RECOMMENDATION

To the online business industry and entrepreneurs, they may refer to

this study for updates in relation to the different risks encountered in
an online business and the corresponding ways that are commonly
used to prevent these risks for the improvement of their business.
To the aspiring entrepreneurs, for them to be aware of the
advantages such as good source of income for only small start-up
capital and disadvantages of online business like lack of physical
contact with customers and the risks they will or might come across
to when they invest thereto and so that necessary measures will be
done to avoid losses.
To the public and customers, for them to be familiar about the
transactions made in an online business, and the benefits they can
get in doing so.
To the school/university and the researchers, for them to be aware
and to be exposed in this certain kind of business, to the benefits
online business have and to encourage them to get involved thereto.

CONCLUSION
Shortage, out-of-stock or unavailability of products was the most
common problem the respondents would come across to. To be able
to prevent or overcome this risk the respondents most commonly
used solution was to stock more in demand products and specify the
remaining numbers of available items or by doing pre-orders.
According to the gathered data, one of the most common security
concerns that respondents were to face was Identity Theft. The most
commonly used solution or prevention regarding security concern
was to have protected blog sites, like facebook and instagram, and
having secured server and firewall is in place.
The most common risk concerning customers payment was the
inaccurate or false information given to the respondents. This can be
avoided as long as the two parties were crystal clear about the
details of their transaction and by documenting all information
gathered and the transactions made for the basis of future
clarifications.

 The most common shipment problem was late delivery of products.

This may be avoided by letting your customers know beforehand that
late delivery might be anticipated.
The most frequent customer complaint was inappropriate sizes of
the products. To avoid complaints about product suitability, indicate
all the necessary information about the product, and ask even the
smallest detail you might need in case of changes.

SUMMARY OF FINDINGS
The profile of the target respondents:
According to the gathered data, it showed that most of online
business owners were female though it also showed that men
can engage in this kind of business but not as frequent as the
female does.
Respondents ages 18-22 were the highest ranked according also
to the gathered data, that tends to do online business.
Single people tend to enter into online business rather than
those who were married.
Pertaining to the educational attainment of the respondents,
almost half of the total respondents were college graduate, but
this doesnt mean that only those who have a degree can do
online business, having a degree or not doesnt hinder one in
doing an online business.
Most of the respondents who engage in an online business were selfemployed.

 According to the gathered data most of the respondents invest

only from the range P1000 P5000, thus implying that online
business dont need a big start-up cost.
Also from the result of the survey respondents mainly obtain
their capital from their savings which ranked first as their main
source of their capital. This only shows that individuals who were
operating online business were mostly money-savers.
As to the products that the online business owner sells, RTWs
were the most common product that they offer.

 As to problems 2 and 3, these are correlated because it comprises

of the risks and solutions; (a) Supplies.

Based from the experience of online entrepreneurs, there is a

risk when it comes to supplies as evidenced by the total
weighted mean of 2.41, which is interpreted as Often or
Frequently encountered problems by the respondents. And by
having a total weighted mean of 3.00 which was interpreted as
Often or Frequent solution or prevention used by the
respondent, implies that solutions or preventions are done after
they experience such risks or even before encountering the risks
in order to minimize or overcome them.

 As to problems 2 and 3, these are correlated because it comprises

of the risks and solutions; (b) Security Concerns.

Having a total weighted mean of 1.12 which was interpreted as

Seldom or Least Frequently encountered problem pertaining to
security concerns of the respondents mean those risks exists;
even though it was least frequently encountered still it was
experienced by some of the respondents. Being aware of such
risks, solutions or preventions were done by the respondents to
minimize and overcome these risks. This was so because of the
total weighted mean of 3.21 which interpreted as Always or Most
Frequently used solutions or preventions that simply mean
respondents have been careful enough just to not increase their
risks in their online businesses.

 As to problems 2 and 3, these are correlated because it comprises

of the risks and solutions; (c) Mode of Payment.
The total weighted mean resulted to 3.35 was interpreted as
Always or Most Frequently used mode of payment which imply
that the options given in the survey were the most frequently
used ways to pay an online transaction. Not only because of the
fast transaction but also because those modes of payment were
trusted and less risky.
Having a total weighted mean of 1.39 that was interpreted as
Seldom or Least Frequently encountered problem, implies that
there were risks concerning the customers payment. It may be
least frequent to come across these risks, still its risks. But given
a total weighted mean of 3.44 which was interpreted as Always
or Most Frequent solutions or preventions used, simply implies
that preventions or solutions were done to minimize the risks in
the payments made by the customers.

 As to problems 2 and 3, these are correlated because it comprises

of the risks and solutions; (d) Shipment/Delivery.
Because of the lack of physical contact between the seller and
the customer in an online business, shipment of products was
usually done in order for the customers to receive their
purchased products. And conforming to the results in the total
weighted mean of the risks associated in the shipment of the
products, which was 1.59 and interpreted as Seldom or Least
Frequently encountered problem, it implies that risks do exist
when it comes to the shipment. It may seldom happen but there
were instances when such problems arose. Having a total
weighted mean of 2.97 that was interpreted as Often or
Frequently used solution or prevention, which implies that
solutions or preventions to such risks were done to avoid it.

 As to problems 2 and 3, these are correlated because it comprises

of the risks and solutions; (e) Product Suitability.
In this kind of business, where the potential clients or customers
cannot physically see and touch the products it was possible that
complaints arose. It was evidenced by the total weighted mean
of 1.53 Seldom or Least Frequently encountered customer
complaints. But according to the gathered data, the total
weighted mean of 3.79 that was interpreted as Always or Most
Frequently used solution, implies that solutions or preventions
were done to lessen these complaints.

STATISTICAL ANALYSIS OF DATA

Percentage and Frequency. This will be used in choosing the number
of respondents that will be participating in the study that is based on
their respective locations demographic ratio and it will also be used
in presenting the profile of the said respondents. Frequency will be
used to count the number of occurrences of the values gathered in
the data. Percentage will be calculated with the following formula:

P=

Where: P = percentage
f = frequency of a category
n = total number of cases

 Likert Scale. Four-Point Likert Scale was used in the survey

questionnaire in order to extract a specific response from the
respondents. Ranking will be utilized in rating which risks and
solutions or preventions to the risks are frequently encountered and
use by the respondents pertaining to their investment in an online
business. In a scale of one (1) to four (4), four (4) having an
interpretation of Most Frequent, and one (1) interpreted as Not
yet encountered. The following table shows the index of
interpretation for Four-Point Likert Scale.

 Weighted Mean. This will be used in determining the respondents

evaluation on the questions in the survey and their typical
assessment of the significant risks that they have met in engaging in
an online business. Weighted Mean will be calculated using the
following formula:

WM =

Where: WM = weighted mean

f = frequencies for each preference
w = weights assigned
n = number of respondents in a sample