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Republic of the Philippines

City of Olongapo
ST. JOSEPH COLLEGE- OLONGAPO INC.
Senior High Department
#10 Fontaine Street East Bajac- Bajac, Olongapo City

A Business Plan Presented to


The Faculty of St. Joseph College- Olongapo Inc.
Entrepreneurship

In Partial Fulfilment of Course Requirement for


Science, Technology, Engineering, and Mathematics Strand

Kahon De Himagas

BUSINESS PROPONENTS:

Abanes, Daphne Moira C. Dela Paz, Charles Cedric D.

Almendo, Jester M. Del Rosario, Catherine Anne

Aniceto, Yvan B. Garcia, Mark John Brian H.

Cuadro, John Gabriel L. Gaspar, Le Shaun Kelly G.

STEM 12- ST. JOHN BOSCO


MAY 2022

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TABLE OF CONTENTS
CHAPTER 1: Introduction
A. The Business Concept……………………………………………………………………….1
B. The Business Model………………………………………………………………………….2
C. The Business Goals: Mission, Vision, Objectives, and Performance Target…………12
D. The Business Offerings and Justification……………………………………...…...…….14
CHAPTER 2: Executive Summary……………………………………………….…………….……15

CHAPTER 3: The Business Proponents ……………………………………………………….…18

CHAPTER 4: The Target Market and the Main Value Proposition to the Customers

A. Target Market ……………………………………………………………………………….22


B. Main Value Proposition …………………………………………………………………….23

CHAPTER 5: Market Demand and Supply, Industry Dynamics, Micro and Macro Factors

A. Macroenvironmental Factors ………………………………………………..…………….24


B. Microenvironmental Factors ……………………………………………..………………..26

CHAPTER 6: Product Offerings: Description, Evolution, and Justification

A. Business Logo and Explanation …………………………………………………………..28


B. Product Description, Evolution, and Justification ……………………………………….29
C. Distribution Channel …………………………………………………………….……….…30
D. Packaging Concept …………………………………………………………….……..……31
E. Benefits and Competitive Advantage ………………………………………….…………31

CHAPTER 7: Enterprise Strategy and Enterprise Delivery System

A. Enterprise Strategy…………………………………………………………………………..….34
B. Enterprise Delivery System ………………………………………………………………..…..37
a. Input ………………………………………………………………………………...……38
b. Throughput ……………………………………………………………………………...43
c. Output ……………………………………………………………………………………47
d. Marketing ………………………………………………………………………………..47

CHAPTER 8: Financial Forecast: Expected Returns, Risks, Contingencies

A. Sales Volume ……………………………………………………………………………….62

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B. Income Statement …………………………………………………………………….……65
C. Return on Sales …………………………………………………………………….………68
D. Payback Period ……………………………………………………………………………..68
E. Financial Risk and Business Risk ………………………………………………………...69

CHAPTER 9: Environmental and Regulatory Compliance …………………………………….76

LIST OF TABLES

CHAPTER 1

Table 1.1……………………………………………………………………………………………….7

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Table 1.2……………………………………………………………………………………………….9

Table 1.3……………………………………………………………………………….……………..12

CHAPTER 7

Table 7.1……………………………………………………………………………….……………..37

Table 7.2……………………………………………………………………………….……………..39

Table 7.3……………………………………………………………………………….……………..42

Table 7.4……………………………………………………………………………….……………..52

Table 7.5……………………………………………………………………………….……………..53

Table 7.6……………………………………………………………………………….……………..53

Table 7.7……………………………………………………………………………….……………..53

Table 7.8……………………………………………………………………………….……………..54

Table 7.9……………………………………………………………………………….……………..54

Table 7.10……………………………………………………………………………….….………..55

Table 7.11………………………………….………………………………………….……………..55

Table 7.12………………………………….………………………………………….……………..56

Table 7.13………………………………….………………………………………….……………..56

Table 7.14………………………………….………………………………………….……………..56

Table 7.15………………………………….………………………………………….……………..57

Table 7.16………………………………….………………………………………….……………..57

Table 7.17………………………………….………………………………………….……………..57

Table 7.18………………………………….………………………………………….……………..57

CHAPTER 8

Table 8.1……………………………………………………………………………….……………..62

Table 8.1……………………………………………………………………………….……………..65

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Table 8.1……………………………………………………………………………….……………..66

Table 8.1……………………………………………………………………………….……………..67

Table 8.1……………………………………………………………………………….……………..68

Table 8.1……………………………………………………………………………….……………..68

CHAPTER 10

Table 10.1……………………………………………………………………………….……………..80

LIST OF FIGURES

CHAPTER 1

Figure 1.1……………………………………………………………………………………………….10

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CHAPTER 3

Figure 3.1……………………………………………………………………………………..….…….18

CHAPTER 6

Figure 6.1…………………………………………………………………………………..…………….28

Figure 6.2……………………………………………………………………………………………..….29

Figure 6.3…………………………………………………………………………………….……….….31

CHAPTER 7

Figure 7.1…………………………………………………………………………………..…………….34

Figure 7.2……………………………………………………………………………………………..….35

Figure 7.3…………………………………………………………………………………….……….….36

Figure 7.4…………………………………………………………………………………….……….….48

Figure 7.5…………………………………………………………………………………….……….….49

Figure 7.6…………………………………………………………………………………….……….….51

CHAPTER 8

Figure 8.1…………………………………………………………………………………..…………….61

Figure 8.2…………………………………………………………………………………..…………….62

Figure 8.3…………………………………………………………………………………..…………….69

APPROVAL SHEET

This Business Plan entitled, Kahon De Himagas, prepared and submitted by the following
students listed below in partial fulfillment of the requirements for the course of Entrepreneuship,
has been examined and is recommended for the acceptance and approval of ORAL
EXAMINATION.

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LEADER: Abanes, Daphne Moira C.

MEMBERS: Almendo, Jester M. Del Rosario, Catherine Anne

Aniceto, Yvan B. Garcia, Mark John Brian H.

Cuadro, John Gabriel L. Gaspar, Le Shaun Kelly G.

Dela Paz, Charles Cedric D. (Andres, Wridgel Kent)

MR. HAROLD R. AMBUYOC


ENTREPRENEURSHIP ADVISER

Approved by the committee on oral examination with a grade of _______________.

PANEL OF EXAMINER

HAROLD R. AMBUYOC
Entrepreneurship Adviser

PANEL 1 PANEL 1 PANEL 1


Panelist Panelist Panelist

Accepted and approved in partial fulfillment of the requirement for the subject Entrepreneurship.

PROF. ARIEL L. ESPIRITU


Assistant Principal, SHS Department

PROF TERESA Y. SABADO


Principal, SHS Department
Vice President for Academics and Student Welfare

CHAPTER 1
INTRODUCTION

A. THE BUSINESS CONCEPT

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Since the pandemic has unexpectedly struck the community, a temporary shutdown of
businesses and various industries is mandatory. Life is demanding without any source of income,
but it is possible due to economic solidarity. In the minds of everyone, surviving a pandemic would
be simple. As the consequences on the economy worsen, most businesses, such as restaurants,
are forced to make the daunting decision to give up their source of income due to a lack of social
interaction with customers.

The Panghimagas Food Company decided to start a small food business. The company named
it to "Kahon De Himagas," a Filipino dessert in a box to satisfy customers' sweet tooth cravings.
The product's concept came from the inspiration of a Japanese bento box, which the company
turned into a Filipino Style bento box. It predominantly consists of different dessert in a box with
various dips on the side. The upbringing of neighbouring country Japan and their food culture, the
bento box is a portioned packed meal. The delicacies were turned into bite-sized to enjoy and
share with friends or family.

Hence, the himagas is a Filipino-based food business that still likes to highlight Filipino-style
delicacies and the flavors that have been blended into international cuisine styles. The product is
expected to be well received by desired consumers looking for a Filipino treat to satisfy their
cravings.

The Kahon De Himagas offers a bundle of delightful Filipino delicacies that is well-known that will
be enjoyed, including Ensaymada, Turon, Leche Flan, Kutsinta, Palitaw, and Puto. Serve with
three different side dips Ube, Yema, and Melted cheese. These are locally homemade to show
different kinds of their own version of Filipino delicacies. These delicacies are from the Philippines
to remind the culture that the Filipinos grow into. The packaging is eco-friendly that is locally
made.

The company wants to warn consumers who have allergies that the Kahon De Himagas product
inside has different dairy products such as milk, eggs, cheese, and shredded coconut. The
company and staff informed the consumers that the product contains gluten and could cause
allergies to customers.

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The Kahon De Himagas will be principally promoted and sold in the City of Olongapo and nearby
areas like Subic Bay and the Town of Subic. But it can be a gift to someone who lives far away
that must be consumed within a day, and it can be refrigerated for two days.

These Filipino delicacies can be a dessert after a meal, a snack, and even a gift to someone. The
store's location is on the busiest and most exciting street in town, with many students, workers,
residents, and individuals passing by. It is accessible and visible. Because of its jeepney and
tricycle stops, it is easily accessible from any mode of transportation.

The product is an inexpensive cost that is affordable yet tasty to anyone's taste buds. There are
various prince range depending on the pax of consumers. Those who want to avail of a solo
package can be eaten to two to three people at the price of Php 199.00. The company will profit
from the business by thoroughly executing the planning process and verifying profits. At an
affordable price, everyone can purchase it and be enjoyed it with their family, friends, and kids.
And taste the local goods of Kahon De Himagas in the town.

B. THE BUSINESS MODEL

The Filipino-style bento box has different types of Filipino desserts that values the customers'
preferences regarding their taste, the cost of the product, and many more. The entrepreneurs
want to offer sweet delicacies that would satisfy customers' wants.

Key Partners

The partners the company have a collab with are those who can improve the Kahon De Himagas.
The company has its own collaboration with manufacturers and suppliers for the packaging and
ingredients of the product. This is to ensure that reliable supplies of high quality are given to
customers. Having an association with content providers and influencers and being a franchise
can help the company and its product grow its name and be known to many people.
Key Activities

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The activities the company wants to achieve a dynamic food business in the city. To extensive
food testing to ensure the consumers' taste buds at Kahon De Himagas products. To select the
best employees that fit their job description. The staff will organize the product to prepare the
delicacy and notify customers that their food is ready for pick-up or delivery. The company will
serve the best and most tasteful treat to its customer that they would enjoy with anyone. To
maintain the ingredients of product and packaging have the best and maintain its quality. Having
an announcement on the website and social media platform for promos, new products, and many
more.

Key Resources

The Panghinagas Food Company comprises an executive chef, prep cook, expediter, managers,
financial officer, and business system analyst. All of the employees are adequately trained and
skilled. The building is 80sqm long, and the kitchen and pantry facility has a 50 sqm. Inside, the
kitchen included different machines and stainless steel equipment. Meanwhile, the 30sqm is for
the lounge, wherein the customers will wait to receive their orders for dine-in, take-out, and pick-
up. The store has a partnership with a mobile application to assist customers with their demands.
Any meeting with the staff will be held before opening at the store or in online calls.

Value Propositions

The Panghimagas Food Company provides the customers' wants and needs by giving sweets
with the product. The product comes with saltiness in the pastry and dip. For consumers who like
sweet tooth foods that come with Filipino culture that brings back memories before the pandemic,
Filipino usually go to the canteen or public supermarket to buy these foods. Nowadays, it is hard
to find these goods in one place. The company wants to bring up different Filipino desserts to
satisfy customers. This meal set can be eaten individually or in groups. It has plenty of desserts
to choose from. That can be shared with friends and family. After all, Filipinos love to share with
others, even if it's strangers.

Customer Relationship

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The Panghimagas Food Company desires to have a closer relationship with the customer by
having the meals the company provide of its sweetness and interaction with the staff. The
company wants to understand the needs and want of the customers. The company are all ears
when it comes to the voice of the customers' preferences that will improve the product. The
product is not the only thing the company value, as well as the service towards the customer.

Channels

The customer can connect with the Panghimagas Food Comapny through social media platforms
and websites. The company have other options such as email, landline, and mobile hotline.
Customers can look, order, raise questions, and communicate with an active agent through these
channels. Having communication with a customer can assist the company in raising awareness
regarding the its product and service. It will encourage the company to assess a firm's Value
Proposition. Customers can channel us with the company partnership with Grab, Food Panda,
Ordermo, and many more.

Customer Segments

The Panghimagas Food Company values not only its customer but also the staff, service, and
product. The company segment into a different group when it comes to customer service. This is
to be conscious of the decision that the customer has reported. The company are careful and
understanding when it comes to the customers. The company made the best quality to make the
most promising product in town. The Kahon De Himagas products can be avail within the City of
Olongapo and nearby places such as Town of Subic, Bataan, and etc. It can be also avail
anywhere within Luzon. Nowadays, there are “pasabuy” wherein the consumers will order the
product to those who want to a food delivery such as Manila to Subic & Olongapo. A food delivery
who traveled a far to get the consumers wants and needs. Although, the product needs to be
taken care of since the company’s product is food. There would be a date when the product
created and a label that it should be consume within a day to prevent the product to decay. This
is to taste the Filipino dessert that the Panghimagas Food Company had made to show pride that
it's all homemade.

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Cost Structure

A. Variables Cost
Ensaymada Ingredients Unit as Purchased Cost per Unit as Purchased
All Purpose Flour 1000 g ₱35.00
Butter 450 g ₱50.00
Cheese 165 g ₱60.00
Eggs 24 pcs ₱120.00
Fresh Milk 1000 ml ₱76.00
Salt 100 g ₱10.00
White Sugar 1000 g ₱75.00
Yeast 100 g ₱55.00
Total ₱481.00

Kutsinta Ingredients Unit as Purchased Cost per Unit as Purchased


All- Purpose Flour 1000 g ₱35.00
Annato seeds 50 g ₱16.00
Brown sugar 1000 g ₱70.00
Lye of water 350 ml ₱35.00
Total ₱156.00

Leche Flan Ingredients Unit as Purchased Cost per Unit as Purchased


Condensed Milk 300 ml ₱45.00
Eggs 24 pcs ₱120.00
Evaporated Milk 370 ml ₱30.00
Vanilla Extract 60 ml ₱16.00
White Sugar 1000 g ₱75.00
Total ₱286.00

Palitaw Ingredients Unit as Purchased Cost Per Unit as Purchased


Brown Sugar 1000 g ₱70.00
Glutinous Flour 500 g ₱54.00

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Sesame Seeds 30 g ₱45.00
Shredded Coconut 50 g ₱30.00
Total ₱199.00

Puto Ingredients Unit as Purchased Cost per Unit as Purchased


All Purpose Flour 1000 g ₱35.00
Baking Powder 50 g ₱25.00
Butter 450 g ₱50.00
Cheese 165 g ₱60.00
Fresh Milk 1000 ml ₱76.00
Vanilla Extract 60 ml ₱16.00
White Sugar 1000 g ₱75.00
Total ₱337.00

Turon Ingredients Unit as Purchased Cost per Unit as Purchased


Banana Saba 1000 g ₱35.00
Brown Sugar 1000 g ₱70.00
Cinnamon Powder 30 g ₱50.00
Cooking Oil 348 g ₱60.00
Lumpia Wrapper 20 pcs ₱45.00
Sesame Seed 30 g ₱45.00
Total ₱305.00

Packaging Materials Unit as Purchased Cost per Unit as Purchased


Banana Leaf 2 pcs ₱10.00
Carton Box 3 pcs ₱15.00
Sauce / Dips Container 10 pcs ₱30.00
Sticker Paper 5 pcs ₱20.00
Wooden Cutleries Set 2 pcs ₱14.00
Total ₱89.00

Ube Dip Ingredients Unit as Purchased Cost per Unit as Purchased


Butter 450 g ₱50.00

13
Condensed milk Ube 300 ml ₱50.00
Fresh Milk 1000 ml ₱76.00
Ube Kamote 1000 g ₱35.00
Total ₱211.00

Cheese Dip Ingredients Unit as Purchased Cost per Unit as Purchased


Fresh Milk 1000 ml ₱76.00
Quick Melt Cheese 165 g ₱90.00
Total ₱166.00

Yema Dip Ingredients Unit as Purchased Cost per Unit as Purchased


Butter 450 g ₱50.00
Condensed Milk 300 ml ₱45.00
Vanilla Extract 60 ml ₱16.00
White Sugar 1000 g ₱75.00
Total ₱186.00

Table 1.1. Variable Cost

B. Fixed Cost

Expenses Cost (Per Month)


Advertising Expense ₱2,690.00
Utilities Expense ₱8,699.00
Labor Cost Expense ₱13,589.10
Transportation Expense ₱723.24
Operating Expense ₱1,568.00
Total ₱27,269.34

Permits and Registration Fees Cost


Barangay Clearance ₱500.00
BIR Permit ₱500.00

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Business Permit ₱2,000.00
Fire Department Permit ₱649.00
Health Licenses Permit ₱2,380.00
SEC Registration Certificate ₱500.00
Tax Identification Number ₱500.00
Zoning Permit ₱2,900.00
Total ₱9,929.00

Furniture and Fixtures QTY Cost Per Unit Total Cost


Air Conditioner 1 ₱35,995.00 ₱35,995.00
Cooking Range 1 ₱31,295.00 ₱31,295.00
Fluorescent Tube 4 ₱140.00 ₱560.00
Industrial Ceiling Fan 4 ₱1,995.00 ₱7,980.00
Internet Router 1 ₱2,699.00 ₱2,699.00
Refrigerator 1 ₱25,195.00 ₱25,195.00
Stainless Steel Prep Table 2 ₱12,950.00 ₱25,900.00
Stainless Steel Worktable 2 ₱12,500.00 ₱25,000.00
Table & Bench 1 ₱3,487.50 ₱3,487.50
Telephone 1 ₱1,000.00 ₱1,000.00
Total ₱159,111.50

Tools and Equipment QTY Cost Per Unit Total Cost


Dry Measuring Cups and Spoons 3 ₱245.00 ₱735.00
Liquid Measuring Cup 3 ₱95.00 ₱285.00
Stainless Steel Bowl 10 ₱130.00 ₱1,300.00
Stainless Steel Wire Whisk 4 ₱250.00 ₱1,000.00
Steamer 2 ₱1,350.00 ₱2,700.00
Wok 3 ₱689.00 ₱2,067.00
Tongs 4 ₱59.00 ₱236.00
Colander 1 ₱189.00 ₱189.00
Cutting Board 1 ₱327.00 ₱327.00
Can Opener 1 ₱239.00 ₱239.00
Knife 1 ₱397.00 ₱397.00

15
Grater 1 ₱215.00 ₱215.00
Peeler 1 ₱129.00 ₱129.00
Wooden Spatula 2 ₱89.00 ₱178.00
Kitchen Scissors 1 ₱247.00 ₱247.00
Total ₱10,244.00

Office Supplies QTY Cost Per Unit Total Cost


Ball Pen 5 ₱7.00 ₱35.00
Accounting Columnar Notebook 1 ₱25.00 ₱25.00
Calculator 1 ₱170.00 ₱170.00
Tape 8 ₱12.50 ₱100.00
Post-it Notes 6 ₱51.50 ₱309.00
Tape Dispenser 1 ₱119.00 ₱119.00
Stapler 1 ₱92.00 ₱92.00
Staple Wire 5 ₱8.00 ₱40.00
Correction Tape 2 ₱62.00 ₱128.00
Carbon Paper 1 ₱119.00 ₱119.00
Receipt 2 ₱30.00 ₱60.00
Log Book 1 ₱55.00 ₱55.00
Total ₱1,252.00

Table 1.2 Fixed Cost

Revenue Streams

Since the enterprise only sells products, it only has one revenue account. The revenue
source of the enterprise is transaction-based. Transactional revenue model means that a
business generates revenue through selling its outputs such as products, whenever a customer
buys a product of the enterprise; the revenue is made or increases. The enterprise generates
revenue through its core operation which is selling Filipino delicacies in bento boxes.

Revenue

16

Stream 1 Operating Revenue from


Revenue Sold Kahon De
Figure 1.1 Revenue Streams

BUSINESS MODEL CANVAS

KEY PARTNERS KEY ACTIVITIES VALUE CUSTOMER CUSTOMER


PROPOSITION RELATIONSHIP SEGMENTS
∙ Content Providers ∙ To extensive
∙ Delivery Service food testing to ∙To provide the ∙ Customer ∙ Sweet Toothed
(e.g. Grab, Food ensure the customers' wants Support ∙ Food Lovers
Panda, Groover) consumers' taste and needs by ∙ Improvement ∙ Family (Child
∙ Influencers (e.g. buds at our giving sweets with ∙ Reliability to Senior
Bloggers, products our product ∙ Quality Adults)
Celebrities, ∙ Service ∙ General Public
Youtubers, etc.) ∙ Achieve a ∙ To remind the ∙ People who
∙ Grocery Stores dynamic food Filipino Culture love Filipino
∙ Pasalubong business in that everyone Food
Center Olongapo City grows into
∙ School Canteen with Kahon De
Himagas ∙ Affordable meal
that can satisfy the
∙ The staff will sweet tooth
organize the desires of
product to customers
prepare the
delicacy and
notify customers
that their food is

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ready for pick-up
or delivery

∙ There would be
an
announcement
on the website CHANNELS
and social media
platform for ∙ Direct
promos, new Marketing
products, and (Store’s
many more Location)

∙ Social Media
KEY Platforms
RESOURCES (Facebook,
Instagram,
∙ Trained Twitter, etc.)
Personal
∙ Skilled Cook ∙ Delivery
∙ Ingredients of Services (e.g.
Excellent Quality Grab, Food
∙ Standard Panda, Groover,
Equipment etc.)
∙ Security
Resources

COST STRUCTURE REVENUE STREAMS

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The revenue source of the enterprise is
The cost-plus pricing to be fundamentally transaction-based. Transactional revenue
reasonable and evenhanded, and businesses or model means that a business generates
sellers can effortlessly clearly articulate and justify revenue through selling its outputs such as
their prices when utilizing this pricing strategy. products. The enterprise generates revenue
through its core operation which is selling
Filipino delicacies in bento boxes. The more
products the enterprise has sold equals to
higher revenue.

Table 1.3 Business Model Canavas

C. THE BUSINESS GOALS: MISSION, VISION, OBJECTIVES, AND PERFORMANCE


TARGET

1. Vision
“Carry a hearty local taste of goodies and support local products born into our heritage.”

The vision is to support and prioritize local products by purchasing over foreign products. Valuing
the heredity to conserve the heritage. Bring forth the significance of the product to imply Filipino
snacks as universal.
2. Mission
“The Panghimagas Food Company conceive of valuing cooperation, honesty, and social
involvement, a dedication to making no barriers with kindness, service, and respect for the
culture.”

The mission is to, by administering these values, the Panghimagas Company can assure that it
will serve the customer with full acknowledgment of excellence. The commitment will always be
the same despite the differences in thoughts, beliefs, and principles.

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3. Objectives
• To make enough money to cover all overhead costs while also turning a profit, small
firms and beginning businesses may be more concerned with merely making enough
income to cover expenditures and stay in business.
• To provide benefits to employees, such as unrestricted vacation time or team
appreciation events.
• To create more secure and healthy working conditions.
• To create possibilities for personal growth and development.
• Create a modern Filipino delicacy from the culture that people grew into.
• To make enough money to pay themselves a wage and/or expand the company.
• To conserve the environment by taking reasonable actions to reduce the carbon footprint
of the company.
• To contribute to the development of a firm by utilizing growth models.
• Through targeted efforts, generate innovative ideas.
• To boost brand awareness and reputation.
• Improve business growth.
• Upskill and motivate employees to have higher performance level.

4. Performance Target
• The Company will settle orders through online platform and it will be delivered through
food delivery applications and there is another option to pick up the order themselves.
• The company is expected to sell the products compelling and it will be admired by every
people especially the residents of Olongapo City. The product could be well-known to the
residents of Olongapo City as well as outside the town.
• The sales will be sturdy and the income made can be purchased to invest stuff and
purchase stocks in case of shortage to the resources. Each staff will undergo through
trainings and seminar to improve the product and service of Kahon De Himagas.
• Each employees have their own responsibilities. Wherein the staff will do their work
according to the assigned position. There is a list that it is needed to check daily for how
much income that have made.
• Having an increase sale, sold-goods price, operating expenses, and finding a physical
store to build the business of Kahon De Himagas.

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D. THE BUSINESS OFFERINGS AND JUSTIFICATION

The Panghimagas Food Company offers a Filipino Style Bento Box, it is a box of food product
consists of various delicacies with dips on the side where can costumer choose their desire sauce.
The bento box is an answer to a consumer’s sweet tooth cravings, plenty of dessert options to
choose from but with a reasonable price. The mainstream of the food product was to uplift Filipino
specialty when it comes to delicacies which were: turon, palitaw, kutsinta, puto, leche flan,
ensaymada and with three dip options of ube, yema, and cheese. The Panghimagas Food
Company offers deliciously made from the scratch delicacies with the right amount of sweetness
that can make a craving tummy smile, ensuring the loyalty of the consumers when choosing their
getaway desserts. The company are prepared to take the challenge of not just satisfying the
consumers but also giving a taste of how sweet can Filipino life can be with a nostalgic bite of our
delicacies. As the community are currently facing pandemic, the company have a safety protocol
to be followed in the physical store to allow customer to visit the store. But the company also have
a social media sites and pages where customers can order. The company has collaboration with
food delivery companies such as Grab, Food Panda, Ordermo, and many more so that consumers
will be able to taste the deliciously sweet product. The company accept advanced order to those
who want to receive their product right away. The Panghimagas Food Company also takes part
on address global environmental stigma that’s why the company ensure that the packaging is
eco-friendly. When it comes to the customers, the company make no exceptions because the
staff are ready to serve everyone.

21
CHAPTER II
EXECUTIVE SUMMARY

The company plans to differentiate itself from the competition through a unique strategy, unique
branding, and food products. This phrase carries a strong taste of local cuisine and supports the
local products born in our tradition. Focusing on Filipino snacks with modern innovation
concentrating on local products. The Panghimagas Food Company offers a Filipino Style Bento
Box which is a box of food products consisting of various delicacies with dips on the side where
can costumer choose their desired sauce as a form of employing satisfaction within the product
consumers. The company is involved in solving global environmental problems to ensure the
company's packaging is eco-friendly. After acknowledging the local snacks, the community that
bought the product will be informed about proper waste disposal, having leverage on the local
market.

The management in the business is the process of planning, organizing, leading, and regulating
the work of business members; the use of all company resources to fulfil specified company goals.
The management is one aspect of the company; the manager achieves department objectives
through managing workers and planning and reviewing department operations. Employees are
kept on staff through recruiting, selecting, orienting, and training them, ensuring a safe, secure,
and legal workplace. Creates chances for personal development managers are in charge of
completing operations efficiently with and via other people and creating and attaining the firm's
goals through the execution of four essential management functions: planning, organizing,
leading, and controlling.

There are numerous product suppliers in the marketing environment where the company operates
that cannot be distinguished. No single business substantially impacts pricing, and it is pure
competition. Other prevalent variables are the ease with which new enterprises can enter the
market and excellent market knowledge. Because one business does not have an advantage
over another, the company creates products and operates under pure competition. Generic items
such as turon, ensaymada, kutsinta, and others are all priced the same, and the products are the
same.

22
Commercial bakers, sometimes known as production bakers, are responsible for operating in the
company that creates bread, pastries, and other baked goods. Bakers at this company employ
high-volume mixing machines, ovens, and other automated equipment to mass-produce
standardized baked items.

In kitchens, restaurants, clubs, fast food outlets, and catering organizations, a kitchen helper
cleans and sanitizes kitchen equipment, aids with essential food preparation, and receives and
stores items. They make kitchen hygiene a priority and safety for their products.

Outsourcing logistics frees up time for the business to focus on selling, with partners collaborating
with food delivery companies such as Food Panda and Grab food. These service providers are
specialists in their field. As a result, they can adapt and evolve to meet demand faster, reducing
overall costs and improving customer service. When most customers have a problem, the first
person they contact is a customer service representative. Customer service representatives are
responsible for assisting our future customers how to avail our product and giving help to locate
our physical store; especially handling complaints, providing consumers with appropriate
solutions, and following up on any difficulties encountered by customers. As the community is
currently facing a pandemic, the company has a safety protocol to be followed in the physical
store to allow the customer to visit the store. The business has partnered with shipping companies
to enable door-to-door ordering. The company accepts advanced orders from those who want to
receive their product right away. When it comes to the customers, the company makes no
exceptions because the staff is ready to serve everyone.

There are advantages and disadvantages to taking a risk in business. But in the Panghimagas
Food Company, if an audience wants to register, be a member of the company. There are different
benefits that a customer could receive. An audience will be receiving a 20% discount on their next
purchase of Kahon De Himagas product if they register their card at the Panghimagas official
website. They can get a buy one, take one promo Kahon De Himagas on their birth month, a
massive discount on bulk orders, and many more offers. The company's recommendations bring
interest to the consumers. It is convenient to both customers and the company since it brings
delight to customers the company made for them. Meanwhile, it helps the company to grow and
have more ardent.

23
The Kahon De Himagas is the answer to a consumers’ sweet tooth cravings, with plenty of dessert
choices at a reasonable price. The mainstream of the food product was to uplift Filipino specialty
when it comes to delicacies which are turon, palitaw, kutsinta, puto, leche flan, and ensaymada,
with three different dips of ube, yema, and cheese, an advantage over others the option to choose
within the customers' cravings. The company is up for the challenge of not only meeting the needs
of its customers but also savouring how sweet Filipino liveliness is with our delicious food.

24
CHAPTER III
THE BUSINESS PROPONENTS: Organizers with their capabilities and Contribution

Charles Cedric Dela Paz


CEO (Chief Executive Officer),
Product Manager

Daphne Moira Abanes


COO (Chief Operating Officer),
Human Resource Manager,
Mark John Brian Garcia
Chief Financial Officer,
FInancing Manager; Accountant

John Gabriel Cuadro


Marketing and Sales Officer,
Marketing Manager
Le Shaun Gaspar
Marketing Specialist

Yvan Aniceto
Sales Representative

Jester Almendo
Social Media Representative

Catherine Del Rosario


Costumer Service
Representative

Figure 3.1 Business Proponents

25
The Executives

Charles Cedric Dela Paz, Chief Executive Officer (CEO), can be interchangeable in smaller
businesses as the owner. A company's chief executive officer (CEO) makes top-level decisions,
gathers resources to support the company, and drives operational and structural changes as it
leads the company to growth and success. The CEO is the mind behind the concept of creating
a Filipino version of a bento box that consists of Filipino delicacies.

Daphne Moira Abanes, Chief Operating Officer (COO), oversees the company's operations. In
small businesses, interchangeable roles with a general manager. The COO oversees the
business or company, ensuring that it runs smoothly, and supervises departments to ensure that
employees complete tasks diligently and productively on time. The person who oversees the
business that pushes through the Kahon de Himagas and makes it possible to become a product
to be sold on the market.

Mark John Brian Garcia, Chief Financial Officer, the cash flow and financial success of a company
are their responsibility. The CFO is usually in charge of finding investors and external funding
opportunities for the company's growth. They're also in control of the company's expenses and
assets. The Chief Financing officer wholly takes responsibility for the company's income and
revenue and its outgoing expenses. The CFO seeks and provides the funding for the
Panghimagas Food corporation.

John Gabriel Cuadro, Chief Marketing Officer, is solely responsible for all marketing campaigns,
budgets, and the marketing department. In addition, the CMO is usually in charge of making final
decisions regarding the development and implementation of various marketing projects. He is in
charge of the company's growth and the spread of its product.

26
The Managerial

John Gabriel Cuadro, Marketing Manager, depending on the company's size, a marketing
manager is in charge of the entire marketing department. The marketing manager may be the
only top-level business role in controlling marketing efforts in smaller businesses. A marketing
manager raises awareness by creating and implementing marketing strategies that meet
consumer needs while increasing profits.

Charles Cedric Dela Paz, Product Manager, scrutinizes product markets and streamlines product
development processes. A product manager's responsibilities may include:

• Market research.
• Evaluating in-demand products.
• Assessing manufacturing processes.
• Analyzing competitor products.
• Collaborating with marketing teams to develop product promotion strategies.

The product manager is responsible for the betterment of the company's product leading it to the
subsequent sales.

Mark John Brian Garcia, before preparing financial reports, finance managers usually examine
costs and revenues. The business role of a financing manager may be in charge of several
financial aspects of operations, such as calculating and projecting incoming income and company
expenses. In larger organizations, the finance manager may be in the order of staff accountants
and bookkeepers, and they rely on their work to produce accurate financial reports and forecasts.

Daphne Moira Abanes, Human resources manager, is in charge of the HR department. They
recruit, interview, hire, and onboard employees. This business role is critical for operations. HR
managers frequently consult with top-level executives to develop strategic plans and serve as a
liaison between upper management and company employees.

27
Operational Roles

Mark John Brian Garcia, Accountant, A company's day-to-day operations, such as sales, expense
payments, and tax reporting, are overseen by an accountant. Small-business accountants may
have responsibilities similar to those of finance managers or chief financial officers in large
corporations.

Le Shaun Gaspar, a Marketing specialist, performs a variety of tasks, including gathering


customer information, researching target demographics, and optimizing content for search engine
optimization. Many companies and businesses have more than one marketing specialist in their
department, and this position usually reports to the marketing manager.

Yvan Aniceto, Sales Representative, Customers are approached by sales representatives to sell
their company's products or services. Successful sales teams use effective communication and
interpersonal skills to develop and maintain relationships with their company's customers, which
directly impacts the revenue stream. Sales Representatives play a big part in business growth
and its product or service to be widely known.

Jester Almendo, the representative for social media, is in charge of achieving a company's social
media objectives. Responding to customer questions on social media, managing the company's
social media presence, and reviewing social media campaigns are their responsibilities.
Customers who want to interact with the company on social media should contact them. Social
media is one of the fastest-growing platforms to be used. It is an excellent medium for the wide
range of audience engagement and harnessing possible customers.

Catherine Del Rosario, Customer Service Representative, When customers are dissatisfied,
customer service representatives assist them in solving problems, handling product returns and
refunds, and resolving issues. These operational roles are critical for establishing a company's
reputation and maintaining long-term customer relationships.

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CHAPTER IV
THE TARGET MARKET AND THE MAIN VALUE PROPOSITION TO THE CUSTOMERS

A. Target Market

The target customer of the company is children to senior adults. A lot of people love sweet
delicacies, especially children. This would love by many Filipinos because of the different kinds
of Filipino delicacies. Other races can appreciate new daintiness that they haven't tried yet. It is
an opportunity for them to taste new treats from a local brand. Many said women tend to love
sweets more than men. It helps to regulate their mood and appetite. It releases stress from their
body and brings comfort when women eat sweet delight. Buyers who have short or enormous
incomes can enjoy and buy the Kahon De Himagas at an affordable price, and it can be shared
with many people.

Those who are sweet lovers and like Filipino delicacies will enjoy the Kahon De Himagas.
Have a healthy lifestyle, can enjoy these treats but limited. They can consume a small piece in a
day. But they can still enjoy its taste, for it is not sweet that can ruin their diet. If consumers like
the habit of eating sweet treats after a meal, this is the best delicacy to try. Consumers may
believe that the company's product is too sweet, but rest assured by the Panghimagas Food
Company, the product is the exact sweetness that anyone could try.

Customers who love spending their money on food should try the Kahon De Himagas
product. Many people buy in different shops to buy the food they want. But, the Panghimagas
Food company has all the sweet treats whey will find in one box. Inside this are various delights
that will be found are Filipino delicacies. Buyers can participate in the promo that the
Panghimagas Food Company offers. If customers register their card on the Panghimagas official
website, the promos offer they will receive a 20% discount on their next purchase of Kahon De
Himagas products. On their birth month, they can get a buy one, get one free promo Kahon De
Himagas, a significant discount on bulk orders, and many other deals.

The product, Kahon De Himagas is locally made in the city of Olongapo. All of the
ingredients are bought inside the Philippine area. The company supports local stores and
manufacturers. The location of store is located at the Victory liner Olongapo. This can be a gift for
someone even though they are not living in Olongapo City, but they should consume it

29
immediately to avoid the food getting decaying. To those consumers who live in a hot environment
or climate. It is best to refrigerate their food to prevent the product from rotting.

B. Main Value Proposition

The Kahon De Himagas business is an affordable product that is easily be shared. It has three
varieties of sauce: yema, cheese, and ube dip. The customer wants the product and is willing to
purchase it because it has a specific budget that they can afford. The product selling price is PHP
269.00 for Kahon De Himagas in respective order. The pricing strategy used is the psychological
strategy is the company pricing that is chosen because it is the most of the pricing methods that
are used by every food business. Also, it slightly lowered the setting of the product to a whole
number of prices and penetration strategy. The company will set a low markup or margin to the
original price of the product from the start and slowly raise it later to achieve the targeted target
margin. There are few payment terms when having it delivered, and it is Cash on delivery and
online payment such as Gcash, Paymaya, and online bank. Different strategies will be considered
to increase our "Kahon De Himagas" market and sales. Our business uses social media platforms
by creating a Facebook, Twitter, Instagram, and search sites page. By posting through our social
media accounts/pages because, in today's generation, many people are using social media such
as Facebook, Twitter, and Instagram. Since it's pandemic, the company would also advertise our
product by chatting with our targeted customers and posting related photos of our products to our
accounts.

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CHAPTER V
MARKET DEMAND AND SUPPLY, INDUSTRY DYNAMICS, MICRO AND MACRO FACTORS

A. MACROENVIRONMENTAL FACTORS

Political Environment

The rules and regulations that influence business operations include elections, government
relations, and sanctions. The government's actions affect almost every aspect of business life in
a country. The business pays attention to the political environment to see how government
action can influence business. This underscores the difficulties and constraints of defining and
measuring small business success, primarily due to owner, entrepreneur, and management
goals. A company can be successful in business if it reaches the highest level of growth and
development.

Economic Environment

The conditions and events that influence business operations are recession, inflation, deflation,
interest rates, exchange rates, and consumer confidence. The business economy has been
stable for a long time, and the confidence levels of the citizens are very high. In this case, the
company's financial standing will be very durable, and no significant changes will occur. The
economic environment references every external economic factor that can influence consumers'
and businesses' purchase behavior, thus affecting a company's performance.

Ecological Environment

The overall status of the universe and natural disasters that can influence business operations,
for example, earthquakes, floods, global warming, and consumer demand for eco-friendly
products. The climate affects nearly every aspect of each individual's life, from food sources to
transport infrastructure. It has a significant effect on livelihoods, health, and the future. Due to
global warming, the business is requesting more eco-friendly products that are not harmful to

31
the ecology. In this case, the company ensures that the bottles are recycled every day. And it is
one of the company's business priorities to maintain the proper use of the environment.

Legal Environment

The state's laws and regulations that can influence business operations include labor laws,
consumer laws, and competition laws. The business is stringent, and it enforces the employers
to provide a social package and a safe and sound work environment for employees. The
company also makes sure the facility is safe and healthy for employees. It defines how
businesses are formed, contractual agreements are structured, contract terms are enforced,
and companies are shut down. It regulates lending, debt collection, consumer protection,
competition promotion, and the assertion of property rights. In some kind of summary,
commercial law governs all aspects of a business.

Socio-cultural Environment

The socio-cultural environment consists of both social and cultural people. Social standards and
values can influence business operations like health awareness, education levels, and life
expectancy. All of it in a business's immediate or indirect social environment affects its growth
and process. Due to rising levels of health awareness, many or most customers prefer healthy
products. Modifications in the proportion of different ethnic groups within society can impact how
a business operates. In this case, the company should introduce more nutritional products or re-
inventions or some on the menu to save market share.

Technological environment

Changes in technology and innovation can influence business operations, for example, the
availability of the internet, new technology, and the introduction of e-business. Many businesses
are making a profit online. It is cheaper, and there is no cost for storage. In this case, the
Panghimagas Food Company can establish its own website to display a menu and allow
customers to order products online, and it will deliver them to homes. Its development in

32
technology affects business through new inventions of productions and other improvements in
techniques to perform the business work. A technological change can provide businesses with
benefits and opportunities. Technological innovation, indeed, can result in new products and
services and thus new markets for a company. Furthermore, technological advancements in
products and processes can boost productivity while lowering costs.

B. MICROENVIRONMENTAL

Company

The company decided to make the Kahon De Himagas, a Filipino's style bento box, containing
popular Filipinos favorite delicacies. For the modern socialite, the Kahon De Himagas is the trendy
dessert shop that delivers the secret to sweet life. It is locally made with its own recipe. Only the
Kahon De Himagas presents intriguing and sensuous sweets in a Chic atmosphere. The goal of
the company is to sell the products to local and foreign people inside the town to introduce them
to the Filipino food culture.

Customers

Primary, it is more manageable to sell the product to the Filipinos since they know the delicacies
that were stated. The products might engage the Filipinos since they are familiar with the
delicacies. It helps to bring out and understand the Filipino culture and to be more recognized. It
ensures that creating a product or service that's going to have a real impact on the marketplace.
The company ensures safety needs, a safe work environment, and security. The company
assures the product to be delivered safely to the customer. It is a friendly environment at the
workplace. Having a friendly and healthy work environment is one of the most significant aspects
related to emotional safety needs. The consumers of the product are those who love sweet treats
that would enjoy at an affordable price.

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Competitors

The company's products are the only available in town and it is the first Filipino-style bento box.
The Kahon De Himagas is at an affordable price that can be purchased by anyone and it is good
for many people. Professional employees will serve its customer with a good attitude. There are
many competitors out in the business industry, but the company assures the products will be the
same and have significant quality of products at an affordable price. The company will always
improve the product and service to please its customers.

Collaborators

The company has collaborated with food delivery applications and retail outlets to allow customers
to see what products the company is offering. Visiting an outlet closely can allow customers to
judge its product and be able to purchase it. It provides instant gratification because the customer
can walk in and purchase it right away with their purchase. There are friendly employees that can
introduce the product of Kahon De Himagasto to its customers to be able for them to recognize.
This is to build their trust in the company’s product and to build a good relationship with its
customer. So that customers can return or order again the Kahon De Himagas.

Channels

The customers of the Panghimagas Food Company can connect via social media platforms and
websites. Email, a landline, and a mobile hotline are among the other options available to
entrepreneurs. Customers can use this channel to search, order, ask questions, and interact with
live agents. The customers can help the company create awareness of its products and services
by communicating with them. This will encourage businesses to reconsider their value
proposition. Customers can be directed to corporate partners such as Grab, Food Panda,
Ordermo, and others.

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CHAPTER VI
PRODUCT OFFERINGS: DESCRIPTION, EVOLUTION, AND JUSTIFICATION

A.

Figure 6.1 Kahon De Himagas Logo

At first glance, there are few things that is perceptible. First, the three different colors. The colors
blue, yellow, and red characterise the color of the Philippine Flag. Since the company’s product
serve different kinds of Filipino delicacies. The Panghimagas Food Company wants to
acknowledge its consumers that the product being consumed is being made locally with local
products. The baybayin words that were written below the name product means “Kahon De
Himagas”. The different box above and below presents the bento box style of the Kahon De
Himagas Packaging. Each product has a its own divider to prevent the food being touch to other
food product that may cause the quality of taste. The spoon, fork, and knife are concluded in the
Kahon De Himagas as it is used when consuming the food. In the bottom right, it is a bite effect
meaning the company’s product a food.

35
B.

Figure 6.2 Product Description

The Panghimagas Company offers different kinds of Filipino delicacies that the culture of being a
Filipino grew into. In a box, there are several delicacies can be seen in the Kahon De Himagas.
The products that are concluded in the box are Ensaymada, Leche Flan, Turon, Puto, Kutsinta,
and Palitaw. These are the product can be seen in the bento box that is a Filipino delicacy that
most Filipino love to eat as a breakfast, snack, meal, and panghimagas. When visiting a public
market, there are delicacy can be seen everywhere that is easily sold. The entrepreneurs decided
to make a box full of delicacies that can be eaten as a meal. The Kahon De Himagas is not only
for desserts, but it can be eaten for a picnic, breakfast, snack, and many more. The Kahon De
Himagas delicacies would be best eaten after a meal, since it is better to eat sweet foods after a
meal. The product can be ordered through online platforms, food delivery application, and
website.

36
C.

The Panghimagas Food Company offers a Filipino-style bento box with a variety of Filipino sweet
treats that caters to the customers' preferences in terms of flavor and sweet treats. The Kahon
De Himagas has its own manufacturer and supplier relationships for product packaging and
ingredients. Customers will receive a consistent, high-quality supply as a result of this. The
company's goal is to build a stronger relationship with customers by providing delicious meals
and encouraging interaction with employees. The company also wants to fully comprehend
the customers' needs and desires. The Panghimagas Food Company can be found on social
media and the internet. Email, cell, and landline hotline are also options available to the company.

Customers can approach us through third-party companies affiliated with us, such as Grab, Food
Panda, Ordermo, and other service apps. The company delivers what the customer wants and
needs, and the panghimagas company meets and exceeds their expectations. Customers who
wish the company's goods can contact the employees directly or utilize a third-party service to
place an order or receive assistance and products. The Panghimagas Food Company product
aims at customers who want more convenient, easy, and reliable service, development, and
service, especially now that the pandemic has hit the community, forcing businesses and various
industries to close temporarily. The company ensures the safety of our customers. As you can
see, the company provides foods that can be easily carried or eaten at any time and in any place.

37
D.

Figure 6.3 Package concept of each product

The Packaging of Kahon De Himagas is made of eco-friendly materials. When you open the box,
there is a banana leaf covering the product to prevent sticking it to the packaging. Each product
has a banana leaf under it to avoid contaminating the flavors of the product with other foods. The
barriers used in the product are made of cardboard paper with banana leaves to prevent the
spreading of the product. The banana leaf is shaped like a box form. Meanwhile, the size is
according to the size of each product in the bento box. On the side, there are three different dips.
Each dips have a disposable dip container. The container has an organizer made of cardboard
paper to prevent the sauces from moving and ruining the products. There is one pack of utensils
at the top of the dips to use when consuming the product. Inside the utensils are a wooden spoon,
fork, and knife with tissue paper.

E.

A competitive advantage sets a corporation apart from its rivals. Higher prices, more customers,
and brand loyalty are all benefits. One of the most fundamental goals of any organization is to
achieve such an advantage. It is critical to corporate success in today's world. Without it,
businesses will struggle to survive. It is based on a product feature that delivers functional utility
to the client. The idea is to pick practical benefits that have the most significant impact on

38
customers and help to stand out from the competition. However, it's vital to remember that
functional improvements are often indistinguishable, easy to imitate, and might limit strategic
options. For example, the phone capabilities of an iPhone, the thirst-quenching properties of a
bottle of water, and the warmth of a wool sweater are all examples of functional benefits.

The self-expressive advantages allow people to express how they feel about themselves. It
strengthens the bond between the brand and the customer by emphasizing something particular
to them. Self-expressive benefits are those that focus on the act of utilizing the product rather
than the emotional advantages that come as a result of using it. The elegance and sense of calm
presented by the Apple iPhone, the raw masculinity shown by the Harley-Davidson motorbike
brand, or the luxury displayed by wearing a Louis Vuitton bag are all examples of self-expressive
benefits. Hence, the Kahon De Himagas has the sense to comfort consumers through the product.

When customers purchase or use a particular brand, emotional benefits give them a good
sensation. They enrich and deepen the brand experience. The "feel-good" element while buying
fair-trade groceries or donating to charities like the Heart & Stroke Foundation are two examples
of emotional advantages. Purchasing local or organic foods has begun to have emotional benefits,
although most brands in these categories are niche brands that enthusiasts only know. A social
enterprise is a business that uses commercial techniques to improve people's economic, social,
and environmental well-being. Social enterprises differ from established companies because they
have commercial and social objectives. Their main goal is to promote, encourage, and effect
social change while remaining financially viable.

Contrary to common assumption, there is no need to choose between having a positive social
influence and making a profit or maximizing financial returns. Companies that want to be
successful in the short and long term are changing their business models to include purpose.
They're increasing profits while also having a positive impact on society. The aim should not be
about a fast-marketing method or campaign or a one-off effort - it should be about a long-term
strategy.

• Better Customer Relationships


• Greater Employee Motivation and Retention
• Increased Creativity
• Increased Productivity

39
• Enhanced Brand Awareness and Reputation

The underlying assumption of a market economy is that supply and demand are the best
determinants of economic growth and health. These market forces determine which goods should
be made, how much should be made, and what price these goods should be sold. These factors
determine other economic decisions, such as how many people a company should employ. The
benefits of a market economy include increased efficiency, productivity, and innovation.

Unlike other types of economy, a market economy increases business efficiency. Governments
are limited in regulating transactions in a market economy, and most of the rules applied aim to
protect consumers, the environment, market participants, and national security. The limited role
of government encourages greater efficiency and free and growing competition. Companies tend
to do whatever it takes to cut costs and achieve higher sales volumes to increase revenue in
competition. As businesses compete against each other, they need to identify ways to gain a
competitive advantage to capture a more significant market share for their product or service. It
leads them to learn how to reduce costs, improve their products and gain additional market share.

40
VII. ENTERPRISE STRATEGY AND ENTERPRISE DELIVERY SYSTEM

The Panghimagas Food Company strategy applies to attain its Goals, Mission, and Vision as it
expounds in a specific community's market. An Enterprise strategy focuses on marketing and
product growth, making food worthwhile. Yet satiety will circulate through advertisements such as
social media, and people to retain its branding with significant innovation and change.

Growth strategy

PANGHIMAHGAS
FOOD
ENTERPRISE
STRATEGY

Functional
Business strategy
strategy

Figure 7.1 Enterprise Strategy

In the first year of the launch product, feedback and change will be implemented for more
sustaining rely on growth, social media, and advertisement, engaging in more community and
urban areas as the business expands before accessing rural areas.

41
The competition will be held in price regulation and the product growth when competing within the
community and urban areas but in the advantage of quality and standard towards employee
leading to acquiring the goals as a company.

Culture based

Kahin De
Himagas

Low-cost High-cost

Sugar-daddy
Savory wings
graham ball

Foreign based

Figure 7.2 Competitive landscape

The operation within the company ensures a reliable, functional operation when conducting the
business, ensuring the stocks and processes are in order. Gaining changes through feedback will
be implemented as the company progress. Things differ the company when being operational.
Communication between employees and customers is in line, making the online services function
as it progresses.

42
• S - A Filipino-style bento box consisting of six cultural food Filipinos fell in love with
and three variations of dips that Filipinos indeed connect with. When it comes to the
upper hand in the market adoption of the food industry, it will gain the advantage in
pricing, hygiene, and ads. Competitive advantage is where society lives in feedback
and quality of the product, knowing the designation of the product.

• W - The Kahon De Himagas product solely relies on canned products to produce the
product, making the taste and quality of the product degrade. Competing against
individuality of taste leads to stagnant growth if management is poorly done. Living as
a franchise will resolve into advertisement if they wish to expand and gain changes.

• O - Since the product relies on the ideal origin, the company finds the opportunity to
see the taste of other cultures when it comes to sweet, fast response, and feedback
will resonate with the customers as they order. The root connects to the past, but the
application is in the future with reliable online services.

• T- one of the things that can lose track of when competing with others is engaging in
a price war. People engaging with the same approach may lead to change feedback
every incursion of similarity. Reliable management when it comes to operation

Figure 7.3 TOWS Analysis

43
INPUT THROUGHPUT OUTPUT MARKETING DESIRED
OUTCOMES
Resources Standard The Kahon De • Positioning • The product
Mobilized: Operating Himagas offered • Product produced is sold
A. Money Procedure & these • Packaging with expected
Delivery: delicacies: • Place generated
B. Manpower & A. The product • Ensaymada • People income & return,
Management is organized by • Leche Flan • Promotion
resources. • Turon • Price • Exposure from
C. Equipment 1. Preparation. • Kutsinta the public using
(Machine) & 2. Food • Puto social media
Tools e.g., processing • Palitaw
Whisk, Oven, 3. Assembly,
• Product
etc. for packaging The Kahon De
satisfaction from
Himgas is ready
customers.
D. Materials B. Packaged to to be delivered
(Packaging) & become an through food
Resources. output delivery
application or for
C. The product pick-up
stock is
processed and
ready to
transport.

Table 7.1 Enterprise Delivery System

44
INPUT

A. FUNITURE AND FIXTURES

Unit Specifications Picture QTY Cost per Total Supplier


Unit
Air Samsung 1 ₱35,995.00 ₱35,995.00 Abenson
Conditioner Split Type 1.5
HP Inverter,
Wind Free
Technology,
Quiet Mode
Cooking Tecnogas 1 ₱31,295.00 ₱31,295.00 Abenson
Range 90cm Range,
5 Gas
Burner, 130L
Oven, Grill
Fluorescent T8 LED Tube 4 ₱140.00 ₱560.00 Eco Shift
Tube Light 16w, Corporatio
4ft, Industrial n
Daylight
Industrial 52 in AC 4 ₱1,995.00 ₱7,980.00 Guandong
Ceiling Fan motor abs Zhongpai
Blade Nickle Electric
Black Ceiling Technolog
Fan CE CB y Co., LTD
Internet PLDT Fibr 1 ₱1,699.00 ₱1,699.00 PLDT
Router Router
Modem

Refrigerator Whirlpool 1 ₱25,195.00 ₱25,195.00 Abenson


10.5 cu ft,
Top Mount,
Inverter

45
Stainless Stainless ₱12,950.00 ₱25,900.00 Belshaw
Steel Prep Steel Prep Adamatic
Table Table ST2
12.5 sq. ft.
with Storage
Stainless Regency 30" ₱12,500.00 ₱25,000.00 Webstaur
Steel x 72" 18- ant Store
Worktable Gauge 304
Stainless
Steel
Commercial
Work Table
with
Galvanized
Legs and
Undershelf
Table & 6 seat Plastic 1 ₱3,487.50 ₱3,487.50 Hangzhou
Bench Foldable Cheers
Outdoor All Furniture
Weather CO., LTD
Picnic
Garden Patio
Party
Camping
Dinning Table
Bench Set
Furniture
Telephone PLDT 1 ₱1,000.00 ₱1,000.00 PLDT
Telephone

Table 7.2 Furniture and Fixture

46
TOOLS AND EQUIPMENT

Unit Specification Picture QTY Cost Per Total Supplier


Unit
Dry Stainless 3 ₱245.00 ₱735.00 All About
Measuring Steel Baking
Cups and Measuring
Spoons Cup and
Spoon Set
Liquid Eurochef 3 ₱95.00 ₱285.00 The SM
Measuring Polypropylene Store
Cup Plastic
Measuring
Cup 500ml
Stainless 21 cm 10 ₱130.00 ₱1,300.00 All About
Steel Bowl Stainless Baking
Steel Bowl
Stainless DK Heavy- 4 ₱250.00 ₱1,000.00 All About
Steel Wire Duty Baking
Whisk Stainless-
Steel Whisk
14"
Steamer 3 Layer 2 ₱1,350.00 ₱2,700.00 Kingkong
Aluminum Kitchenware
Steamer 42 s
cm”
Wok Non Stick 3 ₱689.00 ₱2,067.00 YeahWhate
Wok Pan 40 ver
cm

Tongs Eurochef 4 ₱59.00 ₱236.00 The SM


Stainless Store

47
Steel Food
Tongs 12"
Colander Steel Kitchen 1 ₱189.00 ₱189.00 Hawaii
Hole Dense Home Ph
Mesh Sifter
Colander
Strainer Sieve
Baskets 31.5
cm
Cutting Eurochef 1 ₱327.00 ₱327.00 The SM
Board Bamboo Store
Cutting Board

Can ANAEAT 1 ₱239.00 ₱239.00 Anaeat


Opener Stainless
Steel Manual
Can Opener
Knife Famco 8" 1 ₱397.00 ₱397.00 Famco
Chef Knife,
Stainless
Steel
Grater Eurochef 1 ₱215.00 ₱215.00 The SM
Multi-Purpose Store
6 Sided
Grater, Rust
resistant, 24
cm tall
Peeler Chef's 1 ₱129.00 ₱129.00 The SM
Classics Store
Stainless
Steel Y-
Peeler

48
Wooden Home Zania 2 ₱89.00 ₱178.00 Home Zania
Spatula Wooden
Spatula

Kitchen Eurochef 1 ₱247.00 ₱247.00 The SM


Scissors Heavy Duty Store
Stainless
Steel Kitchen
Multi-Function
Sheers

Table 7.3 Tools and Equipment

49
B. Throughput

Ensaymada

• Mix milk, shortening, sugar, and salt in a mixing bowl.


• Add half of the flour and the bloomed yeast and mix for 3-5 minutes at medium speed until
a paste-like consistency is achieved.
• Add the egg yolks and the rest of the flour and mix for another 3 minutes. Add more flour
if the mixture is too liquid or too sticky, but not too much. The dough is supposed to be
sticky.
• Scrape the sides while folding the dough in the middle of the bowl, and then cover with a
kitchen towel. Let it rest and rise in a warm place for 2-3 hours or until it doubles its size.
• Scrape the sides of the bowl while tipping the sticky dough over to the thinly floured
working surface.
• Roll the dough into a log and cut it into 2. Roll each log again and cut it into 2. Repeat this
process until you end up with 16 slices.
• Using a rolling pin, roll a slice into a rectangle (about 8x4 inches) and brush the surface
with softened butter. Roll it from one end of the long side to the other, creating a long, thin
log, then shape it into a coil (spiral) with the end tucked under.
• Place each coiled dough in a greased mold and rest in a warm place for about 30 minutes
to 1 hour until it has risen to almost double its size.
• Bake them in a preheated oven at 300°F /150°C for 20-25 minutes. Once baked, let them
cool down for a few minutes before removing them from molds. Then let them cool
completely.
• Meanwhile, prepare the buttercream by creaming ½ cup of softened butter and ½ cup
powdered sugar.
• Using a knife or spoon, cover the top of the ensaymadas with buttercream and lastly with
a generous amount of grated cheese.

50
Leche Flan

• Using all the eggs, separate the yolk from the egg white (only egg yolks will be used).
• Place the egg yolks in a big bowl, then beat them using a fork or an egg beater.
• Add the condensed milk and mix thoroughly
• Pour in the fresh dairy and Vanilla. Mix well
• Put the mold (llanera) on top of the stove and heat using low fire
• Put the granulated sugar on the mold and mix thoroughly until the solid sugar turns into
liquid (caramel) having a light brown color.
• Spread the caramel (liquid sugar) evenly on the flat side of the mold
• Wait for 5 minutes, then pour the egg yolk and milk mixture onto the mold
• Cover the top of the mold using an Aluminum foil
• Steam the mold with egg and milk mixture for 30 to 35 minutes.
• After steaming, let the temperature cool down, then refrigerate.

Puto

• Pour the water into a steamer or cooking pot. Let boil.


• Sift flour, sugar, and baking powder. Combine in a bowl. Mix well.
• Gradually add the milk while stirring. Continue to go until the texture of the mixture
becomes smooth.
• Stir in the vanilla extract and half of the cheese.
• Pour the mixture into small to medium-sized molds. Arrange in a steamer. Cover and
steam for 25 minutes. Top each puto with the remaining cheese. Steam for 5 minutes
more.
• Take the steamed cheese puto out of the steamer. Let it cool down.
• Gently remove the puto from the mold with the help of a spatula.
• Arrange on a serving plate.

51
Kutsinta

• In a mixing bowl, combine all the dry ingredients starting from the rice flour, all-purpose
flour, and brown sugar, then mix all the ingredients.
• While mixing, add water gradually and continue to mix until all ingredients are entirely
distributed.
• Add lye water and anatto water (soak the anatto seed in 3 tbsp water), then continue
mixing.
• Place the mixture into individual molds and steam for 40 minutes to an hour.
• Serve with grated or shredded coconut on top.

Turon

• In a mixing bowl, combine powdered sugar and cinnamon; set aside for serving.

• Preheat the frying oil.

• Cut saba into thirds lengthwise, then wrap each slice in lumpia wrappers individually.

• Fry until golden brown in hot oil, stirring occasionally to avoid sticking.

• When the turon is brown and crisp, remove it from the oil and drain on paper towels.

• In the same pan, dissolve the sugar, stirring constantly to avoid lumps, and cook until the
sauce thickens, about 5-8 minutes.

• Increase the heat to high and toss the fried turon in the syrup until it is evenly coated and the
syrup has thickened.

• Toss in the sesame seeds and cinnamon mixture, then serve on a plate.

Palitaw

• Knead Rice Flour and Water in a bowl to make a smooth dough that holds together and
is separated cleanly from the bowl.

52
• With floured hands, pinch off about 1-1/2 tablespoons of the dough, roll into a ball and
flatten into a patty, about 2 to 3 inches in diameter and about 1/4 inch thick.
• Set aside on a dry plate. Repeat with the rest of the dough.
• Put grated coconut in a bowl. Mix sugar and toasted sesame seeds in a separate bowl.
• Bring 2 quarts of water to a boil in a pot. Drop the dumplings into the pot and boil until they
rise and float to the top, about 1 to 3 minutes. Scoop them out with a wire mesh skimmer
and drain.
• Roll the palitaw in coconut shred and then sprinkle generously with sugar and toasted
sesame seeds.

Cheese Dip

• Boil two cups of milk in a pan


• Then put a block of melted cheese
• Wait until it melts but occasionally stir to prevent sticky in the bottom of the pan.
• When it thickens, remove it from heat and wait to warm
• Then it is ready to serve

Ube Dip

• Boil 1000 grams of Ube Kamote until it soft


• Meanwhile, in a separate pan, on low heat, put a butter
• After the butter is melted, put the Condensed Milk of Ube
• Stir occasionally to thicken
• Put milk in the desired amount to prevent the dip from being too sweet.
• After boiling the ube kamote and it is soft, mash it to have a smooth texture
• put it in the pan where the condensed milk is, and stir
• After that, it is ready to serve

Yema Dip

• On a pat with low heat, melt the butter before it reaches being dark brown colored.
• Add in sugar, and stir.

53
• Add in vanilla extract to add an additional flavor
• Then put a whole can of condensed milk and occasionally stir to achieve the color brown
and thick texture
• After it thickens and reaches the color, it is ready to serve.

OUTPUT

Maintaining a positive attitude is everything, and a positive attitude goes a long way in providing
excellent customer service. Be proactively helpful. Going the extra mile is one of the most
essential things to deliver excellent customer service. Demonstrate products from various
perspectives and show future customers how they can benefit. Selling directly to the customer
ensures that product quality, packaging, and pricing are up to standards. Direct selling allows you
to avoid expensive overheads, reduce advertising costs and run your businesses flexibly.
Customers also benefit from the convenience and personal attention they receive from direct
salespeople. Selling through Retailers outlets allows customers to see what they are buying up
close. Instead of online stores, they provide instant gratification because customers immediately
walk away with their purchases. Friendly and helpful staff also helps build customer loyalty,
ensuring that customers return again and again. Promoting the Kahon De Himagas to those who
aren't Filipino to be welcome to Filipino cultures and traditions. The company's product can be a
gift to someone special.

MARKETING

A.

“Experience and share the sweetness in one box”

The company's tagline wants to share with its customers the sweetness of Kahon De Himagas.
The product has everything that a consumers wish to. In one box, there are several Filipino sweet
delicacies they could consume. This is the favorite of everyone that contains Leche flan, turon,
ensaymada, kutsinta, puto, and palitaw. It comes with three dips on the side, ube, yema, and
cheese. In this box, customers can able to share the product with their friends and family. They
could finish it in one sitting with the bite-sized of the product to prevent the mess. The company

54
wants to share and create new memories when eating Filipino sweet treats and remind the Filipino
culture and tradition that all Filipinos grow into.

B.

Figure 7.4 Kahon De Himagas Image

The Kahon De Himagas comes from the inspiration of Japanese cuisine, the bento box. The
company decided to mix Filipino culture delicacies, which is the ensaymada, puto, palitaw,
kutsinta, Leche flan, palitaw, and turon. It comes with different flavors of side dips, and it is ube,
yema, and cheese dips. It is bite-sized that they would enjoy with no mess. These products are
usually seen at parties, public markets, restaurants, etc. Numerous Filipino love these kinds of
food, especially when eaten after a meal. The product's recipe was initially made by the cooks of
the company. The treat is sweet inside and outside, so consumers will appreciate it. It is not too
sweet, primarily because of consumers like the exact sweetness. Some of the meal has a tiny bit
of saltiness that balances the product's flavor. Consumers would have an option to try the three
different dips on the side. It adds up to the taste of the product.

55
C.

Figure 7.5 Kahon De Himagas Packaging Concept

56
The entrepreneurs choose the “Panghimagas Food Company” because the word “panghimagas”
means eating a sweet dessert after a meal. The entrepreneurs introduced it as a food company
to tell customers that the product is nourishment. After eating a meal, it is a Filipino culture that
Filipinos eat desserts such as Leche flan, halo-halo, ice cream, and many more. It became a
tradition to eat these kinds of sweet food. So that individuals can’t be overwhelmed by the food
the company has. The company wants to remember the precious memories of Filipinos often
make after a meal with their family and friends. May it not only remind of the memories with others
but also the cultures that Filipinos grow into.

The “Kahon De Himagas” product offers sweet Filipino meals that everyone will be reminded of
what Filipino can serve to the table. The word “Kahon” is from the packaging itself. The product
packaging is made of hard cardboard materials to stabilize the product. Meanwhile, the term
“himagas” is a dessert eaten after a meal to satisfy individuals and have energy. There are many
sweet products out there in the market. But in this case, all of the sweet desserts you wanted can
be seen in one box. It will be enjoyed by those who have a sweet tooth. It can be a child, a
teenager, an adult, and even a senior citizen.

The Panghimagas Food Corporations abide by the Ecological Solid Waste Management Act of
the Philippines (R.A. 9003), which guides all entrepreneurs' prohibited usage of non-
environmentally Acceptable Packaging (NEAP). The Food Corporation aims for environmental
sustainability as the business pursues its purpose.

We strongly advocate the use of environmentally friendly cardboard boxes and banana leaves as
our primary packaging, which we designed specifically for our food goods. The box packaging
was custom-made to our specifications in terms of size and form, and we used banana leaf
underlay cushioning in the box to keep our container stable because our product may include
liquids. The use of a banana leaf may be sentimental, as it recalls a simpler provincial life in the
past when banana leaves were served as plates for family meals under the tree.

The concept and design of our logo and label for product labeling symbolize Filipinos because
the product takes on the idea of a Japanese bento box-takeaway meal. The term Kahon De
Himagas comes from our interpretation of the bento box, which includes Filipino delicacies. The
graphic designer picked a color palette taken from the Philippine flag of yellow, red, and blue.
With an additional color of white and black, radiating simplicity and elegance, to accent the primary

57
hue. The font on the label was created with a simple aesthetic in mind, and the word Kahon De
Himagas was written in Baybayin, an old Filipino writing system. The term "Kahon De Himagas"
refers to a dessert box.

As the Panghimagas Food Corporation wants to not only be an environmentally friendly company
but also to bring up the best of the Philippines' delights in one package.

D. Factory Location

Figure 7.6 Factory Location

The location of Panghimagas Food Company is located in front of SM Olongapo City Downtown,
Gordon Avenue Street. Many workers, students, and residents walk past this street because it is
a busy street. Usually, around evening, a lot passes through to go home or eat street food. Maybe,
a resident might see an aesthetic place that has tasty food. We have decided to put the store
location in front of SM Downtown to be recognizable in an area. Having a site that individuals
recognize can significantly boost a company's long-term performance. It can influence a retailer's
ability to market itself and deal with its competition from other businesses. The SM downtown is

58
a location where many tourists come by to look for a gift for someone. The Kahon De Himagas is
the perfect gift for someone for a sweet delight.

F. Pricing Strategy

The pricing method used by the company in computing its selling prices is Cost-Plus
pricing strategy. Cost-Plus pricing is the most prominent pricing method because of its basic and
uncomplicated approach. The construct is only composed of two things, the total cost of producing
the product and a reasonable markup that will be applied by the seller / company. Furthermore,
customers find cost-plus pricing to be fundamentally reasonable and even handed, and
businesses or sellers can effortlessly clearly articulate and justify their prices when utilizing this
pricing strategy. Cost-plus pricing, when properly adopted with foresight and caution, may result
in significant competitiveness, increased consumer confidence, reduced danger of price
competition, and consistent, predictable earnings for the business.

Ensaymada
Ingredients Unit as Cost of Unit Amount Extension
Purchased as Purchased Used
All Purpose Flour 1000 g ₱35.00 473 g ₱16.56
Butter 450 g ₱50.00 100 g ₱11.11
Cheese 165 g ₱60.00 128 g ₱46.55
Eggs 24 pcs ₱120.00 3 pcs ₱15.00
Fresh Milk 1000 ml ₱76.00 237 ml ₱18.02
Salt 100 g ₱10.00 5.69 g ₱0.57
White Sugar 1000 g ₱75.00 150 g ₱11.25
Yeast 100 g ₱55.00 14.3 g ₱4.87
No. of Yields :10 Total ₱123.93
Cost per Product: ₱12.40

Table 7.4 Ensaymada Pricing Strategy

Kutsinta

59
Ingredients Unit as Cost of Unit Amount Extension
Purchased as Purchased Used
All Purpose Flour 1000 g ₱35.00 64 g ₱2.24
Annatto Seeds 50 g ₱16.00 16 g ₱5.12
Brown Sugar 1000 g ₱70.00 240 g ₱16.80
Lye Water 350 ml ₱35.00 7.39 ml ₱0.74
No. of Yields: 10 Total ₱24.90
Cost per Product: ₱2.49

Table 7.5 Kutsinta Pricing Strategy

Leche Flan
Ingredients Unit as Cost of Unit Amount Extension
Purchased as Purchased Used
Condensed Milk 300 ml ₱45.00 300 ml ₱45.00
Eggs 24 pcs ₱120.00 8 pcs ₱40.00
Evaporated Milk 370 ml ₱30.00 370 ml ₱30.00
Vanilla Extract 60 ml ₱16.00 4.93 ml ₱1.32
White Sugar 1000 g ₱75.00 175 g ₱13.13
No. of Yields: 10 Total ₱129.45
Cost per Product: ₱13.00

Table 7.6 Leche Flan Pricing Strategy

Palitaw
Ingredients Unit as Cost of Unit Amount Extension
Purchased as Purchased Used
Brown Sugar 1000 g ₱70.00 200 g ₱14.00
Glutinous Flour 500 g ₱45.00 400 g ₱36.00
Sesame Seeds 30 g ₱45.00 15 g ₱22.50
Shredded Coconut 500 g ₱30.00 250 g ₱15.00
No. of Yields: 10 Total ₱87.50
Cost per Product: ₱8.75

60
Table 7.7 Palitaw Pricing Strategy

Puto
Ingredients Unit as Cost of Unit Amount Extension
Purchased as Purchased Used
All Purpose Flour 1000 g ₱35.00 100 g ₱3.50
Baking Powder 50 g ₱25.00 10 g ₱5.00
Butter 450 g ₱50.00 30 g ₱3.33
Cheese 165 g ₱60.00 30 g ₱10.91
Fresh Milk 1000 ml ₱76.00 270 ml ₱20.52
Vanilla Extract 60 ml ₱16.00 1.23 ml ₱0.33
White Sugar 1000 g ₱75.00 110 g ₱8.25
No. of Yields: 10 Total ₱51.84
Cost per Product: ₱5.20

Table 7.8 Puto Pricing Strategy

Turon
Ingredients Unit as Cost of Unit Amount Extension
Purchased as Purchased Used
Banana saba 1000 g ₱35.00 500 g ₱17.50

Brown Sugar 1000 g ₱70.00 192 g ₱13.44

Cinnamon powder 30 g ₱50.00 30 g ₱50.00

Cooking oil 348 ml ₱60.00 348 ml ₱60.00


/3
Lumpia wrapper 20 pcs ₱45.00 10 pcs ₱22.50

Sesame seed 30 g ₱45.00 15 g ₱22.50

No. of Yields: 10 Total ₱145.94


Cost per Product: ₱14.60

Table 7.9 Turon Pricing Strategy

61
Cheese Dip
Ingredients Unit as Cost of Unit Amount Extension
Purchased as Purchased Used
Fresh Milk 1000 ml ₱76.00 355 ml ₱26.89
Quick Melt Cheese 165 g ₱90.00 165 g ₱90.00
No. of Yields: 22 Total ₱116.89
Cost per Product: ₱5.31

Table 7.10 Cheese Dip Pricing Strategy

Ube Dip
Ingredients Unit as Cost of Unit Amount Extension
Purchased as Purchased Used
Butter 450 g ₱50.00 450 g ₱50.00
Condense Milk (Ube) 300 ml ₱50.00 23.2 ml ₱3.87
Fresh Milk 1000 ml ₱76.00 237 ml ₱18.02
Ube Kamote 1000 g ₱35.00 1000 g ₱35.00
No. of Yields: 11 Total ₱106.89
Cost per Product: ₱10.69

Table 7.11 Ube Dip Pricing Strategy

Yema Dip
Ingredients Unit as Cost of Unit Amount Extension
Purchased as Purchased Used
Butter 450 g ₱50.00 30 g ₱3.33
Condensed Milk 300 ml ₱45.00 300 ml ₱45.00
Vanilla Extract 60 ml ₱16.00 1.23 ml ₱0.33
White Sugar 1000 g ₱75.00 50 g ₱3.75
No. of Yields: 10 Total ₱52.41

62
Cost per Product: ₱5.24

Table 7.12 Yema Dip Pricing Strategy


Packaging Materials
Ingredients Unit as Cost of Unit Amount Extension
Purchased as Purchased Used
Banana Leaf 2 pcs ₱10.00 2 pcs ₱10.00
Carton Box 3 pcs ₱15.00 3 pcs ₱15.00
Sauce / Dips Container 10 pcs ₱30.00 6 pcs ₱18.00
Sticker Paper 5 pcs ₱20.00 2 pcs ₱8.00
Wooden Cutleries Set 2 pcs ₱14.00 2pcs ₱14.00
No. of Yields: 2 Total ₱65.00
Cost per Item: ₱32.50

Table 7.13 Packaging Materials Pricing Strategy

At Cost
Offered: By Box
Products Quantity Cost of Ingredients Cost
Per Box Per Product
Ensaymada 2 pcs ₱12.40 ₱24.80
Kutsinta 3 pcs ₱2.49 ₱7.47
Leche Flan 1 pc ₱13.00 ₱13.00
Puto 3 pcs ₱8.75 ₱26.25
Palitaw 3 pcs ₱5.20 ₱15.60
Turon 3 pcs ₱14.60 ₱43.80
Cheese Dip 1 pc ₱5.31 ₱5.31
Ube Dip 1 pc ₱10.69 ₱10.69
Yema Dip 1 pc ₱5.24 ₱5.24
Total ₱152.16

Table 7.14 Cost by Box Pricing Strategy

63
With Packaging
Offered Total Cost of Ingredients Cost of Packaging
By Box ₱152.16 ₱32.50
Total ₱184.66

Table 7.15 Packaging Pricing Strategy

With Expenses
Offered Labor Cost Utilities Transportation
By Box ₱184.66 ₱21.57 ₱13.60 ₱1.23
Total ₱221.06

Table 7.16 Expense Pricing Strategy

With Mark Up
Offered Markup
By Box ₱221.06 ₱47.94 (21.68%)
Total ₱269.00

Table 7.17 Mark Up Pricing Strategy

Selling Price
Offered By Box
Cost of Ingredients ₱152.16
Packaging ₱32.50
Expenses ₱36.40
Markup (21.68%) ₱47.94
Selling Price ₱269.00

Table 7.18 Selling Price Pricing Strategy

1 Box Contains:

64
• 8 – 16 delicacies
• 3 Sauce Dips
• 1 set of Wooden Cutleries

G.

Counter attendants welcome customers into establishments, who show them to their seats and
facilitate them with any requests they may have. Shops, cafeterias, and restaurants employ
counter attendants to take orders. The counter staff listens carefully to customers to ensure
correctness when taking requests and shows outstanding concern skills. A top-tier counter
attendant should always strive to provide exceptional customer service. It should be able to
enthusiastically and descriptively explain menu items to customers, as well as be knowledgeable
about the ingredients so that they can inform the customers about the commitment to quality,
local, organic food sources. They ask customers if they want their order to be picked up or
delivered and explain that all to-go orders are packaged in environmentally friendly, compostable
materials.

Having received payments, issuing receipts, and keeping track of all cash and credit transactions
are all responsibilities of a cashier. To be successful in this position, an employee should have
previous customer service experience and a thorough understanding of cash registers. As like
counter attendants, cashiers also answer potential buyers' questions about products, suggest
alternatives for items they've chosen, and address customer concerns when they return an item.
A great cashier is detail-oriented, customer-oriented, and knowledgeable about the products in
the store. The company chooses an employee that can be trusted when handling the company's
money.

The responsibilities of a food packer include prepping and packing food for distribution and sale.
They are responsible for ensuring the food in the packaging is clean and putting it appropriately
before putting the different kinds of delicacies. They also conduct final checks for deficient foods
and other issues to ensure that all of Kahon De Himagas' treats are safe for customers. Before

65
putting any food, they provide the product's sturdy packaging and have no deficiencies. According
to company policy, any defective items and food must be discarded.

The company is looking for a talented chef who is passionate about creating delicious meals for
the customers. It will be in charge of creating the menu, ensuring that each dish is nutritious and
cost-effective, and working with a team of kitchen staff to ensure that food meets the highest
quality standards. To be successful in a role as a chef, individuals must be strong leaders with
excellent organizational skills and time management. It ensures that all dishes are cooked
perfectly and presented in an appealing way.

Bakers create baked goods by combining their knowledge of ingredients and food preparation.
They weigh and mix raw ingredients, bake and decorate items, and ensure that all-natural and
finished goods meet quality and food safety requirements. To be a successful baker, one must
be quick and friendly, emphasizing food quality and customer satisfaction. It should be well-
organized, decisive, attentive, and well-versed in baking techniques.

A kitchen assistant will clean the refrigerators, tables, utensils, cabinets, and other kitchen items
used in the food preparation process. While assisting the kitchen staff, a kitchen assistant may
be required to wash dishes and silverware. They may also be expected to clean pots, pans, and
other kitchen appliances. Kitchen Assistants must ensure that the kitchen is clean and well-
maintained. When working in a kitchen, the floor area gets dirty quickly and must be kept clean
to avoid becoming a safety hazard. And to prevent the other employees from going into an
accident.

A storage operator is in charge of receiving, processing, storing, and dispatching inventory by


purchase orders and shipping schedules. They are responsible for loading orders onto trucks and
shipping containers, organizing incoming stock, and labeling outgoing packages. To make sure
there is no problem in the box of food and packaging.

66
H.

The Panghimagas Food Company offers the product Kahon De Himagas. It is a Filipino-style
bento box that contains different kinds of Filipino delicacies inside this. This is the best to eat for
those Filipinos who love sweet Filipino treats. This could be seen on any social media platform.
Contact any staff or live agent with any concerns or questions about the product of Kahon De
Himagas. The company will have a daily promotion about its effects.

The Panghimagas food firm uses techniques and plans to execute and persuade people to
purchase the items through promotion, a sort of marketing communication intended to teach
target audiences about the relative benefits of the product, which is usually persuasive.

The promotion expense of the company is ₱4,536.61 monthly and ₱54,439.30 in the first year of
the company; ₱4,808.78 monthly and ₱57,705.34 in the second year of the company; and
₱5,049.22 monthly and ₱60,590.61 in the second year of the company; Promotional costs include
freebies, free samples, and other promotional maneuvers used to increase sales and income.

67
CHAPTER VIII
FINANCIAL FORECAST: EXPECTED RETURNS, RISKS, CONTINGENCIES

Customer Demand

Out of 180 Respondents

Disikes the Comapany's Products

Likes the Comapany's Products

0 20 40 60 80 100 120 140 160 180

Customer Strata

Everyday

Thrice a Week

Twice a Week

Once a Week

Occasional Buyers

0 20 40 60 80 100 120

Estimated Customers per week: (2 x 7) + (5x 3) + (9 x 2) + (25) = 72


Estimated Customers per month: (288 x 4) + (114) = 633

Figure 8.1 Customer Demand

68
Customer's Product Preference

Yema Dip

Ube Dip

Cheese Dip

Turon

Puto

Palitaw

Leche Flan

Kutsinta

Ensaymada

0.00% 10.00% 20.00% 30.00% 40.00% 50.00% 60.00% 70.00% 80.00%

Figure 8.2 Customer’s Product Preference

A. Sales Volume

Annual Sales Volume


Year Products Sold Price per Annual
Daily Monthly Yearly Product Revenue
2022 21 630 7,560 ₱269.00 ₱2,033,640.00
2023 22 660 7,920 ₱269.00 ₱2,130,480.00
2024 23 690 8,280 ₱269.00 ₱2,227,320.00

Table 8.1 Annual Sales Volume

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Year 1 (2022)

The Panghimagas Food Company increases its sales by gathering feedback from its customers,
as well as giving free taste. Feedback is the information submitted by customers on their
satisfaction or dissatisfaction with a product or service, as well as their overall experience with a
company. Their feedback on the product is valuable information that the enterprise would utilize
to develop the product to better suit their preferences. Customer input aids in the improvement of
products and services. Companies frequently utilize product freebies or encouraging potential
customers to sample a product to market household items. The company gives free marketing
material to persuade customers to try new items. By delivering samples, the enterprise can entice
customers to purchase things that they may not have considered previously. It provides buyers
with a notion of direct experiences with an unknown product before they make a purchase
decision.

To showcase the products, the enterprise will set up social media pages. Social media connects
with a network of prospective buyers who might perceive the firm from a unique outlook. The
social network demonstrates a company that is more actively in touch with individuals. The
enterprise may also offer a giveaway on Facebook or Instagram to attract new clients who are
keen in the products. Since the enterprise’s product is aesthetically beautiful in a sense that
lends itself to being captured for social media activity, the product is expected to be widely
known in social media.

Year 2 (2023)

For the second year, the enterprise will strengthen its social media presence and
advertisements without being too assertive. The company will start to create blogs, vlogs and
short videos; this strategy expects to add 4.76% on the enterprise’s annual sale. Practically every
company has used the large customer base and resources of social media platforms to achieve
its objectives. The enterprise's competitors are heading straight for that as well, which means
missing out over this social media branding strife may cost a lot of money. It is time to re-energize
the enterprise’s existing social media marketing efforts and brand appeal in order to promote
progress and improved outcomes for the enterprise. The ideas described herein (blogs, vlogs and
short videos) are by far the most efficient and successful methods for increasing social selling

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and improving branding. For the second year, the enterprise will strengthen its social media
presence and advertisements without being too assertive. The company will start to create blogs,
vlogs and short videos; this strategy expects to add 6% on the enterprise’s annual sale. Practically
every company has used the large customer base and resources of social media platforms to
achieve its objectives. The enterprise's competitors are heading straight for that as well, which
means missing out over this social media branding strife may cost a lot of money. It is time to re-
energize the enterprise’s existing social media marketing efforts and brand appeal in order to
promote progress and improved outcomes for the enterprise. The ideas described herein (blogs,
vlogs and short videos) are by far the most efficient and successful methods for increasing social
selling and improving branding.

Year 3 (2024)

For Year 3, the Panghimagas Food Company will held seasonal raffle promos (digital) and
freebies to increase its sales as well as a way to express the enterprise’s gratitude towards its
customers. Raffle tickets are great method in fundraising programs; it is also a good marketing
tool. Raffle contest are fairly simple, a customer buys a product from a company and they will be
in for the contest, the prizes vary every season /occasion. By implementing this strategy, the
enterprise is expecting a minimum of 4.54% increase in its sales. Furthermore, by using digital
raffle promos, the enterprise is keeping its waste and expenses low.

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B. Income Statement

Panghimagas Food Company


Income Statement
For the Year Ended December 31,2022
Sales ₱ 2,033,640.00
Less: Cost of Sales 1,396,029.00
Gross Margin ₱ 637,611.00
Less: Expenses
Labor Cost 163,069.20
Advertising Expense 32,280.00
Utilities Expense- Electricity 48,000.00
Utilities Expense-Water Bill 36,000.00
Utilities Expense-Internet Bill 20,388.00
Operating Expense- LPG 18,816.00
Transportation Expense 8,678.88
Executive Salary 216,000.00
Total Expenses 543,232.20
Income (Loss) ₱ 94,378.80

Table 8.2 First year Income Statement

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Panghimagas Food Company
Income Statement
For the Year Ended December 31,2023

Sales ₱ 2,130,480.00
Less: Cost of Sales 1,462,507.00
Gross Margin ₱ 667,972.80
Less: Expenses
Labor Cost 163,069.20
Advertising Expense 13,800.00
Utilities Expense- Electricity 48,000.00
Utilities Expense-Water Bill 36,000.00
Utilities Expense-Internet Bill 20,388.00
Operating Expense- LPG 16,976.00
Transportation Expense 8,678.88
Executive Salary 216,000.00
Total Expenses 522,811.20
Income (Loss) ₱ 145,161.60

Table 8.3 Second year Income Statement

Rationale for Changes in Year 2 Income Statement:


• Advertising expense decreased because the enterprise’s advertisement activities were all
held online which cost less.
• LPG decreased retail price by ₱50 per tank which lowered the operating expense.

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Panghimagas Food Company
Income Statement
For the Year Ended December 31,2024

Sales ₱ 2,227,320.00
Less: Cost of Sales 1,528,984.80
Gross Margin ₱ 698,335.20
Less: Expenses
Labor Cost 163,069.20
Advertising Expense 33,800.00
Utilities Expense- Electricity 48,000.00
Utilities Expense-Water Bill 36,000.00
Utilities Expense-Internet Bill 20,388.00
Operating Expense- LPG 16,976.00
Transportation Expense 8,678.88
Executive Salary 216,000.00
Total Expenses 542,911.20
Income (Loss) ₱ 155,424.00

Table 8.4 Third year Income Statement

Rationale for Change in Year 3 Income Statement:


• Seasonal raffles were used as marketing tool which increased the advertisement expense.

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C. Return on Sales

Income
ROS =
Sales

Year Income Sales ROS


1 (2022) ₱94,378.80 ₱2,033,640.00 4.64%
2 (2023) ₱145,161.60 ₱2,130,480.00 6.81%
3 (2024) ₱155,424.00 ₱2,227,320.00 6.98%

Table 8.5 Return on Sales

D. Payback Period

Year 1 (2022)
Investors Investment
Abanes ₱21,325.94
Almendo ₱21,325.94
Aniceto ₱21,325.94
Cuadro ₱21,325.94
Del Rosario ₱21,325.94
Dela Paz ₱21,325.94
Garcia ₱21,325.94
Gaspar ₱21,325.94
Total Investment ₱170,607.52
Annual Net Income after Taxes ₱94,378.80
Payback Period 1 Year and 10 Months

Table 8.6 Payback Period

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E. Business Risks and Financial Risks

FINANCIAL RISK

MARKET RISK CREDIT RISK LIQUIDITY RISK CREDIT RISK

Sovereign
Aboslute Risk Asset Liquidity Fraud Risk
Risk

Settlement Funding
Basis Risk People Risk
Risk Liquidity

Non-
Credit Event Model Risk
directional

Directional Legal Risk

Relative Risk

Volatility Risk

Figure 8.3 Financial Risk

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Cashflow

At first, one of the most pressing concerns is cash flow. Individuals need to think about where
they will get the money to keep things running, pay personnel, and invest in the market pen above.
It runs the risk of cash flow risk from financing activities. Loans, money issue traction, and
expansion. When the entrepreneurs obtain the funds to balance out, the two cash flow risk
instances described through bonds and shares and money issued by shareholders are all
examples of cash. However, this cash flow risk still leaves individuals with a hole to fill.

Market Risk

The possibility that an individual or other entity will experience losses due to factors that affect
the overall performance of investments in the financial markets. The market risk capital rule, which
establishes regulatory capital requirements for bank holding companies and state member banks
with high exposure to certain market risks, is concerned with the exposure of a bank's current and
future earnings and capital due to adverse interest rate movements.

Credit Risk

The risk of losing money if a borrower fails to repay a loan or meet contractual obligations. It
conventionally refers to the chance that a lender will not receive the owed principal and interest,
resulting in a cash flow interruption and increased costs. When a borrower does not have enough
cash flow to pay a creditor or does not have enough assets to liquidate to make a payment, the
interest rate is considered to be higher. The lender is more likely to demand compensation in the
form of a higher rate of interest if the risk of nonpayment is higher. A loan or an account receivable
are typically used to extend credit. Credit risk can lead to the loss of both interest and unpaid
principal on an unpaid loan, whereas there is no loss of interest on an unpaid account receivable.
In both cases, the creditor may be subject to additional collection costs.

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Liquidity Risk

A business will face a liquidity crisis and eventually become insolvent without proper cash flow
management and sound liquidity risk management. The risk of incurring losses as a result and
being unable to encounter payment obligations when they become due in such a timely manner
or at a financially viable cost. When attempting to obtain financing, a history of late debt repayment
and/or non-compliance with loan covenant requirements may pose additional challenges. As a
result, good capital structure management, matching debt maturity profiles to assets, and
maintaining a good relationship and regular communication with lenders are critical.

Operational Risk

The risk of business operations being disrupted by flawed processes, policies, systems, or events.
Employee errors, criminal activity such as fraud, and natural disasters are instances of operational
risk. This includes the institution’s inability to attract, manage, motivate, develop, and retain
competent resources, which frequently leads to human errors, fraud, or other unethical behavior,
both internally and externally. Internal system failure can result in financial losses and poor social
performance. Inter-branch connectivity, management information and core banking systems,
information technology systems, power backup systems, and other technical systems are all
included in this.

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BUSINESS RISK

Liability

Liability risks include employee or customer injuries, property damage, and failure to satisfy
contractual duties in our workspace, resulting in costly litigation and fines for small businesses.
Whether or not at fault, being held liable or responsible for actions or words that result in a direct
or indirect financial loss.

Economic Risk

The economy is constantly changing as the markets fluctuate. Some positive changes are suitable
for the economy, which lead to booming purchase environments, while adverse events can
reduce sales. It's important to watch changes and trends to identify and plan for an economic
downturn. It is entirely out of control because it relies on another institution's creditworthiness to
pay its debts. The counterparty's business operations must be monitored regularly to ensure that
financial transactions are completed on time and without the risk of the counterparty failing to pay.

Compliance Risk

Business owners face an abundance of laws and regulations they need to comply with. For
example, recent data protection and payment processing compliance could impact how you
handle certain aspects of your operation. Staying well versed in applicable laws from federal
agencies like the Occupational Safety and Health Administration (OSHA) or the Environmental
Protection Agency (EPA) and state and local agencies can help minimize compliance risks.

Security and Fraud Risk

As more customers use online and mobile channels to share personal data, there are also more
significant opportunities for hacking. News stories about data breaches, identity theft, and
payment fraud illustrate how this type of risk grows for businesses.

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This risk impacts trust and reputation, but a company is also financially liable for any data
breaches or fraud. To achieve effective enterprise risk management, focus on security solutions,
fraud detection tools, and employee and customer education about how to detect any potential
issues.

Financial Risk

This business risk may involve credit extended to customers or your own company's debt load.
Interest rate fluctuations can also be a threat. Adjusting your business plan will help you avoid
harming cash flow or creating an unexpected loss. Keep debt to a minimum and create a plan to
lower that debt load as soon as possible. If you rely on all your income from one or two clients,
your financial risk could be significant if one or both no longer use your services. Start marketing
your services to diversify your base so the loss won't devastate your bottom line.

Reputation Risk

There has always been the risk that an unhappy customer, product failure, negative press, or
lawsuit can adversely impact a company's brand reputation. However, social media has amplified
the speed and scope of reputation risk. Just one negative tweet or lousy review can decrease
your customer following and cause revenue to plummet.
To prepare for this risk, leverage reputation management strategies to regularly monitor what
others are saying about the company online and offline. Be ready to respond to those comments
and help address any concerns immediately. Keep quality top of mind to avoid lawsuits and
product failures that can damage your company's reputation.

Operational Risk

This business risk can happen internally, externally, or involve factors. Something could
unexpectedly occur that causes you to lose business continuity. That unexpected event could be
a natural disaster or fire that damages or destroys your physical business. Or, it might involve a
server outage caused by technical problems, people, or a power cut. Many operational risks are
also people-related. An employee might make mistakes that cost time and money. Whether it's a
people or process failure, these operational risks can adversely impact your business regarding

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money, time, and reputation. Address each of these potential operational risks through training
and a business continuity plan. Both tactics provide a way to think about what could go wrong
and establish a backup system or proactive measures to ensure operations aren't affected.

Competition Risk

While a business may be aware that there is always some competition in their industry, it's easy
to miss out on what companies offer that may appeal to your customers.
In this case, the business risk involves a company leader becoming so comfortable with their
success and the status quo that they don't look for ways to pivot or make continual improvements.
The increasing competition combined with an unwillingness to change may result in a loss of
customers. Enterprise risk management means a company must continually reassess its
performance, refine its strategy, and maintain solid interactive relationships with its audience and
customers. Additionally, it's essential to keep an eye on the competition by regularly researching
how they use online and social media channels.

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IX. ENVIRONMENTAL AND REGULATORY COMPLIANCE

Laws in Waste Management

The laws in waste management that the Panghimagas Food Company follow is the Republic Act
(RA) 9003, otherwise known as the Ecological Solid Waste Management Act of 2000. RA 9003
declares the state's strategy of implementing a systematic, comprehensive, and ecological solid
waste management program that protects public health and the environment. Proper sorting,
collection, transport, storage, treatment, and disposal of solid waste through the development and
adoption of best environmental practices in the company. Furthermore, the business will
demonstrate the potential and benefits of recycling to customers in addressing waste
management issues and poverty alleviation.

Regarding the Ecological Solid Waste Management Act of 2000, the business and the team will
observe environmental and regulatory compliance by doing so with rules within the waste
(packaging) a customer should throw their junk on specified trashcans or trash bins with
acknowledgment of proper waste segregation. The Regulation strives to ensure effective waste
management, from generation to disposal. For that purpose, the Regulation includes rules for
waste reduction, reuse, and recycling.

Business Permits, Licenses, and Authority

The company will obtain a business permit or mayor's permit from the Local Government Unit
(LGU) required to begin the "Panghimagas Food Company." The access shows that it is a genuine
business approved by the local authority and permitted to operate, thus, giving customers
confidence in the enterprise. This matter is significant for the Panghimagas Food Company.

Regarding the business, are requirements to get the permit are: Certificate of Business Name to
register in Department of Trade and Industry; Articles of Partnership from Securities and
Exchange Commission contract in which company partners agree to pool labour and capital and
share profit, loss, and liability; Certificate of Registration from the Cooperative Development
Authority, an official document granting the possessor the legal permission to conduct business

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in the Philippines; Barangay Business Clearance; Authorization letter of owner with ID, a copy or
record that acts as proof of ownership of a property; Sketch of the business location; Occupancy
permit to assure the house or building is in a suitable living condition considering its compliance
to the provisions of the code and to the submitted plans and specifications; Community Tax
Certificate paid in place of residence of the individual or in the area where the principal office of
the juridical entity is located; Public Liability Insurance will cover the cost of the legal defence,
plus any compensation or settlement money you have to pay out; Zoning Clearance issued to
business owners that serve as a pre-requisite document in issuance of Business Permit to
guarantee that the business is in compliance with the Zoning Ordinance; Fire Permit an assurance
that a particular facility, structure or building/occupancy has been duly inspected and deemed
complying to the Fire Code of the Philippines or RA 9514; and Sanitary Permit to make sure they
observe the standard of the Sanitary Code of the Philippines.

STRENGTHENING SECTOR POLICIES FOR BETTER FOOD SECURITY AND


NUTRITION

Appropriate market forces and trade patterns for food imports and exports are required to prevent
food loss and waste. Food safety appears to be an opposing driver of food availability. If large
quantities of food are disposed of because they are considered unsafe, the amount of food
available is reduced.

Furthermore, the abrupt introduction of new food safety requirements Includes regulatory limits
for contamination or new food safety management systems that food businesses must implement
into their daily routines. It could result in food shortages, disrupt market supply, and increase food
prices if they are particularly stringent and unexpected by stakeholders in the value chain.
Effective food safety governance necessitates collaboration between public authorities and the
private sector to ensure the food in the supply chain is safe. A national food control system serves
this purpose. Food control systems are illustrated in Box 5 with some key concepts. Food
producers are responsible for producing safe and high-quality products.

Consumers need assurance from the government's food control authorities that they have
established and will enforce food quality and safety standards. These same agencies must work
cooperatively and collaboratively with food producers to ensure the safety and quality of exports

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using appropriate inspection, evaluation, and accredited methods. An effective food control
system must be scientific, with a strong emphasis on risk assessment, prioritizing the risks with
the highest potential impact in terms of resources and activity.

The system must also be proactive to prevent rather than correct risks. This is especially important
for food security because it prevents food products from being withdrawn, discarded, or
destroyed. After all, they do not meet regulatory requirements, which harms the food supply.
Furthermore, the governance system necessitates information sharing and cooperation at all
levels – national, regional, and international – mainly when foods are traded internationally.

The Panghimagas Food Company will observe the protocols with integrity to ensure that legal
duties are followed, avoiding needless or unintended environmental consequences.

The Panghimagas food company will observe the protocols with integrity to guarantee that legal
duties are followed, avoiding needless or unintended detrimental environmental
consequences.Observing with candid response to modern problems is needed with ease to
solutions, such keys for maintaining values like:

Preserving is a Responsibility

Buy carefully and recycle to limit the amount of waste you generate through recycled packaging;
to protect the environment and promote economic circles, it can save resources, reduce pollution,
promote public health, and create jobs. It saves money, prevents landfills, and is simple to
implement.

Composting for Good

Consumers should know the advantage of the product with compost advantages of used Banana
leaves, carton boxes, and wooden utensils. While composting takes more work, it will deliver a
favorable return on time and effort invested. The organic matter will also function as a sponge,
absorbing more water, in which the consumer won't have to water their plants as frequently,
saving money and time.

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Evolution to 21st Century

Reducing the consumption of paper, including mail, and receipts; With today's technological
advantages, the business will send invoices through email and other forms of transmitting the
information. The company will also be giving e-receipts, which are favorable since they are less
likely to be misplaced if needed to return anything.

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X. CAPITAL STRUCTURE AND FINANCIAL OFFERING: RETURN AND BENEFITS OF
INVESTORS, FINANCIERS, AND PARTNERS

A. Source of Capital

Capital structure Construct to determine its overall funds to have an operational business a
combination of Debt and Equity company use to finance its, overall growth and long-term
operations Allowing business analyst to oversee the value and the capital to identify the proportion
of Equity and debt. Kahon De Himagas relies on the capital structure of prioritizing the company
Increase debt, increase equity.

𝑑𝑒𝑏𝑡 = 𝐷𝑒𝑏𝑡 / 𝐷𝑒𝑏𝑡 + 𝑒𝑞𝑢𝑖𝑡𝑦

𝐸𝑞𝑢𝑖𝑡𝑦 = 𝐸𝑞𝑢𝑖𝑡𝑦 / 𝐷𝑒𝑏𝑡 + 𝑒𝑞𝑢𝑖𝑡𝑦

B. Feasibility of the business

The Kahon De Himagas will be able to reach its standards as long it is operational, the
company rely on its quality, feedback, implementation, and change. The company are able to
sustain its target market when the proposition of an attainable concern is met. Implying the
GOALS, VISION and mission as the company progress in the market. The first year will be engage
in marketing as it grows the evaluation of profit until it engages in 2nd year for innovation

C. Prospect of the Investor

The company investors are led by personal investors that wish to grow and be part of
the company for one year, with a total investment of ₱332,183.84. This pre-seed round will
circulate through ads and changes when innovating products. As the stocks are held, the
company will be feasible through the upcoming year. The return investment will be handed in
the eight-month payback period as the company grows. Implying updates through the investor
and financial stability as it progresses

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Year 1 (2022)
Investors Investment
Abanes 13%
Almendo 12%
Aniceto 12%
Cuadro 12%
Del Rosario 12%
Dela Paz 15%
Garcia 12%
Gaspar 12%
Company stock 100%

Table 10.1 Prospect of Investor

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XI. CORPORATE SOCIAL RESPONSIBILITY

Corporate charity donations and pleasant company culture have a strong link. Employees are
happier to work for a company that cares about the community because charitable giving boosts
their respect and attachment to their employer. Corporate charity donations and pleasant
company culture have a strong link. Employees are happier to work for a company that cares
about the community because charitable giving boosts their respect and attachment to their
employer. Employee engagement is improved by charitable giving, which increases productivity,
ethical behaviour, gratitude to the employer, and pride in their work. Employee morale will
naturally rise as they become more engaged in their work and more satisfied with the corporate
culture. Corporations offer money, capabilities, and alliances to charitable causes through
context-focused philanthropy in ways that enhance their own competitive edge. They generate
significantly more social—and economic—benefits than individuals, charities, or governments.
Giving to charity is a selfless act. Thus, it will boost your self-esteem and self-worth. Giving money
to charity will provide individuals with a higher sense of fulfilment and progress since it feels terrific
to serve others and supply them with all of the resources they need. Concerning the business's
stated objective of prioritizing local products: First and foremost, it is critical to recognize that just
because something is made locally does not imply that it is ecologically beneficial. The benefits
of local production may be offset if resources or equipment need to be transported to manufacture
the product. The energy and efficiency situation could also be of concern, creating more
headwinds for local businesses. Consequently, the advantages of purchasing local products
extend beyond your community, promoting a more sustainable and safer environment by lowering
carbon emissions and waste. When you shop locally, you are helping your neighbours. You
contribute to job creation.

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