Business Plan Final
Business Plan Final
PROPONENTS:
NACIONAL, ANGELICA P.
AGUIRRE, RONNABELLE B.
RAQUEL, JESSIE ANN S.
VILLANTE, CHERRILYN L.
RAQUEL, CATHERINE A.
BSE-3B
PROPOSED TO:
The company is in general partnership type of business where all partners are
general partners who contribute money, property or industry and have equal
management authority as well as equal share on profits and losses.
A beneficial and healthy way of satisfying the human need for coffee is one way
of the company to show its interest in helping and caring for the market. This can be
seen on the products’ ingredients which are purely organic. The company does not only
want its consumer’s satisfaction but also the preservation and patronization of organic
plants.
For further enhancements of employees’ skills, the company has prepared staff
development activities which are to be conducted for ensuring their strategic capacity
for the organization. Socio-corporate activities for the benefit of the society, customers
and subordinates are also made as it will boost the company’s reputation.
COMPANY DESCRIPTION
‘Almost all human needs and wants are present in the market’. This statement
brought difficulty to the group in thinking for possible product that would be innovative
enough to be patronized by the market. It seems like weeks or so was not enough for
thorough brainstorming.
Five heads have consolidated various ideas but unfortunately most are already
familiar and some are very difficult and even impossible to do. However, the group have
agreed for a product the first time and it was to promote or innovate an organic tea with
the primary ingredients of cocoa, turmeric and malunggay. This study was tested many
times with each test having one and only problem—the solubility of the malunggay
powder. Since we have not thought of a way to solve the problem, we have decided to
remove malunggay in the study. That brought us to think another product since there
was just two more ingredients left—cocoa and turmeric. One of the group member
suggested a different product using the same remaining ingredients—an organic coffee
mix. The idea was easily agreed by the other members then so be it. We added sugar
so it was a 3 in 1 coffee mix. The idea was okay and tested until the product being a
coffee was questioned. That’s when we realized how our products name was very
another ingredients and it needs to be one which can be called a coffee. The very
product result was the ‘’brown rice coffee mix’’ – with the brown rice as the main
ingredient as obviously stated with the name itself, added with cocoa powder from raw
COMPANY BACKGROUND
Our company focuses on healthy products that come from natural resources. We
want to promote healthy lifestyle among people that is why we use organic ingredients
and avoided the use of additives which are unhealthy to our body. We come up with the
idea of making a coffee mix with the use of organic ingredients like brown rice, cocoa
powder which came from roasted and ground cacao seeds and turmeric which contains
researches on how to convert the ingredients into powder for us to be able to pursue
and make the desired product possible. Also, the benefits to be gained from the
Making this idea possible and making path to the future is the company’s main
goal and of course the purpose of contributing to the economy’s betterment through
Coffee and tea are the second most widely consumed beverage after water. Its
The business is to process a coffee mix which arises from the idea of maintaining
the use of organic or herbal plants. As we all know, organic plants are being set aside
and are not widely used anymore due to the advancement of technology. Most of the
beverages and even foods are now carbonated and have lots of chemicals.
The concept is to use organic plants such as cacao seeds and turmeric as the
main focus and ingredient. It should be obvious that organic coffee would be very
beneficial and healthy because of the nutrients and the medicinal uses that the plants
offer. Consumers must be aware that a coffee without artificial chemicals and any
additives would guarantee a longer and healthier lifestyle. This idea would boost the
interest and the support of those who continuously strive for a healthy living.
The main ingredients being organic means that costs are minimized so the
consumers are rest assured that the products are sold at affordable prices. For the
business to be a success, price should not be the only focus with which the
entrepreneurs should take active consideration with but also the assurance of the
products’ quality. The consumers should be convinced that the products are made of
Herbs to Nerves Company offers a sustainable and secure coffee mix for
all ages. Our product—brown rice coffee mix is not an ordinary or simple as you knew,
because it contains a lot of benefits especially for those who wish to live in good health.
NATURE OF THE BUSINESS
living when it comes to consumers’ need of a coffee. Despite knowing that it is not easy
to start a business with the record of competition status as of the moment, the company
cannot just operate any business you want without having a thorough organization of
relevant ideas. In any way, the business’s capability of surviving competition should be
ensured.
BUSINESS NAME
Thinking of a business name is definitely not an easy task. One can never
business name must be unique, innovative and of course it must suit the business itself.
It should be easy to pronounce, easy to remember and one that could easily catch the
customers interest.
As of the group, many propositions have been visualized and suggested that it
become really hard for us to come up with the appropriate business name. Days passed
until we are told to pass this portion of the business plan but we are still undecided and
unsure. Fortunately, the submission was extended so it was a relief for us. We
continued to brainstorm and luckily one of the propositions catches the attention of
everyone in the group. It was until then that we have decided to name the company
“Herbs to Nerves”.
Herbs came from the idea of organic plants itself which are to be used as the
main ingredients of the products. The term Nerves came from the thought that after the
action of taking the product, it will automatically penetrate the insides of our body
reaching our nerves. That simply explains why we have come up with Herbs to Nerves
the use of organic plants in fulfilling consumers’ need when it comes to coffee.
BUSINESS LOCATION
Choosing the right location of the business is one of the most important aspect
that owners should consider. The right location of the business contributes to its
success. In selecting the right location, lots of important things are to be attended
strictly. Proponents should be familiar with the needs of the company, the availability of
The first step is to honestly assess who is your target customer. Are they older?
Younger? More affluent? Less affluent? Do more women frequent the business than
men, or vice versa? Your target customer will depend on the product or service you
intend to sell. The second step is to collect the necessary data. Remember that it is not
just the customer you will need to consider. The available labor force is also important.
Another step is to evaluate the available options the business can consider at times of
emergency.
A lot of hard work and careful consideration goes into finding the right location
for your small business, and it may be tempting to devote your energy to more creative
tasks like developing a logo or fine-tuning your product selection. Keep in mind, though,
that none of those details will matter if your customers cannot find you. Put in the time
and the effort to find the best location and give your business the strong start it
deserves.
With regards to our business, it will be established inside the vicinity of Eastern
Visayas State University since it has such big population plus the outsiders and visitors
who are entering the place. The most probable potential customers that will likely
purchase the product are the faculty, high school and college students and anyone from
the outsiders.
This very first proposed location will be the basis whether our product will be
patronized. If it works, then the company will be having its outlets in other areas with
Herbs to Nerves Company is aiming to produce products which would not only
satisfy the needs of the consumer but also ensures healthy living. The business is a
microbiological methods and techniques used to transmute raw ingredients into food.
Processing our product will not be possible without the help and cooperation of
the different personnel. The expected product should be processed accordingly. The
food processing begins with the product design, and materials specification from which
the product is made. These materials are then modified through food processing to
organization where all partners are general partners who have unlimited liability and
equal management authority. When a general partnership is started, all the partners
contribute either property or cash into the partnership. Once the partnership is formed,
all of the assets are deemed to be co-owned by the partners. If the partnership is ever
dissolved, the remaining partnership assets are divided up amongst the partners based
A small business do not really need such big capital especially if it is just starting.
However, “two heads are better than one,” as what a saying goes. Working within a
partnership with a genuine win-win intention can give the business the edge it needs to
surpass its competitors. Partnership can give the business access to additional
resources and many more advantages so you should consider having one.
BUSINESS PARTNERS
TYPE OF
PARTNERS PARTNERSHIP ADDRESS ROLES AND FINANCIAL
NAME ENGAGED RESPONSIBILITIES CONTRIBUTION
General Manager
NACIONAL, General Calbiga, --Securing the strategic
ANGELICA P. Partnership Samar action of the company P 50,000.00
--Monitoring sustainable
company policy
Finance Manager
--Monitoring financial
VILLANTE, General Naval, situation
CHERRILYN L. Partnership Biliran --Undertaking P 50,000.00
calculations and
securing finance for the
company investments
Production Manager
--Monitoring the whole
of the production
RAQUEL, General Jaro, Leyte control P 50,000.00
JESSIE ANN Partnership --Recognizing and
S. using trends in
technological and
product development
Marketing Manager
--Monitoring the
situation on the market
AGUIRRE, General Babatngon, and with the customers
RONNABELLE partnership Leyte P 50,000.00
using the customers in
B. the market
--Setting the
corresponding actions
for motion
HR Manager
--Monitoring social
RAQUEL, General Jaro, Leyte relationships within the
CATHERINE partnership office P 50,000.00
A. --Planning the
deployment of the
personnel
LEGAL DOCUMENTS
Barangay permit first, before securing a Mayor’s Permit. It is one of the requirements for
• Go to the permit department and ask for the application form for business permit
2. Assessment
3. Payment
4. Receiving
5. Release
• After receiving the paid application, wait for the release. Some barangays release
the certificate on the same day of your application, while others schedule it on the
After you get your barangay clearance, head on straight to the City Hall to apply
operations. This permit will be the license to operate and is renewable every year from
Requirements
Lease Contract. If owned, submit a copy of the Transfer Certificate of Title (TCT) or
Tax Declaration.
Business Name Registration with the Department of Trade and Industry (for sole
proprietorship/new applicants).
Barangay Clearance
Sketch of location
Occupancy permit
Community Tax Certificate (Cedula) – you can get this at the City Treasurer’s Office
Fire Permit
Sanitary Permit
Other
submit your completed registration with all the requirements listed above (except
for the fire and sanitation permit, which will be done in the next steps).
Necessary taxes, fees and charges will then be assessed and recommended by
receipt of application.
Once paid, proceed to the fire department with your receipt for the request and
Proceed also to the health department with your receipt for the request and
once due, return to the city hall where you filed your application for the release of
your Business / Mayor’s Permit and other required permits and/or licenses.
Now that you have your business name, barangay clearance, and business permit,
you can then proceed to the Bureau of Internal Revenue (BIR) to register your business
compete, flourish, and succeed and, at the same time, ensuring consumer welfare. DTI
also governs the registration of business and trade names in the Philippines.
Requirements
Processing fee
A. Obtain application forms (duplicate copy) and fill these up completely. Only the owner
B. Submit application form to the DTI Processor. The DTI Processor will check if the
Business Name is still available, if yes, you will be asked to pay the application fee.
The Department of Trade and Industry (DTI) is now implementing the following
registration fees for business name registration (original and renewal) depending on the
D. After showing the receipt to the Processor, the Business Name Certificate will be
released.
E. Your Business Name Certificate is valid for 5 years from date of registration.
It is a must to register the business in the BIR. This is to pay your tax properly
Requirements:
1. Prepare/accomplish in 3 copies the following BIR forms needed for the business.
2. Go to the Revenue District Office (RDO) that has jurisdiction over your registered
address.
3. Go to the officer of the day. He will assess how much to pay for the registration.
Normally, the registration fee is P500. While the Documentary Stamp Tax on
subscription depends on how much the capital is, while the documentary stamp tax on
lease depends on your monthly rental. Please submit these forms and documents to the
4. After the assessment, go to the accredited banks for payment. Usually accredited
banks are within the vicinity of the RDO or you can ask anyone from the BIR in that
RDO to be sure. Submit these assessed forms to the teller of the bank.
5. After the payment has been made, go back to the RDO. Get a queue number from
the guard. Go to the registration section for the receiving of you application. Wait for
your turn to be called and submit a photocopy of BIR form payments, special BIR
payment form (all Accredited Banks of RDO have a special payment form for BIR only)
6. Schedule for release. Some RDOs may request you to attend a seminar about the
filling of your taxes before the actual release of Certificate of Registration but some do
not; be prepared just in case. Also, don’t forget to ask for an “Ask for receipt” sign.
Some RDOs will automatically give it to you together with the COR and some do not. So
7. Purchase Books of Accounts. Normally for VAT (Value Added Tax) there are six (6)
Books of Accounts while there are four (4) Books of Accounts for Non Vat.
-Books of Accounts
-Submit BIR form 1905 and Books of Accounts to the Registration Section and wait
10. Lastly, printing of your receipts (Official Receipts and/or Invoices). This normally
COMPANY’S DIRECTION
“A sustainable and secured coffee mix producer that promotes health to its consumers.”
“To promote healthy living to the community through the processing of organic plants
choosing a coffee mix. Consumers must be well aware of the benefits they can get from
organic plants which are going to be the main product of the business. They should be
encouraged to patronizing and expanding the use of organic practices as it will improve
one’s health.
OBJECTIVES OF THE COMPANY
healthy living.
To increase the company’s volume of sales by utilizing the four marketing mix.
To produce healthy products which will help reduce the use of synthetic
chemicals.
products.
sustainable manner.
SECTION IV
ECONOMIC ENVIRONMENT
economic factors affecting business are; interest rates, demand and supply, recession,
All businesses want to maximize on their profits. All those can be achieved by
maintenance of high quality of goods and services. As simple as this operation is, many
factors affect it. The sales, production and procurement processes of a business are
greatly impacted by these economic elements. Below is a list of economic factors that
and supply. Demand is how willing and able a consumer is to purchasing what a
business offers and supply is how able the business is to make available what the
consumer needs
goods they have is referred to Utility. After continuous and successive consumption of
units of same goods, the fulfilment that is experienced by the consumer starts
depreciating. This results in short-term or long-term fall in sales of the business. Most
Organization prepare for the launch of a different brand before the collapse in utility and
sales is experienced. The hurl of a new brand ensures that the revenue trend of
business does not drop down. The fall down of utility is one of the economic factors
affecting businesses.
upgradation and the finances of the people living in the society at large in a particular
factors that are affecting business, development is the most important one. A business
employment determines the rate of demand in a company and even the country
Inflation
Inflation usually occurs when the supply of money is too much in the economic
services. The prices of goods have to increase one way or the other, in order to sustain
the businesses. And so there is an increase in the cost of raw materials needed for
production. This upsurge in the cost of raw materials obviously translates to the retail
price.
Recession
Companies usually make great losses and face dips in sales and profits during
recession. And in order to reduce their costs most of them usually resort to staff cuts,
retrenchment and firing, reducing capital expenditure, advertising budgets, research and
development activities, and so on. Of course this affects companies and organizations
The different economic factors listed above may affect our business in one way
or another. To conform to this factors, our company will conduct an evaluation and will
analyze solutions that could be done to adapt with the changing economic environment.
TECHNOLOGY DEVELOPMENT
industry. Today’s workers are more mobile and more connected ever than before, which
businesses. Obviously, new technology can create new products and services, thereby
Small businesses can implement business technology and level the playing field with
larger organizations. Small businesses use computers, servers, websites and personal
This allows owners to create operations using the best technology available.
Technology advancement has surely a big impact on a business environment.
Small businesses like ours can use technology to reduce business costs. It helps
automate back office functions, such as record keeping, accounting and payroll.
Business owners can also use technology to create secure environments for
productivity through the use of technology. Computer programs and business software
usually allow employees to process more information than manual methods. It would
also allow our business to reach new economic markets. Rather than just selling
consumer goods or services in the local market, small businesses can reach regional,
SOCIO-CULTURAL ENVIRONMENT
Being in business is not only about knowing how to make sales and generate
great profits, but it also involves understanding the environment you intend in
establishing your business. A complete business person ensures that he or she studies
the social – cultural attributes of the people that live in the environment they intend
Social and cultural factors are important to consider while creating and
different factors have diverse effects on the decisions of consumers and buyers.
Basically, sociocultural factors are customs, lifestyles and values that characterize a
society. More specifically, cultural aspects include aesthetics, education, language, law
and politics, religion, social organizations, technology and material culture, values and
attitudes. Social factors include reference groups, family, role and status in the society.
Social and cultural values affect economic development through attitude toward
include a strong work ethic and value placed on thrift and economy.
As society and culture change, our business must adapt to stay ahead of our
REGULATORY ENVIRONMENT
Businesses will normally change the way they operate when government changes these
rules and regulations. Government economic policy and market regulations have an
Many sectors of the business world have long complained about government
regulations and their restrictive nature. But instead of using this as a disadvantage, it is
in the best interest of businesses to learn to work with governments to write sensible
regulations that target bad apples. In fact, there are solid economic reasons for virtuous
businesses to support regulations in such areas as employee safety and health, and
food and product safety, where a level playing field is necessary to prevent free-rider
advantages going to competitors willing to pursue gain at the expense of the public
interest.
still positive sides that are being offered by it and any business must comply as it is for
the betterment not only for anyone but for the entire society.
NATURAL ENVIRONMENT
Any business cannot operate without the essential inputs and essential
ecosystem services that are provided by the natural environment, and so its treatment
of the natural environment is one of the two keys to the sustainability of business.
reduce the likelihood of damage to the environment, federal and state regulations
operations plans.
Businesses must meet certain standards that help to reduce any adverse effects
factors, such as clean water and clean air, dictate how companies conduct their day-to-
day operations.
Natural environmental factors can affect our business operations as well as its
ability to expand or take on new operations. In effect, our company must comply with
rivalry between companies selling similar products and offering the same services with
the goal of achieving profit. Market competition motivates companies to increase sales
volume by utilizing the four component of the marketing mix which is the product, place,
innovative.
One of the results of the competition is fluctuation. In this event, the supply and
demand relationship is compared to a seesaw because as the one increases, the other
one lowers in value. This is also the same with the pricing strategy development. So, if a
business has several competitors offering the same goods or services, the lower the
Anyhow, there are still positive effects of competition to a certain business like
better money value, better economy due to efficiency, product variations, better
compete towards our competitors. We are striving to have our own way to compete with
benefit. If the competition status will not favour our business, possible solutions may be
done. First is product distinction which makes the product we offer different from our
selecting a market that is not yet saturated. Third is the production of cheaper products
temporarily.
SECTION V
PRODUCT/SERVICE PLAN
In our first attempt, the ingredients milk, cocoa powder, turmeric powder,
malunggay powder and sugar were mixed. The result was good but then we realized
that our main purpose it to create a pure organic product so using milk is not good since
During our second attempt of making the product, milk and malunggay powder
were excluded in the ingredients used. Even though malunggay is very healthy, we
have decided to remove it from the list considering the fact that consumers may not like
the color and texture of the outcome product with the said ingredient in it. But then,
since we did not mind measuring the amount of the ingredients remaining, the attempt
failed.
Another trial was made but then something’s always forgotten. As we continued
to experiment and conducted research, success has been achieved. Ways how to
distribute the product have been known due to continuous idea contribution and through
research as well.
Since our final product was the brown rice organic coffee mix, the researchers
have made sure to think of ways to make it possible as well as to ensure product
development.
PRODUCT DESCRIPTION
Front View
Back View
Worried about the side effects of caffeine under coffee but got no choice?
Well, your worries are over now because a very powerful solution is now at hand.
Brown Rice coffee mix is processed to satisfy human need in terms of coffee with
the corresponding main purpose of promoting healthy living by using organic plants as
total of 12 grams which can be consumed with each cup of hot water.
This coffee mix will satisfy your taste buds as well as your need or your reasons
why you are drinking coffee almost every day. Ahead in points is that it will offer many
benefits than your regular coffee. So do not miss the opportunity and grab it now.
PRODUCT LINE
A product line is a group of related products under a single brand sold by the
Herbs to Nerves Company may offer additional categories of the product. It will
be an improvement for the business to offer related products which will carry the main
In line with the company’s product is the organic tea and iced tea. The main
purpose which is to promote healthiness is still carried by this add on products. If the
customer is fond of drinking tea, then it would be easy. If desiring for a refreshing
beverage throughout the day, it would also be easy, just let the tea cool down and pour
Brown rice coffee mix is totally a persuasive product as it will prepossess the
ultimate goal of every consumer—health. The fact that it offers the same advantages of
the regular drinking coffee and at the same time its many to mention health benefits will
move every consumers to patronize the product. This product is to help maintain the
use of organic plants which come from nature—the natural resource. Ever since,
organic plants or herbs play a very significant role to man for they have depended on it
SECTION VI
MARKETING RESEARCH
MARKET RESEARCH
A market consists of all the consumers who purchase a particular type of good or
service. The market may be sub-divided into separate segments each of which can be
considered to be a separate market in its own right. It is very important for a business to
or characteristics that a company hopes to serve. These individuals are usually the end
Market research is the process of assessing the viability of a new good or service
through research conducted directly with the consumer which allows a company to
discover the target market and record opinions and other input from consumers
regarding interest in the product. Market research may be conducted by the company
The purpose of market research is to examine the market associated with a particular
good or service to determine how the audience will receive it. This can include
RESEARCH DESIGN
The research design refers to the overall strategy that you choose to integrate
with the different components of the study in a coherent and logical way, thereby,
ensuring you will effectively address the research problem; it constitutes the blueprint
for the collection, measurement, and analysis of data. The research problem determines
to analyze the data accurately for us to come up with the appropriate research design
so that the major purpose which is to establish that the independent and dependent
The main idea behind using this type of research is to better define an opinion,
attitude, or behavior held by a group of people on a given subject. Since there are
predefined categories a respondent must choose from, statistically inferable data can be
RESEARCH LOCALE
Research Locale discusses the place or setting of the study. It describes in brief
wherein many people are passing by. Eastern Visayas University will be our
experimental target market—the students, faculty, all its other constituent plus outsiders
who are visiting the vicinity. According to our conducted research, there will be a great
possibility that the proposed product will be patronized since the population is quite big.
RESEARCH RESPONDENTS
In customer satisfaction surveys that ask customers for their opinion about a
recent purchase or their experience with a service, it is important that respondents give
university have been surveyed regarding the marketing mix of the business. Since the
target location offers a large amount of consumers, it automatically mean that we are
going to deal with the different identity and behavior of the consumers. In anyway, the
company’s main target is the students of the university alongside with the different
GENDER
MALE 49
FEMALE 51
TOTAL 100
The table represents the gender profile of the respondents. As it shows, female
survey which will tend to purchase the products—and the result shows that females are.
TABLE 3
18 & below 30
19 – 22 60
23 – 25 10
TOTAL 100
The table represents the age profile of the respondents. As it shows, those who
belong to the range of 18 yrs and below got 30%; the majority of the respondents’ age
are ranging from 19 – 22 yrs old and those that are 23 – 25 got the lowest percentage of
10%.
It implies that the most participative respondents who will likely to buy the product
TABLE 4
YES 100
NO 0
TOTAL 100
The table shows that respondents have been asked whether they believe that
organic products are healthier. Since all of the respondents have answered ‘Yes’, it
means that there is a great possibility for them to purchase the product and this may
TABLE 5
YES 75
NO 25
TOTAL 100
The table with the survey question for those respondents who are fond of
coffee/coffee lovers will help us determine whether we continue the product or not.
Since majority are coffee persons, it may mean that the product is likely to be
purchased.
TABLE 6
RESPONDENTS ACCORDING TO HOW LIKELY THEY CONSUME BROWN RICE
COFFEE MIX
EXTREMELY 28
MODERATELY 33
SLIGHTLY 39
TOTAL 100
The table above has a survey question of how likely are the respondents to
consume brown rice coffee mix. This serves as the key on how we will plan to make the
As it shows, 28% of the respondents are extremely likely to consume; 33% are
TABLE 7
RESPONDENTS’ PRICE SUGGESTION FOR BROWN RICE COFFEE MIX
5 – 10 PESOS 87
11 – 15 PESOS 12
16 & ABOVE 1
TOTAL 100
This table with the survey question regarding the respondents’ price suggestion
for the coffee mix helps us determine the price range which will be proportionate to the
consumers’ purchasing power. Out of 100, 87 of the respondents have chosen the price
chosen 16 pesos & above. This result of the survey will be the basis of our pricing
strategy.
TABLE 8
RESPODENTS PREFERED PLACE FOR BUYING THE PRODUCT
SUPERMARKET STORES 49
SARI-SARI STORES 16
GENERIC STORES 35
TOTAL 1OO
The table shows the respondents’ preferred place for buying the product. As
shown, 49% wants the product to be displayed in supermarket stores; 16% in sari-sari
This survey question will help us in determining the right place/location where the
questions that will determine the respondents’ view to our proposed product which is the
‘Brown Rice Coffee Mix’. The questions asked will help us determine the possible
actions or revisions if ever unforeseen error occurs regarding the products’ marketing
mix variables.
As for the product, the very first question asked from the respondents was
“Do you believe that organic products are healthier?” Based on the survey, all 100
respondents do believe that organic products are healthier. The second question asked
was “Are you a coffee person?” Out of 100, 75 of the respondents are coffee person
while 25 of them are not. The third question was “How likely are you to purchase and
consume organic coffee mix?” The survey shows that 28 of the respondents are
extremely likely to consume the product, 33 of them are moderately likely, and 39 of
As for the price, two questions have been asked from the respondents. First
one was “What would be your price suggestion for the organic coffee mix?” The result
shows that 43 out of 100 want the product to be sold at price ranging from 5-10
pesos/pc, 56 of them want it from 11-15 pesos/pc, and 1 wants the product to be 15
pesos above/pc. Last question was “If the price of organic products continue to rise,
would you still continue to purchase?” The result shows that 63 of the respondents
purchase the product?” Results showed that 49% want the product on supermarkets,
16% of them want to purchase the product on sari-sari stores, and 35% prefer it to be in
generic stores. Respondents were also asked “Where do you prefer the business to be
located?”
would you want to see/hear about the product?” Results show that 14% wants Word-of-
Mouth, 55% prefers to see the product in Social Media sites, 15 want% to see and hear
about the product on TV Ads and 16% respondents have preferred Brochures.
RECOMMENDATIONS
recommendations that will be of big help for further improvement of our product in order
As for the product, it has been recommended that we add some more
organic ingredient so that the very aim of the company which is to maintain and promote
healthy living through patronizing organic products will be highly achieved. Also,
respondents highly recommend that the products’ packaging be improved into a more
creative one since packaging is one of the common basis of the consumers purchase
statement.
As for the price of the product, it has been assumed and suggested by the
respondents to be very affordable since organic products are the main ingredients. It will
not be a burden to our company to polish this suggestion since it is one of our main
objective and goal to innovate this product with its corresponding affordable range of
prices.
As for the promotion, it has been revealed by the survey that the most
modern and advanced technology and internet involvement, social media is a powerful
power to maximize profits through developing sales strategies that match customer
requirements. The heart of a business success lies in its marketing. Most aspects of the
penetration of our product lies on our marketing executives with who provide our
― Nabil N. Jamal
any size. It is an important part of the business ecosystem. In fact, competition can be
an effective tool for growing and improving your business since it leads to increased
efficiency.
that is meant to be a substitute for the accustomed class coffee with toxic chemicals.
This will be the answer for the people to go back to nature of maintaining and living a
healthy life. Since no organic mix has been introduced by any company, it would be a
very great opportunity to be the very first company to innovate and create this very
COMPETITORS PROFILING
NAME OF
COMPETITORS PROFILE
Strengths:
Weaknesses:
Opportunities:
Threats:
Strengths:
Weaknesses:
Other coffee brands
1. Inorganic ingredients with caffeine
2. Increasing price
Opportunities:
Threats:
weaknesses of the competitors within the market, strategies that will provide you with a
distinct advantage, the barriers that can be developed in order to prevent competition
from entering your market, and any weaknesses that can be exploited within the product
development cycle.
Determining the strengths of the business will help to boost the power to
compete with other related businesses. Strengths are a business’ greatest advantage
business must not be complacent upon knowing their advantages against their
As to our product, since it a strength that no other related product has been
presented to the public, we would make sure that the satisfaction level of the target
ability to achieve business goals. Companies often analyse their weaknesses as part of
a strategic planning process. In some cases, weaknesses are areas for improvements.
be the company’s driving motivation to make improvements and desire for an exemplary
network or supply chain can increase the vulnerability and make it difficult to respond to
external threats. It would really be very important to identify any weaknesses and
prioritize actions to deal with the factors that represent greatest risk. We must make use
problems.
A business opportunity on the other hand is a proven concept that generates on-
going income. In other words, a business opportunity is a business idea that has been
researched upon, refined and packaged into a promising venture that is ready to launch.
While multiple business ideas may strike our company on a daily basis, only few will be
profitable in the long run based on market research and feasibility study conducted.
This time of the generation is much modernized. Rapid changes can easily
be observed as said by the notion ‘the only constant thing in this world is change’.
With regards to our company, opportunities that are present and are yet to
come must be properly handled and grabbed. One sure opportunity for our product is
that it is new to the market as to what other businesses offer. It would also be a way for
the product to be patronized especially by those people who are health conscious.
The operating plan of your business plan should include a component called
reduction in corporate sales. Often a business faces many threats, other than
Many threats can be seen or can come towards our business. The evolution
recession and many possible circumstances can greatly affect our business.
COPING STRATEGIES
Marketing threats are factors in the external environment that can inhibit a
business from achieving its marketing goals. Identifying these threats is part of the
strategic planning process called SWOT. SWOT analysis helps to develop strategies to
overcome marketing threats, either by using the strengths to reduce the vulnerability to
threats.
competitors or low-cost competitors, new products that offer better performance, slow
changes that increase cost or make it difficult to comply. You may also face the impact
MARKET SHARE
sales that is earned by a particular company over a specified time period. Market share
is calculated by taking the company's sales over the period and dividing it by the total
sales of the industry over the same period. This metric is used to give a general idea of
the size of a company in relation to its market and its competitors. A company's market
share is its portion of total sales in relation to the market it operates within.
Investors look at market share increases and decreases carefully, because they
the total market for a product or service grows, a company that is maintaining its market
share is growing revenues at the same rate as the total market. A company that is
growing its market share will be growing its revenues faster than its competitors.
Market share increases can allow our company to achieve greater scale in its
operations and improve profitability. Companies are always looking to expand their
share of the market, in addition to trying to grow the size of the total market by
FIGURE 1
Market Share
20%
Others
30%
Others
20%
Others
0.3
The figure above shows the company’s desired market share percentage or
market's total sales that should be earned annually. Moreover, the company is opting for
MARKETING PLAN
Marketing Objectives
Increase sales
Increase profit
As entrepreneurs, we must strive to make our business productive. The first part
is to tend our part in making the Brown Rice coffee mix known to everyone. We are
targeting those people who are health conscious as well as those coffee lovers. We
want the consumers to become dependent to our product and be a leading distributor of
establishes and maintains relationship with its customers. Businesses rise and fall
drive the direction of the marketing strategy. For the marketing strategies to be effective,
company wants to be, providing a measurable objective that can be monitored and plan
SPECIFIC
Using specific marketing objectives means focusing on one goal per plan to
maximize efficiency. Each objective needs to have its own plan to be effective.
MEASURABLE
milestones and goals to measure. The measurable aspects of a marketing plan can be
the number of units sold, total sales revenue generated or total profit realized. These
measurable objectives should also be very specific in order to be effective. Setting the
objective of selling 10% more units than the previous year in something the company
ACHIEVABLE
achievable goals should be used. A realistic set of marketing goals motivate staffs
members to try to achieve the success outline din the plans. Setting a marketing goal
that seem impossible to achieve will lower morale and make it difficult to plan budgets
REALISTIC
not exceed the historical average sales coverage that is not possible with the current
sale staff.
TIME-BOUND
analysis of how the methods worked in attempting to produce projected results. The
company must create a timeline for each marketing project that includes regular dates
for monitoring progress and potentially adjusting the plan. An example is that if the
company has a marketing plan that is scheduled, the actual results versus projected
results must be analyzed to see if adjustments need to be made to achieve the overall
Our company conducted some research for us to determine our best target
market. According to our research, most of the students are fond of drinking coffee but
not too much. On our research we have determined that male are most often to drink
coffee. Females drink coffee only moderately. Lastly we have determined that students
in Eastern Visayas State University are health conscious. Simulated allowance of the
students has a maximum of one hundred fifty pesos a day and a minimum of fifty pesos
a day.
We can also expect that we can get other potential customers outside of the
school, the residence of Quarry district which also has a number of population and the
schools near in EVSU, those areas are part of our market coverage.
MARKET SEGMENTATION
Geographic
EVSU main campus is the center of our market area coverage in which most of
EVSU main campus is one of the market area which provides enough population.
We are not only focusing EVSU or inside the university we also considered all
barangays near in our store and schools as a part of our market coverage area. They
Our product is available for all ages. Its target are those coffee persons and most
especially those who are health conscious without reference to their family number,
Psychographic
Since the target market area of our business is quite large, this means that we
would be dealing with different kinds of consumers. The buying behaviour of these
consumers would patronize our product in the sense that brown rice coffee mix is good
for the health as well as for the environment. It is also for a fact that anyone can afford
the product in the main sense that the ingredients are purely organic—accurately less
expensive. Since most of the people consider coffee as a part of their daily lives, it is for
sure that half or more of the market will surely to consume the product.
Behavioral
The benefits of our product are very much needed of our body because aside
from being purely organic and far from the usual coffee we know, it has no caffeine. And
aside from that, it ensures lesser cost and would offer healthy lifestyle.
PRODUCT STRATEGY
product that bring about the same need amongst different firms. In order to do so, the
aim is to make the product more attractive to the marketplace compared to the other
competitors. This does not only include price, but also the quality, packaging, and
firm.
The picture below shows how brown rice coffee mix is packaged:
PRICE STRATEGY
Good pricing strategy helps determine the price point at which profits on sales of
products can be maximized. When setting prices, a company needs to consider a wide
range of factors including production and distribution costs, competitor offering and
1. Economy Pricing
conscious of the consumers. With this strategy, the business minimize the
costs associated with the marketing and production in order to keep the
2. Pricing at a Premium
With this strategy, the business sets cost higher than that of its
competitors. It is often most effective in the early days of the products life
cycle.
3. Price Skimming
involves setting high rates during the introductory phase. The company
TABLE 10
The table below shows the regular and promo pricing of Brown Rice coffee mix:
PROMOTION STRATEGY
TABLE 11
PROMOTION SCHEDULE OF
peers
operations
PLACE STRATEGY
service. It outlines how and where the company will place its products and services in
understand the needs of the consumer and determine which avenue provides the best
DIRECT CHANNEL
Producer Consumer
INDIRECT CHANNEL
PEOPLE STRATEGY
people strategy.
The following are some people management strategies to be used by the company:
Recruitment and Selection: It all starts with hiring the right person for the right
position. Once positions has been outlined, a recruiting plan including responsibilities,
Training and Development: Since employees are the greatest asset, their
necessary to ensure meeting the expectations. It allows feedbacks which gives the
their satisfaction.
SECTION VIII
PRODUCTION OBJECTIVES
workers so that they will know why they are producing and innovating new products in
the industry. All these objectives will keep them motivated because it will not only
benefit the company but because also the employees and the customers as well.
The following are the production objective of the HERBS TO NERVES Company:
To create and produce a coffee mix that would promote healthy living through the
Become the largest producers of organic coffee mix inside and outside the city.
To achieve such objectives, the company shall focus on making the product
more competitive among other products present in the industry. Our product has a
potential and is consistent to the consumer satisfaction, in line with the company’s main
goal which is to offer healthy lifestyle through organic ingredients that could offer
the place, sterilization of the tools, etc…before the actual production to keep the product
clean and safe for the customers. Sanitation of the place is done before anything else.
Cleaning the area and wiping the surface where the raw materials are placed. After the
sanitation of place is the sterilization of the tools that have to be used in the production
process. This is to keep the product clean and safe to the customers. After undertaking
PREPARATION OF
INGREDIENTS
ROASTING
POWDERING
SPRAY DRY PROCESS
Notes: It is a very crucial to ensure proper product handling including the hygienic
Brown
practices. Staffs are required to wear aprons andRice
hairnet every time they do the
Coffee
preparation process. These will keep the productMixclean and presentable to the
customers.
BOILING
-Put the roasted brown rice in the
clean cloth and put in a boiling water
DRYING -Add cocoa powder, turmeric powder
-Cacao seeds and sugar (10 mins.)
-Turmeric (approx.3 days)
PEELING
ROASTING
-Cacao seeds and turmeric/ginger
RAW MATERIALS
The table shows the raw materials and total costs used in the daily production of
inedible outer
hull removed.
Cacao seeds
are partly
fermented fatty 3 kilos P16.00 P 48.00
Ginger is a
bright-yellow 1 kilo P 22.00 P 22.00
aromatic
powder
obtained from a
rhizome plant of
ginger family.
-The sugar
enhances the
taste of organic 2 kilos P 67.00 P 134.00
coffee mix.
P 604.00
TOTAL COST:
This table below shows the tools and equipment used in the production of organic
coffee mix.
measurement of the
turmeric and cacao
powder. A small
Te spoon used typically
aspoon for adding sugar to
and stirring hot
drinks.
Mixing bowl used to
have all the
ingredients to be
mixed properly. 2 pcs. P15.00 P30.00
Knif tasks.
e
Hairnet to keep from
contacting exposed
food, clean and 5 pcs. P15.00 P75.00
sanitized equipment,
utensils and linens.
Hairnet
Bila-o
Used for boiling the P 500.00 P1,000
2 pcs.
ingredients.
Casserole
Pan
cacao seed.
The table below shows the utility cost in the production process consisting the
water and electricity bill
TOTAL P1,200.00
Used as stand
Tables where 2 pcs. P700.00 P1,400.00
ingredients are
put.
Used by the
Chairs production 5 pcs. P300.00 P1,500.00
staff.
For the water.
Faucet 1 pcs. P800.00 P800.00
TOTAL P3,700.00
PRODUCTION SCHEDULES
The table below shows the production schedule of the HERBS TO NERVES
Company:
The company must ensure the cleanliness in the working area by observing its
proper waste disposal at all times. Wastes from the company’s production process
peelings of the organic ingredients from the non-biodegradable ones like the plastic
Store opening
(8:30 am)
Operating time
(8:30 am – 7:30
pm)
Inventory
(7:30-8:00 pm)
Closing
(8:00 pm)
OPERATION SCHEDULE
The table below shows the operation schedule of the Herbs to Nerves Company.
to Nerves Company.
Boiling all the main 10:00 am – 11:00 am Production Staff Production Manager
ingredients
Note:
*Prior to the start of manufacturing, cacao seeds and turmeric undergoes the process of
drying and peeling.
*After drying and peeling the two ingredients, the process of powdering takes place.
Gathering and
Preparing
Drying
Peeling
Roasting
Boiling
Spray drying
Product Packaging
Brown Rice
Coffee Mix
we are considering is the control of our products quality from the raw materials used,
The following are the standard operating policies of the Herbs to Nerves Company.
Time is strictly observed, thus absence without reasonable excuses will not be
considered and will be charged to their salaries. They should report to the
Practice confidentially.
Skilled workers must be properly dressed (hairnet, apron and gloves) while
working.
SECTION IX
ORGANIZATIONAL PLAN
Management Objectives
Setting management objectives in an organization is very important as it
improves performance by clearly defining objectives that are agreed by both the
management and employees. Goal setting and action planning ensures better
The following are the management objectives for the company’s personnel:
their individual tasks and they are in a harmonious relationship with their employees.
Clarity of the organizations goals and objectives will be the guiding light for the
employees to monitor their works to see if it is aligned with the purpose of the
organization. This will also lead them to the achievement of the organizations target
goals.
follows. Because there is openness within employees they are motivated and are
encouraged to do their individual tasks which is expected from them. They will also
Lastly loyalty and openness towards the organization will move the employees to
be productive for the success of the organization. This will build the trust and confidence
MANAGEMENT TEAM
Managerial
Number Qualification Function / Responsibilities
Position
- male/female
- 25 to 30 years old
business
- male/ female
- male/female
- Responsible for managing all
-23 to 30 years old
marketing activities within the
-a graduate of business
organization
administration or management
- Involves developing the
Marketing -must have at least 2 years of
1 marketing strategy for the
Manager experience in the field of
company in line with its
business.
objectives
-must have at least 2 years of
-performs periodic performance
experience in the field of
evaluations of the staff.
business
and development.
COMPANY PERSONNEL
disburse money
-must be a high school
graduate
personality
-male/female
of the product
2 -23 to 30 years old
graduate
-male/female
2 Sales -responsible for presenting the
products and to sell them to
Representatives -23 to 30 years old potential customers
graduate
-with pleasing personality
ORGANIZATIONAL CHART
General Manager
ANGELICA NACIONAL
Packaging Staffs
responsibilities among the managers of the Herbs to Nerves Company. The general
manager serves as the top executive which supervises the other managers and is
responsible for the structure and overall strategies in which the organization must
follow. She is the one who organizes and directs business operations, issues and
policies and also ensures the implementation of a strategy designed to make the
business. The financial manager supervises its subordinates composed the cashier, the
production manager to the production and packaging staffs. It guides the employees to
know their rights and responsibilities and find out whether he is incompetent in his work.
COMPENSATION SCHEDULE
Income
Cashier 285 200 100 13th month
pay
Staffs pay
Staffs pay
Representatives pay
TOTAL
The following are the wages and other benefits that an employee will receive in
Employees
Bonuses (13th month
Incentives
pay)
Transportation allowance
towards achieving strategic goals. The major goal of an organizations is to keep its
employees motivated so that they will continually performs better at their tasks. Giving
The following are the rewards given by the company to the employees.
Incentives – employees must be rewarded by putting their best effort and hard
OFFICE SUPPLIES
Office No. of Units Unit Cost No. of times Total Annual Cost
Supplies purchased in a
year
(300 pages)
Total P14,812
STORE EQUIPMENT
Total P12,250
MANAGEMENT POLICIES
outlining the responsibilities of both employees and employers. Depending on the needs
attendance, dress code, privacy and other areas related to the terms and conditions of
employment.
The following are the management policies established by the Herbs to Nerves
Company to lead its employees in achieving the goals and objectives and to maintain
programs offer employees resources that they can use on their own to further their
careers. Offering employee development activities creates more versatile and prepared
Off-site Training
Training seminars or classes offered outside the company that are pertinent to
staff development can help the employees hear ideas from an objective third party
trainer. It can help to spur new ideas and help the company come up with creative
Supervisor Contact
Strengthening the working bond between employees and supervisors not only
who make it a point to spend time with employees each day offer advice and insight that
Career Paths
initiatives to assess and take responsibility for the company’s effects that go beyond
As for the company, the following are its socio corporate activities:
Works Well-Being
People are the foundation of every business, thus the company must address
employee’s needs.
SECTION X
FINANCIAL PLAN
Financial Objectives
week.
Positive cash flows does not necessarily mean profit, and is usually due to
a careful management of cash inflows and expenditure. Normal situation where the
cash inflows during a period are higher than the cash outflows during the same
period.
Earnings growth
often one year. The term can apply to actual data from previous periods or estimated
Financial Assumptions
The table above shows the company’s financial health and expresses the profit
as percentage of the total sales revenue generated. The computation above shows that
the gross profit margin of the company remains constant since the product price will
Tax
The table above shows the percentage of the revenue remaining after all
operating expenses, interest, and taxes have been deducted from the company’s total
revenue.
Tax
The table above shows how efficient the management is at using its assets to
generate earnings.
SECTION X
CONTINGENCY PLAN
economic cycle
coverage
month
GROWTH PLAN
Planning for growth is the key to any business throughout its existence. Every
meet its need. Once you have reviewed your progress and identified the key growth
areas that you want to target, it’s time to revisit your business plan and make it a road
Expand business
That we , the undersigned, all of legal age and residents of the Republic of the
Philippines, have voluntarily bind ourselves together for the purpose of forming a
general partnership under the terms and conditions herein set forth, and subject to the
ARTICLE I. That the name of this partnership shall be “Herbs to Nerves Company” and
shall operate and transact business under the said firm name.
ARTICLE II: That the principal office of the business shall be located at Tarcela St.
ARTICLE III: That the names, citizenship, address and designation of the parties of this
ARTICLE IV: That the purpose of the partnership shall be to engage in processing an
organic coffee mix and to obtain profits and divide among the partners.
ARTICLE V: That the capital of the partnership shall be two hundred fifty thousand
ARTICLE VI: That ANGELICA NACIONAL shall be the managing partner and as
general manager shall devote her entire time to the conduct of the business. Without
the consent of all the other partners, none of the partners may borrow or lend money ,
make deliver or accept any commercial papers or execute any mortgage, security
ARTICLE VII: That the term for which said partnership is to exist is from the original
recording of the partnership by the Securities and Exchange Commission until the