TABLE OF CONTENTS

APPROVAL PAGE i
COPYRIGHT ii
BIOGRAPHICAL SKETCH iii
ACKNOWLEDGEMENT iv
PROJECT SUMMARY v
TABLE OF CONTENTS xi
LIST OF TABLES xiii
LIST OF FIGURES xvi

BACKGROUND, HISTORY, AND LITERATURE 1

Introduction 1
Review of Related Literature 2

MARKET STUDY 8
Marketing Objectives 8
Product Description 9
Name of the Business 10
Reason for Choosing the Business 10
Features of the Product 11
Market Segmentation, Targeting, and Planning 12
Demand 15
Survey Results and Analysis 17
Qualitative Information 26
Historical and Projected Demand Report 32
Supply 33
Demand and Supply Analysis 35
Marketing Mix 36
Product Strategy 37
Raw Materials 38
Taste 38
Quality 39
Health Benefits 40
Variety 40
Use of the Product 41
Packaging 41
Labelling 42
Price Strategy 44
Place Strategy 48
Promotion Strategy 50
Project Budget Summary 54
Market Program 55
Competitive Analaysis 57
Market Study Conclusion 57

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TECHNICAL STUDY 59
The Product 61
Manufacturing Process 62
Plant Size (Capacity) and Production Schedule 64
Machinery and Equipment, Furniture and Fixtures, and
Tools and Supplies 66
Plant Location 75
Plant Layout 76
Building and Facilities 79
Raw Materials 79
Utilities 81
Waste Management 83
Plant Organization 86
Technical Study Conclusion 87

FINANCIAL STUDY 89
Statement of Assumption 90
Financial Assumption 90
Financial Analysis 128
Decision Criteria 136
Financial Study conclusion 139

SOCIO-ECONOMIC STUDY 142

Taxes 143
Employment and Income 143
Supply of Commodities 144
Demand for materials 144
Socio-Economic Study Conclusion 145

ORGANIZATION AND MANAGEMENT STUDY 146

Formulation of Goals and Objective 146
Consideration in Choosing Business Structure 149
Form of Ownership 150
Composition of Organizational Chart 154
Job Specification and Description 156
Key Officers and Personnel 164
Salaries and Wages of Key Officers 166
Project Schedule 167
Organization and Management Study Conclusion 160

CONCLUSION AND RECOMMENDATION 170

REFERENCES 172
APPENDICES 175

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 LIST OF TABLE

1 Surveyed Population 16
2 Respondents' General Information According to Age 18
3 Products Purchased by the Respondents 19
4 Respondednts' Frequency of Purchase 20
5 Respondents' Location of Purchase 21
6 Respondents' Willingness to Purchase Dessert Drinks 21
7 Respondents' Preffered Flavored Variant 22
8 Respondents' Willingness Amount to Pay for a Milkshake 23
9 Respondents' Willingness Amount to Pay for a Frappe 23
10 Respondents' Willingness Amount to Pay for a Hot and Iced Coffee 24
11 Weekly Consumption of the Respondents' for the Drinks 25
12 Historical and Projected Demand Report 33
13 Historical and Projected Supply of the Competitors 34
14 Market Share and Market Gap Report 35
15 Market Share and Market Gap Report 35
16 Selling Price of Different Variety of Coffee Right 46
17 Selling Prices of Different Competitiors 47
18 Schedule of Advertising Expense 54
19 Production Schedule of Coffee Right 66
20 Plant Machinery and Equipment 67
21 Office Equipment 68
22 Delivery Vehicle 69
23 Plant Furniture and Fixture 69
24 Office Furniture and Fixture 70
25 Plant Tools 71
26 Plant Supplies 72
27 Office Supplies 73
Comprehensive Machinery, Equipment, Furniture and Fixture, Tools and
28 Supplies 74
29 Raw Materials and Suppliers of Coffee Right 81
30 Electricity Consumption of Coffee Right 82
31 Water Consumption of Coffee Right 82
32 Schedule of Utilities 83
33 Direct Material Cost per Unit 84
34 Detailed Direct Labor 84
35 Direct Labor per Unit 85
36 Manufacturing Overhead per Unit 85
37 Project Cost of MAKE Corporatiom (1month) 93
38 Financing Source of MAKE Corporation 94
39 Projected Statement of Comphrehensive Income of MAKE Corporation 94
40 Projected Statement of Financial Position of MAKE Corporation 95
41 Projected Statement of Cash Flows of MAKE Corporation 96
42 Projected Statement of Changes in Equity of MAKE Corporation 97

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43 Note 1: Sales 98
44 Note 2 Cost of Sales 98
45 Note 3: Administrative Expenses 99
46 Note 4: Selling and Distribution Expenses 99
47 Note 5: Other Expenses 99
48 Note 6: Interest Income 100
49 Note 7: Cash and Cash Equivalents 100
50 Note 8: Inventories 100
51 Note 9: Supplies 100
52 Note 10: Property, Palnt and Equipment 101
53 Note 11: Trade and Other Payables 102
54 Schedule of Taxes anf Licenses 103
55 Schedule of Purchase for 2017 104
56 Schedule of Purchase for 2018 104
57 Schedule of Purchase for 2019 105
58 Schedule of Purchase for 2020 105
59 Schedule of Purchase for 2021 106
60 Schedule of direct Material for 2017 107
61 Schedule of Direct Material for 2018 108
62 Schedule of Direct Material for 2019 109
63 Schedule of Direct Material for 2020 110
64 Schedule of Direct Material for 2021 111
65 Schedule of Detailed Direct Labor for 2017-2019 112
66 Schedule pf Detailed Direct Labor for 2020-2021 112
67 Schedule of Direct Labor per Unit 2017 to 2019 113
68 Schedule of Manufacturing Overhead 114
69 Schedule of Indirect Materials for 2017 to 2019 115
70 Schedule of Indirect Materials for 2020 to 2021 115
71 Schedule of Indirect Labor for 2017 to 2019 116
72 Schedule of Indirect Labor for 2020 to 2021 116
73 Schedule of Net Pay for 2019 to 2019 117
74 Schedule of Net Pay for 2020 to 2021 117
75 Schedule of Salaries/Wages, and 13th Month Pay 118
76 Schedule of SSS, PhilHealth, Pag-ibig and Withholding Tax 120
77 Schedule of Employer Contribution 121
78 Schedule of Depreciation Expense for Plant Equipment 122
79 Schedule of Depreciation Expense of Office Equipment 122
80 Schedule of Depreciation Expense of Plant Furniture and Fixture 123
81 Schedule of Depreciation Expense of Office Furniture and Fixture 123
82 Schedule of Depreciation Expense for Plant Tools 124
83 Schedule of Depreciation Expense for Delivery Vehicle 124
84 Schedule of Utilities Expense 124
85 Schedule of Plant Supplies 125
86 Schedule of Office Supplies 125
87 Schedule of Rent Expense 126
88 Schedule of Advertising Expense 126

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 89 Schedule of VAT Payable 127
90 Current Ratio for 2017 to 2021 128
91 Quick Ratio for 2017 to 2021 129
92 Gross Profit Margin for 2017 to 2021 130
93 Operating Profit Margin for 2017 to 2021 131
94 Net Profit Margin for 2017 to 2021 131
95 Return on Assets 132
96 Return on Equity for 2017 to 2021 133
97 Asset Turnover for 2017 to 2021 133
98 Inventory Turnover for 2017 to 2021 134
99 Debt Ratio for 2017 to 2021 135
100 Equity Ratio for 2017 to 2021 135
101 Debt to Equity Ratio for 2017 to 2021 136
102 Fixed Assets to Total Equity Ratio for 2017 to 2021 136
103 Payback Period of MAKE Corporation 137
104 Breakeven Point Analysis in Sales 138
105 Salaries and Wages of Key Officers 166
Salaries and Wages of Production Crews, Sales Representative, and
106 Delivery Man 167
107 Project Activities of MAKE Corporation 168

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 LIST OF FIGURES

1 Product Logo 9
2 Target Maket of Coffee Right 14
3 4P's of Marketing 36
4 Packaging Design 42
5 Espresso Shot Front and Back Label 43
6 Java Chip Front and Back Label 44
7 European Blend Front and Back Label 44
8 Distribution Channels of Coffee Right 49
9 Sample Product Portfolio Cover Page 51
10 Sample Contents of Product Portfolio 51
11 Product Logo 60
12 Manufacturing Process of Coffee Right 62
13 Plant Location 74
14 Maufacturing Plant Lay-out (1st Floor) 78
15 Manufacturing Palnt Lay-out (2nd Floor) 78
16 Plant Organizational of Coffee Right 86
17 Company Logo of MAKE Corporation 146
18 Organizational Chart of MAKE Corporation 155

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