TATAK KAPAMPANGAN

TK MANUFACTURING CO.

“TATAK KAPAMPANGAN”

A Project Feasibility Study Presented To The

Institute of Accountancy

In Partial Fulfillment of the Requirements for the Degree

Bachelor of Science in Accounting Technology

Arjohn Villapana Dampil

Jaymie Ivy Perez Lucas

Joanne Guanlao Tolentino

Natalie Joy Marcelo Usona

OCTOBER 2018
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APPROVAL SHEET

This project feasibility study entitled TATAK KAPAMPANGAN prepared and

submitted by the following students: Arjohn V. Dampil, Jaymie Ivy P. Lucas,

Joanne G. Tolentino and Natalie Joy M. Usona, in partial fulfillment of the

requirements for the Degree Bachelor of Science in Accountancy, has been

examined and is recommended for acceptance and oral examination.

Dr. Antonieta P. Tungcab, CPA, MBA, FriAcc, SPBE

Consultant
______________________________________________________________

__________

PANEL OF ORAL EXAMINERS

Accepted and Approved by:

Chairman

Member Member
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APPROVAL

Approved in partial fulfillment of the requirements for the Degree Bachelor of

Science in Accountancy.

Leticia D. Flores, PhD Michael B. Lapid, MBE, MAT

Vice President for Academic Affairs President

ACKNOWLEDGEMENT
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First of all, we are very grateful to our Lord God for giving us the strength

that we need to complete this Feasibility Study.

We wish to express our sincerest gratitude to all the people who have

shared their ideas and knowledge that we use as a guide in conceptualizing

this Feasibility Study.

We would like to thank our very supportive consultant, Dr. Antonieta P.

Tungcab, for continuously giving us new ideas and insightful comments, for

the patience, motivation, and immense knowledge that she imparted to us. Her

guidance helped us entirely in the completion of our research.

We would like to express our deepest gratitude to our very own Dean, Ms.

Yolanda P. Manalili, for the encouragement and support that she gave before,

during, and after the research.

We would also like to thank our professors Ms. Ria Sotto and Mr. Jaypee

Lagman for imparting their knowledge with us which are very useful to our

research.

In addition, we would like to thank, Mr. Neil Harvey S. Reyes for utilizing

his knowledge in doing our floor plan and facility design.

We would also like to thank our fellow classmates, BSA IV- Coronation, for

the non-stop discussions and sharing of ideas, for motivating and helping each

other, for boosting our confidence that we can make it and for all the fun we

had for all these years.

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Lastly, we would like to acknowledge our respective families for

expressing their love, care, understanding, support, especially in the financial

aspect while we are in the stage of completing this Feasibility Study.

DEDICATION

“Jesus never said it would be easy, but He said it would be worth it!”

(Matthew 7:13-14)
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We dedicate this Feasibility Study to God Almighty our Creator, our source of

inspiration, wisdom, knowledge and understanding. He has been our source of

strength throughout this study.

We also dedicate this to our families and friends who showed their support

and encouraged us all the way. Their encouragement inspired us to do all the

best that we can to finish the Study and to make it a successful one.

The support that we have received from all of you will continually strengthen

us and will never be quantified.

We offer our warmest gratitude and we are thankful for having all of you on our

side. May God continuously pour his blessings to us.

TABLE OF CONTENTS

Title Page ……………….…………………………………………………….…..…i

Approval Sheet ……….…………………………………………….…………..…ii

Acknowledgement……….………………………………………………………..…iv

Dedication ……………….…………………………………………….………….…vi
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Table of Contents ……….…………………………………………….……………vii

Executive Summary…………. ………………………………………….…...……xvi

CHAPTER I PROJECT BACKGROUND

Historical Background ……………………………………….………..1

Industry Analysis ……………………………………….….............6

Description of the Proposed Project ………...……..……………....14

Company Name and Logo …………………….....……………........15

Description of Location and Vicinity Map …..………......……........ 16

Corporate Vision, Mission and Objective ……..……..…….............17

CHAPTER II ORGANIZATION AND MANAGEMENT STUDY

Introduction …………………………………………..........…...…19

Type of Business Organization ….………………….….…...…....19

Articles of Partnership …...…………………..……,,,................20

Organizational Chart ….…………….………...….…........25

Job Descriptions and Specifications …………..…….……..26

Management Policies, System and Procedures ...……..………39

Compensation and Benefits ….

………….................................40

Employee Code of Conduct ...………………….……...............48

CHAPTER III MARKETING STUDY

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Introduction …………...…………………………………………66

Target Market Description .. ………….………..………………….67

Demand and Supply Analysis ..………...……...…………….…...70

Competition Analysis ….....……………………………….……..…..75

SWOT Analysis …….…………….……………………………..…77

Survey Analysis ...………………………………………………..78

Marketing Plans and Program ………………...……………………..84

Action Plan ……………..……………………………...

…...............88

Projected Sales .…………………..……………..…………….….91

CHAPTER IV TECHNICAL STUDY

Introduction ………………...….………………………….......97

Description of the Product …………………………….…….……..98

Raw Materials and Supplies ……….…………….…………….…104

Manufacturing Process …………...………...…………………106

Operational Procedures ……..……………………………….…..116

Lay-out and Space Analysis ……………………………….………121

Production Schedule …...………………………………………….123

Facility Design ……………………………………………...……...123

Machinery and Equipment ……………………………….…….. .124

Furniture and Fixtures…………………………….………………...125

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Utilities ………………………………………..………………………126

Waste Disposal …………………………………………………..….127

Production Cost ……………………………………………..………128

CHAPTER V FINANCIAL STUDY

Introduction………………………………………………………….129

Project Cost (Initial Capital Requirements) ………….…….……132

Financial Statements

Projected Statement of Comprehensive Income ..………137

Projected Statement of Partner’s Equity ………………….138

Projected Statement of Financial Position ……………....140

Projected Statement of Cash Flow …...……………..…...141

Notes to Financial Statements…………………………...…142

Financial Ratio ………..……………………………………………150

CHAPTER VI SOCIO-ECONOMIC STUDY ………………..……...…..….....153

REFERENCES .…………………………………………………....…………...156

APPENDICES ……………………………………………...….….…………...157

LIST OF TABLES

TABLE 2.1 COMPENSATION ……………………………………………………….40

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TABLE 2.2 REGULAR HOOLIDAYS ……………………………………………….42

TABLE 2.3 SPECIAL HOLIDAYS …………………………………………………...43

TABLE 2.4 DISCIPLINARY CODE ………………………………………………….65

TABLE 3.1PLACES & FESTIVALS …………………………………………………67

TABLE 3.2 DEMAND ANALYSIS …………………………………………………...70

TABLE 3.3 PROJECTED ANNUAL DEMAND …………………………………….71

TABLE 3.4 SUPPLY ANALYSIS OF KAPAMPANGAN …………………………..71

TABLE 3.5 SUPPLY ANALYSIS OF KULTURA FILIPINO ……………………….71

TABLE 3.6 SUPPLY ANALYSIS OF TATAK KAPAMPANGAN …………………72

TABLE 3.7 TOTAL SUPPLY …………………………………………………………72

TABLE 3.8 PROJECTED ANNUAL SUPPLY OF COMPETITORS ……………..72

TABLE 3.9 PROJECTED ANNUAL SUPPLY OF TATAK KAPAMPANGAN …..73

TABLE 3.10 DEMAND AND SUPPLY GAP ANALYSIS ………………………….73

TABLE 3.11 MARKET SHARE – T-SHIRTS ……………………………………….73

TABLE 3.12 MARKET SHARE – BAGS ……………………………………………74

TABLE 3.13 MARKET SHARE – KEYCHAINS ……………………………………74

TABLE 3.14 MARKET SHARE – WALLETS ………………………………………74

TABLE 3.15 MARKET SHARE – MUGS …………………………………………...74

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TABLE 3.16 MARKET SHARE – WOODCRAFTS ………………………………..74

TABLE 3.17 MARKET SHARE – DÉCOR ………………………………………….75

TABLE 3.18 MARKET SHARE – BOOL ACCESSORIES ………………………..75

TABLE 3.19 SWOT ANALYSIS ……………………………………………………..77

TABLE 3.20 ACTION PLAN …………………………………………………………90

TABLE 3.21 PROJECTED SALES – T-SHIRTS …………………………….…….91

TABLE 3.22 PROJECTED SALES – BAGS ……………………………….……....91

TABLE 3.23 PROJECTED SALES – KEYCHAINS ………………………….…....91

TABLE 3.24 PROJECTED SALES – WALLETS ……………………..……………92

TABLE 3.25 PROJECTED SALES – MUGS ……………………………..………..92

TABLE 3.26 PS – MEDICINE CABINET/ OTHER CABINETS …………..………92

TABLE 3.27 PROJECTED SALES – HOUSE BANKS ……………………..…….93

TABLE 3.28 PROJECTED SALES – BAMBOO BANK ……………………..…….93

TABLE 3.29 PROJECTED SALES – BAMBOO TRAY ………………………….93

TABLE 3.30 PROJECTED SALES – WIND CHIME …………………………….91

TABLE 3.31 PROJECTED SALES – WATER WHISTLE ……………………….94

TABLE 3.32 PROJECTED SALES - REFRIGERATOR MAGNETS …………..94

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TABLE 3.33 PROJECTED SALES – WALL CLOCK ……………………………95

TABLE 3.34 PROJECTED SALES – PICTURE FRAMES ……………………...95

TABLE 3.35 PROJECTED SALES – THUMB THING BOOK HOLDER ………95

TABLE 3.36 PROJECTED SALES – BOOK STAND ……………………………96

TABLE 3.37 PROJECTED SALES – BOOK MARKS …………………………...96

TABLE 3.38 TOTAL SALES ………………………………………………………..96

TABLE 4.1 ADVAN. & DISADVAN. OF SCREEN PRINTING METHOD ……..100

TABLE 4.2 PRODUCTS OF AETAS ………………………………………………103

TABLE 4.3 T-SHIRTS ……………………………………………………………….104

TABLE 4.4 BAGS …………………………………………………………...…….…104

TABLE 4.5 KEYCHAINS ……………………………………………………………105

TABLE 4.6 WALLETS ………………………………………………………………105

TABLE 4.7 MUGS …………………………………………………………………...106

TABLE 4.8 PRODUCTION SCHEDULE – T-SHIRTS …………………………..117

TABLE 4.9 PRODUCTION SCHEDULE – MUGS ……………………………….117

TABLE 4.10 PRODUCTION SCHEDULE – WALLETS …………………………118

TABLE 4.11 PRODUCTION SCHEDULE – BAGS ………………………………118

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TABLE 4.12 PRODUCTION SCHEDULE – KEYCHAINS ………………………119

TABLE 4.13 WEEKLY MANPOWER SCHEDULE ………………………………120

TABLE 4.14 PRODUCTION SCHEDULE ………………………………………...123

TABLE 4.15 FACTORY MACHINERIES AND EQUIPMENT …………………..124

TABLE 4.16 OFFICE EQUIPMENT ……………………………………………….124

TABLE 4.17 STORE EQUIPMENT ………………………………………………..125

TABLE 4.18 FURNITURE AND FIXTURES – FACTORY ………………………125

TABLE 4.19 FURNITURE AND FIXTURES – OFFICE …………………………125

TABLE 4.20 FURNITURE AND FIXTURES – STORE ………………………….126

TABLE 4.21 UTILITIES – STORE AND OFFICE ……………………………......126

TABLE 4.22 PRODUCTION COST ………………………………………………..128

LIST OF FIGURES

FIGURE 1.1 COMPANY LOGO ……………………………………………………..15

FIGURE 1.2 VICINITY MAP …………………………………………………………16

FIGURE 3.1 SURVEY ANALYSIS – QUESTION 1 ……………………………….78

FIGURE 3.2 SURVEY ANALYSIS – QUESTION 2 ……………………………….79

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FIGURE 3.3 SURVEY ANALYSIS – QUESTION 3 ……………………………….80

FIGURE 3.4 SURVEY ANALYSIS – QUESTION 4 ……………………………….80

FIGURE 3.5 SURVEY ANALYSIS – QUESTION 5 ……………………………….81

FIGURE 3.6 SURVEY ANALYSIS – QUESTION 6 ……………………………….82

FIGURE 3.7 SURVEY ANALYSIS – QUESTION 7 …………………………….. ..83

FIGURE 4.1 SAMPLE DESIGNS – T-SHIRT …………………………………….100

FIGURE 4.2 PRODUCTS OF AETAS …………………………………………….103

FIGURE 4.3 STORE LAYOUT …………………………..…………………………121

FIGURE 4.4 FACTORY LAYOUT ……………………..…………………………..122

FIGURE 4.5 FRONT VIEW …………………………………………………………123

LIST OF APPENDICES

SURVEY QUESTIONAIRE ………………………………………………………..157

FIGURE 1 Uniform - Factory……………………………………………….……...158

FIGURE 2 Uniform - Store ………….…………………………….…..…………..158

FIGURE 3 Legal Requirements………….…………………………………….….159

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Executive Summary

The store will be named TATAK KAPAMPANGAN. Tatak Kapampangan is

a souvenir shop which aims to promote the products of Kapampangan. There

will be a variety of products available for tourists and visitors of Pampanga. It

will be located at RRK BLDG, Jose Abad Santos Avenue, City of San

Fernando, Pampanga.

PROJECT BACKGROUND

A souvenir shop is a store primarily selling souvenirs relating to a particular

topic or theme. The items sold often include coffee mugs, t-shirts, handmade

collections and other souvenirs. These shops are normally found in areas

visited by many tourists.

ORGANIZATION AND MANAGEMENT STUDY

The firm business type will be a Partnership, where each partners will

share equally in the profits or losses of the business. The Partnership will have

four partners, each partner will contribute an amount of 625,000 for a total

capital of 2,500,000. Competent workers will be hired to occupy the positions

needed based on the job description and their respective specifications. Failure

to comply with the firm's policies will result in an equivalent sanction based on

the rules and regulations set by the company.

MARKETING STUDY
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The shop will be open to all ages who are interested in buying souvenir

products made by Kapampangan. Its major target market will be the tourists

and visitors in Pampanga. The supply of the shop will be based on the increase

of tourists visiting the province. Other marketing efforts will be to increase the

awareness of customers regarding the existence of the shop by means of social

media.

TECHNICAL STUDY

The shop will be open every day. Monday to Saturday 8:00am to 5:00 pm

and every Sunday, 8:00 am to 12:00 pm only. The production in the factory will

operate every Monday to Saturday, 8:00 am to 5:00 pm. The office is open from

Monday to Friday, 8:00 am to 5:00 pm.

Products are made of different materials depending upon the product

itself. There are products which are produced by the company as well as

products made by the katutubo in Porac.

FINANCIAL STUDY

Contributions by each partner will be the source of company's requirement

to operate. The financial statements are reflected using financial assumptions.

Shown here are the projected financial performance, financial position, cash

flow and partner's equity. The supplementing notes indicates the financial ratios

that will be relevant in making decisions.

SOCIO-ECONOMIC STUDY
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Socio-economic refers to a wide range of interrelated and diverse aspects

and variables relating to a combination of social and economic factors. The

primary concern of every business is to maximize profit. Tatak Kapampangan

also aims to increase its profit each year. Aside from that, having harmonious

relationship with the government, community and potential customers and

clients is also one of the main concern of the business. The company will

assure that their employees will receive what is entitled to them.

CONCLUSION

The Study shows that if the proposed project were to be in reality, it can

help Pampanga promote its own products to others who do not know it. By

making the products available for the buyers, the buyers can motivate others to

visit Pampanga and that can result to the increase of tourists here in

Pampanga. Making Pampanga a healthy province where businessmen could

start their own businesses relating to the tourism industry.

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