900 San Marcelino Street, Ermita Manila 1000

A Study of the Vendors’ Allocation of their Monthly Income

A Study Submitted to
Ms. Maria Celia Rivera Montenegro
in Partial Fulfilment of the
Requirements for the subject
Mathematics in the Modern World
In Adamson University
Ermita, Manila

Submitted by:
Aquino, Kollen R.
Collado, Christine Faye C.
Dimapilis Romina M.
Marimon, Mae Celine R.
Zaporteza, Hanjin Margaret C.

April 2020
Collect: Introduction

Today, where poverty is regarded as the root cause of other problems, people

find ways of how to survive. They tend to strive harder in the things they do. As a way of

surviving, they create their own way of earning money. Good examples of this are

street vendors who willingly took the risk in putting up a small business to meet the

needs of their family.

Alfie (2014) stated that poverty and lack of useful employment in the rural areas

and the smaller towns drive large number of people to the cities for work and their

employment. These people usually own low skills and lack in the level of education

required for better paid jobs in the formal sectors. And those who do not have economic

powers and those who were left-out add on to the statistics of unemployment. Hence, in

order for these individuals to survive in the competitive world, they sort working in the

informal sector of the society. And one of the means of livelihood is sidewalk vending,

as it requires minor financial input and the skills involved are low.

In terms of strategies, the street vendors do not usually plan. They manage their

business according to their knowledge. Most of them are neither business graduate nor

business oriented. They operate according to their instincts (Hiemstra et al., 2006). Rea

(1989) found that having business plan may help in business success. On the other

hand, Belassi and Tukel (1996) mentioned that the lack of planning and technical

knowledge lead to bankruptcy. This is supported by Becker (2009) who said that paucity

of knowledge and education are primary factors which contribute to the failure of any

activity or business. Rea (1989) discussed that at start business operations may be

well; however, time will dictate the effect of unpreparedness. Undeniably, street vending
has contributed to the economy of any country; however, this sector is neglected and

not well legally established (Kusakabe, 2010). Thus, street vendors deserve to be

assisted by the government to grow. It is important that these vendors are able to

manage their livelihoods so that their status may have impact in the society. They need

to improve their social security and stability (Saha, 2011).

Street vending is rapidly sprouting on major streets in Manila. In this kind of

occupation, very few are known to be successful and meet what is more than of their

needs. Thus, a study is conducted to in order to better understand how these people

cope up to their finances with their income from the business. This study is made for

two reasons. First, studies on how much income earned by the people engaged in

street vending businesses, and second, this study inquired how these street vendors

utilized their finances.

Background of the Study

Street vendors are identified as self-employed workers in the informal sector who

offer their labor to sell goods and services on the street without having any permanent

built-up structure (National Policy on Urban Street Vendors [NPUSV], 2006, p. 11).

Various studies have already confirmed the fact that street vendors comprise one of the

most marginalized sections of the urban poor. It is also seen as a solution by most

population from economic difficulty not only by many poor Filipinos but also by other

individuals world-wide. It can also be observed that it is a refuge occupation to many

who are not capable of putting huge investment.

 According to Golosino (2012), Vendors congregating to the sidewalks were

notoriously known as eyesores and obstructions. In the words of Senator Santiago

quoting Mayor Peñalosa she said “a good city is one with great sidewalks”. In the

Philippines, especially in the urban areas, sidewalks lost its essence from the

perspective of the 'pedestrian. It was supposedly an access point for those who want to

catch time and would like to avoid traffic by means of walking. Instead, sidewalks were

transformed into a pseudo marketplace. As recourse, pedestrians resort to walking on

the road exposing them to greater risk and add to the congestions of the street.

On the other hand, Aurora Almendral (2014) believed that in a city like Manila,

where even the cheapest fast food meals can feel like a splurge for many office

workers, informal stalls with minimal overhead and cheap wares like one of the street

vendors she now fill a need and help the city run more efficiently. Yet as much as

Manila may need its vendors, it often doesn’t treat them well at all, imposing

burdensome regulations and limiting how they use the public space ‘that is their

marketplace.

 In a journal article written by Sharit K. Bhowmik, he stated that street vendors

are mainly those who are unsuccessful or unable to get regular jobs. However, this

section of the urban poor tries to solve their problems through their own inadequate

resources. Unlike other sections of the urban population they do not demand that

government create jobs for them, or engage in begging, stealing or extortion. They try to

live their life with dignity and self-respect through hard work. In addition to that, street

vendors have no access to formal finances, and they largely rely on their own savings,
and finances from friends and relatives. Majority of the street vendors are not organized

into groups, they are unable to pool their resources through revolving saving.

Despite the importance of street vendors in urban areas, these individuals face a

series of interconnected issues as mentioned above; one of the crucial points there is

their proper utilization of income. With this situation, a study of street vendor’s allocation

of their monthly income is generated to fully understand how they were able to handle

their finances.

Setting of the Study

Similar to the setting used in a work by Ivan Perry Mercado (2013), this study will

be conducted in Metro Manila, Philippines (Figure 1). The Philippines is a tropical

country consisting of 7,107 islands between 4.23N and 21.25N and between 116E and

127E longitude.

The Philippines is predominantly Roman Catholic country (82%) and is the only

Christian nation in Asia. There are 111 linguistic, cultural and racial groups, of which

over 36 are more ethnic groups scattered throughout the archipelago. The relative

isolation provided by the islands has made ethnic regionalism evident to this day. The

national language is Tagalog, although 70 languages and dialects of Malayo-Polynesian

origin are also currently spoken.

The Philippines is using a bilingual medium of instruction. Certain subjects are

taught in English and the rest in the national language that is Filipino. Throughout the

islands, English is widely spoken as a second language.

 This study will particularly take place in Adamson University located in San

Marcelino Street, Ermita in Manila. The Technological University of the Philippines,

Santa Isabel College Manila, Emilio Aguinaldo College, and Philippine Normal

University are its nearest neighbors. The university has seven buildings occupying 10.7

hectares of land. It is a private and Catholic university in Manila, Philippines, founded on

June 20, 1932, by Greek immigrant George Lucas Adamson as the Adamson School of

Industrial Chemistry. On February 5, 1941, the school was granted university status by

the Department of Education, and on December 4, 1964, the university was turned over

to the Vincentian Fathers of the Congregation of the Mission with Saint Vincent de Paul

as its patron saint.

 Figure 1

Map of Metro Manila

Method of Research Used

A quantitative method will be followed in this study. It is supported by Robson

(2007) who stated that this method uses a fixed design that organizes in advance the

research question and a detailed method of data collection and analysis. Burns and

Grove (1993:777) define quantitative research as a formal, objective, systematic

process to describe and test relationships and examine cause and effect interactions

among variables. A non-experimental, descriptive design will be used in this study.

Descriptive design will be applied because its main concern is to get the holistic view of

the vendors’ allocation of their monthly. This study is also non-experimental because

there is a predictor variable that cannot be manipulated by the researcher. This method

and design shall be observed as it will elicit answers and measurements from the

respondents that will be presented through numerical data with the use of survey

questionnaires.

Sampling Technique

A non-probability or a non-random sampling procedure was used for selecting

the participants in this study. Convenience sampling is the non-probability sampling

technique used in which the sample population is selected at the ease and convenience

of the researcher. It involves selecting the sample population on non-random basis. It

means that not everyone in the population has an equal chance of being selected. A

convenience sample of 20 street food vendors around Manila was targeted. The sample

was structured by a questionnaire which intends to answer the allocation of monthly

income of the street food vendors.

Research Instrument Used

Questionnaire. The survey questionnaires will serve as the only instrument of

the data gathering. Its main objective is to gain direct and necessary information

regarding the vendors’ allocation of their monthly income. This is to be done not only to

elicit information but to clarify the input as well as to gain substantial and detailed data

from the participants. Data will be collected with the aid of questionnaires to evaluate

the vendors’ allocation of their monthly income.

Questionnaires were decided upon because of the following:

· They ensure a high response rate as the questionnaires will be distributed for

respondents to complete and will be collected personally by the researcher.

· They require less time and energy to administer.

· They offer the possibility of anonymity because subjects’ names were not

required on the completed questionnaires.

Procedure of Data Gathering

This study will consist of six stages:

Stage I deals with the construction and content validation of the questionnaire

materials. The subject teacher coming from Adamson University faculty will be

requested to validate the questionnaires.

Stage II deals with the vendors who will be selected as the sample respondents

for the study will be oriented about the nature and instruction of the process.

Stage III deals with the dissemination of survey questionnaires to twenty (20)

respondents.

Stage IV deals with the actual conduct of the study using survey questionnaires.
 Stage V deals with the tabulating, analyzing, and interpreting of the data

gathered using several statistical tools.

Stage VI deals with establishing the description of the vendors’ allocation of their

monthly income

Presentation: Statistical Research

To interpret the gathered data, the researchers will use the following:

1. Frequency and Percentage to describe the profile of the respondents. The

percentage will express the relative frequency of each profile as shown below:

f
P= × 100
N

Where: P = percentage; f = frequency counts; N = overall population

2. Measures of Central Tendency: Mean, also called the mathematical expectation

or average, is the central value of a discrete set of numbers: specifically, the sum

of the given data divided by the number of items will be used to interpret data

based on the range of values; Median and Mode

Demographics of the Respondents

The researchers have given out questionnaires to 20 respondents within the

vicinity of the Research Area. The table below shows that majority of the respondents,
whom are regarded as those who own the said street vending businesses, are male
which comprises 65% of the respondents, while the remaining 35% are female
respondents.

SEX FREQUENCY PERCENTAGE

FEMALE 7 35%
MALE 13 65%
TOTAL 20 100%
 Aside from the sex of the respondents, the researchers have also identified their
type of business as well as how long have been these respondents were running their
businesses. The table below shows that there are 2 type of street vending business the
respondents are running. The food related street vending business encompass those
who are selling street food, produce and fruits. The food related type of street vending
have garnered the majority of number among the subjects with a frequency of 16 which
is equivalent to 80%, while the remaining 20% is those vendors who sell general
merchandise which encompass second hand clothes, brand new clothes, plastic wares,
toys, etc.

TYPE OF BUSINESS FREQUENCY PERCENTAGE

FOOD RELATED 16 80%
GENERAL MERCHANDISE 4 20%
TOTAL 20 100%

The table below shows the other factor in identifying the demographics of the
respondent which is how long they have been doing their business. The team have
gathered 4 general answers among the respondents. Most of the street vending
businesses have at least 1 year experience with a 35%, 2 years business experience
with 30%, 3 years business experience with 20% and the last which is the longest. 4
years’ experience with 15%. The researchers have seen a trend wherein the longer the
span of business life, the lower the frequency of the vendors are.

HOW LONG HAVE THEY

BEEN RUNNING THEIR FREQUENCY PERCENTAGE
BUSINESS
1 YEAR 7 35%
2 YEARS 6 30%
3 YEARS 4 20%
4 YEARS 3 15%
TOTAL 20 100%
 The researchers have prepared a table which shows the relationship of the
business types as well as their business lifespan.

HOW LONG
GENERAL
HAVE THEY FOOD RELATED
MERCHANDIS
BEEN STREET PERCENTAG
E STREET PERCENTAGE
RUNNING VENDING E
VENDING
THEIR BUSINESS
BUSINESS
BUSINESS
1 YEAR 6 30% 1 5% 35%
2 YEARS 6 30% 0 0 30%
3 YEARS 3 15% 1 5% 20%
4 YEARS 1 5% 2 10% 15%
TOTAL 16 80% 4 20% 100%

Question Number 1:

1 f rf (100%) median mean mode

4000-4999 5 25
5000-5999 8 40
6000-6999 4 20
5374.5 5799.5 5570.93
7000-7999 2 10
8000-8999 1 5
TOTAL 20 100

Question Number 2:

2 f rf (100%) median mean mode

0-499 3 15
500-999 1 5
1000-1499 7 35
1070.93 1399.5 1124.5
1500-1999 5 25
2000-2499 4 20
TOTAL 20 100
Question Number 3:

3 f rf (100%) median mean mode

1000-1499 7 35
1500-1999 9 45
2000-2499 1 5
1832.83 1774.5 1899.5
2500-2999 2 10
3000-3499 1 5
TOTAL 20 100

Question Number 4:

4 f rf (100%) median mean mode

0-249 4 20
250-499 5 25
500-749 4 20
687 599.5 374.5
750-999 3 15
1000-1249 4 20
TOTAL 20 100

Question Number 5:

FREQUENCY PERCENTAGE
YES 10 50%
NO 10 50%
TOTAL 20 100%

IF YES f rf (100%) median mean mode

0-499 4 40
500-999 6 60
1000-1499 0 0
916.17 549.5 374.5
1500-1999 0 0
2000-2499 0 0
10 100