Chapter I

The Problem

Introduction

Food is an important aspect of our lives that reaches across continents, ages and cultural differences.

Filipinos are genuinely fond of eating and gatherings, celebrating every important event of their lives. For us

Filipinos, we are fond of food and as saying goes “the surest way to a Filipino’s heart is through his/her

stomach. Because of this, there is breakfast, lunch, dinner and merienda. A catering services can provide all

of this whether if it is morning, afternoon or in the end of the day.

Catering is the business of providing food service at a remote site or such as a hotels, public house or

other location. The catering business is one of the most profitable home businesses with a high potential for

expansion and growth. It is both financially rewarding and fun. With such a large variety of catering

available it is difficult to decide on which is the best for your guests. Each catered event whether birthday

parties for children, company dinner parties and wedding receptions involving more guests is a new

experience and challenge with a new group of people. Whether it is a catering event on a full-time or part-

time basis, the opportunities are excellent. However, catering is a demanding work, requiring stamina, ability

to work under pressure, and excellent interpersonal skills. Getting the word out about your catering program

can be a challenge. Moreover, the success will greatly depend on reputation.

To build a good reputation in the business, owner should be willing to work hard and the ability to

work under pressure. This kind of entrepreneurial business is definitely growing and becoming more popular

with people of all income levels. Catering services provided vary depending on the event and can include:

cooking and delivering food to an outside location; cooking, delivery and serving food, and full-service.

When most people refer to a “caterer” they are referring to an event caterer who serves food with waiting
staff at the dining tables or set up of a self-serve buffet. The food may be prepared on site, made completely

at the event, or the caterer may choose to bring prepared food and put the finishing touches on once it arrives.

Every business has its own unique set of challenges, just as each has its own particular rewards. The

main strategy is the growth of catering customers, a large customer base provides revenue and further both

goals of operating a self-sustaining business and providing even more part-time employment for at-risk

youth. With the Philippines choice of their own events, people are becoming ideal of kind of catering

services to have their own alternatives of food and location. Such an alternative for this is that catering

provides what choice of food to be served and location and meet up can be made without any problems at all.

These qualities of catering have made it popular among consumers who are tightening their budget since

some catering services offers various range of service with a low-cost price. Many people are urging to put

up a small business like catering services and this study will tackle first their common strategies used by the

caterer in putting up a business so that people who wish to establish a catering service. Furthermore, the

purpose of this is to review the views of the industry about catering and how it is managed and then to

explore some practical examples of how to create a successful catering operation.

Statement of the Problem

This study aims to identify the Common Strategies used by Catering Services and the level of

satisfaction of the customers’ regarding the catering services. Specifically, the study sought answers to the

following questions:

1. How will the caterer handle inaccurate guest count?

2. What will be the customers’ feedback regarding to a catering service?

3. How will catering business manage the issues about food?

4. How will manage to make a catering set-up on a small budget?

5. What is the effects on a catering service if they forget catering utensils on an event?

Theoretical Framework

Catering services are often sold on a per-person basis. A catering proposal will usually include rental

arrival time, staff arrival time, bar open and close time, meal time and rental pick up. The theory of catering

business supported the idea of your catering services to your customer, who help you to earn money.

According to Hetahers (2008) Catering operations are generally one of the more complex

components of a venue’s activities. It is estimated that only 15% to 30% of restaurant, hotels and club

catering operations are profitable. A successful catering department requires the effective management of

everything from price and portion size to marketing and Human Resources. The benefit of a successful

catering operation is that it not only brings in profits from the catering department, it also serves to enhance

other areas of the business.

Baker and Wurgler (2002) suggest that managers may try to “cater” to prevailing investor

demand for dividends by paying dividends when investors are putting a premium on dividend

payers, and not paying when the dividend premium is negative. While surely not the only
omitted influence on dividend payment in catering incentives vary over time and to a large extent may be

separate from firm characteristics. It is natural to examine whether they influence the propensity to pay.

Black and Scholes Theory view differ on several important points. One difference is that catering

takes seriously the possibility that demand for dividends is affected by investor sentiment. Another difference

is that catering focuses on the demand for shares that pay dividends, and not necessarily the demand for an

overall level of dividends. According to Black and Scholes, managers compete so aggressively that a

nontrivial dividend premium or discount never arises, and therefore dividend policy remains effectively

irrelevant

Conceptual Framework/ Theoretical Paradigm

INPUT PROCESS OUTPUT

 The Common  Collect and  Increase Sales

Strategies used Gather data Performance
By Catering  Formulating of and
Services Survey through Customer’s
Questionnaire Satisfaction.
 Interview  Improvement
in the
Catering
Services
Significance of the Study

This study, is very important especially these days that almost everybody, people keep, organize

occasion that needs the help of catering organization or outlets, and private individual that keep eating out.

This will be of immense benefit to those that still want to enter into catering business.

To all Catering Services Owner: the study will give them opportunity to give what they had

experienced in putting up the business so that others will be given opportunity to study the consequences they

are facing.

To all Future Entrepreneur: the findings of the study will help them a lot in studying the possible

consequences and factors in putting up catering services so that they can assess freely and catering services

so that business like catering services they will exactly know what they should do.

To all Costumers: the results of the study may help them become more aware about recent trends in

sales promotions and to discern which products and service offerings can usher benefits and satisfaction.

To all Future Researchers: these findings can help to propose entirely new avenues to explore in

future studies as a basis for coming up with a dissertation topic idea.

Scope and Limitations

The study focused on the strategies used by catering services. The scope of this study is very wide if

it has to be carried out in all the catering services. The researcher wants to seek what are the advantages and

disadvantages that will encounter in running a catering business’. The respondents of the investigation will

be the catering owners and also the staffs in services. This study wants to investigate what are their strategies

and ways to make their business successful.

Definition of Terms

Catering service – The art of bringing food to the people, where they need them at affordable price.

Marketing – This is defined as the process of planning and executing the concepts, pricing, promotion, and

distributions of ideas, foods and services to create examples that satisfies individual, or organization and

society.

Marketing concept – This is the key to achieve organizational goals which consist of the company being

more effective than competitors in creating, delivering, and communicating customer value to its chosen

target market.

Service – An activity, benefit or satisfaction that is offered for sale without the ownership of any foods.

Menu Composition – The term refers to the kind of foods that will be offered to the customer in which it

will be a factor to attract them.

Customer – refers to a person who buys products or services from a store, restaurant or other retail seller.
The Common Strategies used by Catering Services

Research in Daily Life 1

by

Shaira Ann S. Rosales

11 - Humility