Neighborhood Construction Supplies

- Business plan -
NEIGHBORHOOD
CONSTRUCTION SUPPLIES
Piy Margal St. Sampaloc, Manila
(02)456-1234
Submitted by:
Cantaco, Szaira Avery R.
Chamiso, Franz Clarisse Z.
De Luna, Lilibeth Marie L.
Ditchon, Godofreda M.
Empleo, Eljohn O.
Villaroman, Cain Justine
TABLE OF CONTENTS
1. Executive Summary
 Objectives
 Key to Sucess
2. Company Review
 Company Location and Facilities
 Mission and Vision
3. Market Analysis
 Competitive comparison
 Competitive edge
 Target market segment strategy
 Strength, Weakness and Opportunities
4. Organization & Management Team
 Organization chart
5. Product and Services
 Products and Services
6. Strategy and Implementation
 Marketing and Sales strategy
 Potential customer
7. Financial Plan
 Financial Statement
Appendix..
1. Executive Summary
‘Construct a Safe World”
Neighborhood’s Construction Supplies sells types construction supplies to public and private
customers in the NCR region, concentrating on the area around Sampaloc Manila.
Our goal for this year is to penetrate the construction supplies, with its high profitability and
limited competition. By meeting our minimum goals of construction needs products to
municipalities, contractors and end-users, with sales of over and net profits We penetrating
the local market by offering superior products and customer service.
1.1 Objectives
The objectives of Neighborhood’s Construction Supplies for a year:
1. Establish strategic working relationships with the major construction sites in the area.
2. Return of investment closely associated with its strength and reliability since that will
last for decades.
3. To make safety environment because it has a low carbon effect and recyclable to
make it popular choice for green business.
4. To saves money for purchaser and to give strength to concrete.
1.2 Keys to Success
The keys to success for Neighborhood’s Construction Supplies:

1. Establishing and maintaining working relationships and contractual agreements with
municipality and business sector clients.
2. Expanding the supplies.
3. Increasing our facility to maximum production within the next three years.
4. Developing a net profit margin above 30%.
5. Continuing our position as a customer-service-oriented company with competitive
pricing.
6. Increasing our profit margins and decreasing our production costs.
7. Developing a presence in the market with area users.
2. Company Review
Neighborhood’s Construction Supplies provides numerous types of Construction

supplies. These products are large reinforcement bar, regular reinforcement bar, angular
bar, flat bar, round bar, gravel, sand, cement, and concrete hollow blocks. These products
are sold to municipalities, business entities and end with a concentration around Sampaloc
Manila. The owner of the Company was Eljohn Empleo and with the Co-owner namely Szaira
Avery Cantaco, Franz Clarisse Chamiso, Lilibeth De Luna, Godofreda Ditchon and Cain
Justine Villaroman.
2.1 Company Locations and Facilities

Our construction supplies are located in Piy Margal St. Sampaloc Manila. The
construction supplies are good quality and considered a “green” product in that it is entirely
recyclable specially the reinforcement bars. In fact, clients will be able to buy reinforcement
bars and recycle the remaining rebars for a new commercial building or home.
Our objective is to provide our clients with a good quality supply to ‘construct a safe
world’ and we are committed to deliver products and services of the highest quality in order to
guarantee the safety and total satisfaction of our customers.
2.2 Mission
Neighborhood’s Construction Supplies serves municipalities, construction companies and

individual users by providing superior-quality products manufactured to the highest standards
at competitive prices.
Our principals to have a history of valuing relationships with their customers. We

communicate our commitment to quality and customer appreciation through outstanding
product quality, personal service and efficient delivery. Our commitment to our customers is
reflected through honest and responsible business practices.
2.3 Vision
Neighborhood’s Construction Supplies will be one of the most distinguished construction

supplies in the area. Known because of having a great customer service, and traditional yet
good quality of materials.
3. Market Analysis
The Market Analysis considers new buyers and industry opportunities. Neighborhood's
Construction Supplies investigated business markets and their demands, as well as doing a
marketing survey. Second, the need for this venture was assessed. Is a hardware store
needed in the city center? The answer was a resounding yes.
Neighborhood's Construction Supplies (NCS) wanted to examine the make-up of its

clients, who they were, and how many there were. Who really is the future customer? How
many future clients do you have?
The next move was to find out how to get them NCS clients until it was determined that
there was a need and who the customer was. How can you attract a prospective buyer into
your store?
3.1 Competitive Comparison
The way we compete is based on the fact that we offer a larger selection of
products, superior quality, and better customer service in terms of information on our
product line. We compete on our construction products in terms of price and
availability, with fast delivery.
3.2 Competitive Edge
The competitive edge has been covered throughout this document. Location is the
biggest key to this business. There are no true competitors in our business in the
Philippines. Our future customers have had to work harder to get the same or lesser
service less conveniently. We will be in their backyard and be easy to work with and
have products they need.
Neighborhood’s Construction Supplies have staff that understand customer service
and how to treat customers so that they want to shop in the Neighborhood’s
Construction Supplies environment.
3.3 Target Market Segment Strategy

Each market segment is distinct and necessitates a distinct marketing strategy to
attract them. There are five major market segments:
● City residents - City center residents will account for up to 40% of the store's
future revenue. This is a constantly developing and evolving community. The
number of central residents has reached an all-time high. This section is fully
covered by the proposed site.
● Property Managers - Every residential and commercial building nearby has a
property manager who keeps the buildings in good condition. These property
managers all need readily available supplies and materials. These managers
would be able to rely on NCS to provide them with what they need. NCS
believes the store would be a simple, fast, and convenient way to meet the
needs of these property managers.
● Contractors - NCS will need to go out and pursue this group. NCS would need
to go to construction sites to inform contractors that NCS is an alternative and
the most feasible option possible. Delivery and hours of operation will be very
important to this group.
● City Business - Every central company would need supplies from time to time.
At the time of opening, the focus will be on selling traditional retail hardware
supplies to this group. As the company grows, NCS will work to build the
Commercial Supply Network for these companies. The key to this group is
awareness. They will also be looking for an easy and convenient way to get
hardware items.
● Commercial Sales - This segment is going to come down to hard work. It will
require a dedicated sales person calling on potential customers and developing
relationships with Commercial customers to turn this segment into a strong
revenue stream. Again, there is an endless amount of industry and so many
companies operating in the city centre. A significant number of Federal, State,
and Local government agencies are also headquartered in the city centre.
3.4 Strength
We believe that independent hardware stores need to focus on their “strengths”.
In Service, 88% of consumers have a favorable opinion of small business vs. 61%
for big business.
We believe we are Convenient. Consumers want to get everything they need in
one trip to the store. The Independent hardware stores are able to do this, because
they work with their customers.
There are four ways to compete:
1. Assortment & Variety
2. Service & Experience
3. Convenience
4. Price
3.5 Weakness
As new to the industry, the first one is we can be called as an outsider, prospective
customers may be skeptical. And clients will have a hard time trusting us because we
are just newbies and think that we may lack experiences. Second thing is no one
knows the name of the company so it will be hard to find a regular client. And another
weakness is lack of resources to grow and high-priced, expert employees are out of
our budget.
3.6 Opportunities
Our company, Neighborhood's Construction Supplies (NCS) will develop a reputation
for excellent customer service, building on the foundations laid down by other
construction supply stores and large corporations. We will build our company by
providing a strong leader in retail hardware in the city center
NEIGHBORHOOD CONSTRUCTION SUPPLIES
The executive organization and management team administer the commitment to
safety compliance to the policies and best qualities of the construction supplies that
we are distributed to
EXECUTIVE OFFICER
Empleo, Eljohn O.
The Head of the Neighborhood Construction Supplies
BS Civil Engineering Degree at Rizal Technological
University
Filipino/ 24 yrs.old
Ditchon, Godofreda M.
The Asst.Head of the Neighborhood Construction Supplies
BS Civil Engineering Degree at Rizal Technological University
Filipino/25 yrs.old
De Luna, Lilibeth Marie L.

The Consultant of the Neighborhood Construction Supplies
Filipino/24 yrs.old
Chamiso, Franz Clarisse Z.

The Accountant of the Neighborhood Construction Supplies
Filipino/22 yrs.old
Cantaco, Szaira Avery R.

e Neighborhood Construction Supplies
Filipino/21 yrs.old
Villaroman, Cain Justine F.
The Distributor of the Neighborhood Construction Supplies

BS Civil Engineering Degree at Rizal Technological
University
Filipino/24 yrs.old
4. ORGANIZATION CHART
Empleo, Eljohn
(Head Executive)
Ditchon, Godofreda De Luna, Lilibeth Marie
(Asst. head executive) (Consultant)
Chamiso, Franz Clarisse and

Cantaco, Szaira Avery
(Accountant)
(Asst. Accountant) (Asst. Accountant)
Villaroman, Cain Justine

(Distributor)
(Asst. Accountant)
(monitoring of deliveries) (pull in and pill out products)
4.1 Key
• The head of the executive are incharge of the aesthetic and functional needs may
define the product quality and requirement.
• The assistant head assesses the head executive like defines performances of the
product and the requirement and will focus on the specialism.
• The consultant will be incharge in recommend and suggest the best quality and
affordable and economical.
• The accountant will be responsible the budget and prices of the product we sold.
• The distributor will be incharge in deliveries and monitoring the pull in and pull out the
products.
The team come up with supplying our product through social media and fliers that
caught client’s attention. Each teams used their social media account for promoting and
advertising our product. The team planned to create a site for our products that is easy
to browse and accessible to all clients.
5. Products and Services
Neighborhood’s Construction Supplies deals exclusively in steel related products, including

but not limited to the following:
LARGE REINFORCEMENT BAR
DESCRIPTION SIZE / DIMENSION LENGTH

Rebar, Grade 60 50mm Diameter 12 meters
Rebar, Grade 60 50mm Diameter 7.5 meters
REGULAR REINFORCEMENT BAR

Tie Wire No. #16 25kgs/roll
ANGLE BAR
Angle Bar 40mm x 40mm x 6mm 6 meters
thick
thick
thick
thick
thick
thick
thick
thick
Angle Bar 40mm x 40mm x 6mm thick 6 meters
FLAT BAR
Flat Bar 20mm x 3mm thick 6 meters
ROUND BAR PRICE

Round Bar 8mm diameter 6 meters
SAND
DESCRIPTION SIZE / DIMENSION
Sand Cu.m.
Washed Sand Cu.m.
Screened Sand Cu.m.
GRAVEL
Gravel Fill Cu.m.
Gravel G1 Cu.m.
Gravel G2 Cu.m.
Gravel G1-1/2” Cu.m.
Gravel G2-1/2” Cu.m.
Gravel 1/2” Cu.m.
Gravel 3/4” Cu.m.
Gravel 3/8” Cu.m.
Screened Gravel Cu.m.
Fine Aggregate Cu.m.
Natural Gravel Cu.m.
CEMENT
Portland Cement, 40 kg Bag
CHB
Concrete Hollow Blocks
Pc
(CHB) 4”
Concrete Hollow Blocks Pc
(CHB) 6”
Neighborhood’s Construction Supplies will work with Building Blocks to develop the right
product mix. The initial order of inventory will take into account the fact that this is an
urban store and the product mix may contain different items than a suburban store.
Neighborhood’s Construction Supplies will rely on Building Blocks’ expertise,
knowledge, and their IAIS inventory management program in developing this initial
order.
5.1 Product and Service Description

Neighborhood’s Construction Supplies will stock traditional retail construction supply
items. The product mix will be changed slightly from suburban stores. The history of
the store will then be used along with IAIS to develop the right product mix that takes
advantage of the available square footage and maximizes profits.
Neighborhood’s Construction Supplies will open a The Tool Room Rentals store within
the hardware store. This is a program that will help cash flow as well as increase sales
of rental accessories and support items.
5.1.1 IAIS
IAIS stands for Inventory Always in Stock. This is a program that was developed by
Building Blocks based on feedback from their members. The members were looking for
assistance in managing their departments and knowing what is selling and what is not.
This program has the following benefits to members who take part in it:
1. ORGANIZE departments with a more consistent merchandise assortment

2. REMOVE non-selling inventory
3. FREE UP valuable floor space 4. INCREASE a store’s overall profits.
Building Blocks delivers to member stores IAIS merchandising guides, assortment

guides, and recommends what inventory to carry and what not to carry.
This is an invaluable tool for a new member because the new store can rely on the
history of current stores to help in their merchandising.
5.1.2 Retail Pricing System

Neighborhood’s Construction Supplies will once again rely on Building Blocks to deliver
the correct pricing for the market. As discussed earlier, low cost is not one of the main
factors for customers to shop at a convenient comstruction store location.
Neighborhood’s Construction Supplies will continue to work with Building Blocks to
charge the right price to maximize profits.
5.2 Future Products and Services

Neighborhood’s Construction Supplies will listen to its customers to understand what
other needs are not being met. Those needs could include additional store locations in
the future and an expansion of products and services offered at the current location.
There may be other businesses that can be offshoots of retail construction supplies that
help service or provide convenience to Neighborhood’s Construction Supplies
customers.
6 Strategy and Implementation Summary Emphasize Customer Service

Neighborhood’s Construction Supplies will build a reputation of fantastic customer
service, building upon what Building Blocks stores and the Building Blocks brand have
already established. We will establish our business, by offering a clear cut leader in
retail hardware in Philippines
Build a Relationship-Oriented Business
Fantastic service will lead to long term loyal relationships with our customers and
clients. The goal is to have our customer base become reliant on Neighborhood’s
Construction Supplies to stock items and have solutions for their needs. The customers
will soon understand the value of the relationship.
Focus on Target Markets
Neighborhood’s Construction Supplies will focus on the market segments identified
earlier in this document. Each of the market segments will have sales initiatives to
focus on each group.
Differentiate and Fulfill the Promise
Neighborhood’s Construction Supplies can’t just market and sell products and services,
we must actually deliver as well. We need to make sure we have the knowledge-
intensive business and service-intensive business we claim to have. This service has to
be consistent and deliver what the customer is looking for.
6.1 Marketing Strategy
The Building Blocks Power Events are advertising programs supported by national
advertising during peak buying periods for planned home care products. Power Events
focus on those high traffic times of the year with a multimedia campaign. A strong mix
of newspapers and radio advertising, circulars, and Sunday supplements deliver a
sense of urgency to visit the store. A small 8-page and large 12-page circular are
available for each Power Event to help carry the theme and promote the sale. There
are four Power Events each year.
Neighborhood’s Construction Supplies will also place ads in the Internet. The internet
continues to be a source of a good number of customers.
Neighborhood’s Construction Supplies will also rely on the media to help spread the
word about this new business downtown. Local TV show goes on location to promote
local businesses. Radio can be used in many different ways, radio remotes for the
opening of the store.
6.1.1 Potential Customers

Every person is a potential customer of a hardware store. Neighborhood’s Construction
Supplies will carry items everyone needs. The average household spends 5000Php per
year on items found in a construction store according to Yorikle, a research firm
retained by Building Blocks. The key to getting the potential customer to spend their
5000Php or more in Neighborhood’s Construction Supplies are include the following
attributes:
• Convenience
• Service
• Reliability
• Knowledgeable
• Progressive
• Exceed customer expectations
All of these attributes will be present in Neighborhood’s Construction Supplies. In order
to be convenient, Neighborhood’s Construction Supplies will have to adapt to its
environment, the location will be key to making it easy for customers to get to the store.
The store must also be open when the customers arrive. In addition, a delivery service
will be available to make it easier for regular customers to not have to leave what they
are doing to get the products they need. There will also be accounts set up to make it
easier for regular customers to get items, without having to deal with petty cash,
company credit cards, or company checks for each visit to the store.
Customers expect to get great service at Neighborhood’s Construction Supplies, which
is evidenced by the fact 50% of all hardware shoppers will avoid the “Big Box” retailers
and opt instead for the personal service like Neighborhood’s Construction Supplies. We
will also need to be reliable, which means that customers will depend on us to inventory
what they need and understand and anticipate their needs. Customers want to come
into a hardware store having the confidence they will find what they need. The store will
possess a knowledgeable and friendly staff. The staff has to understand and interpret
what the customer needs and find the product that will fit that need. Neighborhood’s
Construction Supplies will also be progressive, by that we mean we will continue to
evolve and understand what the customer needs and develop new markets where the
need exists.
6.2 Sales Strategy
Neighborhood’s Construction Supplies will be offering a convenient solution which all
downtown residents need. Customers will be introduced to Neighborhood’s
Construction Supplies through targeted advertising, direct mail, signage, and word of
mouth. Neighborhood’s Construction Supplies will also take advantage of all the
Building Blocks programs that help create loyalty and awareness among the potential
customers in the market.
The direct sales force will consist of two seasoned sales people led by Eljohn Empleo.
The focus will be on property managers and all downtown businesses to create an
awareness of the store location and the fact that the store is a potential solution for retail
hardware needs.
Eljohn Empleo will also work on the commercial accounts and government accounts
located in the downtown market.
6.2.1 Sales Programs

Building Blocks has loyalty programs like Building Blocks Rewards that Neighborhood’s
Construction Supplies will participate in. This program has been developed to build a
loyal following of customers that use the card for shopping benefits.
By the second year accounts will be set up for businesses, property managers, and
contractors to make shopping easy for them. This program will allow these customers
to shop and make it easy for them to pay for items on account. This program will have
to be managed very carefully.
6.3 Competitive Edge
The competitive edge has been covered throughout this document. Location is the
biggest key to this business. There are no true competitors in our business in
Philippines. Our future customers have had to work harder to get the same or lesser
service less conveniently. We will be in their back yard and be easy to work with and
have products they need.
Neighborhood’s Construction Supplies have staff that understand customer service and
how to treat customers so that they want to shop in the Neighborhood’s Construction
Supplies environment.
Web Plan Summary

Obviously, we are in the age of computers and the Internet. Customers are ultimately
looking for the simplest, most reliable, and least consuming way to get the goods and
services they need.
Therefore, a Web strategy is important to keep up with the changing world and stay
ahead of potential competition. Customers that buy on the Internet do not care where a
business is located, so it is important that a name and a reputation be established that
customers can rely on whether it is in the store or on the Internet.
7.1 Website Marketing Strategy
Neighborhood’s Construction Supplies has a sensational program for their members. It
allows a member to establish their own website with member information and use the
established product background linked to buildingblockshardware.com. Customers can
then go on line and order products very easily. This is a program that a normal small
business could not afford to invest in.
The Internet is also a valuable communication tool with customers. The site includes a
custom home page, store location along with a map, store hours, services and
selection, in-store coupons, 1,000 item in-store catalog, and as many custom pages as
a member needs.
Financial Plan
The business will need substantial start-up capital. It is expected that a good
portion of that amount will be secured through SBA financing.
Sales are expected to start conservatively the first year and increase steadily through
the fifth year of operations. Operating income will pay back the start-up loan over a
seven-year amortization.
Inventory Turnover ratios are predicted to be in excess of 4.3. The goal will be to get
this ratio to exceed 5.0. To do that Neighborhood’s Construction Supplies will be
required to purchase smartly and drive sales.
Cash will be retained in the business to cover cash operating needs as well as future
expansion of other Neighborhood’s Construction Supplies locations.
It is expected that dividends will be paid to the investors annually. The amount of the
dividends is estimated to be 50% of profits.
After the first year of operations, it is expected that Empleo, Eljohn will be able to trim
expenses in the business as efficiency, experience, and knowledge work together and
help the business operate better. Estimates are extremely conservative in the
budgeting process.
Financial Statement
I will get the funds from the savings of co-owners collecting an amount of Fifteen million
two-hundred twenty-seven thousand and one hundred forty-five thousand pesos
(P15,227,145.00) as capital. The expenses for Land acquired and construction is Seven
million one hundred thousand pesos (P7,100,000) and acquiring permits will be three
million two hundred six thousands and ten pesos (P3,206,010). The expenses for the
materials is Four million two hundred sixty-eight thousand and one hundred thirty-five
pesos. (P4,268,135.00) and for other expenses is six hundred forty-eight thousand
pesos (P648,000).
Expenses Amount Permit Amount
Securities &
Exchange
Land (acquired) P4,400,000 P240
Commissions
(6months)
Delivery Truck Donated Register with SEC P3,055
Community Tax
Construction P2,700,000 P500
Cert.
BRGY. Clearance P800
Mayor's Permit P3,185,400
Special books of
P400
Account at bookstore
BIR P615
Documentary Stamp
P15,000
Taxes
Total P7,100,000 Total P3,206,010
OTHER EXPENSES
Expenses Quantity Rate Amount (6mos)

Personnel 8 P12,000/month P576,000
Electricity P10,000/month P60,000
Water P2,000/month P12,000
Total P648,000
MATERIALS EXPENSES
Large Reinforcement Bar Price

Description Size/Dimension Length Qty. Price per unit
Rebar, Grade 60 50mm Diameter 12 meters 40 5,655.00
Rebar, Grade 60 50mm Diameter 7.5 meters 40 3,535.00
Rebar, Grade 60 28mm Diameter 6 meters 40 966
TOTAL P1,940,320.00
Regular Reinforcement Bar Price
Item Qty.
Size/Dimension Length Price per unit
Description
Rebar, Grade 40
25mm Diameter 12 meters 1,613.00
60
Rebar, Grade 9 meters 40
25mm Diameter 1,210.00
60
Rebar, Grade 7.5 meters 40
60
25mm Diameter 807.00
60
60
60
60
60
60
60
60
60
60
60
60
Tie Wire NO. #16 25kgs/roll 40 1,800/roll
TOTAL P239,700.00
Angle Bar Price
Item Qty.
Description
40mm x 40mm x 40
Angle Bar 6 meters 896.00
6mm thick
Angle Bar 50mm x 50mm x 6 meters 40
678.00
3mm thick
460.00
4mm thick
616.00
4mm thick
661.00
4mm thick
885.00
4mm thick
560.00
5mm thick
1,014.00
5mm thick
964.00
6mm thick
1,294.00
6mm thick
2,084.00
6mm thick
TOTAL P403,040.00
Flat Bar Price
Item Qty.
Description
Round Bar 8mm diameter 6 meters 50 140.00
Round Bar 25mm diameter 6 meters 50 1,119.00
TOTAL P142,050.00
Sand
Item Qty.
Size/Dimension Price per unit
Description
Sand Cu.m. 100 1,432.00
Washed Sand Cu.m. 100 1,365.00
Screened Sand Cu.m. 100 1,550.00
TOTAL P434,700.00
Gravel
Item Qty.
Size/Dimension Price per unit
Description
Gravel Fill Cu.m. 100 500.00
Gravel G1 Cu.m. 100 410.00
Gravel G2 Cu.m. 100 425.00
Gravel G1-1/2” Cu.m. 100 410.00
Gravel G2-1/2” Cu.m. 100 418.00
Gravel 1/2” Cu.m. 100 430.00
Gravel 3/4” Cu.m. 100 450.00
Gravel 3/8” Cu.m. 100 460.00
Screened Gravel Cu.m. 100 1,590.00
Fine Aggregate Cu.m. 100 460.00
Natural Gravel Cu.m. 100 550.00
TOTAL P568,325.00
Cement
Item Size/Dimensio Qty. Price per

Description n unit
Portland
Cement, 40 Bag 1,000 245.00
kg
TOTAL P245,000.00
CHB
Item Description Size/Dimension Qty. Price per unit

Concrete Hollow 10,000
Pc 12.00
Blocks (CHB) 4”
Concrete Hollow Pc 10,000 18.00
Blocks (CHB) 6”
TOTAL P300,000.00
OWNER AND CO-OWNER INVESTMENT
o TOTAL SOURCE OF FUNDS = P15,227,145.00
o LAND ACQUIRED AND CONSTRUCTION P7,100,000

o TOTAL AMOUNT OF MATERIALS P4,268,135.00
o ACQUIRING PERMITS P3,206,010.00
o OTHER EXPENSES P648,000.000
o TOTAL STARTUP EXPENSES P15,227,145.00
Appendix
A close study of the hardware stores industry reveals that the market has
become much more intensely competitive over the last decade. As a matter of fact, you
have to be highly creative, customer centric and proactive if you must survive in this
industry. We are aware of the stiff competition and we are well prepared to compete
favorably with other leading store in the Philippines.
Profitability from the hardware is considerably higher than that of construction

materials. The reason being is that construction materials are canvassed by customers
all the time to find the most affordable one possible. This sets up a potential for
competition between businesses that offer cheaper products. While they may be sold
cheaply, we may find that our location to be at our advantage.
Before we chose a location for Neighborhood’s Construction Supplies we conducted

a thorough market survey and feasibility studies in order for us to penetrate the
available market. We have a detailed information and data that we were able to utilize to
structure our business to attract the number of customers we want to attract per time.
These are the other sales strategy and marketing approach to promote our store and to
win more customers over.
 Introduce my hardware store by sending introductory letters alongside brochure
to residents, businesses and other establishments near my location.
 Ensure that I have a wide range of hardware and other related products from
different brands at all times.
 Create a loyalty plan that will enable me to reward regular customers.
 Target contractors offer them a contractor discount or discount on orders over a
certain amount.
Neighborhood’s Construction Supplies will work with Building Blocks to develop the
right product mix. The initial order of inventory will take into account the fact that this is
an urban store and the product mix may contain different items than a suburban store.
Neighborhood’s Construction Supplies will rely on Building Blocks’ expertise,
knowledge, and their IAIS inventory management program in developing this initial
order.
Building Blocks delivers to member stores IAIS merchandising guides, assortment

guides, and recommends what inventory to carry and what not to carry. This is an
invaluable tool for a new member because the new store can rely on the history of
current stores to help in their merchandising.
Customers expect to get great service at Neighborhood’s Construction Supplies,

which is evidenced by the fact 50% of all hardware shoppers will avoid the “Big Box”
retailers and opt instead for the personal service like Neighborhood’s Construction
Supplies. We will also need to be reliable, which means that customers will depend on
us to inventory what they need and understand and anticipate their needs. Customers
want to come into a hardware store having the confidence they will find what they need.
The store will possess a knowledgeable and friendly staff. The staff has to understand
and interpret what the customer needs and find the product that will fit that need.
Neighborhood’s Construction Supplies will also be progressive, by that we mean we will
continue to evolve and understand what the customer needs and develop new markets
where the need exists

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- Business plan -

‘Construct a Safe World”

The objectives of Neighborhood’s Construction Supplies for a year:

1.2 Keys to Success

The keys to success for Neighborhood’s Construction Supplies:

Neighborhood’s Construction Supplies provides numerous types of Construction

2.1 Company Locations and Facilities

Neighborhood’s Construction Supplies serves municipalities, construction companies and

Our principals to have a history of valuing relationships with their customers. We

Neighborhood’s Construction Supplies will be one of the most distinguished construction

Neighborhood's Construction Supplies (NCS) wanted to examine the make-up of its

3.1 Competitive Comparison

3.3 Target Market Segment Strategy

De Luna, Lilibeth Marie L.

Chamiso, Franz Clarisse Z.

Cantaco, Szaira Avery R.

Villaroman, Cain Justine F.

The Distributor of the Neighborhood Construction Supplies

Ditchon, Godofreda De Luna, Lilibeth Marie

(Asst. head executive) (Consultant)

Chamiso, Franz Clarisse and

(Asst. Accountant) (Asst. Accountant)

Villaroman, Cain Justine

(monitoring of deliveries) (pull in and pill out products)

to browse and accessible to all clients.

5. Products and Services

Neighborhood’s Construction Supplies deals exclusively in steel related products, including

LARGE REINFORCEMENT BAR

DESCRIPTION SIZE / DIMENSION LENGTH

REGULAR REINFORCEMENT BAR

DESCRIPTION SIZE / DIMENSION LENGTH

ROUND BAR PRICE

5.1 Product and Service Description

1. ORGANIZE departments with a more consistent merchandise assortment

Building Blocks delivers to member stores IAIS merchandising guides, assortment

5.1.2 Retail Pricing System

5.2 Future Products and Services

6 Strategy and Implementation Summary Emphasize Customer Service

6.1.1 Potential Customers

6.2.1 Sales Programs

Web Plan Summary

Expenses Quantity Rate Amount (6mos)

Large Reinforcement Bar Price

Regular Reinforcement Bar Price

Angle Bar Price

Item Size/Dimensio Qty. Price per

Item Description Size/Dimension Qty. Price per unit

OWNER AND CO-OWNER INVESTMENT

o TOTAL SOURCE OF FUNDS = P15,227,145.00

o LAND ACQUIRED AND CONSTRUCTION P7,100,000

Profitability from the hardware is considerably higher than that of construction

Before we chose a location for Neighborhood’s Construction Supplies we conducted

Building Blocks delivers to member stores IAIS merchandising guides, assortment

Customers expect to get great service at Neighborhood’s Construction Supplies,

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