A BRAND EXPANSION OF LASANG AUS FOOD AND CATERING SERVICES

“GET ALL YOU CAN EAT” IN SM LIPA FOOD COURT

A Business Plan
Presented to the Faculty of
College of Accountancy, Business, Economics and International Hospitality
Management – Graduate School
Batangas State University

In Partial Fulfillment
of the Requirement for the Degree
Masters of Business Administration
(Non-Thesis Program)

By:

MARIA CRISTINA G. MORFI

December 2017
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APPROVAL SHEET

In partial fulfillment of the requirements leading to the degree of Masters of

Business Administration Non-Thesis Program, this business plan entitled, “A
BRAND EXPANSION ON LASANG AUS FOOD AND CATERING SERVICES
GET ALL YOU CAN EAT IN SM LIPA FOOD COURT” prepared and submitted
by MARIA CRISTINA G. MORFI, has been examined and hereby recommended
for acceptance and approval for oral presentation.

LUZVIMINDA A. ABACAN, MBA, PhDBA CANDIDATE

Adviser

Acceptance and approved in partial fulfillment of the requirements for the

Degree of Masters in Business Administration Non-Thesis program

___________________________ BENDALYN M. LANDICHO, PhD.

Date Dean, CABEIHM
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ACKNOWLEDGMENT

The proponent would like to give her heartfelt and sincerest gratitude to

the following persons who have been of great help in the pursuit of this study:

To Batangas State University, that serves as her second home and an

avenue to personal and career growth;

To Dr. Bendalyn M. Landicho, College Dean, for her concern and

encouragement given not oly in this quest but in the completion of this MBA

Degree as well;

To Prof. Luzviminda A. Abacan Business Research Adviser, for her

constant guidance as she gives advices and for sharing her expertise in the field

of research that eventually inspired the proponent to finish this study;

To her Husband Derick and Sons Erick and Emanuel, for their

unwavering and genuine support and trust and for always serving as an

inspiration;

To her Tatay Ando, Inay Belen and siblings Olan, Inye, Froy and Fe,

for your support and encouragement

To her friends, for the ideas and help extended in the accomplishment of

this study;

And most of all, to our ALMIGHTY GOD, for HIS unconditional love

reflected in ll his blessings and challenges that keeps the proponent going, and

whom she owed everything.

--Tina
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TABLE OF CONTENTS

TITLE PAGE --------------------------------------------------------- i

APPROVAL SHEET --------------------------------------------------------- ii
ACKNOWLEDGMENT --------------------------------------------------------- iii
TABLE OF CONTENTS --------------------------------------------------------- iv
LIST OF TABLES --------------------------------------------------------- vi
LIST OF FIGURES --------------------------------------------------------- vii
EXECUTIVE SUMMARY --------------------------------------------------------- viii

CHAPTER
I. BACKGROUND OF THE STUDY
Overview of the Business --------------------------------------- 1
Current Situation of the Business ------------------------------ 2
Vision --------------------------------------------------------- 3
Mission --------------------------------------------------------- 3
Objective of the Project --------------------------------------- 3
Growth Potential ------------------------------------------------ 5

II. MARKET ANALYSIS

Target Market ------------------------------------------------ 6
Market Strategies Program--------------------------------------- 8
Product Quality ------------------------------------------------ 9
Brand Name/ Logo ------------------------------------------------ 10
Packaging --------------------------------------------------------- 11
Pricing --------------------------------------------------------- 12
Promotion --------------------------------------------------------- 13
Customer Service ------------------------------------------------ 14

III. TECHNICAL STUDY

Product/Service Description ------------------------------ 16
Uses of the Product ------------------------------------------------ 16
Operational Process --------------------------------------- 17
Production Schedule --------------------------------------- 18
Plant Layout and Location --------------------------------------- 26
Equipment and Machineries ------------------------------ 30
Furniture and Fixture --------------------------------------- 31
Supplies, Tools and Accessories ------------------------------ 33
Direct Materials ------------------------------------------------ 34
Indirect Materials --------------------------------------------------- 35
Utilities Expense ------------------------------------------------ 35
Waste Management------------------------------------------------ 36
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IV. COMPETITOR AND STRATEGIC ANALYSIS

Competition --------------------------------------------------------- 37
Customer Analysis ------------------------------------------------ 38

V. STRATEGIC ACTION PLAN

Core Competence ------------------------------------------------- 40
Market Position/Image ---------------------------------------- 41
SWOT Analysis ------------------------------------------------- 41
Strength ------------------------------------------------- 41
Weakness ------------------------------------------------- 42
Opportunities------------------------------------------------- 42
Threats ------------------------------------------------- 43
Business Strategy ------------------------------------------------- 43

VI. ORGANIZATIONAL AND MANAGERIAL SPECIFICATION

Form of Business Ownership -------------------------------- 45
Organizational Structure ----------------------------------------- 45
Manpower Requirements ----------------------------------------- 46
Personnel Qualification ----------------------------------------- 46
Duties and Responsibilities -------------------------------- 47
Compensation -------------------------------------------------- 49
Company’s Policy -------------------------------------------------- 50
Legal Requirements-------------------------------------------------- 52

VII. FINANCIAL PLANS

Total Project Cost -------------------------------------------------- 55
Operational Expense ----------------------------------------- 56
Labor Cost ----------------------------------------------------------- 57
Government Services and Regulations ----------------------- 58
Repair and Maintenance ----------------------------------------- 59
Sources of Funds -------------------------------------------------- 59
Financial Statements ----------------------------------------- 59

VIII. SOCIO-ECONOMIC CONTRIBUTIONS

Economic Growth -------------------------------------------------- 66
Customer Oriented -------------------------------------------------- 66
Local Government Units ----------------------------------------- 67
Future Growth -------------------------------------------------- 67

BIBLIOGRAPHY -------------------------------------------------------------------- 68
CURRICULUM VITAE ----------------------------------------------------------- 69
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LIST OF TABLES
Table No. Title Page

2.1 Target Market Segment ------------------------------------------- 7

2.2. Projected Number of Customer per Day ------------------------- 8
2.3. List of Menu ------------------------------------------------------------- 13
3.1 15-Day Production Cycle ------------------------------------------- 19
3.2. List of Equipment and Machineries ------------------------- 30
3.3 Equipment and Machineries Uses and Description ------- 31
3.4. List of Furniture and Fixture ---------------------------------- 32
3.5. Furniture and Fixture Uses and Description ---------------- 32
3.6. List of Supplies, Tools and Accessories ------------------------- 33
3.7. List of Direct Materials ------------------------------------------- 34
3.8. List of Indirect Materials ------------------------------------------- 35
3.9. List of Utilities Expense ------------------------------------------- 36
6.1. Employee Compensation -------------------------------------------- 50
6.2 Legal Fees --------------------------------------------------------------- 54
7.1. Total Project Cost ---------------------------------------------------- 55
7.2. Computation of Operating Expense ------------------------- 56
7.3. Computation of Manpower Expense ------------------------- 57
7.4. Legal Permits and Annual Taxes ---------------------------------- 58
7.5 Projected Statement of Financial Performance ---------------- 61
7.6. Statement of Comprehensive Income ------------------------- 62
7.7. Statement of Cash Flow ------------------------------------------- 63
7.8 Statement of Financial Position ---------------------------------- 64
7.9 Statement of Change in Equity ---------------------------------- 65
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LIST OF FIGURES

Figure No. Title Page

2.1 Lasang Aus Food and Catering Services Logo ------------------

11
3.1. Service Blueprint of Lasang Aus and Catering Services ------- 17
3.2. Vicinity Map of SM Lipa ------------------------------------------------ 28
3.3 Propose Layout of Lasang Aus ------------------------------------29
6.1. Lasang Aus Organizational Chart ------------------------------------46
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EXECUTIVE SUMMARY

Title : A Brand Expansion of Lasang Aus Food and Ctaering Services

“Get All You Eat”Food Court

Author : Maria Cristina G. Morfi

Course : Masters in Business Administratiom

Year : 2017

Adviser : Luzviminda A. Abacan, PhDBM Candidate

Lasang Aus Food and Catering Services is a sole proprietorship owned by

Filipino husband and wife, Zaldy and Imelda Marino of Batangas City. The

business started as a canteen tenant at the Batangas State University and

eventually transferred to Golden Country Homes to continue their business.

Aside from the canteen they managed, they also offer catering services.

Lasang Aus Food and Catering Services will be offering a “Get All You

Can Eat” food service concept in SM Lipa Foodcourt. The idea is to offer the

customers different menus each day and allow customers to get all they can eat

before paying their meal. The business established a 15-day menu cycle that will

be offered to the customers. The concept also allows the customer to take home

their excess food, so that there will be no left-overs. Unlike the eat all you can

concept, taking out the food is not allowed.

The business target market will be the employees of the mall, the

employees of the mall tenants, employees of businesses surrounding SM Lipa,

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students, commuters and visitors of Lipa City. The business will focus on its

marketing effort so as to penetrate competition inside and outside SM Lipa.

Spreading tarpaulin in strategic areas are one of the strategy that will be

implemented. There will also be a massive flyering activities especially on

weekends inside and outside the mall premise.

Lasang Aus Food and Catering Services will require its personnel to be

competent in their field. It will be handled by a head chef who has experienced in

culinary and hotel and restaurant management. Careful selection of the staff will

also be implemented. Aside from the head chef, there will a store manager to

oversee the over-all operations of the business and will report directly to the

owners. There will also a cashier and two assistants to help facilitate a smooth

operation of the business.

The business sees an opportunity in food service industry, the very reason

why they will introduce the “Get All You Can Eat” concept. Despite similarities of

existing food service providers, none of these had ever introduced the “Get All

You Can Eat” concept. In addition, Lasang Aus Food and Catering Service will

provide different menus each day to satisfy the customers’ ever changing food

preferences.

The core competence of Lasang Aus “Get All You Can Eat” is the fact that

this is the only concept in the food service industry that will provide variety of

menu through its so-called 15-day rolling menu. One will not get bored with the

same offering, because Lasang Aus created means to mixed and match menu to
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the customers preferred food. It also gives opportunity for customers to bring

home their left-overs without extra charge on their part.

Lasang Aus, while its primary business objective is to gain profit, will still

adhere to the rules and regulations mandated by the government. The business

will provide pertinent documents as to operate on a legal basis. Aside from this,

the business will uphold its responsibility to help in contributing to local

economies by bringing growth and innovation. Likewise, the business will

continually be customer-oriented food service provider which is its main objective

is to satisfy the ever changing food preferences of the people.

The business is expected to have a gross profit rate of 4 to 7 % in five

year operations. With continuous product development and marketing activities,

this profit rate is possible.