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IV.

ANALYSIS

A. Discussion of the Result of Interview

This chapter presents the data collected from the interview. The case study was done for a

particular branch of a merchandising company named Ministop which has recently set up their

plant new location at Daet, Camarines Norte to expand their business. Different factors affecting

the plant location were identified and analyzed through the use of direct interview method. The

results of the interview were analyzed to categorize and select the final factors which could be

use for the further process. After determining the factors and its impact, SWOT and PESTLE

analysis technique was implement to understand how the factors influenced the location of the

business.

The information are analyzed according to the objective of the study and arranged in a

matrix type.

Matrix I. Business History

Questions Interviewee’s Statements

(Store Manager Steve Polillo)

1. Who are the people behind the business? Ministop was owned by Robinsons Retail

Holdings, Inc., headed by Robina Gokongwei-

Fe.

2. When and where was the business Ministop (Daet Branch) opened last May 24.

established? 2019. It’s been only 6 months since we started

operating this business here in F. Pimentel


Avenue, Daet, Camarines Norte.

3. How did the business started? Lucky 9 was previously located here in our

exact location. But then, Robinsons bought

most of the Lucky 9 stores including in Naga

and Legaspi. So, Ma’am Robina decided to put

up a Ministop in replacement for the Lucky 9

here in Daet.

4. Did the business receive any award? We don’t have any certificates or awards yet

Enumerate. since this is just newly established. But, there

is what we call “bragging rights” or the

recognitions for the branch with a highest sales

and exemplary performances in specific

categories.

From the statements of the branch manager, the researchers have acquired knowledge

about the company’s background and history. Knowing the business’ history is an important

prerequisite when it’s a subject for a case study. History builds a capacity to assess any context.

The people behind, the time it has existed and its achievements are examples of concerns that

need to be acquired by the researchers in order to know the business’ history.

Matrix 2. Nature of the Business

Questions Interviewee’s Statements

(Store Manager Steve Polillo)

1. What is the nature or type of business? Ministop is a 24/7 convenience store with an
additional offerings of ready-to-eat products

which can be enjoyed on their mini dining

area.

2. What are the business’ vision, mission, Mission: To give convenience to the

objectives and goals? customers.

Vision: To be fully recognized convenience

store in Camarines Norte.

3. What is the business organizational

structure?

4. Who is your target market? Our target market is the students because based

on my observation, 50% of the population here

in Daet are comprises of students.

5. Who are your suppliers? Most of our supplies, even the equipment were

ordered from Manila, specifically in

Robinsons. They delivered our needed

products three times a week (every another

day).

6. What time did you open and close the Ministop opens 24/7.

business during weekdays and weekends?

Another important concern when a business is a subject for a case study is the nature or

its purpose. It refers to the type or category of the business. It has already been known that

Ministop is convenient store that offers different products especially the ready-to-eat ones. The
mission and vision of the particular Ministop branch, its target market and its suppliers are also

relevant concerns when studying the nature of the business.

Matrix 3. Factors Affecting Plant Location

Questions Interviewee’s Statements

(Store Manager Steve Polillo)

Availability of Raw Materials We did not mind the availability of materials,

if these are costly or not, because as I’ve

mentioned, most of our supplies came from

Manila.

One of the factors we considered is the

Availability of Labor availability of labor because it is also the goal

of Robinsons to provide employment.

If you can observe it, we are located near the

Nearness to the Market different Colleges, including Mabini College.

La Consolacion and Camarines Norte State

College.

Before making a project, business should also

consider the environment to avoid any losses,

Transport Facility just like what Robinsons did. In addition, we

all know that there is an upcoming road

widening here to avoid traffic jams.

Actually, we are paying taxes annually. We


Local Government Policies, Taxes and also have BIR Accredited receipt and Mayor’s

Restrictions business permit.

Ministop is a kind of business which preferred

Competition between States or Locality a locality with many possible competitors.

Robinsons will not establish Ministop in this

location if there is a great possibility of losses.

Finance and Research Facilities They also believe that this is a perfect location

which can be patronized by a lot of people.

If you will notice, most of the branches of

Topography Ministop were located in the central part of

every municipality.

Robinsons chose Daet because it is the

Demographics municipality with great numbers of

population. We also consider the spending

capacity of the market.

Wherever there are great numbers of possible

customers, you may notice that Ministop is

Accessibility present. It is for their convenient and for our

great access in people and some materials.

Each crew has 8 hours duty, excluding their 1

Civic Amenities for Workers hour break. And actually, there is large room

or space at the back area which can be the

resting area for all the workers.


Robinsons knew about the great space here in

Building Infrastructure Daet which is perfect for the Ministop.

Actually, this branch is the largest Ministop in

Bicol Region.

The researchers have identified that factors that significantly influenced the location of

the branch of the business. From selection of the region, selection of the community and section

of exact site, all the factors under the steps of choosing a plant location were considered. From

the statements of the branch manager, the factors and its corresponding effect on the

establishment of the business were identified.

Matrix 4. Effectiveness

Questions Interviewee’s Statements

(Store Manager Steve Polillo)

1. How did plant location affect your business? Because of our location, we are achieving the

standards and expectations set by the top-level

management.

2. How was the first two months of the During the first two months, it was a struggle.

business? How about these days? It was our adjustment period in relation to the

rotation of workers or shifting period, time

management, etc.

From struggles, we are now on the chill mode.

We are already familiar to our responsibilities.

And, we are only put in pressure whenever


Ma’am Robina conducts her visits in every

Branch.

After identifying the factors that affects the location of the business, it can be inferred

that a good plant location will make a difference in the performance of a business. From the

manager’s statement, the chosen location of the branch can be considered a success. So far, the

business has been performing well although naturally at the first period, struggles are inevitable.

Matrix 5. Problems Encountered

Questions Interviewee’s Statements

(Store Manager Steve Polillo)

1. What are the problems you’ve encountered The problems we’ve encountered are the:

in relation to the location of your business? a. Supplies of electricity- often termed as

“Christmas Lights”. Because of this, the oven

and fryer stopped functioning. But thankfully,

the company’s technician is only from Naga.

b. Ethnic people (Badjao)- some of our

customers were being disturbed. They even

forced people to give them their wanted

amount of money.

Lastly, the researchers also have discovered the problems encountered by the business in

connection with the location. Since the branch has just started, the business will encounter
different kinds of problems. From the manager’s statement, it has identified that only a few has

been their problem so far.

Synthesis

Since the Ministop F. Pimentel Ave., Daet branch has only been operating for half a year,

it is a good subject for study about how location affects the performance of a business. Based

from studies, location is absolutely vital to a business’ success so it’s important to make a

thorough study by considering different factors that affects it. Location is of

utmost importance especially to businesses that sell goods or services directly to customers same

as the type of business Ministop offers. In studying the location of a business, history and its

nature should also be considered in order to understand more effectively the criteria or factors

the business considered in choosing the location of plant as well as the intensity of its impact on

the performance of the business. Also, before you decide in choosing a location for a business,

you must consider first the objectives that your business have. If you do not answer these basic

questions, it will be hard to find the perfect location for generating the maximum amount of

profit for your convenience store. (Waters, 2019)

From the results of the interview, the factors that influenced how the Ministop made a

decision to establish a branch in Daet were identified. Availability of raw materials which is one

of the first thing to consider has not influenced them greatly since most of their supplies came

from Manila and it’s rare for them to experience problems regarding availability. Next is the

availability of labor which deals with the number of workers. Such kind of stores attracts people

especially those who are not employed yet since the work requires only hard work and practical

skills. In short, the establishment of the branch provides opportunities on employment. Another

factor is the nearness to the market, since Daet is the place where business and people are
concentrated; the location is the right place for a business to be established. In addition, it is

surrounded by different schools and universities. Transport facility was considered before they

made a decision. Since in Daet, there is a road widening that is currently happening and to avoid

traffic jams, it must be taken into consideration. When talking about the local government,

policies, taxes and restrictions, the branch has no problem so far since they are obligated to pay

taxes annually. They have BIR Accredited receipt and Mayor’s business permit as well. Also,

when talking about the competition, it cannot be denied that the kind of business Ministop offers

has many possible competitors. Since Daet is the center of Camarines Norte, it is surrounded by

many businesses especially the buy-and-sell ones. Another factor they considered is the finance

and research facilities. Ministop has made a good research because without proper research there

is a great possibility of losses. About topography, mostly, it can be observed that branches of

Ministop is located in the central part of every municipality and in relation with that is another

factor called demographics which deals with the population and the purchasing power of the

market. In lign with demographics is the accessibility which is also a factor since many patronize

24/7 stores for it’s convenient and it’s also a suitable for people who want to take breaks and

refreshments from exhaustion. Then, civic amenities for workers is a great factor too, the

business comply with the standard 8 hours duty along with that is their everyday 1 hour break.

And according to the interviewee, there is also a space provided for them as their resting area.

Lastly, building infrastructure influenced their decision. In fact, the branch is the largest in Bicol

region. In the study of Turhan et.al.(2013) entitled "Literature Review on Selection Criteria of

Store Location Based on Performance Measures", the wide range of factors that aid in making

decision about the location were identified such as performance, population structure,
economic factors, competition, saturation level, store characteristics and magnet. The results of

the interview and the factors that the study presented shared common results.

Topping it all, the selection of a plant location has many factors to consider. Decisions

about the selection must be strategic for great losses are highly possible without careful planning

in the beginning. As stated in the research conducted by Minai and Lucky(2011), in any kind of

business operation an entrepreneur enters plant location must be decided wisely and

strategically as it a long term investment and can only be decided once. With that, failure to

make a good plan may create problems in future.

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