II.

VISION ANDD MISSION

Vision
Bon AppeTea is established to satisfy its clients with the complete line of
premier coffee products brought about by a highly technological coffee machines
and related equipment that shall provide the customers with the highest quality of
coffee products and excellent service at all times in order to become the most
dominant and most prestigious name in the food and beverage industry in the
region.
Mission
Bon AppeTea shall provide the customers with the finest products and
prompt and friendly service so as to have the most profitable return, and also to
enjoy an uninterrupted operation at all times.
III. OBJECTIVES
This project has its own goals and aims to be attained, these are:

 To achieve initial development in productivity and profitability and to

expand the business.

 To exceed customer expectations by providing a homely atmosphere

and excellent products and services.

 To contribute for the local economy of the city by paying appropriate

taxes.

 To provide a job opportunities.

 To be an income generating business.

 To be known as “The best Café shop” in the area by the local restaurant

Guide.
IV. THE BUSINESS
A. BUSINESS BACKGROUND
Bon AppeTEA is a unique franchise concept bringing the new generation of
great tea concoctions at a very affordable price. Bon AppeTEA was started from
its humble milk tea express bar situated in Strata 2000 building in Ortigas. It was
owned and managed by Mr. Tom Pestano. Bon AppeTEA came from a words
combining “bon appetite” which means “good appetite”, and its main product , the
Milk TEA.

Some of Bon AppeTEA milk tea products are the mixtures of Jasmin Green
Teas such as Blossom Dreams, Peachsicle, Rainforest Passion, Heavenly Blush
and Morocco Nights. They also have Assam Black Tea variants like the Purple
Royale, Himalaya, Nirvana, Kathmandu, Ambrosia, Mélange, and Crème Brule. All
serves together with your choice of toppers like the popular chewy Tapioca Pearls
(sago), Nata de Coco, Sweet Puddings, Heavenly Aloes, and Soft Jellies such as
Brown Sugar Jelly, Mesona Jelly, and Konjak.

Aside from milk tea drinks, Bon AppeTEA also offers other delectable fruity
or yogurt flavored bobba drinks such as Fruit Teas and Yogurt Teas, respectively.
Today, Bon AppeTEA continues to create new more refreshing teas with a twist,
the VitaliTEA, for figure-conscious individuals, the Herbal TEAs, for the health-
buffs; and the NaughTEAs such as TEAquila Sunrise and Long Island Iced Tea.
With the success of the first Bon AppeTEA Express Bar, they are quickly
established a second branch along Better Living in Paranaque and planning to
expand through Franchising.
 The Bon AppeTea was franchised in the Municipality DaetThe business
owned and managed by Khrisel Balon under the name of the franchised itself “Bon
AppeTea”. The start of operation was September 19, 2019.

The main office, store and production plant will be located at BC Bldg.,
Pandan Higway; 4600 Daet, Camarines Norte on the side of 7 eleven Convenience
Store. It is reachable and convenient to public for the customers. Purchasing of
some materials daily is readily available in the market and local stores that are
near in the proposed location. The availability of supplies is abundant and always
available and of course, some key ingredients are to be delivered in the main store,
the location is very accessible for both supplier and customers.

Bon AppeTea Daet is registered under Sole Proprietorship form of

business. A sole proprietorship is the simplest form of business organization in the
Philippines. It is not encumbered by the strict regulatory laws and rules imposed
upon corporations and partnerships. The establishment, management and
operations of this form of business organization is not governed by a special law,
unlike in the case of corporations.
 Bon AppeTea was structured under sole proprietorship owned by Khrisel
Balon. The sole proprietorship is the simplest business form which can operate a
business. The owner of the business decided to hire employees to manage the
detailed day-to-day operation of the business. The proposed organizational
structure will be led by owner/manager who will oversee the overall operation of
the business and as well as to monitor the job of employees, the staff graphic artist
and operator. Since it is a sole proprietorship form of business, the manager will
be also responsible for marketing, human resource (selection of employees) and
finance-related works.

The typically hierarchical arrangement of lines of authority,

communications, rights and duties of an organization. Organizational structure
determines how the roles, power and responsibilities are assigned, controlled, and
coordinated, and how information flows between the different levels of
management. A structure depends on the organization's objectives and strategy.
In Bon AppeTea, the business used a centralized structure, the top layer of
management has most of the decision making power and has tight control over
departments and divisions.

Manager

Cashier Barista Staff Cook

Figure 1
Organizational Chart
Keys to Success
According to the owner, there are four keys to success, three of which are
virtually the same as any food service business. It is the fourth key--the Community
Mission--that will give us that extra measure of respect in the public eye.

1. The good location- visibility and convenient access.

2. The best products - freshest coffee beans, cleanest equipment, premium serving
containers, consistent flavor.
3. The friendliest servers - TESDA-certified, cheerful, skilled, professional,
articulate.
4. The finest reputation - word-of-mouth advertising, promotion of our good and
quality service and environmental consciousness

B. PRODUCT AND SERVICE DESCRIPTION

Product Description
Bon AppeTea offers hot and cold coffee, tea and snacks for the client and
it will be served to them by employees with respect to the customers at their
satisfaction. Espresso, brewed coffee coffees with such varieties such as mocha,
candy bar, latte and brewed coffee. Complementing the coffee will be a smoothie
line including wild berry, peach, strawberry and lemonade" Rounding out the
simple menu line will be pastries. The offering may vary with season ability but the
primary line will muffins, bread, cookies, scones and rolls" are offering at a cheaper
price

Quality of a product service is determined by the customer's perception of

the degree and excellence of its characteristics. Quality is the key issue of the
relationship marketing which heavily influences the customer's satisfaction" Most
customers thinks that coffee mate coffee shop offers the same service and
products quality as other coffee shop do.
 The names of the products are will be based on the standard recipe of the
different types of coffee so that the customers will not be confused and as part of
education the public of the types of coffee concoctions". Pastries and other
products will supplied by the suppliers. Some products are also produced by HRM
from their laboratory in bread and pastries.

Menu
Service Description
Bon AppeTea directly under the supervision of the franchisee. The functions
of Marketing, Finance and Administrative will be handled by one of the trainers
while another trainer will be the Head Barista in charge of the Production aspect.
The Head Barista will also check the status of the performance of the trainees
through supervision of the daily operation and getting feedbacks from clients.
Personnel for the Coffee shop will come from both graduates and current trainees
of Barista Training Program. The Head Barista will look over the coffee shop during
operating hours of the coffee shop from 6:00 AM- 6:00 PM every weekdays. There
will be two Baristas on duty every shifting as part of the production staff. Their duty
will be part of their In-House training.

Ordering and Service System

Figure below presents the Ordering and Service Flowchart for Bon
AppeTea. The process flow is similar to typical coffee shops. Upon entry of the
customer, the Barista welcomes the customer and asks for the order. The
customer pays and the barista receives the payment then issues an official receipt.
After that, the Barista makes the beverage according to the order. Finally, the
Barista calls out the name of the customer and serves the beverage. Process time
is expected at 5 minutes for a maximum of 2 cups.

Customer
enters Bon
AppeTea
V. MACROENVIRONMENTAL ANALYSIS
A. ECONOMIC ANALYSIS
Nearly fifteen years ago, a trend towards more unique coffees began to
develop in the Philippines. There had always been specialty coffee stores, such as
Gloria Jeans and others, but people began to buy espresso machines for their
homes and offices, and people began to have coffee tastings. Then espresso bars
began to appear and, inevitably, along came Starbucks ... the quintessential
bastion of the upwardly mobile professional who wanted to take control over how
their beverage would taste and smell. However, we have also become more
rushed for time during that same period. Those same consumers who helped push
Starbucks to $2.2 billion in global sales are now rushing kids to school and
basketball games, running to the grocery and trying to get to work on time and
back home in time for dinner.

Yet, they still have the desire for that refreshing, specially blended coffee
each morning even break time and after office hours. Convenience stores have
also caught up with the trend via beverage dispensers providing cappuccinos in a
number of varieties. The prices of these range from P29.00 up to P75.00 but are
still considered low in quality as compared to commercial coffee shops. The market
is primed for the introduction of a company that offers a superior quality, specially
blended product in a convenient, drive-thru environment at a price that is
competitive to the national coffee houses

The ongoing global economic recession is the prime external economic

driver for Bon AppeTea. This factor dented the profitability of Bon Appetea. This
has convinced buyers to shift to cheaper alternatives. As they did not quit buying
coffee, Starbucks should seek an opportunity here.
The company has to deal with rising labor and operational costs. The inflationary
environment and falling profitability is causing a lot of stress.
Some other economic factors which can affect Starbucks are:
 Local currency exchange rates
  Local economic environment in different markets
 Taxation level

B. INDUSTRY ANALYSIS
The Bon AppeTea will be classified under coffee industry. The coffee
industry has grown by tremendous amounts in the Philippines over the past five
years. Starbucks, the national leader, had revenues in fiscal 2005 of P2.2 billion.
That is an increase of 32% over Fiscal 2000. Starbucks has increased revenues
to over P6.6 billion from 10,000 retail outlets on 2010 (BMI Research, 2017). Even
general coffee sales have increased with international brands such as Folgers,
Maxwell House, and Safari coffee reporting higher sales and greater profits. The
Philippines is definitely a coffee drinking country and the coffee industry is reaping
the rewards.

According to industry statistics, the consumption of coffee and flavored

coffee products is growing rapidly. The largest national brand for retail coffee
outlets achieved P2.2 billion in sales in 2009 with 3,000 retail outlets (National
Coffee Association, 2017). They are anticipating opening 7,000 more outlets in the
next five years and increasing revenues to over P6 billion (Philippine Coffee Board,
2017).

The cafe experience comes from the Italian origins of espresso. The
customer comes into a beautifully decorated facility, surrounded by wondrous
aromas and finds oneself involved in a sensory experience that, more often than
not, masks an average product at a premium price. However, the proliferation of
cafes in the Philippines proves the viability of the market. It is a duplication of the
same delivery process as currently exists in Europe.
C. LEGAL ANALYSIS
As the owner started to open the Bon AppeTea, the business will likely
prepare and serve food. The business will, therefore, need to know and abide by
the Food Standards Code as well as other relevant food safety requirements. The
business will also need a Food Safety Supervisor and to undertake regular food
inspections.

The Bon AppeTea will need to find the right premises for their shop. Once
the business do, it will require a development approval from the local council. It is
always a good idea to check that a commercial enterprise can carry out business
on those premises. Local councils will always be able to answer any questions you
might have and can guide as to the correct process.

D. SOCIO-CULTURAL ANALYSIS

Bon AppeTea can offer cheaper products but it might have to sacrifice the
quality. This is the main socio-cultural challenge that the start-up faces. It will
expand consumer base to include the buyers from the lower and the middle-
income tiers.
The “green” and “ethical chic” consumers are also concerning. They fret about
social and environmental costs of the brands. Starbucks has to be aware of this
trend.

The baby boomer generation is retiring. This means spending by older consumers
will decrease. Now, Bon AppeTea will have to tap the Gen X and the Millennials
as customers.
Other socio-cultural factors to focus on are:
 Changing family patterns in Philippines
 Consumer preferences
 Changing work patterns
  Changes in lifestyles of population
 The level of education of the population in local markets
 Changing values among population

E. TECHNOLOGICAL ANALYSIS

The company introduced Wi-Fi capabilities in its outlets already. Internet is

important to the consumers. They can now surf the web and do work while sipping
Starbucks coffee. This is an added value to the brand. It enhances the overall
consumer experience.
Some other technological factors to keep in mind are:
 Emergence of innovative technology
 Biotechnological developments
 Developments in agriculture

VI. MARKET ANALYSIS

A. MARKET DEFINITION
The market of Bon AppeTea refers to the group of consumers or that is
interested in the product they offer, has the resources to purchase the product,
and is permitted by law and other regulations to acquire the product. By identifying
the main target market of the Bon Appetea, the owner begins by considering the
total population of the municipality as a given market and there are various terms
are used to describe the market based on the level of narrowing:

• Total Population- it is the given market considered by the Bon AppeTea

which is the municipality of Daet.
• Potential Market- those in the total population who have interest in acquiring
the product and it is based on the answered survey questionnaire given to
respondents.
 • Available market- those in the potential market who have enough
money/capability to buy the product and it is based on the tabulated survey
questionnaire that answered by the respondents.
• Qualified Available Market- those in the available market who legally are
permitted to buy the service and it is also based on the tabulated survey
questionnaire.
• Target Market- the segment of the qualified available market that the
business has decided to serve (the serve market).

Other than that, there are factors that will affect the market of Bon AppeTea.
Market is affected by technologies in many ways as well as the business
enterprise. As the technology changes, highly developed products and
inventions are presented into market for optimistic outcomes. Adjusting to
these changes, it will help the production be easy and fast by acquiring new
machineries or equipment. Supply is affected through environmental
circumstances, development in costs, and sales advertising of other
competitors and building of new establishment of the same business.

B. MARKET SEGMENTATION
The Bon AppeTea target market are those individuals who are seeking for
quality coffee beverages and have no time to go to other places to buy famous
commercialized coffee products. To penetrate the market, the business will be
opening its doors to clients once the first batch of trainees has finished their training
on Barista. The individuals in the locality of Daet particularly ages 18 to 24 years
old or considered as the millennials will be considered as the main target market
have the capability to afford the services offered by the Bon AppeTea is one of the
main reason why the proponents decided the individuals of municipality of Daet to
be the target customer. According to the interview to the owner, the chose
customer profile is suitable to the business because of the projection of an
increasing demand for the product will increase per year. Moreover, Daet,
Camarines Norte is considered as the target market where the individuals from 18
to 24 years old are the main customer.

C. CUSTOMER NEEDS AND REQUIREMENTS

Customer profile is a way of describing a customer categorically so that they

can be grouped for marketing and advertising purposes. The Bon AppeTea
identified their target markets by considering the attributes related to age, town of
residents and demographics categories. Individuals who are owners of vehicles
have the means to use the service of the business and it is the main reason why
the researchers decided it as the target market. According to the survey conducted
by the researcher, the chosen customer profile of the owner of Bon AppeTea is
suitable to the business because of the projection of an increasing demand for the
service as it will increase to more than five percent (5%) per year. Moreover,
municipality of Daet is considered as the target market where the individuals from
specific category are the main customers.

Other than being suitable to the target market, the management of Bon
AppeTea considers the following customer needs.

Product Needs

1. Functionality

Customers need the product and service to function the way they need in order to
solve their problem or desire.

2. Price

Customers have unique budgets with which they can purchase a product or
service.

3. Convenience
The business product or service needs to be a convenient solution to the function
your customers are trying to meet.

4. Experience

The experience using the Bon AppeTea product and service needs to be easy --
or at least clear -- so as not to create more work for the customers.

5. Design

Along the lines of experience, the product or service needs a slick design to make
it relatively easy and intuitive to use.

6. Reliability

The product or service needs to reliably function as advertised every time the
customer wants to use it.

7. Performance

The product or service needs to perform correctly so the customer can achieve
their goals.

8. Efficiency

The product or service needs to be efficient for the customer by streamlining an

otherwise time-consuming process.

9. Compatibility

The product or service needs to be compatible with other products the customer
is already using.
Service Needs

10. Empathy

When your customers get in touch with customer service, they want empathy and
understanding from the people assisting them.

11. Fairness

From pricing to terms of service to contract length, customers expect fairness

from a company.

12. Transparency

Customers expect transparency from a company they're doing business with.

Service outages, pricing changes, and things breaking happen, and customers
deserve openness from the businesses they give money to.

13. Control

Customers need to feel like they're in control of the business interaction from
start to finish and beyond, and customer empowerment shouldn't end with the
sale. Make it easy for them to return products, change subscriptions, adjust
terms, etc.

14. Options

Customers need options when they're getting ready to make a purchase from a
company. Offer a variety of product, subscription, and payment options to provide
that freedom of choice.

15. Information

Customers need information, from the moment they start interacting with your
brand to days and months after making a purchase. Business should invest in
educational blog content, instructional knowledge base content, and regular
communication so customers have the information they need to successfully use
a product or service.
16. Accessibility

Customers need to be able to access your service and support teams. This means
providing multiple channels for customer service. We'll talk a little more about these
options later.

VII. ISSUES AND OPPORTUNITIES

A SWOT analysis is split into internal factors and external factors. Strengths and
weaknesses fall into the category of internal factors, and they are all things you
can reasonably control. Opportunities and threats fall into the category of external
factors, and they take into account things that the business cannot do anything
about. The two categories come together to give a holistic view of where your
business model stands.

A. STRENGTH
 A lot of products to be offered
 Extra convenience to customers like Wifi Free
 Uniqueness and each variety of the product
 Online marketing
 Brand name
 Established Name
 Strong customer relationship
 Strong geographical location
 Lower cost of rental
 Easily defined employee roles
 Well trained employees
 Business Image
 Good business ambiance
 Updated Machineries
B. WEAKNESSES
 No partnership or strong relationship with other businesses
 High Capital because it is Franchise
C. OPPORTUNITIES
 Products that are similar to other business are poor quality
 Seasonal high demand of product
 Customer in the market are loyal
 Internet as a marketing tool
 Potential for expansion
 Desire of the customer to try many kinds of services offered by the
business

D. THREATS
 A lot of competitors with similar services offered
 A new launched advertising campaign for competitors
 Stronger brand name of competitors especially the franchise
businesses
 A competitive opening new shop in a nearby location
E. TOWS ANALYSIS
External Opportunities (O)
BON 1. Products that are similar to
other business are poor quality
APPETEA 2. Seasonal high demand of
services
3. Potential for expansion
4. Internet as a marketing tool
Internal Strength (S) (SO) Maxi-Maxi Strategy
1. Uniqueness and each 1. Providing unique and
variety of the services different varieties of services to
customers
2. Well trained employees
2.Well trained employees can
3. Business Image handle the high customer’s
demand on providing the
service
3. Use the strong brand image
to expand for another market
Internal Weakness (W) (WO) Mini-Maxi Strategy
1. No partnership or strong 1. Internet can be a tool also to
relationship with other make partnership with other
businesses business to make collaboration
External Threats (T)
1. A lot of competitors with
similar products offered
2. A competitive opening new
shop in a nearby location
(ST) Maxi-Mini Strategy
1. Maintain the uniqueness of
services to make sure that
there’s an edge to competitor
2. Leverage strong brand
name to minimize the ward off
competition
(WT ) Mini-Mini Strategy
2. A new opening of a
business and parlor makes
the chance to have a
partnership to them since the
business is new in the market
VIII. GOALS
A. FINANCIAL
Increasing revenue is the most basic and fundamental financial goal of Bon
AppeTea. Revenue growth comes from an emphasis on sales and marketing
activities, and is solely concerned with increasing top-line earnings – earnings
before expenses. The business to identify their growth, they often set revenue
goals in terms of percentage increases rather than aiming for specific dollar
amounts. The Bon AppeTea set an objective of increasing revenue by 20 percent
each year for the first five years of a new company's operations.

The owner of Bon AppeTea is not just focusing on the growth of the
revenue, the business also considers the Return on Investment. It is a financial
ratio applied to capital expenditures. ROI can be applied to two basic scenarios in
Bon AppeTea. First, ROI is concerned with the return generated by investments in
real property and productive equipment. Business owner want to make sure that
the buildings, machinery and other equipment they buy generates sufficient
revenue and profit to justify the purchase cost.

Secondly, ROI applies to investments in stocks, bonds and other investment

instruments. The same principle applies to these investments, but there is
generally no physical, productive asset used to generate a return. Instead, ROI for
investment products is calculated by comparing the dividends, interest and capital
gains realized from investments by the cost of the investment and the opportunity
cost of forgoing alternative investments.

B. MARKETING
Marketing is essential for any organization that wants to raise awareness
about itself, its products or its services. Projecting gross revenue involves
establishing an annual revenue goal and calculating how to reach that goal based
on average sales per client. A business can utilize a valuable information to adjust
advertising campaigns, marketing efforts and referral programs to target potential
clients and ultimately increase profits. The following are the ways of achieving a
marketing goals of Bon AppeTea.

One of the most important goals of marketing for Bon AppeTea is driving
business and increasing sales. Marketing needs a good return on investment –
meaning the increase in sales should significantly exceed the cost of the marketing
and should therefore be specific. It is often insufficient to simply state an objective
of increasing sales by a certain percentage.

IX. GENERAL MARKETING STRATEGY

Marketing strategy is intended to increase the probability and frequency of

consumer behavior, such as frequently writing particular stores or purchasing
particular products. This is accomplished by developing and presenting marketing
mixes directed and selected target market. A marketing mixes of products,
promotion, distribution and pricing elements. The business will apply these
marketing mix to have a competitive edge to the target market.

X. SPECIFIC MARKETING STRATEGY

A. PRODUCT STRATEGY
The Bon AppeTea provides its customers with the finest and quality coffee
beverages. Each TWC Barista will be trained in the fine art of brewing, blending,
and serving the highest quality hot and cold beverages, with exceptional attention
to detail. Besides hot espresso based beverages, the shop will offer frozen coffee
beverages, seasonal specialty drinks, pastries, and other baked goods. For Hot
Coffee Beverages, the shop will offer espresso, doppio, espresso con pana,
espresso macchiato, Café Americano, Cappuccino, flavored cappuccino, Café
latte, flavored Café latte, Café Mocha and Caramel macchiato. For Iced Coffee
Beverages, the shop will offer Iced Coffee, Iced Latte, Iced Caramel Macchiato,
Iced White Mocha and Iced Café Mocha and additional variety by adding coffee
jellies to each iced coffee beverages. For Frappes, the shop will offer Mocha
Frappe, Macadamia Mocha Frappe, Caramel Frappe, Caramel Almond Frappe,
and French Scotch Mocha Frappe. For Non-Coffee Based Beverages, the shop
will offer cream based frappuccinos. There will also be offerings of Green Tea
Latte, Green Tea Cream, Iced Green Tea Latte, Matcha Frappe and Iced Green
Tea for non-coffee based alternatives.

B. PRICING STRATEGY
The Bon AppeTea is designed to offer high price products. Bon AppeTea is
very trendy and has the perception of providing quality coffee products and snacks.
Hence, prices are usually higher than that expected from a café style business.
Bon AppeTea offer consumers a choice of sizes from which they can choose from.
Their prices are set on the idea that if consumer feels like they are getting a good
deal for their money, they would be more likely to pay a higher cost. By pricing the
sizes just a few cents differently, the try to convince customers to upgrade to the
bigger size.

The third major pricing strategy is customer value based pricing. The
decision of pricing in this strategy is in the hand of the consumer. Customer
perceptions of value sets the price of the products. Through this strategy many
companies discover that customers are ready to pay more for something that offers
more value. This strategy determines what the buyer is ready to pay
Bon AppeTea raises its products prices each year.

C. DISTRIBUTION CHANNEL
 A distribution channel is a chain of businesses or intermediaries through
which a good or service passes until it reaches the final buyer or the end consumer.
In the form of face-to-face communication, personal correspondence, or a personal
telephone or cell phone conversation, the business owners can market the
services through these effective forms. A personal sales message can be more
specifically targeted to individual prospect. The enterprise will concentrate to
perform the services in Daet, Camarines Norte, the target market of the business
will be the beauty conscious individuals of the Municipality and has a capability to
afford the service offered by the Bon AppeTea.

BON APPETEA

CUSTOMER

Figure 3
Distribution Channel

D. ADVERTISNG STRATEGY
The marketing program planned is to display panaflex signboard in front of
the coffee bar giving identity to the franchised business so that itcan be easily
recognized by potential clients. The opening of the Café are broadcasted and
announced in local radio stations. It will also propose promotional offers like free
taste for the first 20 customers during the opening. For the Bon AppeTea to be well
known, brochure and leaflets will be distributed before and during its operations.
Before the opening, invitations and discounted coupons will be distributed to major
establishments in the city.

F. DIRECT MARKETING STRATEGY

 In the form of face-to-face communication, personal correspondence, or a
personal telephone or cell phone conversation, the business owners can sell these
products through these effective forms. The salespersons of the business should
be oriented with the--

 The healthy-goodness of our product will be emphasized

 The message of our product will be communicated

 Questions about our product will be answered

 Customers will be treated in a friendly manner

G. SALES PROMOTION STRATEGY

Strategically, the Bon AppeTea has a very convenient location in a great

ease of access. The shop will be implementing a low cost advertising/promotion
campaign which could involve distributing flyers and also word of mouth that has
always proven to be the greatest advertising program a company can instill. There
will also be banners, panaflex advertisements and tarpaulins installed in a number
of strategic parts of the municipality of Daet. There will be several sales strategies
which can be put into place, including posting specials on high-profit items like,
additional payment for toppings on frappes. By giving coupons to regular clients,
the shop will also give free drinks to clients who will purchase 30 different or same
coffee beverages within a month. The client can avail the free drink by presenting
the coupon, registered to his/her name on the coupon which will be marked or
signed by any of the Barista assigned every time the drinks are purchased.

The shop will also explore window sales techniques such as the Baristas
asking if the customer would like a freshly-baked product to go with their coffee. A
5% discount will also be given to clients that will bring their own cups. In order to
maximize daily purchases, advertisements will focus on the need for a cup of
coffee everyday matched together with the empowerment of women at work,
school and the community as a daily endeavor.

H. PUBLICITY AND PUBLIC RELATIONS STRATEGY

The marketing department will be responsible for all aspects of planning,
producing, and promoting the Bon AppeTea. According to the owner, the business
has paid ads, content marketing efforts, TV or traditional media advertising, etc.
Much of what the marketing department does is owned exposure (blogging,
content marketing, social media, organic search). Although some are paid (paid
ads, influencer marketing, etc.).

To further boost presence online, a social media page in Facebook or

Instagram can be setup to highlight the same advertisements. Promotional
activities that highlight shares and likes of Bon AppeTea’s products will also be
conducted. Moreover, visibility of products and services around the Daet,
Camarines Norte can be boosted by providing the price list in each building or
office. This can lead potential customers to try out the products and remind current
customers to make daily purchases.

XI. RISK ANALYSIS AND PLANNING

A. DESCRIPTION OF RISK
Business risk is the exposure a company or organization has to factor(s)
that will lower its profits or lead it to fail. Anything that threatens a company's
ability to meet its target or achieve its financial goals is called business risk.
These risks come from a variety of sources, so it's not always the company
head or a manager who's to blame. Instead, the risks may come from other
sources within the firm or they may be external—from regulations to the overall
economy. While a company may not be able to shelter itself from risk
completely, there are ways it can help protect itself from the effects of business
risk, primarily by adopting a risk management strategy.
B. RESEARCH AND DEVELOPMENT
Part of the research of development of Bon AppeTea is to study the possible
risk of the business in future and how to come up with it. The business will focus
on the following
1. Cost Management
High costs can make profits much harder to achieve. However, once the
business start analyzing, many people find there are many ways to cut
spending. Here are the key areas to look at.

 The best way to reduce indirect costs and overheads is to improve

systems and measure outgoings.

 Secondly, the Bon AppeTea should make sure to plan the purchasing
and know their cashflow. There are a lot of ways for you to manage their
cashflow with many looking to invoice templates to help manage their
problem. It is understandable that operating costs, such as purchasing
inventory or paying bills, often need to be paid before your business
receives income from customers.

2. People Management

When it comes to people management, two things are important:

motivation and training. And, to a certain degree, these go hand in hand.
Employees are often more motivated when they feel they have a purpose.

3. Risk Management

Every business comes with risks, and the best they can do is try to
anticipate and manage them. The Bon AppeTea can only prepare for risks
if thehy know what they are. They must take time to think about risks they
might encounter, but also be aware that you can’t always see the risks for
their own company.
C. MARKET RESEARCH
According to the market research of the researcher about the Bon AppeTea.
The business risk is associated with their overall operation of a business entity.
These are things that impair its ability to provide investors and stakeholders with
adequate returns. For example, a business manager may make certain decisions
that affect its profits or she may not anticipate certain events in the future, causing
the business to incur losses or fail.

Business risk is influenced by a number of different factors including:

 Consumer preferences, demand, and sales volumes
 Per-unit price and input costs
 Competition
 The overall economic climate
 Government regulations

The Bon AppeTea is also exposed to financial risk, liquidity risk, systematic
risk, exchange-rate risk, and other specific risk. These make it increasingly
important to minimize business risk.

XIII. IMPLEMENTATION AND CONTROL

A. SALES FORECAST
Bon AppeTea use sales forecasting to predict business performance in the
coming quarters. It is a helpful tool for budgeting and setting expectations for the
the business. An accurate sales forecast allows a company to gauge the interest
in their products. Increased sales mean a higher demand for their products. It helps
companies plan their supply to meet the increased demand. It helps to plan the
financial growth of the company. With a real sales forecast, it allows them to
accurately budget the coming months and year.
 Forecasting helps public companies when setting projections for the next
quarter. Meeting the predefined goal from the start of the quarter can have a
positive impact on stock prices and investor perceptions. Inversely, failing to meet
the forecasted goal can significantly hurt stock prices. Sales forecasting helps
marketers, too. If the forecast shows a coming dip in sales, marketers can adapt
by creating promotions that drive more business.

By considering the financial, production and marketing capacities, the owner of

the Bon AppeTea has expected that their sales will grow up to 20% after five years
in the proposed market which is the municipality of Daet, Camarines Norte. The
Bon AppeTea owner planned to expand their business to establish new franchise
in Labo, Camarines Norte.
 B. MARKETING BUDGET AND INCOME STATEMENT
BON APPETEA
Projected Income Statement
For the Years End 2020-2024

Note: The detailed breakdown for the budgets and cost of Bon AppeTea will be
remained confidential and private. However, the owner provided the researcher
the five year projection of the business after the opening of the business last
September 19, 2019.
C. MONITORING PROGRAMS
Efficient monitoring of a marketing plan ensures that the investment is not
wasted; without knowing how effective each strategy is, the business may be
throwing away money on useless efforts. As the business plan and execute a
marketing plan, build in monitoring tools from the beginning and be ruthless in
eliminating strategies that are not worth the time and money spend creating them.
With a regular program of evaluation, the business can end up with a streamlined,
powerful marketing system.

Some marketing activities of Bon AppeTea require several attempts before

determining if they are worthwhile. Since consistent exposure over time yields
better results, repeat the marketing activity several times before making a decision
to cancel an ad or try something new. The business should keep records of their
marketing activities, tracking the following aspects of your initiatives:

 Media used
 Timing of the promotion
 Cost
 Reach (the number of persons exposed to the promotion)
 Responses generated
 Sales generated
 Return on sales (the sales generated minus the cost)