MAIZE CAFE’ SHOP

A Feasibility Study Presented to the

Faculty of the Senior High School Department
Hilongos Nationnal Vocational School

Loterte, Rhyan
De Gua, Joel Jr
JImenez, Jonelle
INTRODUCTION

Coffee is a brewed beverage with a dark, slightly acidic flavor prepared from the

roasted seeds of the coffee plant, colloquially called coffee beans. The beans are

found in coffee cherries, which grow on trees cultivated in over 70 countries.

primarily in equatorial Latin America, Southeast Asia, South Asia and Africa. Green

(unroasted) coffee is one of the most traded agricultural commodities in the world.

Coffee can have a stimulating effect on humans due to its caffeine content. It is one

of the most-consumed beverages in the world.

Coffee has two main varieties or species, coffee Arabica and coffee canephora or

more popularly known Robusta. Coffee Arabica was originally cultivated in the

Arabian Peninsula while coffee canephora is grown in many regions. Coffee

canephora has fewer flavors and contains more caffeine than the coffee Arabica.

However coffee canephora contains more antioxidants than coffee Arabica.

Today, coffee is the second largest traded commodity in the world; most

espressos blends use good quality of coffee canephora beans because it produces

more foamy heads and are cheaper than Arabica coffee.

Coffee, for so many generations had been a vital thing in household. It had been,

for some addiction that their day wouldn't be complete without multiple cups

of coffee a day. Coffee nowadays had attained a slot in the world most wanted

beverages and due to consistent demand, it had evolved into several mixes.
 Our pioneer produce is the Sumilao Corn Coffee, which is made from carefully

selected organic sida-sida kernels, the local name of the native yellow corn in

Bukidnon, Sumilao. Traditionally prepared by local farmers into a flavorful drink.

Sumilao Com Coffee is meticulously roasted to perfection.

The health benefits of Sumilao Corn Coffee come from its "untouched" organic

com. ensuring you that no harmful chemicals from fertilizers, pesticides, or gene

enhancers enter your body with every cup.

Each cup of Sumilao Corn Coffee is a commitment to a healthier self, to

support our local Filipino farmers, and to promote sustainable and natural farming for

a better planet.

OVERVIEW BUSINESS

Maize Cafe Shop (meyz-ka-fe) is one of the newest coffee shops in the

Philippines. Maize Café comes from combined words of Maize which is a Spanish

word for "corn" and café a Greek Latin word for "coffee"

Our business is a specialty beverage shop. It provides its customers ability to order

and take-out their choice of custom-blended espresso drink, freshly brewed coffee or

other beverage

Our business offers its patrons the finest hot and cold beverage, specializing in
specialty coffees, blended teas and other custom drinks. In addition, Maize Café

Shop will offer soft and fresh-baked pastries

DESCRIPTION OF THE LOGO

Our logo for our business is very simple because we want to show our customer

what we want to offer to them so that they could easily understand. Our logo has a

cup that symbolizes the cup of coffee and the green grains is for the corn. The

background of our logo is yellow because we want to shine like the sun and color

yellow is a strong color and it can attract people and make them interest.

The name of our business which is Maize Cafe Shop is a combination of two

words, “maize” is a spanish word for corn and “cafe” a Greek word for coffee.

DEFINITION OF THE COFFEE SHOP:

 An informal restaurant, as in a hotel, where light refreshments or meals are

served.

 A small restaurant in which coffee and light meals are served.

 Beverages at all, focusing instead on coffee and perhaps tea and hot chocolate.
 Other food may range from baked A coffeehouse, coffee shop, or cafe shares

some of the characteristics of a bar and some of the characteristics of a

restaurant. In the United States, it does not emphasize alcoholic beverages:

typically, it does not offer alcoholic goods to soups and sandwiches, other casual

meals, and light desserts that complement their caffeine-centric fare.

BUSINESS HISTORY

The business is a new coffee shop venture located in front of Far Eastern University-

Manila. A newly renovated section of city with computer shops, schools and colleges

along the main street of Nicanor. We especialize coffee made

up of comm, tea, cappuccino, frappes and pastries.

Our target markets are young professionals, students, employees and those who

love to drink coffee.

COMPANY PHILOSOPHY

MISSION:

The Maize Cafe Shop will become the foremost coffee shop in the area. We will

serve a perfect product at very reasonable price. We will also be a meeting place for

young professionals. students and employees, and a place for them to show off their

work and to hang out with their colleagues and peers. We will create an atmosphere

with decoration to create expression and promote creative process.

⚫ PRODUCT MISSION- provides customers the finest quality beverage in the most

efficient time.

 ECONOMIC MISSION- operates and grows at a profitable rate through sound

economic decision

VISION

To become a well known progressing and efficient coffee shop.

OBJECTIVES:

Our primary goals:

1. Secure financing for start-up expense, for space and equipment from our capital

P1, 050, 000.

2. Make agreement with coffee distributor and bakery vendors

3. Create a cozy, artist friendly environment

4. Open for business and become the foremost coffeehouse in the area

5. Succeed in coffee business, to gain profit and maintain quality of service

6. Maintain a financially healthy business by exceeding target at least 10%

7. Achieve monthly and yearly sales target

8. Begin marketing to new customer and competitors

9. Provide a product service faster and more reliable than those of the competitors.

MANAGEMENT HIGHLIGHTS
OWNERSHIP

The Maize Cafe Shop is partnership formed by Rhyan Loterte, Jonelle Jimenez and

Joel Jr De Gua. Each partner involve in operation and management of the business.

OUR TEAM: The ultimate aim of our coffee shop is customer satisfaction. The

partners are energetic professionals with proven skills and with the required

expertise. By our team, we never lack efforts to make every single deal a resounding

success.

Working together as well-knit team with a common goal to satisfy customer by

providing quality products at competitive prices, our team consists of the experienced

and dedicated staffs, who work in a team spirit to achieve common goals. In pursuit

for overall excellence, we have evolved pro-active mechanisms and work culture in

introducing new food and beverages to satisfy our customer and attract new ones.

The success of organization will always depend on knowledge, experience and skills

of the promoters, so it is necessary that the owners of the company must pour their

"blood" to build image of the company.

KEYS TO SUCCESS:

• GREAT LOCATION: visibility, traffic pattern and convenient access.

• BEST PRODUCTS: freshest coffee, clean equipment and consistent flavors. They

must be of the high quality and value.

• SERVICE: Our patrons are paying to have a good time. Their experience will

suffer if service is not of the highest caliber. Each member of the staff will be

courteous, efficient, and attentive, cheerful, skilled and articulate

•MANAGEMENT: We will need to have a steadfast control on food, beverage, and

labor costs. The dining at coffeehouse experience must be delivered in a fashion that
will not only inspire repeat business, but encourage word-of-mouth recommendations

to others. Proper inventory. employee management, and quality.

RISK:

Market Risk

The main risk is monetary and our target market may not patronize our product

because it is locally made.

MANAGEMENT ASPECT:

The best organizational structure to adopt in the same manner.

communication will be facilitated from top to bottom and vice versa. Democratic

atmosphere will always prevail in the business to ensure hormones interpersonal

relationship between managers and employees. We will develop the service activity

to satisfy the need of customer.

 MARKETING HIGHLIGHTS:

MARKET RESEARCH:

Industry Overview

There are no any businesses that serve specialty coffee in front of Far Eastern

University-Manila

MARKETING ASPECT:

 We will be very positive in offering a service to satisfy customer needs, accept

suggestion and criticism to improve our business.

 We will always be open-minded to those other competitors and will seek only

the best.

MARKET ANALYSIS:

1. Segment rivalry: At present, coffee businesses have high competitors. There

are so many productions and coffee shops, most of which present different quality,

taste and decoration to be factors of choice for customers. Therefore, Maize Cafe

Shop would emphasize on quality, taste and image of coffee shop following sales

point. Giving customers more value when compared with their money is ensured by

incorporating good-to-excellent products, which attributes at a lower cost than rivals.

The best target is lowest (best) costs and prices compared to rivals offering products

2. Bargaining power of buyers: Bargaining power of buyers is high because

there are so many products such as several beverages, several food sets and others

Therefore, it can attract customer to buy products from Maize Café shop, because it

can respond customer need in variety.

 3. Threat of substitute products: For the coffee-drinking lover, in their opinion,

they cannot find some products to substitute coffee. While, other customers, fruit

beverages would be the other choice.

4. Threat of new entrants: Entrants in coffee business or other competitors is

easily done, because investment would be low budget to high budget. Therefore,

coffee businesses have high competitors.

To sum up, coffee business is high in competition. Therefore, it should use

market strategies for establishing brand loyalty. The results of brand loyalty include

buyers' repeat in buying and would be an important factor to expand new market.

Therefore, they should emphasize on quality of products, deeply understand customer

insight and approach their customer needs.

PRESENT SUPPLIER:

The main supplier of our com coffee will be the SUMILAO CORN COFFEE it is

located at Cubao Expo they have their small shop. The supplier for the coffee

ingredients will be the EQUILIBRIUM located along Muntinlupa and for the other

types of coffee would be BOYD and they are located along Shaw Blvd. For our sugar

which is "mascuvado sugar" the supplier would be Mr. Romeo Abellon. The schedule

for buying the raw materials is every month. Baked goods will be from the bakery of

Sweet Mind located at Multinational Paranque, the schedule of getting baked goods

is every day to make sure that we will offer the customer fresh pastries, sandwich and

cookies
MARKETING STRATEGIES:

Target Markets

Our target markets are young professionals, students and employees who need a

nice, quiet, unique place to relax and do their work and socialize with friends.

 BEST-COST PROVIDER STRATEGY

 PRODUCT RAND D ACTIVITIES PACKAGING STRATEGY

 WIRELESS ZONE

 LOYALTY CARD

A BEST-COST PROVIDER STRATEGY

Giving customers more value when compared with their money by incorporating

good-to-excellent products, which attributes at a lower cost than rivals. The best

target is lowest cost and prices compared to rivals offering products.

PRODUCT RAND D ACTIVITIES

The aim of product R and D activities is improvement of product designs and

performance features, increased end product and applications. Maize coffee shop

business has to develop and create new products for responding to customer each

season.

PACKAGING STRATEGY

Maize coffee has two types of cups for hot and ice beverages.
HOT BEVERAGE:

Maize has two pattern of hot beverages cup. One is for drinking inside the store

and another is for on the go or the take-out. Both of these have the logo of Maize in

the skin of cups. This strategy establishes brand awareness.

COLD BEVERAGE:

For the cold beverage Maize coffee shop will be using plastic cups whether on the

go or drinking inside the store.

WIRELESS ZONE:

Customer target groups are various types such as student, employees, young

professionals and etc, especially student and employees usually use internet therefore

wireless zone at Maize can attract customers.

LOYALTY CARD:

The Maize Cafe Shop will offer loyalty card to their valued consumer. If the

consumers avail worth of P200 on our product he can use free one hour internet in

our tablet.

MARKETING PROGRAMS:

PRICING STRATEGY:

We will offer two sizes of our coffee drinks, 12 ounce and 20 ounce. Our

pastries and cookies will range from P25-P75

ADVERTISING AND PROMOTION:

We plan to spend moderately on advertising and promotion. We intend to

advertise in a social networking site such as face booland twitter. We will do have

flyers and leaflets to promote our business and will also offer loyalty card program to

our valued customer.

DISTINCTIVE SPACE:

Maize Café Shop is using a diner style space. The space is easy to recognize and

functional. The space has comfortable atmosphere where our consumer can relax and

enjoy their drinks.

FINANCIAL HIGHLIGHTS:

The financial need of our business shall be sourced from partner's equity. Each of the

members shall contribute an initial amount of P210, 000 in cash. Half of the capital

will be used for all expense to be incurred during the pre-operating period and during

the half of the year of normal operation. All purchases shall be on cash basis.

SOCIO ECONOMIC:

•Partners will make sure of the observance and God-fearing to all of them.

• Will be very much responsible in promoting environmental clean air act and proper

waste disposal.

•Taxes assured for the city govemment.

• Provide a relaxing place where customers can spend their free time drinking coffee

after a long tiring day.

•Provide jobs to midget to lessen the rate of unemployed

•Supports Filipino products

SERVICE TO OFFER:

The Maize Cafe Shop will offer high quality coffee, tea, cappuccino, frappes and

pastries at very reasonable price. An important part of coffee shop is service mind.

All employees are trained about manner.

Products are produced locally. The distributor of com coffee is the Sumilao Com

Coffee from Bukidnon.

 Types of coffee such as hot beverage and cold beverage.

 Soft and fresh-baked pastries.

 Maize Cafe Shop is a full service shop.

Services include:

relaxed atmosphere, wireless zone, magazines and newspaper We will only use

purified water and brew coffee in commercial coffee maker that will be thoroughly

clean between use and we also offer soft and delicious pastries.
MENU
DEMAND AND SUPPLY ANALYSIS:

Sales

passerby, 20

students; 50%

professional: 30%

The figure shows that our target market would like to try our corn coffee, 50% for

the students, 30% for young professional and 20% for people who pass by.

The

figure shows the universities that respond to our question if they will try our com

coffee.

*the figures shown above are based on questionnaire given to the target market

in order to evaluate the feasibility of this study.

PROJECTED SALES OF MAIZE CAFE SHOP
LABOR REQUIREMENTS

All employees that will hired in our establishment must present all legal papers.

 NBI CLEARANCE

 SSS

 OTHER ID such as VOTERS ID and POSTAL ID

 BARANGAY CLEARANCE

 MEDICAL CERTIFICATE

STAFFING

We will hire Four midget 2 boys and 2 girls. We will also hire 2 barista either a boy

or a girl.
SUPPLIES/MACHINERY/EQUIPMENT REQUIREMENT
ORGANIZATIONAL CHART
LEGAL FORM OF BUSINESS

The management will apply from the local government unit concerned pursuant

to Executive Order No. 71 and 72 for the approval of plans for coffee shop

establishments of the following

 Department of Trade and Industry

 Mayor and Business Permit

 Barangay Clearance

 Bureau of Internal Revenue

 Social Security System

 Fire Permit

 Sanitation Permit

BUSINESS STRUCTURE (ORGANIZATION CHART)

There are several legal forms of organizing and operating business. Coffee shop

requires a small capital therefore a financially stable form of business is necessary.

Thus the group decided to structure the business as a partnership and shall be called,

"MAIZE CAFÉ SHOP" Our organizational structure will be a single pyramid style

with the owners putting in as much work as the employee.

ORGANIZATION CHART
LABOR BENEFITS;

 SSS
 PHIL HEALTH

 13 MONTH PAY

ADMINISTRATION EXPENSE

DESCRIPTION MONTH YEAR

SECURITY 30,000 720,000

GUARD

BARISTA 1 426 10,224 122,688

BARISTA 2 426 10,224 122,688

CREW 1 426 10,224 122,688

CREW2 426 10,224 122,688

CREW 3 426 10,224 122,688

CREW 4 426 10,224 122,688

TOTAL 1,456,128

P426 is the basic salaray of the employee per day based on the regulatory board

of Department of Labor and Employment (DOLE)

GANTT CHART OF ACTIVITIES

 *the figure shows the step by step procedure of the business

*the figure shows the pre-operating expense of the business from registration of

the business until ordering of the first month business operation.