CHAPTER 2: MARKET FEASIBILITY

Industry Description
Creare Handmade Accessories will sell variety of handmade products such as earing,

bracelets, necklaces, rings, wallets, hats, keychains etc. This business indeed specialized in

making affordable and unique products. Creare Handmade Accessories is a business where

customers will freely decide what design they want, making the business different from

others. As this Creare Handmade Accessories improve from time to time the business will

also improve because the business will expand and introduce more productive.

Industry Competitiveness

People from outside the city are increasingly visiting Ormoc City as it improves in

many areas, including infrastructure, food, and culture. They frequently purchase souvenirs

such as handmade accessories like keychains, bracelets, anklets, necklaces, and so on. And

the number one shop that sells souvenirs in Ormoc City is Queen Souvenir Shop, located near

the Ormoc City Plaza. Queen Shop was established on February 21, 2020. There are also

small shops in Ormoc City Plaza that have sold handmade accessories for years. There are

also small shops in Ormoc City Plaza that have sold handmade accessories for years.Queen

Souvenir Shop has its own social media platforms, but because their shop is not active online,

it is not as well known as other businesses. Although their shop is well known to some

tourists in Ormoc City since they’ve been selling their products for years and their setting is

also a great spot for tourists.

STRENGTH WEAKNESS OPPORTUNITIES THREATS

S W O T

 Good  Time  Implement loyalty

quality of consuming. program.  Other

service.  Use any forms of competitors

  Unique social media were

handmade platforms to reach selling the

products. broader same

 Affordable market/customers. product for

and good years.

quality of  Introduce new  Queen

products. products. Souvenir

 In house shop.

production

and control

over

distribution.

The SWOT analysis identifies Creare Handmade Accessories’ strengths, weaknesses,

opportunities, and threats. This will assist the company in identifying the factors that may

affect its market. Making handmade goods takes time. Handmade accessories need time and

effort, and because of that, it will be possible for the business to easily run out of stock. As a

solution, the business will hire more workers and use some kind of technology and material

to produce the right amount of products. For years, competitors sold their products. Creare

Handmade Accessories will face a threat as a result of this. The company will sell new

designs in order to be more appealing than Queen Souvenir Shop, attract more customers, and

gain positive feedback.

Market Potential
 In order to earn more revenue, the business must first develop creative concepts for

Creare Handmade Accessories that will fit the target market' trend. Using online social media

platforms to reach a huge number of costumers. Competitors is not active in online shops to

gain a lot of costumers so it will be an advantage to Creare in many aspects, especially in

terms of marketing. Putting in place a loyalty program in your business is a great way to gain

more customers. They reward customers for their loyalty and provide the issuing company

with a wealth of consumer information and data. The prospect of gaining a devoted following

is critical to adding value. Repeat customers, when properly executed, will help recruit new

ones at a fraction of the cost of traditional marketing methods. Creare Handmade Accessories

will launch new products that will undoubtedly meet the expectations of customers, gain new

target markets, and increase revenue. People become more aware of the product's features

faster, and they can purchase it immediately after it hits the market. As a result, if you

successfully launch the product, you will be able to recoup your development costs while also

increasing your profits.

Demand and Sales Analysis

Creare products will range in price from 30 to 150 pesos, depending on the design

desired by the customer. If Creare Handmade Accessories sold at least 10-20 accessories per

day, daily sales would be 1500-10,000 pesos and monthly sales would be 10,000-500,000

pesos. Handmade product demand is driven by several factors, including uniqueness, limited

availability, and brand story. Customers want to buy items that are one-of-a-kind, have a

sense of history, and have profound stories to tell. Goods with these characteristics exude a

sense of familiarity. People are drawn to connective elements of product stories because they

assist the owner in incorporating a piece of their personal story into their décor and fashion

accessories. The global demand for handmade items has increased significantly. One of the

main reasons for the rising demand for such goods is that products made by local artisans are
considered unique and of high quality. The demand for one-of-a-kind, limited-edition items

will continue to rise, making handmade items an important part of any store’s inventory.

Handmade is the latest “up sell” or “add on” trend for both large and small businesses.

Customers nowadays prefer personalized and customized products or handmade gifts.

MARKET STRATEGIES

Using materials and tools like beads, yarns, recyclable materials that will be usef, the

business create exquisite accessories. In addition to being economical, it provides business

with a lot of design flexibility. A picture, a note, or another small object can be placed inside

the pendant of a Creare locket necklace. Customers can personalize their orders by uploading

a specific photo to their locket necklace. Earrings made of creare are among the easiest crafts

to produce and market. There are many earring styles, and don’t need to have advanced

jewelry-making abilities. With the aim of making them more appealing to customers, Creare

Handmade Accessories take those designs that are already in existence and modify the

components and decorations. Friendship bracelets can be made with little initial expenditure

to generate income. To locate our target market audience, we begin by experimenting with

various patterns and then we proceed to create original designs.

One of the business strategies used to allocate the target market and attract more

customers both inside and outside of Ormoc City is online promotion and advertisement. This

will also be beneficial because the business is present on numerous social media platforms,

including Facebook and Instagram. Printed and display media will also help the business

attract more customers, from the business logo to flyers that will be used to entice customers

to visit the business physical store in Ormoc City Plaza.

 CHAPTER 3: TECHNICAL FEASIBILITY

Production Process and Flowchart

Production Schedule
MANUFACTURING DAY 1 DAY 2 DAY DAY DAY DAY DAY
STEPS 3 4 5 6 7
Production Planning ✓
Material Procurement ✓ ✓
Product Process ✓
Product Process ✓
Finished Goods ✓
Packaging ✓
Distribution ✓

Production Process

INPUTS CONVERSION OUTPUTS

PROCESS
 Raw Materials  Products and
 Tools  Production Services .
 Employees planning and
control.
 Product Design

The product process begins with the creation of the product, which includes the

materials used, tools, and the employee who creates the product, the manufacturer. The

conversion process is followed by production planning and control, as well as a chain of

operations that allows the manufacturer to be in the right place at the right time. It assists the

company in getting the most out of its resources. It also includes departmental activities such

as sales, marketing, and procurement. Following completion of all processing, the product

will be distributed directly to customers.

LOCATION AND FACILITY NEEDS

 The business is located Ormoc City Plaza and is also available online. Customers can

easily locate Creare Handmade Accessories stores because they are close to Ormoc City

Plaza. Access to transportation is excellent due to the abundance of public transportation

options, such as the Ormoc City Terminal. For raw materials, there are many stores, such as

King’s, that sell beads and other raw materials. Creare’s access to production input will

provide the company with numerous opportunities.

Storms are one of the most serious environmental issues confronting the business

today. Storms can have an impact on business. It prevents customers or business personnel

from reaching or entering the premises, resulting in late or missed deliveries due to weather

conditions. It may also lose contact with its customers.

VICINITY MAP
FLOOR PLAN

Cost of the building:

MATERIALS COST SUPPLIER

APO Cement Php 34,500 Brodeth

Steel Php 4,200 Junvel

Sandstone Php 4,200 Junvel

Glass Window Php 8,000 Ormoc Glass

 Gravel G1 Php 4,305 Junvel

Color Roof/Yero Php 15,000 Brodeth

Marine Plywood Php 6,400 Brodeth

Common Nails Php 1000 Junvel

Coco Lumber Php 3,600 Junvel

Tiles Php 30,000 Wilcon Depot

Skim Coat Php 1,500 Wilcon Depot Inc.

C- Curlins Php 20,700 Brodeth

Equipments, Furniture and Fixtures, and other needes facilities:

ITEMS QUANTITY COST TOTAL SUPPLIER

Sofa 2 set Php 17,400 Php 34,800 Mandaue

Foam

Long Table 2 Php 1,556 Php 3,112 Mandaue

Foam

Television 1 Php 17,300 Php 17,300 Imperial

Chairs 15 Php 250 Php 3,750 Mandaue

Foam

Paintings 8 Php 500 Php 4,000 Online Shops

Aircon 2 Php 22,995 Php 45,990 Imperial

Curtains 5 sets Php 540 Php 2,700 Mandaue

Foam

Lights 8 Php 200 Php 1,000 Mandaue

 Foam

Mini Lamps 2 Php 180 Php 360 Mandaue

Foam

Suitability of Production Technology

The Creare Handmade Accessories suppliers is only in Ormoc City. However, there

are still some facilities needed that are only available online. Brudeth, Junvel, Ormoc Glass,

and Wilcon Depot are the business raw material suppliers for the Creare’s building. Online

shops, Mandaue Foam, and Imperial for the facilities like furniture and technology needed in

the business.

ITEMS QUANTITY COSTS TOTAL SUPPLIER

Beads 500 boxes Php 40 Php 20,000 Shopee

Pendants 100 Php 35 Php 3,000 Shopee

Yarns 100 Php 10 Php 1,000 Shopee/bookstores

Leather Cord 20 meters. Php 60 Php 1,200 Shopee