Chapter 1

Business Management Strategies of the Owners to their Retail Store in the Public

Market of Balamban regarding inflation this 2020

Background of the Study

Inflation is a quantitative measure at the rate at which the average price level at

a basket at selected goods and services in an economy increases over a period at the.

It is the constant rise in the general level of prices where a unit of currency buys less

than it did in prior periods. When the general price level rises each unit of currency

buys fewer goods and services; consequently inflation reflects a reduction in the

medium of exchange and unit at account within the economy often expressed as a

percentage, inflation indicates a decrease in the purchasing power of a nation’s

currency.

Inflation affects every place. Municipality of Balamban is one of it. Balamban is a

municipality under the province of Cebu. It is one of the richest province among all.

Balamban is a progressive place. There are two Gaisanos and one grand mall. They

have tsuneishi which is the ship building capital of Cebu. Their public market is full of

retail stores. Since their public market is full of retail stores inflation has a huge impact

to them. Though it is one of the richest municipality but when inflation strikes no one is

exempted.
 Inflation becomes the common issue this year. It is the reason why the

researchers choose this topic. Inflation becomes the rampant issue in Balamban and

many people were suffering from it. With this research the researchers will be able to

know the strategies of the owners in each retail store. The researchers want to know

on how to deal inflation. It will help them as they become future businesswoman

someday. They want to know the increasing prices of commodities that can compel

them to close down their retail stores. Researchers want to help in overcoming this

issue that will help improve the quality of life.

Studying this topic is beneficial to all. It could help the buyers and consumers

manage their expenditures. Most of all it could help other entrepreneurs manage their

businesses especially sole proprietorship. It allows the researches comprehend their

future goals as businesswomen. It can help them in planning, organizing, controlling

and leading their businesses.

Statement of the Problem

General Problem: This study wants to know how the owners manage their business

profitability despite of inflation.

Specific Problem

1. What are the effects of inflation to the retail stores?

2. What are the copying mechanism of the owners in dealing with the effects of

inflation?

3. What are the strategies that they do in order to maintain their business

profitable?

Theoretical Framework

Figure 1 is anchored in our study for it shows that this theory of Joseph Juran will effect

on the study research basis on regarding of business through this theories will relate on

how vendors will manage their business. According to Juran Theory if quality
improvement project is to be successful, then all quality improvement action must be

carefully planned out and controlled and he called this “Quality Trilogy”. Quality Trilogy

is made up of quality planning, quality improvement and quality. Juran believed there

were ten steps to quality improvement; first, an awareness of the opportunities and

needs for improvement must be created, second improvement goals must be

determined, third organization is required for reaching the goals, forth training needs to

be provided, fifth initialize project, sixth monitor progress, seventh recognize

performance, Eighth report on results, then track achievements of improvements and

last is report.

Conceptual Framework
Figure 2 is anchored in our study for it shows the EFGH Framework Model is based

upon nine criteria for quality management. There are five enables (criteria covering the

basis of what a company does) and four results (criteria covering what a company

achieves). The result is a model that refrains from prescribing any one methodology,

but rather recognized the divert in quality management methodologies. The nine

criteria are: Focus on results, focus on customers, constancy of purpose and consistent,

visionary leadership, process and facts form the management focus, training and

involving employees continuous learning, developing partnership and social

responsibility of the corporation.

Significance of the Study

Every business needs strategy to outline shared goals of their organization.

Business cannot excel without a proper strategy. Strategy is a central equipment that

offers the basis of every operation that an organization undertakes.

Strategy is essential for the success of any business. Strategic management

influences an organization’s mission and vision. Studying the business management

strategies of the owners to their retail store regarding inflation is important. It helps the

researcher know how to deal this kind of problem when they will have their own

business already. It will help in developing and implementing policies and plan to assist

and guide their business. It will also help the customers understand the reason why
there is a change of prices. It will help them know that the owners are just taking

responsibilities of their business. Studying inflation is useful for it will help each

individuals identify what are the right actions to do, in order to solve problem.

Scope and Limitations

The researchers conducted a research in a selected owners of the retail store in

Balamban Public Market. The researchers selected at least twenty-five sari-sari stores.

This study conforms, not to cover related juries dictions such as bakeries and

restaurants. The researchers would utilize interview as a means, by asking some

provided questions. This study aims to uncover business management strategies of the

owners to their retail store in the public market of Balamban in regards to inflation. The

possible challenges that the researchers might encounter is the availability of the

owners. Also time management due to the doubled-book of the respondents. They may

have planned things at the same time as the researchers will conduct an interview to

them.

The purpose of this study is to help the future owners of the retail store and for

those who plan to have business like retail store. It is in order for them to know the

Business Management Strategies as they encounter inflation. This study is concern

about the Business Management Strategies upon dealing with inflation that may

possibly affect their status as the owner of the business.

Definition of Terms

1. Business- a person’s regular occupation or profession

2. Business Management- is the act of organizing people to accomplish the

desired goals and objectives of a business

3. Commodities- a raw material or primary agricultural product then be bought

and sold as copper or coffee

4. Currency- a system of money in general we use in a particular country

5. Customer- a person or organization that buys good or services from a store

or business.

6. Expenses- the cost required for something, the money spent on something.

7. Impact- the action of one object coming forcibly into contact with another

8. Income- money received, especially an a regular basis for work through

investments

9. Inflation- a general increase in prices and fall in the purchasing value of

money

10. Progressive- happening or developing gradually or in stages, proceeding step

by step

11.Public Market- is a year-round, crafted, intentional and diverse medley of

owner-operated shops.

12.Purchasing- require by something by paying for it; buy

13. Rate- a fixed price paid or changed for something, especially goods or

services

14. Reduction- the action or fact of making a specified thing smaller or less in

size or amount

15. Strategy- a plan or action or policy designed in achieved a major overall aim

16.Strike- lot a disaster, diseases, or other unwelcome phenomenon occur

suddenly and have harmful or damaging effects on

17. Unit- the state of being united or joined as a whole

18. Retail- to sell (something) to customers for their own use

19.Owner – is a person who owns something

Chapter 2

Business Management Strategies of the Owners to their Retail Store in the Public

Market of Balamban regarding inflation this 2020

There are various ways on how to look at inflation, but the simplest way and

what do most people understand inflation is that, it is a rise in the overall level of prices

for the goods and services consumed by households. In every business especially small

business like sari-sari store needs a strategy in order to achieve their goals. Business

without a proper strategy cannot excel especially when they face regarding of inflation.

Inflation cannot also be denied to be one of the reasons why some sari-sari stores get

poorer in real state. It is a big loss to a retail store when they experience inflation

without any pieces of ideas about the said economic condition. Measuring the price

level is one of the most important and most difficult matter in understanding inflation.
In addition to the understanding of inflation , as it was defined to an increase of price in

terms of goods and services , the value of money will later be affected for it will

decreases.

Related Literature

Adam C. Uzailko (2018), Jeff Cornwall (2011), NormBrodsky (n.y.), and Tim McMahon

(2017), Joyce M. Rosenberg (2018) are entrepreneurs. They are into the field of

business. They state strategies on how do the owners of the retail store deal inflation.

Action for Economic Reforms (2007), WFFS (2017), Newspaper in Electrochemistry

(n.y.) also study what are the strategies.

Action for Economic Reforms (2007) states that, Filipinos are prone of having retail

store in their Public Market. It is already part of their habit. If there are out of supply

they will go to the Public Market in order to store the needs. Retail stores are mostly

affected by inflation.

WFFS (2017) states that, inflation cannot be determine sometimes, owners of the retail

store cannot see it coming. They need to build a strong foundation, so that it will be

easy for them to adapt to the phenomenon. Here are some of the strategies. According

to Adam C. Uzailko (2018), owners should know what are the needs of their costumers

not their wants. Raise the price a little bit and let their costumers know, so that they
will appreciate it and will not move to somewhere else. Owners should know and

conduct their plan of actions, so that they can be able to determine if it will help the

business become profitable or not.

Jeff Cornwall (2011) and Tim Mcmahon (2017, focuses on determining what strategies

that the owners make in terms of their product or inventory. Jeff Cornwall (2011) states

that, one way to be ahead of inflation is store more inventory before the suppliers raise

their prices. It is for them to maintain their prices as inflation strike. It makes them

ahead from their competitors. According to Tim Mcmahon (2017), they can also

exchange their usual product to the cheaper ones still with the same use. Consumers

will not be able to notice it since they will focus more on the prices. They will surely

choose cheaper ones.

Newspaper in Electrochemistry (no year), focuses on how do owners deal with their

prices and costs. Newspaper in Electrochemistry (no year), states that, even though

they are allowed to increase their prices during inflation, they still need to lower their

costs. In a best case scenario, their profit will increase. In worst case scenario, it can

lessen their losses or even save you from bankruptcy. Borrow money to add up their

capital ahead of time before interest rate will start to increase. It will result in a reduced

cost and secure income.

Joyce M. Rosenberg (2018) and NormBrodsky (no year), focuses on knowing how the

owners monitor their business. Joyce M. Rosenberg (2018) states that, owners should

monitor their business to secure their profit. They can lose some of their money that

maybe unnecessary until they will already consider them in the aggregate. They need

to focus on revenue and productivity growth. They can cut costs, but do not slash and

burn especially when they have helpers. They do not need to stop supplying their

snacks and other benefits. If they are planning to increase the price they need to be

mindful on competition. Just increase the prices if it is really needed. Be up-front with

costumers about price as it increases. Explain to them why price increases. State the

reason behind the situation. According to NormBrodsky (no year), they also need to

check and follow up their income statement. Lower their debts so that what they have

will be enough to purchase other products if ever their stored inventories are sold out.

Adam C. Uzailk (2018), and Newspaper in Electrochemistry (no year) focus on how do

owners monitor their costumers loyalty. Adam C. Uzailk (2018) states that, they must

reprioritize their customer loyalty initiatives. It is an honor and great opportunity for

them. They will treat their customers well as they pass by. Look for an opportunity to

treasure their product without raising their costs. For Newspaper in Electrochemistry

(no year), they must give importance to their costumer by giving them value added

incentives. It encourages them to remain even if their prices go high.

Dr. Jeffrey R. Cornwall (2012) focuses on what do owners should offer to their

costumer and on where they will build their business. He states that, owners shall look

ways wherein there are costumers who is interested of what they offer. Costumers are

also careful. Owners must assure that their goods are legit and safe so that their

costumer will spend their money store that they trust. Having eager costumers will

boost growth in sales. Owners must know their place too. They must grow close to

home. They can build relationships to the costumers and sell their products that can

support their new market.

Therefore, business management strategies are important. It can create big impact to

them. Their capital is just limited. They cannot deal problems specially inflation, when

they do not have strategies. Business management strategies help them improve their

business. With the help of it they can be able to cope up solutions to the concern that

they are facing. Business strategies help the business to develop and grow, in order to

become the business successful.

Chapter 3

Business Management Strategies of the Owners to their Retail Store in the Public

Market of Balamban regarding inflation this 2020

Methodology

This chapter describes the research strategy, research design, research participants,

data source, research data, research procedures, data processing and analysis.

Research Design
 The researcher method used in this research is descriptive method. Descriptive

method is a type of research method where the research describes the strategies of the

owners of the retail store.

Research Participants

The respondents of this research study were the owners of the retail stores in

the public market of Balamban. The respondents of this research study were exposed to

the nature of the business management strategies regarding inflation and these are the

owners of the retail stores in the public market of Balamban. Among all the owners of

the said store, the researchers selected the respondents by limiting the number to 25.

Research Data

The research data contains all the information gathered from the respondent.

The researcher used questionnaire and interviews the owner of the retail store from

Public Market of Balamban to the selected 25 retail store owner. A review of related

literature was also conducted to identify the different strategies regarding inflation used

by the selected retail store owner to determinants of the success of their business.

Research Procedure

The purpose of the research procedure is serve as guide to the researchers, this

research also consist of the steps of broad assumptions to detailed method of data
collection. Research Procedure are to explore the reality, to set out phenomenon.

Research purpose is to find out answers to the questions. First procedure in making a

research is that you need to find a topic which is debatable. Second read articles that

related to the topic. Third evaluate the source and the quality of information that are

located. This step is especially important when using internet resources, many of which

are regarded as less than reliable. Forth collecting data stands for store and analyze

important information about the topic. Collecting information give the researcher idea

about the topic. Fifth paraphrase the important detail because paraphrasing shows you

understand the source well enough to write in your own words. It also gives the

researcher a significant choice to use. Lastly organizing the information that are

collected.

Gathering Data

The researchers submitted the transmittal letter to the office of the faculty in

charge asking permission with regards to the study of business management strategies

of the owner to their retail store in the public market of Balamban regarding inflation.

After it, the researchers gave personally the questionnaire to the owners of the retail

store. Then, the researchers will observed and analysed the answers of the

respondents.

Treatment of Data
 The researchers assemble all the collected data. The treatment of data is

important in maintaining the authenticity and reliability of the research.

Researchers should have a record of the original data that has recorded. It is

more often to determine the error.