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COMPETITIVENESS, VIABILITY, ECONOMIC BENEFITS AND

DIFFICULTIES OF THE UKAY-UKAY BUSINESS

1 2 3
Judy Ann P. Valdez , Beverly Rose L. Acosta , Bonifacio V. Ramos
1 2 3
Student Researcher, Student Researcher, Faculty Researcher
1 2
valdez_judyann@yahoo.com, bevyrose@yahoo.com,
3
bonifacioramos50@yahoo.com
Cagayan Valley Computer and Information Technology College, Inc.

Abstract
Ukay-ukay, the art of rummaging second-hand stuffs, is
wide-spread in the Philippines: a very trending act of shopping that
made a strong impact on the textile and clothing industry. The tre-
mendous growth of this business phenomenon is observed in San-
tiago City. It effected changes on the shopping practices, lifestyle of
the masses, and supplemented the existence of the textile clothing
industry. The presence of such business activity in the city gained
attention from the different sectors – ukay-ukay entrepreneurs,
consumers, franchised clothing traders and government. The com-
petitiveness and viability of the ukay-ukay business in the long run
is an important concern. Using a survey questionnaire to gather
data from 30 purposive and 100 random samples of entrepreneurs
and customers, respectively, this descriptive study aimed to deter-
mine the competitiveness, viability, economic benefits and difficul-
ties faced by the business as basis for formulating interventions to
uplift the business. The study found out that ukay-ukay is not as
preferred as department stores and other stores, but could be
competitive based on the (a) consumers’ evaluation of the stuffs as
passing the criteria on durability, prestige, originality and unique-
ness, low pricing, and desiring to continue patronizing the
ukay-ukay stores, (b) entrepreneurs’ perceptions on its profitability
and long-term viability, high prospects of continuing their business
in the next 5 years and becoming more knowledgeable while en-
gaging in the business. The entrepreneurs’ leading problems are
unsteady sale and the customers’ difficulty in rummaging while
their needs include increasing their capitalization and making their
stalls more spacious and comfortable. The problems encountered
by customers of the ukay-ukay business do not significantly affect
the economic benefits they derive.
Keywords: Competitiveness, Viability, Economic Benefits,
Ukay-ukay Business
1. Introduction
The clothing industry is one of the leading businesses throughout
2 Valdez, J.A.P., B.R.L. Acosta & B.V. Ramos. Competitiveness, viability, eco-
nomic benefits and difficulties of the ukay-ukay business

the world. It is never out of demands since it is one of the basic


needs of human beings [1]. Due to this reason, the competition in
the industry is really stiff from brand name, quality and cost up to
promotion. Competitors never let themselves left out when it
comes to innovation of their products. In so doing, their product
would end up attractive and saleable to consumers. But what do
consumers really look for when it comes to clothing?
Economic difficulties pose challenges among consumers whose
purchasing power is becoming low. They have to recuperate with
little money to provide basic needs like food, clothing and shelter.
Hence, they tend to look for low-priced clothes. Apparently, cloth-
ing and garment stores that sell affordable yet with high quality
products grow almost anywhere like mushrooms in the market
place.
Typical of these clothing outlets are ukay-ukay stalls which keep
even the budget-challenged fashionistas [2]. The term ukay-ukay is
derived from the Filipino hukay, which means to dig up. Ukay-ukay,
synonymous with wagwag, which is the act of dusting off a piece of
clothing by taking hold of one end and snapping it in the air.
Wagwag is an ilokano term synonymous with segunda mano (SM)
or second hand, which unwittingly gives the stuff an air of elegance
because SM stands for shoemart, the foremost Philippine retail
chain. Apparently, ukay-ukay started as a popular trade at the turn
of the century. The term became vogue in Baguio City and later
everywhere in the country and became a by-word even among
fashionistas [3] [4] [5]. Rummaging became popular that there
come an array of suggested guides on the art of rummaging. For
example, Ramirez wrote an article on tips and tricks of ukay-ukay in
2010 [3]. On the other hand, Constantino wrote an article on
recessionistas’ insider tips on how to score in an ukay-ukay [6].

Rummaging through a big pile of smelly used clothing became an


art [7]. Many Filipinos now get used to shopping at ukay-ukay
stores all over the Philippines. This is not just a country-wide phe-
nomenon, nor an Asian one, but a global trend competing with tra-
ditional department stores, boutiques and shopping malls every-
where on this planet. In fact, even these conventional stores selling
only brand-new clothing, shoes and accessories are carried away by
the crowd-drawing power of ukay-ukay marketing scheme that
dumped the items in one place and put up a big “SALE” sign. After
deliberately messing up, tossing up and mixing up all the clothes
together, they make it look like an ukay-ukay giving an impression
(often wrongly) that the items being sold there are cheap. One can
CVCITC Research Journal, 1(2): 2014; ISSN: 2362-9029 3

see this kind of selling even in shopping malls in big cities in the
Philippines. However, the things one finds at real ukay-ukay stalls
along dusty side streets and often crowded alleys can be surprising.
In ukay-ukay stalls, one can find expensive imported items like Ar-
mani pants, Louis Vitton bags, Charles Jordan shoes, Burberry bags,
Levis jeans and Nike shoes – all genuine, original brands at 1% of
their real prices. For example, an original Armani costing Php
20,000 would only cost for Php 200 at the ukay-ukay. More often
than not, one can find these items slightly used by their former
owners.

A customer can get lucky in getting these big bargains only if he


mastered more or less how to deal with the ukay-ukay store keep-
ers who sell these items and have no idea of how much they really
cost before they were dumped there. For example, an office worker
in Davao City, an occasional ukay-ukay found genuine leather shoes
he liked (fitted on his feet) and decided to buy. The price quoted to
him first was Php 750. Bargaining that it was too much for se-
cond-hand shoes, the store keeper said his last price at Php 450,
“take it or leave it.” The office worker told the keeper that he only
have Php 200 in his wallet and said goodbye. At his surprise, he was
held back by the final offer. Php 200 was fine and the item was sold.
It was found out later by the office worker that the original price of
the shoes was Php 6,500. Hence, bargaining is a skill that would do
well with the ukay-ukay customer [8].

When this kind of clothing store first appeared in the market, it was
not so much noticed by consumers and there were only a few
number of this clothing store. As time went by, together with life-
style of Filipinos, ukay-ukay became numerous anywhere in the
country. As a matter of fact, Bench, Bonjour de corps and a lot
more are readily available in ukay-ukay stores in a high demand.
This is just a proof that ukay-ukay somehow meets the standards of
Filipinos when it comes to clothing. People who patronize
ukay-ukay have varied reasons and belong to various social classes.
Most patrons belong to the low and middle classes whose reason is
affordability. On the other hand, some patrons belong to the high
class whose reasons are originality, uniqueness and quality. These
are the factors that justify the booming of ukay-ukay business na-
tionwide. Some may not yet be aware but the growth of ukay-ukay
really seemed to be indispensable especially now that most Filipi-
nos experience economic downfall and low purchasing power. Aptly,
consumers would definitely search for products like clothes that are
affordable that meets somehow their standards.
4 Valdez, J.A.P., B.R.L. Acosta & B.V. Ramos. Competitiveness, viability, eco-
nomic benefits and difficulties of the ukay-ukay business

1.1 Objectives of the Study


This study is designed to determine the competitiveness, viability,
economic benefits and difficulties of the ukay-ukay business.
Specifically, it aimed to present the:
1. attractiveness of the ukay-ukay business;
2. viability of the ukay-ukay business;
3. benefits of ukay-ukay business to entrepreneurs and cus-
tomers;
4. problems encountered by the ukay-ukay entrepreneurs and
customers;
5. significant relationships among the attributes of the
ukay-ukay business.
1.2 Literature Review
Milgram conducted an anthropological study on the beginnings of
research rooted on anthropology of women’s work as street ven-
dors, probably the precursor of women’s engagement in the
ukay-ukay business. Analyzing the commoditization of crafts, con-
sumptions and small-scale entrepreneurial activities in the North-
ern Philippines, she traced the channels through which women ex-
ercise agency in their changing roles in craft production and trade
with the advent of global market forces. Subsequently, she analyzed
the socio-economic and political impacts of microfinance develop-
ment projects mounted throughout the Philippines. The study fur-
ther explored the relationships between the institutional claims to
empowerment and the capacity of the program structures to gen-
erate ‘real’ opportunities for women. It also examined the Philip-
pine women’s engagement in the global trade and consumption of
second-hand clothing between the Philippines and Hong Kong, and
women’s work as street vendors [8].
There are many tales regarding the origins of ukay-ukay. These are
fanned by newspaper articles on irregularities in the distribution of
relief goods for calamity victims. It is said that these clothing dona-
tions were put together with the relief goods for whatever calamity
there was in the past in Hong Kong and Singapore. The earlier do-
nations which obviously came from Hong Kong fashionistas con-
sisted of Chanel, Dior, LV and Gucci. The thought behind it was,
“how can these second hand luxury goods be of any use to a ca-
lamity victim?” So then the industry was born.
Ukay-ukay is described as articles on sale. The unique venue in
which it is bought and the event of buying itself, used clothing is
randomly mixed up regardless of size, color, type and style in huge
CVCITC Research Journal, 1(2): 2014; ISSN: 2362-9029 5

piles along sidewalks. Buyers dig into the piles in a ‘contest’ to


choose the ‘best’ item adjudged by the keen eye for its relative
newness, lack of damage or stains, and its fashion appeal. The
choice is often signaled when the article is held up in the air and
dusted off in the wagwag manner. A quick bargaining episode
would take place and exchange of money hand in a rapid flurry of
dig, deal and pay involving a multitude of buyers.
Finding something to-die-for amidst racks and racks of clothes is
not an easy feat. For customers, especially fashionistas, Ramirez
wrote an article on ukay-ukay´s tips and tricks [3]. Whether one
goes to the comfortable online route or prefer to physically shop at
an ukay-ukay store, searching high and low for a good bargain is
something that made even the fashionista’s heart skip a beat. Alt-
hough not necessarily a secret, ukay-ukay existed for at least a
decade now. Tucked inside alleys and hole-in-the-wall stores,
ukay-ukay is one of the most rewarding and gratifying shopping
experiences, if not the cheapest. Fashionistas now get a bigger thrill
from discovering something quirky and fabulous for next to nothing
than splurging on the next “in” thing.
The legalization of the ukay-ukay business became an issue amidst
the outcry customers as well as establishments selling brand new
clothes. In 2002, President Gloria Macapagal-Arroyo banned the
entry and sale of ukay-ukay items in the Philippine market. This
created discontentment among its patrons who looked at
ukay-ukay goods as the most affordable in the market [9]. In de-
fense of legalization, Macairan wrote a proposal to legalize impor-
tation of ukay-ukay [10]. Accordingly, Customs Commissioner
Angelito Alvarez, together with Oriental Mindoro Representative
Rey Umali, Leyte Representative Andres Salvacion and Batangas
Representative Tomas Apacible, worked on a proposal to legalize
the importation and selling of used clothes, popularly known as
ukay-ukay. They said that there is a need for a thorough study such
as the anticipated revenues that Philippines can generate and its
impact on the garments or textile industry. If importation of used
garments is finally allowed, the country can earn revenue amount-
ing to Php 700 millions from taxes and duties annually. The gar-
ments industry had no any objection against the proliferation of
ukay-ukay in the country. It was estimated that 1,000 container
vans of used garments arrive in the country every year. This is why
the congress should now revisit the law. Alvarez noted that
ukay-ukay business helped in creating jobs for many Filipinos.
It was categorically pointed out in the study of Abueg that some
people would resort on buying ukay-ukay items because it is rela-
6 Valdez, J.A.P., B.R.L. Acosta & B.V. Ramos. Competitiveness, viability, eco-
nomic benefits and difficulties of the ukay-ukay business

tively similar with the brand new garments and accessories that
may be bought in relatively high-class stores and shopping malls [9].
He also explained that Philippine-made textiles and garments are
said to be 30% more expensive than their counterparts in the mar-
ket. This processing mechanism is attributed to the inefficient local
production and technology processes as well as their relatively low
productivity.

Carpio assessed the perception and attitude of second-hand cloth-


ing (ukay-ukay) buyers in Lipa City. Specifically, the study deter-
mined and discussed the demographic profile of the respondents,
their attitude and perception as regards to the clothes they buy
from ukay-ukay. The opinion of the buyers about the stores, as well
as these items on sale, led to a conclusion stating that there is a
significant correlation between the demographic variables and the
attitude and perception of the respondents on the attributes of the
clothes [11].

On the other hand, Constantino wrote insider tips among


recessionistas particularly on how to score in an ukay-ukay [6].
Now that fashionistas are finding it hard to satiate their fashions
urges, Manila’s best remedy is the ukay-ukay. Around for at least a
decade, ukay-ukay is not exactly a secret. Tucked inside Manila’s
alleys and holes-in-the-wall, one needs to scour the streets and find
the perfect ukay; every store houses different brands. One also
rarely gets the same thing twice. Gone are the days when se-
cond-hand shopping was a no-no. Today, almost everybody, includ-
ing the fashionista’s, get a big thrill in unearthing fabulous for next
to nothing than by buying the latest ‘in’ thing.

The ukay-ukay craze was also observed in Tagaytay City. According


to an article in a BlogSpot, ukay-ukay is one of the favored activities
of visitors in the city. The Olivarez Plaza, the usual ukay-ukay hub in
Tagaytay, houses a number of big ukay-ukay shops with lots of
items to choose from: from everyday clothing to gowns to baby
dresses to sportswear to bags and shoes. The blogger disclosed that
he personally found it surprising that there are actually people who
even buy underwear from ukay-ukay. They also have a separate
areas for class A or designer items. If they have a separate area for
these designer clothes, they also have an area for super bargain
things that is usually located at the back part of the shop where
one can find clothes worth Php 20 and below.

Today, the ukay-ukay grew from just clothing to bags, shoes and
CVCITC Research Journal, 1(2): 2014; ISSN: 2362-9029 7

even curtains, blankets, comforters, office equipment, toys and


sporting goods. Some shops now even sell brand new imitation
goods of imported designer brands in the areas with ukay-ukay.
There are also stores selling second hand Christmas trees and other
decorations from the US. Going to the ukay-ukay is considered
‘slumming’ for rich tourists looking for discarded LV bags, Fendi
jackets, Gucci scarves plus a host of other designer brands, and a
way of life for the frugal local residents.
1.3 Research Paradigm

Figure 1. Research Paradigm


Figure 1 illustrates the framework of the study. At the core is the
ukay-ukay business phenomenon, the Philippine version of rum-
mage sale. The term now pertains to places that sell second-hand
goods such as clothing, shoes, bags, furniture, etc. These are usual-
ly shipped from USA at a cheaper price. It also means to dig be-
cause people will dig into a pile of clothes.
Drawing from the perception of both entrepreneurs and customers,
the study looked into the business’ competitiveness, viability, bene-
fits and problems.
Conceptually, competitiveness is the ability to stand against a rival
business by offering products and services that meet or even sur-
pass the quality standards that the competitor doesn’t have. This is
operationally measured in terms of (a) customers’ preference for
ukay-ukay stores vis-à-vis with the market stalls other than the
ukay-ukay stores and department stores selling branded stuffs, and
(b) comparative competitiveness of ukay-ukay stalls vis-à-vis with
other stalls/stores relative to the products’ perceived durability,
prestige, uniqueness and originality.
Viability, measured by the lifespan of a business, is the ability of the
business to stay for a long time by overcoming the adversary condi-
tions or problems. Operationally, this is based on the ukay-ukay
8 Valdez, J.A.P., B.R.L. Acosta & B.V. Ramos. Competitiveness, viability, eco-
nomic benefits and difficulties of the ukay-ukay business

entrepreneurs’ prospects and reasons for continuing in their enter-


prise in the next 5 years.
Benefits are returns that come to an entrepreneur as well as cus-
tomer. Operationally, it can be economic in terms of perceived
profitability (including revenue, net cash flow, and net income) on
the part of the entrepreneur, as well as financial benefits that ac-
crues to the consumers through discounts, savings and increased
purchasing power. It is also non-economic for the entrepreneur,
including status symbol, outlet for personal interest, business satis-
faction and satisfaction from customer relation.
Difficulties are perceived gaps between the existing state and de-
sired state, or a deviation from a norm, standard, or status quo.
Operationally, the difficulties are those encountered by entrepre-
neurs (such as competition, negative consumer behaviors, unduly
high tax rates and unsteady sales) and customers (such as time
consumed in rummaging, much effort needed for searching
ukay-ukay goods, product defects or damages, limited space and
annoying odors.
Based on the model, it is hypothesized that there is a relationship
that exists among the following attributes of the ukay-ukay busi-
ness: (a) competitiveness and viability, (b) problems and (c) eco-
nomic benefits. The results of the study would serve as bases in
giving ideas to BSBA graduating students who would be prospective
entrepreneurs. The findings would also serve as bases for actions to
strengthening the competitiveness and viability of the ukay-ukay
business.
2. Methodology
This study used the descriptive research method, particularly the
normative and correlation. The normative type described the via-
bility, competitiveness, economic benefits and problems encoun-
tered by the entrepreneurs and consumers. On the other hand, the
correlation analyzed the significant relationship among the busi-
ness’ attributes: viability, competitiveness, economic benefits and
problems encountered. A researcher-made and expert validated
questionnaire on a 4-point Likert scale was used in gathering data
from 30 ukay-ukay outlets in Santiago City and 100 consumers. The
descriptive statistics used in the study were frequency count, mean,
rank and percent. Mean scores based on the 4-point scale were
provided descriptive equivalents for the ukay-ukay attributes
(competitiveness, viability, economic benefits, and difficulties) on
the following ranges: 4 (3.50 – 4.00) = very high; 3 (2.50 – 3.49) =
CVCITC Research Journal, 1(2): 2014; ISSN: 2362-9029 9

high; 2 (1.50 – 2.49) = low and 1 (1.00 – 1.49) = very low. Pearson-r
was used to test significant relationship among the business’ at-
tributes: viability, competitiveness, economic benefits and prob-
lems encountered. Statistical computations were made through
SPSS.
3. Results and Discussion
3.1 The Attractiveness of Ukay-ukay Business
Table 1. Mean and Ranks of Customers’ Preferences for Ukay-ukay,
Market Stall and Department Store
Customers’ Preferences Frequency Rank
Ukay-ukay Store 21 3
Market stalls other than Ukay-ukay 29 2
Department Store 50 1

Based on the foregoing table, the customers’ first preference when


it comes to shopping is still the department stores, followed by the
market stalls other than the ukay-ukay. Third to their preference is
the ukay-ukay which would indicate that the ukay-ukay business is
not that competitive yet.
Table 2. Mean Scores of the Comparative Attractiveness of
Ukay-ukay Market Stalls and Department Stores
Indicators Mean* Description Rank
Durability Ukay-ukay 2.92 High 2
Market Stalls 2.56 High 3
Department Store 3.26 High 1
Prestige Ukay-ukay 2.91 High 2
Market Stalls 2.50 High 3
Department Store 3.30 High 1
Originality Ukay-ukay 3.18 High 1
Market Stalls 2.34 Low 3
Department Store 3.17 High 2
Uniqueness Ukay-ukay 3.12 High 1
Market Stalls 2.37 Low 3
Department Store 3.06 High 2
* 4 (3.50 – 4.00) = very high; 3 (2.50 – 3.49) = high; 2 (1.50 – 2.49) = low and 1 (1.00 – 1.49) = very low

Presented in Table 2 are the perceived attractiveness of ukay-ukay


stores, market stalls and department stores in terms of durability,
prestige, originality and uniqueness. As can be gleaned on the table,
department stores and ukay-ukay stores are equally high in terms
of durability and prestige although department stores remained as
10 Valdez, J.A.P., B.R.L. Acosta & B.V. Ramos. Competitiveness, viability, eco-
nomic benefits and difficulties of the ukay-ukay business

the customers’ first preference. On the other hand, market stalls


are seen with the lowest perception.
Concomitantly, ukay-ukay stores and department stores are per-
ceived equally high in terms of originality and uniqueness with
ukay-ukay on the lead. Market stalls remain to be the least pre-
ferred place for shopping.
These results indicate that ukay-ukay stores are becoming strong
competitors of department stores and market stalls in Santiago City.
3.2 Viability of Ukay-ukay Business
Table 3. Entrepreneurs’ Intent to Continue the Business in the next
Five Years
Do you intend to continue with Yes Frequency 21
the ukay-ukay business in the % 70
next 5 years? No Frequency 9
% 30
Total Frequency 30
% 100

As shown in Table 3, the ukay-ukay business is going to boom in


Santiago City as indicated by the number of entrepreneurs who in-
tend to continue with the business in the next 5 years. This as-
sumption is based on the number of entrepreneurs who intend to
continue the business, 21 or 70 %. The 40 % relative difference
(70 % - 30%) is a big margin.
Table 4. Reasons in Continuing the Ukay-ukay Business in the Next
Five Years
Reasons Mean* Description
I can increase my capital. 2.90 Agree
More and more people will buy 3.07 Agree
from ukay-ukay
Ukay-ukay will continue to be prof- 3.00 Agree
itable
I will be more knowledgeable in the 3.13 Agree
selling business
* 4 (3.50 – 4.00) = very high; 3 (2.50 – 3.49) = high; 2 (1.50 – 2.49) = low and 1 (1.00 – 1.49) = very low

As presented in Table 4, the entrepreneurs agree (Level 3 on a


4-point scale) on the following reasons to continue the ukay-ukay
business in the next 5 years: they could increase their capital, more
CVCITC Research Journal, 1(2): 2014; ISSN: 2362-9029 11

and more will buy from ukay-ukay, it will continue to be profitable,


and that they would be more knowledgeable in the selling business
in the long run. Based on the standpoint of the entrepreneurs, the
aforementioned reasons indicate that the ukay-ukay business in
Santiago City is viable.
3.3. Benefits of Ukay-ukay Business
Table 5. The Perceived Profitability of the Ukay-ukay Business
Mean* Description
Perceived Profitability 2.77 Moderately Profitable

As presented in the foregoing table, entrepreneurs consider the


ukay-ukay as a moderately profitable business in the locality with a
mean of 2.77. This means that there is a big possibility that they
will keep on with their business.
Table 6. The perceived Benefits of Ukay-ukay Business
Benefits to Entrepreneurs Mean Rank
Profit 3.87 1
Status symbol 2.23 5
Outlet for Personal Interest 2.63 4
Business Satisfaction 3.43 2
Satisfaction from Customer Relation 2.87 3

As presented in table 6, the first or primary benefit that entrepre-


neurs get from the ukay-ukay business is profit. Other than this
economic benefit are social factors like, business satisfaction, satis-
faction from customer relation, outlet for personal interest and
status symbol. The combined financial and social benefits are the
reasons of inferring that ukay-ukay business is here to stay in the
City.
Table 7. The perceived Benefits of Ukay-ukay Business to Customers
Benefits to Customers Mean Rank
Low price 2.28 1
Savings (will not spend all the money 2.26 2
that I bring)
Discount (price is lowered so much) 1.46 3

Results in Table 7 state that low price is the leading benefit that
customers get from ukay-ukay stores. The other benefits related to
the first are savings and discount. Savings and discount imply that
12 Valdez, J.A.P., B.R.L. Acosta & B.V. Ramos. Competitiveness, viability, eco-
nomic benefits and difficulties of the ukay-ukay business

customer wanted to buy many articles with their budgeted pur-


chasing capacity.
3.4 Problem Encountered by the Entrepreneurs
Table 8. Perceived Problems of the Entrepreneurs in Ukay-ukay
Business
Problem Encountered Mean Rank
Stiff competition 2.77 2
Negative consumer behaviors 2.40 4
Unduly high tax rates 2.83 3
Unsteady sales 2.83 1

Based on the findings as shown above, the leading problem en-


countered by the entrepreneurs in the ukay-ukay business is the
unsteady sales. This is not usual because all business have peak and
low seasons. Next to this problem are stiff competition, unduly high
tax rates and negative consumer behaviors. These findings pose
challenge among the entrepreneurs to be creative for them to
overcome these problems.
Table 9. Perceived Problems of the Customers
Problem Encountered Mean Rank
Time consuming 2.85 4
Product defects/damages 2.98 2
Much effort needed for searching 3.50 1
ukay-ukay goods
Limited space 2.72 5
Annoying odor 2.95 3

Presented in the foregoing table are the problems encountered by


the customers of ukay-ukay business. It presents that major prob-
lem of the customers is the effort needed in searching items while
the least is the limited space of the stores. The marketing precept,
“customer is always right”, must become the entrepreneurs over-
riding principle in their innovations if they want to remain competi-
tive.
4.5 Relationships of the Ukay-ukay Business Attributes
Presented in Table 10 are the correlation results between prefer-
ence and attraction, and economic benefits. It presents that the
p-values that resulted from the test conducted were all greater than
CVCITC Research Journal, 1(2): 2014; ISSN: 2362-9029 13

the significance level set forth in the study. This means that there is
no significant relationship between preference and economic bene-
fits. It can be said that customers’ considerations in terms of bene-
fits is independent with their preference criteria and vice versa.
This means that the benefits are foremost in the minds of customer.
Therefore, the criteria on durability, prestige, originality and
uniqueness are just their secondary considerations.
Table 10. Preference and Attraction Correlated with Economic
Benefits
Indicators Economic Benefits
Low Savings Discount
Price
Preference for ukay-ukay Pearson-r .129 -.140 -.004
Sig (2-tailed) .202 .165 .966
Durability of Goods Pearson-r -.006 -.057 .054
Sig (2-tailed) .957 .575 .592
Prestige of Goods Pearson-r -.062 -.066 .118
Sig (2-tailed) .539 .511 .244
Originality of Goods Pearson-r -.162 .054 .111
Sig (2-tailed) .108 .596 .272
Uniqueness of Goods Pearson-r -.037 -.036 .067
Sig (2-tailed) .711 .726 .508

Table 11. Economic Benefits Correlated with the Problem


Occurrences
Economic Benefits Customers’ Problems
Time Defects/ Much Limited Annoying
Consuming Damages Searching Space Odor
Effort
Low Price Pearson-r -.037 .059 .030 -.053 .003
Sig (2-tailed) .711 .558 .768 .603 .979
Savings Pearson-r -.026 -.171 -.008 .000 .182
Sig (2-tailed) .800 .089 .934 1.00 .069
Discount Pearson-r .059 .090 -.022 .051 -.160
Sig (2-tailed) .563 .375 .830 .614 .112

As presented in Table 11, the correlation results between benefits


and the problem occurrences of the customers are all insignificant.
It further presents that the p-values that resulted from the test
conducted were all greater than the significance level set forth in
the study. This means that there is no significant relationship be-
tween economic benefits and the occurrences of the problems. It
14 Valdez, J.A.P., B.R.L. Acosta & B.V. Ramos. Competitiveness, viability, eco-
nomic benefits and difficulties of the ukay-ukay business

can be said that customers’ considerations in terms of benefits is


independent with the possible problems that may have and vice
versa. This means that the benefits are foremost in the minds of
customer. Therefore, the problems they might encounter while
rummaging are just their secondary considerations.
References
[1] Bellis, M. (2003). The history of clothing.
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Citation: Valdez, J.A.P., B.R.L. Acosta & B.V. Ramos (2014). Competi-
tiveness, viability, economic benefits and difficulties of the ukay-ukay
business. CVCITC Research Journal, 1(2), pp 1 – 15.
CVCITC Research Journal, 1(2): 2014; ISSN: 2362-9029 15

Author’s Biography
JUDY ANN P. VALDEZ
Judy Ann P. Valdez is a graduate of Bachelor of Science in Business
Administration major in Marketing Management. She finished her
college degree on top of her class in 2012. Due to her distinction,
she immediately landed on a job after graduation: from an Admin-
istrative staff of an automotive company a policy service processor
company which is affiliated with Alliance United Insurance Services
(AUIS), the largest automotive insurance company in the US. To
prepare her for greater works, she had her English Proficiency for
Customer Service. At present, she is in a stride of accomplishing her
goal for an international venture.
BEVERLY ROSE L. ACOSTA
Ms. Beverly Rose L. Acosta is a graduate of Bachelor of Science in
Business Administration major in Marketing Management. At pre-
sent, Ms. Acosta is one of the marketing professionals of Aljay Cor-
poration in Santiago.
DR. BONIFACIO V. RAMOS
Dr. Bonifacio V. Ramos is an accomplished educator, educational
manager, researcher, and Quality Assurance evaluator and accredi-
tor. Having been to both instruction and research for several dec-
ades now, Dr. Ramos had been the editor of the Research Journal,
Partuat and the Journal of Northern Luzon; all of which are journals
of Saint Mary’s University. At present, Dr. Ramos is the Vice Presi-
dent for Administration and Research Director at PLT College,
Bayombong, Nueva Vizcaya. He is also a member of the Education
Panel and Board of Directors of Nakem Conferences Philippines and
Nakem Conferences International. Added to these laureates is his
being a national accreditor and evaluator for Quality Assurance
particularly the CHED-ISA.

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