A Feasibility Study of

Tea of Heaven
By:
Bauzon, Paul Jykyll R.
Avila, Christian
Ducusin, Elton John
SUMMARY OF THE PROJECT
NAME OF THE FIRM
The business will carry the name Tea of Heaven. It is the
shop that offers quality standard product. The word ‘tea’
definitely connotes its natural meaning pertaining to a
fruit or milk tea that contains polyphones, which are
naturally occurring compounds that act as antioxidants.

LOCATION OF THE FIRM

Tea of Heaven will be strategically located at Mintal,
Davao City. This location is expected to be an effective
location because there will be no competitors that offers
the same product and services which the establishment
shall cater. The location is near in market where many
people visit, wander and purchase which are exactly
thirteen thousand two hundred twenty-seven (13,227)
populations.
VISION
Our vision is to help create the best tasting teas
that marked as one of the shop’s highly reputable
market that could attract visitors within the Mintal
district as well as from other places in Davao, City.

MISSION
Our mission is to help create a different milk tea
drinking experience that would leave customers
satisfied and looking forward to more. Moreover,
the business aims to go on extra mile in giving its
clients the ultimate revitalizing stay by offering
luscious milk or fruit tea beverages providing
efficient and friendly service a midst, a clean and
cozy environment.
SUMMARY OF THE FINDINGS
MARKETING ASPECT
Marketing strategies like local fliers, tarpaulins, banners and pre-
opening promos are appropriate for advertising the business in
the market.
TECHNICAL ASPECT
The proposed business will require a fully built building with an
area of 40 square meters. Materials and other supplies will be
obtained from the manufacturers which we have selected.
FINANCIAL ASPECT
The amount of the 450,000 is substantially enough to put up the
proposed project of Tea of Heaven. Based on the projection as
depicted by the financial statements the proposed project is kind
productivity on profitable undertaking.
SOCIO-ECONOMIC ASPECT
The Tea of Heaven is under small business which creates impact
to the society. First to the customers to fill their satisfaction,
second is to the government for paying taxes and lastly to the
proposed business because it generates employees.
CHAPTER I
Tea of Heaven came into existence in Taiwan, when the
beverage was created during the 1980’s. Although it is
known which exact Taiwanese shop is the creator of Tea of
Heaven, several shops are speculated to be the origin. One
possible origin is Chun Shui Tang tea house in Taichung,
where Ms. Lin Hsui Hui (product development manager)
poured sweetened tapioca balls into the tea during a meeting
in 1988. The beverage was well received by the people at the
meeting, leading to its inclusion on the menu, ultimately
becoming the franchise’s top-selling product. An alternative
origin is the Hanlin tea house in Tainan, Taiwan, owned by
Tu Tsong-he. He made tea traditional white tapioca, which
has the appearance of pearls, supposedly resulting in so-
called “pearl tea”. Shortly after, Hanlin changed the white
tapioca balls to black version that is seen most today. The
drink became more popular in most parts of east and
southeast during the 1990’s.
ORGANIZATIONAL DEFINITION OF TERMS
1. TEA Contains polyphenols, which are
naturally occurring compounds that acts as
antioxidants for disease prevention and
treatment of many health-related illnesses.
2. FRUIT TEA. A hot or cold beverage consisting
of fruit extract and shall amount of brewed tea.
3. MILK TEA. A beverage that is a mixture of
milk and brewed tea which can either be served
hot or cold.
4. Tea of Heaven
• TEA. Recipes that contain a tea base mixed
with fruit or milk.
• Heaven. A place to rest.
CHAPTER II MANAGEMENT STUDY
FORM OF BUSINESS ORGANIZATION
The Researchers chose partnership as the form of business organization.
CAPITALIZATION
The initial capital of the partnership shall four hundred fifty pesos and zero centavos
pesos (P 450,000.00), Philippine Currency contributed in cash by the partners as
follows:

Table 1
Amount Contribution

Amount
Name
Contribution
Bauzon, Paul Jykyll 200,000.00
Avila, Christian 150,000.00
Ducusin, Elton 100,000.00
Total 450,000.00
ORGANIZATION CHART
This organization chart or structure is based on direct flow of authority
from the owner which is also the manager

MANAGER

CASHIER BARISTA
JOB SPECIFICATION
Table 2
JOB SPECIFICATION

POSITION DUTIES AND RESPONSIBILITIES

MANAGER Responsible for planning, organizing, directing and
controlling the areas of operation and that service is
carried out in accordance with prescribe standard and
policies of the Tea of Haven

CASHIER  Must wise in buying merchandise from the supplier.

 In charge in paying and signing receipt from supplier.
 In charge of keeping record of purchased items.

BARISTA Highly skilled in presentation with a comprehensive

understanding of coffee or tea blends, quality, coffee
or tea variety, roast degree, and espresso
equipment. His responsibility is to execute and
making tea orders and ensuring quality product is
being served.
Partnership will be the suited form of business organization for the venture. Partners will
be monitoring the daily operation to look after the business on a daily basis. Employees
must well select in compliance with the job requirement.

POLICIES THAT PERSONNEL MUST FOLLOW

Table 3
POLICIES THAT PERSONNEL MUST FOLLOW

 Personnel must be in store thirty (30) minutes before the operation.

 Personnel must always be able to check all records of sale and disbursement before
the opening and closing the store.

 Regarding the accomplishment of every personnel performance.

 Maintain the cleanliness and orderliness of the store.

JOB QUALIFICATION
Table 4
JOB QUALIFICATION

MANAGER  At least 21 years managerial course

 2 to 3 years’ experience on the same field
 At least 25-30 years of age
 With pleasing personality

CASHIER  Female
 At least 18 years old
 At least graduated of 2 years course
 Preferably with accounting background
 With pleasing personality

BARISTA  Male/Female
 18-21 years old
 With pleasing personality
 Must perform without supervision
SALARIES AND WAGES
The researchers used the word “HONORARUIM” to avoid legal issues because
the salary rate listed above is below the minimum salary wage. In this regard, we have
agreed to that as sacrifices for the existence and continued operation of the business.
Table 5
SALARIES AND WAGES

Position No. Daily Salary Monthly Honorarium Annual

Manager 1 300 3600 43200

Cashier 1 280 3360 40320

Barista 1 250 3000 36000

Total 3 850 9960 119520

ORGANIZATIONAL COST
Table 6
ORGANIZATIONAL COST

PERMIT AND LICENSES AMOUNT

DESCRIPTION

Mayor’s permit 1,200.00

Sanitary permit 200.00

Barangay clearance 100.00

SEC 250.00

BIR 500.00

Business permit 1,000.00

TOTAL 3,250.00
CHAPTER III
MARKETING STUDY

Market Segmentation
 Customers are likely to be:
 Young professionals may consider tea of heaven a novelty and luxury alternative to
the commuter, lunchtime or after-work coffee.
 Although it contains sugar, tea is a much healthier alternative to carbonated fizzy
drinks and may therefore appeal to health conscious consumers.
 It is popular for people to hold meetings such as craft circles and book groups in
local cafés and coffee shops and a tea café could appeal as an unusual alternative.
 Due to its fairly new status, tea has a certain novelty value that might appeal to
people looking to try different tastes and flavors.
 Office workers looking for a quick snack and drink or a relaxing meeting place.
 Travelers will be attracted to tea of haven situated at transport locations such as bus
stations or airports; these can provide a useful way of relaxing before or during
journeys. Increasingly tea of heaven or outlets is being located at transport terminals
servicing clients throughout journeys, even short distance commutes. Capital Tea of
Heaven will focus on two different market segments: Commuters and Captive
Consumers. Commuters are defined as any one or more individuals in a motorized
vehicle traveling from point "A" to point "B." Capital Tea Cafe greatest concentration
will be on commuters heading to or from work, or those out on their lunch break.
MARKETING ASPECT
The objectives of the marketing aspect are strategically centered on 3 criteria:
to create strong consumer awareness towards a completely new Tea of Heaven
to establish a wide brand recognition through the capture of market shares in the functional drinks
segment, and;
To become the top market leader.
Market Analysis
Tea is specialist drink increasingly being offered in cafés, coffees shops and bars. It
originates from Asia and is made up of hot or cold tea, milk, sugar and giant black tapioca balls. Ice
is then added and the drink shaken to create the bubble effect. Tea is often referred to as pearl
shake, tapioca ball drink; boba ice tea and bubble drink among other things. Owing to their
influences, tea cafés are often Asian-themed in décor and may also sell Asian snacks and food.
They are often situated in fashionable areas of cities, populated by urban professionals with high
disposable incomes and an interest in alternative eating and drinking venues. Tea is a tea beverage
that originated in Taiwan in the 1980s. The term "tea" refers to the tapioca balls in the drink. These
chewy tapioca balls, or "pearls," are consumed along with the beverage through a wide straw. Tea is
especially popular in many East Asian and Southeast Asian regions such as Taiwan, Brunei, China
(including Hong Kong and Macau), Malaysia, the Philippines, Singapore, South Korea, Thailand,
Indonesia, Vietnam and Australia. Tea is a mixture of iced or hot sweetened tea, milk, and often
other flavorings. The distinctive characteristics of tea are the black gummy balls made of tapioca
(or, more commonly in East Asia, yam starch), called "pearls" or "boba" or balls that sit at the
bottom of the cup. The pearls are larger than those found in tapioca pudding, with a diameter of at
least 6 millimeters, but smaller ones are occasionally used. They are generally translucent brown
with a darker brown center, although pearls of other colors or 'jelly cubes' have also recently
become available. The original tea consisted of a hot Taiwanese black tea, tapioca pearls,
condensed milk, and honey. As this drink became more popular, variations were created. Initially
iced versions with a hint of peach or
plum flavoring began to appear, and then more fruit flavors
were added until, in some variations, the tea was removed
entirely in favor of real fruits. Today you can find shops
entirely devoted to tea, similar to tea cafes of the early
1990s. They usually contain colored pearls that are chosen
to match whatever fruit juice is used, in addition to brightly
colored oversize straws for sucking up the pearls. Tea is
generally split into two types: fruit-flavored teas, and milk
teas. Milk teas may use dairy or non-dairy creamers. The
mixtures that make up tea vary. Several examples of flavors
are strawberry, passion fruit, mango, chocolate, and coconut,
and may be added in the form of powder, fruit juice, pulp, or
syrup to hot black or green tea, which is shaken in a cocktail
shaker or mixed in a blender with ice until chilled. The
mixture is usually combined with milk and cooked tapioca
pearls.
 SWOT ANALYSIS
This is a summary of the business's most important strengths, weaknesses,
opportunities and threats. It’s enables companies to identify the positive and negative
influencing factors inside and outside of a company or organization. Besides
businesses, other organizations, in areas such as community health and development
and education have found much use in its guiding principles.

Table 9
SWOT ANALYSIS

SWOT Analysis

Strengths Weaknesses

1. Product familiarity 1. Forecast demand

2. Customer value 2. Cash flow

3. Responsive  

Opportunities Threats

1. Huge market 1. Seasonal demand

2. Health property 2. Existing food trucks

3. Trendy product