BUS PLAN 2

FAR EASTERN UNIVERSITY
INSTITUTE OF ACCOUNTS, BUSINESS AND FINANCE
BUSINESS MANAGEMENT DEPARTMENT
Business Management 1 | P a g e
1st
semester – AY 2014-2015

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TYPE OF BUSINESS
Dream Hub Enterprises is a locally owned company that will be positioned as a local
brand that through the founders‘ creative approach to the company‘s image and detailed
production of a security device. Dream Hub Enterprises is engaging in producing a new kind of
security device in a form of wall lamp, called the Instratech.
The founders decided to establish their business in a form of limited partnership. They
named the company Dream Hub Enterprises which is a combination of ―one dream and one
goal‖ of the team.
The increasing rate of crimes in the country especially robbery that our country is facing
right now motivated the founders to come up with an extraordinary security device. The
founders have decided to target National Capital Region.
MANAGEMENT HIGHLIGHTS
Dream Hub Enterprises is composed of five young competitive Business Management
students of Far Eastern University. Their commitment and passion led them of having Instratech
to introduce in the business market.
Vision
Dream Hub Enterprises aims to be the most trusted company in providing
customers the best quality in security device system.

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Mission
Dream Hub Enterprises will strive to provide satisfaction for the customers and
employees in order to become a trademark in security device industry and to provide
quality products to our valued customers.
Objectives
To be recognized as one of the leading company in the security device industry
and in the neighboring countries by its customers, competitors and business
associates.
To produce a variety of product line through the use of some materials.
To be able to enter in the global markets.
To expand our business in same areas in the country and penetrate the whole
market in the country.
Keys to Success
To succeed in this business, Dream Hub Enterprises must:
Create a unique and innovative security device that will differentiate it from the
rest of the competition.
Control costs at all times, in all areas and implement a conservative approach to
growth policy.
Sell security devices that are of the highest quality, as well as providing a
positive experience and a high level of customer service.
Promote good values of company culture and business philosophy.

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MARKETING HIGHLIGHTS
Dream Hub Enterprises chooses the business to consumer (B2C) and business to
business (B2B) approach to easily penetrate the market in security device industry. The
company will primarily targeting the households from class A to middle C, small business
owners and also, Dream Hub Enterprises will go business to business approach as the
company will be having a partnership or tie up‘s to the real estate developer like Megaworld and
Amaia in order to continue the vision of the company to expand. Dream Hub Enterprises
considered factors affecting these individuals when it comes on their purchasing behavior so our
company conducted research and identify the industry for security device to able to provide a
product which will satisfy the customers. The company considered the following factors in
choosing the business to transact with: location, product line, values and skills. These are the
factors that the entrepreneurs think are significant to the success of the company. The highlights
of this aspect are the promotional activities that the company have enumerated and explained.
The company was able to identify the potential of the product through demand and supply
analysis, surveys and direct interviewed that was conducted during the research. The database
the company has collected was also done in order to further explain the marketing situation of
the company. These include SWOT Analysis, Porter‘s framework and Key Success Factor.
FINANCIAL HIGHLIGHTS
Including the Initial investment (P6,701,420.00 ), Pre-operating costs (P276,717.00), and
working capital (P3,021,863.00), Dream Hub Enterprises has a total project cost of
P10,000,000.00 which will be equally divided among the 5 members of the company. The

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proponents agreed to have an equal share on the profit and loss that the company will
incur. The five (5) founders needed to contribute P 2,000,000.00 each.
SOCIO-ECONOMIC CONTRIBUTION
Dream Hub Enterprises will benefit the government by paying taxes, revenues and
municipal licenses. The company will see to it that all permits will be renewed annually and be
paid on time. Customers will also be benefitted by the company. The company aims to provide
customers a high quality security device. Customers should be protected against dishonest or
misleading advertising, labeling or pirate products and has the right to be given the facts and
information needed to make an informed choice. Dream Hub Enterprises contributes to the
community by generating jobs; minimizing waste/being environment friendly; having a waste
management program; promoting sales and increasing consumption of local products; and
sponsoring organizations and fund raising activities. Furthermore, as proponents, the group
decided to pursue the said business to introduce an innovative product which is new to the
market. As a business, the company is bound to operate according to what the law mandates.

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KEY BUSINESS OPERATIONS
Dream Hub Enterprises is aiming a good relationship with its stakeholders most
importantly, to its valued employees.
Dream Hub Enterprises believes that by establishing good relationship with its
stakeholders will help the company move forward, produce quality product and service and
achieve higher success.
Dream Hub Enterprises makes sure that each of its valued employees will be given the
right compensation and benefits that they truly deserve.
The company has its key success factors that include:
1. Excellent Management and Employee Skills
Dream Hub Enterprises makes sure that each of its staffs and employees has the
necessary qualifications for the job in the company. The top management will provide
necessary trainings for the employees in order for them to acquire skills and knowledge
that will make them more competitive in the workplace and that will contribute to the
success of the company. Aside from trainings, the top management is also expected to
provide the right leadership and guidance among its employees.
2. High Quality Product and Service
Dream Hub Enterprises will always be doing its best at producing high quality
product and service. The company focuses on the quality of its product, Instratech,

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which includes product concept, design specifications, product reliability, maintainability,
logistical support and quality of its conformance towards technology, manpower and
management, and lastly it focuses on the quality of its field service that comprises quality
on promptness, competence and integrity.
3. Affordable Price
Dream Hub Enterprises offers the market with a security device of high quality at
an affordable price, obviously lower than of its current competitors. Instratech‘s
affordable price will enable those who can‘t afford of buying high price security devices
such as CTTVs.
4. Customer Centered
Customers will always be the top priority of the Dream Hub Enterprises. The
company aims to provide a positive experience and a high level of customer service.
The company will focus intently on their customers by providing and conducting product
assistance, demonstrations, and resolve technical problems. Making its customers
happy will be the most important job of the Dream Hub Enterprises.

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TYPE OF BUSINESS
Dream Hub Enterprises is composed of five young competitive individuals namely:
Rewin Z. Abayon, Edgar L. Bajamundi, Mark Anthony A. Perez, John Faith T. Ramirez, and
King Gil R. Reyes.
It is really a quite decision for us to think of a name that is very pleasing, attractive and
easy to recall and understand. We chose Dream Hub Enterprises as the name of our company,
which is a combination of ―one dream and one goal‖ of our team. Our commitment and passion
led us of having this name to introduce in the business market.
Our team innovated a security device in a form of wall lamp, which we called ―Instratech‖
that uses Infrared Intruder Alarm Transmitter and Receiver.
Our team decided that the business should be in the form of limited partnership because
it is relatively easy to establish. Mark Perez and Edgar Bajamundi will be the general partner
while the rest of the group will be the limited partners. Our team believe that with more than one
owner, the ability to raise funds may be increased, because two or more partners may be able
to contribute more funds and because our borrowing capacity may be greater.

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ORGANIZATIONAL STRUCTURE

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JOB DESCRIPTIONS
GENERAL MANAGER
Qualifications Duties and Responsibilities
Male or Female
Must be 30-45 years old
Graduate of a 4 year course in Business
Management
Excellent oral and written skills
Strong leadership skills
Knowledgeable of the business and
management principles and practices
Able to motivate and inspire a team
Outstanding project management
experience
 Responsible and accountable for all
the company activities.
 Serves as a role model and sets a
positive example for the entire team in
all aspects of business and personnel
management.
 Provides a quality product and
customer service experience that
delivers total customer satisfaction.
 Responds positively and quickly to
customer concerns.
 Continuously improves the skills,
knowledge and morale of all
employees.
 Evaluates each employee‘s
performance based on clearly
communicated standards and
expectations.
 Maximizes financial performance and
profit.
 Ensures business and personnel
practices are within the law and
consistent with policies and procedure.

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HUMAN RESOURCE MANAGER
Qualifications Duties & Responsibilities
Male or Female
Must be 23-35 years old
Must be a graduate of Human Resource
Management, Business Administration
or Psychology/Generalist Human
Resources experience
Knowledge of the principles and
practices of HR management.
Knowledge of relevant legislation and
regulations.
 Maintains the work structure by
updating job requirements and job
descriptions for all positions.
 Prepares employees for assignments
by establishing and conducting
orientation and training programs.
 Maintains employee benefits programs
and informs employees of benefits by
studying and assessing benefit needs
and trends
 Maintains human resource staff by
recruiting, selecting, orienting, and
recommending human resource
policies and procedures.

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MARKETING MANAGER
 Male or Female
 Must be 23-35 years old.
 Must be a graduate of any Business
course
 Have knowledge of a wide range of
marketing techniques and concepts
 Work well in a team and wide range of
people
 Proactive and able to take the initiative
 Research, analyze and evaluate the
competitive market environment.
 Monitor threats and opportunities and
amend actions where necessary, to
ensure brand/Sales development.
 Develops, manages and implements
creative, effective and successful
annual marketing plans for the stores
along with the chain marketing strategy
and annual market plan and budget.
 Marketing plans should include –
Advertising, Sales Promotion, Public
Relations, Product Development,
Pricing and Distribution.
 Inspects, reports, and ensures that the
company‘s image is maintained at high
standard.
 Supervises the monitoring of all
advertising campaigns, news related to
competitor to keep abreast of any
developments to act accordingly.

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PRODUCTIONS AND OPERATIONS MANAGER
 Male
 Must be 27-35 years old
 Must be a graduate of any business
related course
 Able to work within a budget
 Thorough knowledge of inspection
techniques and procedures.
 Able to instruct, direct, and evaluate
employees.
 Planning and organizing production
schedules and duty assignments.
 Determining quality control standards.
 Overseeing production processes.
 Selecting, ordering and purchasing
ingredients.
 Analyze and reduce costs.
 Maximize the production process to
lower costs.
FINANCE MANAGER
 Male or Female
 Certified Public Accountant
 Must have at least 3 years working
experience as an accountant
 Must be honest and trustworthy
 Provides and interprets financial
information.
 Monitors and interprets cash flows and
predicts future trends.
 Formulates strategic and long term
business plans.
 Develops financial management
mechanisms that minimize financial

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risk
 Conducts reviews and evaluations for
cost-reduction opportunities
 Produces accurate financial reports to
specific deadlines.
QUALITY CONTROL SUPERVISOR
 Male or Female
 Must possess a degree in industrial or
management engineering
experience.
 Must be of good moral character,
hardworking, responsible.
 Checks the finishing products
according to specification.
 Assures the quality of the finished
products
 Determines the defective goods for
further processing.
 Develops suitable products
specification
 Maintain conditions which are
conductive to satisfactory quality.
 Introduce inspection procedure which
will show the quality of past output.

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WAREHOUSE STAFF
 Male or Female
 Must be a graduate of any 4 year
course.
experience.
hardworking, responsible, computer
literate
 Person in-charge of receiving raw
materials purchases from the suppliers.
 Conducts inventory count at the end of
the accounting period to determine the
actual inventory on hand.
 Approves the removal of the inventory
(finished goods) from the premises of
the inventory warehouse.
 Analyses stocks of inventory.
TECHNICAL PERSONNEL
 Male
 Must be a graduate of any 4 year
course.
 Must at least have 2 years of work
experience.
 Responsible for the technical supports,
and field services concerning customer
problems.

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FACTORY WORKERS
 Male
 Must be at least Elementary or High
School graduate
experience.
 Responsible for the assembling and
manufacturing of the product.
MAINTENANCE PERSONNEL
 Male
 Must be at least Elementary or High
School graduate
 Maintains cleanliness within the factory
and office.
 Checks whether all machinery and
equipment have been retired at the end
of the day.

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SECURITY PERSONNEL
 Male
 Must be physically fit.
 With good track record from the
security agency
 Must be trustworthy
 At least high school graduate
 With at least 1 year of experience
 Delivers the company‘s assets against
theft and robbery
 Prevents the entry of unauthorized
persons in the factory and warehouse
 Inspect worker‘s property upon leaving
the company‘s premises.
DELIVERY PERSONNEL
 Male
 Must at least be a high school graduate
and must possess a professional
driver‘s license.
 Must have driving experience (van, and
small trucks)
 In charge of all the deliveries of the
company‘s product to its entire client.

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CASHIER
 Male or Female
 Must at least in college graduate of any
course.
 Must have at least one year work
experience
hardworking, responsible
 Receives and disburses cash
 Responsible for the accountability of
cash
Employee Working Schedule
Employee Sunday Monday Tuesday Wednesday Thursday Friday Saturday
General
Manager
8am-
5pm
8am-5pm 8am-5pm 8am-5pm 8am-
5pm
8am-5pm
Human
Resource
Manager
8am-
5pm
5pm
8am-5pm
Marketing
Manager
8am-
5pm
5pm
8am-5pm
Production and
Operations
Manager
8am-
5pm
5pm
8am-5pm

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Finance
Manager
8am-
5pm
5pm
8am-5pm
Quality Control
Supervisor
8am-
5pm
5pm
8am-5pm
Warehouse Staff 8am-
5pm
5pm
8am-5pm
Technical
Personnel
8am-
5pm
5pm
8am-5pm
Utility Personnel 8am-
5pm
5pm
8am-5pm
Security
Personnel
8am-
5pm
5pm-
8am
shifting
8am-
5pm
5pm-
8am
shifting
8am-5pm
5pm-8am
shifting
8am-5pm
5pm-8am
shifting
8am-5pm
5pm-8am
shifting
8am-
5pm
5pm-
8am
shifting
8am-5pm
5pm-8am
shifting
Delivery
Personnel
8am-
5pm
5pm
8am-5pm
Factory Workers 8am-
5pm
5pm
8am-5pm
Cashier 8am-
5pm
5pm
8am-5pm

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SALARIES AND BENEFITS
The salaries of the managers and employees of Dream Hub Enterprises are all above
the minimum wage. Salaries of employees will be given every 15th
and 30th
of the month.
Employees will be working 8 hours a day and will be given a one day off. Every employee has
their 1 hour paid break. An employer cannot make any deduction from an employee‘s wage
except for insurance premiums with the consent of the employee, withholding taxes, SSS
premiums and other deductions expressly authorized by law.
Benefits and Incentives
 SSS (Social Security System)
- Monthly employee contribution depends on the employee‘s actual monthly salary.
- Providing protection for its members against socially recognized hazard conditions,
such as sickness, disability, maternity, old age and death or other such
contingences not stated but resulted in loss of income or results to a financial
burden.
-
 PhilHealth
- Monthly contribution depends on the employee‘s actual monthly salary.
- This help aid hospitalization or confinement bills of the employee and beneficiaries
in the future.

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 Pag–IBIG (Pagtutulungan sa Kinabukasan: Ikaw, Bangko, Industria at Bangko)
- The employer/s is required to contribute per month not less than Php100 to the
employee‘s Home Development and Mutual Fund.
- Provide its members with adequate housing through an effective savings scheme.
 13th
Month Pay
- The employee shall receive a bonus salary equivalent to one (1) month, regardless
of the nature of his/her employment. It is compulsory and to be given not later than
December 24 of the year.
 Holiday Pay
- The employee receives a double pay if he/she works on a regular holiday. In the
case of a special holiday, the employee is not paid if he/she does not report for
work. If the employee works on a special holiday, he/she is entitled to 130% of
his/her usual pay.
 Overtime Work
- It is considered an overtime work if the employee performed his/her job beyond
eight (8) hours after the working hours prescribed. The minimum overtime pay
rates vary according to the day overtime is performed, as follows:
a. For work excess of eight hours performed on ordinary working days is
additional 25% of hourly rate.

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b. For work excess of eight hours performed on a scheduled rest day,
special day and regular holiday there is an additional pay of 30% of the hourly
rate.
c. For overtime work in nightshift: On an ordinary day there is an additional 10%
of 125% of basic hourly rate. On rest day, special holiday or regular holiday
there will be an additional 10% of the 140% of regular hourly rate.
 Night Shift Differential
- Additional 10% of an employee‘s regular wage for each hour of work performed
between 10:00pm and 6:00am. Plus 10% of the regular hourly rate on a rest day,
special holiday and regular holiday or a total of 110% of the regular hourly rate.
 Maternity Leave
- The benefit is for 60 days for normal delivery and 78 days for caesarian delivery for
the first four deliveries and miscarriages.
 Paternity Leave
- 7 days with full pay to all married male employees in the private and public sectors.
- Available for the first four (4) deliveries of the legitimate spouse with whom the
employees are cohabiting.
 Sick Leave and Vacation Leave
- As per Department of Labor and Employment (DOLE), employees are entitled for five
(5) days leave each year for sick and vacation leave.

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Mandatory Benefits**
Designation Monthly
Salary
13th
Month
Pay
SSS Premium
(ER Share)
PhilHealth
(ER Share)
Pag - IBIG
General
Manager
Php23,400 Php23,400 Php1,178.70 Php287.50 Php100
Human
Resource
Manager
Marketing
Manager
Productions
&
Operations
Manager
Finance
Manager
Quality
Control
Supervisor
Php13,520 Php13,520 Php994.50 Php162.50 Php100
Warehouse
Staff
Php12,480 Php12,480 Php920.80 Php150 Php100
Technical
Personnel
Maintenance
Personnel
Security
Personnel
Delivery
Personnel

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** Mandatory benefits employer share based on SSS, PHIC and HDMF Table.
HIRING OF PERSONNEL
The hiring process will be done through sound screening to select the most effective and
efficient people among the applicants who will help the company in achieving its goals.
The owners itself will be the one to intensively to screen, interview and verify the
applicants for the managerial positions. Below is the step-by-step hiring process of the
company:
In the pre-employment screening, the company will determine if the applicants meet the
minimum level of qualification required of them. This will be verified through the application or
resume forms submitted by them. Those who pass the preliminary screening will be then asks
to come to the HR Department for interview process.
o Age (25-35 years old)
o Work Experience
o Educational Attainment
o Knowledge on the job position applying for
Factory
Workers
Cashier Php12,480 Php12,480 Php920.80 Php150 Php100
Total Php203,320 Php203,320 Php13,333.60 Php2,450 Php1,300

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During the interview process, the interviewer will assess the applicants‘ physical
capacities, his/her thinking capabilities, personality and behavior whenever he/she faced a
certain situation that will require him/her to think fast and come up with a sound decision.
After the employee has been hired, he/she will be asked to return on a scheduled day to
report to the HR Department. To be acknowledged as an official employee, he/she will then be
asked to sign a contract upon agreement.
Requirements needed to be submitted by the applicants:
o Resume (with 2x2 picture)
o Transcript of records
o NBI and Police Clearance
o Medical Certificate
o SSS ID
o TIN ID
ORIENTATION
The company employee orientation is an initial process that provides easy access to
basic information, programs and service, gives classification and allows new employees to take
on active role in their organization.
The orientation aims to:
o Discuss the history, mission statement, goals and objectives,
organizational structure and future plans of the company.
o Introduce new employees to their new environment.
o Make new employees feel welcome and comfortable.

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o Retain a pool of new and capable employees.
o Establish clear standards that help reduce disputes and limit liability.
o Promote consistent management.
o Inform new employees of the company‘s policies.
o Demonstrate a commitment to equal treatment of personnel.
o Provide protection from claims of discrimination and sexual harassment.
On the other hand, organizational policies are used to achieve uniformity, economics,
public relations, benefits and other objectives within the company. The company is opposed to
all forms of theft, fraud, bribery, corruption, and any malicious activities that could bring down
the morale and dignity of the company. They will also not tolerate anything that could incur loss
or damage any property of their company.
The following policies apply equally to all the individual‘s associated with the company:
Do’s
o All staffs and employees must comply with the working days and
business hours set by the company.
o Employees will only be compensated according to the hours they have
worked for.
o Every staff and employees must always wear their identification cards at
all times whenever they are within the premises of the company.
o Employees shall ask for permission from the officer in charge at least a
day before taking an unscheduled leave. In case of emergency, employee

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should notify the officer in charge of his absence the soonest
possible time.
o Absences must be notified to the management 2 hours before the start of
operations or working time.
Don’ts
o Smoking within the premises of the company is prohibited.
o Employees shall not be seen under the influence of alcohol while on duty.
o Employees shall not be found in possession of any kind of drug
substance.
o Employees shall not steal and destroy any company property and
equipment.
Negligence in the Performance of duty may lead to:
o First offense without loss to company = oral and written reprimand.
o Second offense without loss to company = suspension.
o Third offense without loss to company = termination.
o Offense with loss or damage incurred to company = termination.
o Employees found under the influence of alcohol while on duty or in
possession of drugs or drug paraphernalia will subjected to immediate
dismissal or termination.
o Emergency absences not reported to the management beforehand will be
considered as AWOL (absence without leave).
Absences shall be considered unexcused in the following cases:
o Failure to secure approval from the officer in charge.

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o Extension of authorized leave without securing approval from the
management, extended days of absence shall be considered unexcused.
o If an employee is absent for no justifiable reason, even if notice is given
and then the approval is secured, absence shall be considered
unexcused.
o Failure to make necessary notification for an absence within 2 hours prior
to the start of operations or before working time.
Resignation:
If an employee resigns he must present a formal letter of resignation to
the management, 15 days before he/she leaves the company. Employee must
also turn over all company files to management before he/she leaves. An exit
interview will be done to all employees who have tendered their resignation to
identify aspects that need improvements.
Product/Service Quality Principle:
o Damage or spoilage of raw materials or products due to the negligence of
the employee will be deducted from his/her salary.
o All raw materials should be checked and monitored with regards to its
safety and freshness.
o All employees should observe ethical behavior especially in the
workplace.
o Greeting and giving gratitude to customers by saying ―thank you‖ or
―come again‖ must be practiced at all times.

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o Texting and receiving phone calls in the work area is not allowed
except for emergency-related ones.
o Smoking is strongly prohibited in the office or work area.
PERFORMANCE APPRAISAL
The goal of the performance appraisal is to recognize achievement, to evaluate job
progress, and then to design training for the further development of skills and strengths. A
careful review will stimulate employee‘s interest and improve job performance.
Performance appraisals need to be fair, pertinent and comprehensive. All
employees should be treated the same, and their behaviors should be tracked and observed the
same way. Terminology of observations and documented behaviors should be the same so
there are no biases in the process.
Performance appraisal of all the employees of the Dream Hub Enterprise will be
done quarterly to fully assess all the duties and responsibilities that need to be improved, as
well as give recognition to those who did their job well. If an employee receives a superior result
in the appraisal, he or she will be promoted accordingly.

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Criteria, Scoring and Rating for Dream Hub Enterprise Performance Appraisal
Employee Name: Date:
Position: Department:
Appraised By: Date Started:
Competencies or
Dimensions
Description
Administration Measures effectiveness in
planning, organizing and
efficiently handling activities
and eliminating unnecessary
activities
Outstanding
Exceeds Expectations
Meets Expectations
Below Expectations
Unsatisfactory
NA
__
__
__
__
__
__
Knowledge of Work Consider employee‘s skill
level, knowledge and
understanding of all phases
of the job and those requiring
improved skills and or
experience.
Outstanding
Meets Expectations
Below Expectations
Unsatisfactory
NA
__
__
__
__
__
__
Communication Measures effectiveness in
listening to others, expressing
Outstanding
__
__

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ideas, both orally and in
writing and providing relevant
and timely information to
management, co-workers,
subordinates and customers.
Meets Expectations
Below Expectations
Unsatisfactory
NA
__
__
__
__
Teamwork Measures how well this
individual gets along with
fellow employees, respects
the rights of other employees
and shows a cooperative
spirit.
Outstanding
Meets Expectations
Below Expectations
Unsatisfactory
NA
__
__
__
__
__
__
Decision Making
Problem Solving
Measures effectiveness in
understanding problems and
making timely, practical
decisions.
Outstanding
Meets Expectations
Below Expectations
Unsatisfactory
NA
__
__
__
__
__
__
Expense
Management
establishing appropriate
reporting and control
procedures; operating
efficiently at lowest cost,
Outstanding
Meets Expectations
Below Expectations
Unsatisfactory
__
__
__
__
__

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staying within established
budgets.
NA __
Human Resource
Management
selecting qualified people;
evaluating subordinates
performance; strengths and
development needs;
providing constructive
feedback, and taking
appropriate and timely action
with marginal or
unsatisfactory.
Outstanding
Meets Expectations
Below Expectations
Unsatisfactory
NA
__
__
__
__
__
__
Independent
Action
time management; initiative
and independent action
within prescribed limits.
Outstanding
Meets Expectations
Below Expectations
Unsatisfactory
NA
__
__
__
__
__
__
Job Knowledge Measures effectiveness in
keeping knowledgeable of
methods, techniques and
skills required in own job and
Outstanding
Meets Expectations
Below Expectations
__
__
__
__

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related functions; remaining
current on new
developments affecting
Dream Hub Enterprise and
its work activities.
Unsatisfactory
NA
__
__
Leadership Measures effectiveness in
accomplishing work
assignments through
subordinates; establishing
challenging goals;
delegating and coordinating
effectively; promoting
innovation and team effort.
Outstanding
Meets Expectations
Below Expectations
Unsatisfactory
NA
__
__
__
__
__
__
Managing Change
and Improvement
initiating changes, adapting
to necessary changes from
old methods when they are
no longer practical,
identifying new methods and
generating improvement in
facility‘s performance.
Outstanding
Meets Expectations
Below Expectations
Unsatisfactory
NA
__
__
__
__
__
__

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Customer
Responsiveness
Measures responsiveness
and courtesy in dealing with
internal staff, external
customer and vendors;
employee projects a
courteous manner.
Outstanding
Meets Expectations
Below Expectations
Unsatisfactory
NA
__
__
__
__
__
__
Personal
Appearance
Measures neatness and
personal hygiene
appropriate to position.
Outstanding
Meets Expectations
Below Expectations
Unsatisfactory
NA
__
__
__
__
__
__
Dependability Measures how well
employee complies with
instructions and performs
under unusual
circumstances; consider
record of attendance and
punctuality.
Outstanding
Meets Expectations
Below Expectations
Unsatisfactory
NA
__
__
__
__
__
__
Safety Measures individuals work
habits and attitudes as they
apply to working safely,
consider their contribution to
accident prevention, safety
Outstanding
Meets Expectations
Below Expectations
Unsatisfactory
__
__
__
__
__

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The result of the tests will be evaluated and analyzed at least 2 months. Upon knowing
the result of the Appraisal test, the Performance Appraisal Interview will be the final step of
the appraisal process.
awareness, ability to care
for Dream Hub Enterprise
property and keep
workspace safe and tidy.
NA __
Employee‘s
Responsiveness
Measures responsiveness
in completing job tasks in a
timely manner.
Outstanding
Meets Expectations
Below Expectations
Unsatisfactory
NA
__
__
__
__
__
__

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GANTT CHART
The chart shows the flow of the activities of the Dream Hub Enterprises within the whole
year of 2015. The operation will start on July 2015. The chart also shows the activities that must
process or must be done within a given duration of time and these are: Feasibility Study of the
group, Security of Legal Requirements or Business Registration, Site preparation and land
location, Installation of Equipment, Hiring and Training Process, Start of the business, Sales and
Promotional execution plan and the Community Relations.

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PRODUCT CONCEPT
Nowadays, technology is very in demand in the world. And the increasing rate of in our
country is continuous especially robbery because of the unavailable work in the Philippines. Our
company came up with an extraordinary security device in a form of a wall lamp.
Instratech is created, as alternative for
security devices to help the government in
controlling the crimes in our country and is
also designed as a wall lamp. It will also
satisfy the needs and wants of the customers
because of its feature that can sense a motion
or a person passing between the two wall
lamps using an infrared intruder alarm
transmitted and receiver, it has a loud speaker
to hear the alarm and it has different colors
and style to be more attractive and unique. PRODUCT PROTOTYPE
Our product is made up of metal, smoke or decorated glass, sensor, speaker and design
materials. We came up of an idea to produce this as a replacement for highly cost safety
devices and ordinary post lamp. Our main purpose for is to lessen the crimes in our country and
to provide safety to the property of the consumers and make them comfortable if they are alone
or sleeping. At the same time our product is also designed as a post lamp which has glamorous
designs and can make your place more attractive to others. Instratech can be used in the
house, office, stores and building.

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VARIATIONS OF DESIGNS
These are the variations of product designs that Dream Hub Enterprises will produce for the
houses, condominiums and business establishment. But of course we are accepting customize
designs according to the preference of our beloved clients. The cost of our product will be
determined on the cost that we will incur on meeting their demands plus the mark up cost of
60% of the cost of labor and materials and we will give discount if the client will order in large
volume.

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BENEFITS
 It will help to lessen the criminal acts especially robbery in the country.
 It will make your place more attractive because of its glamorous designs.
 It can detect a person with normal light condition.
 It has a loud speaker to hear the alarm.
 It is not easy to determine that is a security device.
BAF Concept
BENEFITS ATTRIBUTES FEATURES
 Very affordable
price
 Product comes from
different variety of
design
 2 in 1 purpose (can
be used as a
security device and
wall lamp)
 It will lessen the
increasing rate of
robbery in the
country
 It will help to lessen
the unemployment
rate of the country.
 It is attached to the
wall by using a
screw
 It has loud speaker
for alarms
 Durable
 It has glamorous
design

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COMPANY PROFILE AND LOGO
Dream Hub Enterprises is a profit oriented institution which is engage in technological
development industry. The Dream Hub has focused on one product line which is what we called
the INSTRATECH, a highly customized intruder alarm for the wide range of customer
classifications.
Our company has five competitive and passionate young individuals namely: Rewin Z.
Abayon, Edgar L. Bajamundi, Mark Anthony A. Perez, John Faith T. Ramirez, and King Gil R.
Reyes and currently taking up Bachelor of Science in Business Administration major in
Business Management. Each member of the team has their own sets of related skills that are
needed in order to succeed.
To determine our existence we think of a name that is very pleasing, attractive, and easy
to recall and understand. We choose Dream Hub Enterprises, which is a combination of ―one
dream and one goal‖ of our team.
After establishing our company name, we came up to our own original logo that will
serve as our image in the market. We choose green and blue as a theme of our image, because
green stands for being environmental friendly and blue is best which stands for security that will
fit with business statement.

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LOCATION
The location of our business establishment and main office will be at Roxas Avenue
corner Gen. Romulo Avenue, Araneta Center, Cubao, Quezon City. Ideally we select Cubao
because it is the most accessible place not only in Quezon City but also in the whole Metro
Manila area because it has different transport terminals of jeepneys, buses and LRT and MRT
stations. Cubao also has an access to major roads like EDSA and Aurora Boulevard for private
vehicle access. Employee traffic, customer‘s traffic and safety precautions and the basis of the
selection of location, you can see in the map that there is a near fire station in the area. Since
our establishment will not only consist our main office, but also it will includes our warehouse,
showroom, production area and store this location is perfect for us or in any type of business
establishment for that matter.

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PRODUCTION PROCESS

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Detailed Production Procedures
1. Assembling (casing of the light)
The inventory of raw materials must be
received from the suppliers in order the
production to continue. The raw materials
must be checked first and prepared. The step
of the process is assembling the case of the
light.
2. Attaching the resistors, conductors, infrared
and power supply
In order to make a circuit, the materials must
be attached to the board by using a soldering
iron and lead.
3. Connecting the wirings
The wirings must be connected properly like
speaker, sensor, power supply and other
wirings of the product.

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4. Drilling a hole
The infrared receiver and transmitter must
be aligned to create frequency connection.
5. Attaching the infrared device inside the case
light
The wire must be put inside the case light
to secure the wirings of the product.
6. Quality control (Testing and evaluation)
The quality control supervisor will check the product if it can pass the quality control of
the company.
7. Inspection
Checking the packaging if it is properly labeled.

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RAW MATERIALS
Raw materials needed Unit Price
Aluminum lamp frame Piece P500.00
Electric lamp Piece P150.00
Glass Piece P300.00
Infrared intruder alarm
transmitter and infrared
intruder alarm receiver kit
Piece P700.00

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Lead Piece P25.00
Tweeter Piece P155.00
FACTORY EQUIPMENT
Item Unit Price
Screwdriver Piece P30.00

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Wire Stripper Piece P130.00
Flat Nose Pliers Piece P102.00
Alligator Clamp Piece P350.00
Small Phillip‘s Screw Piece P280.00

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Needle Nose Pliers Piece P102.00
Small Wire Cutter Piece P250.00
Solder Remover Piece P138.00
Scissor Piece P50.00
Soldering Iron Piece P400.00

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Solder Stand Piece P80.00
Dispensing Tool Piece P240.00
Mini Drill Piece P662.00
IC Puller Piece P155.00
Bread Board Piece P347.00

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PACKAGING
In this process the company‘s finishing department should separate the products
according to its design, size and be labeled. In this, we can protect our product and make it
more attractive to the market. To ensure the condition of the product we will use bubble wrap to
cover the items and put it in a box (the size of the box will be distinguish with the size of the
item) with our company and product name and logo on it together with the label and installment
instructions.

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OFFICE SUPPLIES
Item Unit Price
Ballpen Piece P5.00
Pencil (12pcs) Box P68.75
Eraser Piece P13.75
Sharpener Piece P5.00
Scissors Piece P34.75
Calculator Piece P120.00

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Stapler with remover Piece P87.00
Staples Box P4.75
Paper clips Box P6.00
Binder clips Box P18.00
Bond paper Ream P168.50
Clear book Piece P53.00

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Folders Piece P5.00
Binders Piece P129.75
Glue Piece P198.00
Scotch tape Piece P10.50
Tape dispenser Piece P69.75

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Correction liquid Piece P36.75
OFFICE EQUIPMENT
Item Unit Price
Computer Desktop Set P15,000.00
All in one Printer Piece P 3,695.00

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Office table
Piece P600.00
Office chair Piece P400.00
Air-condition Piece P30,000.00
Wall clock Piece P265.00

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Document cabinet Piece P900.00
Garbage bin Piece P120.00
Water dispenser Piece P820.00
Telephone unit Piece P1,000.00

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UTILITIES
Provider Monthly Consumption
Electricity P20,000
Water P3,000
Telecommunication P1,995.00

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DELIVERY
If the inspection of the quality is done, the finished goods should be placed in the stock
room. Here you stock the product for safety and deliver it to the customers. We will buy a brand
new Mitsubishi L-300 Van which costs P575,000.00. This will serve as our delivery van.

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QUALITY AND SAFETY MEASURES
1. Production
 The company will require the workers to wear mask as a self-breathing
apparatus.
 The company will have to check the whole production or working area to see if it
is well ventilated and clean.
 The company has to make sure that all the works have knowledge on how to use
the equipment.
 See to it that there is an available first aid kit in case of emergency
 Make sure that all the necessary raw materials are in the proper places and have
a fire exit for emergency purposes.
2. Purchasing
 Always check if the raw materials are measured accurately.
 Always make sure that the suppliers of raw materials have the capacity to
provide the material, has a permit to purchase and put all the raw material in
safety storage.
 See to it that the delivery truck is available to move the purchased raw materials.
3. After Sales
 The customer‘s sales representative is the one who will entertain the entire
question about the company and the product offered.
 The manager will ask for the client‘s suggestions and comment about the
product.

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LOCATION AND LAYOUT

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Workplace, Stockroom and Assembly Area
These areas will occupy the whole ground floor of the building. We choose to put the
workplace, stockroom and assembly area in the ground floor because it is more accessible in
terms of receiving, storing and moving up the raw materials, and product of the business. It has
a link in the 2nd
floor through stairs and it has a huge door for the receiving and releasing
purposes.

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Reception Area
In the reception area, we will entertain our clients, visitors and guest for their different
concerns. This area will include the reception desk and the lounge for the convenience of our
beloved guests.

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Conference Room
Any collaboration sessions or activities like executive meetings, board meetings will take
place in this area. This room will also serve as a multi-purpose room to accommodate the
concern of the employees on presenting reports and suggestions. It will include visual
equipment, a long table and chairs.

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Workstations
This area is made for the productivity of the Dream Hub Team. Each employee will do
their work in their own work station. We have five workstations exclusively for the General
Manager, Marketing Manager, Human Resource Manager, Production and Operations
Manager, and Finance Manager. Each workstation has its own computer, desk, drawers and
chair.

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Pantry Area
It is a small room
where the employees can
have something to drink like
coffee, juice or tea. All
employees are welcome in
the pantry area.
Restroom
This room is open
for all employees and guest.
It‘s a common restroom
where there are no
separate room for male and
female. It‘s will properly
maintained by our office
custodian.

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INTRODUCTION
Our feasibility study was made and conducted to provide a product to satisfy the needs
and wants of the customers. We come up with this study through the help of the modern
technology by surfing the Internet and by gathering data through surveys and interviews.
The presence of the competitors that displays the different strategies broadens our
knowledge and helps us to identify the areas to be improved. Our product has its own strengths
and weaknesses that need to be improved. Instratech, as a new entrant in the security device
industry carry its competitive side. Being a new to the market, the product has a high capacity
speaker, it has a sensing device up to 4-5 meters, it has glamour designs by using smoke or
decorated glass. We also customize different designs of lamp base on clients‘ preferences.
As a new player in the market, Dream Hub Enterprises will ensure that Instratech will
give its way through the heart of our valued customers. We will be happy to impart awareness of
our product to the household, shops, and condo unit owners for personal presentation of
Instratech. Dream Hub Enterprises will attend seminars for us to promote and introduce our
company and product as a new entrant in the market as well as to create brand awareness to
our target market and be able to tell the benefits and advantages of our product.

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21-29 years old
30-39 years old
40-60 years old
0%
10%
20%
30%
40%
50%
22% 28% 50%
Correspondents Age
21-29 years old 30-39 years old 40-60 years old
Male
Female
0%
20%
40%
60%
80%
69% 31%
Correspondents Gender
Male Female
SURVEY
Out of 100 correspondents, 22% are from age 21-29 years old, 28% are from 30-39 years old
and 50% are from 40-60 years old.
69% of the total correspondents were Male and 31% of them is Female.

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Aware
Not Aware
0%
20%
40%
60%
80%
100%
95% 5%
Correspondents Awareness of Increasing
Crime in the Country
Aware Not Aware
Aware
Not Aware
0%
20%
40%
60%
80%
100%
16% 84%
Correspondents awareness of a lamp that
can detect the motion of a person
Aware Not Aware
95% of the correspondents said that they were aware of the increasing crime in the country
while only 5% are not aware of this.
16% of the correspondents said that they were aware of a lamp that can detect the motion of a
person while 84% were not yet aware of the said lamp.

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Monthly
Quarterly
Semi-Annually
Annually
0%
10%
20%
30%
40%
50%
9% 16% 25% 50%
How often the correspondents buy security
devices
Monthly Quarterly Semi-Annually Annually
One
Three
Five or more
0%
10%
20%
30%
40%
39% 25% 17% 16% 3%
Number or Security Devices that the
Correspondents buy in a Single Purchase
One Two Three Four Five or more
50% of the correspondents buys annually a security device while 25% buys semi-annually, 16%
buys quarterly and only 9% busy every month.
39% of the correspondents usually buy only one security device while 25% buys two,
17% busy three, 16% buys four and only 3% buys five or more.

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Quality
Price
Features
0%
50%
100%
65% 10% 7% 3% 15%
Factors that the Correspondents prefer
most in choosing a Security Device
Quality Design Price Distribution Features
Mall
Online
Physical Store
0%
20%
40%
60%
80%
7% 21% 72%
Correspondents prefered place of buying a
security device
Mall Online Physical Store
65% of the correspondents prefer the Quality most when choosing a security device, 10% prefer
the Design, 7% prefer the price, 3% prefer the Distribution method and 15% prefer the features
of the security device.
72% of the correspondents preferred to buy security devices in a physical store while 21%
preferred to buy online and only 7% preferred to buy in malls.

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Yes
No
0%
50%
100%
85% 15%
Correspondents willingness to buy our
product (Instratech)
Yes No
P700-P1,500
P1,501-P2,500
P2,501-P3,000
P3,001-P3,500
0%
20%
40%
60%
12% 14% 21% 53%
Price Ranges at which correspondents can
buy our product
P700-P1,500 P1,501-P2,500 P2,501-P3,000 P3,001-P3,500
Out of 100 correspondents, 85% are willing to buy or product, which is the Instratech, a
security device in a form of wall lamp while 15% are not willing or not going to buy our
product.
53% of the correspondents can buy our product at the price of P3,001-P3,500. 21% can
buy at P2,500–P3,000, 14% can buy at P1,501-P2,500 and 12% can buy the product at
the price of P700-1,500.

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MARKET OVERVIEW
Crime is significant concern in urban areas of the Philippines. According to Philippine
National Police Directorate for Investigation and Detective Management, crime involving theft,
physical assault and robbery were the top three most common crimes reported to the local
authorities in 2013. The researchers believe that we need to address these issues in helping the
society by producing a product that enable to protect our customers from any of these crimes.
The target markets of the researchers are Filipino Families, Entrepreneurs
Condominium, Subdivision and Villages Owners. The objective of the researchers is to provide
them with a safe home and business that they can spend their time for family bonding and to
secure their business in the most possible way. The proponents are planning to set up a store
where these target customers are always present and also the proponents are planning to tie
ups with villages and subdivision home owner association to introduce benefits our product. The
proponents are planning of having good partnership relationships with the real state companies
here in the Philippines to introduce our brand. These may affect the demand for the product of
the researchers both positively and negatively. It may affect the demand for the product of the
researchers negatively because of the fact that it can be pirated by other competitors since we
are the new entrant in the market and it means that there will be a high level of competition for
the researchers. It may also affect the demand for the product of the researchers positively
because they believe that what they offer is completely different from what is usually offered by
Security Devices Company around Metro Manila. They believe the main innovative idea of the
Instratech will be their best asset to attract their potential customers and turn them to actual

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customers. It will also help them to gain a slight grip of the market in their area and are
confident that they will receive a warm market acceptance from their target market because of
the idea.
MARKET SEGMENTATION
Geographic Segmentation
 Metro Manila:
 Households
 Small Business Entrepreneur
 Demographic Segmentation
 Age: 21– 65 years old
 Life Cycle:
 Young Adult
 Adult, Middle Age
 Gender:
 Male
 Female
 Occupation: Professionals; Business Owners
 Income Bracket: P10, 000- 30, 0000
 Social Class:
 B – Elite C1 – Upper Middle Class
 C2 – Lower Middle Class
 Generation:
 X - 1965 to 1981
 Y - 1982 to 1999

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 Baby Boomers – part of them
 Psychographic Segmentation
 Lifestyle: Simple household
 Personality:
 Price and safety conscious
 Wise consumers
 Ready to accept new ideas
 Values: People who are prioritize safety and security for their families and businesses.
 Personality: More on the awareness side when it comes in protecting their families and
assets.
 Social and Consumer Behavior: Strong buying power to purchase the product
 Behavioral Segmentation:
 1st purchase: Try the product and compare to the previous products
 2nd purchase: Will result to satisfaction, repeated purchasing, brand shift and brand
recognition and endorsing product to their relatives.
 Frequency of purchasing:
 Daily
 Weekly
 Monthly
 Brand Loyalty:
 None
 Medium
 High

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TARGET MARKETS
Dream Hub Enterprises‘ primary target markets are those small businesses that were
just starting and can‘t afford to hire security personnel, home owners from subdivisions and
villages and also unit owner of condominiums. The company intends to cater to the Filipino
families and small business in Metro Manila. They have chosen this group for several important
reasons. It is their goal to be the extraordinary security device provider and they believe that the
age group from 21 to 29 is the primary age range where brand building efforts could take place.
They are on limited or fixed incomes and seek a value/price relationship that will not stretch their
budgets these are the independent young professionals. Their secondary target is between the
ages of 30 and 37, which are in the family age category user group. They are more flexible in
budgets and seek more than a value/price relationship because they tend to choose a quality
product to protect their family. Everyone has the potential to be the target market but
considering that the store will be located within the vicinity of Quezon City, the families,
condominium unit owners and developers will be the highly prioritized target market with ages
ranging from 25 to 60 years old. Despite the fact that security device is not belong to the main
basic need of human it can provide the protection that every people need for their daily lives. In
a day, it is most likely impossible that people won‗t want to have security most especially that
crimes around metro are everywhere. In connection with this, the number of household and
condominium buildings at Metro Manila is very dynamic and vast. The same also goes with the
small shops within the area.

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PROMOTIONAL ACTIVITIES
As a new entrant in the market, promotion is necessary in developing the consumer‘s
awareness regarding the products that are selling. We must develop new and better techniques
for reaching our customers throughout the year. With this strategy, consumers will encourage
more to try and purchase our products. Dream Hub Enterprise will campaign our promotional
strategies during seminars and conventions of exterior designer that will be conducted by our
marketing staff.
As part of our promotion of our product, we will invite some storeowners of security
device and display materials owners of the building and offices during trade shows or seminars
that we will be conducting. We will also advertise our product by means of print ads, like poster,
and print media. Through this, it will encourage more customers to shift to our product and then
customers will easily recognize our product.
Objectives:
 To increase brand awareness
 To increase customers acquisition by means of attracting customer by means of
different advertisement and unique offer.
 To increase customers conversion by means of persuading visitors to become an
actual customer
 To retain loyal customers
 To Increase sales and gain profit

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Special segment guesting (Rated K and Kapuso mo Jessica Soho)
Launching of our website and other social networking site

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Stickers and T-shirts to Bus in EDSA, jeepney and tricycle drivers
Print ads (4 ¼ size consecutive Sunday issues of Inquirer and Manila Bulletin)

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Public Relations
Christmas and New Year’s donation of Dream Hub Inc. to Huspicio de San Jose

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Donation (Peso for a cause at Bantay Bata 163)
Joining Contractor’s Annual convention
Special Government project tie-up (e.g. NHA)

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Brochures and leaflets

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Billboards

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MARKETING BUDGET SUMMARY
Public Relations Plan
DATE OBJECTIVE ACTIVITY BUDGET
December –
January
To donate food and
goods
Christmas and New
Year‘s donation of
Dream Hub Inc. to
Juspicio de San
Jose
P100,000.00
February- May To be able to
contribute to less
fortunate people
Donation (Peso for
a cause at Bantay
Bata163)
P50,000.00
Total P150,000.00
Sales and Promotion Plan
DATE OBJECTIVES ACTIVITY BUDGET
November-
December
To stress the value
of strong brand and
corporate image
Joining contractor‘s
annual convention.
P70,000.00
January- February To demonstrate to
the government
sectors the quality
and features of
Special Government
project tie-up (eg.
NHA)
P40,000.00

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Instratech
May- July To establish a good
company reputation
Brochures and
leaflets through
intermediaries such
as electrical
engineers and
entrepreneurs
P50,000.00
August- October To increase sales
and brand
awareness by 15%
Billboard,
magazines and
brochure distribution
P600,000.00
Monthly To increase sales Present our product
during homeowners
association
(subdivisions and
villages) meeting
P36,000
Total P796,000.00
Advertising Plan
DATE OBJECTIVE ACTIVITY BUDGET
April- May To promote brand
awareness by 25%
Special segment
guesting (Rated K
and Kapuso mo
P300,000.00

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Jessica Soho)
June- August To disseminate
information with the
help of technology
and also to create
an image that will
be known by our
customer
Launching of our
website and other
social networking
site
P30,000.00
September-
November
To add awareness
of the product and
establish a
company and
customer
relationship
Stickers and t-shirts
to Bus in Edsa
jeepney and tricycle
drivers.
P300,000.00
December To further promote
our product and be
known by our
customers
Print ads (4 ¼ size
consecutive Sunday
issues of Inquirer
and Manila Bulletin)
P500,000.00
Total P1,130,000.00

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SWOT ANALYSIS
Strengths Weaknesses
 The product has a glamorous design.
 Instratech can help to lessen the crimes in
the country especially robbery.
 Instratech is user friendly.
 Dream Hub Enterprises has a wide
distribution of the product to be marketable
and accessible to the market.
 Dream Hub Enterprises has good
employees, management and very
accommodating personnel.
 Our competitor is very known in the
markets
 Instratech is a new entrant in the security
device industry.
 Its target market does not know the
product.
Opportunities Threats
 Open trade company in the most of the
neighboring countries brought by
globalization
 Consumers tends to consider great
importance with unique kinds of
designs and fashion of a product in the
market
 Increasing crime rates in the country
especially robbery
 The intensity of rivalry among other
players in the industry
 Presents economic status of the country
 Continuous increasing price of electricity,
gasoline, and other materials.

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DISTRIBUTION CHANNEL
Dream Hub Enterprises will use business-to-consumer for distributing Instratech. This is
the simplest and shortest channel in which no middle man is involved. In this channel of
distribution, Dream Hub Enterprise directly sells their product to consumers through a physical
store which is located at Roxas Avenue corner Gen. Romulo Avenue, Araneta Center, Cubao,
Quezon City. Under this, the company performs all the marketing activities and has full control
over distribution.

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INDUSTRY ANALYSIS
Porter’s Five Forces Framework

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Industry Competitors
The proponents should expect a tough competition and should always stay aggressive
and competitive in the right manner. The prices should be able to compete with its rival product
and the price should satisfy what the product has to offer. The researchers are also very
confident with the differentiation that it will be setting once it penetrates the market. The
researchers are very confident with the innovative idea of the Instratech in providing security
that makes it very convenient for the users. They believe that the idea itself provides the product
an edge over its rival products. They are confident that the product will help the business be
aggressive and immediately eat up a share of the market. The business belongs to a very
competitive market because of the partnership with the biggest real state companies and also
with the help of the home associations in the Philippines. The researchers are planning to set
the business up at Cubao, Quezon City where they can find numerous competing for security
devices shop that has already held the market for quite some time. Proponents will be at the
same time distributing their products through their designed security devices and manufacturing
it before the product could be delivered to the customers.
Competitors
Truth Verifier System Inc.
 Non 30 years in service, founded in May 1966. It started as a lie detector company, a
business partnership among CWO Chandler F. Williams, Capt. Conrado G. Dumlao and
Dr. Aleyone Thor Reyes. In 1973 the company was transformed into a corporation. In
1985, it opened its U.S. office.
2/f City Land Bldg. 128 Pioneer St., Mandaluyong City, Metro Manila, Philippines

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www.truthverifier.com
Fax no. (632) 6437569; Tel. No. 6347570, 6347571
Express Order System Inc.
 Offering electric counter measure devices like burglar alarms, metal detectors, wiretap
detectors wireless, CCTV detector etc. We are the distributors, inventor, importer, and
exporter.
 excos@mozcom.com
 Tel. No. (632) 6347573; (632) 6437575
Bay Sports Manufacturing Inc.
 Manufacture of door answering machines, alarm clocks, other security devices and other
electronics devices and, and /or parts and components. 90% Filipino and 10% German
are their target market.
Substitute Products
Proponents should be expecting a competitive market since it will not only be the retail
rival products that may affect the demand for their product but also the substitutes.
A product may be considered a substitute when a certain change like for example a
change in price may affect the demand for the business‘ product. The researchers should
always monitor the possible substitutes for their products. They always have to be updated if
ever there are certain improvements or price drop caused by those substitutes so they can
easily act upon if any change done by the substitute. They should always be ready to protect

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their market from potential threats that may affect the demand of their product. In the long
run, the researchers have to know what makes their customers do a repeat purchase of the
product. In discovering that, they should be able to capitalize and enhance whatever they have
to keep a solid market.
Bargaining Power of Consumers
The buying power of the consumers is strong when monopsony occurs. Monopsony
occurs when the buyers are outnumbered by the suppliers. In this case, it is the buyer who sets
the prices. They dictate the price because they have different options. In this case, whatever
they demand is like a word of the lord for the suppliers. The suppliers have to comply with what
the consumer demands for and think of the ways where they can accommodate it effectively.
Whoever makes the best offer for the lone consumer wins the customer. The researchers
believe that the consumers buying power in their area is strong because there are many
products that can be substituted for Instratech Security Device. If a buyer sees that the
substitute would probably be a better option than what the researchers offer, they may
immediately change their preference.
Bargaining Power of Suppliers
The researchers believe that supplier‗s power over the business is weak since most of
the tools and equipment that are required to produce the product are commodities that can be
found around metro manila. The tools and equipment for Instratech are commonly consumed
mostly by car owners and household who has lamp outside their houses and there are also a
number of businesses that operate with these product and not necessarily its competitors. The
huge number of suppliers is outnumbered by the number of consumers but that does not mean

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there is a shortage in supply. The suppliers do not have complete control over the prices
of the commodities because of the high demand for the commodities. It is expected that prices
will drop whenever there is a high demand for a product and it is expected that prices may
increase whenever demand for the product drops. Sometimes the concept does not apply
because of those suppliers who take advantage of the situation whenever there is a high
demand for a product. They usually hoard supplies to sell it for a higher cost at the time when
supply shortage occurs. The suppliers for the ingredients required in producing the company‗s
product are weak because price for the product is standardized.

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KEY SUCCESS FACTOR
Table 1
Competitors Price Distribution Design Quality
Bay Sports
Manufacturing
Inc.
Express Order
System Inc.
Truth Verifier
System Inc.
LEGEND:
WINNER LOSER

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Table 2
Key Success
Factor
Product
Quality
Price
Market Share
Advertising
Customer
Loyalty
Social
Responsibility
LEGEND:
EXCELLENT GOOD POOR

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The table above shows the criteria as listed: The table 1 shows that the Bay Sports Mfg.
Inc. and Express Order System Inc. have gotten the high number of winner score including the
price distribution and design which these companies are executing and which could be the
probable reason why they lead the market in security devices now. On the other hand, the table
2 shows that the Ayala Land, Inc. got the highest number of excellent and which could be the
probable reason why they lead in real estate developers industry. With some of the basic criteria
being presented in the table it can be concluded that Ayala Land Inc. made way to be the
biggest and top developers that produced high quality properties.
Megaworld and Amaia follows the rank in the market share for good price criteria where
a huge potential and opportunities that awaits them if they will improve more since customers
today are very meticulous and keen when it comes to safety. Base on the KSF they must do
some actions to make their security device to be more helpful to avoid unsatisfied customers or
worst customer loss. This is also a good way to introduce a new way of installing security device
which burglar has no idea and will give protection to the unit owners. For this simple idea, they
will be able to attract potential customers to lease or buy the unit. The idea can also help to
boost the company to its desired market position. This is possible if Megaworld and Amaia will
grab the opportunity and try Instratech device to see the difference. Since Dream Hub
Enterprise would enter the Megaworld and Amaia as our supplier‘s base on the observation of
their market share, the company has a chance to prove the benefits our product can give.

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MARKET RISKS
Coverage for Supply Chain Risk
The technology industry is heavily dependent on its suppliers. Supply delivery can be
interrupted by many factors, including adverse weather, infrastructure issues, price increases or
damage to a supplier location. Loss of even one dependable supplier can lead to a loss of
income, and can affect the quality, consistency and service of a security device provider.
Equipment Risk Management
All security device businesses depend heavily on equipment. When a mechanical failure
takes place, the business often must close and faces a loss of income if not properly manage.
Quality Control Standard
Power outages and other issues beyond our control can result in costly spoilage or
quality of product produced, which could result in costly damage the business and lost income.
Employee Safety Risk
Employee or worker safety is our main concern. By following the companies set
standard for safety and precautionary methods during operation we will be able to prevent
accident. By constantly practicing and following the standard procedure of producing Instratech
Dream Hub Enterprise will be able to provide a healthy relationship with its employees.
Other risks
Instratech will also need to address the risks common to conventional start-ups,
including economic climate, tax implications, legal and contractual risks and human resource
requirements. Additionally, natural disaster could significantly impact our ability to do business if
rice crops are affected.

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DEMAND AND SUPPLY ANALYSIS
Household Market
Table 1 – Projected Annual Market Share for 5 years
Year Demand Supply Gap Market Share Per Year
1 1,592,369 1,273,895 318,474 3% 9,554
2 1,687,911 1,350,329 337,582 3% 10,127
3 1,789,186 1,431,349 357,837 3% 10,735
4 1,896,537 1,517,230 379,307 3% 11,379
5 2,010,329 1,608,263 402,066 3% 12,062
Table 1 - This table is the projected annual market share of Dream Hub Enterprises for
household market among its indirect competitors at the NCR. The market share percentage that
was written was projected by the group based on the demand gap. The demand is based on the
2014 projected household population of middle class in National Capital Region. Based on the
report of National Statistics Office (NSO), the annual growth rate of household population is 6%.
The supply came from the 80% of demand. This 80% is the projected capacity of the
competitors to supply.
.

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Table 2 – Projected Market Share (Daily)
Year Demand Supply Gap Market Share Number of units to
be sold per day
2015 4,363 3,490 873 3% 26
2016 4,624 3,700 925 3% 28
2017 4,902 3,922 980 3% 30
2018 5,196 4,157 1,039 3% 31
2019 5,508 4,406 1,102 3% 33
Table 2 discloses the projected number of units to be sold per day. The opening capacity to
produce by Dream Hub Enterprises is about 3% of the market share.
*Demand – Annual Demand (Table 1) divided by 365 days
*Supply – Annual Supply (Table 1) divided by 365 days
*Gap – Demand less Supply

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Table 3 – Projected Sales (5 years)
Market
Share
Number of units
to be sold per
day
P3,271 per unit of
Instratech (Daily Sales)
Monthly Sales
(26 days)
Annual Sales
(308 days)
3% 26 85,046 P2,211,196 P26,194,168
3% 28 91,588 P2,381,288 P28,209,104
3% 30 98,130 P2,551,380 P30,224,040
3% 31 101,401 P2,636,426 P31,231,508
3% 33 107,943 P2,806,518 P33,246,444
Table 3 shows the sales of Dream Hub Enterprises from its projected daily market shares on
P3,271 per unit of Instratech Security Device.
*Market Share = refer to Table 1
*Number of units to be sold= refer to Table 2
*Daily Sales = Number of Units To Be Sold Per Day times P3,271
*Monthly Sales = Daily Sales times 26 days
*Annual Sales = Daily Sales times 308 days

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Small Business Owner Market
Table 1 – Projected Annual Market Share for 5 years
Year Demand Supply Gap Market Share Per Year
1 236,609 189,287 47,322 3% 1,420
2 250,806 200,645 50,161 3% 1,505
3 265,854 212,683 53,171 3% 1,595
4 281,805 225,444 56,361 3% 1,691
5 298,713 238,970 59,743 3% 1,792
Table 1 - This table is the projected annual market share of Dream Hub Enterprises for small
business owner market among its indirect competitors at the NCR. The market share
percentage that was written was projected by the group based on the demand gap. The
demand is based on the number of small business establishments in NCR. Based on the report
of Department of Trade and Industry (DTI), the annual growth rate of number of small business
establishments is 6%. The supply came from the 80% of demand. This 80% is the projected
capacity of the competitors to supply.
.

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Table 2 – Projected Market Share (Daily)
Year Demand Supply Gap Market Share Number of units to
be sold per day
2015 648 519 129 3% 4
2016 687 550 137 3% 4
2017 728 583 145 3% 5
2018 772 618 154 3% 5
2019 818 655 163 3% 5
Table 2 discloses the projected number of units to be sold per day. The opening capacity to
produce by Dream Hub Enterprises is about 3% of the market share.
*Demand – Annual Demand (Table 1) divided by 365 days
*Supply – Annual Supply (Table 1) divided by 365 days
*Gap – Demand less Supply

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Table 3 – Projected Sales (5 years)
Market
Share
Number of units to be
sold per day
P3,271 per unit of
Instratech (Daily Sales)
Monthly Sales
(26 days)
Annual Sales
(308 days)
3% 4 13,084 340,184 4,029,872
3% 4 13,084 340,184 4,029,872
3% 5 16,355 425,230 5,037,340
3% 5 16,355 425,230 5,037,340
3% 5 16,355 425,230 5,037,340
Table 3 shows the sales of Dream Hub Enterprises from its projected daily market shares on
P3,271 per unit of Instratech Security Device.
*Market Share = refer to Table 1
*Number of units to be sold= refer to Table 2
*Daily Sales = Number of Units To Be Sold Per Day times P3,271
*Monthly Sales = Daily Sales times 26 days
*Annual Sales = Daily Sales times 308 days

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Summary of Demand and Supply Analysis
Year Number of Units to be sold per day
Number of Units to be
sold per month (26
days)
Number of Units to
be sold per year
(308 days)
Household Market Small
Business
Owner
Market
Total
2015 26 4 30 780 9,240
2016 28 4 32 832 9,856
2017 30 5 35 910 10,780
2018 31 5 36 936 11,088
2019 33 5 38 988 11,704

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INTERVIEW
The interview that was conducted was able to determine the possible partner to tie up
our product in the future. The group was able to have an actual interview with five businesses
and was asked questions about their suppliers and security device distributors. From this
interview, the team was able to determine what kind of strategies and actions to be followed
when it comes on selling our product. The targeted tie up fall on the category of real estate
developer: Megaworld, Amaia, Robinson Land Corporation SM Land Inc. and Ayala Land Inc.
Do you have supplier for your security devices installed in your building?
YES
YES
YES

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YES
YES
What kind of security device do you use?
CCTv
CCTv
CCTv

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CCTv
CCTv
Are you willing to add your CCTv cameras with an Instratech Security Device which has
alarm that provide protection to your clients?
YES
YES

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YES
YES
YES
Does the supplier of your CCTv camera is responsible to exchange it once the item is
broken?
NO
NO

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YES
YES
YES
How often would you want your supplier to check the condition of your security devices?
Monthly
Monthly

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Monthly
Monthly
Monthly
What form of payment do you consider when having a contract from your suppliers?
COD and
Installment
COD and
Installment

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Full Payment
Full Payment
Full Payment
What attributes of the product do you consider when purchasing?
Quality and
Affordability
Quality and
Affordability

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Quality and
Affordability and
Accessibility
Quality and
Accessibility
Quality and
Affordability and
accessibility
Quality accessibility and affordability is the main attributes that these real estate
developers consider when it comes to their security devices in their condominiums and
buildings.
Based on the interview that the Dream Hub Enterprises conducted, they were able to
find out the possible clients of Instratech security device. When asked about accepting other
product to try out of five real estate developers, all the five companies accept the possibility of
trying our product because of its benefits and affordability. But Dream Hub Enterprises will just
focus first on Megaworld and Amaia to be their partner for security device. There is also a huge
potential of having our product to be marketable in the industry because we provide an
exclusive designs of wall lamp based on clients perspective. The settlement of the company and
suppliers falls in the terms and conditions in the contractual agreement.

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TIE-UPS
Dream Hub Enterprises chooses to go business to business transaction as we expand
our business. As soon as Dream Hub Enterprises reaches its maturity stage, for us to maintain

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the peak of our business the company thought about having a good relationship in a form
of partnership with real estate developer and national housing authority to gain more profit and
to establish name in technological development industry.
As a new entrant this is very good way of building high impact and to position our
company to our target market. One good way to promote our brand and being able to continue
the good start the company has started.
MARKETING OBJECTIVES
 To make Dream Hub Enterprises known as one of the best security device that
distributes and supply in the country.
 To establish that Instratech as the market leader in terms of security device.
 To increase the brand awareness of customers.
 To expand the company as soon it reaches its maturity stage.
 To increase profit by 10% by the end of the year.
CONTINGENCY PLAN
 Complete performance evaluation of sales staffs
 Measure financial analysis against projection
 Carry out survey to determine customer satisfaction with the product and
service quality
 Diagnose factors affecting sales
 Take corrective action

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GOVERNMENT
The Dream Hub Enterprises will not only focusing on how to gain much profit but also
focusing on being socially responsible in paying taxes, revenues and municipal licenses. The
company will see to it that all permits will be renewed annually and be paid on time. Dream Hub
Enterprises will also make sure that it will not be biased with its employees and that there will be
no favoritism as well. It will also give incentives to its employees based on their performances.
CUSTOMER
Dream Hub Enterprises makes sure that our customers are given a complete customer
service. The company aims to provide our customers a security device with quality. Our
customers should be protected against dishonest or misleading advertising, labeling or pirate
products and has the right to be given the facts and information needed to make an informed
choice. The company aims to acquire knowledge for the customer to look forward and live and
work in an environment which is neither threatening nor dangerous and which permits a life of
dignity and well-being.
COMMUNITY
Working in the community entails a lot of benefits because mainly the people where the
business is situated will be the number one customers. It will be very easy for the company to
attract customers if the business built a good reputation.

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Dream Hub Enterprises contributes to the Community by the following:
 Generating Jobs
Since our company is newly established and our product is a new entrant
in the market, we need human power in order to pull through the difficulties in
producing and selling the product and even managing our company. We can
really help to decrease the unemployment rate, which is one of the major
problems of our country. We fully know that we have to hire highly skilled and
competent employees but we also take into consideration a labor force made up
of people who was lack of education but highly skilled with determination to help
himself and the company.
Newly graduates can have a chance to apply for the work and prevent
them from being irresponsible unemployed people. They have also the chance to
enhance and show their skills and knowledge through working in our company.
We also aim to give way to those people that needs to prove that they are
capable and worth as a member of the society.
 Minimizing Waste / Being Environment Friendly
The first advantage that the society can benefit from our business is that
our product can contribute in the reduction of waste disposal of the country. Like
seashells which is one of the major components of our product, for designing. It
also environmental friendly for the reason that recycling waste disposal alleviates
pollution in our environment.

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Our company will ensure that we will conduct a program to the public, to educate
them on how to segregate and properly dispose biodegradable from non-
biodegradable waste materials.
Dream Hub Enterprise will also plant trees especially bamboos because
that is one of the most important materials of our product and to lessen the
pollution of our country.
 Having a Waste Management Program
We will impart knowledge on how to segregate waste and recycle them in
a way that is reasonable and beneficial not only for ourselves but also for the
society because we can create new products from wastes and make money from
it.
Our company comes up with a program on how to properly dispose our
waste in a manner that is reasonable and profitable to each individual.
 Promoting Sales and Increasing Consumption of Local Industry
Our company gives way to a newly introduced product in the near future.
We will be joining business show, fairs, exposition and putting up exhibits of
Philippines made product during special events, which will promote our sales and
increase consumption of local products. Through participating in an annual trade
campaign, we be known in the market which the other country.

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 Being a Good Source of Fund for the Government
Our company will ensure that we will pay the exact taxes to help the
government with their activity that is same way benefited to us.
 Sponsoring Organizations and Fund Raising Activities
In the near future our company will be sponsoring different organizations
and fund raising activities to share all the blessings that we are receiving. The
aim of the company is to help those who are in a lower of society, lack of basic
needs, victims of calamities and other organizations that aim to help the people
in the country.
PROPONENTS
As proponents, the group decided to pursue the said business to introduce an innovative
product which is new to the market. As a business, the company is bound to operate according
to what the law mandates. Along with faithfully and regularly paying taxes, the business will
strictly comply with the government‘s rules and regulations in business practice. Some of which
are proper waste disposal and environmental awareness. Along with its legal responsibilities,
the company also upholds its ethical responsibilities. The company will observe proper ethical
standard inside and outside the business premises. There will be no unfair treatment and
favoritism among the employees. The business will not tolerate power tripping and any forms of
abuses within the organization, otherwise, necessary actions will be taken.

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PRODUCTION COST
Raw Materials
Raw materials
needed
Quantity Unit Price Total
Aluminum lamp
frame
9,240 Piece P500.00 P4,620,000.00
Electric lamp 9,240 Piece P150.00 P 1,386,000.00
Glass 9,240 Piece P300.00 P 2,772,000.00
Infrared intruder
alarm transmitter
and infrared
intruder alarm
receiver kit
9,240 Piece P700.00 P 6,468,000.00
Lead 9,240 Piece P25.00 P 231,000.00
Tweeter 9,240 Piece P155.00 P 1,432,200.00
Packaging
Materials
9,240 Piece P15.00 P 138,600.00
TOTAL P17,047,800.00

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Factory Equipment
Item Quantity Unit Price Total
Screwdriver 5 Piece P30.00 P150.00
Wire Stripper 5 Piece P130.00 P650.00
Flat Nose Pliers 5 Piece P102.00 P510.00
Alligator Clamp 5 Piece P350.00 P1,750.00
Small Phillip‘s
Screw
5 Piece P280.00 P1,400.00
Needle Nose
Pliers
5 Piece P102.00 P510.00
Small Wire
Cutter
5 Piece P250.00 P1,250.00
Solder Remover 5 Piece P138.00 P690.00

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Scissor 5 Piece P50.00 P250.00
Soldering Iron 5 Piece P400.00 P2,000.00
Solder Stand 5 Piece P80.00 P400.00
Dispensing Tool 5 Piece P240.00 P1,200.00
Mini Drill 5 Piece P662.00 P3,310.00
IC Puller 5 Piece P155.00 P775.00
Bread Board 5 Piece P347.00 P1,735.00
TOTAL P16,580.00
Office Supplies
Ballpen 50 Piece P5.00 P250.00

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Pencil (12pcs) 10 Box P68.75 P687.50
Eraser 5 Piece P13.75 P68.75
Sharpener 5 Piece P5.00 P25.00
Scissors 5 Piece P34.75 P173.75
Calculator 5 Piece P120.00 P600.00
Stapler with
remover
5 Piece P87.00 P435.00
Staples 5 Box P4.75 P23.75
Paper clips 5 Box P6.00 P30.00
Binder clips 5 Box P18.00 P90.00
Bond paper 10 Ream P168.50 P1,685.00
Clear book 10 Piece P53.00 P530.00

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Folders 10 Piece P5.00 P50.00
Binders 5 Piece P129.75 P648.75
Glue 2 Piece P198.00 P396.00
Scotch tape 15 Piece P10.50 P157.50
Tape dispenser 2 Piece P69.75 P139.50
Correction liquid 10 Piece P36.75 P367.50
TOTAL P6,358.00
Office Furniture and Fixtures
Computer
Desktop
5 Set P15,000.00 P75,000.00
Printer 2 Piece P3,695.00 P7,390.00
Office table 5 Piece P600.00 P3,000.00
Office chair 5 Piece P400.00 P2,000.00

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Air-condition 1 Piece P30,000.00 P30,000.00
Wall clock 2 Piece P265.00 P530.00
Document
cabinet
5 Piece P900.00 P4,500.00
Garbage bin 3 Piece P120.00 P360.00
Water dispenser 2 Piece P820.00 P1,640.00
Telephone unit 2 Piece P1,000.00 P2,000.00
TOTAL P126,420.00
Utilities
Provider Monthly Consumption Total (per year)
Electricity P20,000 P240,000.00
Water P3,000 P36,000.00
Telecommunication P1,995.00 P23,940.00
TOTAL P299,940.00

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Other Expenses
 Marketing
 Public Relation P 150,000.00
 Sales & Promotion P 796,000.00
 Advertising P1,130,000.00
Total P2,076,000.00
 Salaries—Office P1,818,440.00

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PRICING
Direct Materials Cost per unit Units Total
Aluminum Lamp Frame 500 9,240 4,620,000.00
Electric Lamp 150 9,240 1,386,000.00
Glass 300 9,240 2,772,000.00
Infrared kit 700 9,240 6,468,000.00
Lead 25 9,240 231,000.00
Tweeter 155 9,240 1,432,200.00
Packaging Materials 15 9,240 138,600.00
TOTAL P1,845.00 P17,047,800.00
Cost Per Unit Units Total
Direct Labor
Factory Workers (3) P52.68 9,240 P486,720.00
Cost Per Unit Units Total
Overhead
Indirect Labor 124.37 9,240 1,149,200.00
Utilities 14.94 9,240 138,000.00
Depreciation Expense-Factory Equipment 0.36 9,240 3,316.00
Depreciation Expense-Factory Building 7.22 9,240 66,667.00
TOTAL P146.89 P1,357,183.00
PRODUCT COST P2,044.57
Add: MARKUP (60%) P1,226.74
SELLING PRICE P3,271.00

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PROJECT COST, CAPITAL EXPENDITURES, AND DEPRECIATION
For The Years Ended 31 June
Description Amount
Estimat
ed Life
Years
Annual Depreciation Expense
2016 2017 2018
MACHINERY AND EQUIPMENT
Balance,
beginning
- - - - -
ADDITIONS IN
YEAR 1
Land 4,000,000 - - - -
Office Building 2,000,000 15 133,333 133,333 133,333
Furniture and
Fixtures
Office Table 3,000 5 600 600 600
Office Chair 2,000 5 400 400 400
Document
Cabinet
4,500 5 900 900 900
Total
furniture
and
fixtures
9,500
Office
Equipment
Computer
and
Peripherals
75,000 5 15,000 15,000 15,000
Printer 7,390 5 1,478 1,478 1,478

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Air condition
unit
30,000 5 6,000 6,000 6,000
Wall Clock 530 5 106 106 106
Garbage Bin 360 5 72 72 72
Water
Dispenser
1,640 5 328 328 328
Total
office
equipme
nt
114,920
Others
Delivery
Van (L-300)
575,000 5 115,000 115,000 115,000
Telephone 2,000 5 400 400 400
Total
Others
577,000
TOTAL at END
of YEAR 1
6,701,420
Additions in
Year 2
- - - - -
TOTAL at END
of YEAR 2
6,701,420
Additions in
Year 3
-
TOTAL at END
of YEAR 3
6,701,420
Total Annual Depreciation
Expense
273,617 273,617 273,617
TOTAL DEPRECIATION AND 273,617 273,617 273,617

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AMORTIZATION
PROJECT COST
Initial investments in fixed
assets, see above for year one
6,701,420
Preoperating costs, see
above
276,717
Working capital (initial cash
requirement; separate
schedule)
3,021,863
Total Project Cost 10,000,000
SOURCE OF PROJECT
COST
Capital contribution
(equity)
10,000,000
Loans (debt) -
Total Project Cost 10,000,000

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PREOPERATING EXPENSES AND WORKING CAPITAL
PREOPERATING EXPENSES
Estimated expenses from organization to start up
Registration, taxes and licenses 20,240
Professional fees 2,000
Expenses from organization to start up
Salaries 203,320
Utilities 24,799
Supplies 6,358
Transportation and travel 3,000
Representation 2,000
Others 15,000
Total Preoperating Expenses 276,717
WORKING CAPITAL
Minimum cash balance to hold 3,021,863

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MANUFACTURING PLAN
2016 2017 2018
UNITS TO PUT IN PRODUCTION
Projected unit sales for the year 9,240 9,856 10,780
Add
(deduct):
Equivalent units in work-in-process,
beginning
- - -
Equivalent units in work-in-process, end - - -
Finished goods, beginning - - -
Finished goods,
end
- - -
TOTAL UNITS TO PUT IN PRODUCTION 9,240 9,856 10,780
UNIT COSTS (Year 1)
Direct Material Cost per Unit 1,845.00
Direct Labor 52.68
Manufacturing Overhead 146.89
TOTAL UNIT COST 2,044.57
PROJECTED GROWTH IN UNIT COSTS
Year 2 Year 3
Growth Unit Cost Growth Unit Cost
Direct materials 1% 1,881.90 1% 1,882.08
Direct labor 0% 52.68 1% 53.21
Manufacturing
overhead
0% 146.89 1% 148.36
2,063.02 2,083.65

1st
PROJECTED SALES
Product: Instratech Security Device
Unit of measure: Piece
Initial selling price per unit: P3,271.00
Projected 1st Year Sales (Monthly)
Quantity Selling Price Total Sales
2015 July 780 3,271.00 2,551,380
August 780 3,271.00 2,551,380
September 780 3,271.00 2,551,380
October 780 3,271.00 2,551,380
November 780 3,271.00 2,551,380
December 720 3,271.00 2,355,120
2016 January 750 3,271.00 2,453,250
February 780 3,271.00 2,551,380
March 750 3,271.00 2,453,250
April 780 3,271.00 2,551,380
May 780 3,271.00 2,551,380
June 780 3,271.00 2,551,380
Total 1st Year Sales 9,240 30,224,040
Projected Growth Rates
Quantity Selling Price
2nd year 7% 0%
3rd year 9% 0%
Projected Sales Quantity Selling Price Total
2nd year 9,856 3,271.00 32,239,983
3rd year 10,780 3,271.00 35,262,482

1st
COST OF GOODS MANUFACTURED AND SOLD
2016 2017 2018
COST OF GOODS MANUFACTURED AND SOLD
Direct materials 17,047,800 18,366,163 20,288,822
Direct labor 486,763 519,214 573,604
Manufacturing overhead 1,357,264 1,447,748 1,599,321
Total manufacturing cost 18,891,827 20,333,125 22,461,747
Work in process, beginning - - -
Work in process, end - - -
Cost of goods manufactured 18,891,827 20,333,125 22,461,747
Finished goods, beginning - - -
Finished goods, end - - -
TOTAL COST OF GOODS SOLD 18,891,827 20,333,125 22,461,747

1st
OPERATING EXPENSES
Expense Item
Estimated
First Year
Expense
Estimated
Annual
Growth
2016 2017 2018
OPERATING EXPENSES
Electricity 120,000 1% 120,000 121,200 122,412
Water 18,000 1% 18,000 18,180 18,362
Telecommunication 23,940 1% 23,940 24,179 24,421
Office Supplies 6,358 0% 6,358 6,358 6,358
Salary Expense 1,818,440 0% 1,818,440 1,818,440 1,818,440
SSS Premium 215,251 0% 215,251 215,251 215,251
PHIC Premium 38,400 0% 38,400 38,400 38,400
Pag-ibig Premium 21,600 0% 21,600 21,600 21,600
Marketing 2,076,000 2% 2,076,000 2,117,520 2,159,870
Gas and Oil 40,000 1% 40,000 40,400 40,804
TOTAL OPERATING
EXPENSES
4,377,989 4,377,989 4,421,528 4,465,918

1st
PROJECTED INCOME STATEMENTS
2016 2017 2018
GROSS SALES 30,224,040 32,239,983 35,262,482
COST OF GOODS SOLD 18,891,827 20,333,125 22,461,747
GROSS PROFIT 11,332,213 11,906,858 12,800,735
OPERATING EXPENSES 4,377,989 4,421,528 4,465,918
EBITDA* 6,954,224 7,485,330 8,334,817
Interest - - -
Depreciation and amortization 273,617 273,617 273,617
NET INCOME BEFORE TAX 6,680,607 7,211,713 8,061,199
INCOME TAX (30%) 2,004,182 2,163,514 2,418,360
NET INCOME AFTER TAX 4,676,425 5,048,199 5,642,839
*Earnings before interest, depreciation, and amortization.

1st
MAJOR ASSUMPTIONS FOR BALANCE SHEET ITEMS
Data
Accounts receivable
Number of days sales -
Inventories
Number of days supply of direct materials 26
Number of days in work in process, average production
time
-
Number of days to keep finished goods -
Prepaid items
Percentage to total costs and expenses 0%
Accounts payable
Number of days credit 15
Accrued expenses
Percentage to total costs and expenses 10%
Income tax rate 30%

1st
PROJECTED BALANCE SHEETS
Initial
Balances
2016 2017 2018
ASSETS
Current Assets
Cash 10,000,000 8,073,202 13,648,099 19,530,843
Accounts receivable - - - -
Inventories
Raw materials - 1,231,230 1,326,445 1,465,304
Work in process - - -
Finished goods - - - -
Prepaid items - - - -
Other current assets - - - -
Total Current Assets 10,000,000 9,304,432 14,974,544 20,996,147
Noncurrent Assets
Land 4,000,000 4,000,000 4,000,000
Property and equipment - 2,701,420 2,701,420 2,701,420
Accumulated depreciation - 273,617 547,235 820,852
Net - 2,427,803 2,154,185 1,880,568
Preoperating expenses - 276,717 - -
Investments - - - -
Other noncurrent assets - - - -
10,000,000 16,008,951 21,128,730 26,876,715
LIABILITIES AND PARTNERS' EQUITY
Current Liabilities
Accounts payable - 710,325 765,257 845,368

1st
Accrued expenses - 622,202 638,849 663,884
Current portion of long term debt - - - -
Other current liabilities - - - -
Total Current Liabilities - 1,332,527 1,404,106 1,509,252
Noncurrent Liabilities
Long term debt - - - -
Other noncurrent liabilities - - - -
- - - -
Partners' Equity
Rewin Abayon, Capital,
beginning
2,000,000 2,000,000 2,935,285 3,944,925
Net income after tax - 935,285 1,009,640 1,128,568
Rewin Abayon, Capital, end 2,000,000 2,935,285 3,944,925 5,073,493
Edgar Bajamundi, Capital,
beginning
2,000,000 2,000,000 2,935,285 3,944,925
Edgar Bajamundi, Capital, end 2,000,000 2,935,285 3,944,925 5,073,493
Mark Anthony Perez, Capital,
beginning
2,000,000 2,000,000 2,935,285 3,944,925
Mark Anthony Perez, Capital, end 2,000,000 2,935,285 3,944,925 5,073,493
John Faith Ramirez, Capital,
beginning
2,000,000 2,000,000 2,935,285 3,944,925
John Faith Ramirez, Capital, end 2,000,000 2,935,285 3,944,925 5,073,493
King Gil Reyes, Capital,
beginning
2,000,000 2,000,000 2,935,285 3,944,925
King Gil Reyes, Capital, end 2,000,000 2,935,285 3,944,925 5,073,493

1st
Total Partners' Equity, beginning 10,000,000 10,000,000 14,676,425 19,724,624
Net income after tax for the year - 4,676,425 5,048,199 5,642,839
Total Partners' Equity 10,000,000 14,676,425 19,724,624 25,367,463
10,000,000 16,008,951 21,128,730 26,876,715

1st
PROJECTED STATEMENTS OF CASH FLOWS
2016 2017 2018
OPERATING ACTIVITIES
Net income 4,676,425 5,048,199 5,642,839
Add depreciation and amortization, noncash
charges to income
273,617 273,617 273,617
4,950,042 5,321,816 5,916,457
Decrease (increase) in current assets:
Accounts receivable - - -
Inventories
Raw materials (1,231,230) (95,215) (138,859)
Work in process - - -
Finished goods - - -
Prepaid items - - -
Other current assets - - -
Increase (decrease) in current liabilities:
Accounts payable 710,325 54,932 80,111
Accrued expenses 622,202 16,647 25,035
Current portion of long term debt - - -
Other current liabilities - - -
Cash Flow from Operations 5,051,339 (23,636) (33,713)
FINANCING ACTIVITIES
Capital contribution - - -
Increase (decrease) in long term debt - - -
Increase (decrease) in other noncurrent liabilities - - -
Cash Flow from Financing Activities - - -
INVESTING ACTIVITIES
Additions to land (4,000,000) - -
Additions to property and equipment (2,701,420) - -

1st
Decrease (increase) in investments - - -
Decrease (increase) in preoperating expenses (276,717) 276,717 -
Decrease (increase) in other noncurrent assets - - -
Cash Flow from Investing Activities (6,978,137) 276,717 -
Increase (decrease) in cash (1,926,798) 5,574,897 5,882,744
Cash at beginning of period 10,000,000 8,073,202 13,648,099
CASH AT END OF PERIOD 8,073,202 13,648,099 19,530,843

1st
SELECTED PROJECTED FINANCIAL HIGHLIGHTS
2016 2017 2018
Liquidity Ratios
Current ratio (a) 7 11 14
Acid test ratio (b) 6 10 13
Average collection period (days) - - -
Accounts receivable turnover (times) - - -
Inventory turnover (times)
Raw materials 14 14 14
Work in
process
- - -
Finished
goods
- - -
Solvency Ratios
Percentage of equity to total debt plus equity 100% 100% 100%
Return Ratios
Return on sales or gross income 15.47% 15.66% 16.00%
Return on equity (debt plus equity) 31.86% 25.59% 22.24%
Return on assets 29.21% 23.89% 21.00%
Return on investment 35.96% 27.19% 23.51%
Asset turnover 188.79% 152.59% 131.20%
Percentage of EBITDA to gross revenue 23.01% 23.22% 23.64%
Contribution Margin
Contribution margin per unit
Unit selling
price
3,271 3,271 3,271
Unit variable cost 2,045 2,063 2,084
Contribution margin per unit 1,226 1,208 1,187
Contribution margin ratio 37% 37% 36%
Breakeven Sales

1st
Units 3,793 3,887 3,992
Peso value 12,406,256 12,713,639 13,056,778
Growth Rates
Gross revenue NA 6.67% 9.38%
Net income NA 7.95% 11.78%
Total assets 60.09% 31.98% 27.20%
(a) Peso of current asset for every peso of current
liability
(b) Peso of quick assets for every peso of current
liability

1st

1st
Books
 David, Fred. Strategic Management: Concepts and Cases. Thirteenth Edition.
 Hisrich, R., Peters, M., Shepherd, D. Entrepreneurship. Eight Edition.
 Iacobucci, Dawn. Marketing Management. Second Edition.
 Noe, Hollenbeck, Gerhart, Wright. Fundamentals of Human Resource Management.
Fourth Global Edition.
Internet
 http://www.census.gov.ph
 http://www.sec.gov.ph/
 http://www.bir.gov.ph/
 http://www.dti.gov.ph/
 http://www.nwpc.dole.gov.ph/index.html
 http://www.dole.gov.ph
 http://www.philhealth.gov.ph/
 http://www.pagibigfund.gov.ph/
 http://www.sec.gov.ph/download/other_forms.html
 http://www.sec.gov.ph/download/Forms/otherforms/AP_template.pdf
 http://indonesia.tradeford.com/burglar-alarm
 http://www.tutor2u.net/business/strategy/porter_five_forces.htm
 http://www.housinginteractive.com/global-realtor-blog/12-top-real-estate-developers-
philippines-part-1/
 http://www.dti.gov.ph/dti/index.php/msme/msme-statistics

1st

1st
SURVEY QUESTIONNAIRE
Dear Sir/Madam:
We, the senior students of Far Eastern University-Manila under the program of Bachelor
of Science in Business Administration major in Business Management, are currently
undertaking our Business Plan entitled ―Dream Hub Inc.‖ as a requirement for our graduation
next year.
In order to move towards the completion of our business plan, we are in need to gather
data which will be the content of the section of the business plan on marketing aspect.
The product that we are going to propose is called Instratech. It is a security device in a
form of wall lamp or a security device installed in houses which aim to provide safety for every
Filipino family. It uses an Infrared Intruder Alarm Transmitter and Receiver. It has a loud
speaker and transmitter device that automatically be connected to the security department to
notify that there is unauthorized person inside the protected area.
We look forward to your kind cooperation. Thank you very much.
SURVEY QUESTIONNAIRE
Instruction: Encircle the number that corresponds to your answer.
Name (optional): Age:
Gender: 1— Male 2— Female
1. Are you aware of increasing crime in our country?
1— Yes 2— No
2. Are you aware of a lamp that can detect a motion or a person?
1— Yes 2— No

1st
3. How often do you buy a security device?
1—Monthly 2— Quarterly
3— Semi-annually 4— Annually
4. How many security device/s do you buy in a single purchase?
1— one 2— two 3— three 4— four 5— five or more
5. Which of the following factors do you prefer most in choosing a security device?
1— Quality 2— Design 3— Price 4— Features 5— Distribution
6. Where do you usually buy a security device?
1 —Mall 2— Tiangge
3— Online 4— Physical Store
7. Are you willing to buy our product?
1— Yes 2— No
If yes, how much?
1- P700-P1,500 3.-P2,501-P3,000
2- P1,501-P2,500 4.-P3,001-P3,500

1st
BY LAWS OF PARTNERSHIP TEMPLATE

1st

1st
SECURITIES AND EXCHANGE COMMISSION (SEC) FEES AND CHARGES FOR
PARTNERSHIP REGISTRATION

1st
REGISTRATION FORM—Philippine Health Insurance Corporation (PHIC)

1st
REGISTRATION FORM—Bureau of Internal Revenue (BIR)

1st
REGISTRATION FORM—Social Security System (SSS)

1st
REGISTRATION FORM— Pagtutulungan sa Kinabukasan: Ikaw, Bangko, Industria at
Bangko (Pag-IBIG)

1st
APLICATION FORM—QC Business Permit

1st
SSS CONTRIBUTION TABLE

1st
PHIC CONTRIBUTION TABLE
Salary
Bracket
Salary
Range
Salary
Base
Total Monthly
Premium
Employee
Share
Employer
Share
*Employee share represents half of the total monthly premium
while the other half is shouldered by the employer.
1
8,999.99 and
below
8,000.00 200.00 100.00 100.00
2
9,000.00 -
9,999.99
9,000.00 225.00 112.50 112.50
3
10,000.00 -
10,999.99
10,000.00 250.00 125.00 125.00
4
11,000.00 -
11,999.99
11,000.00 275.00 137.50 137.50
5
12,000.00 -
12,999.99
12,000.00 300.00 150.00 150.00
6
13,000.00 -
13,999.99
13,000.00 325.00 162.50 162.50
7
14,000.00 -
14,999.99
14,000.00 350.00 175.00 175.00
8
15,000.00 -
15,999.99
15,000.00 375.00 187.50 187.50
9
16,000.00 -
16,999.99
16,000.00 400.00 200.00 200.00
10
17,000.00 -
17,999.99
17,000.00 425.00 212.50 212.50
11
18,000.00 -
18,999.99
18,000.00 450.00 225.00 225.00
12
19,000.00 -
19,999.99
19,000.00 475.00 237.50 237.50
13
20,000.00 -
20,999.99
20,000.00 500.00 250.00 250.00
14
21,000.00 -
21,999.99
21,000.00 525.00 262.50 262.50
15
22,000.00 -
22,999.99
22,000.00 550.00 275.00 275.00

1st
Salary
Bracket
Salary
Range
Salary
Base
Total Monthly
Premium
Employee
Share
Employer
Share
16
23,000.00 -
23,999.99
23,000.00 575.00 287.50 287.50
17
24,000.00 -
24,999.99
24,000.00 600.00 300.00 300.00
18
25,000.00 -
25,999.99
25,000.00 625.00 312.50 312.50
19
26,000.00 -
26,999.99
26,000.00 650.00 325.00 325.00
20
27,000.00 -
27,999.99
27,000.00 675.00 337.50 337.50
21
28,000.00 -
28,999.99
28,000.00 700.00 350.00 350.00
22
29,000.00 -
29,999.99
29,000.00 725.00 362.50 362.50
23
30,000.00 -
30,999.99
30,000.00 750.00 375.00 375.00
24
31,000.00 -
31,999.99
31,000.00 775.00 387.50 387.50
25
32,000.00 -
32,999.99
32,000.00 800.00 400.00 400.00

1st
Salary
Bracket
Salary
Range
Salary
Base
Total Monthly
Premium
Employee
Share
Employer
Share
26
33,000.00 -
33,999.99
33,000.00 825.00 412.50 412.50
27
34,000.00 -
34,999.99
34,000.00 850.00 425.00 425.00
28
35,000.00 and
up
35,000.00 875.00 437.50 437.50

BUS PLAN 2

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