Chapter 1

The Problem and Its Background

Philippines has been known not only for its beautiful destinations

and unique culture, but also for its delicious Filipino cuisines and fondness

of Filipino for food. According to the article of Alina Dizik (2013), more

people are eating 6 small meals a day, instead of the standard 3 meals

and a snack, because the average body can digest the food within 2-3

hours after each meal which can make a person feel hungry. In todays

time, snacks has been part of the standard meal of many Filipinos,

especially to those who work and study. In the Philippines, snack time or

also known as merienda refers to a light meal usually taken to fill the

meal gap between breakfast and lunch or in lunch and dinner. However,

snacks foods have been subjectively classified as junk food because it

contains little or no nutritional value at all and are not seen to contribute

towards the development of general health and nutritional rate of Filipinos.

Therefore, the demands for healthy snack are starting to grow to promote

a healthier lifestyle.

Nowadays, Filipinos are looking for snacks which will not only

starve off their hunger, but can also provide them nutritional benefits.

Filipinos known for being innovative and resourceful used various kinds of

fruits and vegetables giving food lovers and developers wide perspective

for innovation in food products. Among the fruits and vegetables, tomatoes

and jackfruit seeds may be used. According to the study conducted at

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Luna University and reported in the Sydsvenskan daily, tomatoes have

lycopene into its skin and flesh which is carotenoid pigment that is

believed to cure cancers. Moreover, jackfruit seeds are a good source of

vitamin B. It helps in turning the food you eat into energy and keep your

skin, eyes, and hair healthy.

According to the research conducted by Nielsen (2014), Filipinos,

mostly preferred breads and pastries as their snacks above others,

followed by fresh fruits and chocolates. With these gathered data of

Nielsen and consistent demand of Filipinos for healthy and delicious

snacks at an affordable price, the proponents had decided to undertake

the study of Manufacturing and Retailing of Tomato Pastries with Jackfruit

Seeds in Centro Escolar University. This would help in providing and

promoting a healthy lifestyle especially for the students who live far from

their home and mostly depends on fast-food chains.

Statement of the Problem

This study sought to determine the viability of Manufacturing and

Retailing of Tomato Pastries with Jackfruit Seeds.

Specifically, the study sought answers to the following questions

concerning the different plans of business operations:

The Management Plan

1. Who is the project originator?

2. How much is the capital contribution?

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3. What are the activities to be conducted prior to the normal

operation of the proposed business?

4. What will be the form of ownership to be applied?

5. What are the descriptions and specifications of the different job

positions in the proposed business?

6. How should be the organizational chart be constructed?

7. What is the proposed compensation scheme?

The Technical Plan

1. What are the technical implications of the proposed product?

2. What are the raw materials to be used in the production?

3. How should be the proposed product be manufactured?

4. Where is the location of manufacturing and retailing of product?

5. What are the necessary machineries and equipment for the

production of the proposed product?

6. What are the requirements for labor in production?

7. What will be the production schedule?

8. What are the utilities to be used?

9. What are the plans for proper waste disposal?

10. How much is the unit production cost?

The Marketing Plan

1. Who is the target market?

2. What are the proposed products primary features?

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3. How much should be the price of the proposed product?

4. How and where should be the proposed product be sold?

5. How would be the promotion of the proposed product?

The Financial Plan

1. What are the assumptions to be made in the preparation for the

projected financial statements?

2. How much is the value projected capital investment?

3. What are the sources of capital?

4. How should be the projected financial statement appear over the

five-year period?

5. What are the business performances shown in the financial ratios?

The Socio-Economic Plan

1. What are the benefits of the proposed business to the community

and society?

2. How would be the proposed business affect the economy?

Objectives of the Study

The main objective of the study was to determine the viability of

Manufacturing and Retailing of Tomato Pastries with Jackfruit Seeds in

Centro Escolar University, Manila.

The Management Plan

1. To recognize the project originator.

2. To identify the capital contribution.

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3. To create a schedule of activities prior to the normal operation of

the proposed business.

4. To classify the form of ownership.

5. To cite the different job positions and its descriptions and

specifications in the proposed business.

6. To illustrate the organizational structure.

7. To show the proposed compensation scheme.

The Technical Plan

1. To describe the technical specifications of the proposed product.

2. To specify the raw materials to be used in the production.

3. To identify the manufacturing process of the proposed product.

4. To determine the location of manufacturing and retailing of the

proposed product.

5. To enumerate the necessary machineries and equipment for the

production of the proposed product.

6. To be familiar with the labor requirements in the production.

7. To prepare a production schedule.

8. To determine the utilities used.

9. To make plans for the proper waste disposal.

10. To calculate the unit production cost.

The Marketing Plan

1. To determine the target market.

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2. To identify the proposed products primary features.

3. To compute for the selling price of the proposed product.

4. To describe how and where the proposed product be sold.

5. To show the promotional strategy.

The Financial Plan

1. To list the assumptions made in preparing the projected financial

statements.

2. To compute for the total projected capital investment.

3. To identify the sources of capital.

4. To prepare the projected financial statements over the five-year

period.

5. To study the business performance as shown in the financial

ratios.

The Socio-Economic Plan

1. To cite the benefits of the proposed business to the community and

society.

2. To determine the effects of the proposed business to the economy

Scope and Delimitations of the Study

The study covered the period of June to October 2017 which will be

the first semester of the school year. The study involved the students and

faculties in CEU Manila. The study focused on how tomatoes can be used
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as a main ingredient in making pastries. The product will be disseminated

through direct selling within the students and faculties of CEU Manila.

The study discussed different chapters of the feasibility, namely;

Management, Technical, Marketing, Financial and Socio-economic plans

of establishing a business.

The Management plan includes a study on the business

organization to be used, the organizational structure, the number of the

personnel needed, their qualifications, compensation, and the projected

time table before the project is implemented.

The Technical plan includes a study on the specifications of the

proposed product, the necessary machines, equipment, and utilities to be

used in the manufacturing process, business location, proper waste

disposal and unit production cost.

The Marketing plan includes a study on the target market, the

manufacturing site of the business, the promotional strategies to be

applied, and how much will be the selling price of the product.

The Financial plan includes a study on how much will be the initial

needed contribution and how much will be the profit. .

The Socio-economic plan includes a study on who will benefit on

the business and its implication on the economy. The proposed study has

some limitation and weaknesses due to the constraints of the study

because of the limited budget of the proponents who are still students.
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Research Methodology

This includes the methods and procedures used in gathering data,

the subject of the study, the instrumentation, and statistical treatment of

data.

The proponents used the descriptive method in this study. It

includes the facts obtained from the questionnaire, one of the systematic

ways of gathering data under descriptive method.

This kind of methodology typically uses data derived from survey,

case studies, and qualitative methods for gathering the information to

state the conclusion and recommendation of the study or report. It also

involves collection of data in order to test the hypothesis or to answer the

questions concerning the current status of the subjects of the study.

Instrument and Technique Used

The proponents used the questionnaire as their main instrument to

gather data. Primary data was gathered from the respondents in Centro

Escolar University, Manila which is the target market.

The proponents used a closed ended questionnaire in conducting

the survey to get direct and precise answers from the respondents. It was

divided into two parts: first, the respondents profile and the second is the

survey proper. The proponents also interviewed competitors. Furthermore,

secondary data would be gathered from the materials available in the

libraries of Centro Escolar University, Manila

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Sampling Procedure

The proponents selected students and faculties in Centro Escolar

University, Manila.

The technique used was the stratified random sampling because

the respondents that were chosen to participate in the study are the

students and faculties of Centro Escolar University, Manila.

Stratified random sampling is a probability and a form of random

sampling that involves the division of a population into smaller groups

known as strata. The strata are formed based on members' shared

attributes or characteristics.

The proponents had computed the sample size using the Slovins

formula.

N
n=
1+Ne2
Where: N = Total Population

n = Sample Size

1 = Constant

e = Margin of Error (5%)

SCHOOL/DEPARTMENT POPULATION SAMPLE

SAM 658 23

Dentistry 2,945 104

SELAMS 422 15
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Medical Technology 1,256 45

Nursing 95 3

NHM 835 30

Optometry 537 19

Pharmacy 1,072 38

Science and Technology 652 23

SHS 11 1,014 36

SHS 12 728 23

Non-teaching employees 284 10

Teaching employees 398 14

TOTAL 10,896 386

10,896
n=
1+10,896(.05)2

10,896
n=
28.24

n=386