1
Chapter 1
INTRODUCTION
Background of the Study
Shrimp belongs to any of the approximately 2,000 species of the
suborder Natantia (order Decapoda of the class Crustacea), close relatives
include crabs, crayfish, and lobsters. Shrimp are characterized by a semi-
transparent body flattened from side to side and a flexible abdomen
terminating in a fanlike tail. The appendages are modified for swimming,
and the antennae are long and whiplike. Shrimp occur in all oceans—in
shallow and deep water—and in freshwater lakes and streams. Many
species are commercially important as food. Shrimp range in length from
a few millimetres to more than 20 cm (about 8 inches); average size is
about 4 to 8 cm (1.5 to 3 inches). Larger individuals are often called
prawns.
According to Fletcher (2018), Rabobank forecasts that increases in
shrimp production will continue, as the sector continues to bounce back
from the early mortality syndrome (EMS) epidemic, and that this will
maintain the current, comparatively low, prices. As the report observes;
“Strong shrimp supply growth was first seen in 2017, following the EMS
outbreak. This strong growth continued in 1H 2018, driven in particular
by India and Ecuador, with Vietnam and Indonesia also recording good
seasons. At the same time, other regions, such as China and Thailand,
2
were no longer contracting and even showed signs of recovery. “In many
regions, modernization, improvements in infrastructure, and
intensification of farming have resulted in production growth. Some
farmers switched from low intensity to semi-or to super-intensive
production systems. We expect this good momentum in supply growth to
continue in 2019 and beyond. Over 50% of supply growth by 2020 is likely
to be in three leading countries – India, Ecuador, and Vietnam – even
though India’s shrimp aquaculture growth slowed down in 2018. A price
decrease started in early 2018, due to strong supply growth, and prices
fell sharply during 1H 2018. Prices have recovered somewhat and are
expected to peak around Chinese New Year. But another price correction
could potentially occur if supply is stronger than forecast in 1H 2019.
Hence, this study will be conducted to find out the Marketing
Performance of Shrimp Vendors in the major public markets of Davao City
and to gain information on the vendors’ marketing practices, how much
will be the marketing cost in selling Shrimp and it’s net revenue.
Statement of the Problem
The study was primarily undertaken to determine the marketing
performance of Shrimp Vendors in major Public Markets of Davao City.
Particularly, it seeks to answer the following questions:
1. What is the demographic profile of Shrimp vendors in the major
public markets of Davao City in terms of:
3
a. Age;
b. Civil Status;
c. Sex;
d. Educational Attainment;
e. Source of Financing; and
f. Length of Experience in Marketing?
2. What are the marketing practices of Shrimp Vendors in terms of:
a. Sources of Supply;
b. Mode of Delivery in Buying;
c. Mode of Payment in Buying;
d. Pricing Method; and
e. Frequency of Display?
3. What are the marketing costs of Shrimp in terms of:
a. Buying costs;
b. Supplies and Materials;
c. Transportation;
d. Labor; and
e. Fixed cost?
4. What is the level of marketing performance of Shrimp Vendors in terms
of net revenue?
5. Is there any significant difference in the marketing performance of
Shrimp Vendors when they are grouped according to demographic
profile?
4
6. Is there any significant difference in the marketing performance of
Shrimp Vendors when they are grouped according to marketing
practices?
7. Is there is any significant relationship between marketing performance
and marketing costs?
Significance of the Study
The results of the study could provide valuable information and
insights to the following;
Shrimp Vendors. This study could provide inputs in improving the
marketing practices of Shrimp Vendors in Davao City. The study could
also provide investment in cost benefits information on Shrimp, which in
turn can help improve its marketing performance.
Department of Trade and Industry. Results of this study can be used as
outline in terms of creating projects and program related to marketing.
Department of Agriculture (DA). Results could provide an overview and
even added information in their data bank on the marketing performance
of Shrimp Vendors in the major public markets of Davao City.
Future Shrimp Vendor. Findings could provide information on the
marketability of Shrimp in Davao City which could lead and guide them in
making decision relevant to engaging Shrimp business.
5
Future Researcher. This could serve as reference for those will could
conduct further studies related with this study.
Scope and Limitations of the Study
This study aimed only to find out the Marketing Performance of
Shrimp Vendors in major Public Markets of Davao City. This research is
limited only on the demographic profile of Shrimp Vendors in terms of age,
sex, civil status, educational attainment, source of financing and length of
marketing experience and shrimp vendors marketing practices in terms of
sources of supply, mode of delivery in buying, mode of payment in buying,
pricing method, and frequency of display. It also deliberates the Marketing
Cost of Shrimp in terms of buying cost, supplies and materials,
transportation, labor and fixed cost. Sixty (60) Shrimp Vendors were the
respondents of the study and the scope area of the study were from the
major public markets of Davao City, namely: Calinan, Mintal, Matina,
Toril, Bangkerohan and Agdao Public Markets.
Moreover, the accuracy of the results of this study depends largely
on the honesty and reliability of the respondent’s responses to the
questionnaire.
The study was be conducted from January to June 2019.
6
Definition of Terms
The following terms are defined as they are used in the study:
Age refers to the number of years of the respondent existence. In this
study it is categorized as 18-27, 28-37, 38-47, and 48 years old and above.
Civil Status refers to the respondents present status either they are
single, married, widow/widower or separated.
Consumers are those individuals who consume or buy Shrimp.
Educational Attainment refers to the highest educational level
attained by the respondents. In this study it refers to Elementary, High
school and College.
Length of Experience refers to the number of years the vendors have
engaged in selling Shrimp.
Marketing Cost refers to the expenses incurred in selling Shrimp. In
this study it refers to the buying cost of commodity, supplies and
materials, transportation, labor and fixed cost.
Marketing Practices refers to the practices undertaken by the
producers in marketing Shrimp such as source of supply, mode of delivery
in buying, mode of payment in buying, pricing method and frequency of
display.
Marketing refers to series of services performed in moving the product
from the point of production to the point of consumption
Mode of Delivery refers to the manner by which the product sold
reaches the buyer. In this study it refers to pick-up and free delivery.
7
Mode of Payment refers to whether the product is sold in terms of cash
or credit.
Net Revenue refers to the net profit from Shrimp after deducting all
costs and expenses.
Pricing Method refers to the method of pricing Shrimp when sold, such
as mark-up, competitive and cost-based pricing.
Product refers to the commodity studied in this research which is
Shrimp.
Source of Financing refers to the source of capital in selling Shrimp
which could be self-financing, Credit from Microfinancing and Credit from
cooperatives.
Vendor refers to the person who buys and sells a commodity.
8
Chapter 2
REVIEW OF RELATED LITERATURE AND THEORETICAL
FRAMEWORK
This chapter includes the related literature and studies, theory base
and the conceptual framework of the study.
Related Literature and Studies
The Philippines has long been practising brackish water
aquaculture, in which milkfish was the primary species being cultured
using the original extensive system. Shrimps were an incidental species in
brackish water fishponds before the 1980s. The switch from traditional
extensive systems to intensive shrimp monoculture, which began in the
1970s, triggered a significant increase in exports. From the traditional
extensive and semi-intensive systems, the adoption of the intensive
culture technique from Taiwan using small concrete ponds, high stocking
densities, intensive feeding, water aeration, pumping in of fresh and sea
water to facilitate water management, was promoted by the government
and the private sector. As the export industry grew, businesses rather than
locals became dominant in the shrimp culture industry. Production rose
from 1,804 metric tons (mt)in 1982, to 75,996 mt in 1992. Exports of
shrimp, mainly to Japan, the US and Europe, peaked during this period.
9
Only about a quarter of the total production, was consumed locally
(Sharma, 1998).
Shrimp Dietary Methods. Shrimp acquire their food either by sifting
through the sand of the ocean floor or filtering the surrounding waters to
ingest small particles of various plant or animal species. Because they will
eat both types of proteins, they are considered to be omnivorous. The bulk
of their diet is composed of algae and plankton matter. Shrimp pose very
little threat when it comes to consuming other animals and plants.
However, they are prey to a huge number of larger species, especially
humans (whalefacts.org, n.d).
Shrimp Species. Researchers have identified two new species of shrimp,
one of which has a name inspired by the hairy feet of Bilbo Baggins, a
character from The Lord of the Rings. With hobbit-like hairy feet, the
shrimp was named Odontonia bagginsi. This particular species was found
inside the cavity of its symbiotic host, an invertebrate called a tunicate,
during an expedition to the Ternate island of Indonesia. Scientists used
scanning electron microscope images of the feet, anatomical comparisons,
and genetic sequencing to classify the tiny shrimp. W. de Gier, C.H.J.M.
Fransen, “Odontonia plurellicola sp. n. and Odontonia bagginsi sp. n., two
new ascidian-associated shrimp from Ternate and Tidore, Indonesia, with
10
a phylogenetic reconstruction of the genus (Crustacea, Decapoda,
Palaemonidae).
There are over 300 separate species of shrimp and prawns found all
over the world. Both can be found in salt water and fresh water, as well as
warm or cold bodies of water. They have an average age of about 5 years
or less, both shrimp and prawns begin their lives as a male, then at about
age 2-3 they become females for the remainder of their lives. Shrimp are
of the sub-family Pleocyemata, tend to be smaller, have a lamellar gill
structure, somewhat shorter front legs, the front pincers are larger, carry
their eggs outside their bodies under their tail, and have eggs which are
smaller (Chef Resources, n.d).
Nutritional Value of Shrimp. Shrimp has an impressive nutrition profile.
It is quite low in calories, providing only 84 calories in a 3-ounce (85-gram)
serving, and does not contain any carbs. Approximately 90% of the calories
in shrimp come from protein, and the rest come from fat. Additionally, the
same serving size provides more than 20 different vitamins and minerals,
including 50% of your daily needs for selenium, a mineral that may help
reduce inflammation and promote heart health. Here is an overview of the
nutrients in a 3-ounce (85-gram) serving of shrimp: Calories: 84;
Protein: 18 grams; Selenium: 48% of the RDI; Vitamin B12: 21% of the
RDI; Iron: 15% of the RDI; Phosphorus: 12% of the RDI; Niacin: 11% of the
RDI; Zinc: 9% of the RDI; Magnesium: 7% of the RDI. Shrimp is also one
11
of the best food sources of iodine, an important mineral that many people
are deficient in. Iodine is required for proper thyroid function and brain
health Shrimp is also a good source of omega-6 and omega-3 fatty acids,
in addition to astaxanthin antioxidants, which may have a variety of health
benefits (Elliot, 2018).
Shrimp is a high protein, low-calorie, low-fat food but only when you
prepare the seafood without added breading or fat. Shrimp also
provides heart-healthy EPA and DHA omega-3 fatty acids. But some
consumers are concerned about the cholesterol in shrimp. Cholesterol is
a waxy substance that your body needs to function properly. But if your
body makes too much cholesterol, you increase your risk for heart-related
conditions. Cholesterol creates plaque that can clog arteries and make it
difficult for your heart to circulate blood effectively−Shrimp does provide
cholesterol, but very little fat and saturated fat. In 2015, the nutrition
experts who develop USDA Dietary Guidelines removed the specific limit
for cholesterol. They still recommend that you choose foods lower in
cholesterol but recommend that you focus on limiting saturated and trans
fat intake, keeping your intake below ten percent of your total calories per
day (Frey, 2019).
After 1992, however, the industry has been plagued with problems
of environmental pollution and degradation, resulting in poor production
and mass mortality due to diseases. Areas previously practising intensive
farming of shrimps have ceased operation. It is estimated that out of the
12
47,776 hectares (ha)of shrimp farms in 1991 only about 20,000 ha are
now in operation. Only those areas practising extensive and semi-intensive
farming continue to operate. The growth of shrimp culture has contributed
significantly to mangrove destruction. In the Philippines most of the
brackish water ponds were constructed in mangrove areas. The mangrove
forest area declined from 450,000 ha in 1920 to just 149,000 ha in 1988.
While extensive shrimp farming before the 1970s destroyed most of the
mangroves, the boom of the 1980s resulted in another 30,000 ha of shrimp
monoculture ponds being constructed. With the destruction of mangroves,
the vulnerability of coastal areas in the country to natural disasters, such
as the typhoon in November 1990 that devastated shrimp farms in central
Philippines, has increased.
Shrimp can be a unique source of the antioxidant and anti-
inflammatory carotenoid nutrient astaxanthin. It is possible for a single 4-
ounce serving of shrimp to contain 1-4 milligrams of astaxanthin. In
animal studies, astaxanthin has been shown to provide antioxidant
support to both the nervous system and musculoskeletal system. In
addition, some animal studies have shown decreased risk of colon cancer
to be associated with astaxanthin intake, as well as decreased risk of
certain diabetes-related problems. Importantly, the astaxanthin content of
shrimp can vary widely, mostly in proportion to the amount of astaxanthin
in their diet. In addition, the source of astaxanthin in the diet of shrimp
remains an ongoing controversy. Since over half of the shrimp consumed
13
both in the U.S. and worldwide are farmed, the diets that they consume
depend on the approach of the producers. Both synthetic forms of
astaxanthin and naturally occurring forms found in phytoplankton and
zooplankton have been used in shrimp farming. In general, when
purchasing farmed shrimp, we believe that it makes sense to select shrimp
that have consumed natural and plentiful amounts of astaxanthin from
natural dietary sources including marine algae and zooplankton
(whfoods.org, 2019).
Four ounces of boiled or steamed shrimp contains just 112 calories.
This serving provides nearly 24 g of protein and 1.2 g of fat--only 0.3 g of
which is saturated. Shrimp contain no carbohydrates. Like all seafood,
shrimp contains heart-healthy omega-3 fats. The U.S. Department of
Agriculture recommends all adults consume 8 ounces of seafood, like
shrimp, a week. A serving of shrimp provides about 15 percent of your
daily needs for omega-3 fatty acids (Cespedes, n.d)
Your basic shrimp cocktail is a great low-calorie appetizer, but
shrimp are also one of our favorite and most versatile foods—sauteed,
grilled, you name it, and you get a healthy portion of protein, selenium,
and vitamin D. When possible, opt for wild-caught shrimp, which are lower
in pesticides (Mandel, 2015).
14
Demand and Supply. In 2017, shrimp demand was strong in East Asia
and in North America, supported by good consumer acceptance of farmed
shrimp and steady prices. However, in Europe the market was rather flat.
Global imports to the top seven countries (EU28, United States of America,
Viet Nam, China, Japan, Republic of Korea and Canada) totalled 2.6
million tonnes in 2017, of which 43 percent (1.12 million tonnes) were
imports to four Asian markets (China, Viet Nam, Japan and Republic of
Korea). Industry reports indicated that 60–70 percent of Vietnamese
imports were re-exported to China, indicating a double reporting in the
international trade. The global production of farmed shrimp in 2017 was
estimated between 2.9–3.5 million tonnes. Nearly 75 to 80 percent of the
production originated in Asia-Pacific. In its 2017 annual review, Aqua
Culture Asia Pacific magazine reported the production trend for Asia as
“expansion and conversion in India, Viet Nam, Indonesia and to a smaller
extent the Philippines; recovery in Thailand was disrupted. Production
also declined in Malaysia. China’s production continued to decline ”.
Vannamei is farmed now in most Asian countries, except Bangladesh.
Some farmers in Viet Nam and Indonesia returned to black tiger farming
because of higher financial return, whereas Malaysian farmers moved
back to black tiger shrimp to address the early mortality syndrome (EMS)
problem. In Latin America, the main producers were Ecuador, Mexico and
Brazil, generating more than a total of 700 000 tonnes (FAO, 2018).
15
Marketing of Shrimps. The marketing of shrimp is the driving force of
shrimp farms. The marketing process includes packaging, distributing,
and selling your fish through local sales, supplying to the supermarkets,
and advertising. Efficiency of these processes depends on processing and
preserving techniques, transport market facilities, and traders. Locally
grown freshwater shrimp can easily become a high-quality substitute of
protein sources in the market, which is also in high demand. They can be
sold locally at the pond side, at farmers markets in neighborhoods, or
cooperatives. Processed and packaged fish can be sold to wholesalers.
Smoked and dried fish are also sold in the market (Worldwide Aquaculture,
2014).
The Industry Strategic S&T Program (ISP) on Shrimp aims to
revitalize the shrimp industry by reducing the occurrence of diseases in
shrimps and to improve yields through sound management practices.
Recognizing shrimp as an important aquaculture commodity, the
Philippine Council for Agriculture, Aquatic and Natural Resources
Research and Development of the Department of Science and Technology
(DOST-PCAARRD), funded the Shrimp S&T Program under the leadership
of Dr. Valeriano L. Corre, Jr. of the University of the Philippines in the
Visayas, Miagao, IIoilo, starting in 2011. The program has developed
technologies to boost the development of the shrimp industry. Biofloc
technology and use of immunostimulants have been pilot tested in seven
farms in the Philippines (3 in Luzon, 2 in the Visayas, and 2 in Mindanao).
16
An average of 5.5 kg/cu m in tanks were realized. In ponds, an average of
18 tons/ha for P. vannamei was produced in the first run of the trials. An
FCR of 1.3 was attained with 95% survival rate with a stocking density of
800,000 per hectare in a 90-day culture period ( Inland Aquatic Resources
Research Division, 2016).
In the seafood market, shrimp and prawns include a range of species
and products grouped by cold water prawns, warm water prawns, and
shrimp. The limitations in the available data make it impossible to
distinguish the different species or product groups along the whole supply
chain. When the data is combined, prawns and shrimps are the fourth
highest volume selling seafood group in retail, with cold water prawns
comprising the majority. This fact sheet summarises the UK imports and
exports of prawns and shrimps and their sales in both retail and
foodservice channels. The overall decline in the UK’s shrimp and prawn
import volume and value during 2015 was largely driven by warm water
shrimps and prawns which were impacted by a number of significant
supply issues. The most notable of these were the disease outbreaks which
impacted aquaculture production and resulted in some supply being
moved from one country to another. The supply of warm water prawns was
also affected by the reports of forced labour being used in the mixed trawl
fisheries whose catch is processed into shrimp feed. This was widely
reported as an issue although there are initiatives underway to address
this within the relevant countries. Warm water shrimp and prawn imports
17
fell 13.6% to 34,735.8 tonnes despite a 2% fall in the price per kg to £7.48,
hence import value fell 15.3% to £260m. Export experienced a 16.3% fall
in volume to 6,382.9 tonnes which, compounded by a 7.5% fall in price to
£6.61 per kg, reduced their value 22.6% to be worth £42.2m in 2015
(Seafish, 2016).
Shrimp farming and related activities contribute significantly to the
national economy of Bangladesh. The main areas of contribution are
export earnings and employment generation for on and off farm activities.
Fisheries sector contributes 4.57% to the Gross Domestic Product (GDP)
and shrimp alone contributes about 0.07% of total export earnings (BER,
2010). In 2009-10, Bangladesh earned about Tk 45000 million by
exporting shrimp (SHAB, 2010). Moreover, Bangladesh has about 2.5
million hectares of coastal tidal land under brackish water shrimp culture.
Farming area is steadily expanding. But most of the farmers still
follow the traditional method and per unit production is very low (800-
1200 kg/ha) (BBS, 2010). There are about 0.30 million ha of brackish
water areas in Bangladesh of which 250000 ha has brought under shrimp
farming (SHAB, 2010). Earlier, most of the farmers practiced wild stock.
Now they started to stock shrimp seed produced from Shrimp Seed Farms
(SSFs) or hatchery. In this regard, supply of quality shrimp seed to shrimp
farmers is very essential for scientific culture and management. For this
purpose, Private Shrimp Seed Farms (PSSFs), both for bagda and golda,
have developed and established in different areas of Bangladesh. Most of
18
the bagda hatcheries are established in Cox’s Bazar and Teknaf, whereas
golda hatcheries are concentrated mostly in greater Jessore district. Both
for extensive and intensive farming demand for shrimp seed is increasing.
There are 58 bagda hatcheries, mostly located in Kolatoli, Cox’s Bazar and
produced 8000 million shrimp seed (PL) and of this amount only 1000
million of PL are used in Cox’s Bazar district and rest of 7000 million in
Khulna region. Again, for producing golda prawn seed, about 35 SSFs are
established in greater Jessore district and most of them are privately
owned. These are small farms, but their productions are sufficient to meet
up the demand of the farmers who are producing golda shrimp in the
freshwater ponds. Moreover, about 15 million people are involved in
different activities of shrimp industry of Bangladesh (SHAB, 2010). The
demand for shrimp seeds will be increasing further if it is possible to bring
all suitable lands and culturable brackish waterbodies under intensive
cultivation (Islam, Rahman, Haque and Sharmin, 2011).
Sources of Supply how or where a product is procured. When a
procurement proposal is created, the source of supply to be used is
determined automatically or interactively. The first step in the process of
sourcing is to identify the sources of supply. It needs to be decided at
this time, whether the product will be sourced from the domestic market
or from the international market (Citeman, 2010)
19
Mode of Payment in Buying are deeply embedded in our daily life.
Every day, we carry out various payments in different contexts and with
different methods. For most part of the 1900s, cash and checks were the
most common exchange means available for purchases and financial
transactions between people and organizations. Credit cards, are direct
payment with future deposits, allowing consumers to better smooth
consumption over time. Debit cards, in contrast, direct payment with
current deposits, often more easily than could be done with checks
(Schreft, S. 2006).
Mode of Delivery in Buying describes a transaction in which the
payment of a good or service is made when the good or service is
delivered. Transaction stipulates that the purchaser must pay for the
goods when they are delivered (Investopidia, 2018)
Pricing Method is a key issue for services price statisticians
because theoretical or practical problems cause transaction pricing to be
unfeasible. Is transaction pricing, which is the use of actually paid prices
of individual transactions that are repeated in every survey period. Price
index theory is built on the assumption that this ideal pricing method is
used or sufficiently approximated. However, pricing methods in practice,
and especially in that of SPPI, stray from this ideal. The closer a pricing
method is to transaction pricing the better. Therefore, a pricing method
can be rated according to how it compares to transaction pricing. is
solely concerned with what type of data is used to measure / estimate
20
the evolution of prices. It does not pertain to subsequent treatment like
(elementary) index compilation and aggregation and other issues in PPI
development like sampling or questionnaire design. These issues do not
convey difficulties that are specific for services, so they do not deviate
from standard practice of manufacturing PPIís. Pricing method is also
not concerned with preceding phases in SPPI development when the goal
regarding coverage of the SPPI is decided, like in- or exclusion of
subcontracting, taxes, subsidies, import, and export (Kenessey, A.2005).
Despite increased production of farmed shrimp, prices in the
international trade remained stable throughout 2017. Domestic prices of
fresh shrimp in China, Taiwan Province of China, Malaysia, Thailand, Viet
Nam and Singapore, were much higher compared with western import
prices. At the retail trade in Malaysia, prices of fresh vannamei 50/60
pieces per kg price was high at USD 10 per kg. In India, 100 pieces per kg
of vannamei was sold at USD 3.9 per kg in the fresh market (FAO, 2018).
The deflated wholesale series is more variable during the early 1990s
than in 2000 to 2005; this is attributed to the disease crisis in the shrimp
aquaculture which emerged during this period. As discussed earlier, these
bio-physical uncertainties had directly affected prices in the upstream end
of the marketing channel. In fact, fluctuations even in real prices had been
apparent in the mid-1990s. The average price of tiger shrimp is recorded
at PhP 291.72 per kg at the retail level and PhP 268.91 per kg at the
wholesale level. The respective CVs are suggestive of large fluctuations in
21
shrimp prices over the period (30% vs. 29%). These large variations in the
movement in shrimp prices during the 15-year period reflect the industry’s
responses to various production, technology, disease, and marketing
problems. In fact, this period represents the worst times for the Philippine
shrimp industry, so far, and is said to mirror the global scenario. The
average marketing margin is recorded at PhP 22.81 per kg, which amounts
to only about 8.5 percent of the wholesale price. This margin includes all
the marketing costs ─ packaging, chilling/freezing/refrigeration, grading,
sorting, transportation costs and all other postharvest services rendered
by traders (who also function as assembler-processor-exporters) ─ and the
profits of middlemen. The CV of the marketing margin is computed to be
130.64 percent which strongly suggests wild fluctuations in the profits
from the shrimp industry (Salayo, 2009).
Frequency of Display also varies among customers. Some shop in
food stores daily, others only once a week. The size of the total purchase,
the number of items and the quantity of each item bought all vary with
frequency of purchase. The more frequently a customer visits a store, the
more is that customer exposed to the impact of sales promotional devices
used in the store. Store operations must be geared to mesh with the
customers' time of purchase pattern. Store buyers and merchandisers
must keep on schedule with it. Merchandise must be available in the
store in adequate supply if maximum sales are to be achieved. Every
retailer knows from experience that his volume of sales is not uniform by
22
days of the week, nor by hours of the day. The variations are very
pronounced, especially in the food business (Applebaum, W.1951).
23
Theory Base
Marketing is the process of teaching consumers why they choose
your product or services over your competitor. Marketing are all the
processes involved in getting a product or service from the manufacturer
or seller to ultimate consumer. It includes creating the product or service
concept and identifying who is likely to purchase it then promoting it and
moving it through the proper selling channels (Lake, 2019).
Marketing is the process of getting consumers interested in your
company’s product or service. This happens through market research,
analysis, and a solid understanding of your ideal consumer’s wants and
needs. Marketing pertains to all aspects of a business, including product
development, distribution methods, sales, and advertising. Marketers are
crucial for fine-tuning how a business sells a product to consumers to
optimize success. Marketing entails product development, market
research, product distribution, sales strategy, public relations, and
customer support. Marketing is necessary in all stages of a business’s
selling journey (Forsey, 2019).
This study was anchored on the theories above, the researcher
wanted to find out if marketing practices and marketing costs affect the
marketing performance of Shrimp vendors in terms of net revenue.
24
Conceptual Framework
Figure 1 depicts the conceptual framework of the study. As shown,
the dependent variable is the marketing performance in terms of net
revenue. The independent variables are the demographic profile in terms
of age, sex, civil status and educational attainment, sources of financing
and length of experience; marketing practices such as sources of supply,
mode of delivery in buying, mode of payment in buying, pricing method,
frequency of display and place of display; and marketing costs which
include buying costs, supplies and materials, transportation, labor and
fixed costs.
It is conceptualize in this study that marketing practices and
marketing costs affect the marketing performance and that marketing
performance differ among vendors when they are grouped according to
demographic profile and marketing practices.
25
INDEPENDENT VARIABLES
DEMOGRAPHIC PROFILE
• Age
• Sex
• Civil Status
• Educational Attainment
• Source of Financing DEPENDENT VARIABLES
• Length of Experience
MARKETING PRACTICES
• Sources of Supply
MARKETING PERFORMANCE
• Mode of Delivery in
Buying • Net Revenue
• Mode of Payment in
Buying
• Pricing Method
• Frequency of Display
MARKETING COSTS
• Buying Cost
• Supplies and Materials
• Transportation
• Labor
• Fixed Cost
Figure1. Conceptual Framework Showing the Relationship of the
Variables of the Stud
26
Hypothesis of the Study
The following are the null hypotheses of the study:
1: There is no significant difference in Marketing performance of
Shrimp Vendors in major Public Markets of Davao City when they are
grouped according to demographic profile.
2: There is no significant difference in the Marketing performance of
Shrimp Vendors in major Public Markets of Davao City when they are
grouped according to marketing practices.
3: There is no significant relationship between marketing
performance and marketing cost.
27
Chapter 3
METHODOLOGY
This chapter contains the research design, sources of data, sampling
technique, data gathering instrument, procedure of the study, and
statistical treatment of data.
Research Design
This study employed descriptive-correlational design. Calmorin
(1994) stated that this method determines or describes the nature of an
object by separating it into its parts and finding out the relationships exist
between them. This design was used in the study because the research
determined the marketing related practices, demographic profile of Shrimp
Vendors in Davao City and tested whether significant relationships exist
between them and the marketing performance of the shrimp vendors.
Sources of Data
The primary data were used in this study which were taken from the
responses of the respondents to the item in survey questionnaire, the data
gathering instrument utilized.
28
Sampling Technique
The researcher employed purposive sampling in getting the sample
respondents of the study. According to Lund Research (2012), purposive
sampling represents a group of different non-probability sampling
techniques it relies on the judgement of the researcher when it comes to
selecting the units (e.g., people, cases/organisations, events, pieces of
data) that are to be studied. Usually, the sample being investigated is quite
small, especially when compared with probability sampling techniques.
Data Gathering Instrument
The researcher made used of a survey questionnaire as a data
gathering instrument. It is composed of four parts namely:
Part I aimed to gather information on the demographic profile of the
respondents such as age, sex, civil status, educational attainment, source
of financing and length of marketing experience.
Part II involves the Marketing practices of the respondents, in terms
of: sources of supply, mode of delivery in buying, mode of payment in
buying, pricing method and place of display.
Part III contains the marketing cost of the respondents in terms of:
buying costs, supplies and materials, transportation, labor and fixed
costs.
Part IV consists the marketing performance of the respondents in
terms of net revenue.
29
Procedure of the Study
In conducting this study, the researcher observed the following
steps: First, the problem conceptualization, formulation of specific
problems and then the identification of variables. It was followed by the
construction of the survey questionnaire containing question that would
answer the problem raised. The questionnaire was presented to the adviser
for corrections, comments and suggestion. After the several changes were
made and integrated, and final revision was done, the first three chapters
of the study were defended before the Thesis Advisory Committee.
After all suggestions and comments made during the proposal
defense were integrated, the researcher sought approval from the
authorities concerned to conduct the study through a letter in prospective
places. The distribution of questionnaires followed with the help of some
friends and relatives. After these were accomplished and retrieved, the
data gathered were collated and tabulated for analysis and interpretation
using the appropriate statistical tools.
Statistical Treatment
The following statistical tools were used in the analysis and
interpretation of data:
Frequency distribution and percentages to present the demographic
profile of the respondents and marketing practices.
30
Mean to describe the marketing costs and the marketing
performance in terms of net revenue.
Analysis of variance (ANOVA) and t-test to determine if there is a
significant difference in the marketing performance of Shrimp Vendors
when they are grouped according to demographic profile and marketing
practices.
Pearson Product Moment Correlation Coefficient or Pearson r to
determine if there is a significant relationship between the marketing
performance and marketing costs.
31
Chapter 4
PRESENTATION, ANALYSIS AND INTERPRETATION OF DATA
In this chapter, the presentation of tables, analysis, and
interpretation of data accumulated was done. This have been integrated
through Statistical method and the discussions are categorically
sequenced according to the problem statement.
Demographic profile
The Demographic Profile of Shrimp Vendors re consist of age, sex,
civil status, educational attainment, source of financing, and length of
marketing experience.
Age. Presented in Table 1 is the distribution of respondents
according to Age. It shows that 5 percent among the 20 respondents are
18-27 years old; 35 percent are 28-37 years old; 45 percent are 38-47
years old and 15 percent are 48 years old and above. It indicates that most
of the respondents are at the age bracket of 38-47 years old.
Table 1
Distribution of Respondents According to Age
Age Frequency Percent
18-27 1 5
28-37 7 35
38-47 9 45
48 years old and above 3 15
Total 20 100
32
Sex. Presented in Table 2 is the distribution of respondents
according to Sex. As shown, there are 65 percent female Shrimp Vendors
and 35 percent male shrimp vendors. This indicates that majority of the
respondents are female.
Table 2
Distribution of Respondents According to Sex
Sex Frequency Percent
Male 7 35
Female 13 65
Total 20 100
Civil Status. Reflected in Table 3 is the distribution of respondents
according to Civil Status. It can be seen that 15 percent of the respondents
are single, 80 percent are married, and 5 percent are widow. This reveals
that most of the Shrimp Vendors are married.
Table 3
Distribution of Respondents According to Civil Status
Civil status Frequency Percent
Single 3 15
Married 16 80
Widow 1 5
Total 20 100
Educational Attainment. Appeared in Table 4 is the distribution of
respondents according to educational attainment. As revealed 20 percent
33
of the respondents are of college education, 60 percent are high cchool,
and 20 percent are elementary graduate. This reveals that most of the
respondents are high school.
Table 4
Distribution of Respondents According to Educational Attainment
Educational attainment Frequency Percent
College 4 20
High School 12 60
Elementary Graduate 4 20
Total 20 100
Source of Financing. Presented in Table 5 is the distribution of
respondents according to their source of financing. As shown, 90 percent
of the respondents are relied on self-financing, while 10 percent of the
respondents relied on credit from micro financing. This reveals that
majority of the respondents are relying on their Self- Financing than credit.
Table 5
Distribution of Respondents According to Source of Financing
Source of financing Frequency Percent
Self-Financing 18 90
Credit from Micro Financing 2 10
Total 20 100
Length of Marketing. Table 6 presents the distribution of
respondents according to their length of marketing experience. As
34
presented, 25 percent of the respondents have 4 to 6 years experience on
marketing, 25 percent has 7 to 9 years, and 50 percent of them have 10
years and above experience in marketing. This indicates that most of the
respondents have into marketing for 10 years and above.
Table 6
Distribution of Respondents According to Length of Marketing
Experience
Length of marketing Frequency Percent
4-6 Years 5 25
7-9 Years 5 25
10 Years and Above 10 50
Total 20 100
Marketing practices
Marketing practices is composed of the sources of supply, mode of
delivery in buying, mode of payment in buying, pricing method and
frequency of display.
Sources of Supply. Table 7 reflects the distribution of respondents
according to their sources of supply. As reflected 45 percent of the
respondents are wholesalers ,and 55 percent of them are retailers. This
denotes that majority of the shrimp vendors’ respondents are sources their
supply from retailers.
35
Table 7
Distribution of Respondents According to Sources of supply
Sources of supply Frequency Percent
Wholesaler 9 45
Retailer 11 55
Total 20 100
Mode of Delivery. Shown in Table 8 is the distribution of
respondents according to their mode of delivery. As shown, 65 percent of
the respondents are on pick-up delivery, and 35 percent of them enjoyed
free delivery from their suppliers. This connotes that majority of the
shrimp vendors Pick-up their supplies.
Table 8
Distribution of Respondents According to Mode of Delivery
Mode of delivery Frequency Percent
Pick-up 13 65
Free Delivery 7 35
Total 20 100
Mode of Payments. Presented in Table 9 is the distribution of
respondents according to their mode of payment. As shown, 95 percent of
the respondents paid their supplies on cash, and only 5 percent of them
consider credit payment. This reveals that majority of the shrimp vendors
obtained their supplies on cash basis.
36
Table 9
Distribution of Respondents According to Mode of Payment
Mode of payment Frequency Percent
Cash 19 95
Credit 1 5
Total 20 100
Pricing Method. Presented in Table 10 is the distribution of
respondents according to their pricing method. It can be gleaned that 20
percent of the respondents practice mark-up pricing; while both 40
percent uses competitive pricing and cost-based pricing. Thus, majority of
the respondents uses competitive and cost-based pricing.
Table 10
Distribution of Respondents According to Pricing Method
Pricing method Frequency Percent
Mark-up 4 20
Competitive 8 40
Cost-based 8 40
Total 20 100
Frequency of Display. Table 11 shows the distribution of
respondents according to their frequency of display. There are 5 percent
of the respondents display their commodity in 5 days and 95 percent of
them display their commodity in 7 days. This reveals that majority of the
respondents display their commodity 7 days a week or daily.
37
Table 11
Distribution of Respondents According to Frequency of Display
Frequency of Display Frequency Percent
5 days 1 5
7 days 19 95
Total 20 100
Marketing Costs
Included in marketing cost of this study are Buying cost, Supplies
and Materials, Transportation, Labor and Fixed Costs.
As presented in Table 12 It can be seen that the buying cost has a
mean of 219,852 and standard deviation of 97,142.09677, supplies and
materials has a mean of 1053.6200 and standard deviation of 674.56077,
transportation has 650.7500 mean and standard deviation of 929.51786,
labor has the mean of 472.5000 with standard deviation of 686.47816
and fixed cost has a mean of standard deviation of 2134.5000 and
2118.08974 standard deviation. This denotes that garlic vendors incurred
a highest cost for buying cost.
Table 12
Marketing Cost of Shrimp Vendors
(Monthly)
Marketing Cost Mean Standard Deviation
Buying cost 219852.0000 97142.09677
Supplies & Materials 1053.6200 674.56077
Transportation 650.7500 929.51786
Labor 472.5000 686.47816
Fixed costs 2134.5000 2118.08974
38
Marketing performance
Presented in Table 13 is the mean of Marketing performance in
terms of net revenue. The table reveals that the Net Revenue has a mean
of 36011.1800 and a standard deviation of 21958.44383 standard
deviation. The high value of standard deviation implies the variability in
the marketing performance which can be attributed to varying sizes of
business.
Table 13
Descriptive Statistics of Marketing Performance
Marketing performance Mean Standard Deviation
Net Revenue 36,011.1800 21,958.44383
Test of Difference in Marketing Performance when Grouped According
to Demographic Profile
Table 14 shows the result of the test of the difference in the
marketing performance of Shrimp Vendors when they are grouped
according to Demographic Profile. As shown there is no significant
difference on marketing performance when grouped according to
demographic profile in terms of age (sig.=0.833), sex (sig.=0.796) civil
status (sig.=0.608), educational attainment (sig.=0.735), source of
financing (sig.=0.318) and length of marketing experience (sig.=0.530)
since their P-value is greater than 0.05 level of significance. This implies
that regardless of age, sex, civil status, educational attainment, source of
financing and length of marketing experience, their marketing
performance does not vary.
39
The result of the study conforms to the study of Galili (2010), which
revealed that there is no significant difference into marketing performance
of watermelon retailers in terms of age, civil status, sex, educational
attainment, source of financing and length of marketing experience. This
means that when retailers are grouped by demographic profile, their
marketing performance does not vary significantly.
Table 14
Test of Difference on Marketing Performance when grouped According to
Demographic Profile
Demographic Category Mean F-value Significance
Profile
56845.0000
18-27
35942.9429
28-37
Age 34170.4444 0.288ns 0.833
38-47
34748.0000
48- and above
Male 37502.8000
Sex 0.069ns 0.796
Female 35208.0000
Single 25952.2500
Civil Status Married 38525.9125 0.512ns 0.608
Widow 21465.0000
College 36502.7500
Educational
High School 33171.0167 0.314ns 0.735
Attainment
Elementary 43609.2500
Self-Financing
Sources of 34714.0333
Credit from 1.054ns 0.318
Financing 47685.5000
Micro
Length of 4-6 38528.0000
Marketing 7-9 44207.5200 0.659ns 0.530
Experience 10 & above 30627.6000
40
Test of Difference in Marketing Performance when grouped According
to Marketing Practices
As shown in Table 15, there is a significant difference in marketing
performance when grouped according to mode of delivery in buying since
its F-value is 4.736 with significance value of 0.043 which is lower than
0.05. It reveals that free delivery (49938.8000) has better marketing
performance compared to pick up (28511.6923) mode of delivery.
However, there is no significant difference in marketing performance
when grouped according to marketing practices in terms of sources of
supply (sig.=0.217), mode of payment in buying (sig.=0.816) pricing
method (sig.=0.908), and frequency of display (sig.=0.207), since their P-
value is greater than 0.05 level of significance. This implies that regardless
of sources of supply, mode of payment in buying, pricing method and
frequency of display their marketing performance does not vary.
The result of the study agrees with the study of Pandigan (2008),
entitled marketing performance of organic fertilizer which showed that
there was no significant difference in the marketing performance of the
retailer’s respondents when they are grouped according to marketing
practices in terms of mode of payment and pricing method.
41
Table 15
Test of Difference on Marketing Performance when grouped According to
Marketing Practices
Marketing Categories Mean F-value Significance
Practices
Sources of Wholesaler 39531.6000
1.634 ns 0.217
supply Retailer 31708.4444
Mode of Pick-up 28511.6923
4.736* 0.043
delivery Free delivery 49938.8000
Mode of Cash 36283.9789
0.236 ns 0.816
Payment Credit 30828.000
Mark-up 37967.5000
Pricing
Competitive 37818.0750 0.097 ns 0.908
Method
Cost-based 33226.1250
Frequency 5 days 37458.1368
1.308 ns 0.207
of Display 7 days 8519.0000
Relationship Between Marketing Performance and Marketing Costs
Table 16 shows the relationship between marketing performance
and marketing costs. Results revealed that variables of marketing costs in
terms of supplies and materials (r=0.016), transportation (r=0.000), labor
(r=0.001) and fixed costs (r=0.002) showed that there is a significant
relationship with marketing performance. Since their P values are lower
than .05 level of significance. This means that marketing costs such as,
supplies and materials, transportation, labor and fixed costs significantly
affect marketing performance.
However, it was found out that there is no significant relationship
between marketing performance and marketing costs in terms of buying
cost (r=0.164). This implies that buying costs don’t significantly affect
marketing performance.
42
This conforms to the study of Adame (2010), which shows that the
marketing performance of the Korean grass traders are highly correlated
with their marketing costs. In this study except buying cost. The positive
results imply that the higher the amount allotted for marketing costs,
connotes higher investments which would lead to better marketing
performances in terms of net revenue.
Table 16
Relationship Between Marketing Performance and Marketing Cost
Marketing Cost Pearson r P value
Buying cost .324 ns 0.164
Supply and Materials .532* 0.016
Transportation .789** 0.000
Labor .726** 0.001
Fixed Costs .670** 0.002
**. Correlation is significant at the 0.01 level (2-tailed).
*. Correlation is significant at the 0.05 level (2-tailed).
ns- no significant
43
Chapter 5
SUMMARY, CONCLUSIONS AND RECOMMENDATIONS
This chapter presents the summary, conclusions and
recommendations of the study.
Summary
The primary objective of the study was to determine the marketing
performance of shrimp vendors in major public markets of Davao City.
Descriptive-correlational design was employed in the study. Primary
data were gathered from 20 shrimp vendors with the use of a survey
questionnaire along with personal interview.
Frequency counts, means, percentages, ANOVA, t-test, and Pearson
r were the statistical tools used in the presentation, analysis and
interpretation of the data.
General findings of the study revealed, that most of the respondents
are on ages 38-47 years old, dominated with female, married, with high
school education, provided their own capital for business and have into
marketing of garlic for 10 years and above.
With regards to their marketing practices it was revealed that
majority of the respondents sourced their supply from retailer, pick-up the
44
commodity for cash, adopted both competitive and cost-based pricing
method and display the commodity daily or 7 days a week.
In terms of marketing costs, it was found out that shrimp vendors
incurred a highest cost on their buying or purchase price of the
commodity.
On the test of difference in the marketing performance, there is no
significant difference when respondents are grouped according to
demographic profile.
As to the test of marketing performance when respondents are
grouped according to marketing practices it was revealed that there is a
significant difference in terms of mode of delivery in buying.
The result of the test of relationship shows that marketing
performance has significant relationship to marketing cost in terms of
supplies and materials, transportation, labor and fixed cost. This means
that marketing cost significantly affect marketing performance.
45
Conclusions
Based on the findings of the study, the following conclusions were
drawn:
1. The null hypothesis no.1 is accepted since there is no significant
difference in Marketing performance of Shrimp Vendors in major
Public Markets of Davao City when they are grouped according to
demographic profile in terms of age, sex, civil status, educational
attainment, source of financing and length of marketing experience.
2. The null hypothesis no.2 is accepted since there is no significant
difference in the Marketing performance of Shrimp Vendors in major
Public Markets of Davao City when they are grouped according to
marketing practices in terms of sources of supply, mode of payment
in buying, pricing method and frequency of display. However, it was
found out that there is a significant difference in Marketing
performance when they are grouped according to marketing
practices in terms of mode of delivery in buying. Therefore, the null
hypothesis on this variable is rejected.
3. The null hypothesis no.3 is accepted since there is no significant
relationship between marketing performance and marketing cost in
terms of buying cost. However, it was found out that there is a
significant relationship in Marketing performance when they are
grouped according to marketing cost in terms of supplies and
materials, transportation, labor and fixed cost. Therefore, the null
hypothesis on these variables is rejected.
46
Recommendations
Based on the foregoing findings and conclusions, the researcher
would like to recommend the following:
The shrimp vendors are encouraged to buy shrimps directly from
the farmers rather than from the wholesaler to avail of lower prices.
Vendors may look for some alternatives just like processing the
unsold commodities and sell it at lower price just to dispose the products,
and break-even instead of losing.
Department of Agriculture and the Department of Trade and
Industry may create projects and program related to marketing of shrimps
to help the vendors augment their marketing performance.
Future related studies may be conducted in other locality to offshoot
this study.
47
REFERENCES
Adame, A.C (2010). Marketing Performance of Korean Grass in Davao
City. Undergraduate Thesis. University of Southeastern Philippines,
College of Development Management, Mintal Davao City.
Business Diary. (2018). Philippine Shrimp Industry: Getting back to the
top through S&T Retrieved on April 17, 2019 from
https://businessdiary.com.ph/13051/philippine-shrimp-industry-
getting-back-to-the-top-through-st/
Calmorin, L. (1994). Educational Research Measurement and
Evaluation. Second Edition Manila: National Bookstore. Retrieved
on May 30, 2019 from
http://ilovesirran.blogspot.com/2013/07/methods-of-research-
notes.html
Chef Resources (n.d). Shrimp Varieties. Retrieved on February 9, 2019
from https://www.chefs-resources.com/seafood/shellfish/types-
of-shrimp-a-culinary-resource/
Content Provider (2014). Processing, Storing and Marketing of Shrimp.
Retrieved on March 1, 2019 from
http://worldwideaquaculture.com/processing-storing-marketing-
of-shrimp/
Elliott, B. (2018). Is Shrimp Healthy? Nutrition, Calories and More.
Retrieved on March 27, 2019 from
https://www.healthline.com/nutrition/is-shrimp- healthy
El Yunque National Forest (2008). Native Shrimp of the El Yunque
National Forest. Retrieved on February 9, 2019 from
https://www.fs.usda.gov/Internet/FSE_DOCUMENTS/stelprdb53
38955.pdf
Frey, M. (2019). Shrimp Nutrition Facts: Calories in Shrimp and Health
Benefits. Retrieved on April 13, 2019 from
https://www.verywellfit.com/shrimp-nutrition-facts-calories-and-
health-benefits-4111318
Fletcher, R. (2018). Salmon and Shrimp: supply and price predictions
for 2019. Retrieved on May 29, 2019 from
https://thefishsite.com/articles/salmon-and-shrimp-supply-and-
price-predictions-for-2019
48
Food and Agriculture Organization of the United Nations (FAO). (2018).
GLOBEFISH- Information and Analysis on World Fish Trade.
Retrieved on May 31, 2019 from http://www.fao.org/in-
action/globefish/market-reports/resource-detail/en/c/1136583/
Forsey, C. (2019).What is Marketing?. Retrieved on May 31, 2019 from
https://blog.hubspot.com/marketing/what-is-marketing
Galili, S.M (2010). Marketing Performance of Watermelon Retailers in
Davao City. Undergraduate Thesis. University of
Southeastern Philippines, College of Development
Management, Mintal Davao City.
Islam, M.S, Rahman M.S, Haque M.M, Sharmin, S. (2011) Economic study
on production and marketing of shrimp and prawn seed in
Bangladesh. Retrieved on April 10, 2019 from https://tind-
customer- agecon.s3.amazonaws.com/e23fd67f-d544-4a31-8a9c
66395a304ea9?response-content-
disposition=inline%3B%20filename%3D%2211037-40655-1-
PB.pdf%22&response-content-
type=application%2Fpdf&AWSAccessKeyId=AKIAXL7W7Q3XHXDV
DQYS&Expires=1557473920&Signature=pbdJCFcpJ995cW1kT7Pk
8zft%2FSc%3D
Inland Aquatic Resources Research Division. (2016). Philippine Shrimp
Industry: Getting back to the top through S&T. Retrieved on May
29, 2019 from http://www.pcaarrd.dost.gov.ph
/home/portal/index.php/quick- information-
dispatch/2667-philippine-shrimp-industry-getting- back-to-
the-top-through-s-t
Lake, L. (2019). Learn What Marketing Is and How It is Used. Retrieved
on May 31, 2019 from https://www.thebalancesmb.com/what-is-
marketing-2296057
Lama, S.C (2019). What is the Nutritional Value of Shrimp? Retrieved on
April 17, 2019 from https://www.livestrong.com/article/262296-
what- is-the-nutritional-value-of-shrimp/
Mandel, M. (2015). Shrimp. Retrieved on February 3, 2019 from
https://www.menshealth.com/nutrition/a19527759/shrimp-
nutrition-facts/
PCARRD (n.d). All about Shrimp. Retrieved on March 17, 2019 from
http://www.pcaarrd.dost.gov.ph/home/momentum/shrimp/index
49
.php?option=com_content&view=article&id=2:all-about-
shrimp&catid=1:home
Salayo, N. (2009). Price Dynamics and Cointegration in the Major
Markets of Aquaculture Species in the Philippines. Retrieved on
May 31, 2019 from https://www.researchgate.net/figure/Current-
and-real-value-of-wholesale-and-retail-prices-of-shrimp-
Philippines-1990-2005_fig3_46536831
Seafish.org (2016). Prawn and Shrimps. Retrieved on April 7, 2019 from
https://www.seafish.org/media/Publications/Factsheet_-
_Prawn_and_Shrimp_Industry_2015.pdf
SHAB. (2010). Shrimp Hatchery Association of Bangladesh, 17/B SHAB
House, Saikat Residential Area, Kalatoli Road, Cox’s Bazar,
Bangladesh.
Sharma, C. (1998). Shrimp Aquaculture in Philippines. Retrieved on
March 17, 2019 from http://base.d-p-
h.info/en/fiches/premierdph/fiche-premierdph-4010.html
The George Mateljan Foundation, (2001). Shrimp. Retrieved on February
17, 2019 from
http://www.whfoods.com/genpage.php?tname=foodspice&dbid=10
7
Whalefacts.org (n.d). Shrimp Facts. Retrieved on April 17, 2019 from
https://www.whalefacts.org/shrimp-facts/
Whfoods.org.(2019). What’s New and |Beneficial About Shrimp. Retrieved
on May 30, 2019 from http://www.whfoods.com/genpage.php?
tname=foodspice&dbid=107
Worldwide Aquaculture. (2014). Processing, Storing & Marketing of
Shrimp. Retrieved on May 29, 2019 from
http://worldwideaquaculture.com/processing-storing-marketing-
of-shrimp/
50
Appendix A
LETTER OF PERMISSION
Republic of the Philippines
University of Southeastern Philippines
College of Development Management
Mintal, Davao City
_________________
_________________
_________________
Sir/Madam,
Greetings of Peace!
This is to introduce ELVIRA PIAMONTE, a fourth year student of Bachelor
of Science in Agricultural Business, from the University of Southeastern
Philippines, College of Development Management, Mintal, Davao City who
will conduct a research entitled “MARKETING PERFORMANCE OF
SHRIMP VENDORS IN MAJOR PUBLIC MARKETS OF DAVAO CITY’’ as
partial requirement for the course Bachelor of Science in Agricultural
Business.
In connection to this, the undersigned would like to request from your
good office to allow her to conduct a survey in your respective area to
gather the needed information of the study.
Rest assured that the data collected will be treated with utmost
confidentiality and will be used for academic purposes only.
Thank you and God bless!
Very truly yours,
DR. CLARITA G. PATAYON
Thesis Adviser
51
Appendix B
INTRODUCTORY LETTER TO THE RESPONDENTS
Republic of the Philippines
University of Southeastern Philippines
College of Development and Management
Mintal, Davao City
________________
________________
________________
Sir/Madam:
Greetings of Peace!
I am ELVIRA PIAMONTE, a fourth year student of Bachelor of Science in
Agricultural Business, from the University of Southeastern Philippines,
College of Development Management, Mintal, Davao City. Presently, I am
conducting a research entitled: “MARKETING PERFORMANCE OF
SHRIMP VENDORS IN MAJOR PUBLIC MARKETS OF DAVAO CITY” as
partial fulfilment of the requirement for the course.
In connection to this, I would like to ask for your cooperation and support
by supplying the data needed for the study through filling-up the survey
questionnaire.
Your kind consideration on the above matter is highly appreciated.
Respectfully yours,
ELVIRA PIAMONTE
Researcher
Noted by:
DR. CLARITA G. PATAYON
Thesis Adviser
52
APPENDIX C
SURVEY QUESTIONNAIRE
MARKETING PERFORMANCE OF SHRIMP VENDORS IN THE MAJOR
PUBLIC MARKETS OF DAVAO CITY
Instructions: Please supply or put a check (on the space provided in
every item which best describes your response and kindly fill out the
necessary information on the space given below.
PART I. DEMOGRAPHIC PROFILE
Name: _________________________________________
Age:___________
Sex: __________
Civil Status: _________
Educational Attainment
( ) College
( ) High School
( ) Elementary
Others (please specify): __________________
Source Of Financing
( ) Self-Financing
( ) Credit from Microfinancing
( ) Credit from Cooperatives
( ) Other pls. specify:_________
Length Of Marketing Experience
( ) 3 years and below ( ) 7-9 years
( ) 4-6 years ( ) 10 years and above
II. MARKETING PRACTICES
a. Sources of Supply
( ) Farmers
( ) Wholesaler
( ) Other pls. specify:_________
b. Mode of delivery in Buying
( ) Pick-up
( ) Free delivery
53
c. Mode of payment in Buying
( ) Cash
( ) Credit
d. Pricing Method
( ) Mark-up ( ) Competitive ( ) Cost-based
e. Frequency of Display (per week)
______________________________
III. MARKETING COST (PER WEEK)
a. Buying cost (kg./week) Php_________
b. Supplies and Materials
Cellophane Php_________
Ice Php_________
Other pls. specify:__________________________________
c. Transportation Php_________
d. Labor Php_________
e. Fixed cost
Rent Php_________
Taxes Php_________
IV. MARKETING PERFORMANCE (PER WEEK)
Quantity Purchased (kg.)________
Reject/Waste (kg.)________
Quantity Sold (kg.)________
Selling Price (kg.)________
Thank you for your valuable time and effort in answering this questionnaire you’re highly
appreciated.
54
Appendix D
STATISTICAL OUTPUT
Age
Cumulative
Frequency Percent Valid Percent Percent
Valid 18-27 1 5.0 5.0 5.0
28-37 7 35.0 35.0 40.0
38-47 9 45.0 45.0 85.0
48-and above 3 15.0 15.0 100.0
Total 20 100.0 100.0
Sex
Cumulative
Frequency Percent Valid Percent Percent
Valid male 7 35.0 35.0 35.0
female 13 65.0 65.0 100.0
Total 20 100.0 100.0
civil_status
Cumulative
Frequency Percent Valid Percent Percent
Valid single 3 15.0 15.0 15.0
married 16 80.0 80.0 95.0
widow 1 5.0 5.0 100.0
Total 20 100.0 100.0
education
Cumulative
Frequency Percent Valid Percent Percent
Valid college 4 20.0 20.0 20.0
HS 12 60.0 60.0 80.0
elem 4 20.0 20.0 100.0
Total 20 100.0 100.0
55
source of financing
Cumulative
Frequency Percent Valid Percent Percent
Valid self-financing 18 90.0 90.0 90.0
credit from micro financing 2 10.0 10.0 100.0
Total 20 100.0 100.0
length of marketing
Cumulative
Frequency Percent Valid Percent Percent
Valid 4 to 6 years 5 25.0 25.0 25.0
7 to 9 years 5 25.0 25.0 50.0
10 years and above 10 50.0 50.0 100.0
Total 20 100.0 100.0
marketing practices
Sources of Supply
Cumulative
Frequency Percent Valid Percent Percent
Valid wholesaler 9 45.0 45.0 45.0
retailer 11 55.0 55.0 100.0
Total 20 100.0 100.0
Mode of Delivery
Cumulative
Frequency Percent Valid Percent Percent
Valid pick up 13 65.0 65.0 65.0
free delivery 7 35.0 35.0 100.0
Total 20 100.0 100.0
56
Mode of Payment
Cumulative
Frequency Percent Valid Percent Percent
Valid cash 19 95.0 95.0 95.0
credit 1 5.0 5.0 100.0
Total 20 100.0 100.0
Pricing Method
Cumulative
Frequency Percent Valid Percent Percent
Valid mark up 4 20.0 20.0 20.0
competitive 8 40.0 40.0 60.0
cost-based 8 40.0 40.0 100.0
Total 20 100.0 100.0
Frequency_dispaly
Cumulative
Frequency Percent Valid Percent Percent
Valid 5.00 1 5.0 5.0 5.0
7.00 19 95.0 95.0 100.0
Total 20 100.0 100.0
marketing costs
Descriptive Statistics
N Minimum Maximum Mean Std. Deviation
buying_cost 20 78400.00 470400.00 219852.0000 97142.09677
supplies_materials 20 316.00 2400.00 1053.6200 674.56077
transportation 20 210.00 3360.00 650.7500 929.51786
labor 18 140.00 2240.00 525.0000 705.34380
fixed_cost 19 249.00 7000.00 2246.8421 2114.02584
Valid N (listwise) 17
57
Descriptives
net_revenue
95% Confidence Interval
for Mean
Lower Upper
N Mean Std. Deviation Std. Error Bound Bound Minimum Maximum
1.00 1 56845.0000 . . . . 56845.00 56845.00
2.00 7 35696.7429 32785.06218 12391.58875 5375.6175 66017.8682 8519.00 103640.00
3.00 9 34170.4444 16584.41882 5528.13961 21422.5317 46918.3572 17480.00 73064.00
4.00 3 34748.0000 7136.66736 4120.35682 17019.5355 52476.4645 26537.00 39459.00
Total 20 35925.0100 22030.17395 4926.09665 25614.5712 46235.4488 8519.00 103640.00
marketing performance
Descriptive Statistics
N Minimum Maximum Mean Std. Deviation
quantity_purchased 20 240.00 980.00 608.6000 312.94398
quantity_sold 20 236.00 976.00 604.0000 309.86313
selling_price 20 320.00 340.00 331.5000 9.33302
gross_sales 20 89600.00 560320.00 256102.0000 112705.13179
total_cost 20 17400.00 487256.00 220176.9900 106771.49965
Valid N (listwise) 20
Descriptive Statistics
N Minimum Maximum Mean Std. Deviation
net_revenue 20 8519.00 103640.00 35925.0100 22030.17395
Valid N (listwise) 20
significant difference in the marketing performance of Shrimp Vendors
when they are grouped according to demographic profile?Age
58
ANOVA
net_revenue
Sum of Squares Df Mean Square F Sig.
Between Groups 469873283.039 3 156624427.680 .286 .835
Within Groups 8751369436.199 16 546960589.762
Total 9221242719.238 19
Sex
Group Statistics
sex N Mean Std. Deviation Std. Error Mean
Net_Revenue male 7 38825.9429 16920.65581 6395.40675
female 13 43493.9231 55672.82303 15440.86293
Independent Samples Test
Levene's
Test for
Equality of
Variances t-test for Equality of Means
Std. 95% Confidence Interval of
Error the Difference
Sig. (2- Mean Differen
F Sig. T df tailed) Difference ce Lower Upper
Net_R Equal variances -
.78 - 21796.9
evenu assumed .387 -.214 18 .833 50461.7579 41125.79750
8 4667.98022 9049
e 4
Equal variances 15. -
- 16712.9
not assumed -.279 55 .784 40180.3615 30844.40111
4667.98022 1344
5 5
59
Civil Status
Descriptives
Net_Revenue
95% Confidence Interval
for Mean Minimum Maximum
Std. Std. Lower Upper
N Mean Deviation Error Bound Bound
single 11553.7814 6670.57
3 27745.6667 -955.5175 56446.8508 14831.00 37101.00
3 882
married 17079.7993 4269.94
16 33225.8500 24124.6674 42327.0326 5240.00 66232.00
3 983
widow 1 222352.0000 . . . . 222352.00 222352.00
Total 45312.1076 10132.0
20 41860.1300 20653.4108 63066.8492 5240.00 222352.00
7 9530
ANOVA
Net_Revenue
Sum of Squares Df Mean Square F Sig.
Between Groups 34367782019.55 17183891009.77
2 62.921 .000
5 8
Within Groups 4642772909.667 17 273104288.804
Total 39010554929.22
19
2
60
Education
Descriptives
Net_Revenue
95% Confidence Interval
for Mean Minimum Maximum
Std. Std. Upper
N Mean Deviation Error Lower Bound Bound
college 38656.750 24353.9172 12176.9 77409.267
4 -95.7670 8841.00 66232.00
level 0 7 5863 0
HS 50336.800 55587.4029 16046.7 85655.350
12 15018.2492 14831.00 222352.00
0 4 0103 8
high
24431.333 3786.93 40725.220
school 3 6559.17223 8137.4462 18240.00 31305.00
3 985 4
gard
elem
1 5240.0000 . . . . 5240.00 5240.00
grad
Total 41860.130 45312.1076 10132.0 63066.849
20 20653.4108 5240.00 222352.00
0 7 9530 2
ANOVA
Net_Revenue
Sum of Squares df Mean Square F Sig.
Between Groups 3155616566.125 3 1051872188.708 .469 .708
Within Groups 35854938363.09
16 2240933647.694
7
Total 39010554929.22
19
2
61
Source of Financing
Descriptives
Net_Revenue
95% Confidence Interval
for Mean
Std. Lower Upper
N Mean Deviation Std. Error Bound Bound Minimum Maximum
self-financing 41512.311 47332.6005 11156.400 17974.362
18 65050.2596 5240.00 222352.00
1 4 94 6
credit from micro -
44990.500 30040.0173 21241.500 314889.347
financing 2 224908.34 23749.00 66232.00
0 9 00 9
79
Total 41860.130 45312.1076 10132.095 20653.410
20 63066.8492 5240.00 222352.00
0 7 30 8
ANOVA
Net_Revenue
Sum of Squares df Mean Square F Sig.
Between Groups 21776036.304 1 21776036.304 .010 .921
Within Groups 38988778892.91
18 2166043271.829
8
Total 39010554929.22
19
2
62
Length of Experience
Descriptives
Net_Revenue
95% Confidence Interval
for Mean Minimum Maximum
Std. Std. Lower Upper
N Mean Deviation Error Bound Bound
4 to 6 years 39147.000 14909.1740 6667.58 57659.184
5 20634.8154 18240.00 56920.00
0 2 532 6
7 to 9 years 64722.920 89285.1757 39929.5 - 175585.10
5 5240.00 222352.00
0 1 4445 46139.2683 83
10 years and 31785.300 16894.0734 5342.37 43870.592
10 19700.0079 8841.00 66232.00
above 0 0 509 1
Total 41860.130 45312.1076 10132.0 63066.849
20 20653.4108 5240.00 222352.00
0 7 9530 2
ANOVA
Net_Revenue
Sum of Squares df Mean Square F Sig.
Between Groups 3665363200.194 2 1832681600.097 .881 .432
Within Groups 35345191729.02
17 2079128925.237
8
Total 39010554929.22
19
2
Is there any significant difference in the marketing performance of Shrimp
Vendors when they are grouped according to marketing practices?
Sources of supply
Group Statistics
Sources of Supply N Mean Std. Deviation Std. Error Mean
Net_Revenue wholesaler 9 32233.5556 13133.12289 4377.70763
retailer 11 49736.4182 60095.16628 18119.37439
63
Independent Samples Test
Levene's
Test for
Equality of
Variances t-test for Equality of Means
95% Confidence Interval
Sig. (2- Mean Std. Error of the Difference
F Sig. T df tailed) Difference Difference Lower Upper
Net_R Equal - -
2.19 20513.640 25594.6966
evenu variances .156 -.853 18 .405 17502.862 60600.421
6 43 8
e assumed 63 93
Equal - -
18640.709 23456.0506
variances not -.939 11.154 .368 17502.862 58461.775
54 2
assumed 63 87
Mode of Delivery in Buying
Group Statistics
Mode of Delivery N Mean Std. Deviation Std. Error Mean
Net_Revenue pick up 13 45518.5385 54900.83154 15226.75101
free delivery 7 35065.9429 19766.22139 7470.92945
Independent Samples Test
Levene's
Test for
Equality of
Variances t-test for Equality of Means
95% Confidence
Interval of the
Sig. (2- Mean Std. Error Difference
F Sig. t df tailed) Difference Difference Lower Upper
Net_Reve Equal -
10452.595 21685.237 56011.5
nue variances .698 .414 .482 18 .636 35106.3
60 66 8935
assumed 9814
Equal -
16.5 10452.595 16960.799 46310.2
variances not .616 .546 25405.0
54 60 90 8847
assumed 9727
64
Mode of Payment in Buying
Group Statistics
Mode of Payment N Mean Std. Deviation Std. Error Mean
Net_Revenue Cash 19 42389.9263 46490.07956 10665.55572
Credit 1 31794.0000 . .
Independent Samples Test
Levene's
Test for
Equality of
Variances t-test for Equality of Means
Std. 95% Confidence Interval of
Mean Error the Difference
Sig. (2- Differen Differen
Sig. t df tailed) ce ce Lower Upper
Net_Reve Equal variances -
1 10595.9 47697.8
nue assumed . .222 .827 89613.464 110805.31758
8 2632 1522
F 94
Equal variances 10595.9
. . . . . .
not assumed 2632
Pricing Method
Descriptives
Net_Revenue
95% Confidence Interval
for Mean
Std. Std. Lower Upper
N Mean Deviation Error Bound Bound Minimum Maximum
mark up 36763.500 23695.813 11847.9 74468.827
4 -941.8276 8841.00 66232.00
0 84 0692 6
competitive 25645.450 12728.899 4500.34 36287.076
8 15003.8236 5240.00 39312.00
0 65 563 4
cost-based 60623.125 66727.887 23591.8 116409.03
8 4837.2150 18240.00 222352.00
0 47 7086 50
Total 41860.130 45312.107 10132.0 63066.849
20 20653.4108 5240.00 222352.00
0 67 9530 2
65
ANOVA
Net_Revenue
Sum of Squares df Mean Square F Sig.
Between Groups 5023629180.407 2 2511814590.204 1.256 .310
Within Groups 33986925748.81
17 1999230926.401
5
Total 39010554929.22
19
2
Frequency of Display
Group Statistics
Frequency_dispaly N Mean Std. Deviation Std. Error Mean
Net_Revenue 5.00 1 8841.0000 . .
7.00 19 43597.9789 45863.87450 10521.89443
Independent Samples Test
Levene's Test
for Equality of
Variances t-test for Equality of Means
Sig 95% Confidence Interval of
. the Difference
(2-
tail Mean Std. Error
F Sig. t df ed) Difference Difference Lower Upper
Net_Reve Equal - -
.47 47055.342
nue variances . . -.739 18 34756.978 133616. 64102.62698
0 38
assumed 95 58487
Equal -
variances not . . . 34756.978 . . .
assumed 95
Is there is any significant relationship between marketing performance
and marketing costs?
66
Correlations
buying_cost supplies_materials transportation labor ficxed_cost net_revenue
buying_cost Pearson
1 .377 .199 .218 .271 .324
Correlation
Sig. (2-tailed) .101 .401 .384 .261 .164
N 20 20 20 18 19 20
supplies_materials Pearson
.377 1 .604** .583* .664** .532*
Correlation
Sig. (2-tailed) .101 .005 .011 .002 .016
N 20 20 20 18 19 20
transportation Pearson
.199 .604** 1 .892** .770** .789**
Correlation
Sig. (2-tailed) .401 .005 .000 .000 .000
N 20 20 20 18 19 20
labor Pearson
.218 .583* .892** 1 .642** .726**
Correlation
Sig. (2-tailed) .384 .011 .000 .005 .001
N 18 18 18 18 17 18
ficxed_cost Pearson
.271 .664** .770** .642** 1 .670**
Correlation
Sig. (2-tailed) .261 .002 .000 .005 .002
N 19 19 19 17 19 19
net_revenue Pearson
.324 .532* .789** .726** .670** 1
Correlation
Sig. (2-tailed) .164 .016 .000 .001 .002
N 20 20 20 18 19 20
**. Correlation is significant at the 0.01 level (2-tailed).
*. Correlation is significant at the 0.05 level (2-tailed).
67
Appendix E
LIST OF RESPONDENTS
Agdao Bangkerohan Calinan
Dela Cruz, Silverio Bustamante, Celendel Ababa, Leonora
Mejos, Luz Dela Cruz, Mariel Badar , Nimfa
Tidol, Geneva Paldemero, Jose
Valdez, Nestor
Matina Mintal Toril
Busadeus, Ronald Canete, Jessielyn Adel, Jon Mark
Dolor, Marites Cupat, Marie Joy Desamatan, Prince
Viran, May-ann Piesta, Daniella Laret, Maricris
Lopez, Marebeth
Merida, Romnick
68
CURRICULUM VITAE
PERSONAL INFORMATION
Name : Elvira Piamonte
Nickname : Viray
Date of Birth : June 17, 1996
Place of Birth : Southern Leyte
Age : 22 years old
Address : Purok 9 Apitong, Anggalan, Tugbok
District, Davao City
Religion : Roman Catholic
Father’s Name : Orlando Luaña
Mother’s Name : Marrieta Luaña
EDUCATIONAL ATTAINMENT:
Tertiary: University of Southeastern Philippines
College of Development Management
Mintal, Davao City
69
Degree Sought : Bachelor of Science in Agricultural Business
Secondary: Tugbok National High School
Tugbok District, Davao City
Year Graduated: 2009
Elementary: Tugbok Elementary School
Tugbok District, Davao City
Year Graduated: 2005
STUDIES CONDUCTED
A Project Feasibility Study on Native Coffee
Powder in Carmen, Baguio District, Davao
City (PROJECT FEASIBILITY STUDY)
UNDERGRADUATE THESIS : Marketing Performance of Shrimp Vendors
in Major Public Markets of Davao City
University of Southeastern Philippines
College of Development Management
Mintal, Davao City