1

PHASE I: GOAL SETTING

VISION

Sweet Madness Company will be the best provider of affordable Graham float

and unique drinks. The business gives unforgettable moments that may the customer

experience and adhere relationship with individuals.

MISSION

Sweet Madness Company aims to gives satisfy cravings and delight to the

customer’s. In exchange of money they are given, the business surely to meet their

satisfaction.

GOALS

Sweet Madness will have the following goals;

 To motivate and leave an unforgettable impression to customer.

 To achieve the customer’s loyalty.

 To maximize the sales and expenses

OBJECTIVES

 Give customer a high quality service that will satisfy and inspire

them to purchase the product.

 To maintain the customer loyalty the company should consider the

customer feedback, and also the needs and wants of the customer.

 To maximize the quarterly sales by 25% and to minimize the

quarterly utility expenses by 15%.

 2

EXECUTIVE SUMMARY

Sweet Madness Company offers an affordable Graham float that satisfies the

sweet cravings of every customer. The business tagline is “Your Sweet Command, our

Luscious Command”. The business partners are Aira S. Vega, Justin P. Teves, Karen

Mae T. Bozar, and Michelle V. Ebrada. The business is offered to teachers, non-teaching

staff, and students whose love sweets. One of the business strength is, they highly

respond to customers, especially if there are bundle orders. Its weakness is the lack of

experience when it comes to management of the business that may lead the business in to

a critical situation. But they have their goals and objectives to be done while business

goes on. The expected expenses for the business 80,000.00 and expected income is

120,000.00. The business will be observed from time to time to know if the objective and

goals are met by the Company and also for the business to know if there are positive and

negative improvements. Financial status will also be observed if it has increased or

decreased.

PHASE II: SITUATION REVIEW

A. Marketing Audit

MICROENVIRONMENT

The target customers of Sweet Madness Company are both customer and

consumers such as students, teachers, and other personnel in Catanduanes National High

School and it can be sold inside and outside the school campus. Sweet Madness decide

their service by peddling or selling it personally using effective word of mouth to satisfy
 3

the needs of the target customers, retain them in the long run to create greater customer

equity and gain more income. The Company know that there are so many competitors

with the same products they offer but despite of that the entrepreneurs will still do their

best to provide a good services and products.

MACROENVIRONMENT

The business area of the company is within Catanduanes National High School

and outside of the campus that is mostly active in all ages and gender that wants to

purchase the business product. The economic system will affect the business, the inflation

of goods will affect the demand of the product that the company produced. A highly

technology will help the business to promote more the business product to achieve a high

sale of the company. One of the company’s responsibilities is to protect its business

product, the company ensure that their business will not affect the nature environment to

build a good relationship with the customer’s.

B. SWOT Analysis

Like other businesses Sweet Madness Company has strength, weakness,

opportunity, and threats that will help the business to scrutinize and monitor the process

of the business. SWOT Analysis determines the strength and weaknesses of the business

that the company will improve more the product and its management so that they can

meet the company’s goal at the end of the year. Accepting the opportunities that may

come in the Company to grow more and progress its business. With the company’s

threats it helps the business to improvement more its product and work hard for the goals

of the Company.
 4

Table 1. Swot Analysis

Strength Weakness
 Affordable price  Lack of experience management
 Good quality product  Lack of personnel
 Direct selling to customer  Lack of highly technology
 High response to customer demand
Opportunities Threats
 Positive customer feedback  Competitors
 Suggestion of anyone  Different kinds of customer

Strength

 Affordable Price

o The business product is highly afforded with the customer; with its

affordable price it’s easy to catch customer attention to purchase the

product. It is the strength to patronize the product.

 Good quality product

o Having good quality products it gives a high sale to the business.

 Direct selling to customer

o In direct selling to customer it helps to build a customer relationship and

that is good in business.

 High response to customer demand

o A high response to customer demand it prioritize what the customer

needs and what’s in a business product.

Weakness

 Lack of experience management

o It is not easy to handle a business without knowledge with business.

 5

 Lack of personnel

o Difficult to terminate the production of the product.

 Lack of highly technology

o Not easy to finish the product on time so that it caused time consuming

in production.

Opportunities

 Positive customer feedback

o Getting positive customer feedback is to maintain the good service and

product of the business and to also to determine the strength and

weakness of the business.

 Suggestion of anyone

o Suggesting anyone prospective about the product and get some ideas and

knowledge to enhance and improve the business product.

Threats

 Competitors

o When there is lots of competitors in the business the company should

think of any uniqueness to be catchier to customer.

 Different kinds of customer

 6

o Every customer has their various perspective and behaviouristic about

the business product and it highly affected the business.

C. ASSUMPTION

FINANCIAL

Sweet Madness Company continues to provide to every customer an affordable

product yet have its best quality of foods that will truly satisfy the needs and wants of the

customer. As entering into local market the business will assume to experience having a

high income at the same time few net loss due to lack of management experience. At the

business goes by, the business assumes that the return on asset will not be easily returned

on the business, it takes year to fully back the equity of the company that had been lost in

the business.

NON-FINANCIAL

With this assumption the company will able to provide a well-customer service to

ensure customers loyalty to the product. Without the use of money the proponent will

enhance their management when it comes to the product to fully generate sales of

income. The company will accept the suggestion of the customer for the product to be

more creative and innovative.

 7

PHASE III: STRATEGY FORMULATION

MARKETING OBJECTIVES AND STRATEGIES

Sweet Madness Company marketing strategy used the modern technology to

advertise and promote the business product, also the word-of-mouth that can easily

spread throughout individuals. The marketing strategy chase to achieve the customer

awareness to the product that company offers to have a good and simple relationship with

the customer. The company will do their best and get more knowledge about the business

to maintain good product and services to gain more income, and to avoid having net loss.

A. TARGET MARKET AND SEGMENTATIONS

The business target market is almost from all ages from students to professionals,

such as teachers and non-teaching staff of Catanduanes National High School who are

interested in purchasing products that will lead them to change their perspective in

choosing the food they want to eat. The company depend to the customer who purchased

the product that they offer; despite of that, there are different factors that can affect the

business target market. One of this is the Demographic, even the product is from all ages

it can also affect the customer’s lifestyle and their common habits in terms of desserts

which some of the customer don’t like to eat sweets because it can increase their sugar

level and damage their life style. Psychographic can also affect the business product, that

deals with hobbies and interests that not all individuals loves to eat sweet product (like

graham) some of the customer’s do not fit their preferences to the product. The business

also affects the customer‘s Behavioristic, like customer’s loyalty because not all the

business customer will always purchase and look to the product that the company offer,
 8

some of them may purchase the business product for replacement. Special occasions may

affect the business for some reasons that lots of customer will purchase the product

especially in the month of December and February, and for the special occasions like

birthday, anniversary even monthsary that the company will produced lots of the product

and that was the time that the business get a high income. Geographic variable doesn’t

affect the business target market.

B. PRODUCT POSITIONING AND COMPETITIVE ADVANTAGE

Sweet Madness focuses mainly on the business customer’s cravings and

satisfaction. The business makes sure that they use freshly raw materials at its low cost to

provide great taste yet affordable price product, compare to the competitors, the business

product has a different varieties of toppings (apples, cheery, pineapple, mangoes, and

biscuits) the business assure to the customers that even though the product is very

affordable, it does not affect the quality and taste. Also, the Company keeps on searching

in the internet to gather ideas and information to make the business product better.
 9

The Company offers a low price but a high quality product that customers prefer

that kind of product. Meanwhile Café de Au, Blue Café, and Marquee Shades based on

majority and the company’s feedback the businesses above considered as a high price and

high quality, even though the businesses have its high price the businesses product are

worth it to purchase. Moreover, as the company observed their production process and

experienced purchasing the product. The company, based on its product considered the

businesses as low quality but with a high price, because their product ingredients do not

suit to its price.

COMPETITIVE ADVANTAGE

In entering a business, the company expect to have a direct and indirect

competitor. Having a competitor in the business gives the company to be more

determined and competitive to enhance the business product. The company will not only

focus on the product itself but also on the service they provide to the customer and accept

more suggestion on the particular product. With the business competitor the company

will fight through mind and heart.

C. PRODUCT STRATEGIES

Sweet Madness Company aims to give satisfaction to the customer that

purchasing the business product through its quality and service. With the variety, quality,

and design and feature of the product it helps the business to create more customer

loyalty and business partners in the future.

Variety- Sweet Madness Company offer variety of product that will satisfy the

preferences of the customer by its high quality product and affordable price.
 10

Quality- The Company will pursue doing a good quality product and confident to

present the business product and at the same time working in its passion.

Design- The product itself must be presentable for the customer easily attract and

purchase the product. The business will maintain its layering design to their product to

catch the attention of the customers.

Features- The business focus on its product, service and how to grow the

business by giving importance to the customers, accepting ones suggestion for the

product to be more inventive. The Company offers a comfortable place that has fast and

free internet access, for `loyal customer, the business gives promo’s and freebies for them

to purchase again the product.

Figure 1: Sample Graham

Float
 11

D. PRICING STRATEGIES

The business product of the Company has a simple yet eye-catching look. The

business uses a clear container to see the layers and the toppings of the product. Company

provide a product where it is affordable yet delicious, the business formulate flavours

based on the business customers demand and suggestion. Sweet Madness Company

makes sure that the quality of the product is consistent to meet customer’s expectation.

The company believes at “worth the taste at its lowest price”. The business caters its

product to people who loved to eat sweet delight.

E. PLACE STRATEGY

The location of the business is within the area that has lots of customers. The

business is located at Salvacion, Virac, Catanduanes. Sweet Madness Company wants to

fulfil customer’s cravings, so as much as possible the business location will be reachable

and the ambiance of the place suits to every individual that looks for a good place and

good quality service. The place has glamour vicinity, that everyone would love and

comfortable feeling when they enter the company’s place. The furniture and equipments

has a unique quality that can use in a very long-run.

 12

Figure 2: Sweet Madness Company Sample space

F. PROMOTION STRATEGY

Promotion helps the business to get more customers and get more desirable

response with this kind of marketing strategy. Promotion can be done in many aspects

such as networking, social media, print media and even in electronic media. In this

strategy, the Company expect to have a good customer relationship, achieve the business

goals and get inspire to create new ideas.

Building Customer Brand Identity and Strategies

The Sweet Madness Company uses networking, social media and print media to

promote its company brand especially the product and services they offer. Meet-ups is a

part of networking strategies that will help the Company to increase the levels of

customer’s loyalty. Social media specifically the webpage and instragram helps a lot to

gain more customers and boosts the Company’s sales and productivity. With the help of

television advertisements, radio, and internet ads the business product can easily

recognize by the customers.

Conventional Promoting Ideas and Strategies

Different Strategies is used for the business to be known, the Company use

Business Card for the customer easily contact the Company for any inquires that they

made. The Company has its own logo and signage outside the business that the customer
 13

can easily recognize what the business offers. The business disseminates its fliers to the

customer to be informed and stay connected to the Company.

Figure 3: Sample Business Logo

Figure 4: Sample Signage

Figure 5: Sample Business Card

 14

Figure 6: Sample Flier

Figure 7: Sample Website

Figure 7: Sample Interior Design

 15

G. LEVERAGING THE INTERNET FOR ADVERTISING

Technology is a power tool to communicate one another; different social media

sites are popular in today’s society. As part of business strategies, the business has its

own websites named Sweet Madness. Also in different social media sites such as

facebook, and instagram where customers can easily see the products offered by the

company. With the help of social media it can easily scrutinized the comments, and

feedback of the customer that purchase the product and persuade the one that scans the

business sites.

Figure 8: Sample Website

 16

Figure 9: Sample Instagram Account

H. CLIENT RETENTION

In exchange of loyalty of the customer, the business has a loyalty card wherein

the customers should avail products worth Five-hundred pesos, seven times within the

business, then the company will offer promos or freebies such as giving planner and

tumbler with the company’s design. The business operates for only eight 3 hours;

therefore the company does not have staff nights.

Figure 10: Sample Loyalty Card

 17

Figure 11: Sample Staff Shirt

I. PROGRAMS AND EVENTS TO BE CONDUCTED

Giving back all the blessing that the company received in serving their customers,

the company will conduct trainings for those who are interested to learn about the

company’s product. Charity works will also be conducted quarterly; every December the

company’s personnel will donate their unused clothes and toys for the gift giving to the

street children.

J. PROJECTED SALES

As the Company goes by in its business, Sweet Madness expects to have different

sales every months and years. The business projects its sales for three (3) years of serving

in the Industry, the business will experience a higher and a lower sales in perspective

months. To increase and maintain its set annual sales, the company will use different

strategies that will help to increase its sales and can satisfy the customers need and wants.
 18

ESTIMATED SALES

Sweet Madness is new to the eyes of the customers, the business will not expect

too much sales for its first year in the industry, the process and improvements are made in

the said year. In one year of making, the company increase its sales and keep on doing its

employees job and responsibilities to increase more its growth sales. Three years in the

industry, the company slowly met its goal of sales in the business. Sweet Madness will

not stop to pursue its growing industry to achieve the desire growth sales of the

Company.

K. ALTERNATIVE PLANS AND MIXES

Alternative plans are very important in every business that they always considered

in case of unexpected situations that will require immediate actions. If ever the Company

fails to achieve plans and goals of the business, they will create and introduce new

products and services to offer in the target audiences and will promote the firm and its

offering in competitive market ways.

 19

Adding Complementary Services

Adding Complementary services will help the firm to increase the customer’s

awareness about the product and services, and also a stronger flow of qualified leads and

opportunities. The Company is always open for meet-ups to help the customer to avail

the product much easier and to lessen their piece of works, this will the company and

customer relationships. The Company will offer more features and add-ons on the

product and services as much as possible, and at its affordable price that customers can

avail and has a good quality product. This will help the Company to have high levels of

growth and profitability. Face-to-face networking is always the best strategy to develop

new relationships.

Strategic Marketing Alliance

Strategic Marketing Alliance with the Partnerships on the other firms will help the

/Company to engage in a wide variety of customers and be more competitive in Business

Industry and be more recognize by its brand and company name. This can help to gather

more customers who will purchase the product at a lower price but has a good quality.

Both companies can help other in promoting their product and services that may

customer will patronize.

Cooperation and Professionals

Cooperation with Professionals especially the well-known companies will help

the firm to have a best practices technique and frameworks that will help the Company

solve critical issues and take advantage of opportunities. This will also help to build
 20

capability, effectiveness and practical experiences and a subject matter expertise with the

help of this kind of partnership.

PHASE IV: RESOURCES ALLOCATION AND MONITORING BUDGETAY

EQUIPMENT REQUIREMENTS

A. First year detailed Implementation Budget

Sweet Madness Company

BUDGET

(For one month)

Production Php. 20,000.00

Ingredients Php. 15,000.00

Packaging 5,000.00

PROPERTY, PLANT, AND EQUIPMENT Php.15,000.00

Chair and Tables Php. 15,000.00

GENERAL AND ADMINISTRATIVE EXPENSE

Rent Expense Php. 15,000.00

Utilities Expense 6,000.00

Water Bill Php. 1,000.00

Electricity Bill 5,000.00

Distribution Expense 5,500.00

Advertising expense 1,000.00

Store Utilities expense 4,500.00

 21

Salary Expense 25,000.00

TOTAL Php. 86,500.00

SWEET MADNESS COMPANY

Statement of Financial Position

As of December 31, 2019

Current Assets

Cash 130,000.00

Account Receivables 14,000.00

Inventories 19,200.00 33,200.00

Total Current Assets 163,200.00

Non-Current Assets

Property Plant and Equipment 35,000.00

Total Non-Current Assets 35,000.00

Total Assets 198, 200.00

Liability

Accounts Payable 50,000.00

Notes Payable 8,200.00

Total Liability 58,200.00

OE

Capital 150,000.00
 22

Net Loss (10,000.00) 140,000.00

Total Liability and OE 198,200.00

SWEET MADNESS COMPANY

Statement of Comprehensive Income

For the year ended December 31, 2019

Net Sales Php. 350,000.00

Less: Cost of Goods Sold 150,000.00

Gross Profit 200,000.00

Operating Expense

Rent Expense Php. 15,000.00

Utilities Expense 12,000.00

Distribution Expense 15,000.00

Salaries Expense 35,000.00

(Php. 77,000.00)

Net Income Php. 123,000.00

ROA= (RETURN on ASSETS)

ROA= (123,000.00)/198,200.00

ROA= (0.620/0.621)
 23

SWEET MADNESS COMPANY

Statement of Cash Flow

For the year ended December 31, 2019

Cash Flow from Operating Activities

Cash inflow

Collection from Customers 80,000.00

Collection of accounts 50,000.00

Cash outflow

Rent Expense 15,000.00

Utilities Expense 12,000.00

Distribution Expense 15,000.00

Salaries Expense 30,000.00

Taxes and License 4,000.00 106,000.00

Net Cash flow from operating activities 24,000.00

Cash Flow from Investing Activities

Cash Outflow

Purchase of furniture and fixtures (25,000.00)

Purchase of equipments (10,000.00)

Net Cash by Investing Activities (35,000.00)

 24

Cash Flow from Financing Activities

Cash Inflow

Sweet Madness Capital 150,000.00

Cash flow from financing Activities 150,000.00

Net Increase in Cash 139,000.00

Add: Cash Balance, Beginning 0

Cash Balance, Ending 139,000.00

 25

ORGANIZATIONAL CHART

SWEET MADNESS
COMPANY

Aira S. Vega Michelle V. Ebrada

MARKETING MANAGER FINANCE MANAGER
 Overseeing the  Reviewing financial
Company’s marketing reports, monitoring
budget. accounts, and preparing
 Preparing online and activity reports and
print marketing financial forecast.
campaigns.  Investigate ways to
improve profitability and
analyze markets.

Justin P. Teves Karen Mae T. Bozar

PRODUCTION MANAGER ADMINISTRATION
MANAGER
 Planning and organising
production schedules  Assess staff
 Overseeing production performance
processes  Oversee facilities
service,
 Selecting, ordering and
maintenance
purchasing materials
activities and
tradespersons.