CASE ANALYSIS No.

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Title: MONTEVIRGEN FARMS: TEACHER’S PET

Background

Mr. and Mrs. Montevirgen acquired a twenty-hectare farm just after they got married. The farm
became profitable by growing citrus fruits and vegetables. Five years later, he allotted one hectare for
poultry and production which increased his profits.

They had three children, the eldest is an Assistant Branch Manager of a government bank. The
second, is a Fourth Year College and a consistent honor student. And the third one was not so lucky in
his studies was a highschool graduate only.

Point of View

The point of view in this case is the right person that will handle their farm upon their
retirement. Mr. Montevirgen has the firm belief to give it to his youngest son and he should be trained
at an earliest possible time since he won’t be successful in any profession.

Problem

The problem is how can they actually train Andres, their youngest son, and become successful in
managing the farm that they worked hard for.

Objectives

To train Andres, their youngest son become successful in managing their farm.

Alternative Course of Action

1. Advise Andres to attend a short-term course in Agriculture sponsored by TESDA or any

agricultural institutions.
Advantage:
It will be an advantage on the part of Andres to attend TESDA short-term course or those
sponsored by agricultural institutions because he will experience the technical know-how in
managing an agricultural farm.
Disadvantage:
The attitude of Andres is the disadvantage. That is, if he will be interested in attending short-
term course in agriculture.

2. Persuade the elder sons to train Andres how to manage the farm.
Advantage:
The elder sons are well equipped with the knowledge to teach Andres, their sibling, to manage
the farm being graduates in Agribusiness and Agriculture.
Disadvantage:
If the elder sons are not interested in helping their sibling in managing the farm.
 3. The parents will be the one to train Andres in managing the farm.
Advantage:
There will be less financial expenses.
Disadvantage:
Again, attitude o Andres will be the disadvantage. That is, if he will be interested in their
agricultural business.

Recommendation

Creative Selection:
The course of action that is acceptable in this case is no. 3. They will be the one to
understand the strengths and weaknesses of Andres being parents. They will emphasize that
through hands-on training the farm became productive. While having the training, Andres will
know the ins-and-outs in managing the farm.

Creative Suggestion:
If I am the parent of Andres, I will ask the help of other siblings to convince him in
managing the farm and to accompany him in all their undertakings in the farm.
CASE ANALYSIS No. ___

Title: HI-Q HIGHSCHOOL: WHERE DO I BEGIN

Background

The children from high income families in Cabanatuan City and Nueva Ecija were enrolled in
exclusive schools in Manila and private schools in their locality. Parents are enrolling their children in
these schools despite of high tuition because they want quality education. To them, public schools
doesn’t able to deliver quality education services needed.

Professor Bituin Abergas, an experienced teacher handling in the Graduate School of a university
and has had some five years of administrative job is contemplating of opening a private high school.

Point of View

The point of view in this case is the step by step procedure that she will decide in starting a
private high school exclusively for children with high income families.

Problem

Although Professor Abergas is an experienced teacher, she still does not know how what, when
and how to do the first moves in the operation of a private high school exclusively for children of high
income families.

Objectives

To identify the first move that she will consider in operating a private high school.

Alternative Course of Action

1. Make a feasibility plan in opening a private high school.

Advantage:
The feasibility plan will be the guide of Professor Abregas in opening the private high school. It
will include all the requirements specified by the Department of Education.
Disadvantage:
The experience of Professor Abregas in the Graduate School is not a guarantee that she know
the ins-and-outs of the Department of Education.

2. Consult from the Chief of the Curriculum Section of the Department of Education in the Regional
Office the requirements in opening a private high shool
Advantage:
Professor Abergas should seek the advice of the Chief of the Curriculum Section of the
Department of Education so that she will be guided on the steps to follow in opening a private
high school.
Disadvantage:
Still, the experience of Professor Abergas in the Graduate School will be her stumbling block in
opening a private high school.
Recommendation

Creative Selection:
The most feasible alternative course of action is no. 1. In any undertakings in business,
the first move should be the feasibility plan wherein all the requirements of the Department of
Education will be included.

Creative Suggestion:
Professor Abregas has the choice in seeking first the advice of the Chief of the
Curriculum Section of the Department of Education before making the feasibility plan.

If I were Professor Abergas, I will comply first all the requirements specified by the
Department of Education two years before the operation of the private high school. A year
before the said operation will be the submission of all documents to the DepEd. The DepEd then
will schedule the series of evaluation of the requirements specified in the documents submitted.
CASE ANALYSIS No. ___

Title: GUTIERREZ ENTERPRISES: THE IMPOSSIBLE DREAM

Background

Mr. Reynaldo Gutierrez was so elated when their youngest son, Fernando, graduated Magna
Cum Laude in Chemical Engineering. He may now proceed with his dream of expanding his business
since all his children finished college. His daughter, Gina, a Food Technology graduate is working with a
food manufacturing company. His sons, Marianito, a Mechanical Engineer and Teodoro, a budding
businessman.

Mr. Gutierrez was once in the grocery business but then he pursued in “patis making” eight
years ago until the present time. He wants to produce other food products like “toyo” and “suka” as his
business expansion. However, he is at a loss on how to realize it.

Point of View

The point of view in this case is how Mr. Gutierrez will proceed in producing other food products
like “toyo” and “suka”.

Problem

What agenda he has to pursue when he calls his children to a consultative meeting.

Objectives

1. To convince his children in the expansion of his business.

2. To prove his classmates that he can also be successful like them.

Alternative Course of Action

1. Convince his children to help him in the production of “toyo” and “suka”.
Advantage:
Fernando and Gina, being graduates of Chemical Engineering and Food Technology respectively,
will be assets in the production of “toyo” and “suka”. While Teodoro, a budding businessman
will be in the marketing of the said products. Marianito will be in-charge in the equipment and
machines especially in repair and maintenance.
Disadvantage:
If the children will not be convinced by their father because of the high pay of the companies
that they are working with. And, if their families will not like in joining their father in expanding
their business.

2. Seek advice from the expertise of their children in the operation of expanding the business.
Advantage:
Explain to the children the great help of their expertise in expanding the business with regards
to the improvements and effective ways to have a successful expansion of the business.
 Disadvantage:
Since the children does not want to be part of their family business, Mr Gutierrez will incur
additional financial expenses in the recruitment of experts in the realization of the plans for
expansion.

Recommendation

Creative Selection:
The most feasible alternative course of action is No. 2. It will be noted that financing the
expansion is not a problem to Mr Gutierrez for the reason that he has enough savings in the
bank.

Creative Suggestion:
As much as possible, Mr Gutierrez should convince his children in expanding the
business. Explain to them the advantages of running a family business. This is the only solution
in expanding his business and realizing his obsession of proving his classmates that he can also
be successful like them.
Title: Metro Pacific Net Income Up 15% in 1st Semester
Author: Doris C. Dumlao
Ref: Business Section, Philippine Daily Inquirer, April 13, 2014 p. B5

Metro Pacific Investments Corporation grew its first semester net profit by 15% year-on-year to
P4.2 billion due to higher contributions from its water, power, toll road and hospital businesses.

Maynilad contributed P2.24 billion up by 8%, Manila Electric Co. contributed P1.77 billion up by
22%, toll road business contributed P1.13 billion grew by 21% and hospital group contributed P294
million up by 12%.

The strong results for the first half of the year reflect continuing improvements in service levels,
as well as efficiency and financing gains for operating the companies. Their progress in profitability is
encouraging despite a difficult regulatory environment, delays in tariff progression on the toll roads, the
uncertainty surrounding the Maynilad arbitration and ongoing uncertainty on power prices.

The businesses of Metro Pacific achieved growth in profitability and the key officials of said
company is anticipating continued volume growth for the rest of the year that will enable the company
to achieve P8 billion in core net income for 2014.
Title: BIR Stands Pat on Bank Secrecy Law Position
Author: Paolo G. Montecillo
Ref: Business Section, Philippine Daily Inquirer, August 13, 2014, p. B5

Recently, the Bureau of Internal Revenue (BIR) had issued Revenue Regulation No. 2-98, which
requires taxpayers to list down each person to whose income payment was made.

The practice of lumping one single amount (e.g. “various employees” , “various payees”, etc.) is
now prohibited and deduction thereof for purposes of taxation is no longer allowed.

To comply with these rules, banks and investment firms have started to ask their clients to
provide more detailed personal information, which would be disclosed to tax authorities.

The regulation met an opposition from the various industry groups and they relied on the bank
secrecy law.

The BIR is on the right track in requiring more information from holder of privately issued
securities. It was a reminder to the businesses, banking and financing sectors that only bank deposits
and government securities were subject to the provisions of the bank secrecy law.

Section 2 of the Deposit Secrecy Law said that “all deposits of whatever nature in banks or
banking institutions in the Philippines and investments in government bonds are absolutely confidential
in nature.

Not covered by the bank secrecy law are investments which are not bank deposits or
government securities such as corporate bonds, purchase of shares of stocks, purchase of receivables of
business and purchases of foreign exchange.

The BIR issued the said regulation for they believed that if a person has a lot of money to invest,
then he must have earned it and have paid the right tax in his earnings.

The rule according to the BIR is interest income paid to bank deposits is subject to a final
withholding tax. For those claiming exemption from taxes on interest income on deposits, they should
prove that they are entitled to the exemption, otherwise, the income is subject to the final withholding
tax.