Establishment of Dragon and Tiger Aikido Dojo at PPA Building

ESTABLISHMENT OF DRAGON AND TIGER AIKIDO DOJO AT PPA
BUILDING, CALICANTO, BATANGAS CITY
FRANCER DONN M. RAYOS
Master in Business Administration (Non - Thesis Program)
2011
INTRODUCTION
Due to the hard times, the incidences of crimes have numbered
significantly even in the city of Batangas. As the city progresses and becomes
more industrialized, the crime rates in the locality have also been increasing. This
is the main reason why private citizens nowadays are seeking for ways to protect
themselves from robbers and other criminals. It is in this context that the
proponent has seen the need for putting up a martial arts school where
individuals, whether adults or children will be trained in the art of self-defense
and discipline. The proponent has considered this business opportunity with the
desire to earn while contributing significantly to the local community.
The different forms of martial arts easily attract the kids especially during
summer season and have enticed even the young adults and female individuals
to learn self-defense. Among the different forms of martial arts, the proponent
has chosen to focus on Aikido because it is the most reliable and appropriate
especially in an urban area like Batangas City. It aims to develop among
individuals comprehensive knowledge about self defense in order to protect the
lives of the people and property as well.
On the supply side, there are quite a few competitors in the area and this
presents a great opportunity for the proponent to pursue this kind of business.
GENERAL OBJECTIVES
the quality of service already
available in the market;
The general objective of the
study is to determine the viability of
the proposed business. Specifically it
aims to achieve the following:
2. To identify the uses of the
services itself, its possible
location,
its
layout,
the
equipment and other related
paraphernalia required in this
kind of business and to be
used by the customers;
1. To determine if there is an
existing demand, the strengths
and weaknesses of the
business in order to improve
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3. To ascertain the appropriate
form of business organization
that is suited in this kind of
business and which must be
adopted
for
its
proper
management;
employed in the interpretation of
gathered data.
Further,
the
strengths,
weaknesses,
opportunities
and
threats of the proposed business were
identified by the proponent. These
had been the basis in the formulation
of appropriate marketing strategies for
the proposed business.
4. To determine the amount of
capitalization, the time period,
the partner’s capital that
should be returned/recovered
back through financial ratios
analysis; and
Technical
The technical feasibility study
deals with the production of service
itself. It discusses about the service,
its description, the process of
incurring it, the location wherein the
business should be placed, the
supplies, tools and equipment to be
used and the direct labor requirement
of the proposed business.
5. To identify the contribution of
the business to the Philippine
economy.
PROJECT SUMMARY
Marketing
The market feasibility study
includes the determination of the
present and future demand in the
market as well as the supply served
by the competitors. The market gap,
market share, marketing strategies,
the way the service should appeal to
the
target
customers
through
advertisement and other promotional
measures, the place where the
service will be offered and the proper
pricing are included in this aspect.
In the technical aspect of the
proponent’s study, the product which
is the aikido training was described
along with the expected benefits and
uses to each identified segment of the
target market. It also discussed the
procedures involved in the provision
of the service. In this part, the
required training tools, equipment and
supplies of the proposed business are
also included.
Management
To determine if there is an
existing demand for the proposed
business, the proponent conducted
survey and interview with the target
market and owners/managers of
existing martial arts school in
Batangas to gain essential information
relevant to this study. The descriptive
method of research was used in this
study. Descriptive statistics were
The management aspect of
the feasibility study deals with the
proper capitalization, the appropriate
business form of organization and
organizational structure, its policies
and all legal requirements in operating
the business.
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The proposed business will
operate under a partnership form of
ownership wherein the proponent will
act as the overall manager of the
business. A part-time accountant will
deal with the financial transactions
and records of the company. Under
the supervision of the General
manager, the Training Coach will
provide the aikido training to the
students with support of assistant
trainors. The utility staff will be
responsible for the cleanliness and
maintenance of the aikido school.
liabilities. The invested capital can be
recovered at a reasonable time of
almost three years. In terms of its
financial stability, the firm is very
stable.
SOCIO ECONOMIC
The socio-economic aspect of
the study tells something about the
business contribution to the Philippine
economy
through
employment
generation and the taxes it will remit
to the government. Putting up a
business is not just one way of
securing one’s future but in the
process of giving security to those
individuals who will be hired.
FINANCIAL
The financial feasibility study
deals with the finances or money
matters of the business. It tackles
about the total project cost, the
projected cash flow, projected income
statement and projected balance
sheet of the company.
The taxes that the proposed
business will remit to the BIR will help
the government in minimizing budget
deficit. The Dragon and Tiger Aikido
Dojo
will
also
contribute
to
employment generation and in the
decrease of local unemployment rate
by hiring employees who will fill the
positions available in the organization.
The initial investment of each
partner for the proposed business is
P200,000.00 which will yield to a total
of P1,000,000.00 as starting capital to
be used in the first year of operation.
To test the financial stability of the
business, it is necessary to make use
of the financial ratio analysis. Liquidity
ratio is used to test the ability of the
business to pay the incurred debts
and obligations. The proposed
business Dragon and Tiger Aikido
Dojo has enough money/resources to
cover up its debts. Solvency ratio is
used in analyzing the company’s
financial stability. From the results of
computing the ratio, the firm is
capable of paying its debts. The
business can cover up all the
expenses to be incurred and its
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