Chapter 1

Introduction

A. The Business Concept

Product/Value Proposition

El Pafayle: makers of jello graham is an enterprise which mainly offers sweet

dessert or snack characterized by a modified mixture of all-time favorite jelly and

graham cake with a twist. There is also an additional sweetened condensed milk at the

top. As stated, this product was differentiated from standard jelly and graham.This two-

layer dessert contained a unique taste that will delight customers together with the

product’s pleasant presentation. Customers can also avail promos as they undergo a

repeating purchase (5-10 products per day).There will be a free dart game with specific

prizes per target. Also with a tagline “El Pafayle , sweetness don’t fail” , the business

highlights the love for sweets and the passion for colourful twist for jellies.

Target Customers

The target customers are those who have a sweet tooth, and the taste of

sweetness was their ultimate comfort food. Technically, all different people either

young’s or oldies that are living in the province, are the target buyers of the product

especially those who are the residents of Daet Camarines Norte and customers near

the business location , students and teachers of Mabini Colleges,Inc., for instance are

the expected customers.In addition, there will be an initial survey to examine and

evaluate the possible feedback of the customers to the product.

Distribution Channel

The products of El Pafayle enterprise, which is jello graham, can be avail through

direct buying on the main store, pre ordering with free-delivery system via internet,

consignment, and by the stores of partners. By the means of contacting the partners

through contact number, online or visiting the page, and directly, customers can

purchase the product. .There will be product promotions to be conducted via online

through “El Pafayle :Makers of jello graham” Facebook page wherein it will be manage

by the proponents .Flyers will also be distributed to customers for them to be aware

about the business and also will serves as the sales promotion strategy.Regarding the

direct selling process, there will be a creative stall (main store) that highlights the

sweetness and love theme portrayed by the product and student vendors. Also with

regards to the consignment, chosen stores will be given product samples.

Business Location

El Pafayle can be located along the premises of Mabini Colleges,Inc. at Gov.

Panotes Avenue ,Barangay 7,Daet Camarines Norte.Also it can be avail at Vargas’

store at Talisay Camarines Norte(consignment).Through its online page, it can also be

delivered at Labo, Jose Panganiban ,Daet and Talisay Camarines Norte through the

delivery services offered. Furthermore, the products are made at Rigon’s residence

located at Happy Homes, Barangay Pamorangon, Daet, Camarines Norte which also

serves as the production and preparation area of El Pafayle.

B. The Business Model

The business which is El Pafayle enterprise will utilize consignment and creative

selling of products to raise its revenues as stated in the distribution channel. There will

be a utilization of creative stall and online promotions. Also an initial survey will be

conducted which comprises the possible quality-quantity feedback of the expected

customers. The product then should be properly relevant to the satisfactory level of the

customers and that it will not cause any buyer’s remorse supported by the proper

customer service implemented to increase repeat purchase.

The cost of the entire business is approximately (php) wherein it is allocated for

the miscellaneous expense, for packaging and making of the product itself and for the

utilization of stall.These costs will be manage by the capital collected through the

proponents’ contribution and shares .Factors such as the unexpected expenses and the

price of any item to be purchase by the business will be controlled by conducting a

financial analysis of the costs .Prices of the product (per unit) will also be based on the

results after computing all the expenses and expected revenues with respect also to the

initial survey about the possible purchasing power of the customers.

Along with the capital of the 5 main proponents, there will be an additional 3

more investors involved for investment These investments will be a competitive edge

as it will help raise revenues and increase the profit to be expected.For monitoring

purposes for the flow of money, there will be a day-to-day tabulation on sales .

As the business continues and may expand , additional investments can help

maximize the profit also along the monitoring of price of the product which the lesser the
price ,the higher the expected sales .Product differentiation and innovations can also be

applied to sustain and assure the growth of the business and to attain the full Return On

Investment (ROI).

C. The Business Goals: Vision, Mission and Objectives

The vision of El Pafayle is to be the all time favorite snack in Daet ,Camarines

Norte which was known for being delicious and affordable .Also it will be well –known

and will branch out among the other municipalities of Camarines Norte and even among

the areas in Bicol Region.

The Business Goals are tackled through the statement of mission that comprises

the purpose of the enterprise.And also it theoretically includes the maximization of profit

and creating 100% ROI.

The mission of “EL PAFAYLE Jello Graham is that it aims to provide an

authentically delicious and sweet jelly graham in affordable price .Specifically it aims to

meet the expectations of the customers and to satisfy their taste and preference.

These statements then will help the business to visualize their long-term

prospects. The objectives are also being formulated also known as the possible end

results.These objectives include the specified end results that should be characterize of

being attainable,achievable and along great measures.

For El Pafayle ,their specified objectives are: (1)to earn continues profit reflected

by financial monitoring ;(2)to establish strong mark to customers for a good customer

service; (3) to encourage and delight customers through good quality products with
respect to its justified and fair price ; (4) and to make El Pafayle one of Bicol’s most

promising and profitable enterprise

These business goals are then stated to support the possible continues growth of

the business and will serve as the foundation for a more competent business .

D. The Business Offering and Justification

The investors invested a total of _______php to El Pafayle enterprise. With ___

% of shares ,eight persons contributed an amount of _____php each for the business.

Financially speaking , there will be a computation of ROI (Return on Investment) with

___% which comprises the revenues amounting ____php and expenses with a total of

____php .All in all ,the business has an estimated amount of ____php net profit per

month.

Chapter II

Executive Summary
 Chapter III

The Business Proponents

LIST OF OFFICERS

The proponents set their respective duty based on their expertise to execute their
roles and responsibilities.

Table 1

List of Officers

Name of Officers Position

Patrice Jean O. Asis Manager
Karen Faye E. Villacruel Bookkeeper
Alyssa D. Rigon Production Officer/Sales Lady
Maria Eloisa G. Vargas Production Officer/Sales Lady
Christine Joy S. Era Production Officer/Sales Lady
Table 1 shows the respective position of each proponent.

1.1 Job Description and Specialization

The proponents will perform the following roles and responsibilities for the
operation and retention of the business.

MANAGER

Duties and Responsibilities

 Lead in the formulation of business’ goal

 Organizing the plans and strategies for the growth and development of the
business
 Inspiring the co-workers to work with passion
 Liable for the approval when it comes to decision making
 Overseeing the whole operation from the production, marketing and
financial aspect
BOOKKEEPER

Duties and Responsibilities

 Responsible for recording all the transactions in the business

 Liable for keeping the financial records
 Reporting the transactions and financial records to the manager

PRODUCTION OFFICERS

Duties and Responsibilities

 Supervise the processing of the products

 Maintaining the quality of the product
 Ensure that the tools and equipment are in good conditions

SALES LADY

Duties and Responsibilities

 Making sure that the appearance of the product and location are
presentable
 Responsible for fulfilling the customer service

Chapter IV
 The Target Customers and the Main Value Proposition

Target Customers
Generally the target customers of “El Pafayle Enterprise” are all consumers that

can be reach by the business along the premises of Daet Camarines Norte.Initially as

for the tentative customers representing the students of Mabini Colleges Inc.,Grade 11

and Grade 12 students with the total population of 1507 are being chosen to be the

source of information regarding the possible feedback that the customers may say

about the product .

Demographics

As for the statistical data about the characteristics of the population in terms of

age ,gender ,and year level, there are a total of 314 students between the age bracket

of 16-21 years old. With a total of % of female respondents and % for male

respondents,the business mainly focus on the students of Mabini Colleges specifically

the Senior High School Students.The business believe to focus on the students

representing the possible whole target population for it fits to the easy access for the

product as they can be found near the location of business.

Psychographics
To create a detailed customer profile, the analysis of consumer lifestyle were

being scrutinize by the proponents that can also be considered as the market

researchers through conducting psychographic research. By the pre-survey conducted ,

the proponents include questions that may help the customer choose or decide if they

would agree to the product .There are a total of 300 respondents out of the 314 total

sample population who agreed to accept the possible twist to be made between the
products of jelly and graham .Specifically % of the total samples frequently patronize

graham products while % for jelly products.

Technographics

Through the process of market segmentation, the business mainly focus on the

students of Mabini Colleges specifically the Senior High School students. Samples of

population are being fairly chosen to represent each strands and tracks that may also

represent various behaviours. ABM (Accountancy and Business Management),STEM

(Science,Technology,Engineering and Mathematics),HUMSS(Humanities and Social

Sciences),GAS (General Academic Strand) and TVL ( Technical ,Vocational and

Livelihood) are the strands included in the said pre-survey to greatly analyze the market

represented by the students.

They are being analyzed with their respective purchasing power and interests

through also the pre-survey questionnaire made by the proponents.

List of Population

Table 2.Actual Population of the Target Market

Grade 11 Grade 12
Academic Track TVL Academic Track TVL
600 210 475 222

Total: 810 697

Total population : 1507
Table 2 shows the actual population of Senior High School students from Academic and
TVL track of the Mabini Colleges for the present school year(2017-2018).
Table 3.Total Number of Sample Population
 Grade 11 Grade 12
Academic Track TVL Academic Track TVL
149 30 63 58

Total: 179 121

Total population : 314
Table 3 shows the total number of samples used which comprises by the mixture of
Grade 11 and Grade 12 students from the Academic and TVL track.

Main Value Proposition

The enterprise uses various strategies to create value to customers. With the

tagline “El Pafayle ,sweetness don’t fail” ,this statement convinces a potential consumer

that the product will add more value and build up uniqueness than other similar

offerings.This was differentiated along other offerings through relating to what the

customers may prefer or like along the strategy of using love and sweetness as the

theme to encourage customers especially to the target market which mainly comprises

by the students .

As for the unique selling proposition of the enterprise, lower cost of the product

offered by the business may bring up more revenues. Moreover, through the use of

various channels for distributing the product specifically the utilization of the Facebook

page made by the proponents, it will create strong bonds along the customers as it

offers a freedom for communication to answer inquiries and accept feedbacks regarding

the business .

Chapter V
Market Analysis
 This chapter estimated the total market supply and demand for the product

offerings of the enterprise.

1.Market Description

1.1 As stated in the previous chapters the target market of the business is

the Gov. Panotes Avenue,Barangay VII,Daet Camarines Norte, specifically along the

premises of Mabini Colleges ,Inc.

1.2 Competitors

 Within the area of Gov. Panotes Avenue,Barangay VII ,Daet

Camarines Norte.The business competitors are : Dessert’O,

Pizzanada , FingerDicted, and Sweet Potato .

1.3 Geographical Location

 The main production area of El Pafayle Enterprise is located at Happy

Homes, Barangay Pamorangon, Daet, Camarines Norte.And the

stall/cart is operated within the vicinity of Daet Camarines Norte

especially along the scope of Gov.Panotes Avenue,Barangay VII,

Daet Camarines Norte.

1.4 Population

Table 4

Historical Population
School Year Total Population of Senior High School
Students
2016-2017 714

2017-2018 1057
 Table 4 shows the historical population of the Senior High School Students of
Mabini Colleges,Inc. for the school year 2016-2018

Table 5

Projected Population
2017-2018 2018-2019 2019-2020

Total Population 1507 1597 1693

Table 5 shows the population of Senior High School students of Mabini

Colleges ,Inc. projected through the constant 6% rate increase per school year
Source:

1.5 Age Group:

As part of the demographic profile , age has been one of the classifications/
demographics used that ranges 16 to 21 years of age.

2. Demand
Table 6
Historical demand for year 2016-2018
Year Total 95% Total Annual Total Demand
Population Population Average (pieces)
who purchase Consumption
Jello Graham
2016-2017 714 678 150 101,700
2017-2018 1507 1431 150 214,650

Table 6 shows the Historical demand from year 2016 to 2020 the total
demand derived from the number of population who will buy Jello Graham
multiplied by the average annual consumption

Table 7
Projected General Demand for year 2017-2020
Year Total 95% Total Annual Total Demand
Population Population Average (pieces)
who purchase Consumption
Jello Graham
2018-2019 1597 1517 150 227,550
2019-2020 1693 1608 150 241,200
2020-2021 1795 1705 150 255,750
 Table 7 shows its General projected demand of Jello Graham for year 2018
to year 2021 the total demand derived from the number of population who will
purchase Jello Graham multiplied by the average annual consumption.

Table 8
Projected demand of Jello Graham for year 2017-2020
Year Total 95% Total 93% of Annual Total
Population Population Total Average Demand
who Population Consumption (pieces)
patronize willing to
Jello buy and try
Graham Jello
Graham
2018-2019 1597 1517 1485 150 222,750
2019-2020 1693 1608 1574 150 236,100
2020-2021 1795 1705 1669 150 250,350
Table 8 shows its projected demand of Jello Graham year 2017 to year 2020
the total demand derived from the number of population who will purchase Jello
Graham multiplied by the average annual consumption.

3.Supply Analysis

Table 9
Historical Competitors Analysis
Competitor Daily Basis 2017 2018 2019
Dessert’O
Pizzanada
FingerDicted

Total :
Table 9 shows the total volume of supply made by competitor annually the
production changed is based on the estimated % increase on the competitor’s
sales daily.

Table 10
Projected Competitors Analysis
Competitor 2017 2018 2019
Dessert’O
Pizzanada
FingerDicted
 Table 10 shows the total projected volume of supply made by competitor
annually the production changed is based on the estimated % increase on the
competitor’s sales

Table 11
Demand--Supply Analysis
Year (1) Demand(2) Supply(3) D-S GAP Capacity in
(4)=(2)-(3) Units (5) Market share
(6)=(4)*(100)

Note: The Table 11 shows the total demand and supply gap of Jello
Graham in Mabini Colleges ,Inc.,Gov.Panotes Avenue,Barangay 7,Daet
,Camarines Norte.The gap is computed by subtracting the total demand by the
total supply .The percentages of market share is by dividing the projected
capacity in units of the proposed product to the demand gap multiply by 100.

Slovin Formula was being used to get the samples from the whole population
with a margin error of 5%. To calculate, the use of the variables: sample size (n) given
the population size (N) and a margin of error (e) is computed as n = N / (1+Ne2). As the
sample is taken from a population, the formula was used to take into account
confidence levels and margins of error.(Source: )
n= __1507_
1+1507(0.05)^2 Legend:
=1507 n=Sample
1+1507(0.025) N= Population
e = Margins of error
=1507 (5%)
4.8

=313.95833…(round-off)

n=314

Industry Dynamics
(RRL)

Competing enterprises
Direct Competitors
The following enterprises or businesses were classified as direct
competitors since they primarily sells the same product (jelly or graham) similar to what
El Pafayle offers:
Direct Competitors
Company Product Price
1.Dessert’O Graham
2. Jelly

Indirect Competitors
The following business were categorized as indirect competitors since they do
not offer similar product with the enterprise ,however, they sell products that can be
considered as an alternative to what El Pafayle Enterprise offers:

Indirect Competitors
Company Product Price
1.FingerDicted
2.Pizzanda
3.Butz
4.

-comparative advantages and disadvantages.

- business models and strategies
- suppliers in the industry (e.g., fuel, electricity, raw materials, machinery and
equipment) and their capabilities and bargaining power.
- channels of distribution and the effectiveness of these channel.
- consumer market segment being served by rivals or competitors

Macro Environmental Factors

Factors
Socio-cultural Environment

Political Environment

Economic Environment

Ecological Environment

Technological Environment
 Chapter VI
The Product/Service Offerings

Product Description

Importance

Evolution.

What is the product or service? (Features and attributes (uniqueness and

differentiation)
Motivation- why customer should buy the product

Distribution Channel

Consignment and Direct selling will be used as the distribution channels of El

Pafayle Enterprise.The producers chose these two to distribute the product for the

expected end customers which was defined as the students of Mabini Colleges,Inc.
 Chapter VII
The Financial Forecasts and Expected Returns, Risks and Contingencies

Sales Forecast /Marketing Budget

Initial Investment
Products/Materials Packing Unit Unit Price Amount
Refrigerator ___ 1 5000 5000
Cart ___ 1 3000 3000
Graham 250 grams 2 31 62
Jelly powder Grams 1 9 9
Condensed Milk Grams 1 28 28
Evaporated Milk Grams 1 18 18
AllPurpose Cream Grams 1 45 45
Marshmallow Grams ½ 40 20
Sugar 1/8 1 8 8
Plastic cups with 24 pieces 1 41 41
cover
Plastic spoons 100 pieces 1 60 60
Total 8291
291 *30*12
104,760

Table ?
Total production Cost

Description Amount Remarks

Raw Materials 104,760 Total cost of all
materials directly used
for production.
Factory Overhead 3600 Amount of all cost
indirectly relating to
 production.
Total 108,360
Table shows the total production cost of Jello Graham amounting to a total
of ?php.

Utilities
(includes water ,fuel and electricity)
Monthly Annually
820 24600

Property,Plant and Equipment

Kitchen Equipment

Cost Total Useful life Depreciation

1 Stove 350 350 5 70
1 Cart 3000 3000 5 600
1 Refrigerator 5000 5000 10 500
1 Caserole 250 250 5 50
8600 1220

Financial Analysis
Financial Ratio Formula Result
Measures of Profitability
a.Return on Net Income /Total
Investments Investments
b.Return on Equity Net Income/Partner’s
Equity
c.Return on Sales Net Income/Net Sales
Materials 104,760
Factory Overhead 3600
Depreciation –KitchenEquipment
Utilities 24600
Total Cost
Capacity
Cost Per unit
Mark-up
Selling Price

Financial statement

Income Statement

Balance Sheet

Cash Flow Statement

Funds Flow Statement

Business and Financial risks

 Chapter VIII
Environmental and Regulatory Compliance

 Articulate the laws, rules, and regulations governing the business, and the
industry that the enterprise is in.
 Permits, licenses and authority to use proprietary intellectual capital had either
been secured or would definitely be secured.
 own-made business permit
Annexes
- Survey questionnaire sample
- Survey questionnaire tabulation
- Letters for List of target customer.
- List of Population
- Financial Statement
 ANNEX A: Survey Questionnaire for Target Customers

MABINI COLLEGES

Name : Age :

Grade/Strand/Section : Gender :

SURVEY QUESTIONNAIRE

Direction : Please put a check in your answers and indicate the necessary information needed at the
spaces provided. Follow the instructions provided and do not leave any spaces unanswered.

1. Do you eat Graham?

____ Yes _____No

2. How about Jelly?

____ Yes _____No

3. If yes, how frequent ?

_____Daily ______Weekly

_____Monthly ______Occasionally

_______(If not stated,please indicate here)

4. If we are going to introduce to you a new product which has a twist for jelly and graham, will you
patronize it ?

_____Yes ______No

5. If yes , how often ?

_____Daily ______Weekly

_____Monthly ______Annualy

_______(If not stated,please indicate here)

6. How much will you prefer to buy our product ?

 _____10php ______15php

_____20php ______25php

_______(If not stated,please indicate here)

ANNEX B: Survey Questionnaire for Competitors

SIGNATURE
MABINI COLLEGES

Name: Age :________________________

Gender : Location of Business:________________

SURVEY QUESTIONNAIRE

Direction : Please spare a few minutes of your valuable time by answering the questions below.Put a
check mark at your answers and indicate the necessary information needed.

1. What product/s do you offer?

____ Graham _____Jelly

____Both _____(if not stated,please indicate here)

2. How much does your product cost?

____10php _____25 _____(if not stated,please indicate here)

3. What distribution channel are you using ?

______Direct selling _____Consignment ____________(if not stated,please indicate here)

4. Who are your target market ?

_____Students _____Teachers ______(if not stated,please indicate here)

5. What values(benefits and features) are you offering for your customers?

Benefits:_________________________(please specify here)

Features:_________________________(please specify here)

6. What advertising and marketing strategy are you using in your business?

_____________________________________________________________________
_____________________________________________________________________
 - ANNEX C: Survey questionnaire tabulation

C1. Tabulation for Grade 11 with respect to their Product Preference and Consumption
STEM ABM HUMSS TVL GAS

1.Do you eat Grahams?

Yes- 41 36 40 28 15
No- 0 0 0 0 0

2 .How about jelly?

Yes- 40 36 39 22 14
No- 1 0 1 6 1

3. If yes, how frequent?

Daily- 6 2 11 6 4
Weekly- 8 4 7 6 5
Monthly- 12 18 16 11 4
Occasionally- 15 12 6 5 2
Others-

4. If we are going to introduce new product

which has a twist for jelly and graham will you
patronize it?

Yes- 40 36 39 25 15
No- 1 0 1 3 0

5. if yes, how often?

Daily- 9 7 11 9 5
Weekly- 24 5 28 6 3
Monthly- 8 23 1 13 6
Occasionally- 0 1 0 0 1
Others-

6. how much will you prefer to buy our

product?

12 35 12 10 3
10php- 12 0 16 11 7
15php- 12 0 6 2 3
20php- 5 1 7 5 2
25php-
Others-

C2. Tabulation for Grade 11 with respect to their Demographic Profile

STEM11 ABM11 HUMMS11 TVL11 GAS11

Gender

Female- 26 31 25 10 5
Male- 26 5 15 17 10

Age

16- 7 7 4 3 2
17- 31 26 30 15 9
18- 4 3 5 6 4
19- 0 0 1 3 0
20- 0 0 0 0 0
21- 0 0 0 0 0

C3. Tabulation for Grade 12 with respect to their Demographic Profile

STEM12 ABM12 HUMMS12 TVL12 GAS12

Gender

Female- 14 35 18 10 6
Male- 15 6 9 41 6

Age

16- 0 2 0 2 0
17- 8 11 7 10 1
18- 18 27 20 34 9
19- 3 1 0 4 1
20- 0 0 0 0 0
21- 0 0 0 1 1
 STEM12 ABM12 HUMMS12 TVL12 GAS12
1.Do you eat Grahams?

Yes- 29 41 27 51 12
No- 0 0 0 0 0

2 .How about jelly?

Yes- 28 38 25 36 10
No- 1 3 2 15 2

3. If yes, how frequent?

Daily- 3 4 8 5 3
Weekly- 5 10 7 11 0
Monthly- 10 6 12 16 7
Occasionally- 11 21 0 19 2
Others-

4. If we are going to introduce new

product which has a twist for jelly
and graham will you patronize it?

28 36 24 46 12
Yes- 1 5 3 6 0
No-

5. if yes, how often?

Daily- 4 9 1 7 2
Weekly- 7 6 9 15 2
Monthly- 8 11 9 13 6
Occasionally- 10 15 8 16 2
Others- 0 0 0 0 0

6. how much will you prefer to buy

our product?

10php- 13 28 15 17 10
15php- 9 6 3 17 2
20php- 4 5 7 9 0
 25php- 3 1 1 8 0
Others- 0 1 1 0 0

C1. Tabulation for Grade 12 with respect to their Product Preference and Consumption

ANNEX D: Sample Letter for Target Customers

March 1, 2018

Dear Respondent,

Good day!

We the proponents, belonging to Senior High School students of Mabini Colleges Grade
12 Euro, is presently conducting a pre-survey for the business plan entitled “El Pafayle
Enterprise” as a requirement in the Accounting, Business, and Management (ABM) strand.

In line with this, we want you to be part of this survey as one of our respondents and
provide the necessary data needed in the survey. Rest assured that all data gathered will be
treated with utmost confidentiality and will be used for academic purposes only.

Thank you for your cooperation and kind indulgence.

Sincerely yours,

Patrice Jean O. Asis

Group Representative
Noted by:

Marilou N.Gaurino

Entrepreneurship adviser

- ANNEX E: List of Population

E1.Actual Population of Senior High School Students of Mabini Colleges

Grade 11 Grade 12
Academic Track TVL Academic Track TVL
600 210 475 222

Total: 810 697

Total population : 1507

E2.Sample Population used for Pre-Survey

Grade 11 Grade 12
Academic Track TVL Academic Track TVL
146 30 80 58

Total: 176 138

Total population : 314
Documentation
- Final product
- Conducting a Survey
- Business Proponents (C.V)