
for the next five years is Statistical Parabolic.
D. Supply Analysis
Supply is the amount of a product per unit of time that producers are
willing to sell at various given prices when all other factors are held constant.
The supply of the product is set of quantities. The seller would offer various
possible prices to a particular market at a given period of time. The
 BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION MAJOR 16
IN MARKETING MANAGEMENT

proposed venture will be the first Vendo laundry in Calamba City. Orange
Laundry, City laundry, Singlemom laundry, yanny’s laundry and
Calambubble’s Laundry shop will be the indirect competitors.
Table 2.3. HistoricalSupply
ORANG SINGLE
CITY CALAMBUBBL
E MOM YANNY'LAUND HISTORIC
YEAR LAUNDR ES LAUNDRY
LAUNDR LAUNDR RY SHOP AL SUPPLY
Y SHOP
Y Y
2014 255,420 49,500 66,000 55,110 88,110 514,140
2015 280,962 54,450 72,600 60,621 96,921 565,554
2016 306,249 59,351 79,134 66,077 105,644 616,454
2017 327,686 63,505 84,673 70,702 113,039 659,606
2018 340,793 66,045 88,060 73,530 117,561 685,990
TOTA 1,511,11
292,851 390,468 326,041 521,274 3,041,743
L 0
Source: based actual interviews, surveys and research
Methods of Projection
1. Arithmetic Straight Line
Where:
Yc = initial value (1 st year) N = number of years
Yn = final value (last year) a = Yn - Yc
Yi = value for the year past

Table 2.3.1. Historical Values: Arithmetic Straight Line

Step 1 Step 2
YEAR Y a + Yi - 1 = Yc Y - Yc (Y - Yc)2
2014 514,140 - - 0.00 0.00
2015 565,554 42,962.46 + 514,140 = 557,102 8,451.54 71,428,463.26
2016 616,454 42,962.46 + 557,102 = 600,065 16,388.93 268,597,101.80
2017 659,606 42,962.46 + 600,065 = 643,027 16,578.24 274,837,996.54
2018 685,990 42,962.46 + 643,027 = 685,990 0.00 0.00
TOTAL 3,041,743 ∑= 614,863,561.60
 BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION MAJOR 17
IN MARKETING MANAGEMENT

Computations:
a = Yn - Yc 614,863,561.60
σ =
N - 1 5
= 685,990 - 514,140 = 122,972,712.32
5 - 1 σ = 11,089.31
a = 42,962.46

Table 2.3.2. Projected Values: Arithmetic Straight Line

YEAR a + Yi - 1 = Yc
2019 42,962.46 + 685,990 = 728,952
2020 42,962.46 + 728,952 = 771,915
2021 42,962.46 + 771,915 = 814,877
2022 42,962.46 + 814,877 = 857,840
2023 42,962.46 + 857,840 = 900,802

2. Arithmetic Geometric Curve

Yc = Yi – 1
Where:
Yi+1 = value for the year ahead
r = average rate of increase

Table 2.3.3. Historical Values: Arithmetic Geometric Curve

Step 1 Step 2

%
YEA INCREASE (1
Y Yi + 1 ÷ = Yc Y - Yc (Y - Yc)2
R (DECREAS + r)
E)
552,1 1.0 513,669.
2014 514,140 - ÷ = 470.43 221,307.07
95 8 57
593,6 1.0 552,194. 13,359. 178,468,633.7
2015 565,554 10.00 ÷ =
09 8 78 22 8
 BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION MAJOR 18
IN MARKETING MANAGEMENT

638,1 1.0 593,609. 22,844. 521,869,647.9

2016 616,454 9.00 ÷ =
30 8 39 47 1
685,9 1.0 638,130. 21,475. 461,198,480.9
2017 659,606 7.00 ÷ =
90 8 10 53 6

2018 685,990 4.00 0.00

TOT 3,041,7 1,161,758,069

30.00 ∑=
AL 43 .71

Computations:
2015
% = ( 565,554 - 514,140 )
[ ] 100
514,140
% = 10.00
2016
% = ( 616,454 - 565,554 )
[ ] 100
565,554
% = 9.00
2017
% = ( 659,606 - 616,454 )
[ ] 100
616,454
% = 7.00
2018
% = ( 685,990 - 659,606 )
[ ] 100
659,606
% = 4.00

(1 + [ ∑ % ] 1,161,758,069.7
r) = increase 1
10
[ ] ÷ + 1 σ
0 =
N-1 5
[ ]
= 30 10 = 232,351,613.94
[ ] ÷ + 1
0
5-1 σ = 15,243.08
(1 +
r) = 1.08
 BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION MAJOR 19
IN MARKETING MANAGEMENT

Table 2.3.4. Projected Values: Arithmetic Geometric Curve

YEAR Yi - 1 x (1 + r) = Yc

2019 685,990 x 1.08 = 737,439

2020 737,439 x 1.08 = 792,747

2021 792,747 x 1.08 = 852,203

2022 852,203 x 1.08 = 916,118

2023 916,118 x 1.08 = 984,827

3. Statistical Straight Line

Where:
a = ƩY – b ƩX b = n ƩXY – ƩX ƩY
n n n ƩX² - (ƩX)²
n = number of the year
Table 2.3.5. Historical Values: Statistical Straight Line
Step 1 Step 2
YE X Y- (Y -
Y X XY a + b ( x ) = Yc
AR 2 Yc Yc)2
-
201 514,1 514,1 477,02 43,77 1 520,79 44,334,
1 1 + ( ) = 6,658
4 40 40 3.27 5.13 8.40 303
.40
201 565,5 1,131, 477,02 43,77 2 564,57 980.4 961,31
2 4 + ( ) =
5 54 108 3.27 5.13 3.54 6 2
201 616,4 1,849, 477,02 43,77 3 608,34 8,105 65,694,
3 9 + ( ) =
6 54 362 3.27 5.13 8.67 .19 119
201 659,6 1 2,638, 477,02 43,77 4 652,12 7,481 55,977,
4 + ( ) =
7 06 6 423 3.27 5.13 3.80 .83 735
-
201 685,9 2 3,429, 477,02 43,77 5 695,89 98,189,
5 + ( ) = 9,909
8 90 5 949 3.27 5.13 8.94 904
.08
TOT 3,041, 1 5 9,562, 265,15
∑=
AL 743 5 5 981 7,373

Computations:
∑ ∑ 9,562,98 1 3,041
a = Y -b X b = ( 5 ) ( 1 ) ( 5 ) ( ,743 )
 BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION MAJOR 20
IN MARKETING MANAGEMENT

n n 5(55) - (15)2
b = n ∑ XY - ∑X ∑Y b = 2,188,757
n (X)2 - (∑X)2 50
b = 43,775.13

1
a = 3,041,743 -43,775.13 ( 5 ) σ = 265,157,372.89
5 5 5
= 608,348.67 -43,775.13 ( 3 ) = 53,031,474.58
= 608,348.67 -131,325.40 σ = 7,282.27
a = 477,023.27

Table 2.3.6. Projected Values: Statistical Straight Line

YEAR a + b = Yc
2019 477,023.27 + 43,775.13 ( 6 ) = 739,674
2020 477,023.27 + 43,775.13 ( 7 ) = 783,449
2021 477,023.27 + 43,775.13 ( 8 ) = 827,224
2022 477,023.27 + 43,775.13 ( 9 ) = 870,999
2023 477,023.27 + 43,775.13 ( 10 ) = 914,775

4. Statistical Parabolic
Y = a + bx + cx² Where: a = (∑X 4 ) (∑Y) - (∑X 2 ) (∑X 2 Y)
(∑X 4 ) - (∑X 2 )

Table 2.3.7. Historical Values: Statistical Parabolic

Step 1 Step 2
Y
Y
E X X X2 (Y -
Y X XY X -
A 2 4 Y a + b x + c = Yc Yc)
2 Y
R 2
c
- 2,0 61 43 - - 51
2 51 1,0 56, 6, ,7 2 4, 2, 1, 2,5
0 4,1 28, 56 60 75 . 12 54 59 59,
1 40. - 1 280 0.0 6. .1 0 9. - 0. 9. 466
0 00 2 4 6 .00 0 90 + 3 ( 0 ) + ( 12 ) ( 2 2 ) = 17 83 .52
- 61 43 - - 56 -
2 56 565 56 6, ,7 1 4, 8, 3, 9,9
0 5,5 ,55 5,5 60 75 . 12 70 14 14,
1 54. - 4.0 54. 6. .1 0 9. - 2. 8. 010
5 00 1 1 1 0 00 90 + 3 ( 0 ) + ( 12 ) ( 1 2 ) = 65 65 .17
2 61 0 0 0 0.0 0.0 61 + 43 ( 0 ) + ( - ) ( 0 2 ) = 61 - 23,
 BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION MAJOR 21
IN MARKETING MANAGEMENT

0 6,4 0 0 6, ,7 . 4, 6, 15 422
1 53. 60 75 0 12 60 3. .26
6 86 6. .1 0 9. 6. 04
90 3 12 90
61 43 - 65 11,
2 65 659 65 6, ,7 1 4, 6, 3, 240
0 9,6 ,60 9,6 60 75 . 12 25 35 ,66
1 05. 5.6 05. 6. .1 0 9. 2. 2. 3.5
7 63 1 1 1 3 63 90 + 3 ( 0 ) + ( 12 ) ( 1 2 ) = 92 71 3
2,7 61 43 - 68 -
2 68 1,3 43, 6, ,7 2 4, 7, 1, 2,7
0 5,9 71, 95 60 75 . 12 64 65 25,
1 89. 1 979 9.4 6. .1 0 9. 0. 0. 298
8 86 2 4 6 .71 2 90 + 3 ( 0 ) + ( 12 ) ( 2 2 ) = 70 85 .19
T 3,0 6,0 26,
O 41, 437 25, 462
∑
T 74 ,75 67 ,86
=
A 3.3 1 3 1.3 9.0 0.6
L 5 0 4 4 5 6

Computations:
a = (∑ X4) (∑ Y) - (∑ X2) (∑ X2Y) b = ∑XY
n (∑ X4) - (∑ X2)2 ∑ X2
3 3,041,74 1 6,025,67 437,751.3
= ( 4 ) ( 3 ) - ( 0 ) ( 9 ) = 4
(5)(34) - (10)2 10.00
= 43,162,483.23 b = 43,775.13
70.00
26,462,860.
c = n (∑ X2Y) - (∑ X2) (∑Y) σ 66
=
n (∑ X4) - (∑ X2)2 5.00
6,025,67 1 3,041,74 5,292,572.1
= ( 5 ) ( 9 ) - ( 0 ) ( 3 ) = 3
(5)(34) - (20)2 σ = 2,300.56
= -289,038.20
70.00
c = -4,129.12
a = 616,606.90
 BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION MAJOR 22
IN MARKETING MANAGEMENT

Table 2.3.8. Projected Values: Statistical Parabolic

YEA X
R a + b x + c 2 = Yc
-
201 616,606. 43,775. 4,129.1 710,770.
9 90 + 13 ( 3 ) + ( 2 ) ( 3 2 ) = 25
-
202 616,606. 43,775. 4,129.1 725,641.
0 90 + 13 ( 4 ) + ( 2 ) ( 4 2 ) = 57
-
202 616,606. 43,775. 4,129.1 732,254.
1 90 + 13 ( 5 ) + ( 2 ) ( 5 2 ) = 65
-
202 616,606. 43,775. 4,129.1 730,609.
2 90 + 13 ( 6 ) + ( 2 ) ( 6 2 ) = 49
-
202 616,606. 43,775. 4,129.1 720,706.
3 90 + 13 ( 7 ) + ( 2 ) ( 7 2 ) = 10

Table 3.9. Summary of Standard Deviation: Historical Supply

Arithmetic Straight Line 11,089.31

Arithmetic Geometric Curve 15,243.08
Statistical Straight Line 7,282.27
Statistical Parabolic 2,300.56

LOWEST STANDARD DEVIATION (SUPPLY): 2,300.56

After computing the methods of projection, the proponents

determined that the Statistical Parabolic has the least Standard Deviation
which is 2,300.56. It was used to project the supply for the next five years.

Table 3.10. Projected Values Using Statistical Parabolic for Supply

YEA X
R a + b x + c 2 = Yc
-
616,606.9 43,775.1 4,129.1 710,77
2019 0 + 3 ( 3 ) + ( 2 ) ( 3 2 ) = 0
 BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION MAJOR 23
IN MARKETING MANAGEMENT

-
616,606.9 43,775.1 4,129.1 725,64
2020 0 + 3 ( 4 ) + ( 2 ) ( 4 2 ) = 2
-
616,606.9 43,775.1 4,129.1 732,25
2021 0 + 3 ( 5 ) + ( 2 ) ( 5 2 ) = 5
-
616,606.9 43,775.1 4,129.1 730,60
2022 0 + 3 ( 6 ) + ( 2 ) ( 6 2 ) = 9
-
616,606.9 43,775.1 4,129.1 720,70
2023 0 + 3 ( 7 ) + ( 2 ) ( 7 2 ) = 6

D. Demand and Supply Analysis

Demand and Supply Analysis is an important thing in making project
feasibility study and researches. Its determine the comparison between one
another as well as the amount of unsatisfied demand within the target
market of the proposed business will be a great help in determining the
share on the market.
Table 2.4. Projected Unsatisfied Demand

PROJECTED PROJECTED UNSATISFIED

YEAR
DEMAND SUPPLY DEMAND
2019 1,376,654 710,770 665,884
2020 1,565,469 725,642 839,828
2021 1,809,317 732,255 1,077,062
2022 2,108,197 730,609 1,377,587
2023 2,462,109 720,706 1,741,403
Unsatisfied Demand = Projected Demand – Projected Supply

E. Market Share
Market share is a measure of the consumers' preference for a product
over other similar products. A higher market share usually means greater
sales, lesser effort to sell more and a strong barrier to entry for other
competitors. Market share is calculated by taking the company sales over
the period and dividing it by the total sales of the industry over the same
 BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION MAJOR 24
IN MARKETING MANAGEMENT

period. A percentage of total sales volume in a market captured by a

brand, product, or company.
Table 2.5. Market Share
UNSATISFIED ACCEPTANCE PROJECTED MARKET
YEAR
DEMAND FACTOR DEMAND SHARE
2019 436,441 45% 1,147,212 17.12%
2020 578,916 45% 1,304,558 19.97%
2021 775,510 45% 1,507,764 23.15%
2022 1,026,221 45% 1,756,831 26.29%
2023 1,331,051 45% 2,051,757 29.19%
Market Share = ((Unsatisfied Demand x Acceptance Factor) / Projected Demand) x
100

F. Price Study
Price is simply the value you give in exchange for a product or
services. Pricing is the process whereby a business sets the price at which it
will sell its products and services, and may be part of the business in
marketing plan. The proponents have gathered the prices of its competitors.
It may help in setting its own price for the proposed product.
Table 6: Price Comparison
COMPETITORS KILOS PRICE

CITY LAUNDRY 6kls 70.00

ORANGE LAUNDRY 1kilo 40.00

SINGLE MOM LAUNDRY 1kilo 30.00

YANNY'LAUNDRY SHOP 1kilo 30.00

PROPONENT’S PRICE 1kilo 42.00

G. Factors Affecting the Market

Factors that affect the market price of goods include supply,
demand, competition and substitutes. Depending on the market, there
 BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION MAJOR 25
IN MARKETING MANAGEMENT

could be other factors such as currency exchange rates, environmental

concerns and political instability.
G.1. Factors affecting the demand
•Population Growth is the increasing number of individuals in a
population. Therefore, as the population grows the demand for the
services also increases.
•Consumer’s Income is the amount of wages or income of the
consumers. Also known as discretionary income or expendable
income. This is to know if the consumer afford to avail the services. The
more high income the more person avail the services.
•Taste and Preference Everyone has a different taste or preferences
but some of the consumer always choose the services that make
them comfortable and save money.
•Competition is always expected when it comes in business. To know
who will be your competitors do a survey. Their weaknesses will help
you to decide what to innovate to your business.
•Quality of the Product is very important beacause this will be your
asset to get the loyalty of the customers. Our Machines is in good
condition to be used of customers. They use it without any hesitation.
Also the Quality of services may applied. The Crew will assist the
customer to help their needs.
•Nature of the Good. The garbage that used in business will dispose
properly.
•Marketing Tools are the things that available to help small and large
businesses reach a larger audience. Giving Flyer will help to promote
your business and to become familiar to the people who lives and
near in your store.
G.2. Factors Affecting the Supply
 BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION MAJOR 26
IN MARKETING MANAGEMENT

•Location will be located in Real Calamba City the business place are
near in apartment, small establishements and schools so they can do
their laundry anytime.
•Source and Cost of Production. the theory that the price of an object
or condition is determined by the sum of the cost of the resources that
went into making it. The cost can comprise any of the factors of
production (including labor, capital, or land) and taxation.
•Advancement of Technology. The technology will become
innovative, we need to choose latest machines to be used.
•Government Policies. Every business must follow the government
policies and regulations. The business that operating within the
national boundaries should be regulated by this government institute.
The business will need to pay their taxes.
G.3. Factors Affecting the Price.
•Advertisement. Advertisement is the way you need to promote your
services. The effective to use to promote your business is to give flyers
and communicate to the consumers.
•Labor Cost. The sum of all wages paid to employees, as well as the
cost of employee benefits and payroll taxes paid by an employer. It
will be minimum wages.
•Price Elasticity. Price Elasticity is a measure of the relationship
between a change in the quantity demanded of a particular good
and a change in its price. Price Elasticity of Demand is a term used in
economics when discussing price sensitivity.
•Competitors. Every competitors have their own price. look at your
competitors pricing to find the range for your product. Price must be
lower to the competitors price but desame or high quality.
 BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION MAJOR 27
IN MARKETING MANAGEMENT

•Transaction Cost. The costs other than the money price that are
incurred in trading goods or services. Before a particular mutually
beneficial trade can take place, at least one party must figure out
that there may be someone with which such a trade is potentially
possible, search out one or more such possible trade partners, inform
him/them of the opportunity, and negotiate.
H. Marketing Programs
A marketing program is a coordinated, thoughtfully designed set of
activities that help you achieve your marketing objectives. Your marketing
objectives are strategic sales goals that fit your strengths and are a good
way to stretch your business in its current situation.
•H.1. Target Market. The target market will be the residence of
Calamba City that don’t have enough time to do the laundry.
•H.2. Services Strategy. This is self Service Laundry that coins and bills
opersted. The customer wash their clothes without professional help. A
product strategy outlines a company’s strategic vision for its product
offerings by stating where the products are going, how they will get
there and why they will succeed. The product strategy enables you
to focus on a specific target market and feature set, instead of
trying to be everything.
•H.3. Price Strategy The pricing is based on the quality of the product.
The Price will be PHP 42 per kilo wash and dry with free detergent with
downy. It is based on the cost of material used, labor and the
expenses incurred during the production process.
•H.4. Promotion and Advertising Strategy is the process of getting your
business noticed by the people who need or want your products or
services. You need to give flyers to the consumers and communicate
to get their attention to avail the services.
BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION MAJOR 28
IN MARKETING MANAGEMENT

•H.4.1. Tarpaulins, Flyers, Signage and Social Media will help to

promote the business. Give the the tarpaulin and flyers to different
area to become the business familiar to people.

•H.5. Channel of Distribution Channel of distribution is a chain of

businesses or intermediaries through which a good or service passes
until it reaches the end consumer. The services will be distributed
directly to consumer

SERVICE PROVIDER

CONSUMER
 BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION MAJOR 29
IN MARKETING MANAGEMENT

Chapter 3

TECHNICAL ASPECT

After the Market Aspect (Study), the technical feasibility of the project
will be analyzed. This will enable the discussion of specific points that the
concerned readers or users of this proposition should know about the
technical side of the business, specifically the origin, procedures and
instructions on how the chosen machines and equipments are used for the
operations of the business.

A. Services Description

The business that will be operated will provide a kind of laundry

service that has never been seen or even heard of in our chosen place of
establishment. It is called “Coins and Bills Laundry Hub”, it is a laundry shop
wherein the washing machines that will be used are coin and bill operated,
customers will do their own laundry but with the guidance of our cashier and
of couse with the help of our state-of-the-art machines, which can carry up
to 22.5 pounds equivalent to 10.2 kilos of clothes, that would surely make
their laundry experience as satisfying as it could ever be by providing them
with the cleanest clothes for we use a special 2 in 1 laundry detergent with
fabric softener and the driest clothes for our washing machines have a super
drying capability that will make the clothes so dry, the customers won’t need
to hang it and wait for it to dry, they can directly put their Even though our
washing machines are high-end, customers can still avail our laundry
services at an affordable price but quality is much guaranteed.
 BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION MAJOR 30
IN MARKETING MANAGEMENT

A. Services Process
The service process shows the step by step procedure on how to
operate our coin and bill operated washing machine. This area of study
describes the detailed process of the service through a flow chart where it
indicates the normal duration of the process.The process is shown in figure 2.
1. Go to the cashier’s desk for the weighing of the clothes, issuance of
official receipt and receiving of the laundry basket.
In order to avoid such customers from deceiving the cashier or helper
by no telling the right amount of measurement of their clothes, the cashier
would be the one to weigh the customer clothes to also keep track of the
number of services (in kilos) per day the laundry hub will make. After the
weighing of the clothes, the cashier will now issue an official receipt stating
the measurement (in kilos) of the clothes and the amount that the customer
will have to put on the washing machine’s money slot. Customers without
official receipts will not be able to do their laundry yet. In addition, the
cashier will also provide the customer with the necessary amount of the
special laundry detergent with fabric softener and a laundry basket to
temporarily put their clothes.

2. Preparation of Laundry Mat

This is the process of preparing and separating the white clothes from
the colored ones. When it comes to time saving techniques, failing to
sort out your colors when you do your laundry is not a wise course. Sure,
you will save a spot of time while loading your washing mach ine but, in
the long run, you will find yourself spending more time replacing
damaged clothing. In addition, in short speed, you will discover that
many of your garments do not look flattering any longer, colors fade
and become dull when colored clothing are not properly separated
 BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION MAJOR 31
IN MARKETING MANAGEMENT

from the white ones before the cleaning of your clothes. The separation
of lightweight or thin fabrics from heavy fabrics should also be considered.

3. Laundry Process
Laundry is a process where the garments are washed and cleaned
using specialized laundry chemicals and detergents. Prior doing the laundry
process, the customer will have to seek the cashier’s assistance in order to
operate the washing machine.
Below is the procedure in using our coin and bill operated washing machine:
1. Place your clothes inside the tub. Close the door of the washing machine.
2. Insert the necessary coins and bills on the money slot.
3. Select the water level range (based on kilos of clothes), add the special
detergent with fabric softener onto the hole specified on the machine and
then press the start button. The machine will then start spinning and washing
the clothes. After 30 mins, prepare the clothes for the drying process.

4. Drying
1. Once the washing machine finished washing the clothes, press the start
button for the dryer and turn the knob clockwise to 120.
2. Check your clothes after 10 mins to pull out the clothes that are dried.
The quality of our drying services are not like the ones that regular
dryers provide, our dryer has the ability to dry the clothes completely to the
point where the customer does’nt have to hang it and wait for it to dry, they
can directly store it into their bags and then straight to their closets.
 BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION MAJOR 32
IN MARKETING MANAGEMENT

Figure 3.1. Service Process

Weighing of the clothes, issuance of official receipt and

receiving of the detergent with fabric softener and
laundry basket.

5 MINS

Preparation of Laundry Mat

10 MINS

Laundry Process (Includes Adding of Special

Detergent with Fabric softener)
10 MINS PER KILO

Drying Process
10 MINS
 BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION MAJOR 33
IN MARKETING MANAGEMENT

B. Plant Size and Production Schedule

Scheduling is used to allocate plant and machinery resources in order
to efficiently and effectively plan, purchase, process, produce and finally sell
the company’s desired output from its resources whether it may be in the
form of a product or a service.
B.1. Plant Size
The HUB area is located at Brgy Real Calamba City. The lot Area is 239
sqm. The proponent will pay a monthly rent of P10,000.00. This is where our
laundry services will be provided.
The machine and equipment are easy to operate. The laundry
materials are near in the counter area so that the cashier can easily and
properly get the materials. The table is located near in the machine wherein
the customer can put their basket for the preparation of their Laundry mat.
Waiting area is also available for our customers in order for them to relax
while waiting their clothes to be cleaned. The laundry hub also includes a
snack bar where the customers can buy snacks and drinks when they get
hungry or thirsty. The business will operate on a single shift basis.

B.2. Production Schedule

The Laundry Hub will be operating from Tuesday-Sunday. The business
will be operated in single shift from 8:00 am to 5:00pm. Non- operating days
will include Monday and Legal Holidays.

C. Machinery and Equipment

Machineries and Equipment required are identified and individually
listed according to the type of use, Specification, quantities and cost are
described in details.
 BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION MAJOR 34
IN MARKETING MANAGEMENT

Table 3.2. Machinery and Equipment

Particulars Quanti Unit Total
ty Cost Cost
Washing Machine with dryer 5 59,000. 295,000.
(LG –Platinum Vended ) 00 00

Aircon (carrier) 1 39,500. 39,500.0

00 0
Tv (Devant) 1 27,500. 27,500.0
00 0
Weighing Scale 1 779.00 779.00
Portable electronic cooling and warming mini 1 709.95 709.95
refrigerator 7.5L
Total 363,488.
95

Source: Sm Home Apliance EBAY and Lazada

FOR WASHING MACHINE SPECIFICATION AND MODEL

LG PLATINUM COMMERCIAL WASHER LG PLATINUM COMMERCIAL DRYER
Easy To Operate Easy To Operate
Highly Programmable Durable For Years Of Operation
Neverrust Stainless Steel Wash Tub Efficient
Steel Control Panel Reversible Dryer Door
Atomizing System And Tilted Drum Quiet Operation
Inverter Direct Drive System And High Extract Speeds Equal A Faster Dry.
 BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION MAJOR 35
IN MARKETING MANAGEMENT

Table 3.3. Furniture and Fixture

Items Quantity Unit Total
Cost Cost
SUMO ST-2448F Folding Rectangular Plastic 1 1,699.00 1,699.00
Table
Primetime Higear Low 48cm Height Fold- 1 521.00 521.00
Away Table
San-yang Waiting Chairs 8 6,615.00 26,460.00
Basket 20 65.00 1,300.00
 BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION MAJOR 36
IN MARKETING MANAGEMENT

Cyclone Fire Extinguisher 10lbs ABC Dry 1 1,150.00 1,150.00

Chemical
Ergodynamic OC-121P9 Office Chair 1 1,099.00 1,099.00
Furniture
San-yang Computer Table FCT305 SY 1 1,885.00 1,885.00
Clock 1 120.00 120.00
Total 34,234.00

Source Lazada and New star

Table 3.4. Annual Office Supplies

Items Quantity Unit Cost Total Cost

3 pcs valiant columnar 4 130.00 520.00

notebook (10 columns)
Ballpen 12 6.00 72.00

Official Receipt 96 52.00 4,992.00

Total 5,884.00

Source National Book Store and Lazada

Table 3.5. Annual Supplies Including Supplies for Snack Bar

Items Quantity Unit Cost Total Unit Cost
Dustpan 2 70.00 140.00
Broom 2 130.00 260.00
Rags 6 20.00 120.00
Trashbin 2 90.00 180.00
Garbage bag 3 65.00 195.00
Liquid Soap 3 100.00 300.00
 BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION MAJOR 37
IN MARKETING MANAGEMENT

Mop 2 170.00 340.00

Door Mat 3 75.00 225.00
Muriatic Acid 2 70.00 140.00
Toilet Brush 2 60.00 120.00
Special 2 in 1 detergent 20 149.50 2,990.00
with fabric softener (1 kg
per pack)
Jack n’ jill Mr. chips 624 4.85 3026.40
nacho cheese flavor
Vcut potato chips 624 12.50 7800.00
Clover Chips Cheese 624 6.25 3900.00
Chippy Barbeque Flavor 624 6.00 3744.00
Big 250 Apple Juice Drink 2,496 8.50 21,216.00
250 ml
Total 44,696.40

Source New Star and Robinsons Supermarket

D. Plant Location
Location is very important for all types of business units. This is because
it affects the cost, selling price, and demand of the product or service. It is a
non-recurring expense but it requires a material amount of money.
The Laundry Hub services which also serves as its office is located at
Brgy. Real Calamba, Laguna. The location was chosen for it can
accommodate a space for a large number of customers who will avail our
offered services. It is also near establishments specifically grocery stores and
other supply centers where we can easily get supplies from when we
immediately need them.
BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION MAJOR 38
IN MARKETING MANAGEMENT
 BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION MAJOR 39
IN MARKETING MANAGEMENT

E. Plant Layout

Plant Layout involves the allocation of space and the arrangement of

equipment in such a manner that overall operating cost is minimized. The
Laundry Hub Layout is composed of the cashier’s desk, a long table wherein
the customer can put their basket containing their clothes and other laundry
materials. The Laundry area is manageable for the customers for we have a
waiting area for them, waste diposal area, snacks bars, a rest room, and a
parking area.
The fragment refers to the arrangement of the equipment, furniture
and fixtures and machineries used by the business. It is placing the right
equipment, coupled with the right place to permit the processing of the
product unit in the most effective manner through the possible distance and
in the shortest possible time.
 BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION MAJOR 40
IN MARKETING MANAGEMENT

F. Building and Facilities

The Projected Coins and Bills Laundry Hub is located at Brgy. Real
Calamba, Laguna with the total lot area of 239 square meters for office and
hub area. The building will be rented at 10,000 a month.

G. Utilities

These are services particularly light, power or water in order for the
business to operate its facilities and run the business.
Table 3.6. Utilities
Utilities Montly Cost Annual Cost

Meralco 9000.00 108,000.00

Water Bills 6,000.00 72,000.00

Postage telephone and telegram 2000.00 24,000.00

(Telephone & Wifi)
Total 204,000.00

Water Bill Computations

Consuming Commercial B Daily Consumption Monthly Annual
Consumption
Over 50 cu.m 30.79 246.32 6,404.32 76,851.8
 BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION MAJOR 41
IN MARKETING MANAGEMENT

H. Waste Disposal

It is the collection, processing, and recycling or deposition of the

waste materials of human society. The term “waste” covers both solid and
liquid waste.
An important part of having a good service and productive flow is to
observe a proper waste disposal. Since our laundry hub involves the
production of liquid waste, such will flow properly in the drainage system.
Non-reusable parts of our laundry supplies will not cause harm in the
environment. All trashbins are properly labelled wherein it will serve as a
guide on the right segregation and disposal of waste of the customers as
well as the employee. The public is assured that the institution is free from
pollution and garbage will be collected by the city garbage collector every
Saturday.

I. Labor Requirements

The following regulations enable the protection of workers and

potential hires which mandaes workers’ fair treatment and the provision of
benefits and a safe place for them to work. It also aims to provide a
harmonious relationship between the superior and workers achieved
through an open communication and freedom of giving suggestions by the
subordinates.
To lessen the labor cost, the proponent will be supervised and
managed by the owner.
Table 3.7. Direct Labor Cost
Employee Descriptions No.of workers Monthly salary Annual
Salary
 BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION MAJOR 42
IN MARKETING MANAGEMENT

Shop Manager 1 15,000.00 180,000.00

Secretary/Book Keeper 1 15,000.00 180,000.00

Cashier/Service Crew 1 9,698.00 116,376.00

Total 1 476,376.00

Source: Minimum Wage Rate Order No.IV-18 and Clarificatory Order.

Computation for the worker’s salaery is based on the law prescribed by the
Republic of the Philippines under (W.O. No. RB IVA-18 published on April
15,2018) the worker is entitled to receive the prescribed minimum wage rate
of PHP373.00 per day for eight (8) hours of normal working days, Six days a
week. The Shop Manager and book keeper will be receive above minimum
wages which is 15,000.00 a month.
 BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION MAJOR 43
IN MARKETING MANAGEMENT

Chapter 4

FINANCIAL ASPECT

The financial aspect enables one to determine whether the business

has the potential to bring the owner the highest possible profit. In order to
know such profitability, certain projections, estimations, forecasts and
assumptions were used.
SOURCE OF FINANCING
The proposed business will be needing a total capital of P450,000.00 in
order for it to operate. Putting all things into consideration, the partners
agreed to equally contribute P225,000.00 each into the business. The profit
and loss sharing ratio of the partners is based on their contributed capital.
PARTNERS RATIO INVESTED AMOUNT
Cueva, Jennyfhe V. 50% 225,000.00
Balbao, Monaliza 50% 225,000.00
TOTAL 100% 450,000.00
The total project cost for the product development is Php. 450,000.00.
Schedule 1- Project Cost

Financial Assumptions
1. The price of laundry services is P42.00 per kilo.
2. The price of laundry services will remain unchanged until the
second year but will increase by P2.00 per kilo starting the 3 rd year of
operations and through the succeeding years.

3. The projected number of laundry services that will be rendered (in

kilos) is 45 kilos per day for 344 operating days (a total of 15,480 kilos) during
the first year of operations.
 BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION MAJOR 44
IN MARKETING MANAGEMENT

4. The number of laundry services rendered annually will increase by

6.66% every year.

Projected Service Revenue per Year

Year Service Per Annual Service Price of Total

Day (in Revenue (344 Service Service
kilos) days) Revenue

2019 Laundry Service 45 kilos 15,480 kilos P42.00 P650,160.00

2020 Laundry Service 48 kilos 16,512 kilos P42.00 P693,504.00

2021 Laundry Service 51 kilos 17,544 kilos P44.00 P771,936.00

2022 Laundry Service 54 kilos 18,576 kilos P46.00 P854,496.00

2023 Laundry Service 57 kilos 19,608 kilos P48.00 P941,184.00

5. The special fabric detergent with fabric softener that will be used for
every 1 kilo of clothes is estimated to be 100 grams. It is assumed that the
increase in the market price of the detergent will increase by P2.00 every
year.
6. Other income generated by the business will come from the snacks
and drinks sold inside the laundry hub.
7. The prices of the snacks are as follows:

Type of goods sold Selling Price

 BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION MAJOR 45
IN MARKETING MANAGEMENT

Jack n’ Jill Mr. chips nacho cheese 6.00

flavor
V cut potato chips 15.00
Clover Chips Cheese 8.00
Chippy Barbeque Flavor 8.00
Big 250 Apple Juice Drink 250 ml 10.00

8. The selling price of the snacks and drinks sold is assumed to increase by
1.00 per year due to the change in market price by 0.50 per year.
9. At the beginning of operations, 1,720 units of each type of snacks and
drinks were bought.
10. Units of supplies of snacks and drinks bought increases by 50 units
every year.
11. It is assumed that not all of the snacks will be sold at the end of the
year. The amounts of ending inventory vary every year. Such amounts of
ending inventory are all estimated.
12. Drinks are all sold at the end of the year.
13. All sales are assumed as cash sales and no sales are made on
account
14. The useful life of Machinery and equipment are as follows:
a. Machineries and Equipment 5 years
b. Furniture and Fixtures 5 years
c. Office Supplies 5 years
15. In depreciating the machineries and equipment and furniture and
fixtures, the straight-line method of depreciation will be used wherein no
salvage value will be recognized.
Computations for calculating depreciation are as follows:
 BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION MAJOR 46
IN MARKETING MANAGEMENT

Type of asset Cost Divided by the Depreciation

useful life
Machineries & 363,489.00 5 years 72,698.00
equipment
Furniture and fixtures 35,619.00 5 years 7,124.00

Office Supplies 5,884.00 5 years 1,177.00

Total 404,992 80,999.00

16. Light and power expenses will increase by 3,000 every year.
17. The amount of water expenses and transportation expenses vary
every year.
18. Annual telephone and telegram expenses are assumed to remain
unchanged throughout the span of 5 years.
19. Withdrawals are made by each of the partners every year. Such
withdrawals made increases every year by P50,000.00 in total. The
amount of withdrawals stated on the financial statements is shared
equally by the partners.
20. A percentage tax of 3% based on the business’ total gross income will
be paid quarterly.
21. The business is exempted from paying withholding taxes.
22. An accrued tax of 3% based on the service revenue of the business
at the end of the year will be paid every month of January.
23. It is assumed that the amount of expenses incurred for paying for the
business’ licenses differ every year.
24. Professional fees include the service rendered by the accountant in
keeping track of its finances, calculating its taxes and all other legal
requirements needed.
BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION MAJOR 47
IN MARKETING MANAGEMENT

25. Projected increase in sales for snacks and drinks vary every year.
26.SSS, Phil health and HDMF contributions of the employees will be
deducted from their salaries.
BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION MAJOR 48
IN MARKETING MANAGEMENT
BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION MAJOR 49
IN MARKETING MANAGEMENT
BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION MAJOR 50
IN MARKETING MANAGEMENT
BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION MAJOR 51
IN MARKETING MANAGEMENT
 BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION MAJOR 52
IN MARKETING MANAGEMENT

Chapter 5
MANAGEMENT ASPECT
The management aspect is one of the most important in establishing
a business. The term "management" may also refer to those people who
manage an organization. Planning all activities is very important in business
firm to become productive and competitive in the industry through human
resource, financial capability, and new technologies. This includes a study of
officers and key personnel, basic consideration in forming the organization,
form of ownership, organizational chart and project schedule.
In the management aspect of the study, those conducting it identify the
management team of the venture and judge whether or not they have the
skills to run the business effectively.
A. Basic Consideration
This aspect of study analyze the form of ownership that is suitable for the
project for the services, the organizational structure of the people involved
before and during the operating period of the project.
Managing a business is not easy you need to accept all the risk. The
success of the business will be based on the Knowledge and vigilant
planning of the project and ability to implement effectively the said
activities. The appropriate form of ownership of the business will conduct, the
way on how to delegate authority and responsibility to the personnel and
the determination of the recruitment of the needed qualified individuals to
operate the business.
B. Form of Ownership
The form of business is essential in establishing a business organization.
The proponents decide to establish the proposed study as a general
partnership in which it will compose general partners whose liability extends
to their separate property. Their responsibility is to contribute money in terms
 BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION MAJOR 53
IN MARKETING MANAGEMENT

of earning profits. The profit will be divided equally or according to the

contribution of the partners.
C. Organizational Chart
An organizational chart shows the internal structure of an organization or
company. The employees and positions are represented by boxes. With our
org chart software, this creates a clear visual depiction of the hierarchy and
ranks of different people, jobs, and departments that make up the
organization. It is a diagram that outlines the internal structure of a
company, the roles, responsibilities and relationship between individual
within an organization.
Figure 5.1. Organizational Chart

SHOP MANAGER

SECRETARY/BOOK KEEPER

CASHIER/SERVICE CREW
 BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION MAJOR 54
IN MARKETING MANAGEMENT

D. Officers and Key Personnel

Key personnel are employees who fill top management positions in
businesses, nonprofits and organizations, regardless of size or industry. They
make significant contributions to decisions about company direction,
provide leadership to employees, and provide expertise in their assigned
positions.
As part of the management team, key personnel are responsible
for participating in management meetings. They share feedback from
operations within their expertise, often providing reports and statistics to the
management team. By contributing ideas, they help formulate company
goals and objectives.
Key personnel put the company’s management policies into action
by directing the work of subordinate employees. Duties often include
presenting company plans to groups of employees, training subordinates,
and project evaluations. Key personnel are often asked to lead special
project teams, such as safety program evaluations or research projects. Key
personnel usually have authority to commit the company to contracts and
agreements. It is their responsibility to protect the company's position in all
negotiations. Key personnel must fulfill the duties of their position. Job
descriptions are supplied by the company.
D.5.1. SHOP MANAGER
Job Description
 Maintains staff by recruiting, selecting, orienting, and training
employees, and developing personal growth opportunities.
 Maintains safe and healthy work environment
 Controls expenses
 Contributes to team effort
 Computer literate
 BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION MAJOR 55
IN MARKETING MANAGEMENT

 With proper business ethics

Job Specification
 Male or Female
 At least 25-35 years old
 Graduate of 4 year Business course
 Must have at least 2 years of experience
 Computer literate
 Must be hardworking, reliable and trustworthy.
 Must have a pleasing personality.
 With proper business ethics

D.5.2. Secretary/Book Keeper

Responsible for analyzing and receiving any transaction being
accumulated inside the organization. Responsible in preparing and reporting
the financial statement of the business.
Job Specification
 Male or Female
 Must be a graduate of Accountancy or any related courses.
 At least 20 to 35 years old.
 Must be hardworking, reliable and trustworthy.
 With experience in book keeping, handling inventory and other
important records of the business.
 Must have a pleasing personality.
 Computer literate
 With proper business ethics
 BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION MAJOR 56
IN MARKETING MANAGEMENT

D.5.3. Cashier/Service Crew

The person who responsible for handling Cash register, collecting payments
by the customers, assisting the customers needs and responsible for the
record of everyday transaction.
Job Specification
 Female
 Single/Married
 Atleast College level or High School graduate
 At least 20 to 35 years old
 With experience in Cashiering, handling inventory and other
important records of the business
 Must be hardworking, reliable and trustworthy
 Must have a pleasing personality
 Computer literate
E. Project Schedule
It refers to the identification and analysis of activities from the projecting
planning up to the start of the project. The project schedule is the tool that
communicates what work needs to be performed, which resources of the
organization will perform the work and the timeframes in which that work
needs to be performed. The Gantt chart was used to show the schedule of
activities the proponent plans to carry out in order to successfully establish
Coin and bills laundry.
The activities of the proposed business for its pre-operating period are as
follows:
 Project Research and Planning
Conducting surveys and interviewing the target market of the
proposed business and some of their competitors. Make actual
planning and preparation for the business.
BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION MAJOR 57
IN MARKETING MANAGEMENT

 Capital Formation
Capital is one of the most important factors in order to start the
business. The fund will come from the owner Ms. Jennyfhe V.
Cueva and Monaaliza Balbao who are willing to invest the
proponent of money needed for the establishment of the
proposed business.
 Selection and Improvement of the Business Location
The location of the business is important. Poor location can
cause business failure. The most important consideration for
choosing a site for a service business is convenience for
customers.
 Registration of Business and Permits and Licenses
The business establishment should be properly registered, as a
legal requirement by law. It includes registration of business
name, Barangay clearance, Mayors permit, Bureau of fire
protection clearance, Bureau of internal revenue clearance,
Sanitary permit to operate, and invironmental compliance
certificate from the department of environment and natural
resources.
 Purchasing of Machineries, Equipment and Supplies.
The proponent must aquire to purchase a good quality and
good condition of machines. The necessary machineries,
equipment, supplies and other important things in the
operation of the business were acquired by the trusted
supplier.
 Hiring and Training of Employees
Selecting an employees is needed in order to operate the
business. Conduct Training to the employees is important for
 BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION MAJOR 58
IN MARKETING MANAGEMENT

the preparation of the business. Train employee to provide

good quality services to the customers to achieve the goal of
the business.
 Initial Promotion
Conduct marketing activities to promote the business and to
attract customers on the target area. Also to promote the
business will give flyers, tarpaulins and promotion through social
media.
 Start the Normal Operation
This is the start of the operation of the business and the official
opening date. All pre-operating activities will be done in order
to ensure that the business will operate normally.
Fig. 5.2. Gantt Chart
ACTIVITIES JAN FEB MAR APR MAY JUNE JULY AUG

Project
Research and 3 months

planning
Capital 2months
formation
Selection and
improvement 2months
of the business
location
Registration of
Business
permits and 2months

licences
Purchasing of
Machineries,
Equipment and 2months

Supplies.
Hiring and
Training of 2months
Employees
 BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION MAJOR 59
IN MARKETING MANAGEMENT

Initial 1mo
Promotion
Start the
Normal
Operation
 BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION MAJOR 60
IN MARKETING MANAGEMENT

Chapter 6
SOCIO-ECONOMIC ASPECT
Economics is a social science concerned with the production,
distribution and consumption of goods and services. It studies how
individuals and businesses make choices on allocating resources to satisfy
their wants and needs, and tries to determine how these groups should
organize and coordinate efforts to achieve maximum output. This defines
the socio-economic will briefly explains how the project will affect the
employment and income considering the improvement in the standards of
living of every families and individuals, taxes showing the increase revenues
that the municipal and government can use for the development of the
community, supply of commodities the different possibilities of influencing
prices and foreign exchange balances, demand for materials specifying the
use of local materials to aid local procedures and provide contribution that
can offer in the industry. In a society of our business has to settle and survive
as a long term business so we have to focus on the social issues which can
impact on the business performance and success.
A. Employment and Income
The person who employed in this business will get the right wages. The
proposed project directly benefits individuals and families by generating
employments and income. The business needs employee to run the business.
Giving job to the people will help the community to decrease the
unemployed individuals in our country.
B. Taxes
The income tax is structured to tax different levels of income at
different rates, on a gradually increasing scale. Taxes are an important
aspect of nearly every person’s life. Your paycheck is adjusted for taxes.
Taxation of investment income is also an important consideration when
 BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION MAJOR 61
IN MARKETING MANAGEMENT

deciding upon which investments to purchase, especially if you earn a

substantial income that’s taxed at a high rate. Only without governments
would there be no taxes; therefore, without taxes there would be no
governments. Taxation is one of the several ways by which governments
raise money to pay for the goods and services that they are called on to
provide.
C. Environment
The Store maintain the cleanliness, comply the segregation of waste
disposal, and the water used to the business will disposed properly to
drainage. MJ laundry Hub should be properly practiced the proper disposal
of waste for the good and healthy environment.