LYCEUM NORTHWESTERN UNIVERSITY

Institute of Graduate and Professional Studies

CHAPTER I

MARKET STUDY

This chapter presents the market research and analysis serve as a foundation for

every business establishment. It provides information on demand, supply, and the

acceptability of the products and services as well. The proponent analysis of demand

and supply situation for this particular business is also done. Competitive analysis will

be conducted and carefully scrutinized. The result of the study would be a great help

for restaurateurs plan, organize, and control the future of the business. So, competitive

advantage can be constructed of formulated to make this business a sure win.

A. Market Description

Mandarin Restaurant will be located at AB Fernandez Ave., Dagupan City,

Pangasinan. Basically, the location is prosperous and convenience, it is the main

commercial center in Dagupan City; it is also accessible to the people who will pass

in the city of Dagupan.

The proposed restaurant is also expected to attract customers from the adjacent

town of Dagupan such as Lingayen, Bimaley, Calasiao, and as well as well as the

populace from other neighboring towns.

The restaurant will be located a few meters away from the CSI Square,

Pangasinan Medical Center, University of Pangasinan and many commercial center.

However, Mandarin Restaurant will be offering a different cuisine from Chinese-style

1
 LYCEUM NORTHWESTERN UNIVERSITY
Institute of Graduate and Professional Studies
and healthy foods. The trademark for excellence of our restaurant will be quality

foods and fashion, healthy concept. These will surely attract new customers to dine-in

and to keep old patrons from coming back also known as customer loyalty.

B. Business Name

Mandarin Restaurant is the name of the business. With the name alone, people will

be able to determine the kind of restaurant that the researcher will be putting-up in the

future. The concept of the researcher is to cater the needs of the foreigners in terms of

food taste. In the Philippines, there are many foreigners already studying for the

cheaper tuition fees and Filipinos are not left behind in terms of Education. Mandarin

Restaurant will help these students for their food needs especially the Chinese.

Filipinos also adapted the Chinese foods already and they really loved to eat Chinese

Foods, and Mandarin Restaurant is the best place for them.

C. Business Concept

Mandarin Restaurant is a food business that will offer a wide array of

Chinese-style food and dessert to serve in breakfast, lunch and dinner. Basically, it

will operate 14 hours a day from 7:00 am to 9:00 pm except on Fridays and Saturdays

in which it will be opened until 12:00 midnight .Some added feature for the venture is

that combination of food and drinks, for example the combination of set meal, the

main food with drink and dessert. Those combinations are good for convenience

odder or recommended collocation for suggesting the customer. The total area of the

2
 LYCEUM NORTHWESTERN UNIVERSITY
Institute of Graduate and Professional Studies
proposed venture is 350 square meters and designed to accommodate 100 seating

capacity.

D. Legal Structure

Mandarin Restaurant is a partnership in terms of ownership that consists of

only two partners. It comprises with the researcher, a Chinese Nationals and one

Filipino partner who is a friend of the researcher. The reason for choosing this

form of business organization is that it is easy to secure capital from others while

retaining the control in the organization. On the other hand, partners can have their

share of profits without risk of personal liability. The term of the partnership

contract will be 10 years and renewable.

E. Market Potential

The target market of this food and beverage business are the local and foreign

customers and tourists in Dagupan City, Pangasinan, the travelers for business

purposes, the students or employees for daily food purchase, and the populace of the

municipality and other neighboring towns in Pangasinan.

Dagupan City is the economic and education center of Pangasinan, there are 3

Universities and several colleges here, there is large number of student and potential

customers, on the other hand, Dagupan City is famous of Bangus. Based on the data

gathered from the Department of Tourism, there were 1,745,228.95 tourist arrivals in

Pangasinan in 2015. It is assumed by the proponent that out of the total number of

tourist arrival, 80% were bound to Western Pangasinan. It is further assumed, that the

3
 LYCEUM NORTHWESTERN UNIVERSITY
Institute of Graduate and Professional Studies
number of tourists will increase by 20% yearly. Thus, the projected market share will

be 30% on its 1st year of operations and will increase by 37% annually.

Moreover, based on the survey conducted, the highest percentage respondents

are willing to pay is 200.00 PHP and above. Thus, it is used as the basis for the

computation of annual sales.

F. THE INDUSTRY AND THE COMPANY AND ITS PRODUCT

A. The Industry

There is no denying that, people need to eat-even in the time of recession. No

wonder that food business are said to be virtually recession-proof. As we can observe

in the market, food industry can be considered the most promising type of business.

Dagupan City as a center of Pangasinan, it is the capital of economics,

education, culture and transportation in Pangasinan, it attract large number of foreign

and local tourists in the province.

According to the Department of Tourism (Department of Tourism Regional

Office in La Union), there were 1,312,202.22 and 1,745,228.95 number of tourists in

Pangasinan in 2014 and 2015respectively and are expected to progress each year. It is

a good evidence to build a fastfood business in Dagupan City, the center of

Pangasinan.

B. Mission Statement:

4
 LYCEUM NORTHWESTERN UNIVERSITY
Institute of Graduate and Professional Studies
To create a profitable restaurant with a Chinese-style, great, healthy and

convenience foods, and excellent services customers are satisfied every time they

come. To create employment in the locality of the business and to provide a safe,

healthy, and cooperative workplace for our employees to promote the value of

learning and self-worth

C. Vision:

Mandarin Restaurant will be the first choice in:

1. Providing the quality foods for customers and as well as for fast, hospitable,

efficient and personalized service.

2. Employees by ensuring welfare and safe working environment, creating

opportunities for professional advancement and bringing up employees

morale

3. Business partners by ensuring the suitable return on their investment and to

maintain win-win relationship.

D. The Products

Mandarin Restaurant will offer a wide range variety of foods, including breakfast,

lunch and dinner. Basically, the restaurant will be serving Chinese-style foods, drinks

and desserts .The taste will reform to appeal Philippines’ preferences. The taste will

surely be loved and fit the taste of every customer. The product offering is basically

fast, convenience, and tasty but will not sacrifice the value of nutrition and quality.

The price will be appropriate to the purchasers, because the product was designed
5
 LYCEUM NORTHWESTERN UNIVERSITY
Institute of Graduate and Professional Studies
basically for daily buying.

E. Market Size and Growth

With the increasing demand of hospitality business in Dagupan City, the

researcher has come up with the following result of market analysis; that Mandarin

Restaurant is expected to have 30% market share on the first year of operation and

will increase by 10% annually. It is further assumed by the researcher that the number

of tourist bound in Western Pangasinan in 80% of the total number.

Table 1 shows the number of tourist arrival in Pangasinan with the corresponding

years stated in the table.

Table 1

Tourist Arrival in Pangasinan

Pangasinan West Pangasinan Market share

6
 LYCEUM NORTHWESTERN UNIVERSITY
Institute of Graduate and Professional Studies
2011 285,771 228,617 68,585

2012 342,925 274,340 109,736

2013 411,510 329,208 164,604

2014 493,812 395,050 237,030

2015 592,754 474,069 331,842

Customers are the most important of every food and beverage business.

Basically, to stay on top of food industry, restaurants must be innovative in terms of

food quality and service.

The market survey involves three hundred (300) respondents from lower to

upper class domestic tourists and natives whose ages are ranging from 18 to 60 and

above. They were requested to answer a set of survey form to determine their

preferences.

The following were the results and interpretation of the survey conducted as

shown in table 2 below. The results of the profile of the respondents in terms of Sex,

Civil Status in table 3, Age in Table 4, Table 5, the Monthly Income, Table 6, the

frequency in eating in a restaurant and lastly, Table , the food preferences of the

respondents.

Table 2

Sex

Table 2 shows the respondents of the study in terms of Sex. It comprises

with a total of 300, both Male and Female.

7
 Gender Frequency Percentage

Male 105 35%

LYCEUM NORTHWESTERN UNIVERSITY
Female 195 65%
Institute of Graduate and Professional Studies
Total 300 100%

The total respondents consist of 105 males and 195 Females. Generally, the body

represent local tourist and natives are both important for Mandarin Restaurant that’s

the target customers positioned for the venture.

Table 3

Civil Status

Table 3 comprises with the Civil Status of the respondents of the study.

The civil status shows if how many single, married, widow/widowe eating in a

Chinese restaurant.

8
 Civil Status Frequency Percentage

Single 135 45%

LYCEUM NORTHWESTERN UNIVERSITY
Married 157
Institute of Graduate and Professional 52%
Studies
Widow/Widower 8 3%

Total 300 100

The researcher also considers the civil status of the target market, thus, the

respondents were classified as single, married, and widow or widower. Basically, in

the total number of respondents the highest percentage comes from married group

which represents 52%.

Table 4

Age

The table 4 represents the ages of the respondents in the study. It determines if

what particular ages really love to eat.

9
 Frequency Percentage

20 and below 34 11%

LYCEUM NORTHWESTERN UNIVERSITY
21 to 30 93 31%
Institute of Graduate and Professional Studies
31 to 40 78 26% An

ot 41 to 50 60 20% her

51 to 60 30 10%

61 and above 5 2%

Total 300 100%

consideration taken by the proponent is the age group of the respondents. The result

shows 88% of the respondents’ age is ranging from 20 and below to 50.

Table 5

Monthly Income

Another consideration is the Monthly Income of the respondents that represents

in the table 5. The researcher needs to determine the monthly income of the

respondents for the basis of their prices and as well as the variability of foods they

going to offer.

Income Frequency Percentage

10,000.00 and below 126 42%

10,001.00 to 20,000.00 65 22%

10
 LYCEUM NORTHWESTERN UNIVERSITY
Institute of Graduate and Professional Studies

20,001.00 to 30,000.00 44 15%

30,001.00 to 40,000.00 30 10%

40,001.00 to 50,000.00 19 6%

50,001.00 and above 14 5%

Total 300 100%

The survey result shows that 64% of the total respondent have monthly income of

Php 10,000.00 and below to Php 20,000.00.

Table 6

Frequency in eating in a restaurant in a month

Table 6 shows the frequency if how many times the respondents are eating in a

restaurant rather than to cook at their own home.

Times Frequency Percentage

1 to 3 times 175 57%

3 to 5 times 89 30%

6 to 7 times 25 9%

More than 8 times 11 4%

Total 300 100%

Table 6 shows that 57% has the highest percentage, that the respondents are

11
 LYCEUM NORTHWESTERN UNIVERSITY
Institute of Graduate and Professional Studies
eating 1 to 3 times every month. It has a highest frequency which is 175 among the

300 respondents. The second to the highest are the respondents who are eating 3 to 5

times per month with 89 frequency and a percentage of 30%, third, respondents who

are eating 6 to 7 times with 25 frequency and a 9% percentage, and lastly respondents

who are eating more than 8 times with 11 frequency and 4% percentage.

Table 7

Food Preferences

The researcher also conducted a survey regarding with the food preferences of the

respondents. Table 7 represents the total respondents within the food preference.

12
 Kind of Food Frequency Percentage

Native Food 156 52%

LYCEUM NORTHWESTERN UNIVERSITY
Western Style Food 20
Institute of Graduate and Professional 7%
Studies
Chinese Food 124 41%

Total 300 100%

From the survey, 41% respondents prefer the Chinese food; it is large number of

potential customers. So the Chinese restaurant business in Dagupan City is a Potential

business.

Demand Analysis

Dagupan City, is the center of Pangasinan, there are many schools and commercial

ventures, the large population creates large purchasing and demands. Now, the life rhythm

becomes more and faster, so the convenience services and fast food supplies are advance

with the demand progress. Especially, people pay more attention to healthy and quality.

So a new kind of healthy and tasty fast food is demanded by the residents and travelers.

Chow-king, as the very successful Chinese style fast food in the Philippines, it

provides the Chinese style quality food and also proofs the Chinese style fast food is

popular in Philippines. Mandarin Restaurant will offer quality Chinese style fast food also

13
 LYCEUM NORTHWESTERN UNIVERSITY
Institute of Graduate and Professional Studies
as Chow-king, and reform some new style Chinese food that other restaurants didn’t

have. So the market potential of Mandarin Restaurant is quite optimistic,

Moreover, one of the Philippines traditions is to eat outside their home with their

family, friends, and colleagues. Occasions like birthdays, anniversaries, weddings,

baptismal and other social gatherings or even conferences are usually held in a restaurant.

Mandarin Restaurant is very demanding since it is a type of hospitality business where in

Filipinos are well know of. The business is generally accessible since it will be located

along the AB Fernandez Ave., a well passed road in Dagupan and accord to Western

Pangasinan and the nearby cities which will not only be in demand by the locals but also

for tourists and travelers who visit Dagupan City and taste the quality convenience food.

The result of the survey conducted revealed a high demand of Chinese style quality fast

food which our restaurant will be offering.

Supply Analysis

Based on the data given by the Department of Tourism (DOT),there are only few

Chinese style restaurant in the target location that cater number of the total market,

Moreover, based on the survey, interview and observation done by the respondent,

Chinese style fast food restaurants are still insufficient.

The identified competitors namely Chow-King and the Philippines style fast food

Jollibee, they are different from the proposed restaurant in term of (1) Product-

wherein Mandarin Restaurant will offer wide variety Chinese style food and many

new items;(2) Service-the proposed restaurant will be open 14 hours a day from

7:00am to 9:00pm except every Friday and Saturday wherein the restaurant will be

14
 LYCEUM NORTHWESTERN UNIVERSITY
Institute of Graduate and Professional Studies
open until 12:00 am serving breakfast, lunch and dinner with the delivery service. (3)

ambiance/theme: generally Mandarin Restaurant will give a clean and fashion

environment to all customers and also offer the children ground for the customers. (4)

Location-the propose restaurant will be strategically located along a busy road which

make it accessible for our customer.

Demand-supply Analysis

The population in Pangasinan and the number of tourists tends to increase each year.

This mainly affects the demand and supply for food and beverage business.

Mandarin Restaurant must is innovative in serving the foods and beverages. The

needs of customers must be satisfied in the most cost-effective manner while the

presentation of foods must be attractive and classy. Thus the products will project

unique and distinctive qualities or features. This will keep the existing customers from

coming back, gaining customer loyalty and attracting more target market.

Price Study

Through the survey, the main concern of restaurant customers is the price; they are

15
 LYCEUM NORTHWESTERN UNIVERSITY
Institute of Graduate and Professional Studies
becoming more price-conscious. We will consider the paying capacities of our

customers or target market. Basically, our business will implement quality standard

recipe. The procedure is very important in keeping high quality foods and controlling

the food cost.

The selling price of a dish or menu will be determined using the cost percentage

method. The recipe is selling price equal to materials cost or cost of ingredient divide

by desired food cost (Selling price= materials cost/desired food cost) the food cost

percentage will be thirty-five percent (35%)/

Taking into consideration the results of the survey and interview conducted,

Mandarin Restaurant turned out with the following price list:

Table 8

Mandarin Restaurant Pricelists

Braised Pork rice meal/with drink 78/98

Sweet & Sour Pork rice meal/with drink 78/98

Soft fried chicken rice meal/with drink 78/98

Braised Chicken rice meal/with drink 78/98

Braised in Soya sauce beef noodles/with drink 88/98

Wanton Noodles 49

Pork Chaofan with drink 49

Beef Chaofan with drink 65

Seafood Chaofan with drink 65

Asado Siopao middle/large 39/55

16
 LYCEUM NORTHWESTERN UNIVERSITY
Institute of Graduate and Professional Studies

BolaBola Siopao middle/large 39/55

Pork Siomai 3(pics) 39

Beef Siomai 3(pics) 39

Fried oyster 55

Meatball Puree 55

Fried Tofu with chinese sauce 39

Halo-Halo regular/large 69/99

Soft drinks 25-39

The price decision made from the affordability, good quality and excellent

customer service will be maintained to attract new customer and keep the existing

customers from coming back.

Comparative Analysis

The primary competitor of Mandarin Restaurant is the Chowking Restaurant

located at AB Fernandez Ave., about 1 KM away from the proposed location of our

restaurant. Basically, Chowking’s menus for the day are listed on the menu board. So,

it was not included in the comparative analysis,

On the other hand, the potential competitor is the traditional Philippines fast

food supply- Jollibee and Western style fast food – McDonald’s. They also provide

the fast food and very good sales every day, but the different is they are selling

different style food.

17
 LYCEUM NORTHWESTERN UNIVERSITY
Institute of Graduate and Professional Studies

Menu Mandarin Chowking Jollibee

Restaurant
Braised Pork rice meal/with drink 78-98
Sweet & Sour Pork rice meal/with 78-98 98
drink
Soft fried chicken rice meal/with 78-98 98 79-114
drink
Braised Chincken rice meal/with 78-98 131
drink
Braised in soyasauce beef 88-110
noodles/with drink
Wanton Noodles 49 54
Pork Chaofan with drink 49 54
Beef Chaofan with drink 65 76
Seafood Chaofan with drink 65 98
Asado Siopao middle/large 39-55 43-65
BolaBola Siopao middle/large 39-55 43-65
Pork Siomai 3(pics) 39 43
Beef Siomai 3(pics) 39 43
Fried oyster 55
Meatball Puree 55
Fried Tofu with chinese sauce 39 32-43
Halo-Halo regular/large 66-99 72-105
18
 LYCEUM NORTHWESTERN UNIVERSITY
Institute of Graduate and Professional Studies
Soft drinks 25-39 28-39 28-39

Table 9

The comparative analysis of Mandarin Restaurant with the main competitor

The price of Mandarin Restaurant is much cheaper than the competitors. The

restaurant will see to it that the prices will not affect the quality and taste of the

products.

Promotional Strategy

One of the important factors in attaining business success is through promotions and

advertising. Best products with right prices and right location of business prove to be

worthless if no one knows about it.

To win the market of our business proposal, we will implement the following

promotional strategies: (1) Mass media exposure. It can be considered one of the most

effective way in “selling the business” and can be done through the local television

ads; (2) distribution promotional literatures like flyers, brochures and other materials

to prospective customers; (3) establishing a network or linkages with marketing

partners such as travel and tour agencies; (4) Sending proposal letter and e-mails to

prospective clients; (5) build a website of our restaurant and offer the menu for clients

19
 LYCEUM NORTHWESTERN UNIVERSITY
Institute of Graduate and Professional Studies
odder our foods online to delivery. (6) Announcement by way of poster and signage.

This will be placed along the well passed sites in the city proper giving our customers

the right direction leading to the location of our restaurant.

Factors Affecting the Market

Both internal and external environment scanning of an establishment must be

conducted. This can be done through strengths, weaknesses, opportunities and threats

analysis. Above mentioned analysis provides information that is helpful in matching

the propose business resources with it capabilities to the competitive environment in

which it will operate for itself, it is instrumental in strategy formulation and selection.

The researcher identified the Strengths, Weaknesses, Opportunities and Threats

of Mandarin Restaurant as shown below:

Strengths:

1. Mandarin Restaurant will provide cost-effective dishes, this price

competitive.

2. Product innovation and New Style food.

3. Management team of Mandarin restaurant

4. Well funded venture

20
 LYCEUM NORTHWESTERN UNIVERSITY
Institute of Graduate and Professional Studies
5. Good reputation among customers.

Weakness:

1. Suppliers’ inability to deliver orders/raw material on time.

2. Employees encountering personal problems might affect job

performance,

3. There is Business competitor.

Opportunities:

1. High demand on food and beverage business.

2. The prices of competitors are high as compared with the propose venture.

3. Unfulfilled customer need in terms of services.

Threats:

1. Those events which are uncontrollable by human.

2. Emergences of substitute products also know as “low cost imitators.”

3. Economic depression.

4. New government legislation or laws that will give negative impact on the

business.

5. Threat to national security.

6. Shifts in customer taste or preference away from Mandarin Restaurant

products.

21
 LYCEUM NORTHWESTERN UNIVERSITY
Institute of Graduate and Professional Studies

CHAPTER II

TECHNICAL STUDY

The technical study of the feasibility aims to describe the plant size and capacity,

the structure, equipment needed for food production, and other processes that the

venture will adopt. Thus it is in this stage that will able to determine the quality and

the quantity of the product.

Plant Size and Capacity

The proposed venture will be located at Metro Plaza second floor in AB Fernandez

Ave, Dagupan City, Pangasinan with the 350 square meters, the dining area and the

kitchen measures 300 square meters with a maximum seating capacity of 100 persons,

with reference to estimates done, the projected cost of leasing improvement is

700,000.00 pesos. The place will be leased for a period of ten 10) years with monthly

rental of 20,000.00 pesos.

22
 LYCEUM NORTHWESTERN UNIVERSITY
Institute of Graduate and Professional Studies

Business Map

Figure 1

Business Location

The restaurant will cater the nearby cities and municipalities of Dagupan City. the

place is very accessible to all people for it is within the City proper and many people

may come and go along this place.

23
 LYCEUM NORTHWESTERN UNIVERSITY
Institute of Graduate and Professional Studies

Frontage of the Building

Figure 2

24
 LYCEUM NORTHWESTERN UNIVERSITY
Institute of Graduate and Professional Studies

Mandarin Restaurant Interior Design

Figure 3

25
LYCEUM NORTHWESTERN UNIVERSITY
Institute of Graduate and Professional Studies

26
 LYCEUM NORTHWESTERN UNIVERSITY
Institute of Graduate and Professional Studies

Equipment Kitchen Utilities

Equipment and kitchen utilities also the advantage of competition. Mandarin

Restaurant will invest on best equipment, kitchen utensils and facilities to keep away

from disruption of our operations. A well planned kitchen will provide and ensure our

venture an easy flow of food processing.

The basic equipment are : refrigerator, freezer, and other storage bins which are

very essential in the storage of the raw materials; stove and oven which are vital as

well in terms of cooking requirement; deep fryer, steamer, rice cooker, griller which is

same essential in fast and efficient food preparation.

After the basic cooking equipment, we should invest other small kitchen items

such as sinks, working tables, cutting boards, and kitchen utensils.

27
 LYCEUM NORTHWESTERN UNIVERSITY
Institute of Graduate and Professional Studies
For the dining area, air conditioning unit, component and tables and chairs are

needed.

Electrical power will be provided by Dagupan Electric Corporation (DECORP)

while the telephone line and the internet connection will be provided by PLDT.And

adequate fire-fighting facilities in conformance with the standard the Bureau of Fire

will be provide. The total investment for the above mentioned equipment and

facilities will be shown in the financial aspect of this study.

Table 10

Machineries and Equipment

Specification Qty. Unit Cost Total Cost

Cash register 1 12,000 12,000

Refrigerator 2 17,900 35,800
Freezer 1 11,450 11,450
Stove 3 3,400 10,200
Oven 3 899 2,697
Steamer 2 2,540 5,080
Rice Cooker 3 2,499 7,497
Griller 2 3,099 6,198
Computer 1 19,499 19,499
Printer 1 3,700 3700
Sinks 3 1,799 5,397
Working tables 2 3,239 6,478
Aircon 5 13,998 69,990
Component 1 7,999 7,999

28
 LYCEUM NORTHWESTERN UNIVERSITY
Institute of Graduate and Professional Studies
Tables 12 4,999 59,988
Chairs 100 1,499 149,900
Hand dryer 2 2,850 5,700
Hand Sanitizer 2 1,600 3,200
Toilet paper holder 4 456 1,824
Soft broom 3 100 300
Floor mop 3 421 1,263
TOTAL: P 426,160

Table 11

Kitchen Utensils

Specification Qty. Unit Cost Total Cost

Spoon and Fork 100 pcs 15 1,500

Plates 6pcs/set 399 6,783

9sets

Glasses 12pcs/set 900 8,100

9 sets

Knives 3 sets 350 1,050

Chopping board 4 391 1,564

Frying pan 4 1,199.75 4,799

29
 LYCEUM NORTHWESTERN UNIVERSITY
Institute of Graduate and Professional Studies
Casserole 5 1,789.75 8,948.75

Cups and Saucers 50 pcs. 363 18,150

Strainer 3 38 114

TOTAL: P51,008.75

Production Process

One important element of internal control is strict regulation of all purchase,

ensuring that they are reasonable regulated, in conformity to end user’s requirements

and standards, and procured at the lowest possible cost.

Mandarin Restaurant production process will base on the designed menus created

by the executive chef with the approval of the partners. Production process will start

from ordering and purchasing quality raw materials such as pork, beef, chicken and

vegetables, then receiving ordered items from suppliers and eventually end up in

cooking the offering food.

Control in ordering and purchasing raw materials will be strictly implemented.

The procedure will start from:

1. Sales or menu analysis where in the basis will be Mandarin Restaurant

weekly sales or menu analysis report.

30
 LYCEUM NORTHWESTERN UNIVERSITY
Institute of Graduate and Professional Studies
2. Making reference to the sales report, the chef makes a projection on the

quantity of serving to be sold.

3. Weekly allocation prepare, indicating the quantity of servings per dish

and it will be computed based on forecast.

4. Determination of the volume of ingredients needed for each dish based

on the standard portion size indicated in the standard recipe.

5. The chef should fill up the market list or purchase orders

6. Send the purchase order or market list to the manager for approval.

7. The person for marketing submits the copy of market list or purchase

order to the supplier for the procurement.

On the other hand, flow of the receiving transactions is designed to ensure that the

restaurant will purchase quality raw products, the process will be :

1. stocks will be received together with the sales invoices and delivery

receipts at the receiving area

2. raw products are checked or inspected based on the quality

standards and specification stated in the purchase order

3. received stocks are endorsed to the person in charge in controlling

stocks

4. stocks received are recorded by the clerk, invoices and delivery

receipts will be signed and stamped with received

5. Delivery records will be entered in the inventory sheet

6. The suppliers invoice will be forwarded to the manager for the

processing of payment to suppliers.

31
 LYCEUM NORTHWESTERN UNIVERSITY
Institute of Graduate and Professional Studies
After the steps of ordering, purchasing, and receiving raw products, Mandarin

Restaurant will also maintain a standard for storage of the raw products. This control

measures are designed to ensure that the stored raw products are secured from theft,

spoilage, contamination and damages so that the investment will not be wasted. The

processing will follow the following procedures:

1. Stocks are segregated and classified, dry goods are separated from

cold or perishable goods

2. Meat and seafood will be pre-weighed ,pre-portioned and vacuum

packed

3. Inventory tag and labels will be assigned to each item

4. Raw materials will be arranged to facilitate fist on-first out (FIFO)

5. Perishable items will be segregated and stored in appropriate freezers

or chillers or other storage bins

6. Movement of inventories such as insurance, spoilage, additional

deliveries will be recorded

7. Condition and expiration of stocks shall be regularly monitored and

checked

8. Physical inventory shall be undertaken the flow of this procedure

follows;

Standards for requisition and issuance of raw materials or inventories are intended

to ensure that all items released are accompanied by justified and receiving parties,

and that issuances are properly documented. A prelisted requisition and issuance

voucher (RIV) will be filled up by the requisition indicating the quantity needed; the
32
 LYCEUM NORTHWESTERN UNIVERSITY
Institute of Graduate and Professional Studies
RIV will be reviewed and approved by the designated controlling person; and upon

issuance both the issuing and receiving personnel shall sign on the RIV

acknowledgement.

Flow of requisition and issuance

1. A Request and Issuance Voucher (RIV) will be filled up by the requisitioned.

2. The RIV will be reviewed and approved by the designated controlling person.

3. Upon issuance, both the issuing and receiving personnel shall sign on the RIV

for Recognizing.

Flow of Controls in Sales and Service

For food and beverage business, one of most important competitive advantage

is the service. There are 4 regulations of service standard for Mandarin Restaurant

1. Smiles Service: greeting the customers should with smiles and good

politeness.

2. Fill in the order slip as the customers order and give them the receipt

and waiting code and collect the payment.

3. Order slip should forward to the kitchen for preparation and cooking

4. At the end of day, cashier shall prepare the summary of sales and

expenses.

This standard will ensure customers are well served and properly treated, and also

ensure the partners that all cash transaction are properly received, documented and

recorded to avoid anomalous losses.

Sanitation

The kitchen shall be hygienic any time; one of the obligations of the dish

33
 LYCEUM NORTHWESTERN UNIVERSITY
Institute of Graduate and Professional Studies
washers is keep it hygienic. The equipment to be installed is with a high standard of

hygiene and sanitation. Mopping from time to time to keep the area dry and free from

pollute.

Storage compartment must be kept clean and sanitary always to prevent

bacterial contamination .Kill the pest should be done in a regular basis to prevent

from breeding and proliferation of insects that can cause damage and disease.

The Comfort rooms should be installed with high quality fixtures and fitting and

will be provided with running water. Tissue paper, soap, hand sanitizer, paper towels

and hand drier will be provided. The floor and walls will be covered with

impermeable materials and will be kept clean and sanitary.

Waste disposal will be properly applied. The biodegradable materials will be

segregated from the non-biodegradable waste. Cans, plastic containers and bottles can

be sold for additional income of the venture. Spoiled foods and leftover foods can be

disposed and collected daily. All wastes will be placed in garbage bag so that will be

easier to dispose. Mandarin Restaurant will keep clean and pollution free premises.

Table 12

PROJECT COST

Mandarin Restaurant Fund P2,000,000.00

INVENTORY

Item Total Cost

Pork P4,000

Beef 7,000

Chicken 3,000

34
 LYCEUM NORTHWESTERN UNIVERSITY
Institute of Graduate and Professional Studies
Vegetables 5,000

Beverages 5,000

Other Ingredients 5,000

TOTAL: P 29,000

Table 13

LEASING IMPROVEMENT

Item Quantity Unit Unit Cost Total Cost

Measure

Cement 104 Bags 245.00 25,480

Tiles 500 Pieces 50.00 25,000

Paint (wht) 20 Gallons 758.00 15,160

Paint (color) 20 Gallons 936.00 18,720

Paint brush 10 Pcs. 30.00 300

Rolling brush 10 Pieces 110.00 1,100

Plywood 20 Pieces 750.00 15,000

Nails 3 Kilo 70.00/kilo 210

Concrete nails 3 Kilo 60.00 180

Labor 20 Days 380.00 7,600

Interior 350,000

Designs

Labor-Designer 150,000

35
 LYCEUM NORTHWESTERN UNIVERSITY
Institute of Graduate and Professional Studies
Lights 91,250

Total: P700,000.00

Table 14

MISCELLANEOUS EXPENSE

Item Quantity Unit cost Total Cost

Fire extinguisher 2 1,150.00 P2,300.00

Lock and key 4 1,250.00 5,000.00

Telephone 2 1,000.00 2,000.00

Wall clock 3 150.00 450.00

Total: P9,750.00

Table 15

TAXES AND LICENSES

Item Total Cost

Mayor’s Permit P2,500.00

Fire’s Inspection 2,000.00

Health and Sanitary 1,000.00

Business establishment fee 2,000.00

Community tax certificate 1,500.00

BIR certificate 500.00

BIR registration 500.00

36
 LYCEUM NORTHWESTERN UNIVERSITY
Institute of Graduate and Professional Studies
Total: P10,000.00

Table 16

ADVERTISING COST

Item Quantity Unit Cost Total Cost

Flyers 100 25 2,500

Sign boards 2 250.00 500.00

Tarpaulin 5 300 1,500

Radio 5,500

TV 40,000

Total: P50,000.00

37
 LYCEUM NORTHWESTERN UNIVERSITY
Institute of Graduate and Professional Studies

Table 17

Schedule of Activities

Activities Sept. Oct. Nov. Dec. Jan.2017

A)Inquiries of the
location, building
owner.
B)Business
registration inquiries.
C)Start working with
the application of
business permits.
D)Go to DOLE for the
Mandatory Benefits
inquiries
E)Follow-up of the
business application
F)Installations of
furniture and fixtures.
G)Purchasing of
kitchen utensils and
equipment.
H)Marketing

I)Opening of the

business

38
 LYCEUM NORTHWESTERN UNIVERSITY
Institute of Graduate and Professional Studies

CHAPTER III

MANAGEMENT STUDY

This chapter presents the management aspects of the study. Mandarin Restaurant

will build an efficient, succinct and practical work team. The organization will be

clear and defined to offer the quality product and service. This includes the division of

labor, alignment and relationship among various job positions, the work

responsibilities, flow of processing, areas of duties and communication,

Legal Form of Business Organization

Mandarin Restaurant is a partnership form of ownership. It consists of two (2)

partners. This form of organization is easy to secure capital from other while retaining

the control in the organization; on the other hand, partnership can have their share of

profits without risk of personal liability.

Organizational Structure

All of the staffs of the restaurant are responsible to keep health and safety of

customers, the proposed venture will build a strong work team to ensure fast, efficient

and quality service .To make the customers satisfied and fulfill their demand and

needs.

39
 LYCEUM NORTHWESTERN UNIVERSITY
Institute of Graduate and Professional Studies

Organizational Chart

MANAGER

Kitchen Dining Accounting

Department Department Department

Executive
Chef Waiter Book Keeper

Assistant
Chef Delivery Staff Cashier

Dish washer

Figure 4

Figure 4 shows the organizational structure of the Mandarin Restaurant.

40
 LYCEUM NORTHWESTERN UNIVERSITY
Institute of Graduate and Professional Studies

Table 18

SHIFT ROTATION SCHEDULE

POSITION TIME-IN TIME-OUT

Manager 8 am 5 pm

Executive Chef 7 am 4 pm

Assistant Chef 1 7 am 3 pm

Assistant Chef 2 1 pm 9 pm

Bookkeeper 8 am 5 pm

Cashier 1 7 pm 3 pm

Cashier 2 1 am 9 pm

Waiting Staff 1 7 am 3 pm

Waiting Staff 2 7 am 3 pm

Waiting Staff 3 7 am 3 pm

Waiting Staff 4 1 pm 9 pm

Waiting Staff 5 1 pm 9 pm

Dishwasher1 7 am 3 pm

Dishwasher 2 1 pm 9 pm

Delivery staff 8 am 5 pm

41
 LYCEUM NORTHWESTERN UNIVERSITY
Institute of Graduate and Professional Studies
Company’s Policy on Personnel

Mandarin Restaurant will provide a safe working environment for our employees,

creating opportunities for career advancement and bring up employees morale.

The management of Mandarin Restaurant came-up with the following policies

that will surely encourage every staff to work as a team in the company.

A. Remuneration

1. Employees are compensated with their basic salary, Fringe benefit,

and the thirteenth (13th )month pay.

2. Payday will be every 15th and 30th of the month.

B. Hours of Work

1. Basically the restaurant will operate 14 hours per day, from 7:00 am to

9 pm except on Friday and Saturday in which it will extend its

operation until 12:00 midnight.

2. Personnel are to work by shift from 7:00 am to 3:00 pm(opening shift)

and 1:00 pm to 9:00 pm (closing shift)

3. The minimum labor hour requirement of personnel is 8 hours.

C. Leave Benefits

Personnel with one year tenure or more are entitled the following

leave privileges every year

15 days Vacation Leave (VL)

15 days Sick Leave (SL)

Note: a medical certification should support sick leave if SL is availed for

3 consecutive days.

42
 LYCEUM NORTHWESTERN UNIVERSITY
Institute of Graduate and Professional Studies
D. Conduct

a. Absence without proper notification or absence without leave will

be subject to the following disciplinary actions:

1st offense-3 days suspension

2nd offense-termination

b. Personnel reporting to work under influence of liquor or

prohibited drugs will be immediately terminated.

c. Carrying of firearms or other deadly weapon will also be

terminated immediately.

E. Appearance

1. Personnel are expected to be neat and clean always.

2. Personnel are expected to be friendly, accommodating and well-mannered

at all times,

F. Dispute and Grievances

1. Any disputes or grievances should be brought immediately to the attention

of the direct supervisor or to the manager.

2. In the absence of a settlement agreement, an outside arbitrator will be

called upon which will be mutually decided by both disputing parties.

Labor Requirement

Mandarin Restaurant will be requiring fifteen (15) members of the team on its

43
 LYCEUM NORTHWESTERN UNIVERSITY
Institute of Graduate and Professional Studies
initial year of operations consisting of (1) Manager, (1) Executive Chef , (2) Assistant

Chef, (1) bookkeeper, (2) Cashier, (5) Waiting staff, (2) Dishwasher, and (1) Delivery

staff.

On the succeeding years, if Mandarin Restaurant meets the projected profit and

continuously gain higher market share, The number of labor requirements will also

increase.

Job Descriptions:

A. Manager

Duties and Responsibilities

1. Direct the employees

2. Manage the restaurant

3. Must look over with the problems and make solutions as soon as possible

4. Direct the employees

5. Must be a good leader

Job Qualifications:

1. Must be a Management graduate

2. Must have a 5 years management experienced

3. Must be atleast 30-40 years old

4. Must be a good in communication

5. With pleasing personality

B. Executive Chef

44
 LYCEUM NORTHWESTERN UNIVERSITY
Institute of Graduate and Professional Studies
Duties and responsibilities:

1. Directly reports to the Manager.

2. Inspects the kitchen prior to the begin cooking to ensure it’s up to the

standards regarding food safety guidelines.

3. Prepares Foods in accordance with the safety food standards or guidelines and

presents foods on the plate in generally pleasing fashion.

4. Oversees the training of the kitchen personnel.

5. Responsible in planning menus or recipes and monitoring food costs.

6. In charge in preparing and listing the needed raw materials.

Job Qualification:

1. With culinary expertise and at least two (2) year worked experienced .

2. Knows how to cook Chinese food.

3. With pleasing personality

4. Male,28-35 years of age

5. Honest, hard-working, patient and with good moral character.

6. With leader ability

C. Assistant Chef

Duties and responsibilities:

1. Assist the executive chef in preparation and production of foods and

beverages.

45
 LYCEUM NORTHWESTERN UNIVERSITY
Institute of Graduate and Professional Studies
2. Prepares and portions all food served

3. Able to fill in the executive chef’s position when necessary

Job Qualifications:

1. with pleasing personality

2. Preferably HRM graduate

3. With cooking experience in food establishment as least one year.

4. With good moral character, hardworking, patient and trustworthy.

D. Bookkeeper

Duties and responsibilities:

1. Prepare Financial reports

2. Monitor and control inventory records

3. Acts as an internal auditor of venture

4. Leader the work of the cashier

5. Orders, receives and monitor stocks or inventories.

Job Qualifications:

1. Female with pleasing personality

2. Preferably BS Accountancy Graduate with work experience of at least 2

years.

3. With good communication and technical skills

4. Trustworthy, persistent and hardworking

E. Cashier

Duties and responsibilities:

1. Directly report to the bookkeeper

46
 LYCEUM NORTHWESTERN UNIVERSITY
Institute of Graduate and Professional Studies
2. Prepare bills and receives payment from the customers

3. Prepare the daily cash receipts and disbursement

4. Deposits and monitor funds in the bank

Job Qualifications:

1. Female with pleasing personality at least 20years of age

2. Business or HRM related course graduate, preferably BS Accountancy

3. With knowledge in accounting and high arithmetic ability

4. With computer skills (Office system)

5. Effective oral and written communication skills

F.Waiting Staffs

Duties and responsibilities:

1. Consistently ensure excellent customer service

2. Responsible for ensure the table clean and set with clean utensils in the

proper configuration.

3. Ensuring that all foods and beverages are properly served to the customers.

4. Responsible for the overall cleanliness, orderliness and sanitation of the

restaurant.

Job Qualifications:

1. Male or Female with pleasing personality,21-30 years of age

2. Effective Communication skills

3. Courteous, hardworking and willing to undergo trainings.

4. Able to work without supervision

5. At least 2 years level college education

47
 LYCEUM NORTHWESTERN UNIVERSITY
Institute of Graduate and Professional Studies
G. Dishwasher

Duties and responsibilities:

1. Responsible for making sure every piece of kitchen utensils and equipment are

cleaned with right amount of cleanser at right temperature for the right length of

time

2. Maintain hygiene in the working or food preparation area.

3. Accountable for the losses and damages of kitchen equipment due to negligence

and carelessness.

4. Assists to bookkeeper with sorting and storing inventories or supplies.

5. Assists the assistant chef in measuring, washing and chopping vegetables or

other ingredients, if needed.

Job Qualifications:

1. Male,20-30 years old

2. At least high school graduate

3. With pleasing personality and hardworking

H.Delivery Staff

Duties and responsibilities:

1. Delivery the food and beverage on call and on time.

2. If no delivery order, do the work as a wait staff.

Job Qualifications:

1. Male with pleasing personality,21-30 years of age

2. Effective Communication skills

3. Courteous, hardworking and willing to undergo trainings.

48
 LYCEUM NORTHWESTERN UNIVERSITY
Institute of Graduate and Professional Studies
4. Able to work without supervision

5. At least 2 years level college education

Table 19

PROPOSED SALARIES AND BENEFITS

Position Salary Benefits

Manager P 15,000 -SSS Membership

-Philhealth Membership
-Pag-ibig Fund Membership
-13th Month Pay

Executive Chef P 14,300 -Sole owner of the profit

-SSS Membership
-Philhealth Membership
-Pag-ibig Fund Membership
-13th Month Pay
Assistant Chef P 11,700 -SSS Membership
-Philhealth Membership
-Pag-ibig Fund Membership
-13th Month Pay
Bookkeeper P 9,100 -SSS Membership

49
 LYCEUM NORTHWESTERN UNIVERSITY
Institute of Graduate and Professional Studies
-Philhealth Membership
-Pag-ibig Fund Membership
-13th Month Pay
Cashier P 6,838 -SSS Membership
-Philhealth Membership
-Pag-ibig Fund Membership
-13th Month Pay
Waiting Staffs P 6,838 -SSS Membership
-Philhealth Membership
-Pag-ibig Fund Membership
-13th Month Pay
Dishwasher P 6,838 -SSS Membership
-Philhealth Membership
-Pag-ibig Fund Membership
-13th Month Pay

CHAPTER IV

FINANCIAL STUDY

The financial study will give the detailed information about the start-up capital

requirement and sources. And financial study also expounds the preparation of the

financial statements as statement of revenues and expenses, balance sheet and the

statement of cash flow. In this part, the financial assessment will be presented to the

partners to check and give an evidence to prove there investment with is venture is

feasible.

Major Assumptions

1． Mandarin Restaurant will maintain a calendar year method of

50
 LYCEUM NORTHWESTERN UNIVERSITY
Institute of Graduate and Professional Studies
accounting,

2． Mandarin Restaurant will operate 14 hours from 7:00 am to 9:00

pm except on Friday and Saturday in which the operations will

extend to 12:00 pm.

3． Mandarin Restaurant Initial capital will be two million pesos

(2,000,000.00).The partners will be contributing 1,000,000.00

each.

4． The product mark-up is 35% based on cost.

5． Ending inventory will be at 10% of the total goods available for

sale.

6． Salaries of personnel will be based on the daily wage rate in

Personnel are entitled for 13th month pay, SSS Contribution,

PHILHEALTH Contribution and PAG-IBIG Fund.

7. On the third and fifth year of operations, old employees are entitled for

three percent salary increase based on the daily wage rate; the salary of

new employees will be the old rate.

8. The projected store supplies expense will be 60,000.00 and will increase

by 20,000.00 on the succeeding year of operations.

9. Repairs and maintenance of the building and other fixed assets are

projected to be 12,000.00 on the 1st year of operation and will increase by

3,000.00 on succeeding years.

10. The Depreciation of the fixed assets will be computed using the Straight-

line Method. For building, the service life will be 10 years; furniture and
51
 LYCEUM NORTHWESTERN UNIVERSITY
Institute of Graduate and Professional Studies
fixtures will be 5 years; equipment will be 5 years; and kitchen utensils

will be 2 years.

11. Leasehold or rental expense will be paid on the 5th day of the month

amounting to 20,000.00 for the period of 10 years. The lessee has the

option to purchase the property at the end of the term.

12. The projected amount of utilities such as water and electricity and

telephone/internet will be 17,000.00.Those expense accounts are expected

to increase by 3,000.00 on the succeeding years.

13. The Projected Business License and Fees are 10,000.00 on the 1 st year of

operation and expected to rise by 10,000.00 annually.

14. Advertising expense for the 1st year will be 50,000.00 due to massive

advertising campaign and expected to decrease by 10,000.00 annually.

15. Taxes to be paid by Mandarin Restaurant, it’s 35% of the taxable income.

Projected Income Statement

For the Year 2017-2021
2017 2018 2019 2020 2021
Net Sales: 7,200,000 9,720,000 13,122,000 17,714,700 23,914,845
Expenses:
Cost of 2,020,000 3,024,000 3,628,800 4,354,560 5,225,472
goods sold
Salaries &
wages 1,562,160 1,609,024.8 1,657,295.54 1,707,014.41 1,758,224.843
SSS 116,251.20 116,251.20 116,251.20 116,251.20 116,251.20
Philhealth 18,000 18,000 18,000 18,000 18,000
Pag-Ibig 9,000 9,000 9,000 9,000 9,000
Fund
Advertisin 50,000 60,000 70,000 80,000 90,000
g
Accum. 7,701.12 8,471.13 9,318.24 10,250.06 11,275.07

52
 LYCEUM NORTHWESTERN UNIVERSITY
Institute of Graduate and Professional Studies
Depreciatio
n
Taxes & 10,000 20,000 30,000 40,000 50,000
Licenses
Rent 240,000 240,000 240,000 240,000 240,000
Freight- 420 460 500 540 580
out
Utilities P144,000 P172,800 P207,360 P248,832 P298,598.40
Expense
Total
Expenses: 4,033,532 5,058,342 5,688,716 6,440,148 7,336,840

Net Income:
3,166,468 4,661,658 7,433,284 11,274,552 16,578,005

FINANCIAL STATEMENT SCHEDULE

SCHEDULE 1: Rent Expense

2017 2018 2019 2020 2021

Rent P20,000 P20,000 P20,000 P20,000 P20,000

expense

Multiply 12 12 12 12 12

by # of

Month

Annual 240,000 240,000 240,000 240,000 240,000

Rent

Expense

53
 LYCEUM NORTHWESTERN UNIVERSITY
Institute of Graduate and Professional Studies

SCHEDULE 2: Salaries Expense

2017 2018 2019 2020 2021

Monthly

Salaries
130,180 134085.4 138107.962 142251.2009 146518.7369
Multiply 12 12 12 12 12

by # of

Month

Annual

Salary
P 1,562,160 1,609,024.8 1,657,295.54 1,707,014.41 1,758,224.843

SCHEDULE 3: Mandatory Benefits

2017 2018 2019 2020 2021

54
 LYCEUM NORTHWESTERN UNIVERSITY
Institute of Graduate and Professional Studies
SSS 116,251.20 116,251.20 116,251.20 116,251.20 116,251.20

Philhealth 18,000 18,000 18,000 18,000 18,000

Pag-ibig 9,000 9,000 9,000 9,000 9,000

Fund

SCHEDULE 4: Utilities Expense

2017 2018 2019 2020 2021

Utilities P12,000 P14,400 P17,280 P20,736 P24,883.20

Expense

Number 12 12 12 12 12

of Month

Annual P144,000.00 P172,800 P207,360 P248,832 P298,598.40

Utility

Expense

55
 LYCEUM NORTHWESTERN UNIVERSITY
Institute of Graduate and Professional Studies

Projected Statement of Financial Position

Assets 2017 2018 2019 2020 2021

Current Asset
Cash 783,831.25 3,166,468
4,661,658 7,433,284 11,274,552

Inventories 29,000 31,900 35,090 38,599 42,458.90

Tot.Current
Asset 812,831.25 3,198,368 4,696,748 7,471,883 11,317,011
Non-Current
Assets
Furniture
& Fixtures 700,000 770000 847000 931700 1024870
Machineries and
Equipment 487,168.75 535885.625 589474.1875 648421.6063 713263.7669
Tot.Non-Current 1,305,885. 1,436,474.1 1,580, 1,738,133.
Asset 1,187,169 63 9 121.61 77
Tot.Assets P 2,000,000 4,504,254 6,133,222 9,052,005 13,055,145
Liabilities 0 850,000 685,667 342,833 0

Owner’s Equity
A Capital 1,000,000 1,577,1 2,573,777. 4,254,586. 6,377,572.5
27.00 50 00 0

56
 LYCEUM NORTHWESTERN UNIVERSITY
Institute of Graduate and Professional Studies
B Capital 1,000,000 1,577, 2,573,777. 4,254,586. 6,377,572.5
127.00 50 00 0
A Widrawal 250,000 150,000 100,000 150,000
B Widrawal 250,000 150,000 100,000 150,000
Tot.Liabilities & 13,055,1
Owner’s Equity P2,000,000 4,504,254 6,133,222 9,052,005 45

Projected Financial Ratio

2017 2018 2019 2020 2021

Current
Assets 812,831.25 3,198,368 4,696,748 7,471,883 11,317,011
Current 0 850,000 685,667 342,833 0
Liabilities
Current 0 3.7 6.8 21.8 0
Ratios
Current
Assets 812,831.25 3,198,368 4,696,748 7,471,883 11,317,011
Inventories 29,000 31,900 35,090 38,599 42,458.90
Total 841831.25 3,230,268 4,731,838 7,510,482 11,359,470
Current 0 850,000 685,667 342,833 0
Liabilities
Quick Ratio 0 3.8 7.2 2.2 0
Cost of Sales 43,000 51,000 87,000 92,000 112,000
Average
Inventory 29,000 31,900 35,090 38,599 42,458.90
Liquidity of 1.5 1.6 2.5 2.4 2.6
Inventory

57
 LYCEUM NORTHWESTERN UNIVERSITY
Institute of Graduate and Professional Studies

CHAPTER V

SOCIO-ECONOMIC STUDY

This chapter discusses the Socio-Economic Study of the Mandarin

Restaurant. Mandarin Restaurant project feasibility is not only for generating profit

but also for social economic benefits. It is during this time of recession wherein each

of us must take into account on how to help the government in alleviating poverty and

creating employment opportunities. In this point of view, the proponent was inspired

to propose this business.

The proposed venture can help our local economy by serving quality and

distinctive foods, creating employment, promoting local tourism and contributing to

higher government revenues.

Quality and Cost Effective Foods Served in Mandarin Restaurant

The objective of Mandarin Restaurant is providing quality foods and cost

effective foods. So it will help the government to promote good public health by

58
 LYCEUM NORTHWESTERN UNIVERSITY
Institute of Graduate and Professional Studies
serving nutritious foods.

Creating Employment and Income

The mission of Mandarin Restaurant is an advocate to create employment in

the locality of the proposed venture by providing safe, healthy and rewarding work

environment. The establishment of Mandarin Restaurant can help the local

government to reduce the rate of unemployment and underemployment. Certainty, the

venture needs 14 initial manpower, hence, it will help to improve the lives of the

employees and it will also extend their daily needs and purchase ability.

Government Revenues

The establishment of the proposed restaurant will create additional annual taxes

to the government; the venture shall fulfill its legal obligations by paying the right

taxes. Thus, the local government can have additional fund for the development

programs of the city.

DEVELOPMENT AND MILESTONES

The business will provide the future development plan of the venture in terms of

financing commitment, product developments and future expansion.

Financing Commitment

The objectives of Mandarin Restaurant, one of them is ensure our business

partner earning and successful investment; on the other hand ,to ensure our employees

welfare and development, we are committed to give them the proper and best

compensation by giving them salary increase and other benefit. Further, it is also our

responsibility to promptly pay all the taxes and other legal fees to the government.

Product Developments
59
 LYCEUM NORTHWESTERN UNIVERSITY
Institute of Graduate and Professional Studies
After 1 year (1st) of the business operations, Mandarin Restaurant will be

introducing new products and more variety of foods, the new products will be the

classic Chinese food, it will attract more customers, it will also be a method of

advertisement of the venture.

Future Expansions

If the five years profit projections is proven, the partners will consider

establishing other branches in other locations, the locations can be other region or

even in the entire country.

After the 10 years of the term of partnership, the partners may renew the contract

with another 10 years term, renewable every 10years and will consider going to

authorize the franchising operation model.

60
 LYCEUM NORTHWESTERN UNIVERSITY
Institute of Graduate and Professional Studies

BIBLIOGRAPHY

Books

David H. Bangs, Restaurant Start-Up Guide; UPSTART PUBLISHING CO; U.S.

2000

Eugene F. Brigham,Joel F. Houston;South-Western, A part of Cengage

Learning;Singapore ,2009

Gary Dessler ,Human Resource Management;Prentice Hall;U.S ,2008

Guevarra, Sulpicio, Legal Forms Annotated Fifteenth edition,Quezon City ,Rex

Printing Co.,Inc. Philippines 1991

Kathleen R. Allen , New Venture Creation; South-Western, Division of Thomson

Learning , South-Western, Division of Thomson Learning, U.K.,2009

Sharon L. Fullen, Food Service Management: How to Succeed in the High-Risk

61
 LYCEUM NORTHWESTERN UNIVERSITY
Institute of Graduate and Professional Studies
Restaurant Business - By Someone Who Did; ATLANTIC PUB CO ;U.S. 2003

Torres Jr, Justo P, The law on business

organizations ;Parnership&Corporations,2000 edition, Quezon City,Rex Priting

Co.,Inc. Philippines 2000

CURRICULUM VITAE
WANG KUN

PERSONAL BACKGROUND

Name : Wang Kun

Gender : Female
Date of Birth: 12/21/1984
Native Place: Shandong, China
Marital Status: Married
Mobile No.: 09157256688
Email： 704211804@qq.com
Address: Suzhou University Anhui Province,China

EDUCATIONAL BACKGROUND

Date Institution Degree Earned

9/1995-7/1999 Beiguan Middle School Shandong Province
9/1999-7/2001 Leling NO.1 Middle School Shandong Province
9/2001-7/2005 Dezhou university Shandong Province Bachelor

Work Experience

7/2005-7/2006 DE Best Group Shandong Province Market Salesman

62
 LYCEUM NORTHWESTERN UNIVERSITY
Institute of Graduate and Professional Studies
7/2006-7/2008 Qingyun NO. 4 middle school Teacher
7/2008-7/2012 Sunny Technical school Anhui Province Teacher
7/2012-present Suzhou Experimental Middle School Anhui Province Teacher

63