TARGET COUNTRY PHILIPPINES

TOTAL POPULATION 107,450,000

HOUSEHOLDS 21490000

TARGET MARKET MONTHLY INCOME

CLASS B MAIN 118,350 - 157,800
UPPER C SUB 78,900 - 118,350

CAPACITY TO BUY
PAILS PRESENT ON THIS MARKET'S T&B
COMPETITOR
OROCAN 12 LITERS 150
METRO HOME PAIL 300
OROCAN 80 LITERS 929
OROCAN BASIN
ROBINSONS 2.5 GALLON PAIL 35
500 ROOF PRICE

TARGET PRODUCTION IN 2 YEARS 200,000

MOULD COSTING
PART NAME MOULD WEIGHT (TON) MOULD PRICE
DIPPER 0.8 520000
PAIL 3.5 2275000
BASIN 2 1300000
BILL OF MATERIAL
MATERIAL COST PRICE PER KILO
ABS PLASTIC 110
MATERIAL PER PART WEIGHT (KG) PRICE PER PIECE
DIPPER 0.1 11
PAIL 1.1 121
BASIN 0.45 49.5
TOTAL 1.65 181.5

LABOR COST
INDIRECT LABOR
NO. OF EMPLOYEES 4
AVERAGE MONTHLY WAGE 15,000
LABOR COST PER MINUTE 5.1277668575
STANDARD TIME PER UNIT 1.5 31 secs per piece
TOTAL 7.6916502863
DIRECT LABOR
NO. OF EMPLOYEES 3 1 PER PIECE
MIN DAILY WAGE 454
LABOR COST PER MINUTE 2.8375
STANDARD TIME PER UNIT (MIN) 1.5 31 secs per piece
TOTAL 4.25625
INJECTION LABOR COST (IND+DIRECT) 11.9479002863

PRODUCTION COST 215.9426502863

DIRECT PURCHASE MANUFACTURER

SELLING PRICE 500
12% VAT 60
PRODUCTION COST 215.9426502863
OPERATING PROFIT PER PRODUCT 224.0573497137

DEALER STORE PURCHASE

PRODUCTION COST 215.9426502863
SALES & MARKETING EXPENSE 70.181361343
DEALERS MARGIN 70.181361343
SELECTED RETAIL PRICE 356.3053729724
 % IN POPULATION # OF HOUSEHOLDS
0.8 171920
2.2 472780

STEEL PER KILO (PESOS) 650,000

MOULD INVESTMENT PER PC TOTAL COST PER PC INJECTION SPOILAGE

2.6 13.6 0.136
11.375 132.375 1.32375
6.5 56 0.56
20.475 201.975 2.01975
PRICE AFTER INJECTION SPOILAGE
13.736
133.69875
56.56
203.99475