I.

TITLE

MAMA BEAR

II. TIME CONTEXT

August 2017- Present

III. PERSPECTIVE/ VIEWPOINT

Mylene Bartolome
Managing Partner of Mama Bear.
Owner of the leased condominium of the Partnership.

IV. STATEMENT OF THE PROBLEM

What step does MAMA BEAR should take? Should they Expand and embark the
Corporate World, keep the partnership and venture another market segment, or
maintain the business?

V. STATEMENT OF OBJECTIVES
To determine if Mama Bear Child Care Center should expand or not and how the
expansion will be.

VI. AREAS OF CONSIDERATION

Strengths:
 Determination of each partner to be of help for those working mothers.
 Expertise of Alalyn, one of partners of the child care specialist and an
experienced teacher.
 The company has a number of adequate institutional partners.
  Good location which is in Makati Business District.

Weaknesses:
 There is no Bureaucracy or a Government system in which most of the
important decisions are made.
 Rapid turnover of employees creating a hiatus.
 Lack in proper delegation of position.
 Inconsiderate attitude of the partners.

Opportunities:
 Increasing demand for child care services.
 Venture of another market segments.
 Innovation of technology.
 Opportunity to exploit each partners potential.

Threats:
 Increasing competitors.
 Losing the business programs due to “Copy Cats” who imitates their
approach.
 Threat of losing some clients.

VII. ALTERNATIVE COURSE OF ACTION

Alternative Course of Action 1

Mama Bear Child Care Center should expand their business from a partnership
into a corporation

Advantages:

• The center will be considered to be more stable entity than any business.

• Opportunity to earn higher profit.

• In corporation, there will be a proper delegation of duties.

 Disadvantages:

• It requires a higher capitalization.

• It will expose the business to a higher risk of mismanagement.

Alternative Course of Action 2

Mama Bear should keep the partnership and maintain the operation of their
current business.

Advantages:

• The management of the business will be easier than in a corporation.

• Lower cost

Disadvantages

• Losing opportunity to earn higher profit

• They may lose out to their competitors.

• Higher chance of bankruptcy.

Alternative Course of Action 3

Mama Bear should remain a partnership and expand by establishing more centers
in their target area.

Advantages:
• It will attract new customers.
• Greater potential for profit.
• There is a possibility that the partnership will be a well-known business.
• It will give more job opportunity for those unemployed.

Disadvantages:
• There may be a shortage in cash to cover up the expansion cost.
 • Too much involvement in market could cause them not to perform well.

Criteria ACA1 ACA2 ACA3

Increases Debt 1 2 3

Increase Profit 2 1 3

Timeliness 1 3 2
Total 4 6 8

VIII. CONCLUSION

Legend: 3 being the highest, 1 the lowest

To sum it up ACA 3 as the highest scale to take the risk for the increasing debts
but has a greater possibility for a higher return for the stability of the business.

IX. RECOMMENDATION
We highly recommend Alternative Course of Action 3 by establishing
more centers in target areas. It is best to stay in the middle among the three alternative
courses of action. Being on a steady phase is not good especially when the external
environment is gradually changing. On the other hand, being a corporation will make
it more difficult because in our opinion, the business is still lacking in so many ways
they are just in 5 years of operation and their issues with rapid turnover of their
employees is still unsettled, they shall considered the idea of being a corporation
when everything is in hand.
X. PLAN OF ACTION

ACTIVITIES OBJECTIVES TIME RESOURCES Person in

FRAME NEEDED charge

1. Raising Money for To Increase 1-2 months Cash Mylene

Capitalization their funds

2. Acquire new To start the 1 month Funds Antonette

technologies needed expansion and
for expansion and improvement of
improvement of services
service

3. Hiring a Financial To increase the 1 month Human Antonette

and Marketing customers Resource
Advisor for making
business strategies
for them

4. Employing To employ a 1 month Human Alalyn

qualified personnel qualified Resource
which are closely personnel
attached to the kids.

5. Start of operation To achieve their All Partners

target goals