Mark Joseph Laus

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    STATEMENT OF THE PROBLEM:

    It is the intention of the researcher to determine and analyze the

    easi!ility of "sta!lishin# a $ulcanizin# and Repair %hop in &apan 'ity.

    (his study seeks to ans)er the follo)in# *uestions+

    , -hat is the type of !usiness or#anization suited for the

    proect/!usiness01 -hat are the marketin# pro#rams to !e used in the !usiness0 Is there

    a demand for the proposed proect02 -hat are the technical re*uirements needed in the operation of the

    proposed !usiness04 Ho) much capital needed for the proect0 Is the proposed !usiness

    pro3ta!le0 -hat is the social si#ni3cance of the proect05 -hat are the potential pro!lems to !e encountered !y the !usiness0

    RESEARCH METHOD USED

    (he researcher employed the descripti6e method in this study.Accordin# to &ood and %cates7 a descripti6e research is a fact 3ndin# sur6ey)ith ade*uate interpretation7 description7 and analysis of the pre6ailin#condition. Descripti6e research descri!es units7 occurrence or phenomena.

    (he feasi!ility study descri!es7 interprets7 and analyzes themarketa!ility of puttin# up !usiness and operatin# a $ulcanizin# and Repair%hop in &apan 'ity. (his study descri!es the technicalities7 the market

    condition that re#ards )ith supply and demand analysis and the currenttrend of the !usiness in the area related )ith ser6in#.

    TECHNIQUES USED IN DATA GATHERING

    In pursuin# data collection7 the researcher employed *uestionnaires7inter6ie) and documentation of re6ie)ed literature and studies a!out theproposed proect.

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    ,. Inter6ie). (he researcher employed the inter6ie) as the means of datacollection. (hey conducted an inter6ie) to Mr. Aldrin (uazon7 o)ner of$ulcanizin# %hop. An inter6ie) is a 6er!al communication in )hichthere are e8istin# #uidelines or formal *uestions.

    1. 9!ser6ation. (hey o!ser6ed that it is necessary to or#anize the

    !usiness in the form of a sin#le proprietorship !ecause it allo)s theproprietor to ha6e di:erent control o6er the !usiness. (hey alsoo!ser6ed that many customers rendered their ser6ices.

    2. Li!rary (echni*ues. (his techni*ue in data #atherin# procedure is alsoemployed. Documentation of )ritten information a!out the su!ect istaken place.

    FINDINGS OF THE STUDY

    It has !een found out that there is feasi!ility and 6ia!ility in theesta!lishment of $ulcanizin# and Repair %hop in &apan 'ity. It is such a

    potential and lucrati6e !usiness.(he mana#ement aspect sho)ed that sin#le proprietorship is the !estor#anizational set;up to !e used in this kind of proect. (he proect can easily!e esta!lished under the control of one man. Line type of or#anization isused in proect !ecause it has a direct

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    5. (hat the !usiness is socially desira!le and #i6es !ene3t not only to theo)ner7 customers !ut also to the #o6ernment.

    RECOMMENDATION

    In the li#ht of conclusion7 the follo)in# are recommended+,. Indi6iduals )ho are interested in "sta!lishin# a $ulcanizin# and Repair

    %hop should 3nd #ood location such as cities and ur!an areas !ecausethat is the place )here most costumers/!uyers come.

    1. (hey should hire of *uali3ed and skilled )orkers in the !usiness so thatthey can carry out !usiness more e:ecti6ely.

    2. Di:erent marketin# strate#ies should !e applied in this !usiness inorder to make the products and ser6ices more attracti6e.

    4. 'apitalization re*uirements should !alance the procurement ofmaterials and e*uipment in the operation of the said !usiness.

    . %ystematic 3nancial procedures and control system !e #i6en moreemphasis.

    ACKNOWLEDGEMENT(he researchers )ish to e8press his sincerest appreciation and #ratitude to-esleyan >ni6ersity ? @hilippines7 for his 6alua!le and #uidance7 )ithout thisstudy it )ould not !een made possi!le.

    -e )ould like also to e8press our sincerest thanks/#ratitude to all mylo6e )ho patiently #uide us to)ards 3nancially7 morally7 and spiritualsupport.

    inally7 the )riters are dedicatin# this study to their parents )ho #a6etheir spiritual and moral support encoura#ement.

    A!o6e all7 thanks to &od )ho #a6e them healthy minds to 3nish thishum!le )ork.

    (H" R"%"AR'H"R%

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    TABLE OF CONTENTS

    @a#e

    (I(L"

    @A&"

    I

    (H"%I%

    AB%(RA'(

    .. II

    A@@R9$AL

    %H""(

    &RADI&

    %H""(

    ..

    A'C9-L"D&"M"(

    . $I

    D"DI'A(I9

    .. $II

    (ABL" 9

    '9("(%

    .. $III

    'HA@("R

    I. (H" @R9BL"M

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    Introduction

    .. ,

    %tatement of the

    @ro!lem. 2

    %i#ni3cance of the

    %tudy. 2

    %cope and Delimitation of the

    %tudy. 4

    De3nition of

    (erms..

    II. R"$I"- 9 R"LA("D LI("RA(>R" AD %(>DI"%

    orei#n

    Literature..

    Local

    Literature

    . ,E

    Justi3cation of the

    %tudy.. ,,

    III. R"%"AR'H M"(H9D9LF AD %9>R'"% 9 DA(A

    Research and Method

    >sed. ,1

    (echni*ues>sed..

    ,1

    (reatment of the

    Data..

    ,2

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    @ay!ack

    @eriod

    ,2

    I$. @R"%"(A(I97 AALF%I% AD I("R@R"(A(I9 9 DA(A

    9r#anization and Mana#ement

    Aspect.. ,

    Marketin#

    Aspect..

    ,2

    (echnical

    Aspect.

    1,

    inancial

    Aspect..

    1

    inancial

    Analysis..

    2

    $. %>MMARF7 '9'L>%I9% AD R"'9MM"DA(I9%

    %ummary

    .. 2G

    'onclusion

    .. 4,

    Recommendation

    . 41

    BIBLI9&RA@HF

    . 42

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    '>RRI'>L>M

    $I(A"

    44

    LI%( 9 I&>R"%

    i#ure

    @a#e

    , 9r#anizational 'hart

    ,

    1 $ulcanizin# @rocess 'hart

    12

    2 Repair and -heel Balancin#

    14

    4 Location Map

    %hop Layout

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    LI%( 9 (ABL"%

    (a!le @a#e

    , (otal @roect 'ost 151 %chedule Re6enue 12 'omputation of Income (a8 1=4 %chedule of Depreciation 1G %chedule of 9peratin# "8penses

    2E5 %chedule of %alaries and -a#es

    2, @roected Income %tatement 21

    = 'ash of lo) %tatement

    22G @roected Balance %heet 24

    'HA@("R ,@R9BL"M AD I(% %"((I&I(R9D>'(I9

    Althou#h the #o6ernment claimed for an upsur#e of our economy forthe last t)o years7 it cannot !e denied that the employment is still thepressin# pro!lem of society. Maority of the #raduates in colle#es anduni6ersities fail to ha6e a #ood payin# o!. Many sou#ht refu#e in othercountries )ere #raduates of presti#ious courses7 such as en#ineerin#7commerce7 education7 and others7 land as la!orers7 and domestic helpers. Inthe local la!or market7 many #raduates enter in the 3elds di:erent from the

    courses they pursued in colle#e such as accountants employed as cashiers)orkin# as casuals in #o6ernment oces and others. (he introduction ofla!or contractin# e6en added to the )oes of these #raduates. (he systemterminated the chance of the #raduates to #et a o! )ith !ene3ts andsecurity of tenure. (hey are employed only for a period of 36e to si8 monthsand are terminated and replaced !y another !atch of 36e to si8 monthscontract la!or. (his diculty to #et a o! had led others )ho ha6e the meansto 6enture in !usiness of their o)n.

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    $enturin# in a small or medium scale !usiness )ould not !e as simpleas re#isterin# the !usiness7 securin# the necessary permit and licenses7 andstart the !usiness operation7 in this concept7 many tried and failed due tolack of proper analysis and preparation7 most of all no feasi!ility study has!een conducted.

    At present the most simple and easily mana#ed !usiness is $ulcanizin#and Repair %hop. (his !usiness has !ecome the most lucrati6e and these aresmall time !usinessmen )ho )ant to en#a#e into this kind of !usiness !utthey do not ha6e enou#h kno)led#e in runnin# the !usiness.

    In &apan 'ity7 there are more than thousands of tricycle units passin#the streets in &apan 'ity and increased the dou!ly in a 36e year period from275EE units in ,GG17 in the year 1EE2 !ased on the le#alized 6olume oftricycles from the record of &apan 'ity (ricycle ranchisin# and Le#alizationDepartment this 3#ure !ecomes 471EE units of tricycle re#istered in the 'ity.

    rom the a!o6e statistics7 considerin# only the le#alized 6olume oftricycle units in &apan 'ity7 there are 1,7GEE tricycles tires rollin# the streets

    e6ery day. (he a6era#e life span of a !rand ne) tire is si8 5K months suchthat for the )hole year7 from the 72EE units7 there are 427=EE tiresconsumed annually )here a !rand ne) tire cost an a6era#e of @21E.EE perpiece.

    (his statistics pro6ided an idea for the researcher to conduct afeasi!ility study on a !usiness that )ould help the tricycle operatorsminimize their #ro)in# operational e8penses as !rou#ht !y the increasin#prices of #asoline7 oil and spare parts. (he researcher conducted somesur6eys on tricycle usin# recapped tires they are usin# are from a sole tirerecappin# in &apan 'ity7 ue6a "cia. o one amon# the fourteen ,4K storessellin# motorcycles spare parts and tires )ithin &apan 'ity7 ue6a "cia that

    has !een inter6ie)ed !y the researcher carry 6ulcanized tires.A comparati6e computation )as conducted !y the researchers in order

    to #et a !irds eye 6ie) on the economic di:erence !et)een a 6ulcanized tireand a !rand ne) tire. If the a6era#e lifespan of a 6ulcanized tire is 4.months at @,=E.EE per tire7 its e8penses per month is @2.EE. If the a6era#elifespan of a recapped tire is 4. months at @,=E.EE per tire7 its e8penses permonth)ould !e @4E.EE. (he di:erence !et)een the t)o is @,2.EE per monthor a 14. percent di:erence makin# the 6ulcanized tire more economical touse.

    Althou#h a motorcycle 6ulcanizin# shop is already in operation in&apan 'ity7 ue6a "cia7 the !usiness is not yet fully tapped since the

    e8istin# one cater only to tricycle dri6ers )ho !rin# their carcass in theesta!lishment for 6ulcanizin#. o actual carcass collection system ormarketin# strate#y is undertaken.

    rom the a!o6e statistics7 the researcher came out for this study. Aeasi!ility %tudy of "sta!lishin# a $ulcanizin# and Repair %hop in &apan 'ity7ue6a "cia.

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    STATEMENT OF THE PROBLEM

    It is the intention of the research to determine and analyze the

    easi!ility of "sta!lishin# a $ulcanizin# and Repair %hop in &apan 'ity.

    (his study seeks to ans)er the follo)in# *uestions+

    ,. -hat is the type of !usiness or#anization suited for the

    proect/!usiness01. -hat are the marketin# pro#rams to !e used in the !usiness0 Is there

    a demand for the proposed proect02. -hat are the technical re*uirements needed in the operation of the

    proposed !usiness04. Ho) much capital needed for the proect0 Is the proposed !usiness

    pro3ta!le0. -hat is the social si#ni3cance of the proect0

    5. -hat are the potential pro!lems to !e encountered !y the !usiness0

    SIGNIFICANCE OF THE STUDY

    (his study entitled easi!ility of "sta!lishin# a $ulcanizin# and Repair%hop in &apan 'ity7 could !e of help to the follo)in#+

    (he Researchers. (hey )ill !e familiar )ith the needed information thatis essential in handlin# the !usiness.

    (he uture Researchers. (he result of this study )ould !e a source ofinformation to the future researchers )ho )ill !e in6ol6ed in this kind of!usiness.

    (he @rospecti6e In6estors. (his study )ill !e a #uide to a futurein6estors and for them to realize that puttin# up !usiness like this is 6eryfeasi!le.

    SCOPE AND DELIMITATION OF THE STUDY

    (his study is limited only the 6ulcanization of motorcycle tires7 andrepair of the tire like the tire rim rayosK7 )here statistics used )ere !ased onthe franchised and le#alized 72EE tricycle units in &apan 'ity. %in#le motorser6ices )ere not included and others. inancial analysis is limited to the

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    cost of e*uipment7 tools7 and materials used7 as )ell as the process ofproduction e8penses7 tar#et markets7 and proected market #ra! shareK )iththe 3nancial analysis on pro3t statement and Rate of Return of In6estmentRR9IK.

    (o or#anizational aspect7 this study usti3es the type of !usinessor#anizational it intends to put up. (his aspect )ill also de3ne the duties andresponsi!ilities of the re*uired personnel and their compensation.

    (he production aspect7 shall limits its discussion )ith emphasis to thelocation of the )orkin# shop7 shop facilities7 shop size and the ser6iceso:ered.

    As to 3nancial aspect7 the possi!le sources of 3nancin# the pro3t )ill!e sho)n as )ell as the or#anized presentation of 3nancial tools and analysisto ustify the 6ia!ility and feasi!ility of the proect.

    DEFINITION OF TERMS

    (he follo)in# are de3ne in order to #uide the readers in understandin# this study.

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    AIR '9M@R"%%9R. A de6ice used to accumulate air )ith pressure #reater than

    atmospheric pressure used to po)er a mechanical de6ice or pro6ide a porta!le supply of air7

    or o8y#en.

    'AR'A%%.As used in the study7 this term refers to the e8terior tire )here the outer

    upper layer has already !een consumed.

    "L"'(RI' &RID"R. (he term refers to a #rindstone electrically operated7 used to

    #rind7 polish or sharpen tools.

    "N("RI9R. (he term refers to the outer part of ru!!er tire.

    I("RI9R. (he term refers to the inner part of ru!!er tire made up of a thin tu!ular

    circular ru!!er )hich is air in

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    REVIEW OF RELATED LITERATURE AND STUDIES

    (his chapter presents re6ie) of some studies and a6aila!le literature)hich are in a )ay related to the proposed study.

    FOREIGN LITERATURE

    (he history of ru!!er tires !e#an in ,=2G )hen 'harles &oodyear disco6eredthe secret of 6ulcanization. Althou#h the 3rst air;in

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    e) types of tire molds ha6e the air !a# on air !ladder7 !uilt into the machinerather than as a separate piece of e*uipment.

    Richard A. Riley7 a chairman of the irestone (ire and Ru!!er 'ompanystressed the need to shape the tread of the tire in accordance to the terrain as a tiresafety measures. He said that con6entional tires pro6ide #ood traction under mostconditions perform relati6ely poorly on smooth surface all season tires ha6e )ide

    #roo6es and tread patterns desi#ned to penetrate sno) and pro6ide #ood traction.(o reduce skiddin#7 some tires are pro6ided )ith studs em!edded on the tread.

    %tudded tires are7 ho)e6er ille#al !ecause they tend to dama#ed pa6edroads. -orn thread do not #rip the road )ell and increases possi!ilities of skids.

    (ires should !e replaced )hen their tread had )orn do)n ,/,5 inch ,.5mmK thisdepth is indicated !y a !uilt in )ear !ars that sho) up as smooth horizontal !andsacross the tread. (his depth is also an ideal )ear for possi!le recappin#.

    %ince recappin# is in itself a method of recyclin# used tires7 it is )orthy tonote the )ords of Akiyama (adasuke. He said that recyclin# can refer to 6ariety of)ays of refusin# resource and products7 from the recyclin# of home #ar!a#e to the

    systematic reco6ery and reuse of products of other materials and processin# ofindustrial )aste !y #o6ernment or industry.

    -ith re#ard to used tires7 the researcher has !een tryin# to de6elop practicalmethods of disposin# of the millions of )orned tires scrapped each year. %ome ofthese tires are #round up7 and the ru!!er is reclaimed for use in ne) ru!!erproducts. %ome are used as arti3cial reefs on ocean !ottoms7 to pro6ide hea6ens for3sh. %till7 others are #round up and used in asphalt for pa6in#.

    Another method of disposin# the tires is to use them as a source of ener#y.By !urnin# them in a specially desi#ned pollution ? free incinerators7 old tires could!ecome 6alua!le ener#y resource. But this method is e8tremely costly a syntheticru!!er fuel containin# an o8y#en;rich chemical is used in rocketsK.

    Aside from studies and literature a!out tires and recyclin#7 some studiesa!out marketin# or !usiness 6enture is important to note in this study.

    9n entrepreneurship7 to enter into a ne) 6enture necessities en6ironmentalassessment7 the economic en6ironmental plays a 6ital role in the success or failureof any ne) 6enture. (oo often7 it !ecomes o!6ious that a little e:ort )as made todetermine )hether the economic en6ironment )as friendly or hostile to a speci3c6enture. Curatco recommended the follo)in# to assess economic en6ironment inorder to a6oid pitfalls+

    ,. Ho) many 3rms are in this 6enture01. Do the 3rms 6ary or are they similar02. Are they in one area or )idely spread04. Do the 3rms ser6e only to the domestic market0. -hat is the competiti6e nature of this !usiness0

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    Ans)er to these *uestion pro6ide an o6erall picture of the !usinesseliminate )ithin )hich a ne) 6entures must realize that certain attitudes andperceptions from prospecti6e clienteles are needed for proper assessment ofthe en6ironment.

    Michael ". @orter recommends other useful steps that can assist anentrepreneur in e8aminin# any

    ne) 6enture+,. Ade*uate de3nition of the industry for the ne) 6enture.1. Analyze the competition.2. Determine the stren#th and characteristics of suppliers.4. "sta!lish the 6alue added measure of the ne) 6enture.. @roect the market size for the particular industry.

    LOCAL LITERATURE

    (he role7 tasks7 and responsi!ilities of mana#ement do not actually6ary7 to a si#ni3cant e8tent7 amon# or#anizations7 instead7 it is the mana#er)ith his o)n uni*ue sets of attitudes and norms ? and the kind ofsu!ordinates he handles that di:er )idely in all or#anizations. Andresdiscourses on the ilipino 6alues and mana#ement practices in the@hilippines as he !elie6es that the ilipino entrepreneur has its uni*ue styleof mana#ement accordin# to Andres7 the ilipino mana#er needs from his

    su!ordinates.

    JUSTIFICATION OF THIS STUDY

    (he researcher found out that the proect is feasi!le and 6ia!le andassure that this study is not duplicated or copied from other studies thus thisstudy is ori#inal and it is the product of com!ined e:ort or the researchers.

    (he scope of this study has similarity and di:erences to other studies.It is similar in term of techni*ues used in data #atherin# and also intreatment of data7 !ut di:ers in term of e8planation and meanin#. It alsodi:ers in the content of the study7 and also its location and capitalization.

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    CHAPTER IIIRESEARCH METHODOLOGY AND SOURCES OF DATA

    (his chapter presents the research method utilized !y the researchers7the manner of #atherin# data7 their sources and procedures used to test the6ia!ility of the proect.

    RESEARCH METHOD USED

    In this study the descripti6e method of research )as utilized !y the)riter )ith documentary analysis as the main techni*ue for data #atherin#.Description research )as utilized to descri!e the )ays and methods ofproducin# 6ulcanizin# and repair shop !usiness.

    Reports and other )ritten documents from pri6ate and #o6ernmenta#encies such as Department of (rade and Industries7 @ri6ate Business@u!lications and other institutions )ere utilized !y the researchers.Inter6ie)s )ith people in 6ulcanizin# !usiness )ere also undertaken.

    TECHNIQUES USED IN DATA GATHERING

    ,. Inter6ie) ? needed facts )ere o!tained throu#h inter6ie) and it #i6esthe researchers the much more assurance to the accuracy of theresults.

    1. 9!ser6ation ? they o!ser6ed that it is necessary to or#anize the!usiness in the form of a sin#le proprietorship !ecause it allo)s theproprietor to ha6e di:erent control o6er the !usiness.

    2. Li!rary (echni*ue ? )as also conducted !y the researchers in order tofurnish all the needed data that )ill !e a !i# help to the study.@u!lished !ooks7 ma#azines7 ournals and internet in personalcomputer )ere used in this study7 in this study7 in order to 3nd out the

    dicult pro!lems in6ol6ed in this research study.

    TREATMENT OF THE DATA

    (he follo)in# 3nancial methods of e6aluatin# the feasi!ility of acertain proect )ere utilized !y the researchers.

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    ,. R"(>R 9 I$"%(M"(

    oremost amon# in6estors is the rate that these )ould #i6e. (his si#ni3cance

    rate of return promise !y in6estment proect )hen in6estors consider thetime 6alue of the in6estment.

    R9I P Annual et Income (otal In6estment

    1. @AFBA'C @"RI9D

    Measures the len#th of time re*uired to reco6er the amount of initialin6estment it is the time inter6al !et)een the time of initial outlay and the

    full reco6ery of the in6estment.

    @ay!ack P et In6estment Annual 'ash Return

    2. @R"%"( $AL>" AALF%I%

    It is the e8cess of the present of the cash in

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    CHAPTER IVPRESENTATION, ANALYSIS AND INTERPRATATION OF DATA

    (his chapter consist the entire content of the study or#anization andmana#ement7 technical7 marketin#7 and 3nancial aspects of the proect.%pecial mention is made concernin# potential pro!lems7 and socialdesira!ility of the proposed study.

    A. 9r#anization and Mana#ement Aspect

    (his !usiness )ill start on a small case !asis. (his is a sin#leproprietorship !usiness )hich )ill supply the operate as 6ulcanizin# andrepair shop.

    It is usual in this kind of !usiness that the mana#er )ill directlysuper6ise the )orkers.

    @"R%9"L -9RC"R%

    (he or#anizational structure of the !usiness )ill !e composed ofthe follo)in# personnel and )orkers+

    ,. Mana#er / 9)ner1. %ecretary / Bookkeeper / 'ashier2. $ulcanizers

    4. -heel / (ire Repairmen. %hopkeeper / Helper

    ORGANIZATIONAL STRUCTURE

    It is usual for this kind of or#anization to use the line typeof or#anizational structure from )here there is a direct

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    superior ? su!ordinate relationship )herein a superior dele#ates authority toa su!ordinate )ho in turn dele#ates authority to another su!ordinate thusformin# a line from the 6ery top of the lo)est le6el of the or#anizationalstructure.

    Line type of or#anization is the simplest form of or#anization types7hence it is easily understood !y its mem!ers. "6ery person kno)s from)hom he recei6es his order and to )hom to report. A person )ith lineauthority kno)s )hat he is e8pected from him and he is responsi!le for theunit to )hich he is e8pected or assi#ned to function for the attainment of the#oals of the enterprise.

    (he proposed proect7 !ein# on a small scale )ill ha6e simpleor#anizational structure.

    FIGURE 1

    ORGANIZATIONAL CHART

    9-"R 9R MAA&"R

    $>L'AIQ"R%

    %"'R"(ARF/

    B99CC""@"R/'A%HI"R

    %H9@C""@"R/H"L@"R

    -H""L/ (IR"R"@AIR M"

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    J9B D"%'RI@(I9 AD %@"'II'A(I9

    (he follo)in# are the responsi!ilities of the employees/ personnel.

    Gene!" M!n!#e$O%ne. He is responsi!le in dealin# di:erent kindof persons like tricycle dri6ers7 customers and other persons in the !usiness.He should make an e:ecti6e plan in the mana#ement of the !usiness. Heshould make an e:ecti6e plan in the mana#ement of the !usiness and createa #ood marketin# strate#ies. He should !e kno)led#ea!le in the )holeoperation of the !usiness.

    Se&e'!(. Her primary function is to issue receipts and pay !ills ofthe company. %he should ha6e a thorou#h understandin# on di:erentproceedin#s of the !usiness and 6ery )ell kno)led#ea!le in proper recordin#of transaction made !y the !usiness.

    V)"&!n*+e. (hey are responsi!le in dealin# )ith their needs andpro!lems of the customers. (heir duties are the main important o!s in theshop and they are also the responsi!le persons in the repair andmaintenance needed !y the customers and tricycle dri6ers. S-./ Kee/e . He"/e. He is responsi!le in repairin# the !roken

    )heel / tire support rayosK. After chan#in# the !roken tire support7 therepairman makes the necessary !alancin# the )heel/tire of the tricycle onorder to maintain the )heel circular in nature.%alary Distri!ution Jo! (itle%alary/-a#es per monthMana#er / 9)ner ,17 EE%ecretary =7EEE

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    2 $ulcanizers/-orkers @47EEE.EEK each,17EEE

    1 )heel Repairmen @47EEE.EEK each =7EEE, Helper or %hop Ceeper 27EEE

    MARKETING ASPECT

    A !usiness or#anization such as that of an 6ulcanizin# and repairshop operates on a 6ery competiti6e or#anization. Business uses the limitedresources a6aila!le to them as )ell as for the limited markets of theirser6ices. In such situation a proect must ha6e a clear idea of the role )hich

    it plays in society. It should al)ays aim to o:er !etter *uality ser6ices that ofits competitors for this is the only decidin# factor in )hich a consumer coulddecide !ecause the prices of the ser6ices in this company does not 6ary )itheach other. Also the !est suited marketin# strate#y as )ell as the properad6ertisement procedures )as re6ealed in this part.

    MARKET STUDY

    In &apan 'ity7 there are only fe) 6ulcanizin# and repair shops o:erin#a !usiness )hich is somethin# !i# and uni*ue. (he !usiness is di:erent fromthe 6ulcanizin# shops sho)n in path)ays of the mainroads Ban#ketaK. (heminimum num!er of 6ulcanizin# stand is 36e K sets and t)o 1K sets of)heel !alancin# e*uipment are a6aila!le in the shop7 )ith the rate ofincrease tricycles in the city7 there is a need to install a 6ulcanizin# shop7)hich is !i# and has enou#h space to accommodate at least 36e customersat a time. Accordin# to Land (ransportation 9ce there are at least 71EE

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    tricycles re#istered in &apan 'ity alone aside from the tricyclemo6in#/operatin# in the adacent to)n of &apan like %an Isidro7 %anLeonardo7 and @enaranda. In this situation7 the researchers !elie6ed thatthere is a !i# market.

    MARKET OF THE PRODUCT

    (he primary market place of the !usiness of %an $icente7 &apan 'ityother near!y places also the tar#et market. (he mana#er himself )illtransact )ith the tricycle dri6ers in &apan and in other near!y places like%an Leonardo7 %an Isidro7 and @enaranda7 ue6a "cia )herein there aremany e8istin# tricycle dri6in# in the streets of &apan for the 6ulcanizin#ser6ice and repair.

    M!0e'*n# S'!'e#*e

    9n the store site the !usiness )ill simply place a !ill!oards and thenumerous poster and !anners )ill !e located in di:erent places. (he main marketin# strate#y to !e used is !y informin# the tricycledri6ers a!out the shop and o:erin# lo)er prices of the products. (here is noneed for the proponent to ad6ertise the shop ea#erly !ecause there is a !i#demand in 6ulcanizin# and repair !usiness in the 'ity.

    S)//"e !n De2!n An!"(*

    M!0e' De2!n. (he proponent considers the analysis of supply anddemand of the proect. As per sur6ey7 the demand for 6ulcanizin# and repairshop is one of the #reat demands the tricycle in the city. In this connectionthere )ill !e no pro!lem as far as the demand for the ser6ices o:ered !y theshop is concerned. Accordin# to the present 6ulcanizin# shop o)ners smalltimeK this proect is still !loomin#7 there!y allo)in# a !i##er demand for thefuture and still #i6in# an opportunity for earnin# for those )ho are interestedin #ettin# into this kind of !usiness.

    M!0e' S)//"(. %upply and materials to !e used in the operation ofthe !usiness are not considered a pro!lem !ecause there are manye*uipment and materials a6aila!le for purchase nearest the proect7therefore7 there is no limitation on the source of supply in operatin# the said!usiness. &apan 'ity7 !ein# one of the !usiness centers in the pro6ince ha6eenou#h of supplies and materials for 6ulcanizin# and repair shop )herematerials for the proect can easily !e secured.

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    TECHNICAL ASPECT

    (his part of the study )as consisted of the necessities in handlin# theproduct and it also discuss the store site and the reno6ation of the shop!uildin#.

    LOCATION

    (he location of the shop should !e in that can reach !y many people.(he place should ha6e a small )orkplace to accommodate customers andother tricycle dri6ers.(he store site )ill !e located at %an $icente7 &apan 'ity )here any!ody inthe area could access the shops. (he 6icinity map of the store )as presented

    in i#ure 4.

    BUILDING RENOVATION

    It is estimated that the shop to !e reno6ated )ill cost @57EEE.EE pesosthat means this amount )as necessary in the reno6ation of the !uildin#shop.(he shop site )ill !e reno6ated in the description appropriate for the6ulcanizin# and repair ser6ices7 )orkin# places for the 6ulcanizin# and 1

    sets for )heel !alancin# and repair shop. (he oce of the mana#er )as!uild inside the shop and the cashier )indo)s as )ell. (he store area should!e at least = meters )ide.

    S.)&e .3 '-e P.)&'

    (he main source of the products are the leadin# suppliers of6ulcanizin# materials in Metro Manila that o:ers a lo) )holesale price )hichmeans lo)er cost of the products.

    M!&-*ne*e !n E4)*/2en'

    (he follo)in# are the e*uipment needed !y the proect,. Air 'ompressor. It is necessary in pro6idin# air for the tire )hen it is

    already 6ulcanized.1. 'alculators / Addin# Machine. It is usually used !y the cashiers and

    sales clerk for the computation of the sold items.

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    2. Healin# plate stallK. (his e*uipment is important/necessary in heatin#the ru!!er strip in order to co6er the dama#ed part of the tire.

    4. Li#hter / Matches. (hese items are also needed in li#htnin# the heatin#plate )ith diesel.

    . -heel Balancin# "*uipment. (his in needed in repairin# the rim of the

    tire )hen the tire is not already circular in nature o!lon# tireK.5. Drum. (his is necessary in locatin# the dama#ed part of the tire!utasK.

    . Mechanical (ool %et. (his is 6ery important in loosin# and 38in# themetal scre) of the tire.

    =. Ru!!er %trip Adhesi6eK. (his is the main material used in co6erin# the!roken interior of the tire.

    FINANCIAL ASPECT

    (he total capital re*uirements for the proect )ill amount to [email protected]. the e*uity shall !e the o)ners in6estment )ithout !orro)in#money from any 3nancial institutions. %ince the !usiness is only a small scaleindustry7 the proponent decided not to !orro) money from the !ank. (heproponents capital is enou#h to operate a small !usiness like a 6ulcanizin#shop. (he follo)in# ta!le sho)s the detail of the total capital re*uirement ofthe proposed !usiness.

    FIGURE 5

    VULCANIZING PROCESS CHART

    TIRE REMOVING

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    FIGURE 6

    REPAIR AND WHEEL BALANCING

    AIR FILLING THE TIRE7INTERIOR8

    LOCATING THE DAMAGEDPART OF THE TIRE

    HEATING THE INTERIOR PARTOF THE TIRE WITH RUBBER

    STRIP

    REMOVING FROM THEHEATING PLATE

    AIR REFILLING THE INTERIORTIRE

    FI9ING THE TIRE

    TIRE REMOVING

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    T!"e 1

    TOTAL PROJECT COST

    @AR(I'>LAR% AM9>(

    Buildin# / %hop Reno6ations @57EEE.EEAd6anced Deposit for Rentals

    LOOSEN ALL THE BROKENRIM SUPPORT 7RAYOS8

    PLACE THE WHEEL$TIRE RIMIN THE WHEEL BALANCING

    EQUIPMENT

    BALANCING THE RIMSUPPORT 7RAYOS8 TOREPLACE THE BROKEN

    REMOVING FROM THE TIREBALANCING EQUIPMENT

    FI9ING THE RIM TO THE TIREWITH BALANCED SUPPORT

    FI9 THE WHEEL$TIRE TO THETRICYCLE

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    1 months ? @27EE per [email protected]

    Machineries and "*uipmet

    Air 'ompressor @1E7EEE.EE Heatin# @lates pcsK 17EE.EE -heel Balancin# "*pt. 1pcsK 47EEE.EE Mechanical (ool %et 7EEE.EE Drums 1pcsK EE.EE

    217EEE7EE

    -orkin# 'apital 2E7EEE.EE(otal @roect 'ost @7EEE.EE

    T!"e 5

    SCHEDULE OF REVENUE

    %"R$I'" "" '9LL"'("DK

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    @AR(I'>LAR% DAILF M9(HLF A>ALLF$ulcanzizin# ees @E.EE @117EE.EE @1E7EEE.EE-heel/(ire Repair

    ees

    @=EE.EE 147EEE.EE @1==7EE.EE

    (otal Re6enues @,7E.EE 457EE.EE @=7EEE.EE

    S!2/"e C.2/)'!'*.n:

    $ulcanizin#

    E pcs 8 @,.EE P @E.E/day

    -heel (ire Repair

    ,E pcs 8 @=E.EE P @=EE.EE/day

    (a!le 2'9M@>(A(I9 9 I'9M" (AN

    %>BJ"'( 9R I'9M" (AN I'9M"

    (AN,styear@2,74EE ? 2E7EE P @,74EE 8 , S @ 17EE.EE P@17,E.EE

    1ndyear@272EE ? 2E7EEE P @72EE 8 , S @17EE.EE [email protected]

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    2rdyear@2G7GE ? 2E7EEE P @G7GE 8 , S @17EE.EE [email protected]

    4th

    year@4572EG ? 2E7EEE P @ ,572EG ? 8 , S @ 17EE.EE [email protected]

    thyear@4G7EE ? 2E7EE P @,G7EE 8 , S @17EE.EE [email protected]

    T!"e ;

    SCHEDULE OF DEPRECIATION

    @AR(I'>LAR% '9%( >%">L LI" D"@R"'IA(I9%hop %paceReno6ationK

    @5.EEE.EE years @,71EE.EE

    Machineries and"*uipment

    @217EEE.EE years @574EE.EE

    (otal @75EE.EE

    T!"e

    F"AR , F"AR 1 F"AR 2 F"AR 4 F"AR et Income After

    ta8

    @1=75GE.EE @217EE.EE @275,.EE @4,7252.EE 447E.EE

    Add+ on cashItemsAmortization andDepreciationIncrease in ta8lia!ility

    75EE.EE

    17,E.EE

    75EE.EE

    =.EE

    75EE.EE

    544.EE

    75EE.EE

    ,7EE.EE

    75EE.EE

    4G.EE

    (otal @2G7EEE.EE @4E7,GE.EE @427=G.EE @4G7GE.EE @17,4.EEAdd+ 'ash !al.

    Be#

    @2E7EEE.EE @57GEE.EE @,E7G,G.EE @,72EG.EE @1E72E5.EE

    'ash end @5G7EEE.EE @,EG7,GE.E

    E

    @,27E=.EE @1E27E.EE @171EG.E

    CASH FLOW STATEMENT

    T!"e ?

    PROJECT BALANCE SHEET

    F"AR , F"AR 1 F"AR 2 F"AR 4 F"AR 'ash @5G7EEE.EE @,EG7,GE.E

    E

    @,27E=.E

    E

    @1E27E.E

    E

    @171EG.E

    EAd6ance deposit 7EE.E 7EEE.EE 7EEE.EE 7EEE.EE 7EEE.EEBld#. Reno6ation 57EEE.EE 57EEE.EE 57EEE.EE 57EEE.EE 57EEE.EELess+ Accum ,71EE.EE 174EE.EEK 275EE.EEK 47=EE.EEK 57EEE.EEK

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    DepreciationMachineries 217EEE.EE 217EEE.EE 217EEE.EE 217EEE.EE 217EEE.EELess+ AccumDepreciation

    574EE.EEK ,17=EE.EEK ,G71EE.EEK 175EE.EEK 217EEE.EEK

    @,E574EE.E

    E

    @,2=7GGE.E

    E

    @,71=.E

    E

    @1,75.E

    E

    @15171EG.E

    E(a8es @aya!le 17,E.EE 271G.EE 27G2G.EE 47G45.EE 741.EE9)ners !e#. 'ap 7EEE.EE @,E275GE.E

    E

    @,275G.E

    E

    @,,7245.E

    E

    @1,17EG.E

    EAdd+ et Income 1=75GE.EE 217EE.EE 275,.EE 4,7252.EE 447E.EE

    (otal 9peratin#"8penses

    @,E275GE.E

    E

    @,275G.E

    E

    @,,7245.E

    E

    @1,17EG.E

    E

    @1457=4.E

    E(otal Lia!. And9)ners "*uity

    @,E574EE.E

    E

    @,2=7GGE.E

    E

    @,71=.E

    E

    @1,75.E

    E

    @15171EG.E

    E

    FINANCIAL ANALYSIS

    (he follo)in# are the !arometrics/indicators used in the study in orderto test the pro3ta!ility of the proposed proect/!usiness. A6era#e rate ofreturn cash pay!ack period and the present 6alue analysis.

    ,. A6era#e Rate of Return P A6era#e/Annual Income

    (otal In6estment

    P @257 25 7EEE

    ARR P 4=

    1. @ay!ack @eriod

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    @ay!ack period indicates the num!er of years re*uired to fullyreco6ered the initial in6estment. (his 3#ure sho)s in the follo)in#computations.

    '@@ P (otal @roect 'ostUUUU et Income S Depreciation

    P UUUU@7EEEUUUUUU @1=75GE S 755E.EE

    P 7EEE 2571GE

    P 1.E5 8 ,1 months

    '@@ P 1 years and = months

    2. @R"%"( $AL>" AALF%I%F"AR 'A%H IL9-% @$ of @, At ,1 @R"%"( $AL>", @ 2571GE.EE E.=G2 @2174E5.G1 2575E.EE E.G 2,75.,G

    2 4271,.EE E.,1 2E7G4.44 4=7G52.EE E.525 2,7,4E.4 ,75.EE E.= 2E7222.12(otal @resent $alue of 'ash In

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    SOCIAL DESIRABILITY OF THE PROJECT

    In this study7 the proposed 6ia!ility is not all that is considered )henin6estin# in !usiness is concern. (he proect socio;economic contri!utions tothe country should like)ise solicit an e*ual de#ree of consideration. (heproect is e8pected to !e a contri!utors7 as )ell as a helpin# hand for theupliftment of the social and economic li6in# in the city. (he follo)in# areasare also considered.

    "mployment &eneration. A de6eloped 6ulcanizin# industry and thoseindirectly in6ol6ed in the proect pro6idin# them employment durin# thereno6ation of the shop as )ell as durin# its actual operation.

    Income &eneration. 'onsiderin# employment opportunities7 thisproect could contri!ute income to those )ho )ork in the !usiness not onlythe employees !ut also the in6estors )ho )ill #o into this kind of !usiness.

    &eneratin# unds for the &o6ernment. By means of licenses and ta8esfees to !e paid !y the !usiness7 it can #enerate funds for the #o6ernment)hich )ill e6entually !e of assistance in upliftin# the socio;economic life inthe country.

    POTENTIAL PROBLEMS

    (he potential pro!lems as en6isioned !y the proponent in the actualoperation proect are as follo)s+

    ,. Due to the city ordinances considerin# the non;franchisin# of tricyclesin the city could a:ect the operation of the !usiness.

    1. (here is a tendency that throu#h the de6elopment of the city7 allo)in#ta8i and multi ca! to operate !usiness in the city. (hrou#h this chan#ein the system and policies7 the proect )ill also !e a:ected.

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    CHAPTER VSUMMARY, CONCLUSIONS, ANF RECOMMENDATIONS

    (his chapter deals )ith the summary of 3ndin#s7 the conclusions andthe recommendations for the successful mana#ement of the !usiness.

    SUMMARY

    (his study )ants to 3nd out the feasi!ility study of 6ulcanizin# andrepair shop in &apan 'ity. (his study deals )ith the four aspects ofmana#ement.

    M!n!#e2en' A/e&'

    (his !usiness )ill !e formed as a sin#le proprietorship. (his type ofmana#ement )as adopted !ecause it is easy to start and terminate7 pro3t!elon#s entirely to the o)ner and the o)nership is 6ested only to oneperson. (he type of or#anization used in this proect is the line type )here

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    there is a direct

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    4. (hat the maintenance of this proect is 6ery simple.

    . (hat the !usiness is 6ery feasi!le.

    5. (hat the !usiness is socially desira!le and #i6es !ene3t not only to the

    o)ner7 consumers7 !ut also to the #o6ernment.

    RECOMMENDATIONS

    In the li#ht of conclusion7 the follo)in# are recommended+

    ,. Indi6iduals )ho are interested in "sta!lishin# a $ulcanizin# and Repair%hop should 3nd #oodlocation such as cities and ur!an areas !ecause that is the place )here

    most consumers/!uyers come.

    1. (hey should hire *uali3ed and skilled )orkers in the !usiness so thatthey can carry out !usiness in order to make the products and ser6icesmore attracti6e.

    2. Di:erent marketin# strate#ies should !e applied in this !usiness inorder to make the products and ser6ices more attracti6e

    4. 'apitalization re*uirements should !alance the procurement ofmaterials and e*uipment in the operation of the said !usiness.

    . %ystematic 3nancial procedures and control system !e #i6en moreemphasis.

    BIBLIOGRAPHY

    A*uino7 &audencio $. undamentals of Research and (hesis -ritin#

    Ouezon 'ity+ @hoeni8 @u!lishin# House7 ,G=K

    Brandt7 %te6en '. "ntrepreneurship in "sta!lished 'ompanies+ Mana#in#

    (o)ard the Fear 1EEE

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    Home)ood7 Illinois Do) Jones;Ir)in7 ,G=5K

    'omptons Interacti6e "ncyclopedia7 ,GG "dition

    'orter $. &ood and Dou#las %cates7 Method of Research

    e) Fork Mc&ra) Hill !ook 'o.7 Inc. ,G1K

    Medina7 Ro!erto &. "ntrepreneurship and %mall Business Mana#ement

    Manila R"N @rintin# 'o.,GG5K

    @atac7 Juan. A Lar#e %cale Business7 (he "conomic Journal $ol. ,=7 o. ,E

    January ,G=G

    -e!ster Dictionary7 %tudent "d.

    %prin#3eld &. Merriam Book7 'o.7 ,GK.

    FIGURE (ILI(F 9I'"

    9@" %H"D -9RCI& AR"A

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