P S B A
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BUSINESS RESEARCH JOURNAL Volume XXIII June 2020
GRADUATE SCHOOL OF BUSINESS
An Official Publication of the Philippine School of Business Administration, Manila
ISSN No. 2449-3392
GRADUATE SCHOOL OF BUSINESS
Tabassam Raza, MBA, MAURP, DBA, Ph.D., P.E. EDITOR IN CHIEF
Antonio S. Valdez, MBA, Ph.D., FRIEdr EDITOR
Grace E. Enriquez, MBA, DBA MANAGING EDITOR
EDITORIAL BOARD
Jose F. Peralta, DBA, CPA PRESIDENT, CHIEF ACADEMIC OFFICER & DEAN
Oliver Francis Raymund VICE PRESIDENT FOR FINANCE & TREASURER
Tabassam Raza, MBA, MAURP, DBA, Ph.D. P.E. ASSOCIATE DEAN
Jose Teodorico V. Molina, LLM, DCL, CPA CHAIR, GSB Ad Hoc COMMITTEE
EDITORIAL STAFF
Ernie M. Lopez Erick Oinde William Vincent C. Obcemea Christine Paula F. Carlos
The PSBA BUSINESS RESEARCH JOURNAL is an official business publication of the GRADUATE SCHOOL OF BUSINESS, Philippine School of Business Administration, Manila. It is intended to keep the graduate students well- informed about the latest concepts and trends in business and management, and general information with the goal of attaining relevance and academic excellence.
Philippine Copyright © 2020 Philippine School of Business Administration – Manila. Copyright of individual articles belong to the respective authors.
P S B A Manila Business Research Journal
Volume XXIII June 2020 CONTENTS Description Pages Contents ...... i-ii Figures ...... iii Tables ...... iv-v Acronyms ...... vi-vii Article 1 ...... 1-5 The Editor’s Perspective Challenges and Opportunities for Local Communities and Small-Scale Entrepreneurs: Inclusive Investment in Levelling the Business Organizations Tabassam Raza, Article 2 ...... 6-35 Thesis Assessing Minimum Design Standards on Subdivision Road Construction for Disaster Risk Reduction: A Comprehensive Strategy The Case of the 2nd, 5th, and 6th Political Districts of Quezon City Arch. Pedro Perlas Rodriguez, Jr. Adviser: Dr. Jose Teodorico V. Molina Article 3 ...... 36-127 Dissertation An Evaluation of Existing Fish Marketing Practices and
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Distribution in Navotas Fishing Port and Selected Fish Markets in Metro Manila: An Innovative Marketing Model Remigio G. Tiambeng Adviser: Dr. Eduardo G. Ong
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FIGURES Figure 1 4th International Research Colloquium Poster...... 1 Figure 2 Conceptual Framework of the Study ...... 11 Figure 3 Study area imposed over map of Quezon City ...... 16 Figure 4 Flooding Vulnerability of Roads in Subdivision with Emphasis on Depth as Perceived by the Residents ...... 22 Figure 5 Flooding Vulnerability of Roads Leading to Other Roads in Another Subdivision with Emphasis on Depth as Perceived by the Residents ...... 23 Figure 6 Road Susceptibility to Hazards as Perceived by the Subdivision Residents ...... 24 Figure 7 Assessment of the Local Government’s Adoption of Laws and Regulations in Road Construction as Perceived by Subdivision Residents ...... 25 Figure 8 Local Government’s Actions towards Disaster Risk Reduction as Perceived by Subdivision Residents...... 26 Figure 9 Overall Assessment of Safe Road Construction Relative to Disaster Risk Reduction as Perceived by Subdivision Residents...... 27 Figure 10 Navotas Fish Port Complex Map ...... 42 Figure 11 Daily Scenario - Hundreds of fish-filled banyeras being auctioned by a fish broker at the Navotas Fish Port Complex in Manila, where an estimated 800 tons of fish and invertebrates are traded and sold daily ...... 48 Figure 12 The fish distribution patterns in Navotas Fish Port and Fish Market ...... 49 Figure 13 Research Paradigm ...... 52 Figure 14 Conceptual Framework...... 56 Figure 15 Navotas fish port fish market; an innovative marketing model ...... 108
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TABLES Table 1 Population and Density per District, 2000 (Source: Quezon City Socio-Economic Profile, 2002)...... 7 Table 2 District I participating stakeholders ...... 18 Table 3 District II, V, and VI participating stakeholders ...... 18 Table 4 District III participating stakeholders ...... 19 Table 5 District IV participating stakeholders ...... 19 Table 6 Philippines Population Based on Worldometers 2018 United Nation Estimates ...... 38 Table 7 Philippines and World Population Comparative Analysis ...... 38 Table 8 Philippines and World Population Forecast ...... 39 Table 9 Classification of Fish...... 50 Table 10 Population Distribution of Navotas Fish Port and Fish Market Respondents Purposive Sampling Method ...... 62 Table 11 Demographic Profile of the Respondents (PFDA- Administrators and Staffs) ...... 71 Table 12 Demographic Profile of the Respondents (NFPC- Management and Staffs) ...... 72 Table 13 Demographic Profile of the Respondents (Producer/Operator) ...... 74 Table 14 Demographic Profile of the Respondents (Fish Broker) ...... 76 Table 15 Demographic Profile of the Respondents (Wholesaler) ...... 77 Table 16 Demographic Profile of the Respondents (Buyer/Seller) ...... 80 Table 17 Demographic Profile of the Respondents (Retailers).. 82 Table 18 Demographic Profile of the Respondents (Customers) ...... 84 Table 19 Degree of Implementation ...... 86 Table 20 Degree of Implementation NFPC Management and Staff Functions ...... 89 Table 21 Degree of Seriousness Company's Micro-Environments Forces ...... 91 iv Business Research Journal – Volume XXIII
Table 22 Degree of Seriousness, Fish Markets’ Distribution Channels ...... 97 Table 23 Degree of Seriousness, Fish Markets’ Distribution Channels ...... 99 Table 24 Degree of Seriousness, Fish Markets’ Distribution Channels ...... 101 Table 25 Degree of Seriousness, Fish Markets’ Distribution Channels ...... 103 Table 26 Degree of Seriousness, Fish Markets’ Distribution Channels ...... 104 Table 27 Degree of Seriousness, Fish Markets’ Distribution Channels ...... 106
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ACRONYMS
AIT Asian Institute of Technology ANOVA Analysis of Variance AY Academic Year BFAR Bureau of Fisheries and Aquatic Resources BIR Bureau of Internal Revenue BOI Board of Investments CS Comprehensive Strategy DBA Doctor in Business Administration DRM Disaster Risk Management DRR Disaster Risk Reduction DRRM Disaster Risk Reduction and Management DTI Department of Trade and Industry FGD Focus Group Discussion GAR Global Assessment Report GDP Gross Domestic Product GNB Government National Budget HFA Hyogo Framework for Action HOA Homeowners Association IB Inclusive Business IIE International Institute for Environment IIED International Institute for Environment and Development vi Business Research Journal – Volume XXIII
IRC-DRT International Research Colloquium towards Disaster Risk Transfer LGUs Local Government Units MBA Master in Business Administration NFPC Navotas Fishing Port Complex NFPFM Navotas Fish Port and Fish Markets NFRDI National Fisheries Research and Development Institute OR Official Receipt PCA Principal Components Analysis PFDA Philippine Fisheries Development Authority PHP Philippine Peso PLANADES Planning and Development Research Foundation, Inc. PLMar Pamantasan ng Lungsod ng Marikina PSBA Philippine School of Business Administration QCG Quezon City Government QCX Quezon City Experience R&D Research and Development SMEs Small and Medium-sized Enterprises SSS Social Security System UN United Nations UNISDR United Nations Office for Disaster Risk Reduction UP-SURP University of the Philippines School of Urban and Regional Planning VIF Variance Inflation Factor
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ARTICLE 1 The Editor’s Perspective
Title: Challenges and Opportunities for Local Communities and Small-Scale Entrepreneurs: Inclusive Investment in Levelling the Business Organizations
Authors: Tabassam Raza,
Figure 1 4th International Research Colloquium Poster.
The annual Fourth International Research Colloquium towards Disaster Risk Transfer (4th IRC-DRT) of the Philippine School of Business Administration-Manila (PSBA-Manila) continues its mission from the school’s prior Symposia and Colloquia where the school’s research fellows, students, and experts from various local and international institution have gathered to contribute their knowledge in this platform. Particularly, it will disseminate with a focus on the challenges and opportunities of local communities and small-scale entrepreneurs amid inclusive investment in the Philippine market and economic setting. The theme of this year’s International
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Research Colloquium is “Inclusive Investment in Leveling the Business Organizations”, and its effect on long term and disaster risk reduction and management lenses. The 5th IRC-DRT was held from 9th to 10th November 2019 at the Quezon City Experience (QCX) Conference Theatre, Quezon City Circle, Quezon City. The organizing partners included PSBA-Manila, Asian Institute of Technology-Thailand (AIT-Thailand), University of the Philippines School of Urban and Regional Planning (UP-SURP), Quezon City Government (QCG), Pamantasan ng Lungsod ng Marikina (PLMar), and Planning and Development Research Foundation, Inc. (PLANADES). The conference was attended by more than 150 participants that included students and faculty members and staff from PSBA-Manila, Graduate School and Undergraduate Schools; AIT- Thailand; UP-SURP; PLANADES; PLMar; QCG Scholars and employees; and other International and Local students, researchers and delegates. According to the International Institute for Environment (IIE) and Development, most of the concerns about Inclusive Investments are its negative social impacts including loss of local rights to land, water, and other natural resources in addition it also threats the local food security and the risk of large-scale investments and marginalized family farmers (IIED, 2013). Moreover, they agree that this kind of investment is a big risk for indigenous people since the consequence of this investment may involve their only source of income and dignity. Contrary however with the latter, IIE believes that Inclusive Investment is essential towards the growth of every marginalized sector. Indeed, Inclusive investment is considered to be one of the many forms of risk transfer that large companies and business entities must take in consideration as it does not only protect their own business, but also gives them an opportunity to initiate involvement among local-based and small-scale entrepreneurs in the local community to be part of their value chain; by allowing them to be their suppliers, producers, shareholders, employees, and even as consumers that can be both sustainable and equitable. 2 Business Research Journal – Volume XXIII
As society has reached a tipping point, so has businesses; inclusion as business imperative must take hold. No matter what a person is in an organization, there is an obligation to champion inclusivity as part of everyone’s job. Beyond the fundamental issue of equality, inclusive cultures drive stronger performance and unlock sustainable business benefits. Leaders should build teams that ensure a valuable mix of diverse skillsets, experiences, and backgrounds as not just being brought to the table - but empowered to contribute. This will require organizations to put structured training and mentoring programs in place to scale these efficiently and appropriately. Further, the Philippines is a well-known country for its natural resources from its lands to its forests, to its mineral and its fishery resources. Considering the extensive business opportunities in natural resources, our country has a lot of farmers, fishermen, and local entrepreneurs. However, it is undeniably known to everyone that these people are the most vulnerable and disadvantaged in the corporate world. There are cases where farmers encounter zero profit due to minimal exposure, unavailability of competitive place to trade their products, and the trend of prioritizing branded products; while fishermen risk their lives for a minimum wage for their families. According to Business World Online (Marcelo, 2017), poverty incidence for the sector of farmers was recorded at 34.3%; 34% were fishermen; and 31.4% are children. These sectors also consistently registered as the three sectors with the highest poverty incidence in 2006, 2009, and 2012. In addition, the poverty incidence in these sectors also exceeded the national and average of 21.6%. On November 22, 2017, a study conducted by the Philippine Board of Investments (BOI), the industry development and investments promotion arm of the Department of Trade and Industry (DTI), and the United Nations Development Programme Istanbul International Center for Private Sector in Development, highlighted the growing enthusiasm and interest of the Philippine private sector in levelling business organizations by adopting Inclusive Business
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(IB) models. IB offers an opportunity to not only generate profit, but also help those at the base of the economic pyramid to contribute in reducing poverty in the country. Thus, the main objective of this International Colloquium is to contribute to business continuity and resiliency planning by providing a stage in inclusive investments and disaster risk transfer knowledge. It also aims to foster closer ties among diversified participants and provide an avenue to share thoughts and exchange of ideas on how business organizations and its members can contribute more meaningfully to resolve disaster-related challenges faced and opportunities gained by MSMEs and local communities not just in the Philippines, but also all around the world. Further, it is the intention of this colloquium to encourage businesses to adopt sustainable Inclusive Business models by integrating the poor at the core of their business operations. In addition, it aims to drive discussion to answer the following questions: 1. What kind of Inclusive Investments and Inclusive Business models are available and essential towards disaster risk transfer today? 2. What roles can the private sector play to drive the direction of Inclusive Investments and Inclusive Business Models in support governments towards Sustainable Development Goals, Sendai Framework for Disaster Risk Reduction, and other international agreements? 3. What examples from case studies can be adopted so that win-win scenarios become win-win realities? For this year’s colloquium, we have invited distinguished speakers and top-notch resource persons to help us get a better sense of the developments that are happening not only in particular business sector, but on the economy at large.
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References
International Institute for Environment. Retrieved from IIED Annual Report 2013/2014 (ar2014iied.org)
Business World Online. Retrieved from Farmers, fishermen are PHL’s poorest - BusinessWorld (bworldonline.com)
Cebu Daily News. Retrieved from More PH firms adopting inclusive business models | Cebu Daily News (inquirer.net)
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Thesis
Title: Assessing Minimum Design Standards on Subdivision Road Construction for Disaster Risk Reduction: A Comprehensive Strategy –The Case of the 2nd, 5th, and 6th Political Districts of Quezon City
Author: Arch. Pedro Perlas Rodriguez, Jr. Degree: Master in Business Administration Specialization in Disaster Risk Management School Year: AY 2018-2019
Adviser: Dr. Jose Teodorico V. Molina 1.1. Introduction This study focuses on the Quezon City government regulations on subdivision road construction for disaster risk reduction. It covers the cases of the 2nd District; 5th District and 6th political districts of Quezon City. Governments cannot influence the frequency and severity of natural hazards. The only way governments can address disaster risk is by reducing vulnerability to such hazards. In this study, the researcher intends to cover or include 492 subdivisions in the three districts. Collectively, District II, V, and VI occupy 7,188.66 hectares of the total 16,112.56 hectares of Quezon City. In the year 2000, the population of Districts II, V and VI is 1,163,537. This figure is more than 50% of the 2,173,831 population of the entire city. Table 1 shows the land areas, population, and density of each of the political sub- districts of Quezon City.
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Table 1 Population and Density per District, 2000 (Source: Quezon City Socio-Economic Profile, 2002) District Area (has.) Population Density I 1,961.5820 373,712 190.52 II,V,VI 7,188.6684 1,163,537 161.86 III 2,173.8900 271,172 124.74 IV 2,346.3262 365,410 155.74 Sub-Total 13,666.0588
Reservoir 2,446.4160 Total 16,112.5620 2,173,831 134.92
The 2002 Quezon City Socio-Economic Profile revealed that “the areas lying north of Epifanio de los Santos Avenue (EDSA), which is largely District II, V, and VI experienced the most phenomenal growth of subdivision development”. It is along this vein that the researcher is working to find out and establish the safest standard regulations on road construction for subdivisions, diversionary routes passing through subdivisions, adopting, and establishing interconnecting linkages of adjoining subdivisions in road construction of subdivisions to insure proper coordination in time of disasters. 1.1.1. Background of the Study Countries have been using the Hyogo Framework for Action (HFA) Monitor to report on the progress made in disaster risk reduction since 2007 (UNISDR, 2014). But countries have been more challenged to factor disaster risk reduction into public investment, land-use planning, infrastructure projects, environmental management, and social policies, which are the activities under HFA Priority for Action 4 on reducing the underlying risk drivers and tackling the causes of risk creation. There has been gradual process in all regions, across all the Priorities for Action of the HFA. In particular, strengthening countries’ institutional, legislative and policy frameworks, early
Business Research Journal – Volume XXIII 7 warning, disaster preparedness for response as well as risk assessment, education, research, and fostering public awareness and a common understanding of disaster risk have shown progress. The Global Assessment Report of 2013 (GAR, 2013) found that there is increased government investment in corrective disaster risk management and in risk financing. However, there is little solid progress in anticipatory or prospective disaster risk management. We are not doing enough to reduce underlying risk. Investment in disaster risk reduction is still not a priority for many governments, as its cost- effectiveness might not be fully understood, and other competing issues like unemployment or fiscal stability are often prioritized. Although extensive disasters do not cause significant fatalities, they are responsible for a large proportion of damage to local infrastructure and livelihoods of low-income households and communities. This is reasoned over the rapid increase in population exposure to weather related hazards, such as a week of incessant rainfall caused floods in several low-lying areas. Earthquakes can cause extensive and intensive risks when people, property and livelihoods accumulate in places exposed to major hazards such as earthquakes or tropical cyclones. Low and middle-income countries, like the Philippines and Puerto Rico, could lose more than 15 percent of their exposed capital stock to winds of a catastrophic tropical cyclone. (GAR, 2013). The UNISDR, or the United Nations International Strategy for Disaster Risk Reduction (2014), states that “Disaster risk reduction is about choices”. It is the concept and practice of reducing disaster risks through systematic efforts to analyze and reduce the causal factors of disasters. Disaster risk reduction (DRR) is a systematic approach to identifying, assessing and reducing the risks of disaster. It aims to reduce socio-economic vulnerabilities to disaster as well as dealing with the environmental and other hazards that trigger them. Reducing exposure to hazards, lessening vulnerability of people and property, wise management of land and the environment, and
8 Business Research Journal – Volume XXIII improving preparedness and early warning for adverse events are all examples of disaster risk reduction. The most widely recognized types of disasters in the Philippines, aside fires and earthquakes, are related to extreme weather events like flash floods, floods and typhoons that occur regularly, and occasionally, tornadoes and droughts. Man-made or human-caused disasters may include industrial accidents (like toxic gas leaks, gas explosions and industrial fires), shootings, acts of terrorism, incidence of mass violence, stampedes, transport accidents and others. The researcher finds the statement of former United Nations Secretary-General, Ban Ki-moon (UNISDR, 2018) of great significance and relevance to all peoples of the world today, including the Filipino people, in general, and the Quezon City populace in particular. Ban Ki-moon said, “The more governments, UN agencies, organizations, businesses and civil society understand risk and vulnerability, the better equipped they will be to mitigate disasters when they strike and save more lives”. This is because right here in the Philippines, specifically, in Quezon City, Metro Manila, we are no strangers to natural and man-made disasters. How we prepare for disasters and adopt disaster risk reduction measures to mitigate disasters when they strike and save more lives, all depends on us. There are a considerable number of subdivisions, villages, and townhouses in Quezon City that has spawned the growth of residential establishments and migration of people from nearby cities as well as provinces. These large tracks of residential land have redefined the Comprehensive Land Use Plan of the city, and amidst this growth are issues and concerns confronting many subdivisions and villages in the city today. Most of which have claimed that road right of ways within the subdivision areas are strictly private and thus cannot be used as road right of way and diversionary routes to ease traffic congestion to the detriment of the road users in Quezon City. This study delves on the local government regulation on subdivision road construction for disaster risk reduction. It
Business Research Journal – Volume XXIII 9 covers the cases of the 2nd District; 5th District and 6th political districts of Quezon City. 1.1.2. Conceptual Framework The study focused on the relationship between Disaster Risk Reduction (DRR) and construction of subdivision roads. As pointed out by UNISDR (2015a), we need to manage risks, not just disasters. DRR is part of sustainable development, so it must involve every part of society, government, non-governmental organizations and the professional and private sector, such as the subdivisions of Quezon City. DRR requires a people-centered and multi-sector approach, building resilience to multiple, cascading and interacting hazards and creating a culture of prevention and resilience. Disaster Risk Management (DRM) includes strategies designed to: avoid the incidence of new risks; address pre- existing risks; and share and spread risk to prevent disaster losses being absorbed by other development outcomes and resulting to additional poverty. DRM includes disaster preparedness and response activities, as well as managing disasters. Relative to building resilience and enhancing capacity in times of disasters are issues concerning subdivisions in Quezon City. The numerous disagreements and continued closures of subdivision roads in the city can have dire consequences and repercussions to the city and residents of the subdivision during disasters. The problem of subdivision areas is a result of a myriad of problems being encountered simultaneously. The first salvo in treating this study is to identify the main root of the problem. As the statement of the problem presented four major issues that needs to be confronted: Construction materials of roads which will deal on the computation of the strength of concrete used, standard reinforcing bars to intensify the strength of concrete, asphalt overlay for smoother driving comfort, the base course to be laid and the study of existing sub-soil and dimension of sidewalks.
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Sewer line and drainage systems: this includes size of sewer line modifying the existing standard of 18 inches diameter to 24 inches. The dimension of the intervals of inlets and manholes will be studied together with the establishment of sewage treatment plants if necessary and individual septic tanks before being dislodged to natural bodies of water. Hence, the model was modified to suit the requirements of this study on disaster risk reduction. The conceptual framework for this study is shown in Figure 2.
Figure 2 Conceptual Framework of the Study
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Following this model, this study will look deeper into the subdivision practices on traffic management and problems of subdivision closure proliferation (i.e., manifested problem) by looking at its causes because this has major implications to disaster risk reduction measures for subdivisions in Quezon City and for our country as a whole.
1.2. Statement of the Problem There is a lack of viable comprehensive strategy to implement local government regulation on subdivision road construction, especially for disaster risk reduction. Further, the Local Government Units (LGUs) lack custom–fitted strategy for such implementation. It has been noted that due to inappropriate construction materials, inadequate gutter and drainage, the subdivision suffers from severe flooding due to clogged drainage and destroyed road furniture blocking roadways. In fact, there can be serious problems regarding blockage of roads during emergency especially once the “big one” impacts Quezon City. Several factors are mandated by Subdivision regulations that could effectively address the concerns of both the local government and homeowners/residents towards the impact of disasters. These include the scope of the LGUs’ regulation on road construction, sewer line/drainage, traffic, and road furniture. Some of the programs currently being implemented by LGUs partly focus on these factors. In order to resolve the above problem, the researcher seeks to answer the following questions: 1. What is the scope of government regulation on road construction for subdivisions in terms of? 1.1. Materials used for good quality and durability of roads; 1.2. Adequate maintenance program and regular inspection of its condition; 1.3. Gutters to insure adequate drainage;
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1.4. Construction of electric post and similar structure along the road to avoid accidents and hazards during disaster; and 1.5. Construction of sewerage according to standard to insure it is not a health hazard? 2. What trees should be planted along the road to stabilize the soil? 3. What is the requirement to adopt/establish interconnecting linkages among road construction of subdivisions to insure proper coordination in time of disaster? 4. What comprehensive strategy can be recommended in the study area in terms of: 4.1. LGU regulation on subdivision road/roadways construction; and 4.2. Adopting/establishing interconnecting linkages of adjoining subdivisions or Diversionary Routes Passing through Subdivisions. 1.3. Significance of the Study The Philippines, with Quezon City in particular, is no stranger to disaster. Disasters take place almost every year in this part of the world. It has been an experience that disastrous floods and landslides, due to typhoons or incessant rainfalls, are in this country. In addition, it seemingly is in tenterhooks due to the presence of the West Valley Fault and the Manila Trench, among other fault lines near the National Capital Region that could trigger 7.2 magnitude earthquakes. This shows the great significance of the study as its findings could provide the basis for policies, plans and programs to deal with disasters. Dealing with disaster is a social process that requires public support for planning initiatives and participation by a wide variety of responders, technical experts Business Research Journal – Volume XXIII 13 and citizens. Emergency and disaster planning involves a coordinated, co-operative process of preparing to match urgent needs with available resources. Disaster risk reduction planning and management extends from the local emergency response (the most fundamental level), through the regional tiers of government, to the national and even the international levels. Failure to plan can be construed as negligence because it would involve failing to anticipate needs that cannot be responded to adequately by improvisation during an emergency. It needs to be sustainable in the light of challenges posed by climate change, population growth, and imbalances of wealth. Although, at its most basic level, emergency planning is little more than codified common sense, the increasing complexity of modern disasters has required substantial professionalization of the field. This is especially true in light of the increasing role in emergency response of information and communications technology. Disaster planners and coordinators are resource managers, and in the future, they will need to cope with complex and sophisticated transfers of human and material resources. In a globalizing world that is subject to accelerating physical, social, and economic change, the challenge of managing emergencies well depends on effective planning and foresight, and the ability to connect disparate elements of the emergency response into coherent strategies. This makes this study of great importance to both the national and local governments alike, and not just the citizens of Quezon City, but as well as all Filipinos in this nation. 1.4. Research Methodology This chapter describes the research locale, research design, population sampling or respondents of the study, research instrument, and the statistical treatment of data. The study employed quantitative approaches in obtaining data for assessing the local government’s adoption of national regulations as guidelines in road construction for subdivisions relative to their enforcement of disaster risk reduction measures. 1.4.1. Research Design 14 Business Research Journal – Volume XXIII
The research design that was used for this study was a Cross-Sectional Survey Design. The research hopes to achieve the collection of information from a group of people in order to describe some characteristics such as abilities, opinions, attitudes, beliefs and/or knowledge. The main way this design is implemented is that information is collected through asking; the answers to these questions by the members of the group constitute the data of the study. 1.4.2. Research Locale The research selected the three districts, that is II, V, and VI, of Quezon City based on the concentration of residential subdivisions in these districts. Further, the barangays were selected consisting of residential subdivisions. See Figure 3 Study area imposed over map of Quezon City.
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Figure 3 Study area imposed over map of Quezon City
1.4.3. Population and Sampling Selective sampling was implemented wherein respondents are chosen based on their knowledge regarding the subdivision and affiliation with the Local City Government in order to better represent their respective subdivision. Thus, a prior screening was done by a short interview of these respondents.
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1.4.4. Respondents of the Study The researcher will make use of persons from whom he can secure information on the compliance of the subdivisions or villages of laws on construction of subdivision roads that will make the villages prepared for disaster risk reduction. Thus, the researcher who happens to be the Administrator of Subdivisions of Quezon City will be bringing together in one place for discussion subdivision stakeholders focused on the concerns of disaster risk reduction for Quezon City villages or subdivisions. The primary data that will be gathered through the Focus Group Discussion (FGD) will be done in two Subdivision Forums (focus group discussion) that are to be conducted in two batches. The First Batch is to participate in by 168 stakeholders representing One Hundred Twenty-Four (124) villages/ or subdivisions in Twenty-one (21) barangays in Quezon City. The Second Batch of FGD is to be attended by ONE HUNDRED TWENTY-NINE (129) participants representing Ninety-Two (92) of the One Hundred Seventy (170) villages and subdivisions will attend the second batch. Thus, the inputs of the study will be gathered through the FGDs and KII. These two sources of data will be used to get the stakeholders’ views relative to the Quezon City’s preparedness in disaster risk reduction, based on their adoption of standard subdivision road construction and compliance to subdivision policies, rules and regulations; compliance to local city ordinances and national laws that could reduce their vulnerabilities and make them resilient to disasters. The parties involved in this issue are the Homeowners Association (HOA), the subdivision lot owners, and the public road users in general were interviewed so that their opinions and firsthand experiences will be used in the output of this study. Key government personnel were included in the subdivision forum, where they were able to present programs and policies of the local government as far as subdivision regulations and ancillary services are concerned. The participants also had their time to question and present solutions and recommendations to
Business Research Journal – Volume XXIII 17 the pressing problems they are experiencing in their respective area of concern. The participating stakeholders in the FGD will come from 492 Subdivisions in the three political districts of Quezon City in shown in Table 2, Table 3, Table 4 and Table 5.
Table 2 District I participating stakeholders Barangay No. of Subd. / Villages & Compounds Bahay Toro 29 Vasra 1 West Triangle 3 Veterans 2 Sto. Cristo 1 Sta. Cruz 1 Phil-Am 1 Talayan 1 Damar 1 Ramon Magsaysay 1 Total 40
Table 3 District II, V, and VI participating stakeholders Barangay No. of Subd. / Villages & Compounds Talipapa 16 Gulod 6 San Bartolome 25 Balon-Bato 5 Apolonio Samson 4 Sangandaan 5 Sauyo 20 Baesa 23 Pasong Tamo 43 Novaliches Proper 5 San Agustin 14 Sta. Monica 11 Kaligayahan 21 Lagro 3 Sta. Lucia 15
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Barangay No. of Subd. / Villages & Compounds Fairview 21 North Fairview 7 Nagkaisang Nayon 22 Pasong Putik 9 Culiat 37 Holy Spirit 12 Batasan Hills 16 Payatas 3 Commonwealth 13 Bagong Silangan 5 Tandang Sora 64 Bagbag 12 New Era 2 Total 436
Table 4 District III participating stakeholders Barangay No. of Subd. / Villages & Compounds Tandang Balara 25 White Plains 1 Pansol 2 Loyola Heights 5 Ugong Norte 7 Blue Ridge A 1 Blue Ridge B 1 Bagumbayan 1 St. Ignatius Village 1 Total 44 Table 5 District IV participating stakeholders Barangay No. of Subd. / Villages & Compounds Doña Imelda 1 Santol 1 Damayang Lagi 1 Sikatuna 1 Horseshoe 1
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Barangay No. of Subd. / Villages & Compounds Teachers Village East 1 Teachers Village West 1 U.P. Village 1 Tatalon 1 Botocan 1 Kalusugan 2 Kristong Hari 1 Total 14
1.4.5. Research Instrument The survey instrument was designed to include close- ended questions and Likert-scale was used to determine the intensity of the responses. There were five parts in the instrument. There were five parts in the instrument. The first part was all about the Socio-Demographic Profile of the Respondents. Data from this part would be used to form a basic knowledge about the respondents their characteristics. The second part of the instrument was the assessment of the subdivision roads in terms of geo-hazards. The third part of the instrument was the assessment of the local government’s adoption of the national government’s regulations on the construction of subdivision roads. The fourth part of the instrument was the local government’s actions towards risk reduction. Finally, the last part was an overall assessment of the local government’s compliance to national standards on road building and their enforcement of disaster risk reduction measures. The items that were included in the instrument has undergone content validation with the help of Disaster Risk Reduction and Management (DRRM) and engineering experts. 1.4.6. Statistical Treatment of Data The researcher will present categorized data that he will consequently analyze and interpret data that he will gather from the FGD participated in by the stakeholders, according to the problems posed in this investigation. He will relate his analysis
20 Business Research Journal – Volume XXIII and interpretation of his findings to results of previous studies that are similar or of relevance to his own investigation on the need for villages or subdivisions to comply with laws, rules and regulations on development and road construction for effective and efficient disaster risk reduction management. 1.5. Presentation and Analysis of Data This section presents the results that were taken from the survey that was conducted last April 22, 2019, at selected subdivisions from the different barangays in Quezon City. Out 65 questionnaires that were distributed, 59 were returned, thus a Response Rate of 90% was achieved for the study. Results showed that the sample respondents were mostly represented by Male individuals (Mdn = 1; SD = .491) who is not more than 39 years old (M = 38.95; SD = 14.915). These individuals are mostly employed in the Public Sector (Mdn = 2; SD = .546). Their Educational Attainment profile fall mostly on the ones who completed their college degrees and those who pursued some graduate studies’ courses (M = 5.82; SD = 1.441). These findings tell us that the study’s main theme falls within the respondents’ understanding which would probably guarantee a high level of credibility. When asked about how high a flood would reach should it happen in their subdivisions, most of them either Agree or Strongly Agreed that it would be ankle-high or ankle-deep (Mdn = 4; SD = 1.536). Some also suggested that should floods be experienced in their respective areas, it would be no higher than their waists, as seen in Figure 4. These findings tell us a lot about the current state of the roads in different subdivisions. A flood that is ankle-deep during the rain tells us that roads and its canals are in good condition. It could be attributed to the efforts of both the local government and the subdivision’s homeowners in keeping their roads clean and free from any obstruction that might cause serious flooding. However, one outlier that can be noted is the flood that was experienced that was above-the-head- deep. This is probably referenced to Typhoon Ondoy when it brought heavy rains in Metro Manila.
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Figure 4 Flooding Vulnerability of Roads in Subdivision with Emphasis on Depth as Perceived by the Residents
When the respondents were asked if the condition was the same with the roads that link or lead to other roads in another subdivision, the result was almost the same. Most of the respondents either Agree or Strongly Agree that the roads that lead or link to other roads in another subdivision suffer floods that are ankle-deep or ankle-high but are no higher than the human knee as seen in Figure 5. These findings tell us that both local governments and the homeowners of respective subdivision’s consciousness in trying to make their roads and canals as clear as possible should rains come pouring in. However, similar to the earlier result, it could also be noted that some experienced floods that were above-the-head deep as seen in Figure 5. This could probably be the case when Typhoon Ondoy brought heavy rains that caused massive flooding not only in Quezon City but in many parts of Metro Manila.
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Figure 5 Flooding Vulnerability of Roads Leading to Other Roads in Another Subdivision with Emphasis on Depth as Perceived by the Residents
When it comes to the roads’ susceptibility to various hazards, including the ones that link them to other roads in other subdivisions, most of the respondents feel that their roads and the ones that link or lead them to other roads in other subdivisions are not really that vulnerable to different hazards that may occur in the coming years as visualized in Figure 6. Most notable were their perceptions on landslides and soil erosion. Majority of them “Strongly Disagreed” that both hazards would most likely cause total or partial destruction. This is understandable since no incident of such has ever been recorded in their respective subdivisions. This could also be attributed to the fact that the roads that were built followed specific regulations on road construction, enough to make it safe and roadworthy. However, when it comes to considering earthquakes as hazards, the agreement and non-agreement of roads being totally of partially destroyed were virtually equally distributed. The same could also be said to their perception of accessibility. This could indicate the respondents’ reservations since an earthquake of a devastating magnitude has yet to occur in their areas.
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Figure 6 Road Susceptibility to Hazards as Perceived by the Subdivision Residents
On matters of assessing the local government’s adoption of national laws and regulations on road construction, majority of the respondents still Agree that the local government followed most of the regulations Figure 7. This is evident on matters regarding the construction of Electrical Posts where the respondents “Agreed” that its construction was adequate. The same result was manifested about Gutters. A great deal of the respondents “Agreed” that it was constructed to insure adequate drainage. Furthermore, most of the respondents also “Agreed” that the construction of Directional Signs was acceptable. However, it could also be noted that many of the respondents feel that Emergency Road Signs were not enough. On the other hand, it is also worth noting that many of the respondents feel indifferent on matters where the local government regularly maintains and monitors the roads in their subdivisions. This apathetic behaviour towards government efforts may have resulted from their non-exposure to how roads are really maintained and monitored.
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Figure 7 Assessment of the Local Government’s Adoption of Laws and Regulations in Road Construction as Perceived by Subdivision Residents
On matters where respondents were asked on how they feel about the local government’s efforts over the past five years in disaster risk reduction, Figure 8 shows that many of them feel satisfied about it, three areas where residents mostly Agreed that local government was doing its Disaster Risk Reduction tasks. Thirty-seven percent of the total respondents “Agreed” that the local government prepared quick response teams in their areas for natural calamities while 42% of them “Agreed” that the local government has identified evacuation areas that are accessible to all residents during times of calamity. Lastly, a majority of the respondents – 39%, “Agreed” that the local government has provided the residents easy access to its resources if and when disaster strikes. See Figure 8 for details.
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Figure 8 Local Government’s Actions towards Disaster Risk Reduction as Perceived by Subdivision Residents
Finally, when the respondents were asked about their overall assessment of the local government’s efforts in constructing safe roads relative to their efforts towards Disaster Risk Reduction, majority of the respondents responded affirmatively (See Figure 9). Results showed that 74.6% of the total respondents Agreed that the roads in their subdivisions are roadworthy. Added to that, 78% also “Agreed” that the roads in their subdivision are accessible while 72% said Yes when asked if the roads in their subdivisions are safe.
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Figure 9 Overall Assessment of Safe Road Construction Relative to Disaster Risk Reduction as Perceived by Subdivision Residents.
When asked if the local government has followed national guidelines and regulations in the creation of the roads in their subdivisions, 76% said Yes. Added to that, almost 73% said Yes when asked if the local government’s guidelines in Disaster Risk Reduction are being enforced. These results show how much confidence the residents put in their local government on matters of safety in infrastructures and disaster prevention as an embedded guideline in the completion of noteworthy projects such as subdivision roads. 1.6. Conclusions and Recommendations 1.6.1. Summary In the researcher’s attempt to come up with a comprehensive strategy suited to improve subdivision roads that are resilient to natural calamities and that are safe and operational once disaster strikes, a study was conducted to find out if these roads are compliant to national guidelines and standards as perceived by the respondents coming from different barangays of Quezon City. In this regard, the researcher attempted to answer the following questions:
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1. What is the scope of government regulation on road construction for subdivisions in terms of?
1.1. Materials used for good quality and durability of roads;
1.2. Adequate maintenance program and regular inspection of its condition;
1.3. Gutters to insure adequate drainage;
1.4. Construction of electric post and similar structure along the road to avoid accidents and hazards during disaster; and
1.5. Construction of sewerage according to standard to insure it is not a health hazard.
2. What trees should be planted along the road to stabilize the soil?
3. What is the requirement to adopt/establish interconnecting linkages among road construction of subdivisions to insure proper coordination in time of disaster?
4. What comprehensive strategy can be recommended in the study area in terms of:
4.1. LGU regulation on subdivision road/ roadways construction; and
4.2. Adopting/establishing interconnecting linkages of adjoining subdivisions or Diversionary Routes Passing through Subdivisions
The study involved 59 subdivision residents currently working with the Local Government. They have expertise in understanding the conditions of their respective subdivisions from the selected barangays in Quezon City. The gathered data
28 Business Research Journal – Volume XXIII was subjected to a series of statistical tests and analysis. The results of which were as follows: Majority of the respondents were Male individuals who were on the average age of 39 years old. Further, they have completed their College degrees while some pursued graduate studies. In addition, majority of the respondents agree that floods occur on the roads of their respective subdivisions and also lead to other subdivisions as well. However, once floods happen it will only be ankle-deep for both roads. Moreover, these respondents feel that their roads are not really susceptible to hazards that may be brought by typhoons, floods, earthquakes, erosion, sinkholes, and/or landslides. However, the respondents were equally divided on matters of the roads’ vulnerability to destruction when an earthquake will strike. The same was also true when asked if their roads and the roads that lead to other subdivisions will be accessible in the event of a natural calamity. In the assessment of the roads if construction has followed national laws, policies, and guidelines, many of the respondents agreed that the local government has adopted the laws and guidelines well for their roads to be as safe as possible and serviceable whenever disaster occurs. But despite the agreement of most of the respondents, there were still some who were either apathetic to the efforts of the local government or were unconvinced that the roads were of high standards and quality. On matters of implementing disaster risk reduction, it was observed that there was a general feeling of agreement on this aspect. The above discussion revealed that majority of the respondents feel that they have safe, accessible, and quality roads that are ready in times of disaster. Furthermore, they generally feel that the local government has adopted national laws and standards in the construction of their subdivision roads and has enforced disaster risk reduction measures for road safety. To find out if there is a significant difference in the respondent’s perception of how the local government has adopted national laws and guidelines in subdivision road construction between those who agreed that the local government has enforced disaster risk reduction measures and
Business Research Journal – Volume XXIII 29 those who did not agree, a Mann-Whitney U Test was conducted. Results showed that, generally, there were no significant differences in the cases for road construction that were presented to the respondents except for three distinct cases namely:
• Electric posts were adequately constructed along all the roads in their subdivisions.
• Directional road signs were adequately constructed along all the roads in their subdivisions.
• Emergency road signs were adequately constructed along all the roads in their subdivisions. The study revealed that those who agreed or did not agree with the statement that the local government enforces disaster risk reduction measures brought Electric posts, Directional and Emergency Road signs as the primary reason why they were convinced that the local government was satisfactory or was unsatisfactory of implementing disaster risk reduction measures relative to adoption of laws and policies on subdivision road construction. 1.6.2. Conclusions It is therefore concluded that: 1. There is a lack of Comprehensive Strategy (CS) for the Local Government of Quezon City that can be implemented in order to resolve the identified issues such as those found regarding electric, directional road signs, and construction of emergency road signs, among others. 2. Subdivision residents in each barangay, aside from the usual negative remarks, assessed their subdivision roads as worthy, safe, and accessible. With the perennial occurrence of floods that are only ankle- deep, most of the residents still consider their subdivision roads quality roads that are noteworthy.
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3. Subdivision residents in each barangay have evaluated their subdivision roads as compliant to national laws, policies, guidelines, and standards. With a few exceptions that were regarded as tolerable but nonetheless, needs immediate attention. 4. Subdivision residents in each barangay feel that the local government has implemented its disaster risk reduction measures in almost every aspect of safety that is needed. 5. The local government needs to make sure that each subdivision road and those that lead to other roads would have enough electrical posts for adequate lighting. It also needs to put up more Directional and Emergency signs not just for commuters but for pedestrians as well, especially in times of emergencies brought by natural calamities and man-made disasters.
1.6.3. Recommendations After having completed this study, the researcher recommends the following recommendations to specific stakeholders: 1.6.3.1. Comprehensive Strategy (CS) for Local Government of Quezon City (i.e., City Engineering Office, City Planning and Development Office, Local Disaster Risk Reduction Management Office, and Homeowners Association): 1. Address the immediate needs of every subdivision road and those that link to other roads. a. Planting of trees along the roads b. Clean-up of sewers and drainages. Removal of possible obstruction to water flow. c. Assign personnel to regularly monitor subdivision roads’ status.
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2. Among the long-term needs that would need to be addressed are: a. Effective and efficient urban planning and development focused on road linkages that would address not just smooth traffic flow but quick evacuation flow and disaster response flow. b. Construction of more sewers and drainages, if not, improvement of sewers and drainages by either widening or deepening them to minimize or eliminate the flooding in all subdivisions. c. Placements of electrical posts in strategic areas where adequate lighting is needed and safe access to electricity is possible. Improve the condition of electrical posts to make sure that posts would not become hazards. Coordinate with the electric servicing institution to make sure that electrical transformers and live wires would be out of harm’s way should disaster strike. d. Placement of directional signage wherever possible to assure the residents of safe travel whenever inside the subdivision. Readable and visible street signs should also be allocated to avoid confusion, thus, making traffic run smoothly whenever one is inside the subdivision. This would also enable emergency responders to get to the disaster-stricken area in the shortest amount of time possible. e. Placement of emergency road signs most especially in places where evacuation is assigned or where disaster or accidents frequently or are most likely to occur. Emergency road signs will help the residents of the subdivisions run a smooth course towards an evacuation site or where emergency relief can be delivered at the soonest possible time. f. Assignment of a Quality Officer to make sure that the roads follow standards in terms of materials and processes. Individuals who monitor road conditions to report any damage, should also be strengthened and empowered.
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g. Effective awareness drives for both local development and disaster risk reduction programs. Responses of Neither Agree nor Disagree might be attributed to the resident’s lack of awareness towards the said programs. An active and proliferate information campaign is not just intended to promote awareness but also to encourage dynamic and constructive assessment and evaluation processes from the subdivision residents. 1.6.3.2. Recommendations for Residents of each subdivision in Quezon City Residents of subdivisions in Quezon City need to take a proactive stance in road maintenance and monitoring. Results from this study found out that there are many who take a passive behaviour on the efforts of the local government in trying to improve the condition of their roads. This behavior of indifference was not just confined to Quezon City’s improvement programs but were also reflected in the enforcement of disaster risk reduction measures. Although responses of Neither Agree nor Disagree do not necessarily correspond to an apathetic behavior, still, efforts that were made would be really hard to dismiss. They need to understand that a government’s efficiency and effectiveness relies heavily on the active participation of its constituents. 1.6.3.3. Recommendations for Future researchers This study did not include certain data that would have helped to improve this study. Certain data such as amount of rainfall a subdivision or a particular area has experienced, the flood depth that was actually experienced in the particular area, the frequency of flood occurrence within a particular period, and other similar data would have helped to predict certain flood events. This prediction would be substantial to create a model for future decision-making purposes relative to policy making processes. Such a research would prove useful for the local government and the subdivision residents. It would also be beneficial if a research on the effects of the abovementioned improvements on the subdivision residents was to be conducted.
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In that way, the study would also be used as an assessment of the projects that were completed. Finally, to answer the intrigue behind the meaning of the response Neither Agree nor Disagree, a research regarding this topic should be conducted. This is to find out if residents were just unaware of programs or just simply chose to be indifferent and become non-participative about the government’s programs of development.
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References
United Nations Office for Disaster Risk Reduction. (2018). What is Disaster Risk Reduction? Retrieved from https://www.unisdr.org/who-we-are/what-is-drr
United Nations Office for Disaster Risk Reduction. (2014). Rationale for a post-2015 framework for disaster risk reduction - Evidence from the Global Assessment Report 2009, 2011 and 2013. Retrieved from https://www.preventionweb.net/files/38421_garforhfa2final.pdf
UNISDR (United Nations International Strategy for Disaster Reduction), 2015a. Global Assessment Report on Disaster Risk Reduction 2015.
United Nations (2013). Global Assessment Report on Disaster Risk Reduction (GAR 2013). Retrieved from http://unisdr.org/s/6twtm
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Dissertation
Title: An Evaluation of Existing Fish Marketing Practices and Distribution in Navotas Fishing Port and Selected Fish Markets in Metro Manila: An Innovative Marketing Model
Author: Remigio G. Tiambeng Degree: Doctor in Business Administration School Year: AY 2018-2019
Adviser: Dr. Eduardo G. Ong
1.7. Introduction Li Keqiang, the Premier of the State Council of the Republic of China, once said “Changes call for innovation, and innovation leads to progress.” Likewise, according to William Pollard, a professor of physics at the University of Tennessee in 1936, “Without change, there is no innovation, creativity, or incentive for improvement; and those who initiate change will have an opportunity to manage the change that is inevitable.” The world of marketing has already changed its direction due to innovation; In view thereof, the researcher undertook a study about innovating the marketing practices and the distribution channels in Navotas Fish Port and Fish Market as well as other fish marketplaces in Metro Manila by offering an innovative marketing model as a proposed output of this research study. As an overview, scarcity and shortages of economic resources viz-a-viz population explosion are basically the root of all economic problems that the Filipino people have been experiencing and this may eventually affect price stability, economic growth, the supply of Filipino staple foods, especially fish and other fish products, employment opportunities, the allocation/distribution and utilization of resources, and even the laboring class’ income and its purchasing power. Hence, all of 36 Business Research Journal – Volume XXIII the above-mentioned problems/challenges shall be properly addressed and eventually analyzed in this study. As such, the existing fish marketing practices in Navotas Fish Port and Fish Market (NFPFM) and its channels of distribution must be reviewed, assessed, and evaluated to align and realign to the needs of the producing and consuming units of society. One of the crucial problems facing the Philippines today, apart from the need for increased food production, is the proper distribution of fresh fish and other fishery products to be able to meet the current and future demands of the country's fast- growing population. In fact, The Senate Committee on Agriculture warned against the possible food shortage in the Philippines in 2016 due to farmers and fishermen migrating to Metro Manila to find more lucrative jobs. Expectedly, the consumption of food will exceed the total annual supply from domestic sources. Filipinos are generally rice- and fish-eating people. Notwithstanding the fact that in terms of per capita consumption, Filipinos eat food at a rate below the standard nutritional requirement.
Based on the study conducted by Lamarca (2017), in the year 2017, the Philippines had a population of about 103 million, and mean per capita consumption of fish and fishery products of 40 kg/year or 109 grams/day with the percentage of fish and fishery products intake to the total intake at 12.8%. In 2015, the fishing industry contributed 1.5% and 1.7% at current and constant prices, respectively, to the country’s gross domestic products (GDP) with the fisheries sector providing employment to over 1.6 million people, 85% of whom were from the municipal fisheries and 1% from commercial fisheries, while the aquaculture sector employed 14%. See Table 6, Table 7 and
Table 8 showing Philippines population based on Worldometers 2018 United Nation estimates, Philippines and world population comparative analysis and Philippines and world population forecast respectively. Thomas Robert Malthus, an English cleric and scholar, published this theory in his 1798 writings, An Essay on the Principle of Population, He said that population growth will
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always tend to outrun the food supply and that betterment of humankind is impossible without stern limit on reproduction. From this, we can conclude that populations will grow faster than the supply of food; hence, this will lead to a shortage of food. This Malthusian theory has become prophetic as it is happening at present when the demand for sea foods particularly fish products grow exponentially, while the supply for it only increases arithmetically. In view thereof, prices of fish products will increase inevitably, and this might have been due to market forces, population explosion, and inflationary effects such as demand-pull inflation, cost push inflation, or even monetary inflation.
Table 6 Philippines Population Based on Worldometers 2018 United Nation Estimates Philippines Population as of October, 2018 The current population of the 107,024,573 as of October 2018 Philippines The Philippines population is 1.4% of the total world population equivalent to 13 in the list of countries (and The Philippines ranks number dependencies) by population The population density in the 357 per Km2 (925 people per mi2) Philippines The total land area 298,170 Km2 (115,124 sq. miles) 44.4 % = (47,278,672 people in Urban Population 2018) The median age in the 24.3 years Philippines
Table 7 Philippines and World Population Comparative Analysis Population of the Philippines (2018 and Historical) Philippines Yearly Urban World Year Population Global Change Population Population Rank 2018 107,024,573 2,106483 47,278,672 7,632,819,325 13 2017 104,918,090 1,597,868 46,543,718 7,550,262,101 13 2016 103,320,222 1,603,863 45,842,660 7,466,964,280 12 2015 101,716,359 1,597,947 45,172,676 7,383,008,820 12 2010 93,726,624 1,490,477 42,288,282 6,958,169,159 12
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Population of the Philippines (2018 and Historical) 2005 86,274,237 1,656,534 39,994,963 6,542,159,383 12 2000 77,991,569 1,631,171 37,237,828 6,145,006,989 14
Table 8 Philippines and World Population Forecast Philippines Population Forecast Philippines Yearly Urban World Year Population Global Change Population Population Rank 2020 109,703,396 1,597,407 48,864,640 7,795,482,309 13 2025 117,664,680 1,592,257 53,548,349 8,185,613,757 13 2030 125,372,282 1,541,520 59,220,239 8,551,198,644 12 2035 132,667,616 1,459,067 65,934,168 8,892,701,940 13 2040 139,447,689 1,356,015 73,335,400 9,210,337,004 12 2045 145,664,722 1,243,407 80,844,691 9,504,209,572 12 2050 151,293,435 1,125,743 88,380,848 9,771,822,753 13 Source: Department of Economic and Social Affairs, Population Division World Population Prospects: The 2017 Revision With this bigger population, it is imperative for the Philippines, being known as one of the less developed countries in Asia, where malnutrition is a common problem, to develop, allocate, and utilize efficiently its fishery resources, its productivity, its marketing practices, and its distribution process, and to have it accessible to everyone, at the right price, at the right place, at the right quantity and at the right time people need it. This increasing population has added to the Filipinos’ woes on the scarcity and high cost of fish products that had led to the reduction in average fish consumption. This is where the demand and supply gap occur. The demand and supply gap creates disequilibrium where the demand for fish products at a particular price is not equal to the supply of fish products at that price. It is important, therefore, to regulate the gap in order to minimize at least its impact on the marketplace where sellers and buyers of fish products are being transacted. Hence, it is likewise important to identify various factors that may affect the demand, supply, and price of fish products as they are being transported from producers to ultimate consumers.
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At this point, fish marketing practices and the channels of distribution must be reviewed, studied, and evaluated to find out the 5Ws and 1H of the problems and ultimately map out the process for further improvement. According to Kohls and Uhl (1985), “Marketing is the performance of all business activities involved in the flow of goods and services from the point of initial production until they are in the hands of the ultimate consumer.” During this entire process, the commodity moves from one hand to another and also from one place to another. But all these actions and events take place in some sequence, which is known as marketing process. Therefore, it provides the channel of communication between the producers and consumers which passes through a number of intermediaries: namely, from fish producers/operators to fish traders/middlemen also called fish brokers, buyers and sellers, wholesalers, retailers, to the ultimate consumers in the markets which can possibly cause the gap. In view of the aforementioned statements, the researcher undertook a comprehensive and consolidated fish marketing study and evaluation for efficient marketing practices and distributions in Navotas Fishing Port and Fish Markets in Metro Manila with the objective of coming up with an innovative marketing model. It is, in fact, an attempt to fill the recurring need for common directions in the field of research, planning, and implementation efforts of various government and private organizations engaged in fish marketing and distributions. As such, it is the objective of the researcher to dig deeper, scrutinize, and evaluate the very important issues that need to be resolved in the existing fish marketing practices and the channels of distribution in NFPFMs in Metro Manila as it concerns the entire consuming unit as well as the producing unit of the society. The final result of this research shall be the basis in the formulation of an innovative marketing model. Specifically, the focal point of this study shall be focused on the following variables: namely, Navotas Fishing Port and selected fish markets in Metro Manila, such as Malabon Central Market (Malabon City), Pritil Public Market (Manila City), Farmers
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Market (Quezon City), May Pajo Public Market (Caloocan City), and Las Piñas Public Market (Las Piñas City). 1.7.1. Background of the Study Market is composed of people or organizations that have the need, the ability, the willingness, and the authority to pay for their purchase. Navotas Fish Port and its markets are equally important. Satisfying one without satisfying the other is not marketing because the very essence of marketing is to provide maximum and optimum satisfaction to the consuming public. According to Josiah Go (2017), marketer should always consider the strengths and weaknesses of his company in serving the needs and wants of their market. Marketers should have a balance between the company’s requirements for profit and desired market share. Josiah Go also added that the market is composed of two (2) other interacting components: Customers and Competition. Customers, who may either be trade intermediaries (like wholesalers and retailers) or end consumers, are people or organizations buying from you; while competitors are those with products that can offer similar benefits to the customers. This means that companies must primarily know the problems of the customers, and then provide a solution while being profitably superior to their competition. 1.7.1.1. Geographical Location of Navotas City and Navotas Fish Port Complex The City of Navotas is a first-class city in Metro Manila, Philippines. Dubbed as the "Fishing Capital of the Philippines," Navotas is considered to be a very important fishing community, with 70% of its population deriving their livelihood directly or indirectly from fishing and its related industries. Navotas occupies a portion of Metropolitan Manila bound in the west with shoreline of Manila Bay, which is a strategic coastal front and suitable for all kinds of vessels. Navotas is part of the informal sub-region of Metro Manila called CAMANAVA. This sub-region, aside from Navotas, includes the cities of Caloocan,
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Malabon, and Valenzuela. Navotas Fish Port Complex Map is shown in Figure 10.
Figure 10 Navotas Fish Port Complex Map
Navotas Fishing Port Complex (NFPC) The Navotas Fish Port Complex (NFPC), the premier fish center of the Philippines and one of the largest in Asia, is the first major fishing port and fish market complex placed under the jurisdiction, control and supervision of the Philippine Fisheries Development Authority (PFDA). It is a traditional landing place of commercial fishing boats operating in various fishing grounds in the Philippines. The construction of the Port Complex spanned 42 Business Research Journal – Volume XXIII three years from August 1973 to August 1976 through a Php 88 Million loan from the Asian Development Bank (ADB). It supplies fish and other aquatic products to major markets in Metro Manila. The fish port is a business center with markets, ice plants and cold storage, fish processing facilities, canneries, shipbuilding and ship repair facilities, restaurants, fuel depot, gasoline stations and other facilities necessary for the fishery sector. Thousands of buyers visit the port daily where an estimated 15 commercial fishing vessels call port and unload a total volume of about 300 tons. Overland vehicles from different provinces also bring in additional volume of 50 tons. NFPC is one of the largest fish trading centers in Asia and a major fish supplier to Metro Manila. Manila Bay provides Navotas with a bountiful source of fish and other marine products, which constitute the basic diet of the town's residents. Navotas, home to low marginal fisherman, and big-time trawlers, own the most modern sophisticated fishing boats dominating the fishing ground of the country today. Marketing of the catch is done in a modern market complex known as Navotas Fishery Port, premiere fish center of the Philippines with an area of 47.5 hectares and one of the largest in Asia under the supervision of PFDA (Philippine Fisheries Development Authority). Within the complex is a thriving fishing industry, supplying fish to major markets of Metro Manila. Outside the complex is a business center with banks, markets, restaurants, and recreational facilities. NFPC Location Located at the heart of Navotas in the Northeastern section of Manila Bay, NFPC can be reached directly from the Rizal Park via the Roxas Boulevard Extension (R-10) which will eventually be extended to Bataan. The circumferential road (C-3) coming from Sampaloc, Manila and passing through Caloocan City ends directly in front of the main exit gate of the fish port. NFPC, in fact, is centrally located within a five-kilometer radius of the cities of Manila, Quezon, Caloocan, Navotas and
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Malabon. It is only 10 minutes away from Divisoria, the country's premier bargain center. Creation of PFDA The Philippine fishing industry was experiencing an annual production growth rate of 5.5% on the national level prior to the creation of PFDA. This accomplishment, however, spawned marketing problems due to inadequate fish marketing infrastructure, poor fish handling practices, chaotic system of distribution, and limited post-harvest processing technology. Immense losses from spoilage, fish quality deterioration, slow rate of fish dispatch, and price instability had been the results of these problems. Thus, Presidential Decree 977, creating the Philippine Fish Marketing Authority (PFMA), was promulgated on August 11, 1976 to address and provide solutions to the fishing industry's post-harvest problems. Because of the need to pursue the national economic development with renewed dedication and greater determination, Executive Order No. 772 was issued on February 8, 1982 to amend P.D. 977. By virtue of this Executive Order, the PFMA was renamed as Philippine Fisheries Development Authority (PFDA) with expanded functions and powers and revised constitution of the Board of Directors. Vision of the Philippine Fisheries Development Authority “By 2020 PFDA should have achieved effective and sustainable post-harvest facilities and infrastructure, contributing to enhanced competitiveness in the fisheries sector.” (PFDA) Mission of the Philippine Fisheries Development Authority “We, in the Philippine Fisheries Development Authority, shall strive to:
• Establish, operate and maintain strategic and globally competitive fishery post-harvest infrastructures and facilities, as well as provide market information and related services.
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• Conduct our operations prudently, providing viability and financial growth to assure continuous improvement of port facilities and delivery of service.
• Satisfy our stakeholders' business needs with timely and quality service.
• Work as a team with skill and dedication, in an environment that ensures growth opportunities.” (PFDA)
Mandate of the Philippine Fisheries Development Authority “A government owned and controlled corporation attached to the Department of Agriculture, created to promote the development of the fishing industry through the provision of post-harvest infrastructure facilities and essential services that improve efficiency in the handling and distribution of fish and fishery products and enhance their quality.” (PFDA) Corporate Objectives The Philippine Fisheries Development Authority endeavors to achieve these objectives:
• “Promote the development of the fisheries industry and improve efficiency in the handling and distribution of fish and fishery/aquatic products through the establishment and operation of fish ports, fish markets, and other post-harvest facilities; and. • Provide essential fisheries-related post-harvest services that would improve the quality of fish products that could compete in the global market.” (PFDA) Performance Pledge “We, the officers and staff of the Philippine Fisheries Development Authority, commit to:
• Provide your prompt and efficient service from Mondays to Fridays starting at 8:00 a.m. to 5:00 p.m. at our
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Central Office and 24 hours a day, 7 days a week at our Regional Offices. • Field in qualified and authorized personnel to attend to your requests even during lunch and snack time. • Deal with your complaints, comments and suggestions expeditiously and make available corresponding remedies if necessary. • Abide by the rules, regulations and service standards, with proper explanations for any delinquency in frontline services.” (PFDA) 1.7.1.2. The Existing Marketing Practices in Navotas Fishing Port and Distribution Channels to Fish Markets in Metro Manila Fish marketing in Metro Manila is largely controlled by the private sector. Three to four intermediaries operate between producer and final consumer. To describe, fish products reach Metro Manila consumers through a multi-level system, which may involve at least three to four transactions before fish or fishery product is purchased by a consumer in a public fish market, or supermarket. The channels of distribution, a long chain of traders/middlemen, usually distinguishes the fish products distribution chain in Metro Manila, starting from Navotas Fish Port Complex to the final consumers. The Fishing Corporations are primarily engaged in commercial or deep-sea fishing. Their operations are usually within the waters of Palawan, Negros, Masbate, Panay, Zamboanga, and Jolo, depending upon the season and abundance of fish. Majority of fish catch are marketed in NFPFM in Navotas City. NFPFM is considered as the largest fishing port in the Philippines. In fact, it accounts for 60% of the total catch in the country at any given time and supplies 70% of Metro manila’s fish needs. The fish trading or selling of fish in the said area is done by bidding through “bulungan system”. Bulungan (literally means whispering) is participated in by fish brokers and buyers. 46 Business Research Journal – Volume XXIII
Here, the brokers act as middlemen between the producers and the wholesale buyers. Each broker is assigned a specific area of the hall where he displays his “fish tubs or Banyeras” and conducts business on behalf of the fishing boat operators. At the NFPFM, fish trading through bulungan has evolved into an art in itself. First, the buyer whispers his bid to the broker who in turn, evaluates the bids and settles the sale of fish with the highest bidder. The winning bidder then proceeds to divest of the fish to smaller buyers. A fish broker usually receives a commission ranging from 5-7% of the gross sales for their effort in transacting the deal. By the way, the fish market does not cater exclusively to wholesale-buyer. Local transport to the retail markets, either from the place of landing or from a wholesale market in the same area, is usually done by truck, jeepney, or motor cycle, or is mostly undertaken by the retailer who picks up the fish, or by wholesaler who takes care of the distribution. 1.7.1.3. Metro Manila’s Retail Fish Market Metro Manila’s urban area has multiple central markets with a variety of retail establishments offering live, fresh, or chilled fish and fish products to consumers (See Figure 11). The range of buying options include public retail markets, and supermarkets which offer a wide selection of live, fresh, chilled, or frozen fish. Public markets currently hold a significant share of the retail trade of live, fresh, chilled, or frozen fish and fishery products. Supermarket chains are currently handling a less significant portion of the retail market share for chilled, frozen, or cured fish products.
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Figure 11 Daily Scenario - Hundreds of fish-filled banyeras being auctioned by a fish broker at the Navotas Fish Port Complex in Manila, where an estimated 800 tons of fish and invertebrates are traded and sold daily
On the other hand, seasonal variations in supplies and prices of fresh fish are currently affecting demand for fresh, chilled fish and substitute products. At the retail level, the main substitute product to fresh fish is dressed chicken, followed by pork. When prices of fresh, chilled, or frozen fish and other fish products increase, a consumer may shift to dressed chicken, pork, or to other low-cost species like canned sardines. 1.7.2. The Fish Marketing System The marketing system and distribution of sea food or fresh fish may be divided according to the fisheries it serves: 1. Commercial fisheries or deep-sea fishing, 2. Municipal fisheries or sustenance fishing, and 3. Fish culture or fishpond/pen production. The distinction between commercial and municipal fisheries is an administrative basis as all vessels over three tons
48 Business Research Journal – Volume XXIII are licensed by the BFAR, while those under three tons are licensed by the Municipal Councils. Figure 9 illustrates the fish distribution patterns in Navotas Fish Port and Fish Market.
Figure 12 The fish distribution patterns in Navotas Fish Port and Fish Market The objective of the marketing system is to attain a reasonable balance between the supply and demand of a product through the price mechanism. As used in the study, the concept of market is that of a sphere of economic activity where the forces of demand and supply are at work to determine the price as ownership of the fish product is transferred from one channel to another. According to De Castro (1979), in the flow of marketing activities, it is always assumed that marketing cost varies among channel levels. However, if services rendered are the same, the system with the lowest price and the lowest margin among marketing agencies will be assumed to be the most efficient. The cost factors involved in the provision of marketing activities or services are transport, labor, spoilage, and other similar costs. According to the quality and standard scheme, fish are classified into four grades as shown in Table 9. Business Research Journal – Volume XXIII 49
Table 9 Classification of Fish. Grades Classifications
Grade 1 Consists of live fish, not available at the NFPFM.
(Commercial) – Fresh fish, slightly fresh fish, consist of Grade 2 iced or chilled fish used for commercial purposes; usually distributed to local markets for consumption.
(Marginal) – Slightly spoiled fish; processed into patis Grade 3 and bagoong products.
(Off-grade) – Spoiled fish; unfit for consumption; Grade 4 distributed to fish meal processors.
1.7.3. Theoretical Framework The theoretical framework that will be used in this study is the Input -Process - Output, or the IPO Model, also called the systems approach or open system theory. It simply explains that what goes in is the input; what causes the change is the process; what comes out is the output. The IPO model will provide the general structure and guide for the direction of this study wherein the Independent Variables and Dependent Variables are being used as the inputs; research design specifically the descriptive-survey method shall be used as the process; and the expected innovative marketing model will be the output of the study. Another model that will be used in this study is the two types of variables; that is, IV and DV; whereas Independent Variables (IV) are variables which are used by the researcher to find out its effect on one or more dependent variables; whereas Dependent variables (DV) are the variables that are supposed to change due to change of the independent variables. Hence, the observed changes are felt as the results of the deliberately made changes inside the independent variable. According to Gartenstein (2017), open systems theory is a way of thinking about dynamic systems, or systems that interact with their environments. All businesses are dynamic systems, 50 Business Research Journal – Volume XXIII evolving and changing in response to feedback. Thus, open systems theory is useful for businesses because it provides a framework for thinking about processes such as change — a regular part of running a business. Change in open systems is the process of adapting to shifting circumstances. Open systems theory provides tools for thinking about change, such as descriptions and explanations of general patterns and obstacles. Successful dynamic change involves paying attention to feedback and integrating this information rather than proceeding with a rigid idea of how change should occur. Hence, a business that changes its marketing practices, by focusing on its most efficient distribution channels, is effecting dynamic change by shifting in response to information about customer demand. In view of the above theory, this study has similarity with the paper of Medina (2001). He describes that the marketing of fresh and live fish provides examples of low-cost retailing equipment and facilities used in four large urban centers of Southeast Asia (Manila, Kuala Lumpur, Singapore, and Bangkok). It also examines the status, problems and needs of those in the fish retail trade, in particular the street fish vending sector. The primary data, collected through survey and interviews, were related to the available equipment/facilities being used, technical characteristics; investment and operational costs; improved technologies; training programs; national legislation; and investment programs related to urban street fish vending. Secondary data comprise of information compiled by national agencies and FAO. Based on the findings of the study, the researcher puts forward recommendations to promote the street fish vending sector and improve fish retail marketing, while acknowledging the need for more research to be done in the field. Medina added that the growth of the urban areas represents a great challenge to the marketing of fishery products, Business Research Journal – Volume XXIII 51 given the perishable nature and the contribution of food security of these products. The challenge concerns principally the low- income consumers and it is with this aim that it was recommended to gather information regarding the experiences in large urban areas in Southeast Asia with relevant details on low- cost fish retailing equipment and facilities. The document reconciles case studies conducted in Manila, Kuala Lumpur, Singapore, and Bangkok. 1.8. Research Paradigm In this study, PFDA, NFPC, micro-environments, and the distribution channels shall serve as independent variables; on the other hand, the fish markets located in Metro Manila will then be considered as dependent variables as shown in Figure 13. Employing IPO Model as well as the independent and dependent variables (IV-DV) in this study will help the researcher to translate the fish marketing practices and the distribution channels problem into a statistical problem, solve the problem statistically, and then translate the statistical solution into an actionable solution.
Figure 13 Research Paradigm
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1.9. Conceptual Framework The challenges or problems facing the fish marketing practices and the distribution channels can be realized through a better understanding of various inputs which are divided into two variables; namely: for Independent Variables - the PFDA Administrators and its staff, NFPC Management and its staff, the Marketing Micro-environments, and the channels of distributions. For Dependent Variables - the fish markets participants in Metro Manila which are deemed necessary for all managers and stakeholders to fully comprehend what factors exert impact on the development of fishing industry, particularly in the Philippines. Therefore, examining independent variables and dependent variables of the inputs are considered the most important task for a fishing enterprise, in particular, and for the fishing industry, in general, before launching a sound innovative fish marketing model. See Figure 14, conceptual framework. Fish marketing activities operate within the existing fish marketing practices and channels of distribution, the present and future existence. Profits, image, and positioning depend on independent variables. The marketing micro-environment is one of the most dynamic aspects of the business; and to operate and stay in the market for long, one has to understand and analyze its components properly. Fish Marketing operates in a complex and changing environment and various actors in this environment can either work with a company or against it. To be able to develop an innovative marketing model for this study, first, the researcher needs to investigate, evaluate, and understand the environments in which the fish marketing activities operates, to wit: A. Independent Variables 1. Philippine Fisheries Development Authority (PFDA) 1.1. Administrators 1.2. Staff/Employees 2. Navotas Fishing Port Complex (NFPC)
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2.1. Management 2.2. Staff/Employees 3. Marketing Micro-environment consists of: 3.1. Company – This pertains to those departments that affect its ability to serve its customers such as Marketing, Finance, R&D, Purchasing, Operations, Legal, etc. The aim is to build customers goodwill by creating value proposition and satisfaction for their customers. Their success means that they need to build strong relationships with other departments; hence, everyone must share the responsibility in providing a great customer experience, including people and departments that are not necessarily in the face of customers. 3.2. Competitors - In any market setting, there is direct as well as indirect competition; and since competition is very vital in sales and marketing, its similarities and differences in terms of customer service improvements, product delivery or distribution, and pricing strategy should be determined by their strengths and weaknesses. According to Philip Kotler (1997), competition can help the company make better operations and marketing techniques, since everyone in the market tries to outshine the other; hence, it will provide better services and products in the market. Fish market is a highly competitive market in which there should be no predictable price differences across customers who have equal price elasticity of demand; meaning, different buyers pay different prices for fish of identical quality. 3.3. Customers – They are the actual or potential buyers of fish and other fishery products in the market. The company must study closely its customers’ markets since each market has its own special attributes. For example, the fish consumption habits in Metro Manila vary according to the consumer’s socio-economic level: for upper- and middle-income earners, they buy high value fish products; and for lower income earners, they buy low-priced fish products. 3.4. Suppliers – are those companies that supply the business with goods and services that add value through transformation
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process. They are a vital part of the supply chain, which sees that value is added at all stages from conception to consumption. Hence, they are the key in providing the resources needed to produce fresh fish and other fish products and even the needed services. They can seriously affect fish marketing through its supply availability, shortages or delays, and even the rising supply costs, which would force price increases. They can also harm the company’s sales volume. Therefore, companies must treat their suppliers as partners. They need to be involved in quality, quantity, and price to create the kinds of fish products that keep customers coming back again and again. 4. Channels of Distribution (Marketing Intermediaries) 4.1. Fish Producers/Operators 4.2. Fish Brokers 4.3. Wholesalers 4.4. Fish Dealers 4.5. Buyers and Sellers 4.6. Retailers 4.7. Final Customers B. Dependent Variables 5. Selected Fish Markets in Metro Manila 5.1. Malabon Central Market (Malabon City) 5.2. Pritil Public Market (Tondo, Manila City) 5.3. Farmers Market (Quezon City) 5.4. May Pajo Market (Caloocan City 5.5. Las Piñas Public Market (Las Piñas City)
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Figure 14 Conceptual Framework.
In conclusion, there are contributing factors to the success and failure of a business venture particularly in the marketing aspect which comes from both outside and inside the business organization. As such, fish marketing and distribution as business venture is no different from any other business ventures we have known. People cannot afford to take for granted the innovation of its fish marketing practices and channels of distribution since fish is a staple food of most Filipinos. Innovating its marketing practices and distribution requires a thorough evaluation, scrutiny, and assessment of all variables as stated above to be able to identify all possible adverse causes of the existing fish marketing practices and its distribution and eventually to come up with a sound, effective, and best solution to make the fish products sufficient and available in the marketplaces, to make the price of the fish 56 Business Research Journal – Volume XXIII
[Grab your reader’s products affordable and stable, to improve the system of distribution, and to apply all appropriate promotional mixes to inform the consuming public about the nutritional benefits of fresh fish and other fishery products. In this regard, the researcher believes that there is really a need to innovate and improve the existing marketing practices and its channels of distribution to be able to fill the gap between supply and demand. The PFDA needs to fulfil all its functions as policy maker. The NFPC, on the other hand, needs to manage and supervise the fish marketing and distribution processes. The marketing micro- environment should help fish marketers acknowledge and predict what the customer actually wants. In-depth analysis of the marketing micro-environment reduces (and even removes) the noise between the marketer and customers and helps the marketer to understand the consumer behavior better. 1.9.1. Statement of the Problem This paper shall study, investigate, and evaluate the existing marketing practices and distribution channels of Navotas Fishing Port and Fish Markets in Metro Manila in light of the perceived problems of having unmethodical marketing practices as well as increasing multi-channels of distribution of fish and other fish products. In fact, other research studies show that other fishing ports and fish markets in the Philippines as well as in other foreign countries have expressed similar perception as shown in their marketing research analyses. As such, this research shall attempt to assess and arrest, and eventually to come up with an innovative marketing model that could predict a more methodical fish marketing practices and systematic channels of distribution that must be practiced in Navotas Fishing Port and Fish Markets in Metro Manila. In the light of the above, this study will attempt to answer the following questions: 1. What is the demographic profile of the respondents in the area of study in terms of the following? 1.1. PFDA Administrators and Staff, Business Research Journal – Volume XXIII 57
1.2. NFPC Management and Staff, 1.3. Marketing Micro-Environments Entities, 1.4. Distributions Channels Participants? 2. To what extent do the respondents assess the degree of implementation of their respective functions as PFDA Administrators, NFPC Manager, and Staff members? 3. To what extent do the respondents assess the degree of seriousness of the problems/effects confronting the existing fish marketing practices and distribution in NFPFM in terms of its: 3.1 Marketing Micro-environments, 3.1.1 Company 3.1.2 Competitors 3.1.3 Suppliers 3.1.4 Customers 3.2 Fish Markets’ Distribution Channels? 3.2.1 Fish Producers Operators 3.2.2 Fish Brokers 3.2.3 Fish Wholesalers 3.2.4 Fish Buyers/Sellers 3.2.5 Retailers 3.2.6 Customers
4. In what way can marketing micro-environments and the fish markets intermediaries’ channels influence/affect the fish marketing practices and its distribution in NFPFMs in Metro Manila? 5. What are the perceived problems/challenges encountered as a result of the study?
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6. Based on the findings arrived at, what innovative marketing model can be tailored to augment the dynamic fish marketing practices and distribution in NFPFMs’ in Metro Manila? 1.9.2. Hypothesis of the Study The null hypothesis, which shall be tested with five percent (5%) significant level, shall be used to guide the researcher during the research process, as follows: 1. There is no difference in the median rating on how the PFDA Administrators, NFPC Manager, the Micro-environments, and Fish Markets’ intermediaries evaluate the existing fish marketing practices and its distribution in Metro Manila. 2. There is no difference in the median rating on how the PFDA Administrators and NFPC Manager assess the marketing micro-environments, the channels of distribution, and the fish markets in Metro Manila. 3. There is no difference in the median rating on the factor that can be drawn or deduced from or among fish markets in Metro Manila. 1.9.3. Significance of the Study The result of this study will help or guide the following beneficiaries on their respective areas of concern, to wit: 1. The National Government Agencies particularly the Bureau of Fisheries and Aquatic Resources (BFAR), PFDA, National Fisheries Research and Development Institute (NFRDI), and NFPC) --- in providing a framework for sound marketing policy direction toward fostering fish marketing practices and standardized channels of distribution with the end-in-view of developing the fish trading industry in particular and the agricultural economy in general. 2. Fish Producers/Operators who are engaged in commercial deep- sea fishing. The researcher would like to refer specifically to the operators of Fishing Corporations where the market study shall be undertaken in order to recognize the need for innovation and, therefore, to achieve its marketing objectives in a manner to readily accelerate the progress of the company.
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3. Fish Brokers, Wholesalers, and Retailers (Middlemen or Intermediaries) --- in all levels who are directly involved in fish marketing trading and distribution from producers to ultimate consumers. This study is significant for them because they perform specialized functions and render specialized services, incur costs, and shoulder the risks and uncertainties. This will make them realize the importance of efficient flow of fish and other fish products through a proposed innovative marketing model. 4. Fish Markets (specifically in Metro Manila) --- refer to physical marketplaces where buyers and the fish traders/merchants meet to transact business using the market forces in determining the price. This study is significant for them so that they become aware of the price fluctuations of fish products; and learn, at the same time, the ways of improving the price system by considering and utilizing an innovative price mechanism, which will enable them to extricate themselves from the bondage of unscrupulous fish merchants. 5. The Consuming Units (Household) --- for them to understand and realize the various factors, controllable and uncontrollable, that may affect the price changes of fish and other fish products in the market. 6. Potential Entrepreneurs --- This is significant for those who would like to enter fish trading business or fish business venture. The annual shortage in fish production that the country perennially suffers from is indicative of the potentialities of fish business venture to enterprising businessmen. This is specially so in the case of deep-sea fishing or commercial fishing. It is, therefore, not surprising for some enterprising businessmen to move and find ways and means to meet this growing demand. 7. Local Government Units --- This is significant for them in the formulation of their respective city ordinances, resolutions, policies, or programs properly attuned to the fish marketing practices and its distributions. 8. Researchers and the Academe --- in helping them to conduct related studies on fish marketing practices and efficient channels of distribution; and, at the same time, in contributing to their library of knowledge. 60 Business Research Journal – Volume XXIII
1.9.4. Research Methodology This chapter presents the research design, the research locale or setting of the study, the respondents, and the sampling techniques used, the research instrument and its validation process, the data gathering procedure and its data processing techniques, and the statistical treatment employed in the evaluation of the data. 1.9.5. Research Design The descriptive-survey method will be used in this study. The researcher prepared a survey-questionnaire to analyze and evaluate the perceptions of the respondents as well as Focus Group Interview to be able to really get the pulse of the respondents in various groups. According to Calderon (2008), as cited by Alberto et al (2011), descriptive method is also known as statistical research, it describes data and characteristics about the population or phenomenon being studied. Moreover, the research design demonstrated by employing the descriptive-normative method to be able to categorize a given number of variables; and in the process, the research will be conducted at a specific time, making the study cross-sectional. Furthermore, the research shall attempt to answer fundamental questions regarding the determination of variables, how they will be interpreted, and their impacts or implications, upon analysis of the data, to the research problems under study. Hence, the research design, in this study, will be formal and non- exploratory. 1.9.5.1. Research Locale The research setting of the study encompasses two types of markets: 1. The Navotas Fishing Port and Fish Market Complex, and 2. the Major Public Markets in Metro Manila. The following major public markets in Metro Manila are: Malabon Central Market (Malabon City), Pritil Public Market (Manila), Farmers Market (Quezon City), May Pajo Market (Caloocan City), and Las Piñas Public Market (Las Piñas City).
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1.9.5.2. Respondents of the Study The population of the study includes the PFDA Administrators and staff, the NFPC Management and employees, Fish Producers/Operators, Fish Brokers, Wholesalers, Buyers/Sellers, Retailers, and Final Buyers (Customers).
Table 10 below represents the total population and sample distributions of the respondents in this study.
Table 10 Population Distribution of Navotas Fish Port and Fish Market Respondents Purposive Sampling Method Percentag Number of NFPFM Variables e Respondents (%) PFDA Administrators and Staff 10 4 • 2 Administrators • 8 Staffs NFPC Managers and Staff 10 4 • 2 Managers • 8 Staffs Company’s Microenvironments 10 4 • 10 Fishing Corporation NFPFM Distribution Channels • 10 Fish Producers Operators 120 48 • 10 Fish Brokers • 50 Fish Wholesalers • 50 Fish Buyers/Sellers Fish Markets • 50 Retailers 100 40 • 50 Final Customers TOTAL 250 100
Finding the right people at the right time is crucial in collecting data that are usable, viable and valuable. Ritchie et al., (2003) define this sampling approach as a strategy where “members of a sample are chosen with a purpose to represent a
62 Business Research Journal – Volume XXIII location or type in relation to the criterion” (p. 77). Hence, the researcher will decide to use purposive sampling to choose specific people within a sample population in a wide range of participants with different viewpoints, opinions, or observations to a specific research study. Purposive sampling is also known as judgmental, deliberate, selective, or subjective sampling. The main advantage of purposive sampling approach is the ability to critically think and define the parameters of the population that is intended to be studied at an early stage. In this study, the total number of population (respondents) in Navotas Fish Port and Fish Markets (NFPFM) is totaled to 250; and 8% of which will come from PFDA Administrators and staffs and NFPC Managers and staffs, respectively. From Company’s microenvironments 4% will come, while 48% will come from Marketing intermediaries, and 40% from different fish markets’ retailers and final customers in Metro Manila. The researcher will distribute the survey-questionnaires to 250 respondents or 100 percent to be able to determine, at least 95% significant level, the validity of this study. 1.9.5.3. Sampling Technique For determining the relative proportion of the population respondents with respect to the PFDA Administrators and staff, NFPC Management and employees, and fish marketing intermediaries/middlemen, stratified sampling will be used. On the other hand, purposive sampling will likewise be used for customers or final buyers; and for other selected respondents random sampling will be used as well. 1.9.5.4. Research Instrument In the gathering of data, the researcher shall use primary data through the design and formulation of the research instrument. The research instruments construction that could be used appropriately in gathering data on the study shall be the survey questionnaire; interview, and observation are the most used tools in gathering data. There are nine (9) sets of
Business Research Journal – Volume XXIII 63 questionnaires the researcher will be using for PFDA Administrators and staff and NFPC Management and employees, and for people who are directly engaged or participating as marketing intermediaries and customers. 1.9.5.5. Data Gathering Procedure Initially, the survey questionnaires will be distributed to all concerned respondents. Said survey questionnaires will then be collated, tabulated, analyzed, and interpreted. Likewise, for the purposes of the study, an in-depth interview, which will be personal and unstructured, will be used with the aim of observing and identifying respondents’ grievances, perceptions, reactions, feelings, and opinions regarding the existing fish marketing practices and distribution channels in NFPFMs in Metro Manila. 1.9.5.6. Reliability To be able to measure the consistency or validity of the assessment tool which shall be used pertaining to all respondents in the dependent variables, the Cronbach’s alpha shall be used by the researcher to measure its reliability, that is, how closely related a set of items are as a group. 1.9.5.7. Statistical Treatment of Data The statistical tools that will be used, to be able to facilitate the accurate evaluation, analysis, and interpretation of the data, in this study shall be as follows: 1. One-Way Analysis of Variance When an F test is used to test a hypothesis concerning the means of three or more populations, the technique is called Analysis of Variance (commonly abbreviated as ANOVA). The one-way analysis of variance test is used to test the equality of three or more means using sample variances. Assumptions for F-test
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The following assumptions apply when using the F test to compare three or more means. The populations from which the samples were obtained must be normally or approximately normally distributed. The samples must be independent of each other. The variances of the populations must be equal. In the F test, two different estimates of the population variance are made. The first estimate is called the between-group variance, and it involves finding the variance of the means. The second estimate, the within-group variance, is made by computing the variance using all the data and is not affected by differences in the means. If there is no difference in the means, the between-group variance will be approximately equal to the within-group variance, and the F test value will be close to 1—do not reject null hypothesis. However, when the means differ significantly, the between- group variance will be much larger than the within-group variance; the F test value will be significantly greater than 1— reject null hypothesis. 2. Correlation Correlation is a statistical method used to determine whether a linear relationship between variables exists. The population correlation coefficient, denoted by ρ, is computed by using all possible pairs of data values (x, y) taken from a population. The linear correlation coefficient, denoted by r, is computed from the sample data, and measures the strength and direction of a linear relationship between two quantitative variables. The range of the correlation coefficient is from -1 to +1. If there is a strong positive linear relationship between the variables, the value of r will be close to +1.
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If there is a strong negative linear relationship between the variables, the value of r will be close to -1. The formula for the correlation coefficient is: nxyxy( ) − ( )( ) r = 2222 nxxnyy () −−( ) ( ) ( ) Where, n is the number of data pairs. 3. Regression Regression is a statistical method used to describe the nature of the relationship between variables—that is, positive or negative, linear or nonlinear. Regression Line Equation: yabx =+
The magnitude of the change in one variable when the other variable changes exactly 1 unit is called a marginal change. The value of slope b of the regression line equation represents the marginal change. For valid predictions, the value of the correlation coefficient must be significant. When r is not significantly different from 0, the best predictor of y is the mean of the data values of y.
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4. Durbin–Watson Statistic The Durbin–Watson statistic (d) is a test statistic used to detect the presence of autocorrelation (a relationship between values separated from each other by a given time lag) in the residuals (prediction errors) from a regression analysis. The value of d always lies between 0 and 4. If the Durbin–Watson statistic is substantially less than 2, there is evidence of positive serial correlation. As a rough rule of thumb, if Durbin–Watson is less than 1.0, there may be cause for alarm. Small values of d indicate successive error terms are, on average, close in value to one another, or positively correlated. If d > 2, successive error terms are, on average, much different in value from one another, i.e., negatively correlated. In regressions, this can imply an underestimation of the level of statistical significance. The Variance Inflation Factor (VIF) quantifies the severity of multi-collinearity in an ordinary least square’s regression analysis. It provides an index that measures how much the variance (the square of the estimate's standard deviation) of an estimated regression coefficient is increased because of collinearity. The square root of the variance inflation factor indicates how much larger the standard error is, compared with what it would be if that variable was uncorrelated with the other predictor variables in the model. 5. Cronbach’s Alpha Cronbach's alpha is a common measure of internal consistency ("reliability"), often used when you have multiple Likert questions in a survey/questionnaire that form a scale and you want to determine if the scale is reliable. It is also often used in conjunction with data reduction technique such as Principal Components Analysis (PCA) or factor analysis. Higher values of Cronbach's alpha are better. What constitutes a good level of internal consistency differs depending on what source you refer to, but all recommended values are 0.7 or higher. 6. Mood’s Median Test
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To determine whether any of the differences between the medians are statistically significant, compare the p-value to your significance level to assess the null hypothesis. The null hypothesis states that the population medians are all equal. Usually, a significance level (denoted as α or alpha) of 0.05 works well. A significance level of 0.05 indicates a 5% risk of concluding that a difference exists when there is no actual difference. P-value ≤ α: The differences between some of the medians are statistically significant. If the p-value is less than or equal to the significance level, you reject the null hypothesis and conclude that not all the group medians are equal. Use your specialized knowledge to determine whether the differences are practically significant. P-value > α: The differences between the medians are not statistically significant. If the p-value is greater than the significance level, you do not have enough evidence to reject the null hypothesis that the group medians are all equal. Verify that your test has enough power to detect a difference that is practically significant. 7. Kruskal-Wallis Rank Test This is a non-parametric analysis for the one-way analysis of variance. It is a test for differences among independent groups median (where c > 2). The test is use if the normality assumption of the one-way ANOVA F test was violated. The Kruskal-Wallis test compared the mean rank in each of the independent groups against the overall mean rank based on all n combined values.
- 3 (n + 1)
Where: n = total number of values over the combined samples nj = number of values in the jth sample (j= 1,2,3...... , c)
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Tj = sum of the ranks assigned to the jth sample Tj² = square of the sum of the ranks assigned to the jth sample c = number of groups Decision criteria: The null hypothesis will be tested at the 5% significance level. Reject the null hypothesis if the computed value of H is greater than the upper tail critical value, otherwise accept the null hypothesis. Reject Ho if H
Otherwise, do not reject Ho The critical value of Kruskal-Wallis for one-way analysis of variance by ranks statistic for large sample, KW is 5.99 at 5% level of significance. 1.9.6. Validation of Survey Instrument The main objective of survey questionnaire in research is to obtain relevant information in the most reliable and valid manner. Thus, the accuracy and consistency of survey/questionnaire forms a significant aspect of research methodology which is known as validity and reliability. Therefore, before the drafting and finalization of the survey questionnaire/instrument, proper validation process must be strictly observed, namely: 1. The researcher will seek advice from the experts or people who can understand the research topic and all possible issues at hand; people who can assist the researcher in drafting and evaluating whether the questions will effectively capture the topic under investigation. 2. Basically, the researcher will present the draft to the dissertation adviser and statistician for analysis and
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content validity as well as study the mechanics of language presentation and structure requirements. If possible, the researcher shall seek advice from other people in the fishing industry to further elicit comments, suggestions, and recommendations to improve and enrich the survey questionnaire. 3. Thereafter, the survey questionnaire will be presented to the dissertation adviser for approval; and upon approval, the sets of survey instrument will be finalized and pre- tested to a group of respondents in NFPFM who will not participate in the actual survey process. 4. Finally, the validated survey questionnaire will be applied using the procedures. The researcher will personally administer the survey questionnaire/instrument to all qualified respondents in NFPFM and other markets in Metro Manila. 1.9.6.1. Presentation, Analysis, and Interpretation of Data This section deals with the presentation, analysis, and interpretation of the data gathered. Specifically, this research presents all respondents who had participated in this study by stating and sharing their respective opinions, observations, and most importantly their experiences in the existing fish marketing practices and distribution in Navotas Fishing Port and Selected Fish Markets in Metro Manila.
Demographic Profile: The demographic profile is divided into different categories, to wit: a. respondent’s general information such as age, gender, civil status, and highest educational attainment; b. company’s profile such as forms of ownership, number of years in business, and number of employees; and c. NFPFM profiles such as PFDA and NFPC status, distribution channels status, and the selected fish markets in Metro Manila status.
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As shown in Table 11, of respondents from PFDA Administrators and Staff, majority of the respondents 50% were within the age bracket of 56 to 60, followed by the respondents within the age bracket of 36 to 40, which was 20%, while each 10% of the respondents were within the age brackets of 21 to 25, 26 to 30, and 31 to 35 respectively. Meaning, there were more aged respondents who had provided explicit information as well as respondent of mixture of various ages who had furnished insightful information. Hence, their shared information was eligible to consider.
Table 11 Demographic Profile of the Respondents (PFDA- Administrators and Staffs) Percentage Part – 1 Demographics Respondents (%) Age 21 - 25 1 10 26 - 30 1 10 31 - 35 1 10 36 - 40 2 20 41 - 45 46 - 50 51 - 55 56 - 60 5 50 Total 10 100 Gender Male 3 30 Female 7 70 Total 10 100 Civil Status Single 4 40 Married 6 60 Total 10 100 Highest Educational Attainment High School College 9 90 Postgraduate 1 10 Total 10 100 Employment Status Administrator 1 Staff/Employee 9 Total 10 100 Number of Years in PFDA Business Research Journal – Volume XXIII 71
Percentage Part – 1 Demographics Respondents (%) Service Less than 6 years 2 20 6 – 10 years 2 20 11 – 15 years 1 10 16 – 20 years 21 – 25 years 1 10 26 – 30 years 1 10 More than 30 years 3 30 Total 10 100
It was also clearly shown that majority of the respondents who comprised 70% were females and only 30% were males. Likewise, 60% of the respondents were married and only 40% were single. Further, 100% of the respondents were all considered professionals (employees) since 90% of them were college graduates and 10% got their master’s degree (administrator). In terms of years in service at PFDA, 30% of the respondents have more than 30 years; while 10% of each respondent has 26 to 30 years, 21 to 25 years, and 11 to 15 years respectively. Whereas 20% of each respondent had 6 to 10 years, and less than 6 years in service, respectively. This implied that all PFDA respondents, given their age profile that belonged to the age group of 21 to 40 and 56 to 60 as well as their characteristics and qualifications, were all eligible representative samples or participants in this study. Therefore, the information that they had disclosed can surely be considered as classified. See Table 12.
Table 12 Demographic Profile of the Respondents (NFPC- Management and Staffs) Part – 1 Demographics Respondents Percentage (%) Age 26 - 30 1 10 31 - 35 36 - 40 41 - 45 1 10 46 - 50 1 10 51 - 55 2 20
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Part – 1 Demographics Respondents Percentage (%) 56 - 60 5 50 Total 10 100 Gender Male 4 40 Female 6 60 Total 10 100 Civil Status Single 4 40 Married 6 60 Total 10 100 Educational Attainment High School College 9 90 Postgraduate 1 10 Total 10 100 Employment Status Management 2 20 Staff/Employee 8 80 Total 10 100 Number of years in NFPC Less than 6 years 6 – 10 years 1 10 11 – 15 years 1 10 16 – 20 years 4 40 21 – 25 years 4 40 More than 30 years Total 10 100 It can be gleaned from Table 12 that majority of the respondents, from NFPC Management and Staffs are between 56 to 60 years of age, while 20% indicated that they are between 51 to 55 years of age. However, 10% of the respondents stated that they are between 46 to 50, 41 to 45 and 26 to 30 years of age respectively. Meaning, there are more aged respondents who provide explicit information and a mixture of various ages who furnish insightful information. Hence, their shared information is really eligible to consider. On the other hand, 60% of the respondents are females and only 40% are males. Likewise, 60% of the respondents were married and only 40% were single. Further, 100% of the Business Research Journal – Volume XXIII 73 respondents are professionals who are 90% college graduates and 10% with master’s degree (managers). In terms of years in service at NPFC, 40% of the respondents stated that they already have 21 to 25 years of service; another 40% have declared that they already have 16 to 20 years in service. Consequently, 10% of each respondent has 11 to 15 and 6 to 10 years in service, respectively. By and large, all NFPC respondents, given their attributes and qualifications, are all eligible representative samples or participants in this study. Table 13 shows that 40% of the respondents are between 46 to 50 years of age, followed by 30% respondents with 51 to 55 years of age, while 20% respondents are between 56 to 60 years of age, and only 10% of the respondents are between 41 to 45 years of age. In terms of gender, 80% of the respondents are males and only 20% are females. For their civil status, 90% of the respondents are married and only 10% are single. Furthermore, the table indicates that 100% of the respondents were able to finish their college education. In terms of forms of ownership, 100% of the respondents averred that they belong to a corporation.
Table 13 Demographic Profile of the Respondents (Producer/Operator) Percentage Part – 1 Demographics Respondents (%) Age 41 - 45 1 10 46 - 50 4 40 51 - 55 3 30 56 - 60 2 20 Total 10 100 Gender Male 8 80 Female 2 20 Total 10 100 Civil Status Single 1 10 Married 9 90 Total 10 100 Highest Educational Attainment 74 Business Research Journal – Volume XXIII
Percentage Part – 1 Demographics Respondents (%) High School 0 0 College 9 100 Total 10 100 Part – 2 Company Profile Corporation 10 100 Total 10 100 Years in Business/Operation 6 – 10 2 20 11 – 15 2 20 16 – 20 2 20 21 – 25 3 30 26 – 30 More than 30 years 1 10 Total 10 100 More than 50 10 100 Total 10 100 Fish Markets’ Distribution
Channels Fish Producer/Operator 10 100 Total 10 100
Moreover, in terms of years in service in their own respective company, 30% of the respondents stated that they are already in their company for 21 to 25 years; while 20% of the respondents said that they are in the company for 16 to 20 years, 11 to 15 years, and 6 to 10 years, respectively. Only 10% have declared that they have been working in the company for 16 to 20 years. On the other hand, 100% of the total respondents have declared that they have more than 50 personnel in their respective companies. Generally, all attributes and qualifications of all respondents stated above are eligible representative samples or participants in this study. Table 14 shows that 50% of the respondents are between 51 to 55 years of age, followed by 40% respondents with 46 to 50 years of age, and only 10% respondents are between 41 to 45 years of age. In terms of gender, 80% of the respondents are males and only 20% are females. For their civil status, 90% of Business Research Journal – Volume XXIII 75 the respondents are married and only 10% are single. Furthermore, the table indicates that 90% of the respondents were able to finish their college education, while only 10% stated that they only reached high school level. In terms of forms of ownership, 100% of the respondents averred that they belong to a corporation.
Table 14 Demographic Profile of the Respondents (Fish Broker) Resp Percentage Part – 1 Demographics ondents (%) Age 41 - 45 1 10 46 - 50 4 40 51 - 55 5 50 Total 10 100 Gender Male 8 80 Female 2 20 Total 10 100 Civil Status Single 1 10 Married 9 90 Total 10 100 Educational Attainment High School 1 10 College 9 90 Total 10 100 Part – 2 Company Profile Corporation 10 100 Total 10 100 Years in Service 11 – 15 4 40 16 – 20 3 30 21 – 25 3 30 Total 10 100 Distribution Channels Fish Broker 10 100 Total 10 100
Moreover, in terms of years in service in their respective company, 40% of the respondents stated that they are already in 76 Business Research Journal – Volume XXIII their company for 11 to 15 years; while each of the 30% of the respondents said that they are in the company for 16 to 20 years; and another 30% have declared that they are already in the company for 21 to 25 years. On the other hand, 100% of the total respondents have declared that they have more than 50 personnel in their respective companies. Generally, all attributes and qualifications of all respondents stated above are eligible representative samples or participants in this study. As shown in Table 15, 26% of the respondents are between 51 to 55 years of age, while 22% of the respondents are between 56 to 60 years of age. Whereas 16% of the respondents are between 46 to 50 years of age; other respondents who comprised 12% each belongs to ages between 41 to 45 and 36 to 40 respectively of the respondents, 10% of them are between 31 to 35 years of age, and only 2% are between 26 to 30 years of age. Whereas, among the greater number of the respondents, 64% are females and only 36% are males; 98% of the respondents are married and only 2% are single. Furthermore, the table indicated that 78% of the respondents were able to finish their college education, while only 22% stated that they only reached high school.
Table 15 Demographic Profile of the Respondents (Wholesaler) Percentage Part – 1 Demographics Respondents (%) Age Below - 20 21 - 25 26 - 30 1 2 31 - 35 5 10 36 - 40 6 12 41 - 45 6 12 46 - 50 8 16 51 - 55 13 26 56 - 60 11 22 61 - Above Total 50 100 Gender Male 18 36 Female 32 64 Business Research Journal – Volume XXIII 77
Percentage Part – 1 Demographics Respondents (%) Total 50 100 Civil Status Single 1 2 Married 49 98 Total 50 100 Highest Educational Attainment Elementary High School 11 22 College 39 78 Vocational Postgraduate Total 50 100 Part – 2 Company Profile Single Proprietorship 13 26 Partnership 12 24 Corporation 25 50 Total 50 100 Years In Business/Operation Less than 6 years 7 14 6 – 10 years 20 40 11 – 15 years 11 22 16 – 20 years 5 10 21 – 25 years 1 2 26 – 30 years 5 10 More than 30 years 1 2 Total 50 100 Number Of Employees Less than 11 9 18 11 – 20 13 26 21 – 30 14 28 31 – 40 8 16 41 – 50 3 6 More than 50 3 6 Total 50 100 Distribution Channels Fish Producer/Operator Fish Broker Fish Wholesaler 50 100 Fish Buyer/Seller
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Percentage Part – 1 Demographics Respondents (%) Retailer Costumer Total 50 100
Half of the respondents or 50% are working in the corporation, while less than half of the respondents 26% and 24% are working under partnership and single proprietorship businesses, respectively. As to the number of years in the business, 40% of the respondents have 6 to 10 years, followed by 22% respondents with 11 to 15 years, then 14% respondents with less than 6 years. Likewise, 10% of each respondent are already in their companies for 16 to 20 years and 26 to 30 years, respectively. With regard to the number of employees they have, 28% of the respondents said that they have 21 to 30 employees, 26% have employed 11 to 20 employees, 18% have less than 11 employees, 16% have employed 31 to 40 employees, and only 6% of each respondent declared that they have 41 to 50 employees, and the other one has more than 50 employees in their respective companies. Overall, the above respondents are capable of being representative samples or participants in this study. As exhibited in Table 16, 20% of the respondents are between 51 to 55 years of age, while 18% of the respondents are between 46 to 50 years of age. Whereas 16% of the respondents are between 36 to 40, and 41 to 45 years of age respectively; other respondents who comprised 14% have ages from 41 to 45 years old. Others are from 31 to 35 years of age 10% and only 6% are between 26 to 30 years of age. On the other hand, 76% of the respondents are females and 24% are males. As to civil status, 86% of the respondents are married, 12% are single, and 2% are widow.
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Table 16 Demographic Profile of the Respondents (Buyer/Seller) Percentage Part – 1 Demographics Respondents (%) Age Below - 20 21 - 25 26 - 30 3 6 31 - 35 5 10 36 - 40 8 16 41 - 45 8 16 46 - 50 9 18 51 - 55 10 20 56 - 60 7 14 61 - Above Total 50 100 Gender Male 12 24 Female 38 76 Total 50 100 Civil Status Single 6 12 Married 43 86 Separated 1 2 Total 50 100 Highest Educational Attainment Elementary High School 9 18 College 38 76 Vocational 3 6 Postgraduate Total 50 100 Part – 2 Company Profile Single Proprietorship 19 38 Partnership 31 62 Corporation Total 50 100 Years In Business/Operation Less than 6 years 9 18 6 – 10 years 14 28 11 – 15 years 21 42 16 – 20 years 5 10 80 Business Research Journal – Volume XXIII
Percentage Part – 1 Demographics Respondents (%) 21 – 25 years 1 2 26 – 30 years More than 30 years Total 50 100 Number of Employees Less than 11 9 18 11 – 20 24 48 21 – 30 17 34 31 – 40 41 – 50 More than 50 Total 50 100 Distribution Channels Fish Producer/Operator Fish Broker Fish Wholesaler Fish Buyer/Seller 50 100 Costumer Total 50 100
Regarding educational attainment, 76% of the respondents are college degree holders, 18% have finished high school, and 6% have taken up vocational courses. For business ownership, 62% of the respondents declared they are in partnership; whereas 38% had disclosed that they operate under single proprietorship. Moreover, 42% of the respondents have 11 to 15 years in the business operation, while 28% have 6 to 10 years, 18% have less than 6 years in fish marketing business, 10% have 16 to 20 years, and lastly, 2% have 21 to 25 years in fish marketing business. Regarding the number of employees, they have in their business operation, 48% have declared that they employed 11 to 20 personnel, while 34% of the respondents said they have 21 to 30 personnel, and lastly 18% of the respondents disclosed that they have less than 11 workers. Based on the profile, the respondents can be said that they have sufficient characteristics to be considered as representative samples or participants in this study.
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As shown in Table 17, 20% of the respondents are between 36 to 40 and 46 to 50 years of age, followed by 14% who have ages ranging from 26 to 30 years of age. Furthermore, 10% of the respondents are between 41 to 45, 51 to 55, and 56 to 60 years of age, respectively; while 8% and 4% of the respondents are 61 years and above as well as 31 to 35 years of age respectively, and only 2% have ages from 21 to 25 and below 20. As to the respondents’ gender, 76% are females and only 24% are males.
Table 17 Demographic Profile of the Respondents (Retailers) Percentage Part – 1 Demographics Respondents (%) Age Below - 20 1 2 21 - 25 1 2 26 - 30 7 14 31 - 35 2 4 36 - 40 10 20 41- 45 5 10 46 - 50 10 20 51 - 55 5 10 56 - 60 5 10 61 - Above 4 8 Total 50 100 Gender Male 12 24 Female 38 76 Total 50 100 Civil Status Single 8 16 Married 40 80 Separated/Widow 2 4 Total 50 100 Highest Educational Attainment Elementary 2 4 High School 21 42 College 27 54 Vocational Postgraduate Total 50 100
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Percentage Part – 1 Demographics Respondents (%) Part – 2 Company Profile Single Proprietorship 50 100 Partnership Corporation Total 50 100 Distribution Channels Fish Producer/Operator Fish Broker Fish Wholesaler Fish Buyer/Seller Retailer 50 100 Costumer Total 50 100 Selected Metro Manila Fish Market Malabon Central Market 10 20 Pritil Public Market 10 20 Farmers Market 10 20 May Pajo Public Market 10 20 Las Pinas Public Market 10 20 Total 50 100
For their civil status, 80% said that they are married, 24% are single, and only 4% declared that they are widows. Regarding educational attainment, 54% of the respondents are college degree holders, 24% have finished high school, and only 2% were able to finish elementary. For business ownership, 100% of the respondents declared they are into single proprietorship business. Given all the above-mentioned retailers’ profiles, all respondents can be said to be eligible and capable to become representative samples or participants in this study. It can be gleaned from Table 18 that 18% of the respondents are between 36 to 40, and 46 to 50 years old, followed by 14% who have ages ranging from 51 to 55 years old. While 12% of them are from between 41 to 45 and 56 to 60 years of age; others are from between 61 and above years old (10%). 8% of the respondents are between 31 to 35 years old and only 4% have ages from 21 to 25 and 26 to 30 years of age Business Research Journal – Volume XXIII 83 respectively. As to the respondents’ gender, 82% are females and only 18% are males. For their civil status, 94% said that they are married; and only 6% declared that they are single. With regard to educational attainment, 66% of the respondents are college degree holders, 30% have finished high school, and only 4% were able to finish vocational courses.
Table 18 Demographic Profile of the Respondents (Customers) Percentage PART – 1 Demographics Respondents (%) Age Below - 20 21 - 25 2 4 26 - 30 2 4 31 - 35 4 8 36 - 40 9 18 41 - 45 6 12 46 - 50 9 18 51 - 55 7 14 56 - 60 6 12 61 - Above 5 10 Total 50 100 Gender Male 9 18 Female 41 82 Total 50 100 Civil Status Single 3 6 Married 47 94 Separated/Widow Total 50 100 Highest Educational Attainment Elementary High School 15 30 College 33 66 Vocational 2 4 Postgraduate Total 50 100 Selected Metro Manila Fish Market Malabon Central Market 10 20 Pritil Public Market 10 20
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Percentage PART – 1 Demographics Respondents (%) Farmers Market 10 20 May Pajo Public Market 10 20 Las Pinas Public Market 10 20 Total 50 100
Interpretation: By and large, the demographic profiles of the respondents provide substantial impact and implications to fish marketing and distribution business in Metro Manila. In terms of age, age implies maturity and wisdom that they can use in analyzing certain situation or condition with open mind and unbiased decision and judgment. In this study, the researcher decided to select respondents with ages ranging from 21 to 61 and above so that they can provide valuable inputs or information both as producing to distributing to consuming units of fish products in Metro Manila. As to their gender, gender connotes identity and self- identity which simply means the respondents’ expressions of their beliefs and even their choices are being considered. In this study, the researcher had found out that the genders of the respondents are very important consideration since both can possibly provide similar or different inputs or information in the area of fish marketing practices and distribution channels in various markets in Metro Manila. In terms of civil status, civil status corresponds to the respondents’ social and economic conditions. The demand and supply of fish and other fishery products can be influenced by their civil status; that is, whether they are single, married, widow, or being separated; hence, depending on the size of their family, they can affect the quantity demand for fish in the market. For the respondents’ educational attainment, this implies knowledge measurement; and it simply means familiarity, awareness, or understanding about facts or information which
Business Research Journal – Volume XXIII 85 are acquired through education. In this study, the information about educational attainment is extremely useful for the researcher for it can surely provide sound information about fish marketing practices and its channels of distribution in Metro Manila. Based on the results shown in Table 19, the degree of implementation of the PFDA Administration and their staff in relation to their functions and established administrative and operational policies are extensive with a grand mean of 4.65 with achieved confidence level of 94.1. In other words, the PFDA respondents are very much aware and conscious of their administrative and operational responsibilities and accountabilities in the implementation and enforcement of their policies, programs, guidelines, standard, decisions, rules, and regulations.
Table 19 Degree of Implementation
Fish Marketing Practices Weighted Interpr Ranking Statements: Mean -etation
Implement and enforce the policies, programs, Extensi 1 guidelines, standard, vely decisions, rules and 4.80 1 Implem regulations ented Manage the day-to-day affairs of the Authority, Extensi 2 subject to the provisions of vely applicable laws, rules, and 4.60 3 Implem regulations ented Undertake studies and
researches to determine the
needs of the fish markets Extensi 3 and other related facilities vely
and services and to ensure Implem 4.60 3 their operational efficiency ented
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Fish Marketing Practices Weighted Interpr Ranking Statements: Mean -etation
Determine the staffing pattern and number of personnel of the Authority, Extensi 4 define their duties and vely responsibilities, and fix their 4.60 3 Implem salaries and emoluments ented
Study and update the Extensi manpower requirements and 5 vely corresponding staffing 4.70 2 Implem pattern of the Authority ented
Stabilize consumer prices
through the improvement of Extensi 6 handling and marketing vely practices in fish landings 4.60 3 Implem and fish markets ented Organized marketing and distribution system for fish that would coordinate the 7 interests of fishing boat Extensi operators, and owners, vely brokers, wholesaler, 4.60 3 Implem retailers, and consumers ented Provide a modern organizational and marketing framework to Extensi
8 supplement current and vely 4.70 2 future development Implem programs in the fishing ented industry Extensi vely Grand Mean 4.65 Imple mented
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Moreover, according to the respondents, they are able to stabilize consumer prices through the improvement of handling and marketing practices in fish landings and fish markets which they have always been doing; hence it has a weighted mean of 4.60 (below confidence level). Furthermore, they have been working for organized marketing and distribution system for fish that would coordinate the interests of fishing boat operators, and owners, brokers, wholesalers, retailers, and consumers; in that sense, it has a weighted mean of 4.60 as well. Another is the provision of a modern organizational and marketing framework to supplement current and future development programs in the fishing industry; hence it has 4.70 weighted mean (achieved confidence level). Based on the above information, it implies that the PFDA administration should be able to apply the 3C’s which are cooperation, coordination, and collaboration with the NPFC management so that they can institute sound checks and balances in relation to established PFDA vision and mission, implementations of plans and programs, achievement of common objectives and goals, and lastly come up with annual progress reports to be able to know and understand what has been accomplished and contemplate why some are not. On the grounds of the results shown in Table 20, the degree of implementation of NFPC Management and their staff in relation to their managerial and supervisory functions and activities are partially implemented with a grand mean of 2.93 with achieved confidence level of 94.8. It implies, therefore, that the NFPC respondents are not fully aware and conscious of their functional responsibilities and accountabilities in providing all the necessary facilities for quick and easy mobility, and marketability of the fish products, such as: clean and orderly trading areas with only 2.70 weighted mean, followed by security and safety surroundings with a weighted mean of 2.80, spacious parking area with 2.90, well lighted port and market road with only 3.10 weighted mean, and cold storage and ice plant facilities with a weighted mean of 3.40. The estimated median is 2.875.
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Table 20 Degree of Implementation NFPC Management and Staff Functions Fish Marketing Weighted Rankin Interpretation Practices Statements: Mean g 1 Provide all the necessary facilities for quick and easy mobility, and marketability of the fish products, such as: a. Cold Storage and Ice Plants 3.40 1 Implemented Facilities
Partially b. Spacious Parking 2.90 3 Implemented Areas
c. Clean and Partially Orderly Trading 2.70 5 Implemented Areas
d. Secured and Partially Safety 2.80 4 Implemented Surroundings
e. Drainage and Partially Sanitation 2.80 4 Implemented Management
f. Well Lighted Partially Port and Market 3.10 2 Implemented Road
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Fish Marketing Weighted Rankin Interpretation Practices Statements: Mean g Partially g. Clean and 2.80 4 Implemented Potable Water
Partially Grand Mean 2.93 Implemented
2 Coordinate and collaborate with the proper authorities for security and safety of all traders/participants, such as: Partially a. Good Working 2.90 2 Implemented Condition
Seldom b. Fish Port Fire 2.00 5 Implemented Station
c. Well Organized Partially Traffic 2.80 3 Implemented Management
d. Fish Port Clinic Partially with Nurse and 2.80 3 Implemented Ambulance
e. Fish Port Police Station 3.90 1 Implemented
f. Roving Bank Teller for Cash Seldom and Checks 2.60 4 Implemented Deposit and safekeeping Partially Grand Mean 2.83 Implemented
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On the other end which is the coordination and collaboration with the proper authorities for security and safety of all traders/participants, it has garnered a grand mean of 2.83 which is considered as partially implemented with a confidence level of 94.1. The detailed variables are as follows with estimated median of 2.80: fish port fire station with a weighted mean of 2.00, well organized traffic management with 2.80 weighted mean, fish port clinic with nurse and ambulance has only 2.80 weighted mean, roving bank teller for cash and checks deposit and safekeeping with weighted mean of 2.60 and fish port police station with the highest weighted of 3.90. By and large, it implies that NFPC management has so many things to undertake for them to fix all the necessary improvements and rehabilitation of Navotas Fish Port and Fish Market area to be able to achieve the required domestic and international fish port and market standard. Appertaining to the results of Table 21, all fishing companies have successfully complied with legal requirements such as government license and permit to operate as well as labor compliance pertaining to employees’ working permit; hence, they both have a weighted mean of 1.00. On the other hand, for SSS, Philhealth, and Pagibig contributions, as well as Minimum Wage Law compliance; they were able to get a weighted mean of 2.50 and 2.40 respectively. For that, they were able to get a grand mean of 1.88 which is being described as slightly serious and with estimated median of 1.75 and confidence level of 94.1.
Table 21 Degree of Seriousness Company's Micro-Environments Forces Fish Marketing Weighted Ranking Interpretation Practices Mean Statements: 1 Fishing Company: Legal Requirements Compliance, such as:
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Fish Marketing Weighted Ranking Interpretation Practices Mean Statements: a. Government License and permit 1.00 1 Not serious at to operate all
b. Labor compliance – employees’ working 1.00 1 Not serious at permit all c. Social Security System (SSS), 2.50 3 Slightly Philhealth, Pagibig serious contributions & benefits
d. Minimum wage law 2.40 2 Slightly compliance serious
e. Provides all legal benefits to 2.50 3 Slightly employees serious
Slightly Grand Mean 1.88 serious Management Areas/Departments Support, such as: a. Effective Marketing/Sales 2.30 2 Slightly Management serious Support
b. Effective Finance/Accounting 2.00 1 Slightly Management serious Support c. Effective Purchasing 2.40 3 Slightly Management serious Support d. Effective Operations 2.30 2 Slightly Management serious 92 Business Research Journal – Volume XXIII
Fish Marketing Weighted Ranking Interpretation Practices Mean Statements: Support
e. Effective Legal Management 2.50 4 Slightly Support serious f. Research and Moderately Development 2.70 5 serious Management Support g. Effective Human Resource 2.40 3 Slightly Management serious Support Slightly Grand Mean 2.37 serious 2 As Competitor: Factors being considered, such as: a. Provides Fish Product Quality 2.60 5 Slightly and Quantity serious
b. Produce Sufficient Fish 2.30 3 Slightly Product Quantity serious
c. Provides Service 2.20 2 Slightly Quality serious d. Provides 2.00 1 Slightly Competitive serious Prices e. Provides Fair Fish Product- 2.40 4 Slightly Payment Terms serious Slightly Grand Mean 2.30 serious 3 For Its Suppliers Resources needed by the fishing company that influence Business Research Journal – Volume XXIII 93
Fish Marketing Weighted Ranking Interpretation Practices Mean Statements: the price of fish products
Extremely a. Cost of Gasoline 4.80 2 serious
b. Cost of Inputs: raw Extremely materials, labors 5.00 1 serious and capitals c. Cost of Interest rates: Banks and 3.50 3 Serious other capital/money lenders Extremely Grand Mean 4.43 serious 4 For Its Customers: Independent Customers who buy fresh fish and other fishery products from one channel to another channel, such as: a. Wholesalers can Extremely affect the price of 5.00 1 serious fish products
b. Buyers and Sellers can also affect the Extremely price of fish 5.00 1 serious products by adding markup price
c. Retailers can also Extremely add markup price to 5.00 1 serious fish products
Extremely Grand Mean 5.00 serious
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Based on the results under management areas or department support, fishing companies were able to get a grand mean of 2.37 which means slightly serious with an estimated median of 2.375 and a confidence level of 94.8; and specifically, in the areas of Finance/Accounting Management Support which is ranked number 1 with a weighted mean of 2.00, followed by Marketing/Sales Management Support and Operations Management Support with both having 2.30 weighted mean. Then, for Purchasing Management Support and Human Resource Management Support, both have 2.40 weighted mean. Next, for Legal Management Support and Research and Development Management Support, they both have 2.50 and 2.70 weighted mean respectively. It implies, therefore, that fishing companies should be able to strengthen their departmental or management supports because these will make their company problems easier to resolve due to their close coordination and collaboration; nevertheless, they can also undertake numerous and complex activities simultaneously and thereby achieve their common objectives and goals. For their business competitors, the table shows that as far as competition is concerned, fish companies normally compete in terms of the following factors, namely: product prices which is ranked number 1 with a weighted mean of 2.00, followed by service quality, ranked no. 2; then, fish production quantity which ranked no. 3, followed by payment terms ranked no.4. All of those factors give them a grand mean of 2.30 which is being described as slightly serious with a median of 2.30 as well and with a confidence level of 94.1. Hence, it entails that though competition is important because it dictates excellent quality in terms of fish products and service; it also dictates prices to go down which eventually benefits the consuming unit in particular and the economy in general. On the other hand, it implies that businesses are forced to lower their prices to stay competitive, decreasing their return for the fish products they produce and sell and eventually creates adverse domino effects to employment, and production.
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For their suppliers, based on the above table, majority of the respondents, with a grand mean of 4.43 which is being described as extremely serious, believe that the cost of inputs such as raw materials, labors and capitals are ranked no. 1 with a weighted mean of 5.00, followed by cost of gasoline which is ranked no. 2, and cost of interest rates in banks and other capital/money lenders which is ranked no. 3. It implies, therefore, that one among the many causes of price increases of fish products is the cost the producers incurred which is evidently beyond their control. For its customers, all respondents disclosed that customers are being affected by the distribution channels and this has been manifested by the results of the survey with a grand mean of 5.00 which means extremely serious. In fact, the number of resellers involved in the distribution channel affects the final price of the product. This is so because the channel member tries to make some profit for his/her contribution to the sale of the product. It implies, therefore, that the more middlemen in the market, the higher the price markup of fish products which will eventually affect the consuming public. Based on the results shown in Table 22, the degree of seriousness of fish markets’ distribution channels for fish producer/operator, having a grand mean of 2.09 which is described as slightly serious, and with a confidence level of 95.6, which is good enough. The producers/operators, being the respondents in this study, have disclosed that they have their own spacious stall/office space inside NFPC and have their own fish brokers to make sure of the efficient way of selling and transfer of fish products to their customers/buyers. In fact, it can be seen on the table that they have a weighted mean of 1.00, meaning no problem, not serious at all. They also have adequate transport facilities with 1.50 weighted mean, followed by their ability to maintain certain fish product quality standard as prescribed; and they follow the acceptable fish handling process as well to make sure of the efficient way of fish product mobility, for this they gained a weighted mean of 1.70.
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Table 22 Degree of Seriousness, Fish Markets’ Distribution Channels Fish Producer/Operator Degree of Seriousness 1 Weighted Statements: Ranking Interpretation Mean 2 We have our own spacious stall/office 1.00 1 Not serious at space inside NFPC. all 3 We have sufficient availability of freezing facilities or 3.70 7 Serious cold storage inside NFPC. 4 We have adequate transport facilities. 1.50 2 Not serious at all 5 We maintain certain fish product quality 1.70 3 Not serious at standard as all prescribed. 6 We follow the proper and legal fish weight Moderately measurement for 2.70 5 serious each fish tub or “banyera”. 7 We follow the proper and legal fish 3.60 6 Serious bidding/auction process. 8 We follow the required hygiene/sanitation 1.90 4 Slightly serious standard in our trading area. 9 We follow the acceptable fish handling process to make sure the 1.70 3 Not serious at efficient way of fish all product mobility.
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Fish Producer/Operator Degree of Seriousness 10 We have our own fish broker to make sure the efficient way of selling and 1.00 1 Not serious at transfer of fish all products to our customers/buyers.
Grand Mean 2.09 Slightly serious
Regarding the required hygiene/sanitation standard in the trading area, they got 1.90 weighted mean which means slightly serious. On the other hand, regarding the proper and legal fish weight measurement compliance, they cannot really comply strictly because they are using fish tub or “banyera” which is considered not exact measurement, for that, they have a weighted mean of 2.70. Likewise, they cannot comply with proper and legal fish bidding/auction process, which is open bidding, because they use the traditional way, the closed bidding process, which is the “bulungan” or whispering type of negotiation; hence, they have a weighted mean of 3.60. Lastly, for sufficient availability of freezing facilities or cold storage inside NFPC, they got 3.70 weighted mean or serious conditions, since there is no sufficient, much more highly technological facilities and storage in the area. It, therefore, implies that fish producers are complacent with the current fish business condition; that is, resisting change or improving the bidding process and continually embracing the old and traditional “bulungan method” as well as the use of proper and legal weighing measurement tools/instruments of fish products. Likewise, the table shows the inadequacy of freezing facilities or cold storage inside NFPC which is detrimental to business since fish products are perishable. It can be gleaned on Table 23 that fish brokers are employed in their respective fish company; they find the market, arrange logistics, and secure payment on behalf of the fish
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producer. They also require their customers to have minimum number of fish tubs or “banyeras” in a given transaction. Apart from that, they are requiring to perform sales and promotional activities, and lastly, they are in favor of the “bulungan” or whispering system as a method of determining the price of the fish products. For all of these, they got 1.00 weighted mean which means “not serious at all”. The respondents said that they receive commission for every tub or “banyera” that they sold on a daily basis; hence, they got a weighted mean of 1.50 which means slightly serious.
Table 23 Degree of Seriousness, Fish Markets’ Distribution Channels Fish Broker Degree of Seriousness Weighted 1 Statements: Ranking Interpretation Mean We have been provided by the Company the 2 necessary training and 2.40 4 Slightly serious skills to become fish broker. We receive commission on the 1.50 2 Not serious at all 3 sale’ value of fish products. We should be 4 employed to a fishing 1.00 1 Not serious at all company. We find market, arrange logistics, and 5 secure payment on 1.00 1 Not serious at all behalf of the fish producer/operator. We require our customers for minimum number of 6 fish tubs or “banyeras” 1.00 1 Not serious at all before we give discount price. We perform sales and 7 promotional activities. 1.00 1 Not serious at all
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Fish Broker Degree of Seriousness We are in favor of the “bulungan” or 1.00 1 Not serious at all whispering system as a 8 method of determining the price of the fish products. We provide an Official Receipt or Sales 9 Invoice to our 1.40 3 Not serious at all customers. Not serious at Grand Mean 1.29 all
As to the issuance of Official Receipt (O.R.) or Sales Invoice to their customers, they said, they provide receipt if the customers are asking for one; hence, they got 1.40 (slightly serious). And lastly, being called fish broker requires them to gain adequate experience, training, and personal skills and they are being provided of such by the owner/producer; hence, they have 2.40 weighted mean. With a grand mean of 1.29, which is described as “not serious at all”, comparing to estimated median of 1.20 and having an achieved confidence level of 94.1 is fair enough. In a nutshell, it implies that fish brokers play a very important part in fish marketing and distribution processes for they represent the owner or fish producer/operator on the sales of fish products; hence, they should be properly trained, experienced, and skillful in dealing with different buyers and various marketing situation. The thing is that for the longest time, traditional methods in doing business still prevail in NFPFM which is unfavorable to the buying public as well as to the government like the “Bulungan” or whispering method. This method can be a source of corruption due to its nature of close bidding. Close bidding is a situation in which the potential buyers make offers for certain quantities of fish tubs without knowing how much the others are offering; then, the fish broker chooses the best offer. This transaction may happen even without the complete knowledge of the owner/producer about the
100 Business Research Journal – Volume XXIII possible anomalous transaction that occurs. Hence, the owner should not give complete trust to the fish broker. Table 24 shows, based on the results, the fish wholesalers must maintain their regular customers or “Suki” and that can possibly happen when they give discounted prices to their regular customers provided that the buyers will meet the minimum number of fish tubs or “banyeras”. Another thing is that they should allow their regular customers to pay check as payment for the fish products; and lastly, they should also issue an official receipt or sales invoice only to their regular customers. For all these, the results show the weighted mean of 1.00 or simply “not serious at all”. On the other hand, for allowing their regular customers the ““buy now, pay later” transactions, it has a weighted mean of 1.34 which means slightly serious.
Table 24 Degree of Seriousness, Fish Markets’ Distribution Channels Fish Wholesaler Degree of Seriousness Weighted Statements: Ranking Interpretation Mean 1 We have and maintain our regular 1.00 1 Not serious at customers or “Suki”. all
2 We always give discount price to our 1.00 1 Not serious at regular customers. all
3 We have minimum number of fish tubs or Not serious at 1.00 1 “banyeras” before we all give discount price. 4 We allow “buy now, pay later” to our “suki” or regular 1.34 2 Not serious at customers. all
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Fish Wholesaler Degree of Seriousness 5 We allow postdated check as payment by our “suki” or regular 1.00 1 Not serious at customers. all
6 We are in favor of the “bulungan” or whispering system as Moderately a method of 3.18 3 Serious determining the price of the fish products. 7 We provide or issue an Official Receipt or Sales Invoice to our 1.00 1 Not serious at regular customers. all
Not serious at Grand Mean 1.36 all
Unfortunately, majority of the respondents are not in favor of the “bulungan” or whispering system as a method of determining the price of the fish products, hence, it has 3.18 weighted mean which is serious. Overall, the respondents are unanimously positive in their response, in fact, it is manifested in the results of garnering a grand mean of 1.36 weighted mean, with a median of 1.00 and with a confidence level of 94.8, except on their adverse concern on close bidding method called “bulungan system”. It implies, therefore, that due to business trading tradition, the close bidding method better known as “bulungan system” becomes a source of “palakasan or bata-bata system” or in English “patronage” in the Filipino business culture where one gains favor through family affiliation (nepotism) or friendship (cronyism). Likewise, it can also be a cause of corruption since fish brokers have the authority to decide to which they would give the fish products after the bidding process because there was no transactional transparency that occurred. 102 Business Research Journal – Volume XXIII
Buyers and sellers are the third channel in the distribution process. Table 25 shows, based on the results, there is a grand mean of 1.39 which is described as not serious at all in the degree of seriousness for fish distribution channels. But as compared to wholesalers who became adverse in their response as far as “bulungan or whispering method of bidding, buyers and sellers are positive which means they are in favor of it. According to them, close bidding can establish good customers who will become their “suki” or regular customers; hence, it has a positive weighted mean of 1.24 which means not serious at all.
Table 25 Degree of Seriousness, Fish Markets’ Distribution Channels Buyer and Seller Degree of Seriousness
Statements: Weighted Ranking Interpretati Mean on 1 We have regular customers or “Suki” 1.00 1 Not serious and we maintain at all them. 2 We always give discount price to our 1.00 1 Not serious regular customers. at all 3 We allow “buy now, pay later” to our 1.62 4 Not serious “suki” or regular at all customers. 4 We allow postdated check as payment by our “suki” or regular 1.60 3 Not serious customers. at all 5 We are in favor of the “bulungan” or whispering system as a method of 1.24 2 Not serious determining the price at all of the fish products.
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Buyer and Seller Degree of Seriousness 6 We provide or issue an official receipt or 1.90 5 Slightly sales invoice to our serious regular customers.
Not serious Grand Mean 1.39 at all
Overall, based on the results manifested in Table 26, it has a grand mean of 1.46 with an estimated median of 1.00 and confidence level of 94.8. It clearly shows that from statements 1 to 6, all respondents indicated their positive response or “not serious at all”, except for statement no. 7, which is considered extremely serious, with a weighted mean of 4.2. It implies that it becomes a common practice by all small fish traders (retailers) not to issue official receipt (OR) in their sales. In effect, all the supposed to be income that must be collected by the Bureau of Internal Revenue (BIR) are not being recorded because of the non-issuance of O.R. or Sales invoice in the process. Hence, the Government National Budget (GNB) is being affected as well as the Gross Domestic Product (GDP). The non-issuance of O.R. simply means non-recording of transactions since they cannot be incorporated in the National Income Accounting transactions.
Table 26 Degree of Seriousness, Fish Markets’ Distribution Channels Fish Retailer Degree of Seriousness Weighted Statements Ranking Interpretation Mean I comply with all 1 government legal business 1.00 1 Not serious at requirements. all I have my own stall space 2 inside the public market. 1.00 1 Not serious at all I have my own regular 3 customers or “Suki”. 1.00 1 Not serious at all
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I always give discounted 4 price to my regular 1.00 1 Not serious at customers or “suki”. all I comply with all proper and legal fish weight 5 measurement as prescribed by the DTI for my 1.00 1 Not serious at customers. all I comply with all government requirements 6 concerning to hygiene/sanitation standard 1.00 1 Not serious at in my stall/trading area. all I always provide or issue 7 official receipt or sales invoice to my customers. 4.20 2 Serious Not serious at Grand Mean 1.46 all
As shown in Table 27, the respondents stated that the price of fish products in the market still lies on the market forces known as “law of supply and demand”. It only means that the price of fish products depends on how the buyer and the seller agreed on certain price and quantity, and it is normal in a free enterprise economy; As such, it has given a weighted mean of 1.00 which is “not serious at all”. On the other hand, there has been a mixture of responses pertaining to the price affordability of fish products in the market in which the weighted mean is 2.06 which is moderately serious, Conversely, the respondents gave the lowest mark for the issuance of O.R. or Sales Invoice; hence, it has garnered a weighted mean of 5.00 which means extremely serious. The non-issuance of receipt has been illegally practiced by the traders in the channels of distribution for the longest time; and, this has also been illegally consented by the City Government, the DTI, as well as by the BIR. An example of which can be visibly seen in the marketplaces where the buyers buy fish products with no O.R. being given to them unless the buyers directly ask for it.
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Table 27 Degree of Seriousness, Fish Markets’ Distribution Channels Fish Final Consumer Degree of Seriousness
Weighted Interpretati Statements Ranking Mean on
1 The prices of fish products in the marketplace are 2.06 3 Slightly affordable. serious
2 The prices of fish products are being determined by the market forces or “Law of Supply 1.00 1 Not serious and Demand”. at all
3 The quality of fish products in the marketplace are being met based on the required 1.54 2 Not serious standards. at all
4 The marketplace is organized, orderly, clean, and safe. 1.54 2 Not serious at all
5 There is an organized traffic management system in the main road of the marketplace avoiding traffic congestion or 2.28 4 Slightly obstruction. serious
6 The sellers are issuing sales invoice or official receipt to their buyers. 5.00 5 Extremely serious
Slightly Grand Mean 2.24 serious
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As to the statement no. 5 which is about organized traffic management system in the main road of the marketplace avoiding traffic congestion or obstruction, it garnered a weighted mean of 2.28 which is also moderately serious. Traffic has always been a problem in Metro Manila; but it is particularly true in the central marketplaces where traders can also be seen in the main road of the nearby central market. Overall, the table shows a grand mean of 2.24 which is described as slightly serious with an estimated median of 1.91 and confidence level of 94.1. It implies, therefore, that issuance of receipt is extremely serious that government must look into; it is seconded by proper traffic management enforcement, and lastly, to make the price of fish products affordable to the consuming public. Hypothesis Testing: The null hypothesis, which shall be tested with five percent (5%) significant level, shall be used to guide the researcher during the research process, as follows: 1. There is no difference in the median rating on how the PFDA Administrators, NFPC Manager, the Micro- environments, and Fish Markets’ intermediaries evaluate the existing fish marketing practices and its distribution in Metro Manila. 2. There is no difference in the median rating on how the PFDA Administrators and NFPC Manager assess the marketing micro-environments, the channels of distribution, and the fish markets in Metro Manila. 3. There is no difference in the median rating on the factor that can be drawn or deduced from or among fish markets in Metro Manila. Thus, the above stated null hypotheses were not rejected. The Innovative Marketing Model: After a thorough evaluation and assessment of the subject under study, the researcher was able to come up with a pyramidal innovative fish marketing model as presented in Figure 15. Based on that pyramidal diagram, PFDA
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Administration, being the policy making body, has the authority to communicate and coordinate its policy to NFPC management for effective implementation such as the needed skilled and trained manpower requirements, as well as establishing a modern organizational and marketing framework. NFPC Management, on the other hand, as an organizational entity in which the policy is being communicated, must coordinate and collaborate with PFDA for the realization of such policy implementation in NFPFM.
Figure 15 Navotas fish port fish market; an innovative marketing model
Such policies, pertaining to physical and operational supervision, are the provision of establishing adequate cold storage and ice plant facilities, spacious parking areas, and well lighted port and market road which fall under physical aspect. And for operational, the following are suggested: 1. good working condition in the area must always be observed, 2. there must be a well-organized traffic management performed by a well-trained traffic enforcer, 3. the fish port clinic must have licensed nurse and ambulance, and lastly, 4. there must be fish port police station for security and safety of all traders.
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For company’s micro-environment forces, NFPC Management must oversee that all fish traders, particularly all fish producers/operators, must comply with all government requirements such as having government license and permit to operate, and labor compliance for employees’ working permit. Company’s environment must also be equipped with organizational support to be able to effectively expedite its internal management activities such as its marketing/sales management support, its finance/accounting management support, and its operations management support; as such all of which are essential to be able to produce sufficient fish product quantity that provides competitive prices. The first entity in the distribution channels is the fish producers or operators doing business day and night in NFPFM. Fish producers must constantly cooperate and collaborate with NFPC management to make sure of the effectiveness of distribution flows of fish products in the trading area. And to be able to carry it out, they need spacious stall/office inside NFPC, adequate transport facilities, maintenance of fish product quality standard by acquiring or providing them enough space to put up or rent cold storage and freezing facilities inside NFPFM. On top of it, they must always observe sanitation standard in the trading area, acceptable fish handling process for efficient mobility in order to assure the efficient selling and transfer of fish products; that is, from fish producers down to ultimate consumers. Fish brokers, the representative and front liner of the fish producers in the fish trading activities, must be bonafide employees of a fishing company; this is so because of the trust and confidence given to them by the company’s management. It is their function; that is, to find markets, the logistics, securing of payments for fish producers/operators, performing sales and promotional activities, and lastly, decision pertaining to daily requirements for minimum number of fish tubs and the corresponding discount price thereof. With regard to distribution channels, fish wholesalers and fish buyers and sellers are considered the same; though, at times they are different in use and in function. Nevertheless, Business Research Journal – Volume XXIII 109 their functions are to keep their regular and existing customers (fish retailers) and maintain their loyalty. Subsequently, they provide discounted prices for their regular customers as they are also being provided such discounts by the fish brokers. In terms of transactional process, they usually require their customers for minimum number of fish tubs before they can avail such discount prices, allowing their regular customers issuing postdated checks as payment, and lastly, the issuance of official receipts for their customers. For fish retailers, they are the people selling their fish products in different marketplaces. They derive their fish products from the fish wholesalers in NFPFM trading area. Since they are legitimate fish traders in various marketplaces, they must also comply with government legal business requirements, owning or renting stall space inside the public market, keeping their regular customers, and providing discounted prices. Moreover, correct fish weight measurements must be used for fish trading, as well as the proper maintenance of hygiene/sanitation standard in their respective stall or trading areas. Lastly, the receiving end of this distribution channels are the final customers. It is an acceptable fact under free enterprise system, fish customers are already used to it, that prices of fish products are being determined by the market forces (law of supply and demand), expecting quality standard of fish products (live fish or even fresh fish) in the marketplace. And though, fish products are much cheaper in price as compared to prices in supermarkets, they are still expecting an organized, orderly, clean, and safe marketplace in the trading public market. In Summary: Navotas Fishing Port and Fish Market is the main source of fish products in Metro Manila. It is administered and managed by PFDA and NFPC with the purpose of promoting growth of the fishing industry and improving efficiency in the handling, preserving, marketing and distribution of fish and fishery products through the establishment and administration of fish
110 Business Research Journal – Volume XXIII ports and fish markets. Continual improvement is always expected from them. As such, various inputs are considered for continual improvement such as quality policy implementation, conceptualizing a modern organizational and marketing framework to supplement current and future development programs in NFPFM, organizing an effective marketing and distribution system for fish that would coordinate the interests of fishing boat operators/owners/producers, brokers, wholesaler, retailers and consumers. Fish producers, as fishing boat owners, must conform to the plans and programs being enforced by NFPC management particularly in the area of port operation, marketing, and distribution. Likewise, fish brokers are important partners for the direct market of fish products to other distributing channels; hence, they are expected to build goodwill among them as well as establish good rapport to the owners. Other distribution channels are key factors affecting the demand function of fish products. Price, quality and quantity, transportation, cold storage and freezing facilities, year-round availability, safety and hygiene are principal determinants of consumer demand on fishery products. Other factors being studied are the company micro environmental forces and these include the company itself, its suppliers, marketing intermediaries, customers, and competitors. Fish producers/owners must understand the microenvironment of a business by prompt observation, market analysis and by other techniques in order to accomplish the company’s marketing objectives. All the information which was derived by the researcher from 250 eligible respondents are tested, and validated using certain statistical treatment of data and wilcoxon. 1.9.6.2. Summary of Findings, Conclusions and Recommendations The main concern of the study was to evaluate the existing fish marketing practices and distribution in Navotas Fishing Port
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and selected fish markets in Metro Manila from 2008 to 2018 to be able to come up with sound innovative marketing model. Towards this purpose, the following questions were considered: 1. What is the demographic profile of the respondents in the area of study in terms of the following? 1.1 PFDA Administrators and Staff, 1.2 NFPC Management and Staff, 1.3 Marketing Micro-Environments Entities, 1.4 Distributions Channels Participants? 2. To what extent do the respondents assess the degree of implementation of their respective functions as PFDA Administrators, NFPC manager, and staff members? 3. To what extent do the respondents assess the degree of seriousness of the problems/effects confronting the existing Fish Marketing Practices and Distribution in NFPFM in terms of its: 3.1. Marketing Micro-environments, 3.1.1. Company 3.1.2. Competitors 3.1.3. Suppliers 3.1.4. Customers 3.2. Fish Markets’ Distribution Channels? 3.2.1. Fish Producers Operators 3.2.2. Fish Brokers 3.2.3. Fish Wholesalers 3.2.4. Fish Buyers/Sellers 3.2.5. Retailers 3.2.6. Customers 7. In what way can marketing micro-environments and the fish markets intermediaries’ channels influence/affect the fish marketing practices and its distribution in NFPFMs in Metro Manila?
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8. What are the perceived problems/challenges encountered as a result of the study? 9. Based on the findings arrived at, what innovative marketing model can be tailored to augment the dynamic fish marketing practices and distribution in NFPFMs’ in Metro Manila? Summary of Findings: Based on the study conducted, the research has resulted in the following findings: In terms of the demographic profile of the respondents in NFPFM, the following has been observed: That all two hundred fifty (250) NFPFM respondents, from PFDA, NFPC, the marketing micro-environments, and the fish markets intermediaries (middlemen), given their age profile that belonged to different matured age group of 21 to more than 60 years old, and with their attributes, experiences, and qualifications, can surely provide credible source of information. Hence, they were all considered eligible representative sample or participants in this study. In terms of the degree of implementation of Philippine Fisheries Development Authority – Administration and Staff Functions (PFDA-ASF), the following were observed: 1. Extensive implementation and enforcement of their policies, programs, guidelines, standard, decisions, rules and regulations, with 4.80 weighted mean. 2. Extensive implementations of their manpower requirements update and further study, and its corresponding staffing pattern, with 4.70 weighted mean. 3. Extensive implementation of PFDA in providing a modern organizational and marketing framework to supplement the current and future development programs in the fishing industry, with 4.70 weighted mean.
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In terms of the degree of implementation of Navotas Fish Port Complex – Management Staff Functions (NFPC-MSF 1) in providing all the necessary facilities for quick and easy mobility, and marketability of the fish products, the following were identified: 1. Implementation of the additional Cold Storage and Ice Plant Facilities inside the Navotas Fish Port Complex (NFPC), with 3.40 weighted mean. 2. Partial implementation of Spacious Parking Areas inside Navotas Fishing Port and Fish Market Area, with 2.90 weighted mean. 3. Partial implementation of Well Lighted Port and Market Road inside and outside the vicinity of NFPC, with 3.10 weighted mean. In terms of the degree of implementation of Navotas Fish Port Complex – Management Staff Functions (NFPC-MSF 2) with its close coordination and collaboration with the proper authorities for security and safety of all traders/participants, the following were identified: 1. Partial implementation of companies’ good working condition in the area, with 2.90 weighted mean. 2. Seldom implementation of a well-organized traffic management in the area, with 2.80 weighted mean. 3. Seldom implementation of fish port clinic, with nurse and ambulance, with 2.80 weighted mean. 4. Implementation of fish port police station within the vicinity of NFPC, with 3.90 weighted mean. In terms of the degree of seriousness of the problems/effects confronting the existing Fish Markets Distribution Channels – Fish Producer/Operator (FMDC-FPO) in NFPFM, the following were observed: 1. For the ownership of spacious stall/office space inside NFPC, with 1.00 weighted mean, it is not serious at all. 114 Business Research Journal – Volume XXIII
2. For adequate transport facilities of fish companies in NFPFM, with 1.50 weighted mean, it is not serious at all. 3. For maintaining certain fish product quality standard as prescribed by the Authorities, with 1.70 weighted mean, it is not serious at all. 4. For the compliance of the required hygiene/sanitation standard in their respective trading area, with 1.90 weighted mean, it is slightly serious. 5. For the compliance of the acceptable fish handling process to make sure the efficient way of fish product mobility, with 1.70 weighted mean, it is not serious at all. 6. For employing their own fish brokers to ascertain the efficient way of selling and transfer of fish products to their customers/buyers, with 1.00 weighted mean, it is not serious at all. In terms of the degree of seriousness of the problems/effects confronting the existing Fish Markets Distribution Channels – Fish Broker (FMDC-FB) in NFPFM, the following were observed: 1. For being employed to their respective fishing companies, with 1.00 weighted mean, it is not serious at all. 2. For finding the market, arranging logistics, and securing payment on behalf of the fish producer/operator, with 1.00 weighted mean, it is not serious at all. 3. For requiring their customers for the minimum number of fish tubs or “banyeras” before they give discount price, with 1.00 weighted mean, it is not serious at all. 4. For performing the sales and promotional activities, with 1.00 weighted mean, it is not serious at all.
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5. For being in favor of the “bulungan” or whispering system as a method of determining the price of the fish products, with 1.00 weighted mean, it is not serious at all. In terms of the degree of seriousness of the problems/effects confronting the existing Fish Markets Distribution Channels – Fish Wholesaler (FMDC-FW) in NFPFM, the following were observed: 1. For keeping and maintaining their regular customers or “Suki”, with 1.00 weighted mean, it is not serious at all. 2. For always giving their regular customers a discounted price, with 1.00 weighted mean, it is not serious at all. 3. For requiring their customers, a minimum number of fish tubs or “banyeras” before they give discount price, with 1.00 weighted mean, it is not serious at all. 4. For allowing postdated check as payment by their “suki” or regular customers, with 1.00 weighted mean, it is not serious at all. 5. For providing or issuing an official receipt or sales invoice to their regular customers, with 1.00 weighted mean, it is not serious at all. In terms of the degree of seriousness of the problems/effects confronting the existing Fish Markets Distribution Channels – Buyer and Seller (FMDC-BS) in NFPFM, the following were observed: 1. For having and maintaining their regular customers or “Suki”, with 1.00 weighted mean, it is not serious at all. 2. For always giving their regular customers a discounted price, with 1.00 weighted mean, it is not serious at all. In terms of the degree of seriousness of the problems/effects confronting the existing Fish Markets Distribution Channels – Fish Retailer (FMDC-FR) in NFPFM, the following were observed: 116 Business Research Journal – Volume XXIII
1. For compliance with all government legal business requirements by fish retailers, with 1.00 weighted mean, it is not serious at all. 2. For having their own stall space inside the public market, with 1.00 weighted mean, it is not serious at all. 3. For having and maintaining their regular customers or “Suki”, with 1.00 weighted mean, it is not serious at all. 4. For always giving their regular customers a discounted price, with 1.00 weighted mean, it is not serious at all. 5. For compliance with all proper and legal fish weight measurements as prescribed by the DTI for their customers, with 1.00 weighted mean, it is not serious at all. 6. For compliance with all government requirements concerning hygiene/sanitation standard in their stalls/trading areas, with 1.00 weighted mean, it is not serious at all. In terms of the degree of seriousness of the problems/effects confronting the existing Fish Markets Distribution Channels – Fish Final Consumer (FMDC-FFC) in NFPFM, the following were observed: 1. For the prices of fish products which are being determined by the market forces or “Law of Supply and Demand”, with 1.00 weighted mean, it is not serious at all. 2. For the quality of fish products in the marketplaces which are being met based on the required standards, with 1.54 weighted mean, it is not serious at all. 3. For the marketplaces which are organized, orderly, clean, and safe, with 1.54 weighted mean, it is not serious at all. In terms of determining the way the company’s marketing micro-environments and fish markets intermediaries Business Research Journal – Volume XXIII 117
(middlemen) can influence/affect the fish marketing practices and its distribution in NFPFMs in Metro Manila, the following were observed: CMF-FC1a - Legal Requirements Compliance 1. For Government License and permit to operate, with 1.00 weighted mean, it is not serious at all. 2. For Labor compliance – employees’ working permit, with 1.00 weighted mean, it is not serious at all.
CMF-FC1b - Management Areas/Departments Support 1. For effective marketing/sales management support, with 2.30 weighted mean, it is slightly serious. 2. For effective finance/accounting management support, with 2.00 weighted mean, it is slightly serious. 3. For effective operations management support, with 2.30 weighted mean, it is slightly serious. CMF-C2 - Competition 1. For producing sufficient fish product quantity, with 2.30 weighted mean, it is slightly serious. 2. For providing service quality, with 2.20 weighted mean, it is slightly serious. 3. For providing competitive prices, with 2.00 weighted mean, it is slightly serious. The Perceived Problems/Challenges Encountered as a Result in this Study This research study evaluates the problems and challenges being confronted by all potential respondents purposively selected by the researcher as shown in Chapter 1, the conceptual framework portion, to be able to determine and identify the past and existing issues pertaining to fish marketing practices and its
118 Business Research Journal – Volume XXIII distribution in Navotas Fish Port and Fish Markets in Metro Manila. This study involves PFDA Administrators and Staff, NFPC Managers and Staff, various Marketing Intermediaries, and Customers. In the process of, the researcher was able to distribute the survey questionnaires and conduct semi-structured interviews which would examine respondents’ personal information, problems and challenges they were confronting, including the future plans or programs they have in NFPC particularly in the area of fish port and fish market rehabilitation and its marketing practices innovation. Data analysis indicated that challenges were directly influenced by managerial communication, coordination, and collaboration with the proper authorities and marketing participants as well as the resistance to change in the traditional marketing practices and distribution process. Moreover, during the focus discussion of the researcher with the officers of PFDA and NFPC, they were able to picture out the real marketing and operational condition of NFPFM and the fishing industry. And in the course of our conversation, they had mentioned that it was very timely to conduct this kind of research study for they are currently rehabilitating the NFPC, improving fish marketing practices, and standardizing channels of distribution in NFPFM. As such, they became very supportive and transparent in providing even the very sensitive information. In the end, they personally requested the researcher to provide them copy of this dissertation paper. Conclusions Based on the foregoing findings, the following conclusions were drawn: Based on the survey results on the respondents’ profile, all respondents have been found competent, qualified, as well as eligible in providing the necessary information in answering the survey questionnaires as well as in the conduct of focus interviews for the administrators in this research study. In fact, it has been shown in their age - their maturity; education - their attainments; and years of stay in the industry - their professionals’ and working experiences in the organization as
Business Research Journal – Volume XXIII 119 administrators, managers, and staffs. On the other hand, for fish producers, fish brokers, fish buyers and sellers, fish wholesalers, fish retailers, going down the line to the ultimate fish consumers/customers - their working experiences profile in the area of fish marketing and distribution involvements were undeniably adequate if not impressive to become the respondents in this study. By and large, their surveys responses were used in interpreting the findings in the rest of the study. All the questions in the survey questionnaires were critically evaluated by 250 respondents and carefully analyzed, validated, and interpreted by the researcher using certain statistical treatment of data, frequencies, percentages, wilcoxon statistics, and numerical scales, ranges, and descriptions. In terms of the degree of implementation, the PFDA Administrators and their staff members were able to assess their functions in relation to their organizational policies, programs, plans, their rules and regulations, duties and responsibilities, organizational framework, and marketing distribution system. And based on the results of the assessment, with a grand mean of 4.65 with achieved confidence level of 94; meaning, all their functions were extensively implemented. Therefore, it only shows that the PFDA respondents were very much aware and conscious of their administrative and operational responsibilities and accountabilities in the implementation and enforcement of their policies, programs, guidelines, standard, decisions, rules, and regulations. Moreover, they were able to stabilize consumer prices through the rehabilitation of facilities and improvement of handling and marketing practices in fish landings and fish markets which they have always been doing for years. On the other hand, NFPC Managers and their staff members were also able to assess their functions in relation to the provision that all the necessary facilities for quick and easy mobility, and marketability of fish products would be closely coordinated and collaborated with the proper authorities for security and safety of all traders/participants in the process. For these, they just garnered a grand mean of 2.93 and 2.83 respectively which was described as partially implemented.
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Hence, NFPC management has so many things to undertake in order for them to fix all the necessary improvements and rehabilitation of Navotas Fish Port and Fish Market area to be able to achieve the required domestic and international fish port and market standard. 1. When it comes to the degree of seriousness of the problems/effects confronting the existing NFPFM, the researcher concluded the following: 1.1. For fish producers/operators, the problems and challenges were assessed by the respondents as slightly serious in the sense that there are still a lot of improvements to be done. Said improvements shall be tackled in the recommendation. 1.2. For fish brokers, the problems and challenges were assessed by the respondents as not serious at all. This is so because they just did what should be done since they were in control of the past and are also in control of existing marketing practices. 1.3. For wholesalers, the problems and challenges were assessed by the respondents as not serious at all. This is for the simple reason that they need to embrace the existing marketing practices and distribution system in NFPFM. On the other hand, majority of the respondents were not in favor of the traditional “bulungan”/whispering/closed bidding method. 1.4. For buyers-sellers, the problems and challenges were assessed by the respondents as not serious at all. This is again for the same reason that they need to embrace the existing marketing practices and distribution system in NFPFM. The only thing was that they were in favor of the traditional “bulungan”/whispering/closed bidding method. Hence, if they practice such method, business corruption and transparency problems will remain. 1.5. For retailers, the problems and challenges were assessed by the respondents as not serious at all except statement
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number 7. It becomes a common practice by all small fish traders (retailers) not to issue official receipt (OR) in their sales. In effect, all the supposed to be income that must be collected by the BIR are not being recorded because of the non-issuance of official receipt or sales invoice in the buying and selling transactions. Hence, the Government National Budget (GNB) is being affected as well as our Gross Domestic Product (GDP) since they cannot be incorporated in the National Income Accounting transactions. 1.6. For customers, the problems and challenges were assessed by the respondents as slightly serious except for the non-issuance of official receipt which was extremely serious. It has always been a practice, in almost all marketplaces, that the buyers or consuming public are not asking an official receipt to the sellers. 2. For marketing micro-environments’ degree of seriousness and how they influence/affect the Fish Marketing Practices and its Distribution in NFPFMs in Metro Manila, the researcher concluded the following: 2.1. For fishing company’s compliance with legal requirements, the problems and challenges were assessed by the respondents as slightly serious. Hence, the National Government, particularly DTI, the Local Governments, BIR, SSS and GSIS, and DOLE, should come and act altogether and stringently enforce the legal requirements compliance. 2.2. For fishing company’s Management Areas/Departments Support, the problems and challenges were assessed by the respondents as slightly serious. Hence, fishing companies should be able to strengthen their departmental or management supports because these will make their company problems easier to resolve due to their effective
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communication, cooperation, coordination, and collaboration. 2.3. For its competitors, the problems and challenges were assessed by the respondents as slightly serious. Competition dictates excellent quality in terms of fish products and service. It also dictates prices to go down which eventually benefits the consuming unit, and the economy in general. On the other hand, businesses are forced to lower their prices to stay competitive, decreasing their return for the fish products they produce and sell, and this decrease eventually creates adverse domino effects to employment, and production. 2.4. For its suppliers, the problems and challenges were assessed by the respondents as extremely serious. This is so because among the many causes of price increases of fish products is the cost the producers incurred which is evidently beyond their control. 2.5. For its customers, the problems and challenges were assessed by the respondents as extremely serious. This is for the simple reason that the number of resellers involved in the distribution channel affects the final price of the product. This is so because channel members try to make some profit for their contribution to the sale of the product. Therefore, more middlemen in the market, it generates higher price markup of fish products which will eventually affect the consuming public. Recommendations: In the light of the findings and conclusions, the following recommendations are given: 1. The PFDA Administrators, being the policy makers and goal formulators, should strongly coordinate with the NFPC managers in executing those policies. The study shows different results in the survey, one with extensively implemented and the other one is partially implemented. As such, the 4C’s should be applied
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(proper communication, coordination, cooperation, and collaboration) not only within their organizations in the fishing industry but with other organizations as well, like the DTI, the local governments, BIR, SSS and GSIS, and DOLE; and the fishing companies – the fish producers/operators, the fish brokers, and other fish distributors in the distribution channels. By and large, they should all act synergistically to make real change possible in NFPFM. 3. The PFDA Administrators should regularly review their policies specifically on the management of their day-to- day functions and authority. They should also undertake studies and research to determine the needs of the fish markets and other related facilities and services and to ensure their operational efficiency. Furthermore, they should find possible ways to stabilize consumer prices through the improvement of handling and marketing practices in fish landings and fish markets. And lastly, they should organize their marketing and distribution system for fish that would coordinate the interests of fishing boat operators, and owners, brokers, wholesalers, retailers and consumers. Moreover, NFPC Managers should regularly observe clean and orderly trading in NFPFM by enforcing rigorous security and safety surroundings with well- lighted port and market road. In addition, they should monitor the management of drainage and sanitation in the area to be able to make sure of clean and potable water in NFPC. Apart from that, NFPC managers should coordinate with the City Hall of Navotas regarding the installations of Fish Port Fire Station, as well as to commercial banks officials in providing all the fish traders in NFPFM roving bank tellers for cash and checks deposit and safekeeping transactions in the vicinity of NFPC. 4. Marketing intermediaries, particularly the fish producers/operators, should closely coordinate and 124 Business Research Journal – Volume XXIII
collaborate with NFPC managers regarding the installation of more freezing facilities or cold storage inside NFPC since it is currently inadequate to serve all fish market traders; the imposition of legal weight measurement of fish products, e.g., by kilos instead of tubs or “banyera”. And most importantly, the realization and implementation of electronic bidding or e-bidding process which must replace the traditional practice of “bulungan” or whispering method. As such, it decreases dramatically the need to use multiple storage locations, multiple fish distributors and fish brokers to connect them to buyers and sellers and ultimately to their customers. Apart from it, fishing companies would need the least number of employees and intermediaries to operate fish trading if they sell online. Likewise, they need to provide training for personnel who will be in charge of the auction. In terms of payment process, cash bond should be imposed to fish traders by the fish brokers. Cashless payment should be implemented with the use of debit/credit cards or checks as a medium of exchange. They may allow even their “suki” or regular customers the “buy now, pay later” method if they have cash bonds to fish companies. Moreover, fish brokers should be provided by their companies the proper e- marketing training since they are the front-liners of the owner in the fish selling activities. Lastly, NFPC managers should collaborate with the BIR for the strict compliance on the issuance of receipts throughout the distribution channels. 5. Fishing companies should comply religiously with all legal requirements and benefits as being imposed by the government such as: SSS, Philhealth, Pagibig contributions, the minimum wage law, 13th month pay etc. To be able to attain higher management standard, fishing companies must consider the strengthening of their management supports such as human resource, research and development, legal, and purchasing. In terms of improving competition, fishing companies
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should focus on Product Quality and Quantity, and Fair Fish Product-Payment Terms. 6. The Philippine Fisheries Development Authority (PFDA) in close coordination with the Navotas Fishing Port Complex Authorities (NFPC) should provide a framework for sound marketing policy direction toward fostering fish marketing practices and standardized channels of distribution with the end-in-view of developing the NFPFMs in Metro Manila in particular and the fish trading industry in general. 7. Implement the Innovative Marketing Model based on the results of the study indicating the proposed action plans for improvements or innovation of the existing fish marketing practices and distribution in NFPFMs in Metro Manila.
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References
De Castro Hernandez, OH. (1979). Fish marketing at Dalahican Beach Fish Landing Area, Lucena City. U.P. at Los Banos: Master of Thesis.
Gartenstein D. (2017). Open Systems Theory in Business. Bizfluent
Presidential Decree No. 977, s. 1976 | Official Gazette of the Republic of the Philippines
Go, J. and Go, C E (2017). Principles and Practices in Marketing in the Philippine Setting. Josiah and Carolina Go Foundation Inc., Quezon City, Philippines. https://www.coursehero.com/file/13051386/Chapter-III/
Kohls, R.L. and Uhl, J.N. (1985) In Marketing of Agricultural Products. Macmillan Publishing Company, United States of America.
Lamarca, N S., (2017) Regional Fisheries Policy Network (RFPN). Member for the Philippines, Fisheries Country Profile: Philippines - University Library, University of the Philippines, Los Banos.
Medina Pizzali, A F., (2001). Low-Cost Fish Retailing Equipment in Large Urban Areas of Southeast Asia. FAO Technical Paper.
ARTICLE 2
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