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Executive Summary A. Management Aspect

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Executive Summary A. Management Aspect EXECUTIVE SUMMARY A. MANAGEMENT ASPECT Save on Surplus (S.O.S), Dumaguete City is a franchised store under Dumaguete St. Louis Trading Enterprises which is a sole proprietorship owned by Mrs. Linda A. Monterola. The business establishment has four (4) regular employees always present during the daily business operations: one (1) manager who also acts as the cashier and bookkeeper, one (1) sales person who is also the officer in-charge of the product inventory, one (1) technician who handles the repairs of computers and other electronic products, and one (1) security guard who is outsourced from an agency. The business also avails the services of an accountant and a management consultant at certain times of the year. B. MARKETING ASPECT Here in Dumaguete, the identified direct competitors of Save on Surplus are RMJ Store located at corner V. Locsin St. & Real St., and Alymae Surplus with two stores located at Pulantubig and Perdices St. Indirect competitors of the business include Octagon. CDr King, DGtech, POS marketing and Appliance Centrum. Save on Surplus has adopted various marketing strategies that help attract its customers and somehow counter the threat of the competitors. It makes use of radio advertisements, tarpaulins, posters and flyers. Also, with its satisfying service and trusted high quality products, SOS got loyal customers and had spread through word-of- mouth. 2 C. TECHNICAL ASPECT Save on Surplus (S.O.S) is located at Dr. #7 Plaza Milagros Bldg., Sta. Rosa St., Dumaguete City, across Dumaguete Cathedral Credit Cooperative (DCCCO), operating nine (9) hours from Monday to Saturday. The products sold at Save On Surplus include kitchenware, electronic gadgets, steel and wooden cabinets and drawers, and computer set, spare parts and accessories which are mostly coming from Australia delivered to Save On Surplus, Main branch and then distributed to the other outlets/ franchises. It is a favorable location for retail business because it is just a walking distance from the public market making it very accessible to the public. It also has its parking area for their customers’ vehicles. The retail store area of Save on Surplus is 90m2 or 6m x 15m. It is big enough to accommodate all the products displayed and keep other stocks. D. FINANCIAL ASPECT The initial investment needed to start this business venture was Php 1,000,000 which was the personal money/ savings of Mrs. Linda Avenido-Monterola. And it only took her a year from the start of operations to recover the amount she had invested. The revenue of the business comes from the sales of their product and from the service fees they charge on the repairs. E. LEGAL ASPECT To avoid legal conflicts and protect the interests of the business, its employees and of its customers, the establishment submits to the conditions and provisions 3 mandated by law. Save On Surplus has complied all requirements from the very start of the business and has regularly secured and renewed all the necessary permits and clearances needed to continue its business operations. F. SOCIO-ECONOMIC ASPECT The City of Dumaguete continually enjoys benefits from this establishment. Aside from tax, Save On Surplus has given people the opportunity to work for them thus minimizing the unemployment rate of the city. Thus, giving the workers the chance to earn and improve their livelihood. Its business transactions also fuels economic activities which leads to economic growth and development for individuals and the society as a whole. 4 INTRODUCTION The City of Dumaguete is the capital, the seat of government and the economic hub of the Philippine province of Negros Oriental. Located on the plains of the south-eastern coast of Negros Island, the city has a relatively small land area with a total of only 34.26 km2 divided into thirty (30) barangays. It is one of the most populated areas in the province as it is popularly known as a City of Gentle People and a University town. Serving as a natural border to the neighboring provinces of Cebu, Bohol and Siquijor, the city continues to attract a considerable number of people particularly students, local and foreign tourists, and businessmen. Access and transportation of goods and services from nearby provinces is also made convenient through the city’s own airport and several piers. With these people from neighboring provinces flooding the city, entrepreneurs have put up businesses to cater to the public’s needs and wants. Thus, work opportunities and employment have also accelerated due to the existence of these business establishments. With the advancement of technology in different areas of human life such as health, work, communication and others, electronic gadgets and computers have become indispensable tools of people’s daily activities and work. Today’s technology also does not only offer us easy to use equipment but with low cost as well. Thus, Save on Surplus, Inc. has become one of Philippines’ leading franchisor for retail stores for imported surplus products from the U.S.A. and Australia, with 34 outlets nationwide and growing offering a wide variety of products at affordable prices. Here in Dumaguete City, there are only few surplus retail stores that sell imported products. Considering the demand for this wide variety of products by diversified market, the conduct of this development study will help Save On Surplus, Dumaguete improve and gain a 5 competitive advantage among its rivals or competitors through encouraging effectiveness and efficiency in the carrying out of its operations and the management as a whole. OBJECTIVES This development study on Save on Surplus aims: 1. To develop and further enhance the business operation and activities of the business, emphasizing on its different important aspects such as the management, marketing, technical and financial aspects; 2. To evaluate and assess the establishment’s socio-economic influence as well as look over the compliance and completeness of its legal requirements; 3. To address the establishment’s existing problems through well-thought remedies and solutions; and 4. To determine and recommend other alternative courses of actions necessary for the progress of the business establishment. SCOPE AND LIMITATION OF THE STUDY The scope of this development study on Save On Surplus covers the different key aspects --- management, marketing, financial, technical, socio-economic and legal aspects of the business establishment. This study is also limited only to the information disclosed to us by the manager of Save On Surplus, Dumaguete and the observations on daily operations gathered by the members of the group during certain hours of the day. All major, relevant, and confidential information gathered and provided for by the manager are used solely for the purpose of this development study. 6 SIGNIFICANCE OF THE STUDY The primary purpose of conducting this development study on Save On Surplus, with almost ten (10) years of operation, is to improve its usual course of business undertakings and to ensure effective and efficient use of the opportunities that the establishment has. It will also increase the rate of success of the business by giving recommendations of the necessary aspect of the business that needs to be improved and developed. METHODOLOGY a. Description of the Sources of Data The sources of data used for the study include information directly given or asked from the manager and the employees, and those information gathered from the group’s observations. During operational hours when the employees and the manager are not busy and there are no customers yet to be entertained, some members of the group would ask random questions about the business. There were also times when the group would respectfully inquire about certain and confidential things about the operation of the business. The rest of the information is just based on the observations gathered by the group from its daily duty in the store. b. Data Gathering Procedure Important data needed in the study such as the history of the business, the nature of the operation, its policies, and some information of its financial, technical, and legal aspects were acquired from the manager. Others were gathered through random interviews of the employees. While, some data were just acquired by merely observing the daily operations of Save On Surplus. 7 PROJECT SUMMARY Name of Establishment: Save on Surplus (S.O.S)/ Dumaguete St. Louis Trading Enterprises Location: Dr. #7 Plaza Milagros Bldg., Sta. Rosa St., Dumaguete City Owner: Mrs. Linda A. Monterola Manager: Miss Jennifer Q. Sayson Store Hours: Monday-Saturday: 10:00AM – 7:00PM A. NAME OF THE ESTABLISHMENT The business establishment chosen by the group for a development study is Save On Surplus, Dumaguete which is a franchise business of Dumaguete St. Louis Trading Enterprises. The business name already connotes that it is into selling affordable surplus products particularly computer parts, accessories and other electronic and home appliances. B. NAME OF THE PROPRIETOR The proprietor of Dumaguete St. Louis Trading Enterprises owning Save On Surplus (S.O.S), Dumaguete is Mrs. Linda Avenido Monterola. C. LOCATION Save On Surplus (S.O.S) is located at Dr. #7 Plaza Milagros Bldg., Sta. Rosa St. across Dumaguete Cathedral Credit Cooperative. The business establishment is very accessible to the public and also has parking spaces available for its customers. 8 D. DESCRIPTIVE DEFINITION OF THE ESTABLISHMENT Save on Surplus, Inc. is the Philippines’ leading franchisor for retail stores for imported surplus products from the U.S.A. and Australia, with 34 outlets nationwide and growing. Save On Surplus has been the country’s neighborhood imported surplus retailer for the last 11 years. Here in Dumaguete, Save on Surplus (S.O.S) is a franchised business under the sole proprietorship Dumaguete St. Louis Trading Enterprises. E. HIGHLIGHTS OF THE ESTABLISHMENT HISTORY OF THE BUSINESS Seeing the potential and profitability of the retailing industry, Mrs.
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