Chapter 1

PROJECT SUMMARY OF THE FEASIBILITY STUDY

NAME OF THE PROPONENTS

The names of the proponents are Jeff Kein E. Belgira, Pamela Francisco and

Farah T. Nami, currently enrolled in East Systems Colleges of Rizal for their Bachelor of

Science in Business Administration major in Financial Management. Presently, Mr.

Belgira is residing at Antipolo City, Ms. Francisco at Prinza Teresa, Rizal and Ms. Nami

at Quisao, Pililla, Rizal.

NAME OF THE BUSINESS

A business name is one of the most important aspects to be prepared in starting

up a business. The name of the business to be established in Quisao, Pililla Rizal is

Aqua Thirst Water Refilling Station. AQUA means water and THIRST means a desire

or need to drink.

The name was chosen because the proponents believed that using humorous

name; the business will be easily recognized by costumer which will help a lot in

effective marketing of Aqua Thirst.

Aside from a way to catch people attention, the name was chosen because the

proponents want to create a unique name since many water refilling establishment used

aqua as the name of their business

Figure 1.1 shows the proposed logo and the name of the business
 Figure 1.1

Logo and Name of the Business

The proponents came up with this logo because they believed that it can reflect

and represent their main business essence thoroughly.

The blue colors in the logo signify water as the main product the business,

whereas, the gold colors represent prosperity and stability.

LOCATION

Location is one of the major factors to be considered in starting up a business. It

must be assured that it is accessible to the target market. If location is later found to be

incompatible to the situation as to give consideration to its target market, it may lead the

company to failure. Right choice of location means reaching your target customers and

you respond correctly to their market needs.

Aqua Thirst Water Refilling Station will be established in Brgy. Quisao, Pililla,

Rizal which is considered as the biggest barangay in the municipality of Pililla.

 The proposed location of the business is E. Acosta St. Quisao, Pililla, Rizal as

shown in Figure 1.2. Aqua Thirst Water Refilling Station is expected to occupy the first

floor of the building measuring 20sqm. The rent for the building is P2, 500 per month.

Figure 1.2

Map of Provincial Road, Brgy. Quisao, Pililla, Rizal

Final results of the latest Census of Population (POPCEN 2010) conducted by

the National Statistics office placed the municipals population at 59,527 persons as of

May 1, 2010. Pililla has 9 barangays.

The biggest barangay in terms of population is Brgy. Quisao with13, 284

inhabitants followed by Brgy. Hulo (9,740) and Brgy.Bagumbayan (9,406). The smallest
is Brgy. Imatong with (962) and Brgy.Takungan (1,643). (Source: NSO Rizal POPCEN

2010)

CENSUS YEAR 2000 2007 2010 2013

AGR: AGR: AGR: AGR.

BARANGAY
4.37% 3.60% 0.62% 5.14

Bagumbayan
7,230 9,346 9,406 12,625
(Pob.)

Halayhayin 5,941 7,679 7,759 10,373

Hulo 7,509 9,707 9,740 13,113

Imatong 669 865 962 1,168

Malaya 6,037 7,804 7,721 10,542

Niogan 3,570 4,615 4,627 6,234

Quisao 9,603 12,412 13,284 16,767

Wawa 3,528 4,561 4,385 2,075

Takungan 1,188 1,536 1,643 6,161

TOTAL 45,275 58,525 59,527 79,059

Table 1.1

Population Growth Rate per Barangay 2000, 2007, 2010, 2014

DESCRIPTIVE DEFINITON OF THE PROJECT

According to international non-profit organization Water.org, for every 21

seconds, 1 child dies globally from water related illnesses due to contaminated water. In

the Philippines, around 6,000 Filipinos dies prematurely a year from such diseases

including diarrhea which is the countrys second lead of death as stressed by the

Department of Health. Furthermore, 16% of Filipino households lacked access to clean

and potable water; this is why unsafe water which kills more people than violence and

wars remains a problem. The Worlds Water Problem is shown in Table 1.2.

The United Nation enacted a resolution 2005-2015 as the water for life decade,

to encourage countries to create policies and actions addressing water issues. The UN

also recognizes one's access to water and sanitation as a basic human right:

Sufficient: Individuals need 50-100 liters of water/day for personal and domestic

use. Poor families use only 5 liters or less, equivalent to what rich countries use

to flush toilets

Safe: no harmful microorganisms, chemicals, health threats

Accessible: Water source must be within 1,000 meters of the house; collection

time should not exceed 30 minutes. Meanwhile, some Filipinos still walk long

distances while carrying heavy buckets of water to and from their Affordable:

Water costs should not exceed 3% of the household income.

Despite the UN Resolution, some Filipinos still remain thirsty, hungry, and dirty

daily
 *No access to basic sanitation 2.5 billion (40% of global population)

*No access to safe drinking water 783 million (11% of global population)

Child deaths (under age 5) per year related

1.5 million
to water-related illness

School days per year lost due to water-

443 million
related illness

*Deaths per year due to inadequate water

3.5 million
supply, sanitation, hygiene

Table 1.2
The Worlds Water Problem
(Source: UN Right to Water 2010, MDG 2012, *UN Water 2013)

On the other hand, to address the issue of the country, the Philippines have the

Water Code of 1976 and the National Water Resources Board which focus on water

resources ownership and management. The Department of health also prescribed

standards on drinking water. But not all Filipinos, however, directly benefit from these

policies. In 2011, then Senator Eduardo Angara filed SB 2997 or the "Water Sector

Reform Act" which proposed to increase funds and to improve the country's water

supply and sanitation management. But then, the bill remains pending.

Moreover, part of water supply and sanitation management in the country are

piped-water systems, in some places, piped-water systems are lacking; in others,

people are unreliable about biological contaminants, disinfection by-products from the
chlorination process, taste, and odor. In fact in Manila, only about three fourths of the

population receives piped water from the municipal authority. Outside Manila far less

people have access to clean water distribution. In both locations, these families must

find alternate water sources if they are to avoid cholera epidemics and other health

problems produced by the foul, contaminated water available in their neighborhoods.

In accordance to this matter, thousands of water refilling stations has appeared,

though it does not address the long term water delivery and sanitation infrastructure

improvements necessary to provide reliable water to all, these systems has established

a major foothold. Water refilling station began as privately-run community sources,

where consumers would bring containers and fill them for a per-gallon fee that is a small

portion of commercially bottled waters cost. Demand is such that most stores now offer

home delivery for regular customers. Most shops produce between 3,000 and 12,000

liters of water per day. Typically, the supply comes from the pipes of municipal

concessionaires. Entrepreneurs invest in treatment equipment and further purify their

product before sale. The demand at the water refilling stations is now increasing. Today,

the water refilling stations has widely spread that one can see one station almost in

every corner of the municipality.

Globally, the world bottled water market represents an annual volume of 89

billion liters, and is estimated to be worth US$ 22 billion. 75% of the world market is still

controlled by local actors. More than half (59%) of the bottled water drank in the world is

purified water, the remaining 41% being spring or mineral water. While bottled water

originates from protected sources (75 percent from underground aquifers and springs),

tap water comes mostly from rivers and lakes. Figure 1.3 shows The Global Water Use.
 Figure 1.3
The Global Water Use
(Source:http://purewatershop.com/market.php)

The target market of water stations includes primarily those people in rural areas

who needed most the safe drinking water. Other target market are those in residential

areas who health conscious people of all ages, especially people who already

purchase bottled water, senior citizens and families caring for their children and babies

as well as those commercial businesses such as offices, hotels, schools, banks,

apartment, high rise building, catering businesses, beauty and facial and list goes on.

Primarily, the project is intended for the residents of the municipality of Pililla and

this is in line with the government programs to fight against waterborne disease and

regulates their quality control practices and final product as much as possible.

This institution will be managed by a partnership that has great concern on how

to lessen the problem in water contamination, through that, the target market is rest
assured that Aqua Thirst will provide with the cleanest and most convenient fresh water,

thus, water-related diseases will be expected to be of low rate.

This study will examine the feasibility and investment opportunity of establishing

water refilling business named Aqua Thirst Water Refilling Station. The business wants

to emphasize that holistic and meticulous method of purifying water, personal trust and

interaction with customers are the most important parameters for ensuring water safety

as well as meeting the customers needs and wants.

Aside from the eight complete processes of water filtration and purification such

as multimedia sediment, multimedia carbon, water conditioning and softening, ultra

micron, reverse osmosis, polishing, anti-microbial, and water sterilization process. Legal

water drinking standard will be assured and met through having a regular water analysis

on a monthly basis.

Through the use of latest innovation, purified water in different bottle sizes is

proposed to offer because according to the proponents survey most of the consumers

in Brgy. Quisao, Pililla, Rizal selected purified water as their preference in terms of

water to drink.

The fact that Aqua Thirst has several target market it is but timely to offer purified

water in different bottle sizes that give the customer the best option on what to buy on

their budget, preference and free to choose. There is a strong potential for Aqua Thirst

to be a very profitable business because it only requires minimal investment but has the

potential to generate high net profit and fast investment return.

PROJECTS LONG-RANGE OBJECTIVES

Aqua Thirst Water Refilling Station will position itself as the future market leader

in providing healthy drinking water in the Philippines. Guiding by vision and mission

statement of Aqua Thirst (Figure 1.4), the long range objectives of the institution are

shown on Table 1.3.

FEASIBILITY CRITERIA

In judging the feasibility of the project, it is important to consider how Aqua Thirst

Water Refilling Station able to operate in the market, how it varies from other water

station in municipality and how long it stays in spite of the competition. Its profitability

can be judged based upon on its six months of operation because it only requires

nominal investment with the potential to produce high net profit due to great consumer

demand. Aqua Thirst Water Refilling Station must prove its worth to the customer and

how they will benefit from the product that they will patronize.

Aqua Thirst Vision & Mission Statement

To become a high standard of excellence and top
producer of clean, safe and healthy drinking water at
homes of every Filipino.

To deliver the best quality and best form of water at a

very affordable price to customer. In Aqua Thirst our
customer are our assets.

Figure 1.4

AQUA THIRST Vision and Mission Statements

 Using the latest technology in water purification and the newest filtration systems

will be the basis in providing best water quality and bests form of water.

Profitability is not just the major aim of the project but also to be a socially

responsible business, the project will be extended its commitment to the environment

through observing proper waste disposal in order to maintain cleanliness and

orderliness. Aqua Thirst Water Refilling Station will be using environmentally friendly

detergents eliminating any pollutants as well as technology to use less detergent.

STRATEGIC CATEGORY LONG-RANGE OBJECTIVES

Market Position To become a leader in the water refilling

industry nationwide by 2018.

New Markets To have at least 30% of revenue in 2017 from

markets not current being served.

Product/Service Mix To have a minimum 30% of sales from new

product that will be offered by 2018.

Technology To be updated in the field of using technology

innovation to produce the highest quality of
water.

Human Resource To be able to create a high performance team

involving all employee by 2018 through
various program such as organized seminars
and training, team building and recognition
that will improve the business productivity and
define the business objective and goal.
Image To become recognized as one of top 10 in
water refilling industry not only in terms of
servicing consumer but also in embracing
responsibility to contribute and foster a better
society.

Profitability To achieve solid profitability and strong

financial position through reducing direct costs
and valuing a good systems.

Growth/Diversification To have its own building in Pililla, Rizal and

have a branch in nearby towns such as Tanay,
Baras, Morong, Teresa and Antipolo.

Table 1.3

Long-Range Objectives of Aqua Thirst

HIGHLIGHTS OF THE PROJECT

Project Time Table and Studies

With some hard work and dedication, the project will be opened in time. The time

table for the operation of Aqua Thirst Water Refilling Station is shown using the Gantt

chart, Figure 1.5.

The analysis and research on the feasibility study will be accomplished from

February 1 2015 to February 28, 2015. The partners will be in charged to analyze the

feasibility study. After the analysis and research on the feasibility of the project, the

partners will provide the contribution for the initial capital to start the venture.
 The initial preparations and documentations for the applications of business

permits and licenses will be done by the partners. All activities before the start of the

operation are enumerated in the Gantt chart, Figure 1.5.

Mode of Financing

The project will be financed by the Three (3) partners as shown on Table 1.4. It

will come from the contributions of each partner and this business will be their

investment. The Aqua Thirst Water Refilling Station is not a business that needs huge

amount capital to start since it will only rent a commercial building. The partners chose

to finance all the portion of the capital needed by the business to lessen other expenses

that may occur if were going to lend money from the bank or from the lending company.

Investment Cost

The project cost is Php 543,411.13. The capital investment will come from the

investment of Three (3) partners in the amount of Php 600,000. Each partner will share

its contribution equally to finance the capital requirement of the business in the amount

of Php 200,000/each. The table 1.4 shows the financing of the projects.

Source of Funds Amount

Partnerships Investment Php 600,000

Total Financing Php 600,000

Table 1.4

Financing of Projects
MAJOR ASSUMPTIONS AND SUMMARY OF FINDINGS AND CONCLUSION

Market Feasibility

Marketing is a system of business activities designed to plan, price,

promote and distribute want-satisfying goods and services to present and potential

customers. It is considered as the lifeblood of every business transactions because it is

a strategic way on how to cope up to the needs and wants of the costumers, finding

opportunities regarding it, introduce and market the product, achieve customers loyalty

and patronage.

This aspect includes the following topics: demands, supply, demand and supply

gap analysis, marketing programs and the projected sales.

The objective of the proposed project is to delight the customers, not just by

meeting their expectation but rather exceeding and going extra mile. Moreover, its

about profitability. Marketing aspect serves as the basis of the financial section through

the projected demand. There can be no discussion of profitability or of the other aspects

of the study; if in the first place, there is no demand or market. Every business is

practically aspiring for productivity but practically in order to last in the business world

the first thing to take into consideration is the target market. The costumers will be

the key factor to achieve the objectives of the organization. Finding opportunities

and spotting the right market are both important in establishing a business.

Knowing customers demand and supplying them right products at reasonable prices.

In the presence of existing water refilling station in Pililla, Rizal which is

considered as direct competitor, Aqua Thirst will be established using R.O. (Reverse
Osmosis-Purified) water station. This will allow the business to grow requires

considering the kind of water to offer to all kinds of customers with different preferences-

in taste, price, and health benefit.

Considering the population of the target market, the business will be an

advantage since most of the residents of Pililla, Rizal have different preferences in

terms of water to drink.

Aqua Thirst will position itself as the future market leader in providing healthy

drinking water in the Philippines. All marketing and communication material present a

consistent reinforcement of this position and the core ideal behind it, through the use of

images, slogans and languages. Since most of the water refilling station doesnt usually

appear on T.V. and on print ads, the promotional campaign that will be used by Aqua

Thirst is by word of mouth, this will be done through offering fliers in residential areas as

well as in crowded areas like markets and churches. Aqua Thirst will also use posters,

tarpaulins including social media like Facebook, Instagram and Twitter.

Financial Feasibility

The financial feasibility quantifies the results of the marketing, technical,

management, taxation and legal phase of the project study and expresses in peso

terms the possible outcome of operating the project. The major parts of the financial

study are: Projected financial statements; Details of various amounts contained in the

projected financial statements; and Analysis of the financial projections.

Basically, project studies consist of the skillful coordination of the information on

all the factors in the form of financial projections. It covers all the factors that are
pertinent to an intended venture having established the existence of a sample market

and the feasibility of the production facilities to supply this market, the investigation

should move on the study of finance cost. What remains is to study the result of the

market and technical studies.

Management Feasibility

Management is one of the important aspects in establishing a business. It

is the performance of conceiving and achieving desired results by means of group effort

consisting of utilizing human talents and resources. Therefore, management is

considered as the force that runs an enterprise and is responsible for its success or

failure.

The overall implementation plan is discussed in the organization and

management study. This aspect includes a study of the officers and key personnel,

basic consideration in forming the organization, form of ownership, organizational chart

and project schedule.

The objective of the management feasibility is to determine the option

effectiveness of the organizational setup and the qualifications of the individuals

who will make up the organization. This aspect will determine the successful realization

of the project study.

Technical Feasibility

After having determined the market size and area, product demand and growth,

the potential and technical feasibility of the project may be analyzed. This stage deals
with the allocation of resources that will be needed in order to satisfy the

market. The technical soundness analysis will be considered complete if all pertinent

technical aspect of the project have been taken into account in the analysis and if the

planned construction or procurement conforms to accepted standards and practices.

The estimated cost of the project should be as low as any other reasonably available

alternate which would produce the intended results.

The objective of this portion of the feasibility study is to determine to what extent

the project meets the technical soundness criteria.

Socio-Economic Feasibility

The socio-economic impact of this study will clearly state its relevance to

the external aspect of the business. The objectives of this are to determine the

contributions of the business to the Philippine economy, to describe the benefits of the

business to its community, and to ensure the active participation in the maintenance of

cleanliness in the environment.

 Chapter 2

MARKETING ASPECT

A. MARKET DESCRIPTION

A.1. Areas Geographical Coverage

Pililla is located in the province Rizal in Region IV-A CALABARZON. It lies

approximately between latitudes 14 26 and 14 39 north and longitudes 121 07 and

121 11 east. It is seated about 18 km south-east of province capital City Of Antipolo

and about 33 km east-south-east of Philippine main capital Manila.

The geographical area covered by AQUA THIRST WATER REFILLING

STATION and the potential market are just exclusive it covers only the 9 barangays of

municipality of Pililla including Quisao which serves as the proposed location of the

project.

A.2. Methods of Transportation and Existing Rate of Transportation

Various means of public transportation are available to go to Barangay Quisao,

Pililla, Rizal. Inter municipality transportation is provided by a combination of private or

owned vehicles, PUJ (Jeepneys), tricycles and bicycles inter connecting the 9

barangays of the municipality through various routes.

Existing rates of transportation as mandated by the Land Transportation and

Franchising Regulatory Board (LTFRB) are also minimal since the project is located

along the provincial road. Tables 1.1 shows the existing rates of Transportation

(Jeepney and Tricycle).

 Figure 2.1

Brgy. Quisao, Pililla, Rizal Interactive Map

The Tables below shows the existing rates of Transportation (Jeepney and Tricycle)
Halayhayin

Bulo-bulo/
(Town Proper)

(Town Proper)

Sipsipin
Lamuan

Malaya/
Niogan
Quisao

Mabiya
Tanay

Puang
Barak/
Pililla

Yakat

Linis
Php (Peso)

Jala-jala 32 28 23 20 15 13 12 12 10 8.50 8.50

(Town Proper)

Linis 28 25 21 18 13 12 10 10 8.50 8.50

Sipsipin 26 21 18 15 13 10 10 8.50 8.50

Puang 26 21 18 15 13 10 8.50 8.50

Malaya/Mabiya 23 18 15 13 12 10 8.50

Niogan 21 15 13 12 10 8.50
 Barak/ Lamuan 18 14 12 10 8.50

Quisao 17 13 10 8.50

Bulo-bulo/Yakat 13 10 8.50

Halayhayin 10 8.50

Pililla 8.50
(Town Proper)

Source: PUJ Drivers Tanay-Jalajala Route

Area Amount

Quisao Proper Php 10.00

Note: Payment to other places depends on the agreement of both parties.

Source: Quistoda (Quisao Toda)

Table 2.1

Existing rates of Transportation (Jeepney and Tricycle)

A.3. General Trade Practices

Aqua Thirst is a water retail and bottled water delivery business and there cannot

be a standardized viable economic sized. However for this particular set up, it is

expected to offer purified water with at least 200 household to be served in the area of

delivery in Brgy. Quisao, Pililla, Rizal which will enable the entrepreneurs to earn health

return on their investment. To make sure the production of safe water and to avoid

waterborne diseases, Aqua Thirst will be complied with all sanitation requirements of
Presidential Decree 856 as well as the sanitation standard for retail water system of

refilling station of the Department of Health.

However, to assess the procedures such as washing and sanitizing of

containers, refilling and capping of the product water into the bottle containers,

protection and transportation of the drinking water from the refilling station to the

household of the consumers, the handling practices will be closely monitored. Complete

and accurate water testing and analysis through the help of local health office, proper

operation and maintenance of water purification equipment, sanitary surveys, water

quality monitoring and training on how to keep delivered water safe at home will be also

considered by Aqua Thirst to ensure a continuous production of quality and safe

drinking water.

From the main source of water of Aqua Thirst which is Pililla Water District, the

water will be treated through a water refilling machine, the water will go through the

process of water filtration and purification system which is consist of eight units with

sixteen stages. These eight units are multimedia sediment process, multimedia carbon

process, water conditioning and softening process, ultra micron process, reverse

osmosis, polishing process, antimicrobial process and water sterilization process. After

the treatment the product water will be filled to the empty bottles collected from the

consumers. Afterwards, the bottled water and refilled water will be distributed free of

charges by the authorized staff through motorcycle with carrier or multi-cab. The

payment system is through Cash on Deliver where payment is made at the time of

delivery rather than in advance. To know if the bottled water is consumed, the customer

will be texted through SMS or will be personally visited by the staff twice a week. The
empty bottles will be collected upon the delivery of the refilled bottles. The process of

production and distribution of drinking water to customer is shown in Figure 2.2.

Aqua Thirst will satisfy a need in the market for a basis of lowcost high purity

water from a business that the customer can trust. The target markets of the business in

the residential area are health conscious people of all ages, especially people who

already purchase bottled water, senior citizens, and families caring for their children and

babies. Commercial markets to consider are offices, hotels, schools, banks, apartment

and high rise buildings, catering business, beauty and facial.

CONSUMER

Figure 2.2

Production and Distribution Process

B. DEMAND

The current study consisted of one primary method of study in evaluating the

need and demand for the establishment of Aqua Thirst Water Refilling Station in Brgy.

Quisao, Pililla, Rizal. This method of research consisted of sampling and surveying of

relevant populations (selected residents of municipality) and their perceptions and

opinions regarding the proposed business.

It is very essential to know the demand of the products in order to answer the

customer needs and wants. Knowing the demand will help the proponents to determine

the trend for their products. Analyzing the demand thoroughly will give the projection of

the total number of quantity of each product that they are going to produce daily,

weekly, monthly and annually.

B.1. Past Demand

B.1.1. for the Industry

Because theres no statistical recorded data in NSO and DTI regarding the

demand for water refilling station, the proponents computed the past demand by getting

the target population in Pililla, Rizal for the year 2009-20013 multiplied by market

acceptability which is obtained by getting the percentage of respondents who are willing

to try the products with 84.17 and multiplied to the purchase frequency or can be

defined as the number of times that a customer makes a purchase in a given period of

time usually a year. It increases annually based on the annual growth of population of

Pililla, Rizal by 5.14% and based on the percentage of every products on the survey,
the proponents distributed the annual past demand to get the past demand for every

products.

Target Purchase Annual

Year M.A.
Population Frequency Demand

2009 84.17 64,696 104 5,663,281

2010 84.17 68,021 104 5,954,341

2011 84.17 71,518 104 6,260,457

2012 84.17 75,194 104 6,582,242

2013 84.17 79,059 104 6,920,572

Table 2.2

Past Demand for the Industry

Past demand for industry is computed by getting the target market population

times the frequency of agreement. It increases annually based on the annual growth of

population of Pililla, Rizal by 5.14%

B.1.2. for every Product

Past demand for every bottle sizes of purifies water that respondents preferred to

drink are computed by the percentage of each products answered by the respondents

multiplied to the annual past demand of industry.

 Bottle 330 ml 500 ml 1L 1.5 L 3L

Sizes (12.31%) (11.31%) (12.56%) (5.03%) (3.77%)

Year

2009 697,149 640,517 711,308 284,863 213,506

2010 732,979 673,436 747,865 299,503 224,479

2011 770,662 708,058 786,313 314,901 236,019

2012 810,274 744,452 826,730 331,087 248,151

2013 851,922 782,717 869,224 348,105 260,906

Total 3,862,986 3,549,180 3,941,440 1,578,459 1,183,061

Bottle 1 gal 5 gal

Sizes 1.5 gal 2.5 gal
Year Total
(18.34%) (24.37%)
(8.54%) (3.77%)

2009 1,038,645 483,644 213,506 1,380,142 5,663,280

2010 1,092,026 508,501 224,479 1,451,073 5,954,341

2011 1,148,168 539,643 236,019 1,525,673 6,265,456

2012 1,207,183 562,124 248,151 1,604,902 6,582,244

2013 1,269,233 591,016 260,906 1,686,543 6,920,572

 Total 5,755,255 2,684,928 1,183,061 7,647,523 31,385,893

Table 2.3

Past Demand for the Products

B.2. Projected Demand

B.2.1. for the Industry

The annual increase of demand for the years 2016 2020 is based on the

annual population growth rate from 2009 2013 by 5.14%. The annual projected

demand was obtained by multiplying the market acceptability which is 84.17 to target

population and to the purchase frequency. Based from the obtained demand, it was

distributed again to every product in order to determine its demand.

The projected demand for industry in 2016 2020 is as follows:

Target Purchase Annual

Year M.A.
Demand
Population Frequency

2016 84.17 91,887 104 8,043,494

2017 84.17 96,610 104 8,456,930

2018 84.17 101,576 104 8,891,638

2019 84.17 106,797 104 9,348,668

 2020 84.17 112,286 104 9,829,157

Table 2.4

Projected Demand for the Industry

B.2.2. for the Product

It is computed by multiplying the projected annual demand of industry to the

percentage of each product based on the survey.

Bottle
330 ml 500 ml 1L 1.5 L 3L
Sizes
(12.31%) (11.31%) (12.56%) (5.03%) (3.77%)
Year

2016 990,154 909,719 1,010,263 404,588 303,240

2017 1,014,048 956,479 1,062,190 425,384 318,826

2018 1,094,561 1,005,644 1,116,790 447,249 335,215

2019 1,150,821 1,057,334 1,174,193 470,238 352,445

2020 1,209,969 1,111,678 1,234,542 494,407 370,559

Total 5,486,553 5,090,854 5,597,978 2,241,866 1,680,285

 Bottle
1 gal 1.5 gal 2.5 gal 5 gal
Sizes Total
(18.34%) (8.54%) (3.77%) (24.37%)
Year

2016 1,475,177 686,914 303,240 1,960,199 8,043,494

2017 1,551,001 722,22 318,826 2,060,954 8,456,930

2018 1,630,726 759,346 335,215 2,166,892 8,891,638

2019 1,714,546 798,376 352,445 2,278,270 9,348,668

2020 1,802,667 839,410 370,559 2,395,366 9,829,157

Total 8,174,117 3,806,268 1,680,285 10,861,681 44,569,887

Table 2.5

Projected Demand for the Product

B.3. Market Segmentation

Marketing segmentation is a marketing strategy that deals with a process of

defining and subdividing a large standardized market into clearly identifiable segments

having similar needs, wants, or demand characteristics. Its objective is to design a

marketing mix that precisely matches the expectations of customers in the targeted

segment. The market segmentation of Aqua Thirst is shown below:

 Figure 2.3

Market Segmentation

C. SUPPLY

According to the percentage of the population who already has drinking water

dealer from the survey questionnaire, the proponents determined their past supply.

C.1. Past Supply

It was multiplied from the percentage of purchases which is 45.48 to the target

population and to the purchase frequency. The increase in supply was also based in the

growth rate of population. It was also distributed per product to know the past supply.
C.1.1 for the Industry

Percentage of Target Purchase Annual Past

Year
Purchases Population Frequency Supply

2009 45.48 64,696 104 3,060,069

2010 45.48 68,021 104 3,217,339

2011 45.48 71,518 104 3,382,744

2012 45.48 75,194 104 3,556,616

2013 45.48 79,059 104 3,739,427

Table 2.6

Past Supply for the Industry

C.1.2. for Product

Bottle
330ml 500 1L 1.5L 3L
Sizes
Year

2009 376,694 346,094 384,345 153,921 115,365

2010 396,054 363,881 404,098 161,832 121,294

2011 416,416 382,588 424,873 170,152 127,529

 2012 437,819 402,253 446,711 178,898 134,084

2013 460,323 422,929 469,672 188,093 140,976

Total 2,087,306 1,917,745 2,129,699 852,896 639,248

Bottle
1 gal 1.5 gal 2.5 gal 5 gal Total
Sizes
Year

2009 561,217 261,330 115,365 745,739 3,060,070

2010 590,060 274,761 121,294 784,066 3,217,340

2011 620,395 288,886 127,529 824,375 3,382,743

2012 652,283 303,735 134,084 866,747 3,556,614

2013 685,811 319,347 140,976 911,298 3,739,425

Total 3,109,766 1,448,059 639,248 4,132,225 16,956,192

Table 2.7

Past Supply for the Products

C.2. Projected Supply

The projected supply will help to determine the total satisfied market or the total

number of customers who have purified bottled water dealer for five years. It was
obtained by percentage of purchases to the target population with 5.14% growth rate to

the purchase frequency and it was distributed per product to determine the total

satisfied market for every product.

C.2.1. for the Industry

Computation of projected supply for product is the same in past supply per

product.

It changed only in the target population based on the annual growth rate of

5.14%

Year Percentage of Target Purchase Annual

Purchases Population Projected

Frequency
Supply

2016 45.48 91,887 104 4,346,182

2017 45.48 96,610 104 4,569,576

2018 45.48 101,576 104 4,804,464

2019 45.48 106,797 104 5,051,413

2020 45.48 112,286 104 5,311,038

Table 2.8

Projected Supply for the Industry

 C.2.2 for the Products

Bottle

Sizes
330 ml 500 ml 1L 1.5 L 3L
Year

2016 535,015 491,553 545,880 218,613 163,851

2017 562,514 516,819 573,939 229,850 172,273

2018 591,430 543,385 603,441 241,665 881,139

2019 621,829 571,315 634,458 254,086 190,438

2020 653,789 600,678 667,066 267,145 200,226

Total 2,964,577 2,723,750 3,024,784 1,211,359 1,607,927

Bottle
1 gal 1.5 gal 2.5 gal 5 gal Total
Sizes

Year

2016 797,089 371,164 163,851 1,059,165 4,346,181

2017 838,060 390,242 172,273 1,113,606 4,569,576

2018 881,139 410,301 181,128 1,170,848 5,504,476

 2019 926,429 431,391 190,438 1,231,029 5,051,413

2020 974,044 453,563 200,226 1,294,300 5,311,037

Total 4,416,761 2,056,661 907,916 5,868,948 24,782,683

Table 2.9

Projected Supply for the Products

COMPETITORS MARKETING

PROJECTS MARKETING PROGRAM

Promotional
Description Qty Unit Price Amount
Materials/Media

Tarpaulin 10 x 5 5 Php350 Php3500

5 x 4 25 140 3,500

3 x 2 25 40 1,000

Flyers 5.5 x 8.5

2000 1 2,000
Full colors

Facebook
Facebook Free Free Free
Account
Instagram
Instagram Free Free Free
Account

Total Price Php10,000

Table 2.10

Promotional Media/Materials
 Chapter 3

TECHNICAL ASPECT

PRODUCTS

Through the use of latest innovation, Aqua Thirst Water Refilling Station is

proposed to offer Purified Water Only.

In addition, this type of water has different characteristics. Yes, water has also

characteristics. It is said that our immune system works accordingly to what type of

water we will intake. The Aqua thirst Water Refilling Station caters all this to ensure that

they will provide a quality, safe and healthy drinking water to its customer.

Variety of Water Description

It is water that is mechanically filtered or

processed to be cleaned for consumption.

Distilled water and deionized (DI) water

have been the most common forms of

Purified Water purified water. But water can also be

purified by other processes including

reverse osmosis, carbon filtration,

microfiltration, ultra filtration, ultra filtration,

ultraviolet oxidation or electro dialysis.

Table 3.1
Variety of Water
LEGAL REQUIREMENTS

Registration with BIR (Bureau of Internal Revenue)

Registration of Business Name with DTI (Department of Trade and Industry)

Barangay Clearance and Business Permit

Mayors Permit

Permits & Licenses Unit Price Amount

Barangay Clearance Php75 Php75

Mayors Permit 4,000

Business Tax 750

Business Plate 100

Sanitary Permit 250

Occupational Tax 300

6,850
Inspection Fee 400

Filing 100

Processing 100

Zoning 300

Electrical Inspection 250

Fire Inspection 300

BIR 250 250

DTI 5,450 5,450

Total Php12,625

Table 3.2

Cost of Legal Requirements

Figure 3.1

Business Registration

PRICELIST OF PRODUCTS

Products With Bottle (Php) Refill (Php)

330ml 6.00 2.00

500ml 8.00 3.00

 1L 17.00 8.00

1Gallon 40.00 12.00

1.5Gallon 50.00 15.00

5Gallons (Slim with Faucet) 250.00 35.00

5Gallons (Round) 250.00 35.00

Table 3.3

Price of the Products

RESOURCES (EQUIPMENT, MACHINERIES, MATERIALS & SUPPLIES)

Equipment Qty Description Supplier & Source Unit Price Total Price

1 unit Reverse Osmosis System ELM Water Systems & Php 150,100.00 Php 150,100.00
Equipment
22v/60H2, complete with
bsmed@dti.gov.ph
membrane, stainless
http://www.olx.ph
housing, self-standing with

gauges

1 unit Multi-Media 220v/60H2, ELM Water Systems & 35,000.00 35,000.00

Equipment
automatic wash with
bsmed@dti.gov.ph
stainless steel jacket,
http://www.olx.ph
9GPM

1 unit Granular Activated Carbon ELM Water Systems & 35,000.00 35,000.00
Equipment
(GAC) 220V/60H2,9GPM,
bsmed@dti.gov.ph
automatic backwash with
http://www.olx.ph
stainless steel jacket
1 unit Single softener with ELM Water Systems & 35,000.00 35,000.00
Equipment
bypass, brine tank, resin,
bsmed@dti.gov.ph
stainless steel jacket
http://www.olx.ph

1 unit Ultra violet 12GPM ELM Water Systems & 25,600.00 25,600.00
Equipment
220V/60H2
bsmed@dti.gov.ph

http://www.olx.ph

1 unit Ozone pure 220V/60H2 ELM Water Systems & 30,700.00 30,700.00
Equipment

bsmed@dti.gov.ph

http://www.olx.ph

1 unit Polisher carbon ELM Water Systems & 2,620.00 2,620.00

Equipment

bsmed@dti.gov.ph

http://www.olx.ph

1 unit 0.20 Micron with housing ELM Water Systems & 2,328.50 2,328.50
Equipment

bsmed@dti.gov.ph

http://www.olx.ph

1 unit Pressure tank with pump ELM Water Systems & 9,075.00 9,075.00
Equipment
1HP, stainless steel
bsmed@dti.gov.ph

http://www.olx.ph

1 unit Storage tank @P7600 480 ELM Water Systems & 10,960.00 10,960.00
Equipment
gallons, stainless steel
bsmed@dti.gov.ph

http://www.olx.ph

1 unit Magnetic flow meter .5- ELM Water Systems & 3,410.00 3,410.00
Equipment
 5GPM,1/2 MPT
bsmed@dti.gov.ph

http://www.olx.ph

Subtotal Php 339,793.50

Table 3.4

Machineries and Equipment

Qty Description Supplier & Source Unit Price Amount

27.31 cu/m or Unpure water Pililla Water District Php 21.05 Cu/m Php 574.88

7,215 gallons

50kls Brine Solution ELM Water Systems & 300 300

Equipment

bsmed@dti.gov.ph

http://www.olx.ph

Subtotal Php 874.88

Table 3.3

Raw Materials

Qty Description Supplier & Source Unit Price Amount

1pc 20 Slim single filter ELM Water Systems & Php1,290.00 Php1,290.00
Equipment
housing #20 blue
bsmed@dti.gov.ph

http://www.olx.ph

1pc 20 Slim sediment cartridge ELM Water Systems & 1,050.00 1,050.00
Equipment
 polyspon 5, 10 & 20 micron
bsmed@dti.gov.ph

http://www.olx.ph

1pc 20Slim carbon cartridge ELM Water Systems & 2,070.00 2,070.00
Equipment
CTO matrix solid carbon 10
bsmed@dti.gov.ph
micron
http://www.olx.ph

1pc Ionization mix bed 20L X ELM Water Systems & 1,170.00 1,170.00
Equipment
2.5 OD
bsmed@dti.gov.ph

http://www.olx.ph

1pc Absolute cartridge 20L X ELM Water Systems & 1,715.00 1,715.00
Equipment
2.5OD, .2 micron
bsmed@dti.gov.ph

http://www.olx.ph

1pc 800 GPD membrane 4OD ELM Water Systems & 1,000.00 1,000.00
Equipment
X 21L desalFilmtec
bsmed@dti.gov.ph

http://www.olx.ph

1set Membrane housing 4X21 ELM Water Systems & 925.00 925.00
Equipment
complete with end cap &
bsmed@dti.gov.ph
pins
http://www.olx.ph

1set Membrane Cleaning ELM Water Systems & 186.25 186.25

Equipment

bsmed@dti.gov.ph

http://www.olx.ph

1pc Liquid gauge 212 0-300 ELM Water Systems & 320.00 320.00
Equipment
PSI
bsmed@dti.gov.ph
 http://www.olx.ph

1pc Spare lamp for UV 12 GPM ELM Water Systems & 513.75 513.75
Equipment

bsmed@dti.gov.ph

http://www.olx.ph

1pc Ballast for 12 GPM ELM Water Systems & 631.25 631.25
Equipment

bsmed@dti.gov.ph

http://www.olx.ph

1pc Mixed bed ELM Water Systems & 1,012.50 1,012.50

Equipment

bsmed@dti.gov.ph

http://www.olx.ph

1pc 20L X 4.5 OD water ELM Water Systems & 1,500.00 1,500.00
Equipment
softener cartridge
bsmed@dti.gov.ph

http://www.olx.ph

1pc 20L X4.5 OD iron reducer ELM Water Systems & 500.00 500.00
Equipment

bsmed@dti.gov.ph

http://www.olx.ph

Subtotal Php 13,883.75

Table 3.4
Supplies

Qty Description Supplier & Source Unit Price Amount

120pcs 5 gallon round pet bottle ELM Water Systems & Php 104 Php 12,480
Equipment
 with Label & Sticker
bsmed@dti.gov.ph

http://www.olx.ph

120pcs 5 gallon slim with faucet ELM Water Systems & 94 11,280
Equipment
with Label & Sticker
bsmed@dti.gov.ph

http://www.olx.ph

120pcs 1.5 gallon pet bottle with ELM Water Systems & 16 1,920
Equipment
Label & Sticker
bsmed@dti.gov.ph

http://www.olx.ph

120pcs 1 gallon pet bottle with ELM Water Systems & 15 1,800
Equipment
Label & Sticker
bsmed@dti.gov.ph

http://www.olx.ph

120pcs 1 Liter with Label & Sticker ELM Water Systems & 6 720
Equipment

bsmed@dti.gov.ph

http://www.olx.ph

120pcs 500 ml with Label & Sticker ELM Water Systems & 3.50 420
Equipment

bsmed@dti.gov.ph

http://www.olx.ph

120pcs 330 ml with Label & Sticker ELM Water Systems & 3.25 390
Equipment

bsmed@dti.gov.ph

http://www.olx.ph

150pcs Seal for 5 gallon round ELM Water Systems & 0.21 31.50
Equipment

bsmed@dti.gov.ph

http://www.olx.ph
150pcs Seal for 5 gallon slim ELM Water Systems & 0.21 31.50
Equipment

bsmed@dti.gov.ph

http://www.olx.ph

150pcs Seal for 1.5 gallon ELM Water Systems & 0.16 24.00
Equipment

bsmed@dti.gov.ph

http://www.olx.ph

150pcs Seal for 1 gallon ELM Water Systems & 0.16 24.00
Equipment

bsmed@dti.gov.ph

http://www.olx.ph

150pcs Seal for 1 Liter ELM Water Systems & 0.12 18.00
Equipment

bsmed@dti.gov.ph

http://www.olx.ph

150pcs Seal for 500ml ELM Water Systems & 0.10 15.00
Equipment

bsmed@dti.gov.ph

http://www.olx.ph

150pcs Seal for 1 gallon ELM Water Systems & 0.10 15.00
Equipment

bsmed@dti.gov.ph

http://www.olx.ph

1pc Heat Gun ELM Water Systems & 2,000 2,000.00

Equipment

bsmed@dti.gov.ph

http://www.olx.ph

5pcs Water Dispenser for 5- ELM Water Systems & 3,500 15,000.00
Equipment
 gallon round bottle
bsmed@dti.gov.ph

http://www.olx.ph

Subtotal Php 46,169.00

Total Direct Php 60,927.63

Cost

Table 3.5

Packaging

LOCATION OF THE BUSINESS

Aqua Thirst Water Refilling Station will be established in Brgy. Quisao, Pililla,

Rizal which is considered as the biggest barangay in the municipality of Pililla.

The proposed location of the business is E. Acosta St. Quisao, Pililla, Rizal as

shown in Figure 1.2. Aqua Thirst Water Refilling Station is expected to occupy the first

floor of the building measuring 20sqm. The rent for the building is P2, 500 per month.

PLANT LAYOUT

The efficiency of production depends on how well the various machines;

production facilities and employees amenities are located in a plant. Only the properly

laid out plant can ensure the smooth and rapid movement of material, from the raw

material stage to the end product stage.

The figure shows the proposed plant layout of Aqua Thirst Water Refilling

Station.
 Figure 3.2

Plant layout of Aqua Thirst Water Refilling Station

Materials For Renovation (20sqm.) Amount

Carpenters Material 20,000

Labor Cost 10,000

Paint 8,000

Glass Window 3,000

Glass Door 4,000

Tiles 5,000

Total Cost Php50,000

Table 3.6

Cost of Renovation
UTILITIES

Just like any other businesses now a day, utilities expenses will also be given

attention because it greater affects the operation of the business.

The table shows the utilities expenses of the business with an expected monthly

consumption.

Utilities Expected Monthly Consumption

Electricity Php 6,000

Telephone (PLDT Landline Plus) 600

Water (Raw Materials) 574.88

Total Php7,174.88

Table 3.7

Utilities Expenses

WASTE DISPOSAL

Our customers are always our priority. We would like to give them a one hundred

percent satisfaction and the maintenance of cleanliness in all areas of our store is

included in the customer requirements. So, Aqua Thirst encourages all the members of

the organization especially we are in the water industry to strictly comply with the set of

standards in cleanliness specifically with the proper disposal of waste.

Aqua Thirst will provide two big trash bins in the area with cover and proper label

for segregation will be observed to assure the safety on the preparation of our products.
 Qty Description Unit Price Amount

1pc Broom and Dust Pan 200 200

2pcs Trash Cans 200 400

2pcs Feather Dust 30 60

1pc Mop 200 200

6pcs Powder Soap 5 30

1pc Air Freshener 75 75

Total Php965

Table 3.8

Cost of Waste Disposal

LABOR REQUIREMENTS

People are considered to be the lifeblood of any business organization. They are

very important for the business to operate effectively and efficiently. Aqua thirst will

need full - time employees. They are the ones who will perform the functions of

following positions:

Administrative Assistant

Front Liner

Technical Assistant

Driver/Delivery Man
 Manpower Salaries Monthly Salary Annual Salary

Administrative Assistant
Php 5,000 Php60,000
Php250/day x 20days

Technical Assistant
5,000 60,000
Php250/day x 20days

Front Liner
4,000 48,000
Php200/day x 20 days

Delivery Man
3,000 36,000
Php150/day x 20 days

Total Php 17,000 204,000

Table 3.9

Manpower Salaries
 Chapter 4

FINANCIAL ASPECT

TOTAL PROJECT COST

The project will be established by a partnership. The project cost is Php

543,411.13. The capital investment will come from the investment of Three (3) partners

in the amount of Php 600,000.00. Each partner will share its contribution equally to

finance the capital requirement of the business in the amount of Php 200,000.00/each.

Table 1.4 shows the financing of projects. The operating expenses and project cost for

the next five years are shown on Table ___.

INITIAL CAPITAL REQUIREMENTS

Capital Investment is the money paid to purchase a capital asset or a fixed asset

and these are the major components of a total project cost of Aqua Thirst Water

Refilling Station.

The table below shows the Initial Fund Requirements and Funds Allocation of

Aqua Thirst Water Refilling Station.

INITIAL CAPITAL REQUIREMENTS

Water Refilling Machines/Equipment Php 339,793.50

Renovation or New Store at Least 20sqm. size Php 50,000.00

Delivery Vehicle Php 50,000.00

Business Permits and Licenses Php 12,625.00

Promotions Php 10,000.00

Raw Materials Php 874.88

Initial Supplies Php 13,883.75

Packaging Php 46,169

Indirect Cost Php 20,065

Total Php 543,411.13

Table 4.1

Initial Fund Requirements and Funds Allocation of Aqua Thirst

FINANCIAL PROJECTIONS FOR THE PROJECTED FIVE (5) YEARS OF

OPERATION

Planning out and working on your company's financial projections each year

could be one of the most important things you do for your business. After the

comprehensive financial analysis and projections of the project, it shows that the project

has a potential to bring healthy and sustainable positive returns to the investor after __

years. Table 4._ shows the balance sheet of the business for the projected five years;

Table 4._ shows the income statement of the business for the projected five years;

Table 4._ shows the balance sheet of the business for the projected five years; and

Table 4._ shows the balance sheet of the business for the depreciation analysis.
FINANCIAL ANALYSIS SHOWING FINANCIAL RATIOS AND PAYBACK PERIOD

A financial analysis is a comparison in which certain financial statement items are

divided by one another to reveal their logical interrelationships. Financial Ratios are

described, analyzed and computed thoroughly as shown on Table 4._

Payback Period

Payback period is the time in which the initial cash outflow of an investment is

expected to be recovered from the cash inflows generated by the investment. It is one

of the simplest investment appraisal techniques.

The formula to calculate payback period of a project depends on whether the

cash flow per period from the project is even or uneven. In case they are even, the

formula to calculate payback period is:

Initial Investment
Payback Period =
Cash Inflow per Period

The payback period of the capital is __ years as shown on Table 4._

Ratio Formula Purpose

Current Ratio Current Assets / The Current Ratio is used to test the company's ability

Current Liabilities to pay its short term obligations. Below 1 means the

company does not have sufficient incoming cash flow

to meet its obligations over the coming year.

Debt Ratio Total Liabilities / Total The Debt Ratio indicates what proportion of debt a

Assets company has relative to its assets. The measure gives

 an idea to the leverage of the company along with the

potential risks the company faces in terms of its debt-

load.

Debt to Equity Ratio Total Liabilities / Total The Debt to Equity Ratio is a measure of a company's

Owners Equity financial leverage. It indicates what proportion of equity

and debt the company is using to finance its assets.

Profit Margin Profit / Net Sales Profit Margin is used to determine the profitability of

each peso of sales that the company can make.

Rate of Return on Profit / Average Total Rate of Return on Assets is used to measure overall

Assets Assets profitability of assets.

Asset Turnover Profit / Total Assets Asset Turnover measures a firm's efficiency at using its

assets to generate sales revenue, the higher the

better.

Leverage of Assets Profit / Owners Leverage of Assets measures the ratio between assets

Equity and owner's equity of a company. The higher the

number, the higher the leverage.

Table 4._

Financial Ratios Descriptions

OPERATING EXPENSES

Operating Expenses Unit Price Amount

Monitoring Testing 300 per Month 3,600

Chemical Analysis 2,500 per Year 2,500

Allotted Money for Maintenance
1,500 per Month 18,000
of Vehicle

Allotted Money for Maintenance

5,000 (3x a Year) 5,000
of Machine Motor

Fuel/Gas 4,500 a month 54,000

Total Php83,100

Table 4.

Operating Expenses

INDIRECT COST

Indirect Cost

1. Rent Expense (1 month deposit + 2

Php 7,500.00
months advance)

2. Utility Bills

a. Electricity Php 6,600.00

b. Telephone

3. Consumables and Others

a. Electric Fan

b. Exhaust Fan Php 5,000.00

c. Record Book

d. Ball pen
 e. Table

f. Chair

4. Waste Disposal 965

Total Php 20,065.00

Table.4

Total Indirect Cost

 CHAPTER 5

MANAGEMENT ASPECTS

FORM OF ORGANIZATION

The type of business is a partnership. It is to be registered with the Securities

and Exchange Commission (SEC) for the contract called articles of co -partnership. By

the contract of partnership, two or more persons bind themselves to contribute money,

property and industry with the intension of dividing the profits among themselves.

Aqua Thirst Water Refilling Station as partnership will be registered with the

different government agencies as Securities and Exchange Commission (SEC),

Department of Trade and Industry (DTI), Business Permit and Licensing Office of

Pililla, Rizal (BPLO) and Bureau of Internal Revenue (BIR). The project will have its

full blast after it has complied with all the necessary documents and technical

requirements needed to operate and engage in this type of business. The pre-

operating capital for this business will be Php 200,000 each partners total of Php

600,000.

ORGANIZATIONAL STRUCTURE AND OFFICERS

Our business chose the functional type of organization. This is one of the most

commonly used type of organizational structure which all activities in the firm are

group together according to certain functions like production, marketing, service and

administrative. This is the best structure that will fit to our over-all operation. This

is quite complex but effective and efficient for every partners and employees of the

organization since the work is divided into specialized functions.

 Manager/Owner

Administrative
Assistant

Front Liner Technical Assistant Driver/Delivery Man

Figure 5.1

Organizational Chart

It is very vital in all business organization to know their manpower

requirements to operate systematically and effectively at all times. It will help also

to determine the capacity or capabilities of the employees to fit in the flow of business

as well as to have a clear duties and responsibilities. Having standard qualifications in

hiring and selecting, the employee will establish efficient business operations.

Job Descriptions

Manager/Owner Overseas store operations at least 4 hours a day

Administrative Assistant Logs and handles cash sales and purchases

Front Liner Accepts and refills containers of customers

Technical Assistant Maintains and runs the machine

Driver/Delivery Man Transport refilled containers to customers home

Figure 5.2

Job Descriptions
 CHAPTER 6

SOCIO-ECONOMIC ASPECT
EMPLOYMENT

The business will provide job opportunities to many individuals most especially to

those people who have a great concern in safe and healthy water drinking. Every

society wants all its qualified members to be gainfully employed. When individuals are

employed they are able to raise their children support them through school,

provide them with decent homes, acquire medical services whenever needed and

contribute to government income through the payment of income taxes.

Aqua Thirst Water Refilling Station will help to lessen rate of unemployment and

number of poor people. The eradication of poverty will help to solve social problems like

crimes, juvenile delinquency and malnutrition.

TAXES

Every business establishment will be of great help for the growth and

development of the Philippine economy. These will only be possible if every firm will

be responsible enough to perform their duties and obligations to their customers,

community and of course to the government.

Aqua Thirst Water Refilling Station will definitely contribute additional earnings to

our government by means of paying right taxes. Through this, the government can

able to perform its functions well including continuous support and assistance to

the business industry, providing projects for the Community such as building

infrastructures, public schools and hospitals, strengthening arm forces for the security
and protection of the country men and other indispensable projects that will benefit the

people.

OTHER BENEFITS OF COMMUNITIES

Environment

Aqua Thirst Water Refilling Station will be sensitive enough to our environment

by means of assuring that the processes involve in the business operations will be

environmental friendly. Moreover, the firm will apply the principle of Corporate

Social Responsibility (CSR).

The business will observe proper waste disposal in order to maintain cleanliness

and orderliness. This will also help to lessen pollution that causes different diseases and

health problems to many Filipinos. The business proponents will allocate enough

budgets to sustain the execution of waste management in its operation.

 APPENDIX A.

Interview Questionnaire

The proponents used questionnaires to get data of the present research

through formulation of alternative questions as show below:

East Systems Colleges of Rizal

Morong, Rizal

Name (optional): ________________________________________ Date: ___________

Address: ______________________________________________________________

Dear Customer:

We, the proponents of Aqua Thirst Water Refilling Station are conducting a

survey for us to provide quality drinking water and services that fit your needs and

wants. We need your help in filing up this questionnaire. We appreciate your

participation in this survey and welcome your feedback.

Direction: Answer the following question by putting a checkmark () on the box

provided that correspond your answer.

1. Please indicate your age range.

18-24 25-34

35-54 55 or older

2. Please indicate your Gender.

Male Female

3. How many people are there in your family?

2 4 others (specify):_____
 3 5

4. Please indicate your household income.

P8, 000 and below P15, 001 P 30,000 P50, 001 and higher

P8, 001 P 15,000 P30, 001 P 50,000

5. Aqua Thirst Water Refilling Station is currently attempting its establishment in

Brgy. Quisao, Pililla, Rizal. Which best describes your opinion of these efforts?

Very positive I have no opinion Very negative

Somewhat positive somewhat negative

6. Would you consider patronizing a water refilling station if one were located in

your barangay?

Yes No

7. Using the list below what factor/s would most influence you to patronize a water

refilling station?

Location Convenience Cost

Quality services Kinds of drinking water Reputation of water

station

8. How aware you are regarding the safety and cleanliness of water you drink?

Very much aware Aware Not much ware at all

Much aware not much ware

9. From what source does your drinking water comes from?

Pililla Water District Deep well Water pump

Water refilling station others (specify): _________

10. How frequently do you buy bottled water?

 Daily Once a week once a month

Twice a week twice a month

11. What size of bottled water do you buy normally?

330 ml 1.5 liters 1.5 gal

500 ml 3 liters 2.5 gal

1 liter 1 gal 5 gal

12. How many bottles (330 ml) of water do you drink per day?

2 4

3 Others (specify):_________

13. In your household, how many bottles (5gal) of water do you consumed in a

week?

2 4

3 Others (specify):____________

14. Which kind of water do you prefer to drink?

Purified water alkaline water

Mineral water Distilled water

15. Do you already have purified drinking water dealer?

Yes No

If yes please specify: ________________

16. Do you agree for 30 minutes time span for the delivery?

Yes No

17. If we offer purified drinking water, are you willing to try?

Yes No
18. Will it be possible that you can be our first and loyal customer?

Yes No

19. How do you want us to reach you to take your order?

Telephone/Mobile Online Personal

Sample Size determination

To be able to determine the needed number of respondents, the proponents

used Slovens Formula

Formula:

n = ____N_____

1+Ne2

Where:

N = the number of people who qualify in the area of study

e = margin of error which is 5%

n = number of needed respondents

Solution:

n = __79,059__ = 398

1+ (79,059) (.05)2

Sampling Design

The proponents used the stratified random sampling to gather information from

the target market. Surveys and interviews are conducted to further the peoples demand

regarding purified bottled water by using a specific number of persons or respondents

from nine barangays within the municipality.

The proponents used the checklist format. Questions are made for the

researchers to get their personal choice when it comes to bottled water. By these

questions, the researchers will be able to determine the demand of the product. The

group provided 398 survey questionnaires which are all in English language.
Tally of Questionnaire

The questions are answerable through choosing their answers on the multiple

choices.

1. Please indicate your age range.

Age Range Number of Respondents Percentage (%)

18-24 138 34.67

25-34 85 21.36

35-54 115 28.89

55 or older 60 15.08

Total 398 100

Table
Question no. 1 Statistic

250

200
Figure

150

100

50

0
18-34 25-34 35-54 55 or older

Figure

Question no. 1 Graph

2. Please indicate your Gender.

Gender Number of Respondents Percentage (%)

Male 134 33.67

Female 264 66.33

Total 398 100

Table

Question no. 2 Statistic

250

200

150
# of Respondents
Percentage (%)
100

50

0
Male Female

Figure

Question no. 2 Graph

 APPENDIX B.

Price Computation

a) For 5-gallon Round

Particulars With Bottle Refill Only Refill Only

Total raw materials & Total raw materials &
Php35.14 Php11.71
supplies/14gallons/30days supplies/14gallons(3)/30days
Packaging for a 5-gallon & Packaging for a 5-gallon &
104.21 .21
seal seal
Total 139.32 Total 11.92
Add: Total indirect Add: Total indirect
47.77 15.92
cost/14gallons/30days cost/14gallons(3)/30days
Total production cost 187.09 Total production cost 27.84
Add: 25.16% mark-up Add: 20.46% mark-up
(MV= Selling PriceTotal (MV= Prevailing PriceTotal
Production Cost) 62.91 Production Cost) 7.16
(MP= Mark-up Value/ (MP= Mark-up
Selling Price x 100) Value/Prevailing Price x 100)
Selling price Php250 Selling price Php35

b) For 5-gallon Slim

Particulars With Bottle Refill Only Refill Only

Total raw materials & Total raw materials &
Php35.14 Php11.71
supplies/14gallons/30days supplies/14gallons(3)/30days
Packaging for a 5-gallon & Packaging for a 5-gallon &
94.21 .21
seal seal
Total 129.32 Total 11.92
Add: Total indirect Add: Total indirect
47.77 15.92
cost/14gallons/30days cost/14gallons(3)/30days
Total production cost 177.09 Total production cost 27.84
Add: 29.16% mark-up Add: 20.46% mark-up
(MV= Selling PriceTotal 72.91 (MV= Prevailing PriceTotal 7.16
Production Cost) Production Cost)
(MP= Mark-up (MP= Mark-up
Value/Selling Price x 100) Value/Prevailing Price x 100)
Selling price Php250 Selling price Php35

c) For 1.5-gallon

Particulars With Bottle Refill Only Refill Only

Total raw materials & Total raw materials &
Php10.47 Php3.49
supplies/47gallons/30days supplies/47gallons(3)/30days
Packaging for a 1.5-gallon Packaging for a 1.5-gallon &
16.16 .16
& seal seal
Total 26.63 Total 3.65
Add: Total indirect Add: Total indirect
14.23 4.74
cost/47gallons/30days cost/14gallons(3)/30days
Total production cost 40.86 Total production cost 8.39
Add: 18.28% mark-up Add: 44.07% mark-up
(MV= Selling PriceTotal (MV= Prevailing PriceTotal
Production Cost) 9.14 Production Cost) 6.61
(MP= Mark-up (MP= Mark-up
Value/Selling Price x 100) Value/Prevailing Price x 100)
Selling price Php50 Selling price Php15

d) For 1-gallon

Particulars With Bottle Refill Only Refill Only

Total raw materials & Total raw materials &
Php7.03 Php2.34
supplies/70gallons/30days supplies/70gallons(3)/30days
Packaging for a 1.5-gallon Packaging for a 1.5-gallon &
15.16 .16
& seal seal
Total 22.19 Total 2.5
Add: Total indirect Add: Total indirect
9.56 3.18
cost/70gallons/30days cost/70gallons(3)/30days
Total production cost 31.75 Total production cost 5.68
Add: 20.62% mark-up Add: 52.67% mark-up
8.25 6.32
(MV= Selling PriceTotal (MV= Prevailing PriceTotal
Production Cost) Production Cost)
(MP= Mark-up (MP= Mark-up
Value/Selling Price x 100) Value/Prevailing Price x 100)
Selling price Php40 Selling price Php12

e) For 1-Liter

Particulars With Bottle Refill Only Refill Only

Total raw materials &
Total raw materials &
supplies/280gallons/30day Php1.76 Php.58
supplies/280gallons(3)/30days
s
Packaging for a 1.5-gallon Packaging for a 1.5-gallon &
6.12 .12
& seal seal
Total 7.88 Total .7
Add: Total indirect Add: Total indirect
2.39 .8
cost/280gallons/30days cost/280gallons(3)/30days
Total production cost 10.27 Total production cost 1.5
Add: 39.59% mark-up Add: 85% mark-up
(MV= Selling PriceTotal (MV= Prevailing PriceTotal
Production Cost) 6.73 Production Cost) 8.5
(MP= Mark-up (MP= Mark-up
Value/Selling Price x 100) Value/Prevailing Price x 100)
Selling price Php17 Selling price Php10

f) For 550ML

Particulars With Bottle Refill Only Refill Only

Total raw materials &
Total raw materials &
supplies/560gallons/30day Php.88 Php.29
supplies/560gallons(3)/30days
s
Packaging for a 1.5-gallon Packaging for a 1.5-gallon &
3.60 .10
& seal seal
Total 4.48 Total .39
Add: Total indirect Add: Total indirect
1.19 .40
cost/560gallons/30days cost/560gallons(3)/30days
Total production cost 5.67 Total production cost .79
Add: 29.13% mark-up Add: 73.67% mark-up
(MV= Selling PriceTotal (MV= Prevailing PriceTotal
Production Cost) 2.33 Production Cost) 2.21
(MP= Mark-up (MP= Mark-up
Value/Selling Price x 100) Value/Prevailing Price x 100)
Selling price Php8 Selling price Php3

g) For 330ML

Particulars With Bottle Refill Only Refill Only

Total raw materials &
Total raw materials &
supplies/848gallons/30day Php.58 Php.19
supplies/848gallons(3)/30days
s
Packaging for a 1.5-gallon Packaging for a 1.5-gallon &
3.35 .10
& seal seal
Total 3.93 Total .29
Add: Total indirect Add: Total indirect
.79 .26
cost/848gallons/30days cost/848gallons(3)/30days
Total production cost 4.72 Total production cost .55
Add: 21.33% mark-up Add: 72.5% mark-up
(MV= Selling PriceTotal (MV= Prevailing PriceTotal
Production Cost) 1.28 Production Cost) 1.45
(MP= Mark-up (MP= Mark-up
Value/Selling Price x 100) Value/Prevailing Price x 100)
Selling price Php6 Selling price Php2