STVEP Mandatory- (Entrepreneurship)

Activity Sheet Quarter 1 – MELC 1

Finalizing Product or Servicing Design Specification
Based on the Market Feedback
STVEP 10-MANDATORY-(Entrepreneurship)
Learning Activity Sheet No. 1
First Edition, 2021

Published in the Philippines

By the Department of Education
Region 6 – Western Visayas

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This Learning Activity Sheet is developed by DepEd Region 6 – Western

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ALL RIGHTS RESERVED. No part of this learning resource may be
reproduced or transmitted in any form or by any means electronic or mechanical
without written permission from the DepEd Regional Office 6 – Western Visayas.
Development Team of STVEP 10-MANDATORY-(Entrepreneurship) Activity Sheet

Writer: Visluzminda M. Catedral, Ma. Conchita M. Da-anoy, Domingo C Clarito Jr.

Editors: Abraham P. Imas, Lilibeth E. Larupay
Remia D. Manejero, Armand Glenn S. Lapor
Layout Artists: Lilibeth E. Larupay, Armand Glenn S. Lapor
Jo-an R. Pet
Schools Division Quality Assurance Team:
Abraham P. Imas, Lilibeth E. Larupay
Remia D. Manejero, Armand Glenn S. Lapor
Division of ILOILO Management Team:
Roel F. Bermejo
Novelyn M. Vilchez
Ferdinand S. Sy
Azucena T. Falales
Ruben S. Libutaque
Lilibeth E. Larupay
Abraham P. Imas
Remia D. Manejero
Regional Management Team
Ramir B. Uytico
Pedro T. Escobarte, Jr.
Elena P. Gonzaga Gorgonio A. Batilaran, Jr.
Donald T. Genine
April C. Velez

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Introductory Message!
Welcome to STVEP 10-MANDATORY-(Entrepreneurship)!

The Learning Activity Sheet is a product of the collaborative efforts of the

Schools Division of Iloilo and DepEd Regional Office VI - Western Visayas through the
Curriculum and Learning Management Division (CLMD). This is developed to guide
the learning facilitators (teachers, parents and responsible adults) in helping the
learners meet the standards set by the K to 12 Basic Education Curriculum.

The Learning Activity Sheet is self-directed instructional materials aimed to

guide the learners in accomplishing activities at their own pace and time using the
contextualized resources in the community. This will also assist the learners in
acquiring the lifelong learning skills, knowledge and attitudes for productivity and
employment.

For learning facilitator:

The STVEP 10-MANDATORY-(Entrepreneurship) Activity Sheet will help

you facilitate the leaching-learning activities specified in each Most Essential Learning
Competency (MELC) with minimal or no face-to-face encounter /links to ease the independent
learning. between you and learner. This will be made available to the learners with the
references

For the learner:

The STVEP 10-MANDATORY-(Entrepreneurship) Activity Sheet is

developed to help you continue learning even if you are not in school. This learning material
provides you with meaningful and engaging activities for independent learning. Being an
active learner, carefully read and understand the instructions then perform the activities and
answer the assessments. This will be returned to your facilitator on the agreed schedule.

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 Quarter 1 – Weeks 1-2

Learning Activity Sheets (LAS) No.1

Name of Learner: ___________________________________________________

Grade and Section: ____________________________ Date: ________________

STVEP 10-MANDATORY-(ENTREPRENEURSHIP) ACTIVITY SHEET

Finalizing Product or Servicing Design Specification Based on the Market
Feedback

I. Learning Competency with Code

Finalizes product or service design specification based on the market

feedback SPTVE_MENT10-FPSD-Ia b-1

II. Background Information for Learners

This instructional material contains activities on how to finalizes

product or service design specification based on the market feedback. You
are required to go through a series of learning activities in order to
complete the learning competency. Follow these activities on your own. If
you have questions, don’t hesitate to contact your teacher for assistance.

Market Need Analysis

In analyzing the market need, the following questions should be asked:

1. Who will get interested in my product?
2. What does the market need or want?
3. Who are buying the product? What and how much? Or how,
where and why are they buying those goods or services?

Determining the marketability of the business is typically done in the

context of creating a business plan and performing an analysis of the
competition. It requires research in the areas of marketability. Consider
whether the business offers to a new solution to an old problem or
complements an emerging trend. Untapped markets that are profitable are
few. Understands the benefits that the product or service offers compare to
others. Focus on “benefits” of what your product or service does.

Examine industry data that can confirm whether there is a sustained

and growing demand for the product or service. Have considered sources of
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industry data, such as trade associations and government agencies? Identify
the percentage of market share that is realistic to capture. The more
competition, the lower the margins will be.

Market Analysis

A market analysis is a quantitative and qualitative assessment of a

market ability to respond positively. It looks into the size of the market both in
volume and in value, the various customer segments and buying patterns, the
competition, and the economic environment in terms of barriers to entry and
regulation in the industry.

How to do a Market Analysis?

This is to show to the investors that company knows their target

market. It is large enough to build a sustainable business.

The following activities can be recommended:

1. Demographics and Segmentation

Demographics is the statistical characteristics of human population

(as age or income) used especially to identify markets; a market of segment of
the population identified by the demographic.

Segmentation is the process of dividing ito segments with similar

characteristics. Market is needed to slice into different segments. It could be
segmented through its size (number of potential customers) and the value of
the market. Estimating the market value is often more difficult than assessing
the number of potential customers.

2. Target Market

This is the type of customers that are focused within the market. It is
focused on the more qualitative size of the market analysis by looking at what
drives the demand.

3. Market Need

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 Investors must determine the needs of the market through analysis
based from research conducted focusing on their needs. Identify what the
customers wants to classify their needs.

4. Competition

Determining the competitors’ positioning and describe their

strenghts and weaknesses

III. Accompanying Dep Ed Textbook and Educational Sites

Public Technical Vocational Schools Dep Ed. (2010).Competency -Based Learning

Material, Entrepreneurship, Fourth Year .pp 178-198

IV. Activity Proper

Activity
Directions: Accomplish the activities in order to develop your knowledge
and skills in recommending actions to be taken based on the results of monitoring
and evaluating business operation.Use a separate sheet of paper to answer the
exercises below. Answer the guide questions that follow.

Activity 1
Directions:
a. Read and analyze the business plan of Pumpkin Sorbet.
b. In a paragraph form, make your analysis and interpretations of the
market plan presented. Determine if the project plan can be finalized or not.

Marketing and Financial Plan of a Pumpkin Sorbet

The Needs
A. Malnutrition is one of the major problems, Filipinos school children are
facing nowadays. Malnutrition means lacking of the right nutrition needed by the body
resulting which may result to poor academic achievements. This has been correlated
with educational research that malnutrition affects learning abilities of the child. It is
also one of the reasons behind why we have unstable economy. Being in the public
school, the proponents understood most of their classmates were not eating
vegetable-rich products. By these assumptions, the proponents come up with a
concept that will not only satisfy the clientele’s taste but also sustain the nutrients
they need to be healthy aside from the fact, that using squash as main ingredient in
foods will also boosts the agricultural demand for the squash. This will benefit the
squash farmers in the country. This will help us save some money for the economy
and may prevent importation this vegetable.
B. Pumpkin Sorbet, a pumpkin-flavored ice cream that will surely sustain the
needs of the people, especially the poor children. Children today usually prefer meat

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more than vegetables. Ice cream is an all-time Filipino favorite; this prompted the
proponents to innovate the usual fruity ice-cream flavors with the use of vegetable
such as pumpkin. The product has almost the same creaminess, puffiness, and
consistency in texture as the commercially available ice-cream and will surely entice
the taste of even the carnivorous children. Unknowingly they are already including
vegetables in their diet.
C. The proponents believe that the clientele will support the product because
of its unique flavor and appearance. With this, Pumpkin Sorbet will be instrumental in
helping alleviate malnutrition cases in the country especially those who are in the
public school system. This may also serve as basis for other entrepreneurs to
discover and innovate more nutritious vegetable flavored foods other than ice cream;
just like for example bitter gourd, eggplant and other vegetables. The proponents
believe that this will not only address the health problems of the country but the
agricultural economy as well.

Market Profile
A. Research and Analysis
Today’s sorbet stalls are believed to have a little improvement for customer’s
satisfaction. The proponents decided that they must undergo a careful observation in
the business location. The management also underwent an official interview with the
owners of current ice cream stalls in Buli. The proponents found out that customers
are not that satisfied with the ice cream sold along the Espeleta Street and most of
the products are not that nutritious to sustain body needs. The management believes
that action must be taken primarily to make a new twist in preparing and serving ice
creams that has very huge market in the nation. The current status of squash
growing farmers in the city where the squash supply is to be taken was also
observed and given attention in order to support them when the business starts its
operations. With these premises, the proponents decided to produce pumpkin
flavored ice cream which will answer the needs of the students in the area. The
market will be four (4) Elementary Schools and one (1) Secondary School. The target
students are those who are malnourished and member of feeding program.

B. Marketing Plan
Table 1
Number of Target Cream Buyers per Consumer Group
Populace MBHS Feeding Program Members Total
MBHS Alabang Sucat ES Buli ES Cupang
ES ES
Total
60 87 84 45 68 3,504
3,160

Daily 316 36 52 50 27 49 530

Monthly 6,952 792 1,144 1,100 594 1,078 11,660
Yearly 83,424 9,504 13,728 13,20027 7,128 13,936 139,200
Based on the given consumer groups, the daily, monthly, and yearly target
buyers are reflected through the assumption that 10% from MBHS group will buy ice
cream from Pumpkin Sorbet and 60% from those feeding program members will buy
every three days. During summer vacation, Pumpkin Sorbet will only serve their
products in different hospitals where we can assure the sale and can help patient in

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sustaining their health.

Competition
Table 2
Pumpkin Sorbet’s Position in the Market
Competitors Market Share Target
Kyla’s Ice Cream 35% 30%
Dan Eric’s Ice Cream 45% 40%
Cream Line Ice Cream 20% 20%
Pumpkin Sorbet 10%

Based on the table showed, there are three competitors who dominate the
market of Ice Cream in Buli. Pumpkin Sorbet aims 10% of the market share. Through
creativity, uniqueness and innovation, the management believe that it will be
achieved.

Financial Plan
Pumpkin Sorbet will need at least PhP 90,000.00 to start its operation in the market.
This will be coming from the investments of the students who are willing to be
involved in entrepreneurial practice like this. Also, since two of the proponents are
Club Presidents and the other one is MBHS Chorale Leader, they may combine their
talents to conduct fund raising activities to increase the capital investment of the
business.

Table 3
Monthly Expenses of Pumpkin Sorbet
Product/Service Unit Price Quantity Total
Fixed Cost Of Pumpkin Sorbet:
Rental PhP1,0000.00 1 month PhP 1,000.00
Salaries 5,000.00 3 crews 15,0000.00
Advertising 1,000.00 1 month 1,000.00
Depreciation account – Freezer 13,0000.00 1 freezer 1,300.00
(small)
Depreciation Account – Blender 770.00 2 blenders 140.00
Depreciation Account - Chairs & 1,800/set 2 sets 300.00
Tables
Depreciation Account – Yools and 900.00
Utensils
Utility and Sanitation 1,500.00 1 month 1,500.00
(A) Total Fixed Cost PhP20, 420.00
Variable Cost:
Raw Materials:
Plastic Spoons 25 66 1,650.00
Packaging (Plastic Cups) 50.00/pack 66 packs 3,300.00
All Purpose Cream 38.50 572 tetra 22,022.00
packs
Condensed Milk 36.50 286 cans 10,439.00
Alssa Gulaman 39.50 143 boxes 5648.50
Cassava Flour 25 1.5 kilo 37.50

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 Powdered Milk 41.50 57 packs 2,365.50
Vanilla Essence 23.50 95 bar 2,232.50
Cheese 1,000.00 1 month 800.00
Electricity 800.00 1 month 600.00
Communication Bills 600.00 1 month 400.00
Transportation 300.00 1 month 250.00
Miscellaneous 1,500.00 1 month 500.00
(B) Total Variable Cost PhP 51,575.00
(A+B) Total Cost Of Production PhP 71,995.00

Table 3 shows the variable and fixed cost in the operation of Pumpkin Sorbet.
This will serve as basis for computing the breakeven point sales price and volume.
Based on the total FC & VC, the business is capable of producing 286 gallons per
month.

Table 4
PROJECTED REVENUE
Projected Projected Yearly
Ice Costin Volume Daily Volume Monthly Projected
Cream g (in cups) Revenue Revenue Revenue
Flavour Daily Monthly
C–5
Pumpkin 530 PhP 11,660 PhP PhP
3,710.00 81,620.00 979,440.00

LEGEND:
Cost – C
Mark-up - M
Sales price – SP

Table 5
MONTHLY PROJECTED COST & REVENUE
Jan Feb Mar Apr May Jun
Revenue 81,620.00 81,620.00 81,620.00 81,620.00 81,620.00 81,620.00
Cost 71,995.00 71,995.00 71,995.00 71,995.00 71,995.00 71,995.00
Projected 9,625.00 9,625.00 9,625.00 9,625.00 9 9,625.00 9,625.00
Net Profit

Jul Aug Sep Oct Nov Dec Total

81,620.00 81,620.00 81,620.00 81,620.00 81,620.00 81,620.00 PhP 979,440.00
71,995.00 71,995.00 71,995.00 71,995.00 71,995.00 71,995.00 PhP 863,940.00
9,625.00 9,625.00 9,625.00 9,625.00 9,625.00 9,625.00 PhP 283,500.00

Break-Even Guide
Total Revenue (TR) = Fixed Cost (FC) + Variable Cost (VC)
When TR is > then FC and VC means the business is earning profit.
When TR is < then the FC + VC means the business is losing.
When TR = then FC + VC, the business is break-even.

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 Table 5 shows the monthly projected cost & revenue. As shown, the business
projected Php 979,440.00 gross sales for a year which is greater than the cost at Php
863,940.00. Thus, a net annual profit of Php 283,500.00. This is 32.81%% of the total
cost.

Guide Questions
a. Base on the given data, do you think Pumpkin Sorbet Business is profitable
or not? Why?
b. Is/Are the specification/s in the project plan require revisions? (If yes,
specify) (If no, justify)
c. What were your bases or criteria in finalizing the product or service
specifications?
d. Can the above business be finalized based on it market analysis?
d. Why it is important to conduct marketing analysis before finalizing the
specifications of project plan?
e. Why is marketing feedback important in finalizing the product or service
specifications?

Scoring Rubrics
Criteria Excellent – 15 Good – 10 points Fair – 5 points
points
Explanation Detailed, accurate Explanation is a Explanation is a
explanation; it’s little vague or vague or missing;
clear to unlikely; it’s it’s not clear to
understand the probable to understand the
concept. understand the concept.
concept.
Factors All factors Only one or two No factor was
Considered including the of the factors considered
Needs, Market were considered.
Profile and
Financial Plan
were considered.

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 V. Reflection

Directions: Read and complete the following statements and

give your honest answer. Write your answers on a separate sheet
of paper.

1. When accomplishing the activities, the part which I enjoyed most

is ________________________________________________

and the most difficult was _______________________________

___________________________________________________.

2. The activities helped me in recommending actions to be taken

based on monitoring and evaluating business operation by

___________________________________________________

__________________________________________________.

3. The experience from this activity made me realize that I can

________________________________________________

________________________________________________.

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 VI. Answer Key

Entrepreneurship 10

Activity 1
Learner’s answer vary.

Guide Questions:
a. Learners’ answer vary
b. Learners answer vary.
c. The Needs, Market Profile, Marketing Plan, Financial Plan
d. To determine feasibility, marketability of the product or service
e. To have basis in making decision if the business plan can be finalized.

REFLECTION:
1. Learners’ answer vary.
2. Learners’ responses vary.
3. Learners’ responses vary.
4. Learners’ responses vary.

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