Department of Education

Region III
DIVISION OF MABALACAT CITY

Name: __________________________________ Grade & Section: _____________

School: _________________________________ Date: ________________________

LEARNING ACTIVITY SHEET

ABM 12 APPLIED ECONOMICS (Q2-WK7-8)
Viability and Impacts of Business on the Community

I. Introduction

The value of small businesses is often underestimated because they

are small. But that doesn’t mean that the impact they have is small. In
fact, small businesses have a huge impact not only on the national
economy, but on the economy of their communities as well.

Small businesses are just as unique and individual as their owners,

and cover a variety of industries. They fuel the American dream and allow
people to pursue their passion. Small businesses also allow people the
opportunity to achieve financial independence, create employment
opportunities and encourage innovation (g1ve.org)

II. Learning Competency

This Learning Activity Sheets was designed and written with you in
mind. It is here to explain and evaluate the viability and impacts of
business on the community.

III. Objectives

After going through this Learning Activity Sheets, you are expected to:
1. Evaluate the viability and impacts of business in your community.
2. conduct a socioeconomic impact study on consumers; suppliers;
investors; government and households leading to options in
venturing into a business.

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IV. Discussion

How Small Businesses Impact their Communities

(cumberlandbusiness.com)

The economic benefits of small businesses are numerous and portray how
even the smallest shop can have the largest impact.

Local Jobs
With the increase in local small businesses comes an increase in the
number of available local jobs. Local jobs are ideal because they reduce
the amount of traveling and commuting employees need to do to get to
work. By opening local jobs, your area’s unemployment rate can start to
see a decrease, producing great numbers for your economy.

In addition to adding local jobs within the small businesses, you can
also produce an increase in job opportunities at other nearby small
businesses. When you have an active community with small businesses
placed throughout, townspeople are more likely to shop around from one
business to the next, as opposed to only going to one department store for
everything they need. The more attention small businesses receive, the
more labor they need to stay productive.

Increase Tax Base

With the revenue that small businesses generate, this tax money
gets fed into the local economy to create a better business within your
community. This means your school districts, police forces and other small
businesses and organizations will create a support system and reap the
benefits of each other’s hard work.

Less Infrastructure and Low Maintenance

Small businesses don’t require as much work and maintenance as
your standard large corporation. Because they are often placed in the
middle of a city or downtown area, these small businesses can be added to
already existing buildings. This positively affects the economy because
there is less city planning that needs to be done. There is also less labor
and work involved than mapping out and building a new mall or
department store.

Product Diversity
The role of a small business is to be innovative, new and diverse. To
stand out from the larger companies, small businesses need inventory and

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products that are fresh, new and different. An independent retailer will
generally provide unique products that are unable to be found at larger
retailers.

Local Decision-Making and Involvement

Incorporating small businesses into local government decisions can
help ensure the small town culture within the community. By actively
producing wealth in the economy, small business owners should be invited
to participate in governing meetings and decision-making processes.

Community Identity
Forming and shaping the identity of a community might be one of
the biggest roles of small businesses. Their participation in the community
can help reflect an important history that is crucial to the town. Being a
substantial presence within the local community can shape the character
of the people as well, directly influencing tourism in the area as well as
connecting with everyday individuals passing through.

Small businesses impact their communities in a variety of ways,

from interpersonal relationships to local government to the economy.

V. Activity

Activity # 1: Socioeconomic Impact Study (Covid-19)

With the current situation (Covid-19) conduct a socioeconomic study
focusing on the following: Consumers, suppliers, investors, government,
households leading to options in venturing into a business. The study
must be in the form of survey and related articles.
1. Consumers (new product and services)

Instruction: Survey at least 10 people around your community (online or

offline) and ask on what particular product/service do they
want to have in your community. Make a bar graph and
interpret.
*Make sure to screenshot your conversation or take a picture while
interviewing.

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2. Suppliers
Instruction: Select or look for possible suppliers of raw materials that
is/are needed in the product/services selected above. Write
the name of the supplier and its product with price and
location.
3. Investors (capital, income)
Instruction: Ask someone (can be a friend, or a family member) who can
be your partner in putting up a business. Ask him/her on
how much he/she can share as starting capital. Show your
sharing capital.
4. Government (tax revenues, poverty alleviation, basic services)
Instruction: Search the internet, or watch/listen to a news on how the
government assist SMEs in coping up with their business in
times of pandemic. You can write/cut-paste the article in a
yellow paper, or take a picture of the news flash and answer
the question below.
1. How does this situation affect your willingness in putting
up a business in your community?
5. Household (standard of living, employment)
Instruction: Survey at least 10 people around your community (online or
offline) and ask on their standard of living (monthly income
& household size), and employment status (employed,
unemployed, casual, probationary, contractual, part-time,
full-time). Make a graph and interpret.
*Make sure to screenshot your conversation or take a picture while
interviewing.

VI. Assessment
Final Output.
With the use of the data above, create a socioeconomic study paper.
You can follow the flow below.

I. Introduction (own words, or search for related literature that

focuses on creating business in today’s pandemic time).
II. Method (state your/the method/process in conducting the study
from gathering of data to creating graphs and interpreting and so
on)
III. Results (show the graphs/tables and interpret)
IV. Conclusion (state what you have observed on the data supported
by related literature)

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 V. Recommendation (state your stand if you are going to put up a
business in your community).
VI. References

VII. Reflection
Make an essay on the question “How the COVID19 lockdown
affected the MSME value chain, in general, and their business
operations, in particular”?

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VIII. Reference

How Small Businesses Impact Their Communities. (2019, June 20).

Retrieved November 03, 2020, from
https://cumberlandbusiness.com/news/how-small-businesses-
impact-their-communities/

The Impact of Small Businesses on Community and the Economy. (2019,

April 10). Retrieved November 03, 2020, from https://g1ve.org/the-
impact-of-small-businesses-on-community-and-the-economy/

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Activity 1 Assessment
Answer may vary Answer may vary
Answer Key IX.
X. Development Team

Development Team of the Learning Activity Sheets

Writer: Kevin Junior P. Gomez, MBA

Editor: Anthony Rayley M. Cabigting, DEM
Reviewer: Jeselle O. Ramos
Illustrator:
Layout Artist:
Management Team: Engr. Edgard C. Domingo, PhD, CESO V
Leandro C. Canlas, PhD, CESE
Elizabeth O. Latorilla, PhD
Sonny N. De Guzman, EdD
Elizabeth C. Miguel, EdD

For inquiries or feedback, please write or call:

Department of Education – Division of Mabalacat

P. Burgos St., Poblacion, Mabalacat City, Pampanga

Telefax: (045) 331-8143

E-mail Address: mabalacatcity@deped.gov.ph