Professional Documents
Culture Documents
CHAPTER 1
letterheads, official receipts and etc. In the study, it discussed the price sensitivity
that measures the behavior of consumers in purchasing F.G. Vitug Social &
Commercial Printers product. The study covers the demographic profile of the
respondents who continue to patronize the company’s product. The study also
tackles the customers’ exceptional perception about the price that company offers
I. Introduction
Receipts, Envelope, Leaflets, Brochures, Calling Cards and the like. One of their
biggest customers is Let’s Face It Salon. They also maintain good relationships with
other customers like Bahia Shipping Services, Inc., Amity Travel, Going Straight
and many more. It became more stable when some of their satisfied customers
introduced them to other companies who later became their customers. Currently,
F.G. Vitug Social & Commercial Printers holds the accounts of Let’s Face It
Salon, Bahia Shipping Services Inc., Amity Travel and Going Straight. The
company focuses on printing services that provide cheap price yet high quality that
makes them credible and worth. As a pioneer in the printing industry, F.G. Vitug
Social & Commercial Printers still seeks to come up with products that will make
A. Marketing Activities
Place
Promotion
F.G. Vitug Social & Commercial Printers advertise their products through
direct selling, word-of-mouth and social media account. They always call their
customers to update them about their orders. And through their current clients they
were able to get new customers and build good relationship with them. They also
The presented prices below are not permanent and may vary depends on the
supply and demand of the raw materials. Price discounts will depend on the bulk
ENVELOPE
Ream Price
Regular (1 color) 1,500 – 1,700
Colored (2 colors) 3,000
Table 1.1 Envelope
LEAFLETS/BROCHURES
Color Price
1 color 2.50 per piece
Full color 4.00 per piece
Table 1.2 Leaflets/Brochures
CALLING CARDS
Color Price
1 – 2 colors 700 per box
Full Colors 1,250 per box
Table 1.3 Calling Card
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LETTERHEAD
Short
Color Copy Paper Imported Paper
Price Price
Black and White 1,200 1,800
2 colors 1,500 3,000
Full Color 2,500 3,500
Long
Color Copy Paper Imported Paper
Price Price
Black and White 1,300 2,000
2 colors 1,700 3,500
Full Color 2,800 3,800
Table 1.4 Letterheads
RECEIPTS
Duplicate
Sizes Bond and Carbonless
Onion Skin
Price per piece Price per ream Price per piece Price per ream
RECEIPTS
Triplicate
Sizes Bond and Carbonless
Onion Skin
Price per piece Price per ream Price per piece Price per ream
The study aims to determine how changes in prices of the F.G. Vitug Social &
Commercial Printers products affect the buying decision of the clients within Metro
Manila and Quezon City. Specifically the researchers sought to answer the
following questions:
1.1 Age
1.2 Gender
1.4 Income
2. How effective are the pricing strategies currently used by F.G. Vitug Social &
6. What are the possible pricing strategies that will make the clients F.G. Vitug
C. Marketing Objectives
The use of information presented in this study would be able to improve the
price of their enterprise. This study will provide them a clear picture of how its
would be able to know on how the F.G. Vitug Social & Commercial Printers
manage the sales of their printing works in a world of printing and packaging
industry. The way on how the enterprise uses their strategy to develop their good
It would help the client to understand the changes in price of F.G. Vitug
Social & Commercial Printers, on what specific reason why the price does need to
increase or decrease. This study also help client to distinguish the effect of price
sensitivity to enterprise.
students’ knowledge and entrepreneurial skills as well. This study will be very
effective and useful to students as they used this as their guide or basis in studying a
price sensitivity since F.G. Vitug Social & Commercial Printers focus on the
printing works
This study would be use as a reference study to any future researchers who
will conduct further studies regarding our chosen topic. The F.G. Vitug Social &
Also, this study can be their source material that future researchers assimilate and
E. Conceptual Framework
The figure below represents the conceptual framework of the paper. The profile
respondent is determined based on Age, Gender, Civil Status, Income and Level of
Education. These are gathered primarily to know and ascertain if their differences
Customers’ Customers’
Perception Expectation
Price Sensitivity
It can establish the value
consumers place on
individual attributes
Effectiveness of
Pricing Strategy
Figure 1.1
Customer Feedback Conceptual
Framework
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F. Definition of Terms
Price Discounts – is reduced prices or something being sold at a price lower than
Price Sensitivity - is the degree to which the price of a product affects consumers'
purchasing behaviors
books.
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CHAPTER 2
Local Article
services that consumers usually buy. To measure inflation, economic analysts look at
the consumer price index (CPI), which represents the general cost of products
an increase in the CPI. In August, inflation was at an all-time low of 0.6 percent. This
means that on average, the price of goods and services consumers bought during the
month was 0.6 percent higher than a year ago. Despite decelerating inflation,
controlling the prices of goods and services is among the top concerns of most
Filipinos. “It only shows how sensitive economic welfare is to even very small
changes in prices and wages, especially insofar as the poor and near-poor are
inflation is high, consumers may have to spend more to buy the same goods and
services they purchased a year earlier. Or, in other words, the same amount of money
would buy less after inflation. Moreover, if inflation accelerates while wages stay the
same, it would require a bigger portion of people’s income to buy the same goods and
services.
millions getting hungry? High food prices are among the culprits. “In the
Philippines, food is really expensive. We are even the most costly among ASEAN
recently during a round table discussion hosted by the University of Philippines Los
Baños’ Interdisciplinary Studies Center on Food Security. Ponce concludes it's the
inadequate infrastructures, and abusive middlemen that are behind the country's
formula for the Philippine consumer price index (CPI). Using 2000 as base year,
preliminary estimates seem to indicate that there is a bias in the current official CPI
measure compared to a geometric CPI, and that this bias tends to be positive. This
finding suggests that the CPI measure based on a Laspeyres formula may tend to
overstate “true” inflation. The paper argues that the estimated upward bias in the
CPI has a direct implication on the BSP’s conduct of monetary policy. Moreover,
such upward bias may deepen over time and be affected by the business cycle. This
forward-looking indicators, the BSP may have to take this finding into account in
entertain and satisfy them. If the customer is highly competitive and perceives short
term projects, then it is not worth for suppliers to convince them for high end or
expensive products. The customer will anyway supercharge to reduce the cost or cut
the related frills as it may not be affordable or is out of budget for them to purchase.
customer unsatisfied, in worst case he may loose that customer also.Making fruitful
strategies and positive analyzing cost sensitivity is one of the most important
challenges that an organization could face. On the other hand it is desirable to deal
efficiently with it. The best practice is to pre-evaluate the customer needs and make
pharmaceutical policy where regulation is less developed, health systems are cash
constrained and medicines are not typically subsidised by a public health insurance
system. This study analyses the demand for medicines in low-income countries
from the perspective of the prices paid by public authorities. The analysis draws on
a unique dataset from World Health Organization (WHO) and Health Action
Variation in prices, the mark-ups over marginal costs and estimation of price
Foreign Article
pervasive desire for social prestige motivates consumers to pay higher prices for
innovativeness, and brand loyalty mediate this relationship. A model using data
from 409 U.S. college students. Status consumption does influence price sensitivity;
innovativeness, and brand loyalty. The results are consistent with previous studies
and theories regarding these variables and attest to the importance of status
constructs interact to produce their effects improves consumer theory and marketing
practice.
Price sensitivity deals with the consumer’s sensitivity to price changes and
is important for strategic decisions. Price has a significant influence on the behavior
sensitivity is analyzed by the slope of the demand curve or by the price elasticity of
demand (Kaul & Wittink, 1995, p. 151). In my article we will use price elasticity,
since it is not sensitive to the units of measurement and is often used in the field of
microeconomics, and we will focus on describing the factors which influence price
percent price change ceteris paribus. When the price elasticity is larger than one, the
demand will be price elastic. When the price elasticity is smaller than one the
demand will be price inelastic. Basically, in the first case demand is sensitive to
decisions. Price sensitivities depend on various factors for which our purpose of this
made based on price rather than the brand or accessibility. Our discussions and
findings will have important implications for managers and researchers. Managers
may get guidelines for taking their pricing decisions to achieve maximum earnings
come from all income and demographic groups, are often more brand loyal than
others and spend more in supermarkets on average than shoppers less focused on
use coupons, how much they consistently purchase the lower-price items in
categories and how often they buy items on promotion. Among the groups that over
index for price sensitivity are millennials, Mr. Petty said, and that's one reason
price-sensitive shoppers are also bigger spenders. "Millennials do use coupons more
and look at promotions more, and they make less money," he said, yet they also
spend more on groceries because they're more likely to have kids. "They're one of
the highest-spending groups and yet they're very price sensitive." A similar paradox
programs or are "brand advocates" who follow brands on social media. They're
more price sensitive than average, but also more brand loyal.
This data can be used and updated to improve strategy and processes
throughout the enterprise. One such specific example is pricing strategy and
specific households to target for new product offerings that will have a higher
models can predict the new demand scenarios, and these projections directly relate
the customers' touch points and transactions; incorporating these with how brands
are interacting with customers across social channels like Twitter and Facebook and
how consumers are influencing one another's purchase decisions. The retail industry
promises to become only more complex and full of rich new data sources to drive
competitive advantage to those brands that put predictive analytics into practice to
CHAPTER 3
METHODOLOGY
A. Research Design
used to answer the effectiveness of price sensitivity to the consumer who are still
patronizing the F.G. Vitug Social & Commercial Printers it also answers the
Respondents of the study are composed of 100 customers aged from 18 and
above specifically working around Quezon City and Metro Manila. There
respondents are regarded as the best subject of the study to determine the level of
The research selects people around Quezon City and Metro Manila who have
an idea and experience about the commercial printers of F.G. Vitug Social &
Commercial Printers. Those people will help us determine the popularity of F.G.
D. Research Instruments
This study will use survey questionnaire to collect data and information
needed for this research. The questionnaire will be given to the chosen respondents.
The survey questionnaire also gathered the demographic profile of the respondents
and some information and concerns towards F.G. Vitug Social & Commercial
Printers.
The study covered the selected customers of F.G. Vitug Social & Commercial
Printers specifically in Manila and Quezon City. The researcher tackled the level of
price sensitivity of consumers. The research period started from July – October
2016.
respondents were asked to answer the questions about the quality of the products.
The analysis of data collected was carried out using different statistical techniques
and method.
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Descriptive Statistics
P = N/(1+Ne^2)
=74,740/(1+(74,740x0.1^2))
=99.87
Where :
P = Frequency Pecentage
n = number of proponents
CHAPTER 4
Gender
37%
Female
Male
63%
Male 37 37%
Female 63 63%
respondents. The graph shows that majority of the respondents are who work
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Civil Status
39%
Single
Married
61%
Single 39 39%
Married 61 61%
of the respondents are single 61% of the respondents while 39% were married.
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Age
12%
26%
18 - 23
24 - 28
29 and above
62%
old. 62% of the total respondents were 24 – 28 years old. The 26% were aged
Income
22%
12,000 - 18,000
48%
18,001 - 24,000
24,001 and above
30%
In figure 4.4, 22% of the respondents who have income Php 12,000
– 18,000. The 30% respondents who have salary between Php 18,001 – 24,000
while 48% respondents have wages between Php 24,001 and above.
do have an income between Php 24,001 and above while the small portion comes
8%
Social Media
Figure 4.5
Social Media 8 8%
Table 4.5
highest percentage is 59%, they are referred by other people especially their
current clients
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24%
Always
46%
Seldom
Rarely
30%
Figure 4.6
Always 46 46%
Seldom 30 30%
Rarely 24 24%
Table 4.6
always buy product from F.G. Vitug Social and Commercial Printers is 46%
next to it is seldom with 30% percentage while 24% of it comes from the
27%
45% Every Month
Yearly
Occasionally
28%
Figure 4.7
Yearly 28 28%
Occasionally 27 27%
Table 4.7
In figure 4.7, 45% of the respondents answered that they feel the
increase of the price of the product, 28% of them answered yearly while the
lowest percentage was from the answer occasionally that has 27%
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Offering good
24% quality product
33%
Giving discounts
Price reasonable
43%
Figure 4.8
Table 4.8
quality product makes them feel that they are being valued by the company,
43% answered giving discounts while the remaining 24% comes from price
reasonable.
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Price reasonable
47%
Figure 4.9
Table 4.9
makes the company different from others. 31% for offering good quality is next to it
Factors 1 2 3 4 5
Design 40 21 24 10 5
Durability 30 15 41 10 4
Price 5 5 10 20 60
Packaging 20 50 15 5 10
Quality 5 9 10 55 21
Table 4.10
Factors
Table 4.11
The table above shows how the respondents rank the factors why
they still stay in the company. In Table 4.11, it is the guide on how to get the
weighted mean of the said company. Most of the respondents choose price as one
the main reason why they still stay in the company of F.G. Vitug Social and
Commercial Printers.
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Weigthed Mean
4.5
4
3.5
3
2.5
2
1.5
1
0.5
0
Price Quality Durability Packaging Design
Figure 4.10
Price 4.25
Quality 3.88
Durability 2.43
Packaging 2.35
Design 2.19
Table 4.12
price as their main factor in buying their products. It shows the computation and the
4.13 ENVELOPE
Regular
Php 1,500 – 1,550 Frequency Percentage
Very Sensitive 7 7%
Sensitive 26 26%
Moderate 51 51%
Not Sensitive 16 16%
Total 100 100%
Table 4.13.1
Colored
Php 2,500 – 3,000 Frequency Percentage
Very Sensitive 4 4%
Sensitive 20 20%
Moderate 13 13%
Not Sensitive 63 63%
Total 100 100%
Table 4.13.4
63% of the respondents choose not sensitive, followed by sensitive that has
20%. The third one is moderate that has 13% and lastly is very sensitive that has 4%
respondents.
4.14 LEAFLET/BROCHURE
1 color
Php 2.00 – 2.50 Frequency Percentage
Very Sensitive 12 12%
Sensitive 12 12%
Moderate 13 13%
Not Sensitive 63 63%
Total 100 100%
Table 4.14.1
63% of the respondents choose not sensitive, moderate with 13% and both
12% for very sensitive and sensitive.
Full Color
Php 3.50 – 4.00 Frequency Percentage
Very Sensitive 10 10%
Sensitive 24 24%
Moderate 28 28%
Not Sensitive 38 38%
Total 100 100%
Table 4.14.4
38% of the respondents choose not sensitive, followed by moderate that has
28%. The third one is sensitive that has 24% and lastly is very sensitive that has
10% respondents.
52% of respondents choose not sensitive while 22% says it’s moderate. In
very sensitive they got 13% and in sensitive is also 13%
Full Color
41% of the respondents choose moderate. Sensitive with 25% and 22% for
very sensitive and 12% for not sensitive.
61% of respondents choose not sensitive while 14% says it’s sensitive. In
very sensitive they got 13% and in moderate is12%.
(Imported Paper)
Php 1,800 – 1,850 Frequency Percentage
Very Sensitive 8 8%
Sensitive 20 20%
Moderate 42 42%
Not Sensitive 30 30%
Total 100 100%
Table 4.16.3
2 colors
(Copy Paper)
33% of the respondents are majority says that it is very sensitive, second is
sensitive with 27%, third is not sensitive with 23% and lastly 17% for moderate.
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(Imported Paper)
Php 3,000 – 3,500 Frequency Percentage
Very Sensitive 30 30%
Sensitive 27 27%
Moderate 19 19%
Not Sensitive 24 24%
Total 100 100%
Table 4.16.7
30% of respondents choose very sensitive while 27% says it’s sensitive. In
not sensitive they got 24% and in moderate is19%.
The highest number of respondents was very sensitive with 40%. Followed by
sensitive which has 31% respondents. 18% for not sensitive and 11% for moderate.
Full Color
(Copy Paper)
(Imported Paper)
Php 3,500 – 4,000 Frequency Percentage
Very Sensitive 12 12%
Sensitive 7 7%
Moderate 25 25%
Not Sensitive 56 56%
Total 100 100%
Table 4.16.11
56% of the respondents are majority says that it is not sensitive, second is
moderate with 25%, third is very sensitive with 12% and lastly 7% for sensitive.
The highest number of respondents choose very sensitive and consist of 46%.
The second one got 21% respondents which is the not sensitive. 19% of them
chooses moderate and 14% answers for sensitive.
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33% of respondents choose very sensitive while 25% says it’s sensitive. In
moderate they got 24% and in not sensitive is18%.
41% of the respondents are majority says that it is sensitive, second is very
sensitive with 25%, third is moderate with 22% and lastly 12% for not sensitive.
(Imported Paper)
Php 2,000 – 2,500 Frequency Percentage
Very Sensitive 11 11%
Sensitive 19 19%
Moderate 18 18%
Not Sensitive 52 52%
Total 100 100%
Table 4.17.3
The highest number of respondents was not sensitive with 52%. Followed by
sensitive which has 19% respondents, 18% for moderate and 11% for very
sensitive.
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2 colors
(Copy Paper)
44% of the respondents are majority says that it is moderate, second is not
sensitive with 20%, third is very sensitive with 18% and lastly 18% for sensitive.
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(Imported Paper)
Php 3,500 – 4,000 Frequency Percentage
Very Sensitive 21 21%
Sensitive 12 12%
Moderate 38 38%
Not Sensitive 29 29%
Total 100 100%
Table 4.17.7
38% of respondents choose moderate while 29% says it’s not sensitive. In
very sensitive they got 21% and in sensitive is12%.
The highest number of respondents was sensitive with 45%. Followed by very
sensitive which has 21% respondents, 21% for moderate and 13% for not sensitive.
Full Color
(Copy Paper)
(Imported Paper)
Php 3,800 – 4,300 Frequency Percentage
Very Sensitive 11 11%
Sensitive 12 12%
Moderate 24 24%
Not Sensitive 53 53%
Total 100 100%
Table 4.17.11
53% of the respondents are majority says that it is not sensitive, second is
moderate with 24%, third is sensitive with 12% and lastly 11% for very sensitive.
The highest number of respondents choose sensitive and consist of 46%. The
second one got 21% respondents which is the very sensitive. 20% of them chooses
not sensitive and 13% answers for moderate.
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Carbonless
Php 3,500 – 4,000 Frequency Percentage
Very Sensitive 3 3%
Sensitive 35 35%
Moderate 46 46%
Not Sensitive 16 16%
Total 100 100%
Table 4.18.3
46% people chooses moderate while 35% says it’s sensitive. In not sensitive,
they got 16% and last one is the very sensitive that has only 3% respondents.
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49% chooses very sensitive. The second one is the sensitive that has 33
respondents. In moderate it has 13 answers and the last 5 decides to choose not
sensitive.
5½x8½
(Bond & Onion Skin)
Php 2,800 – 2,850 Frequency Percentage
Very Sensitive 16 16%
Sensitive 18 18%
Moderate 52 52%
Not Sensitive 14 14%
Total 100 100%
Table 4.18.5
Moderate got 52% respondents. While sensitive got 18%. 16% respondents
for very sensitive and 14% choose not sensitive.
47% of the respondents choose sensitive, followed by moderate that has 31%.
The third one is very sensitive that has 13% and lastly is not sensitive that has 9%
respondents.
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Carbonless
Php 5,000 – 5,500 Frequency Percentage
Very Sensitive 16 16%
Sensitive 36 36%
Moderate 34 34%
Not Sensitive 14 14%
Total 100 100%
Table 4.18.7
36% of the respondents choose moderate, 25% for very sensitive and 23% for
sensitive. The lowest number of respondents was not sensitive that has only 16%
respondents.
8 ½ x 11
(Bond & Onion Skin)
Php 4,500 – 4,550 Frequency Percentage
Very Sensitive 3 3%
Sensitive 11 11%
Moderate 21 21%
Not Sensitive 65 65%
Total 100 100%
Table 4.18.9
The highest number of respondents choose not sensitive and consist of 65%.
The second one got 21% respondents which is the moderate. 11% of them choose
sensitive and 3% answers for very sensitive.
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Carbonless
Php 8,750 – 9,250 Frequency Percentage
Very Sensitive 16 16%
Sensitive 12 12%
Moderate 53 53%
Not Sensitive 19 19%
Total 100 100%
Table 4.18.11
The highest number of respondents was moderate with 53%. Followed by not
sensitive which has 19% respondents. 16% for very sensitive and 12% for sensitive.
Majority of the respondents answered very sensitive 43%, not sensitive 28%,
sensitive 17% and the least very sensitive 43%.
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Carbonless
Php 7,500 – 8,000 Frequency Percentage
Very Sensitive 14 14%
Sensitive 17 17%
Moderate 43 43%
Not Sensitive 26 26%
Total 100 100%
Table 4.19.3
43% people chooses moderate while 26% says it’s not sensitive. In sensitive,
they got 17% and last one is the very sensitive that has only 14% respondents.
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39% chooses very sensitive. The second one is the sensitive that has 23%
respondents. In moderate it has 9% answers and the last 8% decides to choose not
sensitive.
5½x8½
(Bond & Onion Skin)
Php 4,600 – 4,650 Frequency Percentage
Very Sensitive 19 19%
Sensitive 17 17%
Moderate 41 41%
Not Sensitive 23 23%
Total 100 100%
Table 4.19.5
Moderate got 41% respondents while not sensitive got 23%. 19% respondents
for very sensitive and 23% choose not sensitive.
Carbonless
Php 9,500 – 10,000 Frequency Percentage
Very Sensitive 6 6%
Sensitive 36 36%
Moderate 42 42%
Not Sensitive 16 16%
Total 100 100%
Table 4.19.7
48% of the respondents choose very sensitive, 28% for sensitive and 14% for
not sensitive. The lowest number of respondents was moderate sensitive that has
only 10% respondents.
8 ½ x 11
(Bond & Onion Skin)
Php 8,250 – 8,300 Frequency Percentage
Very Sensitive 19 19%
Sensitive 21 21%
Moderate 24 24%
Not Sensitive 36 36%
Total 100 100%
Table 4.19.9
The highest number of respondents choose not sensitive and consist of 36%.
The second one got 24% respondents which is the moderate. 21% of them choose
sensitive and 19% answers for very sensitive.
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46% of the respondents are majority says that it is very sensitive, second is
sensitive with 25%, third is moderate with 15% and lastly 14% for not sensitive.
Carbonless
Php 18,375 – 18,875 Frequency Percentage
Very Sensitive 26 26%
Sensitive 12 12%
Moderate 33 33%
Not Sensitive 29 29%
Total 100 100%
Table 4.19.11
The highest number of respondents was moderate with 33%. Followed by not
sensitive which has 29% respondents, 26% for very sensitive and 12% for sensitive.
Majority of the respondents answered very sensitive 47%, moderate 22%, not
sensitive 18% and the least sensitive 13%.
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B. Analysis
Majority of the respondents are employees that are current clients of F.G.
The pricing strategy of the company is not that high but will give you the
best quality.
Referral from other people is still one of the best ways to gain customers.
Clients of F.G. Vitug Social & Commercial Printers are satisfied with their
product.
Despite of having price changes they are still loyal to F.G. Vitug Social &
Commercial Printers
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CHAPTER 5
A. Conclusion
towards the consumers. The survey helps in understanding the price sensitivity
and the quality of the product. Majority of the respondents are almost generation
y and millennials. Most of the customer becomes loyal to the product. Because
of the affordable price, good quality and good service that they experienced.
Some of the customers also introduces the product to the people they know
that’s why the number of customers increased. One of the most valued qualities
of the customers towards F.G. Vitug Social and Commercial Printers is that they
perform the services right on the first time and that they provide good quality of
products.
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B. Recommendations
1. The company should always check the products, on how it will improve and
2. The management may also study more regarding to their business. The
management may make the price affordable and reasonable but still maintain
had, they look for free items which will make them return. Simply by giving
freebies, consumers are easily manipulated with their decision and mostly and