ENTREPRENEURSHIP

QUARTER 3 – WEEK 3-4

Crystal Shades C. Baclayo G11-Mango

Activity 7:

Convenience Store

A. Market Potential
1. Segmenting the Market
 This convenience store business would likely target the residents of our nearby area and
the travelers.
2. Assessing Competition
 There is no nearby convenience stores but there are sari-sari stores in the area.
3. Estimating Market Share and Sales
 The estimated sale for food and beverages is 60,000 pesos per month.

B. Technology Assessment and Operations Viability

1. Quantities Demanded
 Beers and ready to eat food are the great demand for a convenience store so it would vary
on the customers.
2. Quality Specifications Demanded
 The numbers of expired food would be taken out in the shelf and the store would be
mandated by the food and drug administration (FDA).
3. Delivery Expectations
 Customers can buy to our store through a delivery app but there will be a delivery fee.
4. Price Expectations
 May vary in products but it is assure that the prices will be enough for the customer's
pockets.

C. Investments Requirements and Production/Servicing Costs

1. Pre-operating Cost
 P200, 000 for the equipment used in a convenience store and a place to rent.
2. Production/Service Facilities Investment
 P150, 000 for facilities investment
3. Working Capital Investment
 P150, 00 for capital investment
D. Financial Forecasts and Determination of Financial Feasibility

Monthly Income Statement

Revenue Cost of Food 30, 000.00
Cost of Beverages 30, 000.00

Total 60,000.00
Expenses Wages 8,000.00
Utilities 3,000.00

Total 11,000.00
Net Income 49,000.00
1. Income Statement

2. Balance Sheet

Asset Pesos
Current Assets

Cash 5,000.00
Accounts Receivable 3,000.00
Inventory of Goods 5,000.00

Total Current Asset 13,000.00

Non-current Asset

Equipment and Facilities P200,000.00

Total asset 213,000.00

3. Cash Flow Statement

Cash Receipt from Customers 30,000.00

Inventory Purchases 8,000.00
Wage expenses 8,000.00
Income Taxes 6,000.00
Net Cash Flow 8,000.00
Activity 8:
PRE-FEASIBILITY STUDY MAKING
I. Executive Summary
I. Market Potential
II. Technology Assessment and
Operations Viability
IV. Investments Requirements and
Production/Servicing Cost
V. Financial Forecasts and Determination
of Financial Feasibility
A convenience store is a small retail business
which stocks everyday items which the average
person uses. It becomes more important to the
communities as a whole. Most customers are
willing to pay a little more for the convenience
of being able to purchase a wanted item close to
home. Convenience stores can also provide an
outpost for travelers, which allows for higher
pricing because providing access to needed
items saves time for the traveler, which is
valuable to them.
It is easy to open a convenience store especially
when in your area haven't establish a store
nearby. The other convenience store is far, so
establishing this kind of business will be
convenient for the neighborhood.
Equipment and Facilities for this kind of
business can be bought through franchising.
We'll seek help to the experts on how to operate
this equipment and machines. The service
would reach the customers expectation.
The financial investment would require almost
P280,000. It is for the food and beverages
stocks, rent, equipment, facilities and permits.
This business could project an amount of 60,000
per month if stood in a suitable place. If a lot of
customers buy at the convenience store, this
business will be feasible in the near future.