FS-Korean Resto

HOLY CHILD CENTRAL COLLEGES, INC.
ALLAH VALLEY DRIVE, BARANGAY LIBERTAD, SURALLAH, SOUTH COTABATO
A FEASIBILITY STUDY ON ESTABLISHING KOREAN RESTAURANT IN THE

MUNICIPALITY OF SURALLAH
A Project Study Presented To

The Faculty of Holy Child Central Colleges, Inc.
Surallah, South Cotabato
In Partial Fulfillment of the Requirements for The Degree In

Bachelor of Science in Business Administration
Major in Marketing Management
ROEL MARK C. DISCAYA

SALVENE GRACE G. OLIVAR
JACQUELYN O. SALANDAY
JOEL F SARILLO, MBA

Adviser
February 2022
*Formerly HOLY CHILD COLLEGE OF INFORMATION TECHNOLOGY, INC.
Allah Valley Drive, Surallah, South Cotabato
[email protected]
ACKNOWLEDGEMENT
We would like to take the opportunity to express our gratitude to the
people that have helped and supported us all throughout the process which leads
to the completion of this research study. First and foremost, we would like to
express our sincere gratitude to our research adviser Professor Joel F. Sarillo,
MBA for his continuous support, understanding, and motivation. He gave us the
appropriate guidance and support while at the same time he offered us the
flexibility to pursue our research ideas.
We also wish to thank Holy Child Central Colleges, Inc and its teaching
staff for the opportunity to acquire new skills for academic growth and
development.
To all our friends and co-researchers thank you for your understanding, moral
support, and encouragement in our moments of crisis. We would also like to
thank our family for their love and support throughout our lives.
Above all, we thank our heavenly Father for giving us strength, guidance,
patience, and wisdom towards the fulfillment of this study.
Without them, we would not be the same person. Thank you for giving us the
strength to go after our dreams. Thank you for believing in us!
Roel Mark C.Discaya

Salvene Grace G. Olivar
Jacquelyn O. Salanday
ii
[email protected]
Approval Sheet
The feasibility study attached hereto entitled “A FEASIBILITY STUDY ON
THE ESTABLISHMENT OF KOREAN RESTAURANT IN THE MUNICIPALITY
OF SURALLAH” prepared and submitted by Roel Mark C. Discaya, Salvene
Grace G. Olivar and Jacq uelyn O. Salanday, in partial fulfillment of the
requirements for the degree BACHELOR OF SCIENCE IN BUSINESS
ADMINISTRATION MAJOR IN MARKETING is hereby endorsed for approval.
MR. JOEL F. SARILLO, MBA
Adviser
iii
[email protected]
PANEL OF EXAMINERS
Approved by the Committee on Oral Examination
Accepted and Approved in partial fulfilment of the requirement for the

DEGREE BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION
MAJOR IN MARKETING MANAGEMENT.
MA. ELOISA P. ESPAÑOLA, RPh, MSc MS. THERESA S. LIMSON, MA

College Dean Program Head of Education
Member Member
MRS. JOVITA J. FELONGCO, Ph.d

Academic Director
Chairperson
iv
[email protected]
TABLE OF CONTENTS
Title Page i
Acknowledgement ii
Approval Sheet iii
Panel of Examiners iv
List of Figures vii
List of Tables viii
Executive Summary ix
CHAPTER I. Introduction
Background of the Study 1
The Rationale of the Study 3
The Objective of the Study 5
Scope of the Study 5
Limitation of the Study 6
Research Methodology 6
Research Design 6
Locale of the Study 6
Respondent of the Study 7
Sampling Design 7
Research Instrument 7
Data Gathering Procedure 8
Definition of Terms 9
CHAPTER II.The industry 11

Product 11
Market 13
The capacity of the industry 14
Major Players 15
Key Success Factor 20
Government Policies 22
CHAPTER III Marketing 28
Product 28
Target Market 29
Current Trend 34
Demand 34
Supply 35
Pricing Strategy 35
Promotion 36
Channel of Distribution 37
Projected Sales 38
CHAPTER IV. Organizational and Management Aspect 39
v
[email protected]
Business Ownership 39
Capitalization 39
Organizational Structure 40
Recruitment Procedure 46
Compensation and Benefits 46
Training and development 47
CHAPTER V. Operational and Technical Aspect 48
Product Technical Description 49
Operational and Manufacturing Process 50

Customer Flow & Process 56
Equipment & Materials 58
Furniture & Equipment 60
Raw Materials 61
Utilities 61
Waste Disposal 61
Business Location 62
Floor Plan and Layout 63
CHAPTER VI. Financial Aspect 64
Financial Assumptions 64
CHAPTER VII. Socio-Economic Aspect 74
Socio - Economic Aspect 74
CHAPTER VIII. Findings 76
REFERENCE
APPENDICES
vi
[email protected]
LIST OF FIGURES
Figure 1. Korean restaurant experience 29

Figure 2: Frequency of Visit 30
Figure 3: Reason for Visit 30
Figure 4: Companion during Visit 31
Figure 5: Time Preference 31
Figure 6: Food Preference 32
Figure 7: Preferred Service 32
Figure 8: Ratings 33
Figure 9: Price Preference 33
Figure 10: Interest of Visit 34
Figure 11: Diagram of distribution channel 37
Figure 12: Organizational Structure 40
Figure 13: Samgyeopsal Example 49
Figure 14: Operatio/Manufacturing Process 50
Figure 15: Customer Flow & Process 56
Figure 16: Location Map 62
Figure 17: Floor Plan & Layout 63
vii
[email protected]
LIST OF TABLES
Table 1: Project Sales forecast for 4 years 38

Table 2: Salaries & Wages 47
Table 3: Production Schedule & Activities 58
Table 4: Kitchen Utensils & Equipment 59
Table 5: Furniture & Equipment 60
Table 6: Annual Meat Consumption 65
Table 7: Annual Cost of Meat 65
Table 8: Annual Cost Of vegetable and other raw material 66
Table 9: Cost of Product not included to Samgyeopsal per day 66
Table 10: Estimated annual cost of sale of other product 66
Table 11: Building Rent Expense 67
Table 12: Annual Salaries Expense 67
Table 13: Utilities Expense 67
Table 14: Estimated Marketing & Promotional Expense 68
Table 15: Estimated Permits & Licenses Expense 68
Table 16: Estimated Depreciation Furniture & equipment 68
Table 17: Estimated Depreciation Kitchen Utensils & Equipment 69
Table 18: Projected Income Statement 70
Table 19: Projected Cash Flow 71
Table 20: Projected Balance Sheet 72
Table 21: Payback Period 73
Table 22: Financial Analysis 73
viii
[email protected]
Executive summary
This study was conducted to assess the feasibility of the propose Korean
restaurant in the municipality of Surallah. The municipality of Surallah is the
target location of the business since it is the economical center of the Upper
Valley Area, which is composed of all the municipalities of Tboli, Lake Sebu,
Banga, Norala, Santo Niño and Surallah.
Majority of the people today especially the millennials’ generation admired
the uprising Korean popularity. K-pop or the Korean popularity has a big
contribution in spreading their owned culture, especially on their foods.
Establishing a Korean restaurant business has a big potential to the market since
this will be the first Korean restaurant to be establish in the municipality of
Surallah. Business will grow depend on the management system of the proposed
Korean restaurant, management will carefully manage the business typically in
financial aspect. The Korean restaurant will offer unlimited (eat all you can)
samgyeopsal with affordable varied price of 300 pesos per person.
This proposed business will be formed as sole proprietorship that has six
employees with the supervision of the owner. The manager also the chef of the
restaurant, bookkeeper, cashier, dishwasher and two waiters. To start up the
business, it will need a capital of 1,700,000 pesos that will be used to finance the
acquisition which is the equipment and product.
ix
[email protected]
The propose Korean restaurant will have financial assumption, the business has
projected net income of 667,360.94 pesos for the first year of operation (first year
of its operation,) 1,145,038.73 pesos in second year, 1,846,482.97 pesos on its
third year and generate up to 2,812,875.95 pesos on its fourth year of operation.
It will have increased based on projected sale, since the proposed restaurant is
offering unlimited (eat all you can) samgyeosal the increase of its sales depends
on the number of its customers. The owner’s investment will be recovered in 1
years, 5 months and 25 days of operating.
x
[email protected]
Chapter I
Introduction
Background of the Study
Korean cuisine is known for having some of the healthiest foods on the
menu. The dishes are simple but have pungent flavors and odors. This is mainly
because many Korean banchan a small side dishes served along with cooked
rice are made by fermentation, which adds intense and savory flavors to the food
items. Korean cuisine is the customary cooking traditions and practices of
the culinary arts of Korea. Korean cuisine has evolved through centuries of social
and political change. Originating from ancient agricultural and nomadic
traditions in Korea and southern Manchuria, Korean cuisine has evolved through
a complex interaction of the natural environment and different cultural trends.
Ingredients and dishes vary by province. Many regional dishes have become
national, and dishes that were once regional have proliferated in different
variations across the country. Korean royal court cuisine once brought all of the
unique regional specialties together for the royal family. Foods are regulated by
Korean cultural etiquette. Lee (2020)
In Korean dramas, Korean food is prominently showcased as it takes
center stage along with the romantic scenes, enticing viewers to try the dishes for
themselves after each series’ concluding episode. Most Korean dramas
showcase the exquisiteness of Korean cuisine, influencing its viewers to crave
the experience of Korean food. Kimchi, ramyeon, bibimbap, samgyeopsal,
kimbap, and bulgogi are some of the most popular Korean dishes in the
1
[email protected]
Philippines. Many Korean restaurants have been established in the country to
cater to the increasing Korean food market. Online videos about the samyang
ramyeon challenge—or eating super spicy instant Korean ramen—have also
been circulating in social media. Restaurants and retail stores have also seized
the opportunity to earn more profits, with many selling ramyeon.
2018 research among 113 countries by the Korea Foundation determined
that the Philippines had the highest growth rate of hallyu fans. In addition, a 2011
study by TNS Global entitled “Filipino Perception of Korea and the Koreans”
revealed that Korean culture is one of the top three cultures Filipinos are
fascinated by, along with American and Japanese. With these findings, it is not
surprising that South Korea has the highest positive image in the Philippines,
based on the Korean Culture and Information Service’s survey in 2020.
According to Lee (2020), K-dramas have definitely been the main proponent of
Korean cuisine's popularity, but it wouldn't have this staying power if the flavors
didn't somehow resonate with the Filipinos.
According to the article posted by Grant Hornton (2018), Korean
restaurants initially opened in the Philippines to attract expats. Hansik
for Filipinos is the second wave, with Korean restaurants piquing the curiosity
of Filipinos. The spiciness of Korean food led Filipinos to either try to tone down
the taste or take in its authenticity, if they could actually take it, because Filipinos
has always been welcoming of foreign trends and culture. As such, Korean
culture and trends as seen in Korean dramas have invaded and been deeply
rooted in Philippine society today.
2
[email protected]
A recent report by the Korean Food Research Institute showed that dining
experiences by foreign tourists in Korea have been improving. The biggest
attraction for tourists at Korean restaurants was “taste” and “unique dining
experience”, especially when dining at Korean meat restaurants and cooking
their own food. Restaurants with foreign language menus and nice atmosphere
also scored well on the survey with over 90% satisfaction. However, according to
the report, nearly 85% of tourists’ biggest complaints about Korean restaurants
were the healthiness of the food, the price, and the overall hygiene of the
establishments (Haps Staff, 2019).
As the economic activities flourished in the area of Surallah, more people
especially businessmen settled into the place, which contributed to a faster pace
of development. While being a major producer of corn and rice two of the
important ingredients in Korean cuisines, Surallah has explored its vast potential
for progress. Surallah is in the center of many National Road thus, many
businessmen settled here because it is in the center of some municipalities. It is
the Economical Center of the Upper Valley Area, which is composed of all the
municipalities of Tboli, Lake Sebu, Banga, Norala, Santo Nino and Surallah.
Together they function like a metropolitan area with Surallah as its Central
Business District. For these reasons, the aforementioned business has a
potential to become profitable and can be a tourist spot that can help in boosting
the economy of Surallah.
3
[email protected]
Rationale of the Study
According to the recent news posted by GMA news online on October
22,2020, it said that, in all around of Metro Manila, Korean restaurants and
Korean grocery stores have been popping up one after another. In addition to
this trend, Jovel A. (2020) explains why Filipinos draws to Korean cuisines, one
of the reasons is its phenomonology in popular and social media. He added that
salient promotion of Korean cuisine is embedded in many Korean dramas,
regardless of genres.
According to the study conducted by Korea Foundation, Filipinos love
Korean culture and products because of their unique taste in foods, the influence
brought by Korean dramas, Korean-pop groups, and fan sites. Also, in
accordance to their study, Philippines has the highest growth rate of hallyu or
also known as hallyu wave which means the distribution and spread of South
Korean cultural products such as foods, music, and television fans among 113
countries in 2018. Jovel A. (2020)
The researchers want to administer the aforementioned business not only
because of its potential financial impact, but also because of the undeniable
benefits it offers to the society. It will also be the first Korean restaurant in
Surallah. This type of business will be a terrific enterprise for Filipinos,
particularly the locals of Surallah, because they will be able to explore the
Koreans' taste preferences. Those who enjoy Korean cuisine in Surallah or its
nearby towns will no longer have to pay a lot of money to travel to far locations to
taste it because it will be available to them at the aforementioned area. The
4
[email protected]
researchers perceive this business as having a lot of potential to be profitable
and beneficial. The unique characteristic of this business that can be considered
as an edge among various businesses.
Objective of the Study
The study aims to determine the viability of establishing a Korean
restaurant in the Municipality of Surallah, South Cotabato.
Specifically, it aims to:
1. To determine the feasibility of establishing of Korean restaurant in
Surallah, South Cotabato;
2. Determine the profitability of Korean restaurant as a business
enterprise in following aspect:
a. Marketability of the Business Enterprise
b. Organizational Feasibility
c. Operational and Technical Feasibility
d. Financial Feasibility
3. Present findings of the proposed study in the following aspect;
a. Marketing
b. Organizational
c. Operational/Technical
d. Financial
5
[email protected]
Scope of the Study
The study focuses on the viability of establishing of Korean restaurant in
the municipMlity of Surallah, South Cotabato. The study will also cover the
practices of other existing restaurants in the area. This study will also include the
impact of Korean foods to the costumers and the adoptability of the Korean
dishes in the municipality of Surallah, South Cotabato. This study covers the
operation ang practices of variety of Korean restaurants in the nearby place
around Surallah especially Koronadal City where many Korean restaurants
established already. The Study will also cite the probability of the producer of the
Korean food products to be used in the business.
Limitation of the Study
There are factors and conditions that will limit the researcher in the
conduct of the study. These are availability of data from the government
agencies, limitation of data from existing restaurants that operate in the area and
the ongoing protocols of the local government to counter the existing Covid19
pandemic.
In addition, the content of the industry analysis is dependent on what the
respondents may provide or disclose and, on their willingness, to participate in or
share information about their business through survey and personal interview.
Research Methodology
Research Design
The methodology that will be employed in this study is descriptive
and quantitative. The instruments that were used in doing the study are a
6
[email protected]
combination of questionnaire, personal interview, survey and other
research procedures that the researcher used in obtaining the essential
information needed in the feasibility study.
Locale of the Study
The study will focus on establishing of Korean restaurant that will
bring different variety of Korean menus in the Municipality of Surallah
since the municipality is becoming more urbanized and its economy is
booming due to the opening and expansion of business enterprises that
brought migration to the area.
Respondents
The data will be gathered primarily from the existing Korean
restaurant and other local restaurant through personal interview from
concerned person of the company i.e., owners, manager and restaurant
supervisor using a common set of questionnaires. Housewives,
professionals, students, residents of the Municipality of Surallah were also
asked for their buying preference on Korean foods.
Sampling Design
The study will use purposive sampling technique as a basis to
select respondents. The researcher will choose purposive sampling
technique for it would be easier for the researcher to determine the
respondents by using this technique. This technique is based on choosing
individuals as samples according to the purpose of the researcher as his
controls.
7
[email protected]
Research Instrument
The researcher used a self-prepared set of questionnaire or
interview sheet that served as a guide in getting the important information
needed in the study. The said guide will cover the important factors or
aspects in the feasibility study to include the organizational, operational
and technical aspects, marketing and financial aspects. The research
instrument will be applied in order to ensure that all the questions will be
covered thoroughly and information retrieved simultaneously.
Data Gathering Procedures
The researcher asked for a list of Korean restaurants and Local
restaurants from the Provincial Department of Trade and Industry Office,
Provincial Planning and Development Office and Bureau of Internal
Revenue of South Cotabato. After which, as a standard operating
procedure, the researcher, with a letter requesting for a personal interview
to a person directly involved in the operation, visited the selected
Restaurants.
Upon determining their available time, they were interviewed using
the questionnaire or interview guides. The interview was conducted
personally by the researcher in the Restaurant establishment so that clear
example of the practice and scenarios can be cited by the respondent.
The researchers also asked different individuals living in the area of
the municipality of Surallah to determine their individual preference in
buying Korean foods to establish the demand of the product.
8
[email protected]
Additional data were acquired from various websites in the internet
through online research. Aside from that, readings from different articles,
books, journals, magazines and published feasibility studies were
considered as a source of secondary data. These sources of information
could be of great help to the proponent in preparation for the marketing
feasibility that will be conducted later on.
Definition of Terms
The following terms are listed and emphasized to give clarity to the reader
in reading the research.
Cuisine- is a style of cooking characterized by distinctive ingredients, techniques
and dishes, and usually associated with a specific culture or geographic region.
Banchan- or bansang is a collective name for small side dishes served along with
cooked rice in Korean cuisine.
Samgyeopsal- a type of grilled dish in Korea. sam+gyeop+sal which means
sam=three, gyeop=layers, sal=pork belly meat or fat
Kimchi- is a traditional side dish of salted and fermented vegetables.
Ramyeon- is a Korean version of instant Japanese ramen.
Bibimbap- a Korean rice dish.
Samgyeopsal- a type of grilled dish in korea.
Kimbap- a Korean dish of steamed white rice and other ingredients rolled in
sheets of dried laver seaweed and served in bite-size slices.
Bulgugi-a Korean dish of thin beef slices marinated and grilled on a barbecue.
9
[email protected]
Hallyu- it is a collective term used to refer to the phenomenal growth of Korean
culture and popular culture encompassing everything from music, movies, drama
to online games and Korean cuisine just to name a few.
Hansik- refers to Korean food, centered on rice, served alongside a bowl of soup
and a variety of side dishes.
Phenomenology- is the study of structure of consciousness as experienced from
the first-person point of view.
10
[email protected]
CHAPTER II
INDUSTRY
Product
Restaurant, establishment where refreshments or meals may be procured
by the public. The public dining room that came ultimately to be known as the
restaurant originated in France, and the French have continued to make major
contributions to the restaurant’s development.
The first restaurant proprietor is believed to have been one A. Boulanger,
a soup vendor, who opened his business in Paris in 1765. The sign above his
door advertised restoratives, or restaurants, referring to the soups and broths
available within. The institution took its name from that sign, and “restaurant” now
denotes a public eating place in English, French, Dutch, Danish, Norwegian,
Romanian, and many other languages, with some variations. For example, in
Spanish and Portuguese the word becomes restaurante; in Italian it
is ristorante; in Swedish, restaurang; in Russian, restoran; and in
Polish, restauracia.
Although inns and hostelries often served paying guests’ meals from the
host’s table, or table d’hôte, and beverages were sold in cafés, Boulanger’s
restaurant was probably the first public place where any diner might order a meal
from a menu offering a choice of dishes. (Lang, n.d.)
A restaurant, is a business that prepares and
serves food and drinks to customers. Meals are generally served and eaten on
the premises, but many restaurants also offer take-out and food delivery
11
[email protected]
services. Restaurants vary greatly in appearance and offerings, including a wide
variety of cuisines and service models ranging from inexpensive fast food
restaurants and cafeterias, to mid-priced family restaurants, to high-priced luxury
establishments.
In Western countries, most mid-to high-range restaurants serve alcoholic
beverages such as beer and wine. Some restaurants serve all the major meals,
such as breakfast, lunch, and dinner (e.g., major fast food chains, diners, hotel
restaurants, and airport restaurants). Other restaurants may serve only a single
meal (for example, a pancake house may only serve breakfast) or they may
serve two meals (e.g., lunch and dinner). (Restaurant, n.d.)
Korean cuisine is the customary cooking traditions and practices of
the culinary arts of Korea. Korean cuisine has evolved through centuries of social
and political change. Originating from ancient agricultural and nomadic
traditions in Korea and southern Manchuria, Korean cuisine has evolved through
a complex interaction of the natural environment and different cultural trends.
Korean cuisine is largely based on rice, vegetables, Seafood and meats.
Traditional Korean meals are named for the number of side dishes that
accompany steam-cooked short-grain rice. Kimchi is served at nearly every
meal. Commonly used ingredients include sesame oil, doenjang a fermented
bean paste, soy sauce, salt, garlic, ginger, gochugaru a pepper flakes, gochujang
a fermented red chili paste and napa cabbage.
12
[email protected]
Ingredients and dishes vary by province. Many regional dishes have
become national, and dishes that were once regional have proliferated in
different variations across the country. Korean royal court cuisine once brought
all of the unique regional specialties together for the royal family. Foods are
regulated by Korean cultural etiquette. (Korean Cuisine, n.d.)
Samgyeopsal or also known as samgyeop-sal-gui or grilled pork belly is a
type of gui (grilled dish) in Korean cuisine. Its name literally means “three-layered
flesh” which denotes the layers visible on the meat. It is said that samgyeopsal
originated from Kaesong in the early 20th century. The people in Kaesong were
known for their excellent skills and innovative ideas when it comes to business.
Koreans have long preferred beef over pork, a predilection that dates back as far
as the Joseon Dynasty. So, entrepreneurs come up with the idea of samgyeopsal
thinking that it would be successful because Korean’s love eating meat. (Korean
Cuisine, n.d.)
Market
The Korean cuisine trend was able to penetrate the Filipino market
through, similarities of culture thus, according to Dr. Deson Chon the Korean
Cuisine Boomwith Japan and Korea jointly hosting the 2002 World Cup, Japan is
enjoying a KoreaBoom with particular focus on the cuisine of Korea. Although
neighboring countries sharing a similar lifestyle, comparison of the food cultures
of the two countries shows a wide range of differences. Upon visiting Korea,
people are without a doubt impressed by the large number of dishes and large
13
[email protected]
volume of food served from the Korean course menu called hanjonshik. This
alone can be an indicator that even with different cultures, environment, and
beliefs still, the Korean cuisine could dominate the scene. Nonetheless, to
strongly support the idea of Korean cuisine’s marketability a conceptual
framework was built. Customer impressions, and customer satisfaction can be
consider as supporting variables that eventually results to a progressive
marketability of Korean cuisine. To strongly support two phenomena, a survey
result was conducted by the researchers thus, customer impressions provide a
4.21average mean, with a 0.47 standard deviation that heavily manifested as
very high. On the other scene customer satisfaction provides an average mean
of 4.22, and a0.46 standard deviations, which also manifested as very high lastly,
marketability provides an average mean of 4.21, and a 0.46 standard deviation
which manifested very high. The correlation analysis heavily supports the
research with a progressive result of .66, -.62, and .26 which indicates a strong
and average results of variables. (“Regional Annotated Mycobiotas New to Www.
Mycotaxon. Com,” 2011)
Capacity of the Industry
In Philippines, the food service industry is seen to expand in tandem with
the growing population and rising incomes. For the year 2020 and 2021,
revenues are seen to reach P637.3 billion and P656.5, respectively. The more
ingenious, innovative, and affordable the product offerings are, the higher the
chances of success. The food service industry will continue to show tremendous
growth over the next few years on the back of our strong, consumer lead
14
[email protected]
economy. Metro Manila and nearby cities truly is a melting pot of influences from
different cultures. People easily accept and receive new trends and influences
from across the globe. Now, the popularity of Korean culture in the Philippines is
already evident. Popular culture is saturated with the images of everyone’s
favorite Korean stars–television, fashion, and even music. Included here is the
food the Filipinos eat–basically, Korean cuisine is in. In which the Samgyeopsal
or Korean barbeque craze has hit the Philippines. Many Filipinos are going crazy
about it because of its unique concept and it comes with various side dishes.
Online videos about the samyang ramyeon challenge—or eating super spicy
instant Korean ramen—have also been circulating in social media. Wherein,
restaurants and retail stores have also seized the opportunity to earn more
profits. Korean restaurants have been popping out left and right in the Metro –
partly because of the growing Korean population in Manila. And despite the
strong spicy flavor and distinct smell, there is also a growing interest among
Filipinos when it comes to Korean food. Last 2018, Samgyeopsal became very
popular in the Philippines and many restaurants had been established that offers
this korean barbeque. With prices that usually range between PHP 400 to PHP
2,000 and good interior designs, many Filipinos are enjoying it. (“Regional
Annotated Mycobiotas New to Www. Mycotaxon. Com,” 2011)
15
[email protected]
Major Players of the Industry
Migz Resto Bar and Seafood Grills
Migz Resto Bar and Seafood Grills is currently located at Alah Valley Drive, Zone
3, Barangay Libertad, Surallah, South Cotabato. Owned and managed by Mr.
Ismael Pelayo. The business was registered as Sole Proprietorship.
Organizational Aspect
Migz Resto Bar and Seafood Grill is one of high popularity
dinning in the municipality of Surallah. The owner is the one that
manage and organized the employees and finalized assign tasks.
Employees are given a benefits like 13th month pay, PHILHEALTH
and shelter. The business has 7 employees including 1 cashier, 2
servers, 2 cookers, 1 bookkeeper, and 1 dishwasher.
Operational Aspect
They don't have a procedure that is very professional but
they have a procedure given by the owner. The owner conducts an
orientation and partial training to all his employees. As the result of
this orientation and partial training all his employees are
approachable and have an initiative to cater and entertain
costumers. The business open 8 am up to 10 pm on their daily
operation.
16
[email protected]
Marketing Aspect
They use the social Medias like Facebook, Instagram,
Twitter to promote their resort also they use the technique of
quackery talk, spreading a promo or sales that will engage their
costumers’ interests of having a discount and less. The owner
places his business along the national highway as one of the
marketing strategies.
Financial Aspect
The business starts with estimated capital of eight hundred
thousand pesos (800,000). Approximately they are earning up to
five hundred thousand pesos (500,000) per month but when
pandemic strike only the range of two hundred thousand pesos
(200,000) up to three hundred thousand pesos (300,000) per
month.
Fortune Field Resort
Fortune Field Resort is a swimming resort that offers dinning and
catering services located beside national highway, Barangay Rizal, Banga
South Cotabato. This resort is popular in the local as Pantatan for they are
serving their specialty menu from cat fish or pantat in local name. it is
owned and manage by Jose D. Gaturian. The resort is registered as Sole
Proprietorship.
17
[email protected]
Organizational Aspect
The resort and dinning are managed by the owner. The
owner organized its employee and supervises their assigned task.
The business gives their employee fringe benefits like Phil Health
and SSS. Their restaurant business has 11 crew member 5 kitchen
staff, 3 service crew, 1 cashier, 1 security guard 1 manager
Operational and Technical aspect
They don't have a procedure that is very professional but
they have a procedure given by the owner and supervisor. The
owner and the supervisor or manager discuss a topic about abiding
their rules and regulation that is intended to be applied on their
employees, although they have their own meetings in the higher up
but also, they set a meeting twice or once every month, all
employees including their owner. The business hour opens at 8 am
in the morning and close at 10 pm night.
Marketing Aspect
They use the social Medias like Facebook Instagram, Twitter
to promote their resort, also they use the technique of quackery
talk, spreading a promo or sales that will engage their costumers’
interests of having a discount and less.
18
[email protected]
Financial Aspect
One million and three hundred thousand is the estimated
capital stated by the owner to start the business. The owner borrow
money from bank to use as capital and approximately they are
earning fifty thousand (50,000) up to one hundred fifty thousand
pesos per month but when pandemic started their sale reduce up to
50%.
Roadway Cafe and Bar
Roadway Café and Bar is a popular café and bar located at Alah
Valley Drive, Zone 6, Barangay Libertad, Surallah South Cotabato. It is
owned by Mr. Clint John Pendon. The Café and Bar is registered as a
corporation.
Organizational Aspects
All employees have their own designated task in order to
minimize the fuss and maximize the supervision of the owner and
manager. The business has protocols that are needed to follow
because of the pandemic. The business has assigned manger to
manage and supervise all the employees. The business has 16
employees including the manager, 3 café attendants, 4 resto-bar
server, 2 cashiers, 2 cleaner/ janitor, 2 security guard 2 dishwasher.
The business also offers benefits to their employee such as
bonuses and other fringe benefits.
19
[email protected]
Operational and Technical Aspects
Roadway Café and Bar open at eight o’clock in the morning
and closed at twelve o’clock at night. The Manager always checks
their sale and inventory as part of its daily routine in the business.
The business also conducted pre training seminar before hiring
their employees. Employees have their own specialty on giving a
quality customer service. For example, one employee is assigned
on the cashier area, focuses on providing the customer their bills, if
the employee assigned as a waiter, it focuses on giving the ideas
on the customers about their menus and giving the customer an
idea of what food or beverages are their best seller.
Marketing aspects
The business uses social media to advertise about the
product and services they offer. Currently, the marketing aspect
that is set by the organization for the marketing effort is to provide
the quality of service, making promotions for their quality products
especially to their beverages products and extended service to
maintain their loyal customers.
Financial Aspects
The Roadway Café and Bar start the operating with two
million and five hundred thousand pesos estimated capital, the
owner loaned money from the bank to use as capital. The business
has estimated monthly sale of two hundred thousand (200,000) up
20
[email protected]
to three hundred thousand pesos (300,000). They pay their utilities
and their employees in a regular time.
Key Success Factors
The operation of the Restaurant in the Municipality of Surallah is
dependent on some factors. The following factors listed here have contributed to
the success of restaurant industry in the province.
Existing Market – since the popularity of Korean food industry in the
Philippines is continuously expanding, it was easy to introduce the
restaurant in the municipality. Currently some of fast-food establishment
create promos inspired from Korean popular groups like BTS meal of
McDonalds.
Potential Market – there is a potential market in the municipality of
Surallah since population of the locality has increased due to migration as
some the seat of the region was relocated here. Another reason is that as
surveyed by both the National Statistic Office and Department of Trade
and Industry Office, population in per municipality of the province is
increasing thus it also corresponds to the increase in demand of Korean
cuisine.
Suitable Location – The restaurants are established in a visible location
with a suitable parking space for costumers. Setting up restaurant location
with either high foot or car traffic is ideal. Making restaurant visible to
public is like free advertising.
21
[email protected]
Less Worker Requirement – Majority from the restaurant visited in the
province accept workers with at least High School graduate with good
communication skills and understanding skills for the costumers. But some
restaurant accepts their employees with a standard at least s2-year
college graduate especially a graduate of hotel and restaurant
management related courses.
Sustainable Income – Restaurant business may need big amount of
capital to start the operation but it could easily pay back due to the
demand and sustainable sale of their products offer. The income can
sustain the daily operation of the business.
Government Policies
General Policy
In establishing a business, all entities are required to secure all
necessary documents from national agencies up to the local government
where the business shall be located. Necessary documents shall be
completed before the business will be fully operational. National agencies
such as Department of Trade and Industry (DTI) requires Business name
to be registered and Bureau of Internal Revenue (BIR) issues Certificate
of Registration. A business permit shall be secured from the local
government.
Business permit or Mayor’s permit is a document issued to a
person or entity that plans to establish, operate or conduct a business or
22
[email protected]
trade in the said locality. The said document can be obtained by an
individual by accomplishing documents required by the local government
and upon paying necessary fees imposed, after which, they need to be
approved or signed by the local chief executive or the mayor. Additional
requirements may be required when the said business to be established is
required to secure clearance from any national government agencies.
Processing of document for mayor’s permit shall be done by the owner of
the business or his duly authorized representative.
Requirements for New Business
1.) Latest Barangay Clearance where the business is to be
established
2.) Latest Community Tax Certificate for corporation or individual
3.) Filled up BIR Form No. 0605 and proof of payment
4.) One (1) copy of the applicant’s passport size picture
5.) Zoning Clearance for Business Operation
6.) Assessment of Capital Invested by the Treasurer’s Office
7.) Building Permit/Occupancy Permit/Annual Inspection Certificate
8.) Fire Safety Inspection Certificate
9.) Sanitary Permit to operate/Clearance from Municipal Health
Office
Specific Policy
In the Philippines, food safety is under the turf of Food and Drugs
Administration in coordination with Department of Agriculture, Department
23
[email protected]
of Health, Department of Interior and Local Government, implementing the
Republic Act No. 10611 or the Food Safety Act of 2013 together with its
implementing Rules and Regulations published in March of 2015. In the
said law, Food Business Operators are mandated to designate a Food
Safety Compliance Officer (FSCO) who has passed a prescribed training
course for FSCO recognized by DA and DOH. This FSCO has to ensure
the safety both of the food and the establishment being registered. (Food
Safety, n.d.)
The implementing rules and regulations of republic act no. 10611,
“an act to strengthen the food safety regulatory system in the country
to protect consumer health and facilitate market access of local foods and
food products, and for other purposes” otherwise known as
the “food safety act of 2013.”
DECLARATION OF POLICY AND OBJECTIVES
Section 1. Short Title. – This Act shall be known as the “Food Safety Act of 2013.
SEC. 2. Declaration of Policy. – Section 15, Article II of the 1987 Philippine
Constitution declares that the State shall protect and promote the right to health
of the people and instill health consciousness among them. Furthermore, Section
9, Article XVI provides that the State shall protect consumers from trade
malpractices and from substandard or hazardous products. Toward these ends,
the State shall maintain a farm to fork food safety regulatory system that ensures
a high level of food safety promotes fair trade and advances the global
competitiveness of Philippine foods and food products.
24
[email protected]
SEC.3.Objectives. – To strengthen the food safety regulatory system in the
country, the State shall adopt the following specific objectives:
(a) Protect the public from food-borne and water-borne illnesses and
unsanitary, unwholesome, misbranded or adulterated foods;
(b) ) Enhance industry and consumer confidence in the food regulatory
system; and
(c) Achieve economic growth and development by promoting fair trade
practices and sound regulatory foundation for domestic and international
trade. Towards the attainment of these objectives, the following measures
shall be implemented:
(1) Delineate and link the mandates and responsibilities of the government
agencies involved;
(2) Provide a mechanism for coordination and accountability in the
implementation of regulatory functions;
(3) ) Establish policies and programs for addressing food safety hazards
and developing appropriate standards and control measures;
(4) Strengthen the scientific basis of the regulatory system; and
(5) Upgrade the capability of farmers, fisher folk, industries, consumers
and government personnel in ensuring food safety.
SEC. 5. Food Safety Requirements. – To ensure food safety, the following
general guidelines shall be observed:
(a) In determining whether food is unsafe, the following shall be considered:
 The normal conditions of the use of food by the consumer;
25
[email protected]
 The normal conditions maintained at each stage of primary
production, processing, handling, storage and distribution;
 The health of plants and animals from where the food is derived;
 The effect of feeds, crop protection chemicals and other production
inputs on otherwise healthy plants and animals; and
 The information provided to the consumer. This includes the
information provided on the label or any information generally
available to the consumer. This should aid consumers in avoiding
specific health effects from a particular food or category of foods.
(b) In determining whether food is injurious to health, regard shall be given to
the following:
 The probable immediate, short-term or long-term effects on
subsequent generations of that food on health;
 The probable cumulative effects; and
 The particular health sensitivities of a specific category of
consumers where the food is intended for that category.
(c) In determining whether food is unfitted for human consumption, regard
shall be given to the unacceptability of the food according to its intended
use due to contamination by extraneous matter or through putrefaction,
deterioration or decay;
(d) Where unsafe food is part of a batch, lot or consignment of food of the
same class or description, it shall he presumed that all food in that hatch,
lot or consignment is also unsafe;
26
[email protected]
(e) Food that complies with specific national law or regulations governing food
safety shall be deemed safe insofar as the aspects covered by national law
and regulations are concerned. However, imported food that is declared
unsafe by the competent authority of the exporting country after entry into
the country shall be withdrawn from the market and distribution channels;
and
(f) Compliance of a food product with specific standards applicable to a
specific food shall not prohibit the competent authorities to take appropriate
measures or to impose restrictions on entry into the market or to require its
withdrawal from the market, where there is reason to suspect that such
food product shows food safety related risks.
27
[email protected]
CHAPTER III
MARKETING
Product
Korean food is quite popular in the Philippines these days, thanks to the
popularity of Korean pop culture, which has enthralled most Filipinos. With the
growing popularity of Korean culture, K-pop lovers are anxious to learn its
language, as well as its stylish apparel and, of course, Korean cuisine, which is
both delicious and distinctive. As the number of K-pop fans in the Philippines
grows, so does the Korean culinary industry. This is an excellent time to start a
Korean food business.
According to the Korean Food Promotion Institute, the number of Korean
restaurants in the Philippines climbed by 81.2 percent from 2014 to 2018. The
majority of the restaurants are located in urban areas such as Metro Manila,
Cebu, Clark, and other cities. The samgyeopsal eatery is the current local craze.
According to the Korea Trade-Investment Promotion Agency (Kotra) in Manila,
Filipinos consume 28.89 kg of meat per person, with pork accounting for 49
percent of that 1.8 kg above the international average.
For hallyu (Korean wave) fans who wish to experience authentic Korean
eating with chopsticks, dipping grilled meat in ssamjang (hot soybean paste),
wrapping it in lettuce, and toasting soju glasses for memorable selfies,
samgyupsal has become fashionable.
28
[email protected]
Samgyupsal is a common item on Korean menus because Koreans enjoy
eating and drinking together as a way of sharing deeper emotions and having
heart-to-heart conversations. Food brings people together, and grilling
samgyupsal is a simple way to stay in touch. (Jeong & Yoo, 2016; Wikipedia
contributors, 2021)
Target Market
We are aware of the rapidly increasing popularity of Korean delicacies in the
Philippines; this trend is not going away anytime soon, and many entrepreneurs
are taking advantage of it. As a result, we will position our Korean restaurants to
serve inhabitants of the Province of South Cotabato, particularly in Surallah and
other locations where our Korean restaurant franchises will be established.
Figure 1. Korean Restaurant Experience
33%
yes
no
67%
Out of 100 interviewees, 62 percent had eaten in a Korean restaurant
before, while the remaining 38 percent have not.
29
[email protected]
Figure 2. Frequency of Visit
10%
30% every day
every week
once a month
40%
twice a month
20%
According to the results, 40 of the 100 interviewees eat in the restaurant
every week, 30 twice a month, 20 once a month and 10 are eating in the
restaurant every day.
Figure 3. Reason for Visit
Family gathering Birthday

Reunions Anniversary
1% 11%
31% 57%
For the occasion that they want to celebrate in the restaurant 57 prefer to
come with family gatherings, 1 for the reunion, 31 want to celebrate birthday and
11 of them want to celebrate their anniversary in the restaurant.
30
[email protected]
Figure 4. Companion during Visit
15; 15%
Family
Workmates
24; 24% Peers/Friends
61; 61%
We inquire to who they usually dine with in a restaurant, and the following
are the outcome: Of the 100 people interviewed, 61 want to be with their families,
24 want to be with their coworkers, and 15 want to be with their friends.
Figure 5. Time preference
5; 5%
24; 24%
10am-12nn
30; 30%
12nn-4pm
4pm-6pm
6pm-11pm
41; 41%
Figure 5 Show the average time that they want to eat in a restaurant.
Among 100 interviewees 41 of them want to eat at 12nn-4pm, 30 want to eat
during 4pm-6pm, 24 want to eat in 10am-12nn and the remaining 5 wanted to eat
in the evening at 6pm-11pm.
31
[email protected]
Figure 6. Food preference
5%
25% pork
chiken
52% beef
fish
18%
The result show that majority of the interviewees prefer to order foods
made from pork. Some also want to eat beef while the others wanted to order
chicken and fish menus.
Figure 7. Preferred Service
28%
shabu-shabu ( eat all
you can)
made to order menus
72%
Figure 7 The majority of those polled prefer shabushabu-style Korean
restaurant service to ready-to-eat-per-order offerings.
32
[email protected]
Figure 8. Ratings
17; 17%
Very likely
Somewhat likely
56; 56% Neutral
27; 27%
Result show majority of the interviewees admire the different kind of
Korean cuisine.
Figure 9. Price Preference
4%
PHP 200-300
48% PHP300-400
48% PHP 400 ABOVE
For the price that they prefer to pay for the dish per order in a Korean
restaurant. Both price range from Php. 200-300 and Php. 300-400 got the same
result equal to 48 while the remaining 4 prefer to pay at 400 pesos and above.
33
[email protected]
Figure 10. Interest of Visit
15%
Yes
No
85%
The fugure show how the interest of the respondent to eat in the Korean
restaurant. Researcher ask them how much their interest and show that majority
of the respondent are willing to eat in the Korean restaurant.
Current Market Trends
Demand
The population in SOCCSKSARGEN or Region XII is 4, 545, 276
and in the province of South Cotabato alone the population is 915, 289
while the Municipality of Surallah has 84, 539 as of 2016. The country
now ranks 36th in world population density with 346 people per square
kilometer and rank 12th as the most populated country in the world (Duran,
2017).
According to our research, there was no established Korean
restaurant in the Municipality of Surallah in the year 2021. And this is a
34
[email protected]
good sign that the demand for this type of business has had a significant
impact on the community as a result of the current Korean trend.
Supply
As a result of the enormous Korean trend in the country, many
business people have entered the Korean style and trend company.
Specifically, several businesspeople established Korean food businesses
such as Korean grocery supply, Korean market, Korean minimart, Korean
restaurant, fast-food, and a variety of other Korean-related enterprises.
There are a few communities in the province of South Cotabato that
have already opened a few Korean restaurants to service their clients.
But, with the exception of the Municipality of Surallah, which was the
research's target area, there was no established Korean restaurant in the
Municipality of Surallah in 2021, according to the data we gathered. And
this is good evidence that the current Korean trend has had a substantial
impact on the community's need for this type of business.
Price and Pricing strategy
The study will focus on viability and feasibility of establishing a Korean
restaurant in Surallah South Cotabato. And in accordance to the result of the
survey that the researchers conducted majority of the people prefer the shabu-
shabu style of serving in Korean restaurant. For the researcher to start the
project they will serve a shabu-shabu style (eat all you can) or most commonly
known as samgyeopsal style.
35
[email protected]
At present, the existing price range of the Korean restaurant in the
Philippines for the samgyeopsal is raging from 300 pesos up to 500 pesos. The
price varies depending on the additional ingredients for their samgyeopsal, for
every individual that want to eat in the restaurant.
For the researchers to start the project they will follow the existing price range of
the product. The samgyeop will cost 300 pesos per individual who want to try it.
Promotional Strategy
The usage of information and communication technology is advantageous
in reaching the rising market for the goods because more people rely on and
utilize it. Word of mouth could also be beneficial, and because the product is
perishable, a display in a prominent area in each store is essential for increased
visibility. The existing Korean trend and the hype of every individual to try the
Korean culture and products will also help to the growth of marketing of the
project. Here are the platforms we intend leveraging on to promote and advertise
the restaurant.
 Encourage the use of word-of-mouth publicity from our loyal customers
 Leverage on the internet and social media platforms like; YouTube,
Instagram, Facebook, Twitter, Google+ and other platforms to promote our
business.
 Ensure that we position our banners in strategic positions all around the
municipality of Surallah
36
[email protected]
 Distribute our flyers and handbills in target areas in and around our
neighborhood
 ensure that all our staff members wear our branded shirt or cap at regular
intervals.
Channel of Distribution
From buying of ingredients in the market and other supplier, the product will
be processed in the kitchen of the restaurant and serve to the costumers in
accordance to their prefer ingredients of the samgyeopsal.
Figure 11. Diagram below shows the Distribution Channel
Market / Suppliers
Kitchen
Restaurant
Costumer
s 37
[email protected]
Projected Sales
The Korean restaurant project will open eight o’clock in the morning until nine
o’clock of the evening. And let’s assume that for the first year of opening of the
project, the restaurant gains 25 individuals per day as customers and increase
25% its customer in four years and increase product price for 10% every year.
The production of samgyeopsal depend on the number of customers per day.
Table 1. Projected Sales Forecast for 4 years
Number of customers Number of days

Year Price Amount
per day per year
2,737,500.0
Year 1 25 365 300.00
0
3,854,400.0
Year 2 32 365 330.00
0
5,299,800.0
Year 3 40 365 363.00
0
7,287,225.0
Year 4 50 365 399.30
0
The estimated sales prediction for the next four years shows that the
project's customer base is critical to its success. As the number of consumers
grows year after year, the quantity available for earning grows as well.
38
[email protected]
CHAPTER IV
MANAGEMENT AND ORGANIZATIONAL FEASIBILITY
Business Ownership
The establishment of Korean restaurant in the Municipality of Surallah will
be formed as a sole proprietorship. Being a sole proprietorship, the individual
owning the business establishment and the business itself has no legal
distinction. He received all the profit (subject to taxation specific to the business)
and has unlimited responsibility for all the losses and debts. Every asset of the
business is owned by the proprietor as well as all the debts of the business
established. This only means that the liability of the owner goes beyond what he
invested in the business. Since the restaurant has a simple structure, the owner
himself will manage the restaurant. Since it is a sole proprietorship, the
requirements needed to form this type of business ownership are low as
compared to partnership or corporation.
Capitalization
To the success of establishing the Korean restaurant in municipality of
Surallah, it needs an estimated capital investment of Php 1,700,000 for the
building rental, improvements of the building for the customers feel that they are
in the Korean environment such as painting, decorations, air-conditioning
system, restaurant equipment, kitchen utensils and equipment, Legal expenses
for obtaining licenses and permits, Marketing promotion expenses, as well as
procurement of the equipment necessary for the operation.
39
[email protected]
Organizational Structure
The proposed Korean restaurant will use a functional organizational
structure that is commensurate to the labor force and requirement of a standard
restaurant. The structure will be organized based on the duties and
responsibilities of the worker.
As the project will be owned by sole proprietorship, the owner will stand as the
supervisor of restaurant, a restaurant manager/chef, waiters, dishwasher,
cashier. Moreover, the restaurant will hire a bookkeeper on a retainer basis.
Shown below is the example of organizational structure of the Korean restaurant.
Figure 12. Organizational Structure
Owner
Manager
Bookkeeper
Dishwasher Cashier Waiters

40
[email protected]
Qualifications, Duties and Responsibilities
Owner
Qualifications:
- Must have knowledge about restaurant and food industry;
- Risk-taker, willing to invest and prepared for the unpredicted risk;
- Must have capital to share investment for business;
- Willing to supervise all aspect about the business.
Duties and Responsibilities
- Develop Business Strategy
- Supervise Employees
- Promote the Restaurant
- Oversee Inventory
Restaurant Manager/ Chef
Qualifications:
- Must have a degree in Hotel and Restaurant Management or Must have a
Bachelor's degree in the culinary arts
- Must have strong organizational skills;
- innovative and creative thinker;
- Must have an ability to work long hours
- At-least 2 years of experience in working with the industry
- Having ability to manage an entire kitchen
- Know budgeting skills to control costs
41
[email protected]
- Must have incredible food preparation abilities
- Ability to handle multiple tasks at once
- Deep knowledge of the food industry and trends
Duties and Responsibilities:
- Manages all aspect of the restaurant business necessary to sustain the
operation;
- Ensures that maximum operational and financial performance of the
restaurant business is achieved;
- Manage, hire and train employees
- Design menus that enhance customers’ culinary experience while
keeping up high quality.
- Submit cost proposals for menu items.
- Ensure that all food preparation is in accordance with regulatory
guidelines.
- Design standardized food presentation guidelines for each dish.
- Monitor inventory levels of commonly used items.
- Look for ways to reduce spoilage of infrequently used items.
- Hire, train, and mange staff about proper kitchen sanitization methods.
- Leads the operation inside the Kitchen for achieving or maximizing the
production capacity of the business
- Is the over-all in charge of the day - to - day operation of the Kitchen.
- Leads the operation inside the restaurant and manage all employees
in achieving or maximizing the production capacity of the business;
42
[email protected]
- Is the over-all in charge of the day - to - day operation.
Bookkeeper
Qualifications:
- Must have an experience in bookkeeping;
- Must have accreditation with the Bureau of Internal revenue as
bookkeeper.
Duties and Responsibilities
- Keeps the records of financial transactions of the Korean restaurant
and prepares all books of account of the restaurant;
- Reconciles and balances accounts of the restaurant;
- Comes up with accurate monthly financial report for status monitoring;
- Prepares withholding taxes, SSS, PHIC and HDMF contribution and
other required regulatory reports.
Cashier
Qualifications:
- High school diploma or general education degree (GED) required
- 3-6 months’ experience handling money and working with a cashier
- Ability to read and understand instructions
- Ability to add, subtract, multiply, and divide easily and quickly
- Experience operating a cash register
- Proficient cashier and clerical skills
- Comfortable with cash handling
- Strong customer service skills
43
[email protected]
- Collect cash, checks, and credit card payments from customers
- Make change accurately and efficiently
- Issue receipts to customers
- Deal with returns and refunds as necessary
- Maintain cash control over register drawer and verify amounts are
correct
- Answer customer questions as they arise
- Calculate customer bills through cash register ringing
- Help with other tasks as needed including managing shelves, tracking
inventory, and keeping the store clean
Dishwasher
Qualifications:
- High school diploma or general education degree (GED) preferred
- Restaurant or customer service experience preferred
- Must be able to stand continuously throughout a long hour duty
- Ability to lift and carry up to 50 pounds
- Working knowledge of sanitation procedures
- Scrape, rinse, and load dishes and utensils into dish cabinet
- Wash and sanitize all pans, utensils, and dishes
- Clean, sanitize, and maintain dish cabinet
44
[email protected]
- Unload dishes and utensils from dish cabinet and organize them
properly
- Empty trash containers regularly
- Maintain a clean work area and kitchen by sweeping and mopping as
needed
- Perform additional cleaning duties as requested
- Clean food prep stations and equipment
Waiters
Qualifications:
- High school diploma or general education degree (GED) preferred
- Restaurant or customer service experience preferred
- Endurance to walk and stand for long hours.
- Flexible work hours.
- Ability to remain calm and professional with difficult customers.
- Excellent interpersonal skills.
- Coordination to carry plates or trays without dropping anything.
- Greet customers and hand out menus.
- Take meal and beverage orders from customers and place these orders
in the kitchen.
- Make menu recommendations and inform patrons of any specials.
- Deliver meals and beverages to tables when they have been prepared.
- Check that customers are satisfied with their meal.

45
[email protected]
- Prepare the bill for tables when requested.
- Cash up bills and ensure that the correct amount has been paid.
- Administer change to tables if needed.
- Always insure the cleanliness of the restaurant
Recruitment Procedure
The recruitment and selection of the restaurant workers shall be done by
the restaurant manager or the restaurant owner. The restaurant manager shall
determine the workforce requirement of the restaurant. After determination, hiring
and selection process of all applicants will proceed, thus filling up the necessary
position. The recruitment process will not be too lengthy nor will entail a lot of
procedures.
Compensation and Benefits
The restaurant owner will hire one (1) restaurant manager, two (2) chef,
one (1) cashier, two (2) waiters and two (1) dishwashers who will be paid on a
monthly basis. The owner will provide competitive compensation package that
will be based on the industry practice. The bookkeeper will be on honorarium
basis only. Furthermore, the workers will also be provided with SSS, Philhealth,
and HDMF benefits. On top of these, an incentive and a 13 th month pay will also
be given. Workers will also be provided with shelter within the premises of the
restaurant. Table below shows the schedule of wages and benefits of the
restaurant employees.
46
[email protected]
Table below shows the schedule of wages and benefits of the restaurant
employees.
Table 2. Salaries and Wages
Position No. Rate/month SSS HDMF PHIC Total

Restaurant
1 20,000 1,600 400 700 22,700
Manager/ Chief
Bookkeeper 1 1,000 1,000
Cashier 1 8,000 640 160 100 8,900
Waiter 2 8,000 640 160 100 17,800
Dishwasher 1 7,000 560 140 100 7,800
Total 58,200
Training and Development Programs
The farm will be conducting basic training programs and pre-employment
orientation to those who met the desired characteristics of the restaurant
employee. This is to ensure that the employee will be thoroughly equipped with
the procedures and processes involved in restaurant industry. The owner,
manager and even employees, if necessary, will also attend various seminars
conducted by government agencies and non-government organization related to
food and restaurant business. Such seminars are deemed necessary for the
production or enhancement services of the restaurant business.
CHAPTER V
47
[email protected]
OPERATIONAL AND TECHNICAL ASPECT
Product Technical Description
Samgyeopsal is one of the popular foods that bring craze to the people
now. This kind of food is brought to our country by Korean community and
Korean popularity. Through the overwhelming trends of samgyeopsal many
people want to experience the feeling of eating this kind of food that before they
usually see only on the television and other social media.
In Philippines, when we talk about samyeopsal the first thing that comes to
the person’s mind is all about the unlimited grilled pork or other meat.
Samgyeopsal came from the Korean words sam+gyeop+sal which means
sam=three, gyeop=layers, sal=pork belly meat or fat. Usually, samgyeopsal use
pork meat as the main ingredient to grill but because of culture diversity some
restaurant uses other meat like beef meat and seafoods in order to get the
market of other culture that doesn’t eat pork meat in their area. Samgeopsal is
also pretty simple to prepare because it does not need too many ingredients, and
diners particularly cook it themselves up to their desire level of doneness.
Samgyeopsal Example
48
[email protected]
Figure 13. Samgyeopsal example
Samgyeopsal is best to eat with dinners desire side dishes and drinks like
wines and soju, to bring out the unique flavor of taste that they want. For the
propose Korean restaurant to be established, This will prefer to use side dishes
and vegetables like; Kimchi, lettuce, pickled radish, perilla leaves, cucumber,
white onions, scallion salad, green chilies and cooked rice. Ssamjang,
gochujang, ganjang, mayonnaise, ketchup, vinegar, and soy sauce for preferred
sauce. Cola and wines(soju) for drinks. And the propose Koran restaurant will be
offering two kinds of meat, Pork and Beef.
Operation/manufacturing process
49
[email protected]
Start
Preparation of Korean restaurant
Buying of Ingredients
Preparing of Ingredients
Preparing the Buffet area
Serving other need of

costumer
Cleaning the area
Figure 14. Operation/manufacturing process
Step 1. Preparation of Korean restaurant
50
[email protected]
Best way of eating samgyeopsal is when you eat this in the comfortable
place with a perfect ventilation and to a place that would make you feel eating
Korean originated food like you are in the Korean country.
After finding perfect establishment to rent, the restaurant will be set up to make it
best Korean restaurant in the area. Installing of proper ventilation, and Korean
theme decorations would make more interesting to the target market to go in the
propose project. The best floor plan will also be set up with the prefer size of the
building.
Step 2. Buying of Ingredients
Samgyeopsal food is easy e to prepare as well its ingredients is easy to
find in the market. Most of the ingredients of making samgyeopsal and its side
dishes and sauces are available in the market such as the pork and beef meats,
vegetables and condiments.
On buying the ingredients, the head chef is the one who is in charge to find the
good supplier that would supply all the ingredients needed for the operation of
the business. The ingredients must be fresh with the best quality to ensure the
best grilling experience of the costumers.
Step 3. Preparing of the Ingredients
After buying of all the ingredients, the chef will prepare all the ingredients
at the kitchen before putting it in the buffet area to display for the customer.
Usually, samgyeopsal main meat ingredients is pork, but on the propose
restaurant we prefer to use two kinds of meat, pork and beef meat. This is to
obtain the market of non-pork eater people such as Islam.
51
[email protected]
On preparing the meat ingredients, the skinless pork and beef meat will be cut
into thin- 0.5cm to 1cm / 0.2 inches to 0.4 inches similar to thick of bacon rasher.
Side Dishes Ingredients;
1. Sliced cucumber, lettuce, scallion, white onions and green
chilies.
2. Pickled radish
a. Sliced radishes
b. Apple cider vinegar
c. Salt
d. Sugar
e. Warm water;
- Fill the jar(s) with the sliced radishes. Mix the brine
ingredients: apple cider vinegar, salt, sugar, and very warm
water. Pour the brine over the radishes and let them set on
the counter for an hour or so. Cover and refrigerate.
3. Kimchi
a. Napa cabbage
b. Grated garlic
c. Grated granger
d. Salt
e. Water
f. Salted shrimp paste
g. Red pepper
52
[email protected]
h. Sliced scallion
i. Sliced radish;
- Cut the cabbage lengthwise through the stem into quarters. Cut the
cores from each piece. Cut each quarter crosswise into 2-inch-wide
strips.
- Rinse the cabbage under cold water 3 times. Set aside to drain in a
colander for 15 to 20 minutes. Meanwhile, make the spice paste. Rinse
and dry the bowl you used for salting. Add the garlic, ginger, sugar,
and fish sauce, shrimp paste, or water and stir into a smooth paste. set
aside until the cabbage is ready.
- Gently squeeze any remaining water from the cabbage and add it to
the spice paste. Add the radish and scallions.
- Using your hands, gently work the paste into the vegetables until they
are thoroughly coated.
- Pack the kimchi into a jar. Press down on the kimchi until the brine (the
liquid that comes out) rises to cover the vegetables, leaving at least 1
inch of space at the top. Seal the jar. Let it ferment for 1 to 5 days.
Dipping Sauces/ pastes;
1. Ssamjang sauce
a. Ssamjang soy bean paste
b. Chopped green onion
c. Minced garlic
d. Gochujang paste
53
[email protected]
e. Sugar
f. Toasted sesame seeds
g. Sesame oil
2. Gochujang sauce
a. Gochujang (Korean chili paste)
b. Diagonally sliced green onions
c. Soy sauce
d. Rice wine
e. Cloves garlic, minced
f. Toasted sesame seeds
g. White sugar
h. Grated granger
i. Sesame oil
3. Ganjang Sauce
a. soy sauce
b. Korean sesame oil
c. Crushed, toasted sesame seeds
d. Scallion trimmed and cut crosswise into very thin slices
e. Minced garlic
f. Sugar
g. Ground black pepper
h. Korean hot chili powder(gochugaru)
- Mixed all the ingredients for the sauces to create sauces/paste.
54
[email protected]
Step 4. Preparing the Buffet area
After all of the ingredients have been prepared in the kitchen, they will be
displayed at the buffet for the customers to choose what ingredients and side
dishes they want to use for their samgyeopsal.
Step 5. Serving the other needs of costumer
Serve all of the customer's orders/requests that aren't included in the buffet/
eat all you can package, such as rice, beverages, and other utensils.
Step 6. Cleaning the area
The waiter will wipe up all the mess and prepare the table for the next
customers after they have finished eating and left their table.
Customer Flow and Process
55
[email protected]
Start
Register to the
counter
Choosing of
ingredients
Grilling and
Dinning
Payment
End
Figure 15. Customer Flow and Process
Register to the Counter

The first thing a potential customer will do when they come at the
restaurant is to register at the counter. The restaurant staff will be able to
determine the number of customers that will be dining in the restaurant as a
result of this process.
Only a minimum of two people per party will be allowed to dine at the proposed
Korean restaurant to avail the eat all you can samgyeopsal.
Choosing of Ingredients
56
[email protected]
After completing the registration process, customers are directed to the
buffet area to select and get the ingredients and utensils they want to use making
samgyeopsal.
Grilling and Dinning
Customers will proceed to their table to grill their samgyeopsal after
picking out the ingredients. The best way to cook samgyeopsal meat is to turn it
once or twice depending on how done they want it. The proper technique to eat
samgyeopsal is to wrap the grilled meat in a lettuce leaf and serve it with sauce
or a side dish.
Payment
Customers will return to the counter area after dinner to pay for their
samgyeopsal and any additional orders that may have been placed. Customers
can also call the waiter to get their bill and pay it. The business will be having a
no left-over policy. The costumer will pay one peso for every gram of left-overs.
Production Schedule
The Korean restaurant is on operation 365 days per year. It will open from
eight o’clock in the morning and closed at nine o’clock in the evening. Because
the samgyeopsal is an eat all you can type of buffet, the number of people willing
to eat at the proposed restaurant is a factor in its production.
Table 3. Production Schedule and Activities
Time Production Schedule and Activities
57
[email protected]
08:00am Opening of the restaurant
08:00am – 09:00am Preparation of the ingredients in the kitchen
09:00am – 09:20am Preparing the ingredients to the buffet area
Handling the costumers
09:20am – 09:00pm
Refilling of ingredients in the buffet area
Rest of the restaurant activities
09:00pm
Cleaning of the restaurant and closing time
Equipment and Materials
Kitchen utensils and equipment
It requires adequate utensils and equipment to run a restaurant. To serve
samgyeopsal in the proposed Korean restaurant, only a few items are required.
Table 4. Kitchen utensils and equipment
Equipment and Number of Estimated cost per Total

utensils units unit amount
58
[email protected]
Electric stove 1 2,200 2,200

Electric Grill Pan 8 1,000 8,000
Refrigerator 1 15,000 15,000
Freezer 1 20,000 20,000
Chiller 1 7,000 7,000
Meat cutter 1 18,000 18,000
Kitchen knife set 2 1,000 2,000
Meat cutter scissors 10 100 1,000
Plates 100 100 10,000
Bowl 100 50 5,000
Saucer 100 30 3,000
Drinking glass 100 30 3,000
Fork 100 20 2,000
Spoon 100 20 2,000
Chopsticks 50 50 2,500
Stainless steel Trays 20 150 3,000
Pitcher 15 200 3,000
Water dispenser 1 7,000 7,000
air-condition 1 15,000 15,000
Exhaust fan 8 9,000 72,000
Rice Cooker 1 1,500 1,500
Tong 40 50 2,000
Frying pan 2 500 1,000
Glass jar 40 20 800
TOTAL 206,000
Furniture and Equipment
59
[email protected]
One of the most important aspects of a restaurant's productivity and success
is its furniture and equipment. To ensure a smooth operation and handling of
customers, the proposed restaurant will use heavy-duty furniture and equipment.
Table 5. Furniture and Equipment
Furniture and Number of Estimated cost per Total

Equipment units unit amount
Storage Cabinet 1 3,500 3,500
Glass Rack 2 5,000 10,000
Tables 10 3,000 30,000
Chairs 30 1,000 30,000
Computer and Printer 1 15,000 15,000
Fire Extinguisher 1 5,000 5,000
Gasoline Generator 1 30,000

30,000
Decorations 1 10,000 10,000
TOTAL
143,500
Raw Materials
60
[email protected]
Raw materials are vital in the success of any production business.
Availability, proximity and integrity of the suppliers are necessary. For the first
year of operation, the proposed restaurant plans to sign a deal with KCC Mall of
Marbel as the provider of all the raw materials required to run the business. The
following are supplies that are needed in starting Korean restaurant (eat all you
can samgyeopsal):
Meat - The essential ingredient in creating samgyeopsal is meat. The pork and
beef meats used in the proposed Korean restaurant will be of the highest quality.
Vegetables and Spices - To add the spirit of flavor for samgyeopsal this will also
serve as the side dishes. It balances the nutrients from grilled meat.
Sauces and pastes – The flavor of the grilled meat is enhanced by sauces and
pastes. This might also be used as a dip for them.
Utilities
The proposed Korean restaurant will need sufficient supply of water for its
maintenance and electricity for its lighting management and other equipment to
be used as well as to maintain the cleanliness and quality of the ingredients
before serving it to the costumers. The business will allocate five hundred pesos
(500) for the monthly water expense and five thousand pesos (5,000) for the
electricity.
Assumption will be set that this expense will increase by 5% per year.
61
[email protected]
Waste Disposal
Waste management for every restaurant is important, this will help for
maintaining the quality of their service to their costumer. To deal with the waste
disposal, the propose restaurant will properly segregate all of the waste from
inside and outside the restaurant. And all of the segregated waste will be placed
in to the designated pick-up area for daily municipal waste collection.
Business Location
Location of the Business
Figure 16. Location Map
The propose Korean restaurant will be located at Along National Highway,
Zone 2, Barangay Libertad, Surallah, South Cotabato. This area is convenient for
customers since the location is easy to see and visible for traveler or tourist who
is crossing the town.
62
[email protected]
Floor plan and lay-out
Figure 17. Floor plan and lay-out
63
[email protected]
CHAPTER VI
FINANCIAL ASPECT
Financial Assumptions
 250 grams of meat consumed per person
 50% of costumer per day prefer pork and 50% use beef meat for
grilling
 25% increase of number of costumers per year
 10% price increase per year
 10% price increase of meat and other raw materials per year
 15% increase on annual cost and sale of product not included in
samgyeopsal (eat all you can)
 5% increase per year on building rental
 5 years’ depreciation on Kitchen utensil and Equipment
 10 years’ depreciation on Furniture and Equipment
 5% Utilities increase per year
 3% salaries Increase
 All transactions are considered cash sale
 Other income from product not included in eat all you can
samgyeopsal
Table 6. Annual Meat Consumption
64
[email protected]
Grams
Number of Number of Days Total Total kilos
Year per
Persons per Year Grams of meat
Person
1 25 365 250 2,281,250 2,281.25
2 32 365 250 2,920,000 2,920
3 40 365 250 3,650,000 3,650
4 50 365 250 4,562,500 4,562.5
Table 7. Annual Cost of Meat
Total Kilos Combine Total Cost

Year Meat Estimated Price Total Cost
of Meat of Meat
Pork 1140.625 250.00 285,156.25

Year 1 672,968.75
Beef 1140.625 340.00 387,812.50
Pork 1460 275.00 401,500.00

Year 2 947,540.00
Beef 1460 374.00 546,040.00
Pork 1825 302.50 552,062.50

Year 3 1,302,867.50
Beef 1825 411.40 750,805.00
Pork 2281.25 332.75 759,085.94

Year 4 1,791,442.81
Beef 2281.25 452.54 1,032,356.88
Table 8. Annual Cost of Vegetables and other raw materials
65
[email protected]
Cost per day Cost per week Total cost per Year
Year 1 1,000.00 365,000.00

7,000.00
Year 2 1,100.00 401,500.00

7,700.00
Year 3 1,210.00 441,650.00

8,470.00
Year 4 1,331.00 485,815.00

9,317.00
Table 9. Cost of products not included to samgyeopsal (eat all you can) per
day
Number of Estimated Selling Estimated total Estimated

Item
items price price cost total sale
Rice per Cup 25 5.00 10.00 125.00 250.00
Cola 8 oz 25 10.00 15.00 250.00 375.00
Sujo 360ml 5 70.00 80.00 350.00 400.00
Total Prize 725.00 1,025.00
Table 10. Estimated annual cost and sale of product not included on eat all
you can samgyeopsal
Number of Estimated Estimated

Year Total cost Total sale
days daily cost daily sale
Year 1 365 725.00 1,025.00 264,625.00 374,125.00
Year 2 365 304,318.75 430,243.75
Year 3 365 349,966.56 494,780.31
Year 4 365 402,461.55 568,997.36
Table 11. Building Rent Expense
66
[email protected]
Year Number of Months Monthly Rental Total Amount
Year 1 12 10,000.00 120,000.00
Year 2 12 10,500.00 126,000.00
Year 3 12 11,025.00 132,300.00
Year 4 12 11,576.25 138,915.00
Table 12. Annual Salaries Expense
Number of
Year Monthly Salaries Total
months
Year 1 58,200.00 12 698,400.00
Year 2 59,946.00 12 719,352.00
Year 3 62,943.30 12 755,319.60
Year 4 66,090.47 12 793,085.58
Table 13. Utility Expense
Year Monthly Electricity Monthly Water Total
Year 1 5,000.00 500.00 66,000.00
Year 2 5,250.00 525.00 69,300.00
Year 3 5,512.50 551.25 72,765.00
Year 4 5,788.13 578.81 76,403.25
Table 14. Estimated Marketing and Promotional Expense
67
[email protected]
Employee Tarpaulins and

Year Total
Uniforms Flyers
Year 1 6,000.00 5,000.00 11,000.00
Year 2 6,000.00 5,000.00 11,000.00
Year 3 6,000.00 5,000.00 11,000.00
Year 4 6,000.00 5,000.00 11,000.00
Table 15. Estimated Permits and Licenses Expense
Year 1 Year 2 Year 3 Year 4

Permits and
4000 4200 4410 4630.5
Licenses
Table 16. Estimated Deprecation Furniture and Equipment
Furniture and Estimated

Cost Year 1 Year 2 Year 3 Year 4
Equipment useful life
Storage Cabinet 3,500.00 10 350.00 350.00 350.00 350.00
Storage Rack 10,000.00 10 1,000.00 1,000.00 1,000.00 1,000.00
Tables 30,000.00 10 3,000.00 3,000.00 3,000.00 3,000.00
Chairs 40,000.00 10 4,000.00 4,000.00 4,000.00 4,000.00
Computer and
15,000.00 10 1,500.00 1,500.00 1,500.00 1,500.00
Printer
Fire
5,000.00 10 500.00 500.00 500.00 500.00
Extinguisher
Gasoline
30,000.00 10 3,000.00 3,000.00 3,000.00 3,000.00
Generator
Decorations 10,000.00 10
1,000.00 1,000.00 1,000.00 1,000.00
14,350.0 14,350.0 14,350.0
Total 143,500.00 14,350.00
0 0 0
Table 17. Estimated Deprecation Kitchen utensils and Equipment
68
[email protected]
Equipment Estimated
Cost Year 1 Year 2 Year 3 Year 4
and utensils useful life
Electric stove 2,200.00 5 440.00 440.00 440.00 440.00
Electric Grill
8,000.00 5 1,600.00 1,600.00 1,600.00 1,600.00
Pan
Refrigerator 15,000.00 10 1,500.00 1,500.00 1,500.00 1,500.00
Freezer 20,000.00 10 2,000.00 2,000.00 2,000.00 2,000.00
Chiller 7,000.00 5 1,400.00 1,400.00 1,400.00 1,400.00
Meat cutter 18,000.00 10 1,800.00 1,800.00 1,800.00 1,800.00
Kitchen knife
2,000.00 5 400.00 400.00 400.00 400.00
set
Meat cutter
1,000.00 5 200.00 200.00 200.00 200.00
scissors
Plates 10,000.00 5 2,000.00 2,000.00 2,000.00 2,000.00
Bowl 5,000.00 5 1,000.00 1,000.00 1,000.00 1,000.00
Saucer 3,000.00 5 600.00 600.00 600.00 600.00
Drinking glass 3,000.00 5 600.00 600.00 600.00 600.00
Fork 2,000.00 5 400.00 400.00 400.00 400.00
Spoon 2,000.00 5 400.00 400.00 400.00 400.00
Chopsticks 2,500.00 5 500.00 500.00 500.00 500.00
Stainless steel
3,000.00 5 600.00 600.00 600.00 600.00
Trays
Pitcher 3,000.00 5 600.00 600.00 600.00 600.00
Water
7,000.00 5 1,400.00 1,400.00 1,400.00 1,400.00
dispenser
Air-condition 15,000.00 10 1,500.00 1,500.00 1,500.00 1,500.00
Exhaust fan 72,000.00 10 7,200.00 7,200.00 7,200.00 7,200.00
Rice Cooker 1,500.00 5 300.00 300.00 300.00 300.00
Tong 2,000.00 5 400.00 400.00 400.00 400.00
Frying pan 1,000.00 5 200.00 200.00 200.00 200.00
Glass jar 800.00 5 160.00 160.00 160.00 160.00
TOTAL 206,000.00 27,200.0027,200.0027,200.00 27,200.00
Table 18. Projected Income Statement
69
[email protected]
Korean Restaurant
Projected Income Statement
Four Years Projection
SALES
Sales 3,159,531.25 4,284,643.75 5,794,580.31 7,856,222.36
Cash 47,906.25 47,906.25 47,906.25 47,906.25
Cost of Goods 1,302,593.75 1,653,358.75 2,094,484.06 2,679,719.36
Gross Profit 1,809,031.25 2,583,378.75 3,652,190.00 5,128,596.75
OPERATION
EXPENSE
Salaries Expense 698,400.00 719,352.00 755,319.60 793,085.58
Rent Expense 180,000.00 189,000.00 198,450.00 208,372.50
Utility Expense 132,000.00 138,600.00 145,530.00 152,806.50
Marketing and
11,000.00 11,000.00 11,000.00 11,000.00
Promotional Expense
Registration and
5,000.00 5,250.00 5,512.50 5,788.13
Licenses Expense
Depreciation Expense 41,550.00 41,550.00 41,550.00 41,550.00
Total Operation
1,067,950.00 1,104,752.00 1,157,362.10 1,212,602.71
Expense
Gross profit 1,809,031.25 2,583,378.75 3,652,190.00 5,128,596.75

General Expense 1,067,950.00 1,104,752.00 1,157,362.10 1,212,602.71
Earning before tax 741,081.25 1,478,626.75 2,494,827.90 3,915,994.05

Less: Tax 115,270.31 333,588.03 648,344.93 1,103,118.09
Income after tax 625,810.94 1,145,038.73 1,846,482.97 2,812,875.95
Table 19. Projected Cash Flow
70
[email protected]
Korean Restaurant
Projected Cash Flow
Cash flow from
operating activities
Net income 625,810.94 1,145,038.73 1,846,482.97 2,812,875.95
Add. Depreciation
41,550.00 41,550.00 41,550.00 41,550.00
expense
Net Cash Provided by
667,360.94 1,186,588.73 1,888,032.97 2,854,425.95
operation
Cash flow from investing

activities
Acquisition of equipment 349,500.00 349,500.00 349,500.00 349,500.00
Add: Cash 47,906.25 47,906.25 47,906.25 47,906.25
Cost of Goods 1,302,593.75 1,653,358.75 2,094,484.06 2,679,719.36
Net cash provided by
1,700,000.00 2,050,765.00 2,491,890.31 3,077,125.61
investing activities
Cash flow from financial

activities
Owner's Capital 1,700,000.00 2,050,765.00 2,491,890.31 3,077,125.61
Net cash provided from
1,700,000.00 2,050,765.00 2,491,890.31 3,077,125.61
Operation
Net cash used in current

667,360.94 1,186,588.73 1,888,032.97 2,854,425.95
operation
Cash begging balance - 667,360.94 1,853,949.66 3,741,982.63
Cash Ending Balance 667,360.94 1,853,949.66 3,741,982.63 6,596,408.59
Table 20. Projected Balance Sheet
71
[email protected]
Korean Restaurant
Projected Balance sheet
Asset
Current Asset
Cash ending balance 667,360.94 1,853,949.66 3,741,982.63 6,596,408.59
Add: Cash 47,906.25 47,906.25 47,906.25 47,906.25
Cost of Goods 1,302,593.75 1,653,358.75 2,094,484.06 2,679,719.36
Total current asset 2,017,860.94 3,555,214.66 5,884,372.95 9,324,034.19
Non-current Asset
Property, Plant.
349,500.00 307,950.00 266,400.00 224,850.00
Equipment
Less: Accumulated
41,550.00 41,550.00 41,550.00 41,550.00
depreciation
Total non-current
307,950.00 266,400.00 224,850.00 183,300.00
asset
Total asset 2,325,810.94 3,821,614.66 6,109,222.95 9,507,334.19
Liabilities and
equity
Current Liabilities
Total Liability
Equity
Owners’ capital 1,700,000.00 2,325,810.94 3,821,614.66 6,109,222.95
Add: Net income 625,810.94 1,145,038.73 1,846,482.97 2,812,875.95
Add: Owners
350,765.00 441,125.31 585,235.30
Investment
Total Equity 2,325,810.94 3,821,614.66 6,109,222.95 9,507,334.19
Total Liabilities and

2,325,810.94 3,821,614.66 6,109,222.95 9,507,334.19
Equity
Table 21. Payback Period
Payback Period
72
[email protected]
Investmen
Capital t Income Balance
Year
1 1,700,000.00 625,810.94 1,700,000.00
Year
2 350,765.00 1,145,038.73 (1,145,038.73)
Year
3 441,125.31 1,846,482.97 (441,125.31)
Year
4 585,235.30 2,812,875.95 (585,235.30)
1,700,000/1,145,038.73 =1.484665944
.484665944 x 12 months = 5.815
0.815 x 30 days = 24.45
Payback period refers to the length of time needed for the return on
investment to repay the amount originally invested by the owner in setting up the
business. As computed above, the initial investment of Php 1,700,000 will be
recovered within 1 year, 5 months and 25 days of operation.
Table 22. Financial Analysis
Financial Analysis
Formula Year 1 Year 2 Year 3 Year 4
Current Current
2,017,860.94 3,555,214.66 5,884,372.95 9,324,034.19
Ratio Asset
Current
- - - -
Liabilities
Debt-
Total
Equity - - - -
Liabilities
Ratio
Total Equity 2,325,810.94 3,821,614.66 6,109,222.95 9,507,334.19
ROE Net Income 625,810.94 1,145,038.73 1,846,482.97 2,812,875.95

Average
2,325,810.94 3,821,614.66 6,109,222.95 9,507,334.19
equity
73
[email protected]
0.27 0.30 0.30 0.30

Chapter VII
Socio-economic Aspect
Surallah is a first-class municipality according to the Philippine income
classification for provinces (cities and municipalities). As the area's economic
activity grew, more individuals, particularly business people, moved in,
contributing to a faster rate of development. Its primary purpose is to serve as an
Alternate Provincial Agro-industrial Center. Surallah has explored its tremendous
potential for improvement while being a key producer of corn and rice.
Surallah known as the Clean and Green Program's champion-advocate,
envisions the municipality's and people's holistic growth. Based on the last
population record (2020 census) of Philippine Statistics in Surallah, there were
89,340 people in total in all barangays, zones, and sitios. Surallah's main source
of income is agriculture, and manufacturing such as global corporations Dole
Philippines have built a plant there.
The municipality's location also contributed to its significant economic
growth. Surallah is at the center of numerous National Roads, and as a result,
many businessmen have settled here because it is in the middle of several
municipalities. It is the Economical Center of the Upper Valley Area, which
includes Tboli, Lake Sebu, Banga, Norala, Santo Nino, and Surallah
municipalities. They operate as a metropolitan area, with Surallah serving as its
central business district. Surallah is set to become the next premier agri-industrial
zone in the province of South Cotabato, this became possible due to the effort of
74
[email protected]
KASADYA Surallah Program, a multi-sectoral strategy to addressing the main
concerns of its people.
There were many food establishments flourishing in the different areas of
aforementioned municipality, in which these establishments add on to the growth
of its economy, some of these are Roadway café and Bar, MIGZ Resto Bar,
Ken's Grill and many more.
The propose restaurant business will help to create jobs in the region,
promotes local farmers, and keeps hard-earned money in the neighborhood. This
generates nearly four times greater economic benefits for the local community
when customers shop or eat at a local business or restaurant. another impact of
restaurants to the economy of a particular place is, it uses food, music, and décor
to introduce patrons to diverse cultures. They also allow customers to sample
meals that they might not otherwise be able to prepare because they are difficult
or expensive to prepare. A restaurant menu's variety may offer something for
everyone in a family with various tastes.
75
[email protected]
Chapter VIII
FINDINGS
This chapter presents the findings based on the feasibility and viability of
establishing a Korean restaurant at Municipality of Surallah.
Findings
The summary of findings describes the results of the researcher’s studies
and gathered data with regards to the important factors to be considered, that is
to analyze the industry internally and externally in the four major aspects.
Management and Organization Aspect. The researcher had acquired
understanding that the business needs proper management in order to attain
specific goals. It is found out that the key aspects of the organization are the
people themselves. The business will have employees with standard
qualifications to be met, for the better equipment of the human power of the
organization. The employees will be seven (7) in total number. The business will
be in the form of sole proprietorship, where the capitalization will start within one
person. With a smaller type of business, the capitalization invested by the person
will be just enough. The owner will be the one who will primarily decide on what
actions are to be taken for the betterment and development of the business as to
its day-to-day operation.
Technical Aspect. Investment and equipment are a great factor and a
necessity in a product and service sector industry. The researcher had found out
that in order for the business to attain its desired goals, it should have adequate
and well operated equipment such as property, office equipment and supplies.
76
[email protected]
This will help businesses in aiming for having equipment, office supplies and
other instruments to be with good standard, easily operated and will have a long-
lasting life and condition. The best of supplies and equipment shall provide the
best of products that will be given to the market. With a good standard,
technicalities, the proposed business can produce standard products and
services thus ensuring the commitment of the customer to the business. The
products and the services should be with high standard to meet qualifications.
Customer loyalty can be gained through offering excellent products and services.
Marketing Aspect. Marketing strategy is a very important aspect of the
business. This should be established well and be developed in accordance to the
conformity of the changing preferences of the target or possible customers of the
proposed business. A well planned and developed marketing strategy will make
the name of the business be prevalent in the market, thus letting the proposed
business be known through printed advertisement, leaflets / flyers, and the verbal
communication. The business and the products, together with its services shall
be known. The promotions of the business shall be good enough to attract
possible customers. The business shall also see to it that the benefits of
implementing marketing strategy shall not exceed the cost of its implementation.
Financial Aspect. The researcher had determined that the proposed
business shall have a capitalization of 1,700,000.00 pesos. As a sole
proprietorship, the business shall be having its capital source solely. The capital
is estimated to be funding all the needed requirements to put up the business
and is well enough to be provided in starting a business by an individual. The
77
[email protected]
capital must be then used efficiently to support the business activities. The
investment will go to the acquisition of equipment, buying of product to be used
as ingredients, buying of merchandise, and working capital.
78
[email protected]
REFERENCES
J. (2021, December 31). Samgyupsal Recipe (Filipino Style). Mama’s Guide Recipes.
https://www.mamasguiderecipes.com/2020/08/11/samgyupsal-recipe-filipino-style/
Restaurant Merchandising. (1973). Cornell Hotel and Restaurant Administration
Quarterly, 13(4), 85–107. https://doi.org/10.1177/001088047301300414
Wikipedia contributors. (2022, February 8). Restaurant. Wikipedia.
https://en.wikipedia.org/wiki/Restaurant
Macatulad, R. J. B. (2022, February 6). South Korean Food: 45 of the Best-Tasting
Dishes. Will Fly for Food. https://www.willflyforfood.net/korean-food-guide-45-dishes-to-
eat-in-seoul-south-korea/
Trillanes, K. G. (2020, February 24). 7 Korean Restaurants In Metro Manila That Won’t
Disappoint. COSMO.PH. https://www.cosmo.ph/lifestyle/food-drink/korean-restaurants-
metro-manila-must-try-a1321-20200224
Wikipedia contributors. (2022a, February 1). Pork. Wikipedia.
https://en.wikipedia.org/wiki/Pork
Lee, M., Lee, M., Kim, J., Lee, S., & Park, M. (2020). Effects of Environmental Factors
on the Prevalence of Korean Obesity According to Hsp40/C6 Gene SNPs. Current
Developments in Nutrition, 4(Supplement_2), 1263.
https://doi.org/10.1093/cdn/nzaa058_021
C. (n.d.). How Long Does Ice Cream Last? Shelf Life, S. E.-c.-s.-l.-e.-d. (n.d.).
Holmes Place. (2018, J. 1.-n.-v.-o.-i.-c. (n.d.).
Philippine Statistics Authority | Republic of the Philippines. (n.d.). Philippine Statistics
Authority. Retrieved July 18, 2. f. (n.d.).
Philippines: Administrative Division (Regions and Provinces) - Population Statistics, C. a.
(n.d.).
Google Earth. (n.d.). earth.google.com.

https://earth.google.com/web/@6.37978849,124.75132353,192.87952246a,738.079804
5d,35y,-0.00000009h,4.37181709t,0r
Dungo, F. (2022, January 2). New Income Tax Table 2022 in the Philippines. Philpad.
https://philpad.com/income-tax-table-philippines/
https://www.lazada.com.ph/
https://shopee.com.ph/
79
[email protected]
APPENDICES
APPENDIX 1.
SURVEY QUESTIONNAIRE
This questionnaire pertains to a study conducted by the 3rd Year BSBA Students
of Holy Child Central Colleges, Inc. The purpose of this study is to know the
viability of Korean Restaurant to be established in the Municipality of Surallah,
South Cotabato. The questions will take 3-5 minutes and all responses will
remain strictly confidential. Thank you for your time!
Instruction: Check the Box and Read carefully before giving your answer.
Name(optional):
Location:
Age: Younger than 18
19-29 49-50
30-40 50-above
Gender: Male Female
Civil Status: Single Married Widowed Separated
Employment Status: Student Employed Unemployed
1. Have you tried to eat in a Korean restaurant?
YES NO
2. How often you eat in a restaurant?
every day every week
once a month twice a month
80
[email protected]
3. What occasion would you want to celebrate in a restaurant?
Family gathering Birthday
Reunion Anniversary
If not mentioned, specify.
4. Who do you mainly go with to dine in a restaurant?
Family Workmates Peers/Friends
5. What time do you usually eat in a restaurant?
10am-12nn 4pm-6pm
12nn-4pm 6pm-11pm
6. What food you usually order in a restaurant?
Pork Chicken Beef Fish
7. What would you prefer in a Korean restaurant?
Shabushabu (eat all you can) Ready to eat per order
8. How much do you love Korean cuisine? Rate one.
Very likely Somewhat likely Neutral
9. How much prize would you prefer to pay for dish per order in a Korean
restaurant?
200-300 300-400 400 above
10. Are you interested to eat in the Korean restaurant?
Yes No
81
[email protected]
Appendix 2. SSS Contribution Table 2021
Source: Social Security System Official Website 2021
82
[email protected]
Appendix 3 PhilHealth Contribution Table 2021
Appendix 5 Pag-Ibig Fund Contribution Table 2021
Source: Pag-IBIG Contribution Table and Payment Schedule for 2021.
(n.d.). Tech Pilipinas. Retrieved August 23, 2021, from
https://techpilipinas.com/pag-ibig-contribution-table-payment-schedule/
83
[email protected]
Appendix 4: Tax Rate
Source: Dungo, F. (2021, January 3). New Income Tax Table 2021
Philippines. Philpad. https://philpad.com/income-tax-table-philippines/
84
[email protected]
CURRICULUM VITAE
ROEL MARK C. DISCAYA

Sitio Lower Liwanay, Brgy. Liwanay
Banga, South Cotabato
[email protected]
0995-120-7154
Civil Status: Single
Date of Birth: March 23, 1994
Language/ Dialect: Ilonggo, Tagalog, English
Religion: Catholic
Educational Background:
College Bachelor of Science in Business Administration-Mktg.
Mgt.
Holy Child Central Colleges, Inc.
2021
High School Alah Valley Academy
March 2010
Elementary Liwanay Elem. School
April 2006
85
[email protected]
CURRICULUM VITAE
SALVENE GRACE G. OLIVAR

Purok Mabinuligon, Brgy. Liwanay
[email protected].
0965-258-8563
Date of Birth: March 14,1997
Language/ Dialect: Ilonggo, Tagalog, English
Religion: Catholic
Mgt.
Holy Child Central Colleges, Inc.
2021
High School Libertad National High school
March 2015
Elementary Liwanay Elem. School
April 2010
86
[email protected]
CURRICULUM VITAE
JACQUELYN O. SALANDAY
Sitio Upong, Brgy. San Vicente
[email protected]
0930-773-1237
Date of Birth: January 06, 2000
Language/ Dialect: Ilonggo, Tagalog, English, B’laan
Religion: Independent Catholic
Mgt.
HolyChild Central Colleges, Inc.
March 2021
SHS San Vicente Nat’l High School
March 2018
High School San Vicente Nat’l High School
March 2016
Elementary Upong Elem. School
March 2012
87

FS-Korean Resto

Uploaded by

Document Information

Original Description:

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

FS-Korean Resto

Uploaded by

Copyright:

Available Formats

HOLY CHILD CENTRAL COLLEGES, INC.

ALLAH VALLEY DRIVE, BARANGAY LIBERTAD, SURALLAH, SOUTH COTABATO

A FEASIBILITY STUDY ON ESTABLISHING KOREAN RESTAURANT IN THE

A Project Study Presented To

In Partial Fulfillment of the Requirements for The Degree In

ROEL MARK C. DISCAYA

JOEL F SARILLO, MBA

We would like to take the opportunity to express our gratitude to the

flexibility to pursue our research ideas.

support, and encouragement in our moments of crisis. We would also like to

patience, and wisdom towards the fulfillment of this study.

strength to go after our dreams. Thank you for believing in us!

Roel Mark C.Discaya

The feasibility study attached hereto entitled “A FEASIBILITY STUDY ON

THE ESTABLISHMENT OF KOREAN RESTAURANT IN THE MUNICIPALITY

OF SURALLAH” prepared and submitted by Roel Mark C. Discaya, Salvene

Grace G. Olivar and Jacq uelyn O. Salanday, in partial fulfillment of the

requirements for the degree BACHELOR OF SCIENCE IN BUSINESS

ADMINISTRATION MAJOR IN MARKETING is hereby endorsed for approval.

MR. JOEL F. SARILLO, MBA

Accepted and Approved in partial fulfilment of the requirement for the

MA. ELOISA P. ESPAÑOLA, RPh, MSc MS. THERESA S. LIMSON, MA

MRS. JOVITA J. FELONGCO, Ph.d

CHAPTER II.The industry 11

Operational and Manufacturing Process 50

Figure 1. Korean restaurant experience 29

Table 1: Project Sales forecast for 4 years 38

restaurant in the municipality of Surallah. The municipality of Surallah is the

Banga, Norala, Santo Niño and Surallah.

Majority of the people today especially the millennials’ generation admired

contribution in spreading their owned culture, especially on their foods.

this will be the first Korean restaurant to be establish in the municipality of

Korean restaurant, management will carefully manage the business typically in

samgyeopsal with affordable varied price of 300 pesos per person.

restaurant, bookkeeper, cashier, dishwasher and two waiters. To start up the

acquisition which is the equipment and product.

of its operation,) 1,145,038.73 pesos in second year, 1,846,482.97 pesos on its

on the number of its customers. The owner’s investment will be recovered in 1

years, 5 months and 25 days of operating.

Background of the Study

items. Korean cuisine is the customary cooking traditions and practices of

and political change. Originating from ancient agricultural and nomadic

a complex interaction of the natural environment and different cultural trends.

Korean cultural etiquette. Lee (2020)

In Korean dramas, Korean food is prominently showcased as it takes

themselves after each series’ concluding episode. Most Korean dramas

showcase the exquisiteness of Korean cuisine, influencing its viewers to crave

the experience of Korean food. Kimchi, ramyeon, bibimbap, samgyeopsal,

Philippines. Many Korean restaurants have been established in the country to

ramyeon challenge—or eating super spicy instant Korean ramen—have also

the opportunity to earn more profits, with many selling ramyeon.

2018 research among 113 countries by the Korea Foundation determined

based on the Korean Culture and Information Service’s survey in 2020.

didn't somehow resonate with the Filipinos.

According to the article posted by Grant Hornton (2018), Korean

restaurants initially opened in the Philippines to attract expats. Hansik

rooted in Philippine society today.

experiences by foreign tourists in Korea have been improving. The biggest

experience”, especially when dining at Korean meat restaurants and cooking

establishments (Haps Staff, 2019).

As the economic activities flourished in the area of Surallah, more people

businessmen settled here because it is in the center of some municipalities. It is

Business District. For these reasons, the aforementioned business has a