With general public access to the Internet, many travel agencies began to sell

directly to passengers. As a consequence, airlines no longer needed to pay the

commissions to travel agents on each ticket sold. This is the major drawback of the
feasibility study. However, airline companies still pay travel agencies a set percentage for
selling their product. Major airlines can afford to do this because if they were to sell a
thousand trips at a cheaper rate, they would still come out better than if they sold a
hundred trips at a higher rate. This process benefits both parties. It is also cheaper to offer
commissions to travel agents rather than engage in advertising and distribution
campaigns without using agents.
Nature of Industry
The travel agency business is in the travel and tourism industry. Tourism is one of
the world's fastest growing industries as well as the major source of foreign exchange
earnings and employment for many developing countries. Currently, the tourism industry
in the Philippines is a major contributor to its economy, contributing 5.9% to the
Philippine GDP in 2011. The Philippines is an archipelagic country composed of 7,107
islands. The country's rich biodiversity is the main tourist attraction of the Philippines. Its
beaches, mountains, rainforests, islands and diving spots are among the country's most
popular tourist destinations. The country's rich historical and cultural heritage is also one
of the attractions of the Philippines.
Type of Organization
Safe and Sound Travel Agency is a Non-IATA member. It serves as middlemen
between IATA and clients. IATAs are large travel companies which carry bulk and stable
scheduled international and domestic flights and are authorized to issue tickets. We offer
services of IATA, like issuance of plane ticket with domestic and international airline
companies, passport processing, and visa assistance.
The business is a general co-partnership, consisting of 6 partners who agreed to
contribute an equal amount of money with the intention of dividing profits among
themselves. The profit of the business will come from commissions for sold tickets, and
service fee collected from services offered like passport processing and visa assistance.

IV.

Projects General Objectives

In light of this project, its general objectives consisted of the following:
a. To realize profit and returns in conducting its business operation as well as
utilizing its capital investments; and
b. To attain a high quality of service to its clients.

V.

Projects Specific Objectives

In addition to the general objectives stated above, the proponents also set the

following specific objectives:

To reach a target income of P1,500,000 in the first year of operations;

To have an estimated payback period of 2 to 3 years;

To achieve an average ROI of 15% over five years;

To achieve the target 160 minimum average numbers of hours per month
consistently; and

To provide a stress-relieving activity and bonding time for the valuable

customers.

VI.

Executive Summary

a. Market Study
The market study highlights the business itself by describing what the business offers
to their clients. It shows what the basis of founding the business is, how it would differ
from the others, and what its core concepts are. It also discusses the business strength,
weakness, opportunities, and threats.
The target market of the study is among those individuals who are in need of
traveling assistance. Specifically, they can be business people who has traveling an
inherent part in their job, those individuals who desires adventure in foreign and local
places, or students that crave for an outdoor experience far from their hometowns.
First and foremost, the ultimate aspect that would define the success of this business
is the relationship between the demand and supply. Without this, revenue of the business

will not be realized. Accordingly, the demand and supply situation has been assessed by
the proponents as plausible for the reason that there is a significant demand gap.
The market share is also considered to assess whether or not the business is capable
of penetrating the target market notwithstanding the existing competition. Marketing
strategies are evaluated to discern what strategies are appropriate for the business bearing
in mind the circumstances given. The location of the business is also slightly tackled but
further explanation is available in the succeeding chapter.

b. Technical Study
In technical study, the daily operation and ticketing is singled out procedure by
procedure. It tackles the processes undergone from the moment the client enters the
business premises up to the actual handing of ticket to the client. Specifically, the
business serves domestic ticket selling, international ticket selling, passporting, visa
assistance, and package tour and hotel accommodation.
One the process is defined we move to the physical elements needed by the travel
agency, among these are machinery and equipment, furniture and fixtures, and office
supplies. The location of the business is described. Accordingly, the office layout is
showcased along with the detailed floor plan and blueprint. A Gantt chart is also
presented to determine how much time is needed to the actual operations to commence.
Utilities needed to carry out the business are set and estimated based on annual
consumption. Total project cost is summed up to determine the organization cost for the
first year of operations.
c. Management and Legal Study
A business needs to define its organizational chart for a smooth flow of operations and
without collusion of responsibilities.
d. Financial Study
Based on the analysis of the financial statements the business will have a loss in the
first two years but will recover starting from its third year and so forth.

e. Socio-economic Study
This section pertains to the possible socioeconomic affects that may be associated with
the proposed project. In employment aspect the proposed project are helping competent
and qualified job seekers and unemployed individuals with considerations to their ability,
character, and educational attainment to their skills and knowledge and were providing
them a source of income themselves.
The proposed project will greatly contribute to our country, by promoting tourism
within the country.